top 5 reasons your service customers go somewhere else

CarPeopleMarketing.com

whyREASONS

What makes them...- mad...- leave...- never come back...

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It happens every single day...

It's a serious problem.

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15-25% of the customers in your store for service today...will never come back.

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Maybe...- found a better deal- just forget abt you- didn't fix right- you pissed them off

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You have to constantly fill the pipeline because of the "churn" of customers you lose

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That 'churn' keeps you from growing...

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But there is good news.

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I believe...You can fix it.

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I believe you can...slow down or stop the churn of customers in

your store...

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I believe you can...- adapt- change - grow- succeed

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I've seen you do it.

You've done it before.

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You made it through the bad times...You survived 08-09

and you are still here.

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You aresurvivors…

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You are smarter than you used to be...

- leaner- cleaner- meaner

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You figured out how to make it when others didn't.

You did what you had to do...and it worked.

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I believe you can do anything.

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I love the car business...

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I love the - enthusiasm- energy & creativity- opportunities- challenges

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I believe,if you really want to grow your service business...

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You need to...- get lost cust back- attract new ones- keep existing ones

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You need to give customers some real reasons to visit your store...

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And, you need to stop pissing them off when they do.

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Here's what I did...

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whyREASONS

so you would know which ones to fix first.

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I asked 100 customers what they HATE most about dealership svc departments...

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I told them to be brutally honest...

I told them not to hold back...

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I told them I really wanted to know how they felt...

And they told me.

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whyREASONS

1. You have to be Open More.

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Open evenings.Open weekends.Open when the competition is.

1. Be Open More

You have to be open for business if you expect to do business.

1. Be Open More

You have to be open... when they need you to be open.

1. Be Open More

- old days are gone- busy 24/7 365 world- both spouses work- juggling kids, jobs- can't waste a min

1. Be Open More

There are lots of other places they can go – and once they go, you lose them forever.

1. Be Open More

You have to make sure they know when you are open.

1. Be Open More

You have to be Open More.

2.You have to

Answer the

Customers told us they HATE to call dealership service departments.

2. Answer the Phone

They said...- you don't answer- put on hold- takes forever- sound in a hurry- sent to voicemail

2. Answer the Phone

So we called 150 dealerships...we found out they were right.

2. Answer the Phone

21% didn't answer in 5 rings...we hung up.

2. Answer the Phone

26% put us on hold for over 2 minutes...we hung up.

2. Answer the Phone

21 + 26 = 47% we never even got to talk to a service advisor...

2. Answer the Phone

Of the 53% we did talk to...

2. Answer the Phone

- 77% didn't ask name- 74% price, no reason- 72% didn't ask appt

85% of service customers call first.

They want to do business with you!

2. Answer the Phone

You spend hundreds of dollars in advertising every month just to get the phone to ring...

2. Answer the Phone

And nobody answers.

2. Answer the Phone

- Call your store.

- Pretend to be a service shopper.

- Answer this Question.

2. Answer the Phone

Would you do business with you ?

2. Answer the Phone

Here's the Solution, and it's simple.

2. Answer the Phone

Hold a monthly telephone training meeting.

2. Answer the Phone

- know how important- get their name- give reasons to buy- always ask for appt- get rid of voicemail

2. Answer the Phone

You can instantly increase your service traffic if you just...

2. Answer the Phone

Answer the Phone.

3.You have to beMore

Competitive.

They think you charge too much.

3. Be More Competitive

PERCEPTIONREALITY

Here's what I found out...

I found out you really only have to be competitive on a fewwell known services.

You have to be competitive on- oil changes- tire rotations- check eng lights- tires

These are the 4 most shopped services...they drive the most traffic...

Customers know about what they are worth...

they know if it's a good deal or not...

and if it's not a good deal -they will go somewhere else.

The Competition is Fierce.

US Dept of Labor81,533 Independent Repair Shops

593 Pepboys800 Goodyear900 Meineke

1500 Firestone1800 Midas2400 Walmart Auto

2200 Jiffy Lube's

27,500,000 Customers Per Year

Think about this...

Most service customers aren't like us...

