I routinely see OEMs and franchise dealers trying many different advertising strategies, messaging, promotions, discounted services, give-aways, etc., all in an effort to attract consumers to their service departments. The end result is a lot of money and time is spent with very little to show for it.

The industry has yet to understand the primary reasons why the majority of consumers defect to the aftermarket. Consumers perceive automotive repair, particularly at the franchise dealer level as:

• Inconvenient
• Time Consuming
• Disruptive to their day
• Proximity Based

Consumers are defecting to the aftermarket based upon the independent repair facility being closer to their home/office. In most cases, a customer's home or office is located much closer to an independent repair facility versus a franchise dealer. You have to put yourself in a customer's shoes. Which option would you prefer?

1. Independent Repair Facility: Located 10 minutes from my home/office. No appointment necessary. One or two customers ahead of me if I choose to stop in unannounced. 10 minute write-up and I'm gone. This is a 20-30 minute process.
2. Franchise Dealer: Located 30 minutes from my home/office. Appointment is highly recommended. Consumers perceive stopping by unannounced as not an option. Multiple customers showing up at the same time despite different appointment times. 30 minute write up and loaner processing and I'm gone. This is a 60-90 minute process.

Consumers are going to opt for convenience, time savings, and the option that is the least disruptive to their day, thus the independent repair facility continues to win consumers.

One of the biggest complaints I hear from dealers is how today's consumer is deferring service intervals...why do you think that is? Consumers are deferring service intervals because getting their vehicle maintained is inconvenient, time consuming and disruptive to their day. Consumers will continue to defer service until the industry makes maintaining their vehicle easy and convenient. OEMs and dealers can change this industry trend by offering Service Customer Pick-up & Delivery with loaner. You have the option to eliminate all of the customer's excuses for not visiting a franchise dealer.

If we were having this discussion ten years ago, we'd be addressing the following:

• Competitive Pricing
• Transparency
• Trust

The majority of franchise dealers have done a very good job addressing competitive pricing (too much in a lot of cases), transparency and trustworthiness. The internet and companies such as Amazon have spoiled us all. We have immediate access to all the information we need, and can essentially have anything we need delivered to our home in a matter of hours. Convenience, time savings, and the least amount of disruption to the consumer's day will drive traffic and even more sales.

Amazon isn't necessarily the least expensive, in many cases, consumers end up spending more with Amazon, yet they're happy to spend more money all in the name of convenience, time savings, and transacting business with a company that isn't disruptive to their day. The consumer can access Amazon from their home, office, beach, gym, wherever...Amazon has made commerce very easy and simple. The auto industry must adapt to the changing consumer, and how consumers want to transact business today.

Consider the following quote from a consumer whose franchise dealer provides Service Customer Pick-up & Delivery with loaner. "The overall Service Experience was beyond Exceptional. The delivery service of a loaner car and pick-up and return of my car is a service that separates you from any other experience that I have ever had. I could not have been more pleased with the overall service and the ease at which it was accomplished. Also, the timely pick-up and delivery of my vehicle was exceptional as well." This dealer will continue to win customers, retain more consumers, win back lost UIO and generate significantly more customer pay business.

Remember, the consumer pays all of our paychecks, from OEM to Dealer to Technology provider...provide the consumer with convenience, and they will spend even more money with all of us.

Ken Hite is Senior Vice President at RedCap. RedCap's technology and drivers are utilized by OEMs and dealers for Service Customer Pick-up and Delivery, as well as Consumer Test Drives conducted at the consumer's home. Ken has 25 years experience within the automotive industry, inclusive of retail, OEM, after-market and start-ups. The auto industry must learn to exceed customer expectations and implement business processes based upon customer convenience.

Everyone understands, or at least I hope they do, that the auto industry is changing rapidly and dramatically. The biggest hurdle for OEMs and their franchise dealers is the consumer. I fear that too many aren't listening to what consumers want, and what they expect today when purchasing a new/pre-owned vehicle, and or servicing their vehicle.

