Automotive Copywriter
Make Your Menu Prices an Asset
A McKinsey Insights article titled “Driving the Automotive Customer Experience Toward the Age of Mobility” explores the shift in demographics for the automotive industry. In the article, they suggest that millennials will become 45 percent of the customer base in automotive by 2025. That’s just six years away.
What we know about the millennial generation is that their shopping patterns and expectations are different than previous generations. They expect transparency more than any other generation, and they expect a connected, easy to navigate online experience. Information needs to be readily available or they’ll turn on their heel and choose someone else.
How does that affect service departments? With nearly half your potential customer base at stake, you’ll need to embrace millennial expectations, particularly where service pricing is concerned. Specifically, your menu prices should be front and center.
Build Customer Trust
The values that millennials expect aren’t new, they’re just exacerbated. All customers will benefit from intentional transparency and menu prices that emphasize value and while highlighting OEM advantages and amenities. It builds trust with your customers.
What happens when customers trust you? Sales folks know this well – they open their wallets. They do so because you aren’t trying to sell them on a service or product but because they perceive that you’re helping them.
So, how can you help your customers trust you through your menu pricing?
Consistent Delivery Across Platforms and Media
When you’re establishing your service department’s online presence and advertising through a wide range of old and new media, deliver a consistent message. Use similarly worded and styled ads whether on social media, snail mail flyers, TV ads, or anywhere else you know your customers will see it.
Dealers, there should be a fair slice of the budget dedicated to service advertising. We know that it’s easier and cheaper to convert a service customer to a new car buyer than to attract a new sales prospect. Don’t miss this. It’s a huge opportunity that many dealers still haven’t caught onto.
Highlight Promotions
Service promotions are usually a steeply discounted loss leader to attract customers during slow times. It doesn’t have to be that way. Your promotions can be very minimally discounted – or not at all – and your services emphasized instead.
Once you’ve set your promotion, get the message out with your consistent delivery methods. Tell your current and potential customers why your store is the best choice for them, regardless of price.
Remember this about deep discounts: the lowest price at which a customer has paid for a service is now their perceived value. Trying to raise the price makes them think you’re overcharging. Keep discounts of any kind minimal.
Use Menu Pricing as a Sales Tool!
Have you ever considered using your service menu pricing as a sales tool? Think about this scenario:
A millennial shopper (or it could be any shopper, really) has settled on a make and model you sell. They’re either sitting in front of you after a test drive, or possibly you’re still talking back and forth online. Sure, you could drop your pants on the price to try to secure the sale, but what’s to say another dealer won’t undercut you on price? But you can change the conversation. Let the shopper know all the reasons they should choose your dealership, not your car. Bring up your online service menu prices that show competitive comparisons with local providers, a service InteliChek can help you with. Demonstrate that you have amenities others don’t have, your prices are comparable or better than the competition, and they’ll have the advantage of dealing with the OEM.
As a tool in a good salesperson’s hands, menu pricing can change the conversation away from sales price and build trust with the customer.
The bottom line: customers of every generation want to trust the people and companies they deal with. By making your service menu pricing consistent, making it easily available, and using it for more than just selling service, it will benefit your dealership and build trust.
Automotive Copywriter
Why Fixed Ops Managers Need to Experience DSES
More emphasis has been put on the service and parts departments recently than ever before. While there have been huge strides forward, it seems like fixed ops management is expected to have answers for every problem from the moment they take the hot seat.
It’s different for sales management, GSMs and dealer principals. The variable side is fluid and ever-changing, requiring continuous personal and corporate learning. The bulk of attendees to automotive retail training and seminars like DrivingSales Executive Summit is from this group.
But I’d contend that fixed operations managers, especially service managers, would benefit even more from attending DSES.
Ongoing Improvement
The service and parts departments have more cogs turning at any time than most people – even other dealership staff – usually think. It’s commonly thought that it will just keep earning, no matter what happens locally, nationally, or globally.
Things change more than most people expect in the service and parts departments. It can include:
- Best practices for customer contact methods. Phone has given way to email, and text messaging is on the rise.
- Equipment improvements. The latest technology for parts department organization, shop tools, and CRM management are evolving quickly.
