Auto dealerships and consumers now have additional layer of transparency to safeguard them from making uninformed acquisitions

Laguna Hills, CA, June 10, 2020 — Recall Masters, Inc., the nation’s leading provider of automotive recall solutions, today announced a partnership with VettX, an automotive industry software provider that enables auto dealerships to easily access and acquire vehicles for sale by private parties. The VettX platform connects auto dealerships to a massive inventory of vehicles that would otherwise be time-consuming to locate and purchase and helps dealers scan this high potential private market. The new partnership with Recall Masters should make VettX market analysis data even more effective

“We’re extremely pleased to include VettX among our list of automotive industry clients who want to safeguard consumers from dangerous recalls while helping dealerships acquire assets with complete transparency. This partnership further assists Recall Masters in its mission to safeguard the industry and consumers from dangerous recalls that pose a threat to all drivers and passengers on the road,” stated Christopher Miller, Recall Masters CEO. “Recall status can be difficult to find, especially when acquiring vehicles from the private market. VettX can now detail recalls related to the specific VIN of the searched vehicle as part of its market analysis.”

VettX's auto dealers are trained to navigate a list of ready to purchase private party vehicles available in their local markets. Each dealer is provided with a list of ready to buy vehicles that have been fully vetted by the VettX team. Vetted vehicles include details regarding vehicle condition, pricing information, and any potential open recalls. VettX's call center then reaches out to each seller to ensure the vehicle is as they claim it to be and arranges for a dealership to purchase it. Armed with this information, dealers can make a quick, educated decision as to whether the vehicle makes business sense for them.

“Partnering with Recall Masters allows dealers to easily scan every vehicle VIN for sale in the private market and look for recalls. This information is vital to our dealership community who need to make quick decisions on whether to purchase a particular vehicle,” said Ryan Dietz, VettX CEO and Chief Technology Officer “This integration is extremely helpful because it adds a secondary layer of asset protection to assist the buyer, making us one of the first private automotive market software platforms to compile recall data into the market analysis. In an industry where vehicle valuation, speed-to-market processes, and razor-thin margins dictate success or failure, this partnership gives our customers a tremendous advantage in the marketplace,” Dietz added.

About VettX:

VettX offers an efficient way to source pre-owned inventory. Through its web-based software, clients have access to current private party vehicles available in proximity. VettX's intelligent software automatically books out the vehicle and provides market analysis, enabling dealerships to make a quick, educated decision on the price that should be paid for the vehicle based on projected profit. To learn more about VettX software or ongoing software training call 530.228.1722, email info@vettx.com or visit: www.vettx.io

About Recall Masters:

Recall Masters is the leading provider of automotive recall solutions, using data, technology, and communications to connect dealerships and manufacturers with owners of affected vehicles. The company is dedicated to helping automakers and their dealers expedite the repair of recalled vehicles, making the roadways safer for everyone. Greater recall awareness and proactive recall management help automakers protect their brand and build trusting relationships between automotive dealers, rental car agencies, auto auctions, auto industry affiliates, and consumers alike. Recall Masters is a privately held company based in Laguna Hills, CA. For more information, please call 888.651.4480, email info@recallmasters.com or visit www.recallmasters.com.

News has not exactly been great recently. And, I don’t know about you, but I welcome any good news that brightens my day in some way. For that reason, I loved a recent story a friend sent to me from the Charlotte Observer.

It is one thing to be involved in your community by hosting a blood drive or collecting holiday gifts for needy children (all worthwhile efforts, by the way) and quite another thing to go above and beyond these one-time or seasonal events.

What if someone needed a place to stay because they were homeless? Would you let them sleep inside your dealership at night? Let’s take it to the next level. Would you let them sleep inside a car that’s on your front line knowing that you may have customers looking at that and potentially wanting to buy it the next day? Probably not.