It was only five years ago, on any given weekend, one could drive by any dealership and see consumers all over the dealer's lot. Times have changed, today it's difficult to find a customer on a dealer's lot, any time of the day or week. Why is that? Consumer sentiment has changed, and consumers shop much differently today than in years past.

Consumers have made it very clear that they want options, and one of those options is to conduct business with a franchise dealer without ever stepping foot in the dealership. Let's face it, visiting a dealership for any reason isn't a priority for consumers. Whether it's servicing their vehicle or purchasing a new vehicle, consumers will conduct business with those dealers that provide out of store experiences. What are out of store experiences? The ability for a consumer to have their vehicle serviced at a franchise dealer without the consumer visiting the dealership...only their vehicle, or, the ability to conduct a Test Drive at the consumer's home/office/other location of choosing. Read the following customer quotes when asked about their Test Drive experience at their home.

• "Didn't want to go into my local dealership for a test drive. Much too much high pressure. Salesmen are like vultures"
• "Because it seemed like an easy, and novel way to test drive the Camry without going to the dealer"
• "I'd so much rather have the option to go online and get straightforward pricing instead of dealing with dealer shenanigans"
• "I thought it was a really convenient way to explore the vehicle. I was surprised it was available. Thank you Toyota!"
• "Jeff was great and it was awesome to be able to try the car in our neighborhood since that's where we'll be with it most of the time"
• "It was a much simpler process to test drive the car than going to the dealership and deal with the sales pitch"

Consumers want options when shopping, and they want out of store experiences. Traditional brick and mortar shopping is being decimated by companies such as Amazon...that provide out of store experiences. The auto industry (OEMs and franchise Dealers) must adapt to the changing consumer, and their preferences for shopping and purchasing goods, inclusive of automotive service and purchasing a new/pre-owned vehicle.

Consider the current and archaic "lead generation" process; Dealers must "work a lead" relentlessly to get the consumer in the dealership, only to have a very small percentage actually show up. In addition, dealers spend too much money per unit sold, and simultaneously enjoy lower gross profit and margins...why? Test Drives at home provide the dealer with an actual lead (live customer), demo, used car appraisal, equity mining and much more. The consumer is reaching out to you the dealer for a Test Drive, not the other way around. It's time to adapt to the changing consumer.

The biggest threat to the automotive industry is the industry itself, and the inability to change. Adapt to the changing consumer, or the consumer will ensure you become obsolete.

Ken Hite is Senior Vice President at RedCap. RedCap's technology and drivers are utilized by OEMs and dealers for Service Customer Pick-up and Delivery, as well as Consumer Test Drives conducted at the consumer's home. Ken has 25 years experience within the automotive industry, inclusive of retail, OEM, after-market and start-ups. The auto industry must learn to exceed customer expectations and implement business processes based upon customer convenience.

http://www.military-technologies.net/2017/03/14/redcap-launches-new-api-for-out-of-store-service-valet-and-recall-experiences-2/

How do you expect your service department to improve upon their service retention indexes when 50-75% of your new/pre-owned units sold are never going to set foot in your service department? Think about it, every new and pre-owned customer you sell month in and month out have already decided where they will service their vehicle, and the majority aren't coming back to your dealership.

Initially, it's the dealer's responsibility and his sales department to provide the customer with the "Why Should I Service My Vehicle With You?" Consumers will make servicing decisions based upon the service facilities proximity to their home or office. If a customer has traveled any distance to purchase a new or pre-owned vehicle in the name of price, rest assured that will service their vehicle at a dealer located closer to their home or office, or at their local independent repair facility.

How can the dealer persuade consumers to purchase vehicles from their dealership, and simultaneously convince the consumer that they should also service their vehicle at the same dealership in which they purchased, regardless of distance from the consumer's home/office? Two simple steps.

