Fixed Ops Journal - February 2018 - 32

FIXED OPS JOURNAL
A new lifetime warranty provides
free replacement of original Saab
parts in North America.

'PARTS FOR LIFE'

 Exec: OEMs could learn from guarantee attached to defunct automaker
JACKIE CHARNIGA

T

jcharniga@crain.com

he Swedish automaker Saab went out of business in 2011.
But a new parts warranty program for the 350,000 Saabs still
on the road in North America is intended to keep Saab service
centers - and the vehicles themselves - from vanishing.
The initiative also could offer ideas to active automakers about holding onto service customers, says the CEO of the exclusive supplier of
original Saab parts.
The "Parts for Life" program provides free replacements of parts for
the duration of a Saab's active life, once owners have paid an initial
price for a part.
The deal is designed to encourage Saab owners to continue to rely on
factory parts rather than stray to aftermarket providers, says Tim Colbeck, CEO of Orio North America, Saab's original parts supplier. Colbeck is a former COO of Saab Cars North America and vice president of
sales of Subaru of America Inc.
Depending on the model, most original parts that fail would tend to
do so early in the vehicle's life cycle, Colbeck told Fixed Ops Journal.

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PAGE 32

FEBRUARY 2018

Those parts typically would
be replaced under the original factory warranty, he says.
"In the traditional model,
dealerships see a falloff of
[service] vehicles when the
vehicles leave warranty," Colbeck says. The Saab program
Saab rides again
seeks "to make the dealership
Even though Saab no longer
the preferred choice of serbuilds vehicles, a new program
vice" as vehicles age.
replaces parts for free as long
Of the 194 designated Saab
as a Saab stays on the road in
service operations in the
North America. Among
United States and Canada,
features of the "Parts for Life"
about 150 are affiliated with
program
franchised dealerships. The
 The guarantee applies only
parts initiative is likely to bolto original Saab parts
ster customer service reteninstalled at certified Saab
tion rates at these dealerservice centers.
ships, Colbeck said, suppleThe campaign does not

menting their income from
include wear items.
fixed operations.
The Parts for Life deal is sim Saab owners can activate
ilar to a program Volvo Car
their lifetime warranty online.
USA launched in 2016. That
Source: Orio North America
plan offers a lifetime parts and
labor warranty for non-wear
items such as air-conditioning compressors, alternators, water pumps and
brake master cylinders on every Volvo after its factory warranty expires.
Colbeck says the goal of the Saab plan, like the Volvo program, is "getting
customers back and keeping them deep into the life cycle of their vehicles."
Stephanie Brinley, a senior analyst with IHS Markit, notes that the
Saab parts benefit is limited without new vehicles coming out. Parts for
Life is essentially a sign of good faith for current Saab owners, she says.
"It's a low-risk, high-image thing," Brinley says. "It can help highlight
the Saab service centers, and it can drive some business there. Saab certainly has a good fan base. People out there still own and love their
Saabs, so there's benefit for those people for sure."
Saab says its parts program could suggest a model to active automakers for keeping customers loyal to their brands.
"There is an increased focus by all the OEM brands to keep the customer engaged with the dealership - the retailer, I should say - and
the service center," Colbeck says.
The Saab service centers are generally in areas of the automaker's highest previous U.S. sales, notably the Northeast, California and Colorado.
Larry Nelson is manager of Svensson Automotive, a repair shop in Lafayette, Calif., that specializes in Saab, BMW and Mercedes vehicles. He
says his body shop has been servicing about 400 Saabs a year, in part
because of the Takata airbag recall, and that his customers are interested in the parts plan.
"The people who still have their Saabs, they don't want to get rid of
them," Nelson says, adding: "I have five Saabs in my family." 



Table of Contents for the Digital Edition of Fixed Ops Journal - February 2018

Fixed Ops Journal - February 2018
Contents
Editor’s Letter
Service Counter
Legal Lane
Jim Roche
Assembly line
Need for speed
Overcoming hurdles
Coupon clippers
Future market
Saab story
Feedback
Remote start
Richard Truett
Loaner management
Machine learning
Augmented reality
Letters
Shop Talk
Service benefit
Fixed in Time
Fixed Ops Journal - February 2018 - Intro
Fixed Ops Journal - February 2018 - Fixed Ops Journal - February 2018
Fixed Ops Journal - February 2018 - Cover2
Fixed Ops Journal - February 2018 - Contents
Fixed Ops Journal - February 2018 - Editor’s Letter
Fixed Ops Journal - February 2018 - 5
Fixed Ops Journal - February 2018 - Service Counter
Fixed Ops Journal - February 2018 - 7
Fixed Ops Journal - February 2018 - Legal Lane
Fixed Ops Journal - February 2018 - 9
Fixed Ops Journal - February 2018 - 10
Fixed Ops Journal - February 2018 - Jim Roche
Fixed Ops Journal - February 2018 - Assembly line
Fixed Ops Journal - February 2018 - 13
Fixed Ops Journal - February 2018 - 14
Fixed Ops Journal - February 2018 - 15
Fixed Ops Journal - February 2018 - 16
Fixed Ops Journal - February 2018 - 17
Fixed Ops Journal - February 2018 - 18
Fixed Ops Journal - February 2018 - 19
Fixed Ops Journal - February 2018 - 20
Fixed Ops Journal - February 2018 - 21
Fixed Ops Journal - February 2018 - Need for speed
Fixed Ops Journal - February 2018 - 23
Fixed Ops Journal - February 2018 - 24
Fixed Ops Journal - February 2018 - 25
Fixed Ops Journal - February 2018 - Overcoming hurdles
Fixed Ops Journal - February 2018 - 27
Fixed Ops Journal - February 2018 - Coupon clippers
Fixed Ops Journal - February 2018 - 29
Fixed Ops Journal - February 2018 - Future market
Fixed Ops Journal - February 2018 - 31
Fixed Ops Journal - February 2018 - Saab story
Fixed Ops Journal - February 2018 - Feedback
Fixed Ops Journal - February 2018 - Remote start
Fixed Ops Journal - February 2018 - Richard Truett
Fixed Ops Journal - February 2018 - Loaner management
Fixed Ops Journal - February 2018 - 37
Fixed Ops Journal - February 2018 - Machine learning
Fixed Ops Journal - February 2018 - 39
Fixed Ops Journal - February 2018 - Augmented reality
Fixed Ops Journal - February 2018 - 41
Fixed Ops Journal - February 2018 - Letters
Fixed Ops Journal - February 2018 - 43
Fixed Ops Journal - February 2018 - Shop Talk
Fixed Ops Journal - February 2018 - Service benefit
Fixed Ops Journal - February 2018 - Fixed in Time
Fixed Ops Journal - February 2018 - Cover3
Fixed Ops Journal - February 2018 - Cover4
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