Hi,
How do you Guys get Cars back in to your service Bays? Do you experience a customer drop due to Independent shops? How do you get those customers back in to your Bays?
Are you just working with Pricing or do you try to sell on Quality and Knowledge?
We experienced a drop in our Service bays by 52.8% and without the Warranty work and the first 2 to 6 Maintenance (upsales are moderate) intervalls we could close the Service Bay Doors.
------------------
George Schmitz
Customer Retention
5 posts
• Page 1 of 1
Customer Retention
by SteveM » Fri May 26, 2000 8:47 am
They've got to have a reason to come back and most people also need prodding, i.e. a reminder of some sort. People are just too busy these days to remember on their own when to have a service done. Have you tried a mileage-driven reminder program?
Also, you might want to look into the new "smartcards" which have a microchip imbedded in them with the customer/vehicle information and a package of savings built in that can only be redeemed at your dealership. It sort of "glues" the customer to your service department or else he forfeits all the savings on his card. One called LoyaltyCard is being marketed by Reynolds. There are bound to be others.
Steve
Also, you might want to look into the new "smartcards" which have a microchip imbedded in them with the customer/vehicle information and a package of savings built in that can only be redeemed at your dealership. It sort of "glues" the customer to your service department or else he forfeits all the savings on his card. One called LoyaltyCard is being marketed by Reynolds. There are bound to be others.
Steve
- SteveM
Customer Retention
by sallen1 » Fri May 26, 2000 9:11 am
George, this is one of my favorite subjects. It would help to know where you are and what kinds of cars you sell, so I'll give you some thought starters.
You have a tough question to answer because if it was easy, we'd be rich and not have to work so much...
The truth is, the solution depends on what your customers want (always the case). Have you asked any of them? Call your sales customers and ask what would get them to use you for maintenance stuff instead of going to an independant or other dealer.
On the acedemic side...
Look at the 5 P's of marketing: product, price, place promotion and people. You need a combination that is effective. What the heck am I talking about, you may ask?
The product you provide is parts AND 'service', i.e. brakes, oil, belts, etc. and the ability to properly install/repair. How's your quality, availabilty, etc.?
The price component you can make whatever you want, but supply and demand rules and you have to be competitive. Have you surveyed your competitors (including independants)?
Place is more of the convienience factor: it's a lot easier getting a lube job Saturday morning at the corner quick service joint than driving 10 miles to your store which might only be open M-Fr. How convenient is your service department?
For promotion, what type of 'advertising' are you doing? How does anyone know where you are and what you service? Eventhough the sales department tells purchasers how wonderful the service department is, the customers still need to be reminded.
Finally, it's people. Perhaps the only component that lets you charge a higher price, your people will make all the difference. Customers are fickle and even if something is 'free', it won't be used if your people are indifferent to the customer. And it's not just 'product' knowledge but how you handle the whole transaction from the advisor thru the cashier. How do you deal with screw-ups? Are you courteous, polite, happy, ready-to-help, etc? Or do you see customers and your employees as things that get in the way of the next weekend?
How do you measure up? You've got to ask both your customers AND employees.
If you have the best quality stuff (and people) at the lowest possible price, you should succeed, however, even mastering each of the five components does not dictate success and you have to keep trying. Remember, it's hard to hit a moving target.
scott
ps. The ever-popular warranty experience is the key to keeping your customers coming in for routine maintenance. If you don't make warranty the highest priority, why would the customer want to use you for maintenance?
You have a tough question to answer because if it was easy, we'd be rich and not have to work so much...
The truth is, the solution depends on what your customers want (always the case). Have you asked any of them? Call your sales customers and ask what would get them to use you for maintenance stuff instead of going to an independant or other dealer.
On the acedemic side...
Look at the 5 P's of marketing: product, price, place promotion and people. You need a combination that is effective. What the heck am I talking about, you may ask?
The product you provide is parts AND 'service', i.e. brakes, oil, belts, etc. and the ability to properly install/repair. How's your quality, availabilty, etc.?
The price component you can make whatever you want, but supply and demand rules and you have to be competitive. Have you surveyed your competitors (including independants)?
Place is more of the convienience factor: it's a lot easier getting a lube job Saturday morning at the corner quick service joint than driving 10 miles to your store which might only be open M-Fr. How convenient is your service department?
For promotion, what type of 'advertising' are you doing? How does anyone know where you are and what you service? Eventhough the sales department tells purchasers how wonderful the service department is, the customers still need to be reminded.
Finally, it's people. Perhaps the only component that lets you charge a higher price, your people will make all the difference. Customers are fickle and even if something is 'free', it won't be used if your people are indifferent to the customer. And it's not just 'product' knowledge but how you handle the whole transaction from the advisor thru the cashier. How do you deal with screw-ups? Are you courteous, polite, happy, ready-to-help, etc? Or do you see customers and your employees as things that get in the way of the next weekend?
How do you measure up? You've got to ask both your customers AND employees.
If you have the best quality stuff (and people) at the lowest possible price, you should succeed, however, even mastering each of the five components does not dictate success and you have to keep trying. Remember, it's hard to hit a moving target.
scott
ps. The ever-popular warranty experience is the key to keeping your customers coming in for routine maintenance. If you don't make warranty the highest priority, why would the customer want to use you for maintenance?
- sallen1
Customer Retention
by RPMGeorge » Wed Aug 02, 2000 7:49 am
some interesting Thoughts here. I did some research in the area of Outside Marketing Systems. We came acros a few with a wide spread of service as well as Price. Which are the companies you use and what are the results? Don't forgett at this point I am concentrating on getting the Service Departement up and running again. Any help would be appreciatet.
------------------
George Schmitz
------------------
George Schmitz
- RPMGeorge
Customer Retention
by mbowers » Wed Aug 02, 2000 10:55 am
Take a look at the My Dealer News section of this Web site for this week's issue of Dealer's Edge.
There is an article that addresses this subject based on suggestions from Lloyd Schiller.
There is an article that addresses this subject based on suggestions from Lloyd Schiller.
- mbowers
5 posts
• Page 1 of 1
Return to Dealers & General Managers
Who is online
Users browsing this forum: No registered users and 3 guests