1. Promote that your dealership offers Test Drives at the consumer's home.
2. Promote that your dealership offers Service Customer Pick-up & Delivery, in which the consumer never has to leave their home/office to have service performed.

Take your dealer hat off for a moment, I know it's tough but trust me, and put your customer hat on. Yes, dealers are consumers also, hard to believe, but it's true. I want you to think about the shopping you do online. It doesn't matter what the product/service is, yet you're doing the same thing your customers do when deciding which dealer to conduct business with. You're going to start with your research, make a decision, and more than likely purchase online. Why are you purchasing online versus visiting the brick and mortar equivalent? It's all about convenience. It's easier, less time consuming, and enables you to multi-task simultaneously. Dealers and their personnel are very busy, and work a lot of hours. You don't have time to visit brick and mortar for your everyday shopping, thus you purchase as much as you can online, all in the name of convenience and time savings. Why do you think your customers are any different? They're not, they're also busy with both spouses working, taking care of kids, socializing, etc., the last thing they want to do is take time out to visit the dealership, let alone come in for service.

Make your sales process convenient and easy by offering consumers the option to Test Drive at the consumer's home, and provide your customers with Service Pick-up & Delivery. If you provide it, they will come, and they will stay.

I want to clarify that Service Pick-up & Delivery doesn't include your shuttle, nor does it include the customer bringing their vehicle into your service drive. It means that a Service Concierge Driver is taking the dealer's loaner out to the consumer, exchanging vehicles and returning to the dealership with the customer's vehicle...the customer never had to leave their home or office. This is precisely what you the dealer, and your personnel would want if getting your personal vehicles serviced...why should it be any different for your customers?

Consumer behavior has been changing, and will continue to change. As a retailer, you must change with the consumer, otherwise you will become obsolete. The brick and mortar world is being decimated by online, which offers convenience and time savings for the consumer. The auto industry, and the auto dealer isn't immune.

Ken Hite is Senior Vice President at RedCap. RedCap's technology and drivers are utilized by OEMs and dealers for Service Customer Pick-up and Delivery, as well as Consumer Test Drives conducted at the consumer's home. Ken has 25 years experience within the automotive industry, inclusive of retail, OEM, after-market and start-ups. The auto industry must learn to exceed customer expectations and implement business processes based upon customer convenience.

It starts every Friday night; Dealer, GM and GSM calling the store to see how many units they got out and what's the gross? This process is repeated throughout the weekend, and now extends through the entire week. Dealers live in the "now" world. They want immediate gratification, it's all about the sale. Here's the challenge, you have to sell more to earn the same as previous years.

Considering the average dealer spends $600 per new vehicle retailed, $600 X 300 is a whopping $180,000, why? Why are you spending so much money to attract prospective consumers, when you don't have to?

One simple step will dramatically decrease your ad spend, increase your service retention, and increase new and pre-owned sales.

1. Promote that every new and pre-owned unit sold has Service Customer Pick-up & Delivery.

How does this work? Simply promote that your dealership provides Service Customer Pick-up & Delivery when you purchase a new or pre-owned unit. Consider Dealer "A" that offers a new unit for sale at $40K, and Dealer "B" offers the same make, model and trim, yet the vehicle comes with Service Customer Pick-up & Delivery. Dealer "B" charges $42K. Wouldn't be nice to actually hold gross on a new vehicle, and stop selling new cars like a commodity? Consumers demonstrate daily that they're willing to pay for convenience.

Since you offer Service Customer Pick-up & Delivery, your customers will find your service department convenient, not time consuming, easy to visit (since a concierge driver is providing Pick-up & Delivery), and the consumer will opt to conduct business with your service department versus a closer dealer or independent. Remember, consumers defect to other repair facilities based upon proximity to their home or office, it's simply more convenient.

What are some of the benefits of this strategy?