- Management techniques. You can’t deal with your staff today as you would’ve in the eighties.
Status quo on these issues will have your service and parts departments eating the competition’s dust. Sessions from keynote speakers and breakout sessions on specialized topics will help fixed operations managers keep their head and their department in the game.
It’s Like Reading the News
It used to be black-and-white newsprint was the way to stay in touch with current business trends and new tech. Today, that can be done online in many ways, but it’s even better in person.
While there are automotive publications available specifically for fixed operations like Fixed Ops Magazine, the content is both advertorial and sales driven. Sure, there’s an aspect of that at DSES but that’s outweighed by the thought leadership and innovation that you’re exposed to.
It’s Invigorating
AutoBahn Academy reports that 9 out of 10 leads from your websites are new potential customers, and poses the question: “Do you ever tell them why they should buy from you other than price?”
On customer retention, the Cox Automotive 2018 Service Industry Study reports that 74 percent of those who returned for service within the past 12 months are likely to return to the dealership of purchase for their next new vehicle versus 35 percent of those who did not return for service in the past 12 months.
Think With Google reports in their 2017 Fixed Ops Study that more than 40 percent of auto service shoppers need reactive versus routine maintenance.
These statistics begin to develop thoughts and mental processes that can drive fixed ops managers to excel in the coming year. Should they focus more on advertising the benefits of servicing at the dealership versus matching prices? Maybe driving hard toward higher customer retention should be the target. And perhaps customer education on the importance of routine maintenance versus fixing problems can both lower cost of ownership and improve the customer’s trust in your dealership.
But engaging with people and companies that specialize in the automotive industry, fixed ops management are invigorated with new ideas and better processes that can drastically improve culture, satisfaction, and revenue.
It’s a fantastic idea for sales management to attend the DrivingSales Executive Summit, no question. But service and parts managers also belong at the event!
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Automotive Copywriter
Add Service Value with Dealer Amenities
The 2018 Cox Automotive Car Buyer Journey reveals that about 77 percent of a dealership’s service customers think they’re being overcharged. That research is substantiated with high defection rates – car buyers who decide to service their vehicles elsewhere after the sale. But this research is only based on the customer’s perception, not reality.
InteliChek asked focus groups of various demographics a similar question about service costs. All groups had the same result: they believe dealerships charge double what you’d pay at an aftermarket service provider.
The Perception is Dealers Charge More
Customers believe franchised dealers are overpriced for services, and that’s without comparing price. What’s also true is that customers are willing to spend 15 to 20 percent more at the dealership based on the expertise and amenities you have. You can demonstrate your competitive pricing in ads or in the store but that’s only effective if you have the amenities to back it up.
What Dealer Amenities to Focus On
In your service promotional material, both online, in print, and in-store, you should be making an effort to differentiate your service department offerings from competitors. These are the factors that will reinforce value in the customers, drawing them in to be pleasantly surprised that they aren’t paying double.
Loaner Vehicles
A massive plus for dealerships is a fleet of service loaner cars. Many manufacturers offer loaners for warranty repairs, but what about CP services? A fleet of loaner cars relative to your department size is an investment you can’t afford NOT to make.
Another low-cost transportation option that’s increasing in popularity is loaner bicycles, especially for the conscientious millennial generation.
Loaners are an amenity that aftermarkets can rarely afford. Work that angle to your advantage.
Free Detailing
It might not seem like much to you, but car owners love a clean car! If you can wash cars in for service consistently, customers will love you for it. It saves them time and money from making a visit to a car wash, even if they’re paying a bit more for their services.
Complimentary Multi-Point Inspections
Not only are multi-point inspections huge benefit for adding service sales but they add peace of mind for the customer. It shouldn’t be understated – MPIs are arguably the most important tool in a service department’s chest. When it’s deliberately stated as complimentary on the RO, customers take notice.
Refreshments
Everyone offers coffee and water. Additional refreshments make the customer’s experience even more comfortable. Whether it’s juice to refill sippy cups for your next generation of customers or pastries for early birds that rushed out the door, providing a snack and a few beverage options is a nice touch.