That, however, is exactly what one dealer has been doing since January. He now has over a dozen families that sleep in the cars on his lot nightly and expects that number to rise to 30 very quickly. The families arrive around 7:30 pm and leave by 7:30 am. Think about the quick work it must take for his staff to clean the cars every day to make sure that they are ready to show to a potential buyer. And they do this every… single… day. His community got wind of the news when he partnered with a local shelter to help, and locals have been donating food, supplies, and even a port-a-potty. The dealer also started a GoFundMe page to raise money to help get these families into stable homes.

While this certainly may not be for everyone, and perhaps not something you would do, I bring it up as it is so unusual and heartwarming. This act of kindness can only result in customer loyalty. Not only for those families he’s helped but also for members of the community. Could you imagine one of the families that he sheltered when they were down and out ever buying a car anyplace else once they are back on their feet? What about their families? And their family’s friends. And the local community that hears about his good deeds and joins in to help?

I’ve always believed that good deeds come back to you in the end. This dealer didn’t have to do any of this… but he did. This is community involvement to the extreme. My guess is that he would NEVER let any customer drive off his lot that wasn’t safe either.

And that’s just not being a business owner or a car dealer but being something even better… a human.

Partnership drives much-needed dealership service revenue by facilitating recall repairs at no cost to private-party vehicle sellers

Laguna Hills, CA, May 19, 2020 — Recall Masters, Inc., the nation’s leading provider of automotive recall solutions, today announced a partnership with Boost Acquisition, a data and technology developer that connects in-market vehicle sellers with potential buyers at online and franchise dealerships. With the inclusion of recall data, Boost Acquisition can now check for-sale-by-owner vehicles for unrepaired recalls, reach out to their owners, and schedule repair appointments with client dealerships. Recall repairs are at no cost to the vehicle owner as dealers work with the manufacturer for reimbursement.

“Franchise dealerships are currently searching for revenue and consumers are hesitant to spend. Boost Acquisition has a much-needed solution for both dealerships and vehicle owners. Millions of vehicles with dangerous recalls exchange hands every month, leaving unsuspecting vehicle shoppers in the dark, placing dealerships at risk for product liability lawsuits and forcing sellers to accept less-than-ideal vehicle valuation. Our partnership with Boost Acquisition closes that gap in knowledge,” explained Christopher Miller, CEO of Recall Masters. “They also go a step further by connecting vehicle owners with factory-authorized dealerships who can repair those vehicles at no cost to owners. We’re so proud to include Boost Acquisition among our impressive list of automotive industry clients who want to safeguard consumers from dangerous recalls,” Miller added.

The demand for used cars has dipped in the past few weeks due to shelter-in-place restrictions, requiring that owners attend to those recall repairs to get a more favorable selling price. With recall data integrated into its solution, Boost Acquisition can better serve both dealerships and consumers.

“The data Recall Masters provides helps us get these vehicle owners into the dealership at a customer acquisition rate not available through other means,” said Patrick J. Howell, CEO at Boost Acquisition. “Not only do dealerships see revenue from the factory for recall repairs, but the interaction with consumers is leading to additional service repairs and vehicle sales. It is not the original intent, but a pleasant byproduct of taking care of the customer during their moment of need. Our client dealerships are amazed at the results and the quality of the customer interactions. More importantly, these experiences are exactly what consumers are desperately searching for.”

Recall Masters provides recall solutions directly, and through strategic partnerships, to more than 3,000 dealerships nationwide. Also, two auto manufacturers, BMW of North America (BMWNA), and Mazda North American Operations (MNAO) are contracted with Recall Masters to assist with boosting recall completion rates for select dealerships in key US markets.