• Considerably less ad spend
• Increased new and pre-owned sales
• Significantly increased service retention
• Significantly increased customer trades
• Less reliant upon auction units
• Significantly increased service spend per customer RO
• Significantly decrease loaner out times
• Increased CSI

These are just a few of the many benefits associated with Service Customer Pick-up & Delivery. You can even take this to another level and offer Consumer Test Drives at the consumer's home.

Your PMA will now extend as far as you would like. A 10 Mile radius per your current PMA will become obsolete. You can now control multiple PMA's around your dealership(s). Your fellow dealer across town who doesn't offer Service Customer Pick-up & Delivery can't compete, not to mention other brands. Let's start generating Gross Profit, and retaining customers, it's very easy.

Ken Hite is Senior Vice President at RedCap. RedCap's technology and drivers are utilized by OEMs and dealers for Service Customer Pick-up and Delivery, as well as Consumer Test Drives conducted at the consumer's home. Ken has 25 years experience within the automotive industry, inclusive of retail, OEM, after-market and start-ups. The auto industry must learn to exceed customer expectations and implement business processes based upon customer convenience.

Every dealer in the country has a service retention problem. Even luxury brands are losing a high percentage of their customers. The top luxury brands sell an average of 325K units annually. Luxury brands are selling 600K units over a two year period, yet 200K or 33% of luxury customers are defecting...yes, you have a service retention problem.

Traditionally, luxury brands have enjoyed much higher service retention indexes than non-luxury brands. I do find it alarming that luxury brands are suffering customer defection to the levels they are...why? Dealers have invested tens of millions on facility upgrades, extravagant customer amenities, complimentary car washes, 24 hour roadside assistance, complimentary loan cars, etc., yet consumers are still defecting.

I've blogged about the many benefits associated with Service Customer Pick-up & Delivery with loaner. There's nothing more powerful in sales, regardless of the product, than the customer experience. OEMs and dealers can build $100 million dollar facilities, offer all the amenities in the world, yet consumers will continue to defect until you make the service process convenient, not time consuming, and doesn't interfere with the consumer's day. Below are a few customer comments regarding Service Customer Pick-up & Delivery with loaner, and yes, they're from a high line dealership.

"Very necessary with busy families when a car goes down, the personal service can mean the difference where you buy a new car when it has to go to the shop"

"Takes the hassle out of car service!!!"

"Friendly and convenient. Sets the dealership apart from the rest! Thank you!"

These are only three customer comments from high line dealers out of thousands. If you'd like to review customer comments regarding Service Customer Pick-up & Delivery with loaner, happy to share.

The real problem is the fact that OEMs and dealers have run out of options on how to improve upon service retention, thus customer defection continues. OEMs and dealers have tried every remedy in the market place, with little to show. The consumer is calling the shots, and today's consumer has been spoiled by the convenience of the internet. Consumers prefer to shop from their home. Consumers have made it very clear that they don't want to visit brick and mortar, and that includes dealerships.

The customer's preference is to schedule a dealer service appointment, have the dealer's loaner brought to the customer's home/office, and then have the driver return the customer's vehicle to the dealership for service. This process is convenient, not time consuming, and doesn't interfere with the customer's day. Assuming you want to retain a greater percentage of your customers, and recapture lost customers, then Service Pick-up & Delivery is your only option.

What are some of the other benefits that dealers are experiencing when the customer's vehicle is brought in for service versus the customer bringing the vehicle in?