Kids Play Area
Parents worry what they’ll do with their kids when they come in for service. If you have a play area with safe toys and age-appropriate TV shows, it’s a hit for parents.
Well-Kept Waiting Room
How your waiting room is kept is just as important as what it contains. The customer perception is that you treat their vehicle the same way you treat your facilities. That means spotless washrooms, a tidy, organized customer lounge, and modern equipment are the expectation.
Remember, the amenities you offer are meant to improve the customer experience, adding value for your customers. You can charge up to 20 percent more for services in most cases as long as you give your customers more value than lower-priced competitors.
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Automotive Copywriter
Upselling Poll Shows 1 in 3 Customers Buys Additional Services
Fixed Ops Journal teamed up with DealerRater in April 2019 to ask customers a question:
“The last time you took your vehicle to the dealership for service, did you buy additional work that the service adviser recommended?”
That’s a pretty simple question, right? Of the 11,456 respondents, 31 percent of mass-market vehicle owners and 33 percent of luxury vehicle owners said that they had. It shows that more than two-thirds of those asked refused additional work.
The poll as it’s reported leaves me asking more questions. Are customers who weren’t asked to purchase an upsell excluded from the survey, and how do customers qualify the term ‘additional work’?
Forgive me if I seem skeptical of a rather subjective poll that seems open for interpretation by respondents. Perhaps the researchers didn’t want to ask leading questions, but the statistics appear to paint a picture of apprehensive customers unwilling to bite on upsells that aren’t required work. I have a different takeaway than their image of advisors who peddle extra work on customers for profit.
Not Every Service Visit Requires an Upsell
I’d venture to say that most dealerships have service BDCs that are well trained in booking appointments according to maintenance schedules. They’re also checking their previous history to recommend refused work and are asking questions to ensure all of the customer’s concerns are listed on the work order.
Not every appointment is incomplete anymore. Advisors might have a multi-line RO that covers all the bases. It’s an ideal situation from a service advisor’s standpoint when you don’t need to upsell to every customer. And it’s because service departments are doing a better job before the customer arrives in the service drive.
Good Advisors Don’t Seem Like They’re Upselling
Mr. Jones receives a text message stating, “The pre-trip inspection that you’ve asked us to do found a couple of relatively minor things that need attention. Your front brakes are at 10 percent remaining and there’s a small coolant leak. I imagine you’d like to address these while it’s here? I’ll text you a quote right away.”
It’s asking for the sale, but the customer may not see it as additional work. If the advisor can phrase the conversation so the customer takes ownership of the service visit, it doesn’t seem like an upsell. And that can skew responses to an ambiguous question about additional work.
The Better Metrics
Rather than looking at how frequently a customer thinks they’ve been upsold, there are better metrics to determine your advisors’ success.
- Multiline ROs. Want to know if your advisors are growing in their sales techniques and recommending maintenance and repairs other than the requested oil change? Look at the average number of lines on work orders. This metric alone doesn’t tell the whole story because there can be $0 lines, but it should trend higher for more experienced service staff.
- Average $$ per RO. In conjunction with multiple lines, you should be able to see improvement in the average dollars per RO. From the store’s position, you’d like this number as high as possible along with an ELR as close to door rate as possible.
- Customer satisfaction. Here’s the overarching standard by which to measure your advisors. If customers are happy and are returning, your advisors are doing a great job. That means they’ve been treated well, and their cars are serviced to their satisfaction.
Recommending additional maintenance and repairs is an important part of a service advisor’s role. Keep an eye on more than just that one statistic – additional work – to determine how well your team members are performing.
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Automotive Copywriter
Make the Customer Experience an Advantage
Ask anyone which is more important, customer service or price, and you’ll get a consistent answer: both. In order to have the opportunity to serve the customer, you have to be priced competitively. But once they’ve arrived at your store, the customer experience isn’t just a good thing.
CX is everything.
Research from global consulting firm, Stax, reports that price is the driving factor for only 18 percent of purchasing decisions. That means everything else – the dealership amenities, comfort, peace of mind, customer treatment, friendliness, brand-based knowledge, transparency, honesty – is collectively more important than the number at the bottom of the invoice.
