DealersEdge Professional Forums

looking to get into fleet service due to the slow down of customer pay and warranty work. anyone have tips or things that have work. What type of labor rate are you using. has any one gotten into SBC Ameritech phone company or other large fleets ?

I tried that once with moderate success. I hired a gal to go out to surrounding business and fleet accounts. I had her get a minimum of 5 VIN's from the same company to get the "fleet" discount. If the account was a true fleet, we picked up and dropped off. We were surprised by the amount of non-fleet (personal use) Honda's we got. We hit companies like the local phone company and talked with there HR department about posting the offer in their lunchroom. It worked well enough for a year or so. I moved on at but I think that gal went on to advising, etc. It can work if you are willing to put a few bucks up front. You have to make sure these aren't customers of yours already so try out of your area or the fringe between another market share.
Mark

BEFORE GOING AFTER FLEET BUSINESS, I WOULD SUGGEST CONSIDERING A FEW ISSUES FIRST:

CAN YOU HANDLE THE VOLUME? WITH FLEETS YOU WILL HAVE TO SCEDULE VERY CAREFULLY, BECAUSE FLEET VEHICLES DOWN ARE DOLLARS LOST TO THE FLEET CUSTOMER. THEY WILL NOT ACCEPT "WE ARE OVERLOADED WITH RETAIL CUSTOMERS TODAY". IF THEIR VEHICLES, ESPECIALLY TRUCKS, ARE NOT MOVING, THEY ARE NOT MAKING MONEY.

WILL YOU BE ABLE TO TURN A PROFIT? IF YOU HAVE TO PICK UP AND DELIVERY THE VEHICLES, THIS COST MUST BE CALCULATED INTO PRICING. IF YOU ARE DOING HEAVY DISCOUNTING TO GET THE BUSINESS, YOUR GROSS AND NET MAY NOT BE WORTH THE AGGRAVATION.

CAN WE DELIVER WHAT WE PROMISE? IF YOU ARE GOING AFTER FLEET SERVICE ON VEHICLES YOU HAVE SOLD, BUT DO NOT SERVICE, GETTING THE ACCOUNT AND NOT DELIVERING WHAT YOU PROMISE MAY COST FUTURE VEHICLE SALES.

IF YOU CAN DO THESE THINGS, AND DO THEM WELL, YOU WILL BUILD A LOYAL CUSTOMER, BECAUSE PROPERLY RUNNING FLEET VEHICLES MAKE MONEY, AND THE PRICE THEY PAY YOU IS PASSED ON TO THEIR CONSUMER, JUST LIKE RECON COSTS ARE PASSED ON TO SALES CUSTOMERS.

Sheri is 100% correct.

There is a world of difference when I installed heavy truck dealers VS car dealers.
A truck in the shop can mean thousands of dollars per hour in lost revenue for the business that owns that truck.

Understand the above and you'll have a great relationship. Managing their preventive maintenance (PM) schedules and you'll have a partner for life.