• Loaner out times reduced by 40-55%. If your loaner out time is 3.0 days, and your spending $100-$300K per month in loaner expense, how much more would you save if your loaner out time was reduced to 2.0 or less? Trimming 1.0 days off your loaner out time is worth how much more in customer pay GP, assuming a highline customer pay average of $800 per RO? That's a significant savings and increase in GP. The quicker your loaner turn, the better for your service drive and customers.
• Highline dealers are experiencing 30% plus increases in customer pay RO spend when a consumer's vehicle is brought in through Service Customer Pick-up & Delivery. Consumers spend more money when their customer experience is convenient, doesn't interfere with their day, and doesn't take any time on their behalf. Can you use an additional $240 per RO in customer pay?
• CSI increases of 40 points, per JD Powers, when Service Pick-up & Delivery with loaner is utilized.
• Service drive utilization is increased. Consider what happens in today's service drive. Bob has an appointment at 8A, John has an appointment at 8:30A, and Mike has an appointment at 9A...yet all three customers opt to show up at 8:30, all looking for the same ASM. Service Pick-up & Delivery eliminates this scenario. It doesn't matter when the customer's vehicle shows up, providing the customer isn't bringing the vehicle in. Your team can work with the consumer when it's convenient for the ASM, and that never happens.

Service retention doesn't have to be a problem. Service retention is easy to fix. Let's schedule a call and discuss Service Customer Pick-up & Delivery with loaner.

Ken Hite is Senior Vice President at RedCap. RedCap's technology and drivers are utilized by OEMs and dealers for Service Customer Pick-up and Delivery, as well as Consumer Test Drives conducted at the consumer's home. Ken has 25 years experience within the automotive industry, inclusive of retail, OEM, after-market and start-ups. The auto industry must learn to exceed customer expectations and implement business processes based upon customer convenience.

Dealers utilizing Pick-up & Delivery with loaner experience a much higher customer spend in dollars per RO, versus consumers bringing their vehicle into the dealer. We have captured a large data set of metrics related to CSI, Customer Spend and Loaner Out Time. The highlights are:

• 20%+ increase in service spend when customers DO NOT come into the dealership. There are several reasons for this.
• Loaner out time of less than 2 days as compared to a national average without Pick-up & Delivery of nearly 4 days.
• No-show rates of less than 1% vs. 20% showing up very late or not at all.
• 95% of customers that use Out of Store Experiences are Very Satisfied and JD Power measured a 40 point CSI increase.
• 70% plus of consumers prefer Pick-up & Delivery, as well as Test Drives conducted at the consumer's home when these services are offered.
• Survey results in which consumers are bypassing closer dealers to their home/office to have their vehicle serviced with dealers located further away due to Pick-up & Delivery with loaner being offered.

Service Pick-up & Delivery with loaner, as well as Test Drives conducted at the consumer's home are preferred by consumers. The Customer Experience is the deciding factor for consumers when selecting which dealer to conduct business with. Here is an example of how a few OEM's are messaging the capability. Lincoln Pick-up & Delivery Service Hyundai Genesis Pick-up & Delivery Service

MBUSA NPSMM & NSFM visit with our team at Booth B120

Ken Hite is Senior Vice President at RedCap. RedCap's technology and drivers are utilized by OEMs and dealers for Service Customer Pick-up and Delivery, as well as Consumer Test Drives conducted at the consumer's home. Ken has 25 years experience within the automotive industry, inclusive of retail, OEM, after-market and start-ups. The auto industry must learn to exceed customer expectations and implement business processes based upon customer convenience.

Franchise Dealers have the opportunity to earn hundreds of thousands in financial compensation from their OEM, assuming the dealer's service retention is at specific OEM guides. Unfortunately, a very high percentage of dealers are unable to take advantage of the financial windfall.

Let's put this in perspective. A tier 1 OEM has been offering PPM-Pre Paid Maintenance with every vehicle sold, it's inclusive in the MSRP. The metrics are as follows.

• 50% of the customers never show up for their first complimentary LOF
• 50% of the customers take advantage of their first complimentary LOF
• 30% of the customers take advantage of the second complimentary LOF
• 20% of the customers take advantage of the last complimentary service

The pattern is obvious, and also speaks volumes to the industry. It's very apparent that the industry has failed consumers in the area of general maintenance and service. It's also apparent that the industry hasn't sufficiently addressed the customer experience.