Consider you own choices. A quick lube shop at the street corner may have to do in a time crunch. But while they’re working on your oil change, you’re either a prisoner in your own car or in an uncomfortable plastic chair flipping through a Reader’s Digest from 1994. A grimy coffee pot and CNN news coverage might be on as you try not to lock eyes with the shop manager at their keyboard three steps away.
But the dealership? You pull into the bright, clean service drive where a seat cover and floor mat are put in your car. Neatly-dressed service advisors greet you, walk around your car with you, and discuss your service needs. You’re either shuttled away or you have a seat in their air-conditioned/heated customer lounge for a cup of coffee and free Wi-Fi or browse the selection of new cars in the showroom. If you have work to do, you plug into the complimentary work station and plunk away on your keyboard until YouTube takes you down a rabbit trail.
When your car is done, the importance of customer experience shows up again. A credit card machine handed through your window at the quick lube shop versus a personal invoice walkthrough with the service advisor.
Customers Want the Experience!
Everyone loves to be treated well. It makes us feel good inside. At the dealership, you have an advantage in CX that you should be exploiting. Your dealership has:
- Professionally trained front end staff to greet customers
- Knowledgeable service advisors to write up their work orders and communicate with customers.
- Factory-trained technicians that have brand-specific knowledge no one else has.
- Receptionists, lot attendants, detailers, and others to make their experience even better.
These people are a distinct advantage for your store. They make sure every customer has a consistent, fantastic visit in your dealership. That does wonders for reviews, referrals, and repeat visits.
But more importantly, it’s what it does for the subconscious. A wonderful experience the first time around becomes an expectation. It’s peace of mind. And that’s what keeps a customer coming back time after time.
Apply Customer-Centric Training
Every dealership does it in some form already, yet skills for interacting with customers and tailoring their experience to them can always be more intentional and thorough. Focus on training that emphasizes listening to the customer and understanding their underlying concerns as well as sessions that build job skills to make the customer experience flawless. That may be phone skills, computer training, DMS training, or conflict resolution training.
In addition, keep your facility in pristine condition. CX depends heavily on perception. How you treat the customer and your facility is how they expect you’ll be treating their car!
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Automotive Copywriter
Leverage Service Knowledge in Social Media
A simple Google search for dealership social media ideas gives you a snapshot into things dealerships think about customers. One after another, all the ideas revolve around creative ways to show vehicle features, equipment, and benefits. That’s great… if the reader is in the search for a new vehicle.
But what’s noticeably missing in social media strategies for car dealers – at least, the ones I’ve seen in my feeds – is the service department.
Assuming a car owner buys a vehicle every five to six years on average, there’s a period of YEARS where those posts are of no interest at all. But the service department? They’ll need to visit someone for service twice a year or more. Shouldn’t those profitable visits during ownership get some traction?
Abysmal Defection Rates
There’s no arguing defection rates at car dealerships. Anywhere from 50 to 67 percent of car buyers choose not to service at the dealership after warranty is over, and many while warranty is still in effect. It’s not just possible but likely that a segment of those owners could be retained simply due to service-related posts in a dealer’s social media presence.
Social Media Ideas for Service
Broad advertising for service hours on the Twitter machine or Facebook is fine from time to time, but there’s not much value you can add in that alone. These ideas can bring much more traction to your social media followers.
Why Services are Required
Readers eat up informative posts regarding automotive services. Remember, most car owners know only basic maintenance like oil changes and tire rotations. They don’t understand why brake fluid needs to be changed or why an alignment should be done as maintenance. Include a couple benefits, the time it takes to perform the service, and the cost.
Service Deals
Looking to boost business in a certain department? Maybe you have a 4-for-3 tire deal, an alignment special, or you want your customers to know you now offer full vehicle detailing. Put these posts in front of your customers’ eyes on social media with a link to your online appointment scheduler.
How-To Videos
Honestly, no one wants to pay $39.95 in labor to change their cabin air filter. For services that a customer can perform on their own with just a little know-how, post a video, made in-house, so they can do it themselves. Also post how much you charge if they prefer the professionals do it. You’ll have two reactions: customers who buy the parts and do it themselves, or customers who come to you because they couldn’t be bothered.