They...- shop around- clip coupons- it's just oil change- $2-3 can change- BOA $5 per month

WOW them with your Oil Change Price.- competitive- at least meet / beat- make sure it's deal

WOW them with your Tire Rotation Price.- very competitive- price is low or free- get the wheels off

WOW them with your CK Eng Light Price.- make $ on the fix- don't have to beat- do the math - $ fix

Remember,The only goal for these services is to get them in your store.

I know you don't make a lot on these...

I'm not saying to be too cheap...that doesn't work either...

People will pay a little more to do business with you.- you are the best- you are worth it

But, they won't pay a lot more.

Anybody have a calculator?

How much do you make when they go somewhere else?

Tires.

75% of customers buy service where they by tires...

4 out of 5 will buy from 1st person that tells them they need tires...

1 in 7 cars in your service drive needs tires now...

You have to sell tires.

It's easy to shop for tires.

Your tire prices need to match or beat the prices in your market area.

1.67 is not the correct markup percentage for tires.

You need to include mounting and balancing...in the price – call it a tire installation / protection package.

You need to be... - proud of prices- know competitive- prove it everyday...

20% Difference Tire Low Price Guarantee.

- find same tire less- 90 days- pay difference +20%

- advertise it- talk about it- brag about it - flyers on RO's- use it as a closer

You have to beMore

Competitive.

4. You have to beFaster & Better

They want to get an oil change done in 30 minutes or less...

or they will go somewhere else...

4. Be Faster & Better

They want someone to greet them as soon as they arrive... or they will go somewhere else...

They want their car fixed right the 1st time in less time...

or they will go somewhere else...

They don't want to stand in line at the cashier to pay.

Fix 90% of problems...hire 2 more techs,hire 1 more service advisor and...

fire your cashier.

Cashiers...- cust serial killers- no vested interest- create a bottleneck - pissing off science- evil, wicked, mean

Cashiers should not be the last person your customer sees.

They need to go away or be put away or at least be moved away from your customers.

Service Advisors talk customers into coming in, meet, greet, write up & upsell them –

I just thinkService Advisors should cashier their own tickets.

When they say theyare too busy to do that job... hire another one.

You are in the Service Business...

Step Up & Staff Up.

You can't grow your biz if you don't grow your staff.

You have to beFaster & Better

5. You have to Show You Care.

They told us...they want to be reminded when their car is due for service...

5. Show You Care

they want to save money & they like to get coupons...

5. Show You Care

They want to be kept informed about the status of their vehicle – don't want to have to call you.

5. Show You Care

They want to trust you...

5. Show You Care

They want to know you aren't selling them services they don't need.

5. Show You Care

They want tofeel appreciated, be told thank you.

5. Show You Care

It's really this simple:Treat every customer like they were your mom.

5. Show You Care

Don't oversell, but don't undersell either.

Sell them what they need.

5. Show You Care

Sell Wiper Blades.- best retention tool- they need, make $- shows you care- shows quality later

5. Show You Care

Loyalty Club.- give them a reason- almost all have one- customers expect- spend & visit more

5. Show You Care

Do Active Delivery.- park the car- review invoice- remove covers, Wow- say thank you

5. Show You Care

You have to Show

You Care.

whyREASONS

1. Be Open More2. Answer the Phone3. More Competitive4. Faster & Better5. Show You Care

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Today, you need every service customer you can get.

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Service...- pays the bills- sells cars- is profitable

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We need to...- listen to customers- give what they want- good enough isn't

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It's easy to buy in.It's easy to agree.It's easy to get it.

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The Challenge is when you GO BACK.

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Service Managers...

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GO BACK...- take control- know you run show- expectations chg'd- tail doesn't wag

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GO BACK...- get fired up- out of office / drive- get engaged in biz- run svc like sales

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GO BACK...- on a mission- give customers- what they want- never go anywhere

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GO BACK...to Your Store and Run it Like You Really Own It!

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Randy Johnson.I love the car business.I grew up in it.

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CarPeopleMarketing.comCarPeopleMarketing.com

top 5 reasons your service customers go somewhere else

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