The customer experience isn't about price. How many times do you hear "I'm booked two weeks out." You're booked two weeks out due to offering $29.95 LOF. That won't help your fixed operations, nor will help service retention. The majority of these customers will be one and done, and purchase very little in the way of ASRs.

The customer experience is about.

1. Trust
2. Transparency
3. Convenience

Some of you will inquire about "People & Process", while I agree they're important, until the industry changes it's culture and addresses turnover rates of 40-70% contingent upon department, you better rely upon Trust, Transparency and Convenience. A convenience model that speaks to the customer experience will go a long way in combating excessive turnover.

The customer experience is all about convenience. The franchise dealer must make the customer's service visit convenient. Remember, consumer perception is that auto repair is time consuming, inconvenient and candidly...a pain in the neck. Consumers are going to take the path of least resistance when it comes to auto repair, which is why the vast majority end up at independent repair shops.

Do yourself a big favor, a favor that will reward you with high service retention rates, as well as financial reward from your OEM...start offering your customers Pick-up & Delivery Service. This doesn't include your service shuttle(s). Consumers expect and even demand that dealers bring a loaner vehicle to the consumer's home/office, swap out the loaner for the customer's vehicle and return it to the dealership. This same process is repeated upon the vehicle repair being completed. Your customer never has to leave their home or office to have their vehicle serviced. Dealers that don't offer Pick-up & Delivery Service can't compete with those dealers that do.

Pick-up & Delivery Service must be managed with software that's dedicated specifically to this task. RedCap provides OEMs and dealers the unique opportunity to provide Service Customer Pick-up & Delivery, with the ability to schedule, dispatch, track, monitor, utilize RedCap drivers or your own, and provide supporting analytics. This is a very turnkey uber=like system to manage the process.

Let's meet at NADA and discuss the many benefits of Pick-up & Delivery Service.

Ken Hite is Senior Vice President at RedCap. RedCap's technology and drivers are utilized by OEMs and dealers for Service Customer Pick-up and Delivery, as well as Consumer Test Drives conducted at the consumer's home. Ken has 25 years experience within the automotive industry, inclusive of retail, OEM, after-market and start-ups. The auto industry must learn to exceed customer expectations and implement business processes based upon customer convenience.

As a consumer, I have many options when it comes to servicing my vehicle. There are a few criteria that will determine whether you win my business or not.

• It's important that factory trained technicians perform the work
• It's important that OEM parts are utilized
• It's important that factory special tools are utilized where necessary
• It's important that your pricing is competitive. I expect to pay more for dealer servicing, but within reason
• It's important that you have a great reputation, remember my word of mouth is very powerful
• It's important that you provide transparency, and are trustworthy. I may demand to see evidence that the repair is necessary
• I will not be placed on hold
• I expect to be kept apprised as to the status of my vehicle while being repaired
• I will not tolerate waiting
• Don't lure me in on a $29.95 LOF, and then expect me to buy hundreds or thousands of dollars worth of ASRs
• Don't lure me in on a 30 minute LOF, and the actual time turns into an hour plus
• Don't expect me to service my vehicle with you because I purchased from you...I have too many options if you don't exceed my expectations
• Lastly, I don't have time to get my vehicle serviced. My wife and I work. We are busy taking our kids to school, shuttling kids to after-school sports and social events. The only free time I have is on the weekend, and there's no chance I will take my time to visit your service department on my day(s) off. I don't want to be inconvenienced, and frankly I don't even want to visit your service center, yet you can win me over and eliminate all my hurdles if you will simply provide pick-up & delivery service.

Ken Hite is Senior Vice President at RedCap. RedCap's technology and drivers are utilized by OEMs and dealers for Service Customer Pick-up and Delivery, as well as Consumer Test Drives conducted at the consumer's home. Ken has 25 years experience within the automotive industry, inclusive of retail, OEM, after-market and start-ups. The auto industry must learn to exceed customer expectations and implement business processes based upon customer convenience.