Staff Features
People love people. Feature one of your service advisors, service administration, technicians, and even your management in a social media post. Give a quick profile on how long they’ve been with you, their interests, favorite food, and what they drive.
Common Faults to Watch For
Address common mechanical or diagnostic issues that customers face. Why the Check Engine Light comes on, causes for steering wheel vibration, what that little red light means – anything that customers could find valuable in their car ownership experience and emphasizes the dealership’s authority and expertise can be the focus.
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Automotive Copywriter
Put Your Dealer Advantage to Work in Service
According to the CallSource Automotive Inbound Call Data Report, the service department phone is a missed opportunity. Over the past four years, 40 percent of inbound calls to fixed ops phones were converted to appointments.
That’s a telling statistic – it says customers are price shopping. You might say, “If they aren’t willing to pay our rate, what can you do?” But ask a sales manager. That strategy doesn’t fly.
A salesperson/product specialist knows that the real question being asked on that call isn’t “what is the cost?” but rather “why should I choose you?”. It’s a wide-open door to explain why the dealership is the best place for repairs and service.
Keep in mind that the phone is just one contact method being used. Countless more customers are browsing your dealership online, a vast majority of whom will never even pick up that phone. You’ve lost the opportunity to convert that lead into a customer before you had a chance.
That’s where conveying your dealer or OE advantage is so important.
Tools in Your Dealer Toolbox
Without a doubt, dealerships have a massive advantage over aftermarket service providers. Once you realize it and put it to use, you should have no problem increasing call conversions.
Amenities
Dealerships offer a better experience than aftermarket shops. Have you seen a non-franchised repair shop with a building that compares to the vast majority of dealerships? It’s just not the norm. With the store comes a beautiful customer lounge, courtesy cars, Wi-Fi, refreshments, and more. Some non-OEM stores offer bits of it, but not the whole package.
Brand-Focused Knowledge
Staff that know the customers’ vehicles inside out isn’t a quirk. It’s a tool to use. Knowing the brand, common concerns, fast fixes, and having the wisdom to train customers how to use features before they become ‘No Fault Found’ is something the dealership does best. It’s impossible for non-OEM shops to have the same level of expertise on the product.
Factory Trained Technicians
It’s one of the most important advantages dealers have. The technicians in your shop have intrinsic knowledge that only comes from specializing in your brand. That can save a customer repeat visits and added expenses. Above all, it gives peace of mind that their repairs or service will be done correctly every time.
OEM Parts
You might see that OEM parts are an added expense; that other shops can offer aftermarket parts cheaper. But that’s not how most customers see it. When you put forward that OEM parts are designed to fit perfectly, just like the original, and that using high-quality parts can save future parts AND labor expenses from premature failure, not to mention that OEM pricing is highly competitive, that can be an attractant instead of deterrent.
Backed by Warranty
Peace of mind. When customers know their repairs are backed by warranty through the manufacturer, it’s a great reason to choose the dealer. Of course, we know that aftermarkets say the same thing. The benefit is that OEM parts warranty can be done by any dealer nationwide, not just the Joe or Jane that did the repair down the street.
How to Implement Your Advantage
So, then, how do you implement the dealer advantage into your strategy? For phone calls, it’s a matter of training staff on handling calls. Here’s a sample:
“Can you tell me how much front brakes are for my car?”
“Sure, I’d love to. Just so you’re aware, we’ll use OEM parts that are covered by a nationwide OEM parts and labor warranty. One of our factory-trained technicians will have your brakes working like new. We also offer courtesy cars/shuttle ride, or you can grab a coffee and snack in the lounge while you wait for your brake job. Front brakes for your car will be $XX dollars, parts and labor included. How does that sound. When would you like to book your visit?”
The Online Presence
Implementing your advantage online can seem more challenging. You can draw attention to the OE advantage with competitive price comparison data, though, with almost no effort at all. Build on the comparison pricing tools you already have at your disposal.
Be transparent with your customers on how competitive your pricing truly is. See how InteliChek’s web widget will change the way customers interact with your website. Most of all, it shows your OE advantage before the phone even rings.