About Boost Acquisition:

Boost Acquisition provides for-sale-by-owner (FSBO) consumers with a consumer “hub” to offer a variety of services. Not only do we help these vehicle owners sell their vehicles, but we’re also scheduling recall repair services with factory-authorized service centers and facilitating new vehicle purchases by connecting them to franchise dealerships. Boost also provides dealerships with an online marketplace where they can make offers on FSBO vehicles for sale. Offer prices are enhanced by utilizing information on open recall values (service and parts). In short, a vehicle is more valuable to the dealer if it has a serviceable open recall. Dealerships can also convert FSBO consumers to a new vehicle transaction. To learn more about Boost Acquisition, please call 858.829.9488, email info@boostacquisition.com or visit www.boostacquisition.com.

About Recall Masters:

Recall Masters is the leading provider of automotive recall solutions, using data, technology, and communications to connect dealerships and manufacturers with owners of affected vehicles. The company is dedicated to helping automakers and their dealers expedite the repair of recalled vehicles, making the roadways safer for everyone. Greater recall awareness and proactive recall management help automakers protect their brand and build trusting relationships between automotive dealers, rental car agencies, auto auctions, auto industry affiliates, and consumers alike. Recall Masters is a privately-held company based in Laguna Hills, CA. For more information, please call 888.651.4480, email info@recallmasters.com or visit www.recallmasters.com.

Dan Beres explains why dealers should follow in the footsteps of OEMs and increase service revenue with mobile repair units. 

In my last blog, I shared some tips about how dealerships can help protect customers and staff in their service departments during this challenging time. In addition to having the precautions in place, it is important to know how to correctly communicate to your customers (or prospective customers with safety recalls) about these safety measures and the importance of completing any needed recall work.

Consumers are venturing outside for some essential tasks such as trips to the grocery store, traveling to assist a family member, or to their place of work as an essential worker. They still need the use of their vehicle and, if it has an outstanding safety recall, it could inhibit them from doing these essential tasks or place them in danger.

Here are some tips we have found to be successful for service departments at this time.

This data needs to be communicated to your customers correctly. Display this data prominently on the service section of your website and in your service advertising. Also, use it in your emails, texts, and phone calls.

1. 1. Communicate that your service department is legally open and ready to service them

First, let your customers know that your service department is considered an essential business and you are open and ready to service them. They may not even know this.

1. 2. State the safety measures you are taking in all your communications

Tell your customers that their well-being and safety are your top priority, especially during this challenging time. That you understand their vehicle is a vital link to critical health services, medication, and groceries. As such, you are committed to remaining open to offer expedient and safe vehicle servicing and maintenance.

Reassure your customers that to protect them you are adhering to all CDC guidelines and offering additional vehicle disinfection at vehicle drop-off and return. These added measures, which will come at NO COST, are in place during the COVID-19 outbreak to ensure their health and peace of mind.

1. 3. Develop a COVID Action Plan offered free to customers to make them feel safe

I also recommend that you offer something along the lines of a “COVID-19 Action Plan: FREE to all Service Customers.” Several service departments are using this to great success.

They generally include such things as:

* Your vehicle safely returned to you, disinfected before and after service

* Pickup and delivery to your home and office is available within a 15-mile radius. Services available during operating hours.

* For consumers who prefer to drop off/pick up at the dealership, strict social distancing observed in our service drive

* For extended repairs, a disinfected loaner car will be made available

1. 4. Correctly communicate the additional threat of unrepaired recalls

Let your customers know that unfortunately, the coronavirus is not the only threat in the world. More than 1 in 4 vehicles on the road today have an unrepaired safety recall, a government-mandated warning intended to safeguard consumers. If you have a recall check tool on your site, be sure to include a link to it in your texts and emails and make sure it is easy to find on your site. Urge your customers to attend to the recall as soon as possible.

1. 5. Inform your customers of the future increase in parts shortage

Communicate to your customers that you expect a disruption in the global supply chain to cause a parts shortage. It is a real possibility that in 3 months replacement parts will not be available. Advise them to please take immediate action. Again, state that all recall repairs and disinfection come at NO COST. This isn't a marketing ploy – it's a very real scenario that will likely play out, especially with imported parts.