It's easy to make a compelling argument that franchise auto dealers are at significant risk of going through a serious downturn, very similar to big box retailers like Macy's, J.C. Penny, Sears and even Nordstrom. Nordstrom is known for its exemplary customer service, liberal return policy and in-store amenities. The company also prides itself on selling apparel that buyers see as unique, fashionable and worth a premium price. Nordstrom's floor traffic is down, causing serious concern.

“If we’re going to improve our business, we have to improve the customer experience and we have to improve the product,” he said in a telephone interview. “Our results are not where we want them. We need to get better.”-Erik Nordstrom-co-president.

Every retailer, regardless of business, needs to improve upon the customer experience. Consumer centric businesses will lead retailers going forward, those retailers that don't improve the customer experience will continue to trend downward.

Franchise dealer's customer traffic is down significantly as well. Currently, the only safe haven for franchise dealers is the new car sale. Unfortunately, the new car sale has become a commodity. Every department within the franchise dealer model is under siege, and vulnerable to threats from disruptors. Consider the following.

• Approximately 17 Million new units will be sold, versus an approximate 210 Million legal US drivers...a relatively low percentage, and this is the one area in which the dealer is still protected
• Approximately 40 Million used units will be sold, yet franchise dealers will account for less than 30%...independent used car dealers are winning
• Approximately $100 Billion will be generated annually through franchise dealers' service and part operations, yet the overall repair industry will generate well over $1 Trillion dollars...independent repair facilities are winning big

The auto industry has been doing well for years, yet when you drill down on the aforementioned data...there's a lot of opportunity going elsewhere. How much more revenue could the franchise dealer be generating if they were able to find a solution to attract more customers and retain those customers?

Consider all the various tools and services the average dealer utilizes within their fixed operations, are any of those tools or services going to prompt a consumer to conduct business with you? No. What tools or services are you currently utilizing that's going to get the customer off the sideline and into your dealer's service drive? If those tools and services were truly resonating with the consumer, and improving the customer's experience, then you would see much higher service retention indexes...and that's just not the case.

When it comes time for a consumer to have their vehicle serviced, do you think the customer says to himself, "I'm going to ABC Dealer because they conduct an MPI" or "I'm going to ABC Dealer because they have online scheduling" or "I'm going to ABC Dealer because they have two way communication" or "I'm going to ABC Dealer because they have a great BDC or CRM" or "I'm going to ABC Dealer because they have discounted pricing"or "I'm going to ABC Dealer because they have great people and processes", the answer is no. 70% plus of consumers opt for the after-market despite all these tools and services...why? It's simply more convenient and less time consuming than the dealer, and that will continue to be the case until the franchise dealer makes auto repair more convenient, less time consuming and not such a time zap for consumers.

Service Customer Pick-up & Delivery when offered to consumers has an adoption rate of 80% plus. What are some of the metrics that franchise dealers are experiencing with Pick-up & Delivery?

• 95% approval rating
• Increase in customer pay service spend up to 48%
• Increase in warranty service spend up to 65%
• Loaner out time reduced by up to 55%
• Reduction in the number of customer waiters
• Improves the customer and dealer experience
• Consumers now view auto repair as convenient
• Consumers no longer view auto repair as time consuming
• Consumers won't put off auto repair

Improve upon the customer experience, make the customer experience convenient and not time consuming, and the franchise dealer will recapture their lost UIO and gain conquest customers.

Nordstrom has great facilities, great employees, great processes, great product, etc., yet consumers aren't coming in...does this sound like your dealership?

Look forward to visiting with MBUSA, and Dealers at MBUSA' National Conference!

Ken Hite is Senior Vice President at RedCap. RedCap's technology and drivers are utilized by OEMs and dealers for Service Customer Pick-up and Delivery, as well as Consumer Test Drives. Ken has 25 years experience within the automotive industry, inclusive of retail, OEM, after-market and start-ups. The auto industry must learn to exceed customer expectations and implement business processes based upon customer convenience.