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CallSource
Great article, Jason! This is definitely an area for dealers to work and capitalize on. Love the tips!
Automotive Copywriter
Martins, I like the personal touch when my call is answered too!
For the question, "How does that sound", it gives the customer an opening to voice any objections prior to asking for a commitment. Otherwise, a small objection could be met with a hard, "No thanks". It's what I'd prefer to see, but I can see how it could work either way.
Automotive Copywriter
Be a Healthy Service Team Leader
Service managers and fixed ops directors, this one is for you.
Anyone who has had a role in service management knows how lonely it often is. You’re responsible for keeping service advisors, technicians, and support staff of all types happy and productive. There are vendors to call and fires to put out. Often, it falls on the service manager to keep facility maintenance and repairs under control too.
And that’s all to maintain the status quo.
Since we all know that just keeping your head above water isn’t going to cut the mustard for the general manager and dealer principal, you need to find a way to do all the daily tasks AND accomplish the task of moving the needle forward. It can feel like an insurmountable challenge that’s all on your shoulders.
It’s where burnout begins. When you feel like it’s all on you, day after week after month, the dread of going into work creeps in. No one wants to be there. You want to feel challenged but thrive under the pressure, not just survive.
Learn to Delegate
I’ll be the first to acknowledge that I want things done my way. For that reason, I have a difficult time handing tasks off to someone else. However, your plate is full. Give up some of the tasks that aren’t important for your hand to be in.
Work within the Eisenhower Matrix pictured above. Break tasks down into four categories:
- Tasks that are important and urgent, do immediately. These should be your personal priorities.
- Tasks that are important but not urgent should be scheduled in. Get to them when you can.
- Tasks that are urgent but of lesser importance, delegate to someone you can trust.
- Tasks that aren’t urgent nor important, consider dropping from the to-do list.
Seek Support
It might feel like you’re alone…but you aren’t. Believe it or not, thousands of people have been in or currently are in your shoes. One of the healthiest things you can do to prevent burnout is to get together with likeminded people, and others in your same career position.
One of the best ways to do this with automotive seminars and industry functions like the DrivingSales Executive Summit. There are others too, often smaller and in your locale. Take in sessions on best practices and hear from thought leaders in your specific area – fixed ops.
If your store is part of a dealer group or you know other service managers and fixed ops directors locally, meet together. Even though you might be competition, you can learn from each other to improve not just your own dealership but the industry as a whole. You’ll leave feeling refreshed and supported.
Find Inspiration
Fuel your passion daily. It’s impossible to keep up the same level of intensity, or vigor, or passion – whatever drives you to succeed – without feeding it. You’ve seen automotive podcasts, webinars, books, and blogs everywhere. Participate in at least one inspiring media daily, first thing in the morning if you can. When you start your day focused on a topic or interest, positive or negative, your actions throughout the day are destined to be influenced by it.
Maintaining a healthy perspective on the workplace as a manager is tough. But if you want your service team to be positive, productive, and healthy, you must start with yourself. Be the example for others to follow.
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Automotive Copywriter
Smart Service Pricing Decisions Start with Competitive Price Comparisons
The Cox Automotive Maintenance and Repair Study emphasizes that less than 1 in 3 service visits are done at the dealership. Customers are taking their vehicles to aftermarket shops and those mom-and-pop service centers down the street. By the numbers, that means there’s a 70% defection rate, since all cars are originally purchased new from dealers, right?
As an industry, there’s a struggle to retain that service business, and it doesn’t come easy. Customers need to learn that they can trust the dealership to service their cars without getting ripped off. And high prices are one of the customer’s biggest complaints.
Knowing the Market
Fixed ops directors and service managers, one of the tenets of improving your customer retention rates must be positioning your service shop competitively with other local providers. The Meineke or Pep Boys, the muffler guy two blocks over, and the specialty shop nearby all take your business because customers have decided you charge too much.
Competitive price comparisons can offer two things for you: a clear picture of your market, and the opportunity to do something about it.
- Shopping local service providers helps you know your competition. You can figure out who is baiting your customers and what they’re charging for similar services and repairs.