1. 6. Offer a discount to help with expenses

Finances can be tough right now, so to assist with expenses, consider offering a discount such as a $50 dealer services gift card. The gift card can be applied to any additional services or parts.

1. 7. Contact information and hours are important

Include all methods of contact for your service department and your hours. You would be wise to add online scheduling, if you do not already have it, and include a link for ease of scheduling.

1. 8. Charities need help now more than ever and charitable messages can help too

If you are doing anything right now to support your local community include that and encourage your customers to help with a message such as, “It is times like this that bring the best out in all of us. ABC Dealer is a proud sponsor of the Give Back to ABC Community Outreach program, which provides meals and services to seniors in our community. If you would like to help or contribute, please visit www.SomeTownshipHelp.com/coronavirus.”

With 33 states prohibiting the sales of vehicles in some form, now is the time to reach out to consumers for service work. Many dealerships have traditionally under-marketed their service departments, even though they account for the majority of income.

Safety is on every consumer’s mind right now. Communicating the message of safety for both their vehicle and general health and well-being can help your dealership gain much-needed service revenue. It can also encourage new service customers that will continue to return once this immediate crisis is over. And it is important right now to also plan for the future.

The Coronavirus is disrupting businesses across the globe and its full impact is yet to be seen. Dealers have been contacting us to see if we have any advice as far as what can be done in their service departments to limit any risk both to employees and customers.

The following are a few simple suggestions that can help minimize workplace exposure to the Coronavirus (COVID-19) for your employees and customers. It's important to note that, due to a lack of widespread testing and the absence of physical symptoms in many individuals infected with the virus, you need to proceed with the understanding that every interaction can present a risk. When you operate with an abundance of caution, you not only greatly reduce the likelihood of exposure, you also send a reassuring message to consumers and your dealership staff. 

1. 1. Send Your Sick Staff Home: Again, you may not even be aware that someone (consumer or employee) is infected with the Coronavirus. However, when symptoms are present do not allow sick employees on the premises. Most CRM programs can be accessed from mobile phones and home computers. So, if they are not too sick to work, employees can still call, email and text your customers and set up appointments without being at the dealership itself.

1. 2. Clean! Clean! Clean! Place a major priority on cleanliness: Before consumers will feel confident about visiting your store, it is vital to ensure all areas where consumers interact with you and other customers are free of potential exposure to the virus. Normally janitorial staff shuffles around after hours. However, it’s a good idea to have them sanitizing during business hours as well. Let your customers see you are making sanitation a priority. Also, have a liberal supply of hand sanitizer available in all public areas for employee and customer use. This is not a paid sponsorship post, but you may also want to take a look at biopledge.com.

1. 3. No More Waiting: While the CDC has announced that public gatherings present a threat to exposure, no consumer wants to sit in your waiting room. During the appointment scheduling process, while on the phone, offer customers the option to drop their vehicle off rather than having them wait around at the dealership.

1. 4. Expedite Vehicle Drop Off/Pick Up and Limit Customer Exposure – Find ways to have your service department promptly check-in cars in the service drive and get customers on their way with just a single-point interaction. The same goes for vehicle pick up when the service is complete.  All staff should wear gloves and use disinfectant wipes to clean service lane tablet screens, POS machines and any other equipment that your customers or staff use.

1. 5. Wipe Down Your Loaners/Shuttles Often: Ensure that your customers are confident that your vehicles are clean and sanitary and have confidence in the cleanliness practices of your shuttle drivers. Customers can be afraid to let anyone touch their car or climb inside an Uber or dealer shuttle. It's panic mode out there, so understand that even pick up/delivery isn't going to be a slam dunk. A lot of dealers are looking at BioPledge, an odorless, residue-less car interior fogger that kills bacteria and offers a 3-month barrier to protect. Dealers can use this at pick up to show the consumer they are protected for the next few months. Much faster than wiping down the car too. The cost is $15 per application.

