Service departments can generate more than $500 per repair order on these customers.
Irvine, CA (PRWEB) February 06, 2013
AutoAlert, Inc., a technology and training company helping auto dealers identify and capture existing but unrecognized business opportunities, today shared how dealership service departments can dramatically boost repair order profitability.
The company will discuss compelling dealership service and sales strategies at NADA 2013 in Orlando, Feb. 8 to 11, at Booth #1407.
“It is not unusual for dealership service departments using this strategy to confirm 30 or more service appointments a month from their existing customer base,” said AutoAlert CEO Boyd Warner. “Many service departments are generating more than $500 per repair order on these customers, and based on units in operation, some dealers are reporting additional service sales of more than $60,000 a month.
Warner said service directors who are able to boost parts and labor sales from existing service customers insure the following:
- Prize their database: These managers recognize that their customer database is a deep mine of additional business and profitability. As such, they probe and massage the data to filter out customers most likely to respond to targeted service marketing. Specifically, they look for owners of high-mileage vehicles; for models aged beyond their warranty years; and for vehicles having spotty maintenance service records or those who haven’t been in for many months.
- Value their telephone: In this age of electronic communication, a simple phone call seems rather quaint, yet remains selling’s best friend. Only when speaking to customers by phone are the powers of tone, inflection, pause and objection handling most effective and productive. Service managers who understand this advantage are quick to realize the power of a well thought-out call.
- Depend on a script: When working from a well-crafted, customer-centric script or talking track your cashiers, warranty administrators, and even service advisors who like to talk by phone can turn infrequent service customers into profitable repair orders. A well-crafted script helps callers guide your customers along the intended line of conversation. To be most effective, they should communicate without using stereotypical car-dealer comments that will turn off these opportunities, and they can handle customer objectives constructively and winningly. The proper script helps address the customers’ unspoken needs: your dealership wants to help maximize their fuel mileage; insure that their vehicle is safe and operationally sound; help them maximize their warranty and insure state and federal emissions compliance.
- Entice a positive response: While a properly worded and delivered script helps generate “yes” responses, many dealers also offer these targeted customers special parts pricing and labor rates to help reinforce the decision to come in. We have seen OEMs offer second-tier parts pricing, which insures dealership pricing on par with aftermarket pricing. Consider combining more competitively priced parts with special “welcome back” labor pricing to offer a one-two punch. This can draw active customers back into the shop more frequently and often engages reluctant customers you haven’t seen in some time.
For more information, contact Nathan Warner, Director of Marketing at 949-398-7008 or email Nathan@autoalert.com or visit http://www.autoalert.com