- Mystery shopping your competitors can reveal your OEM parts advantages. If the competition is using white box parts for the same repair to lower pricing, you can use that to your advantage in advertising.
- Dealership amenities show up as an obvious benefit. It can be the comfy customer lounge and complimentary coffee, the free courtesy car or shuttle service, or the easy access to warranty.
Compare Apples to Apples
With information from competitive price comparisons, you have a wealth of knowledge at your fingertips. Now you can present a complete picture to your customers, and it’s best before they defect.
In service advertising, spell out your advantages over the competition. Do you offer complimentary transportation? Most non-franchise repair shops don’t. Do you have OEM-certified technicians? That’s a claim independent shops can’t make. Refreshments and a play area in the waiting area? You’ll catch a parent’s eye with that type of detail.
Adjust Your Prices
Customers aren’t as fickle as you think. It’s a pain in their backside to try to find a repair shop they can trust and that has the ability to service and repair their car start to finish.
What you may not know is that car owners prefer the expertise they get at the dealership. But when pricing factors into the decision, they go elsewhere when they believe the dealership is charging way too much.
The sweet spot for a customer is within 20 percent. If your service menu pricing is within 20 percent of other local providers, most car owners will make the choice to visit the dealership. It’s a smart decision.
Armed with local market knowledge, adjust your menu items to within 15 to 20 percent of your competitors. Include that information on service advertising and on the website.
Tools like InteliChek’s service pricing widget show your local competitors’ pricing alongside your own, displaying your advantages. When you’re open about your pricing as it compares locally, it offers the transparency customers need to begin rebuilding their trust.
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Automotive Copywriter
Seriously, Parts People, Pick Up Your Phones!
Phone skills are one of the things that everyone thinks they have. After the first hour of training, every new employee knows what to say when they answer the phone.
“Good morning, thanks for calling ABC Motors. How can I help you today?”
“Let me check on that for you. Do you mind if I put you on a brief hold?”
“I see David is in. I’ll transfer you to his direct line if that’s alright.”
It becomes automatic, engrained, a no-brainer. But here’s where it gets a little tricky. You have to pick up your phone to use those skills.
In the Customer’s Shoes
I pray that this experience is local, and that no one else runs into the same scenario. But this is my very recent experience.
I was looking for a specific part, a fuel level sending unit. Knowing I wanted a quality part, I called dealerships exclusively. I’m no slouch when it comes to research, so I used direct lines to parts departments to eliminate the need for transfers. So, I called the first one which was the closest dealer to me. I just prefer shopping nearby.
No answer. Four rings, then to voice mail. I get it. People are busy. I waited ten minutes or so then tried again. Same thing. I left a voice mail this time.
As a customer, I didn’t stop at that. I called the next dealer but again, no answer. Getting irritated, I tried a third. This time, someone answered, took my information and the part I needed, and said they’d call me back. Still without an answer, I called a fourth store. Imagine the frustration when they didn’t answer either!!
To the Point
I’ll get to it fast. Answer the phone! Customers calling for a part aren’t your loyal base. They won’t always give you a second chance or be satisfied to sit back and wait for a call back.
And it’s not just one parts sale you’re blowing off when you don’t answer the phone. By not answering the phone, you’re essentially telling the customer that you don’t care about their business. If you’re okay with them shopping at a different dealership, starting a relationship with their team, potentially taking their service business into their drive thru, and even starting a sales conversation elsewhere, then answering every phone call isn’t important.
One manager I had early in my career became so mad when the phone reached a third ring. He would routinely impress upon all front-end staff that the phone should be answered on the first ring if possible or the second ring at the latest. By answering the phone quickly, your non-verbal communication tells customers what they’re business is worth to you.
It doesn’t matter if it’s the receptionist, the sales floor, the service department, BDC, or the parts department. Answering the phone within two rings should be the standard to achieve. And absolutely never let it go unanswered.
How It Ended
In my situation, I never received a call back from the first dealership, nor the second. The third one did return my call about 30 minutes later, and the fourth also never returned my call. One in four… simply not acceptable.
Parts managers and fixed ops directors, I encourage you to ‘mystery call’ your parts departments. I hope to heaven that they do a better job than the experience I had.
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