1. 6. Mobile Service/Vehicle Pick-Up Services: Many consumers are worried to step out of their homes. So, if you have the resources, you would be wise to consider going to them with a pickup and delivery service and then the customer does not even have to leave their home.

1. 7. Service Confirmation/Missed Appointment Call Scripts: Does your staff know what to say to instill confidence in the safety and cleanliness of your dealership? Or what to say to a customer who has missed their scheduled appointment? You would be wise to put some talk tracks together.

1. 8. Vehicle Wipe Down: To protect employees, the vehicle should be immediately wiped down before servicing, reducing the chance of exposure. Once serviced, the vehicle needs to be cleaned inside and out once again. Are you using disinfectant wipes to clean up? It is important to reassure consumers at every opportunity that you have practices in place to ensure their vehicle will not be infected. Also, consider BioPledge, as mentioned above.

1. 9. Home Delivery & Test Drive: This is more on the sales side. But, if you want to sell cars, you might have to perform the test drive at the consumer's front door. Why not get a jump on the competition by taking the whole process to them.

Follow CDC Guidelines for Business Operations: Visit the CDC site (click here) for guidance on how to prevent workplace exposure to acute respiratory illnesses, including COVID-19, in non-healthcare settings.

Stay Up to Speed on Coronavirus Updates:  Rather than receive misleading information, consult the CDC's official site and official coronavirus updates (click here).

To your success in these difficult times!

The problem of how to increase recall completion rates has been a thorn in the side of both manufacturers and dealers for quite some time. Despite numerous attempts from several sources, a majority of consumers fail to pay attention to any notification because they discard the mailers, discount the severity of the recall or simply don’t have the time needed to visit the dealership in order to complete the repair.

Procrastination and lack of convenience are both huge factors that prevent consumers from getting the repair done. And that is just the vehicle owners that we know of. Add to this the huge amount of second and third generation owners that never get notified by the manufacturer and that is a whole other problem.

Well, perhaps there is good news on the horizon. Several manufacturers plan to implement software capabilities in new vehicle models which allow over-the-air (OTA) updates. In some cases, especially software-related recalls, consumers won’t have to do anything. Similar to how computers and smartphones update automatically, vehicles will soon have a similar process. Vehicles equipped with this technology could make software-related recall completion percentages a number that is unheard of – 100%!

According to an article in Automotive News, three automakers will adopt and install OTA update technology into their new and refreshed model vehicles. While, initially, these OTAs will be limited to vehicle infotainment systems, these automakers plan to extend updates to include recalls for safety-critical issues. Tesla has been doing this since its inception, so the technology exists. In fact, in the spirit of advancing vehicle technology, Tesla recently released all its patents, making them open-source for anyone to use

Assuming that manufacturers adopt OTA abilities in their vehicles, consumers will benefit in that they will no longer have to visit the dealership for software-related recall repairs. Imagine if you had to take your laptop into the Apple store to get software updates, that would be a major inconvenience.

Of course, this consumer convenience comes at a price for dealers – namely fewer opportunities to identify and/or sell additional repairs to customers. However, there will still be plenty of recall and other repairs that aren’t simple software updates, so dealers will still have opportunities… just not as many.

To prepare for the future, dealers would be wise to take a look at how they can provide even better service and build a higher level of trust with their customers at a faster pace in order to keep consumers coming in for regular maintenance.

As time goes on, it is inevitable that technology will increase. But there’s always a silver lining. So, start building those relationships now to be well prepared for any future. As solely focusing on the “now” tends to only last until “later” becomes a disruption in revenue.

Recall Masters' Dan Beres, Managing Partner, presents the State of Recalls at NADA 2020.

Consumers are notoriously difficult to reach when it comes to safety, needed repairs and attending to recalls. OEM and dealer methods include everything from phone calls, to text messages and direct mail. However, far too frequently, these notifications end up in the trash and are ignored.

Perhaps there is a new way to communicate with these customers, especially those second and third-generation owners. And that is social media.

While almost every dealer utilizes social media as a sales tool, many don't want to use it as a platform to educate consumers about recalls for fear they will shy away from the message and head over to the competition. Newsflash – no brand is free of recalls and dealers are missing the opportunity to deliver a message about safety through social media.

Billions of consumers all over the world use one social media platform or another, making it easier than ever to get in front of consumers with your message. In fact, one manufacturer has jumped on the opportunity and joined this new era of transparency, with great success. A recent article in Automotive News reports that at one of the premier consumer auto events of the year, the New York Auto Show, Honda featured a Civic which crashed during official testing. Honda also encouraged current owners to share their personal stories on social media. By no means is this a strategy OEMs traditionally use at these events, which are well attended by both the public and major media outlets. However, consumers applauded Honda for their efforts, sharing their stories with Honda and, by default, the world, to positive response.

Perhaps social media is something dealers should use to inform and educate their customers about recalls which could then lead to building trust with your community and, as a result, an increase in service revenue. Of course, I entirely understand many dealers’ hesitations to publicize faults and problems by announcing to consumers that their vehicles have some issues.

But think about all the manufacturers who had problems with Takata airbags. This wasn't a manufacturer or dealer issue. Instead, Takata was the premier (and majority) supplier of airbags for most manufacturers. When the avalanche of recalls came to light, many manufacturers decided to become more transparent in other areas. And consumers forgave them.

If you inform consumers about recalls over social media, you can establish trust with your consumers and open the lines of communication. It can be an excellent opportunity to gain more customers from consumers who run across your informative recall postings. I don't believe it will hurt sales, but rather increase consumer confidence in the dealership.

Take the recent example from Honda and consider adopting a new social strategy. In the end, it can help communicate vital information to consumers and illustrate that you are you willing to talk the talk, but also ready to walk the walk. And that goes a long way to building trust and securing loyalty.

In search of service revenue, dealerships turn to randomly scheduling service appointments regardless of shop capacity. Or they take everyone that drives up. This can easily overwhelm the service department. It leaves customers frustrated and causes a LOSS in service revenue from both new/drive-up customers and customers with appointments.

How many times have you heard about the customer that made an appointment for a quick service who had to wait hours for an oil change? Or the regular customer who showed up and nobody knew about their appointment? So, they also suffered a long wait. This can be quite maddening and can drive your most loyal customers to the independents.

The truth is, consumers would prefer to service with the dealership. A July 2019 survey of 16,000 consumers revealed that 3 out of 4 consumers would prefer to service at a franchised dealership even after their warranty expires. So, if they perceive dealerships as their destination of choice, why are franchised dealers losing loyal customers to independents? The answer to that question is tied to convenience. Consumers are tighter on time. For some, it’s about cost, but almost all consumers are pinched for time more than cash.

And, if you allow someone to cut in line, that is how your scheduled customers will view those who pull up unannounced. Ideally, the number of cars coming into the service department should be the number that it can support efficiently. However, many Service Advisors take all comers, even if they are overbooked with appointments and service pending from existing vehicles. What happens then? Traffic jams.

According to an article in Digital Dealer, the top 20% of a dealership’s customers account for 79% of its profits. And, by replacing just half of the bottom 20% with customers similar to the top 20%, a dealership can increase its profit by 40%!

It may be worth taking a look at the cost of overbooking and going beyond your shop capacity. Perhaps a better idea is to focus on efficiently completing existing work, even if that means turning away drive-ins. Yes, that’s hard to do. But, in the end, if you are transparent with a “walk-in” and explain you are turning them away for their convenience, you can win them over. You can also offer an incentive for returning with an appointment or rescheduling for a more convenient time. Then you stand a better chance of retaining a customer, keeping them happy, and continuing to earn their business. 

If you do not want to, or can’t afford to invest in expanding facilities, there are many solutions available that can help maximize your shop while keeping customers satisfied. They may also be worth investigating.