Fixed Ops Journal - December 2019 - F32

FIXED OPS JOURNAL

BRING 'EM BACK

How to ensure your service customers return for maintenance in a timely fashion

W

hen it comes to delayed
maintenance in your
service department, time
can mean a lot of money.
The intervals between service visits
continue to increase, especially as
vehicles begin to require service less
frequently. The problem grows
exponentially when you consider the
revenue lost to dealerships when
regular customers delay their service
visits beyond the recommended
BILL
interval - even by a few days.
SPRINGER
Decreasing the days between visits is
often an underestimated way to fight
GUEST
this shift and maximize parts and
COLUMNIST
service revenue.
According to a recent survey by IMR
Inc., 61 percent of baby boomers claimed to fulfill all recommended
maintenance in the past year. But only 37 percent of millennials made
the same claim, followed by 18 percent of Generation Z vehicle owners.
On top of that, consumer expectations continue to change. Survey
respondents cited inconvenient scheduling and high repair costs as the
top reasons for delaying necessary maintenance.
When a dealership breaks down the impact these delays have on
revenue, the result is large. Yet
some dealerships have huge
Survey respondents
success by decreasing these
delays even slightly. Reducing
cited inconvenient
the average time between visits
scheduling and high
for active service customers by
just 10 days can result in nearly
repair costs as the top
a 5 percent increase in annual
reasons for delaying
revenue.

"

"

necessary maintenance.

More revenue

Suppose it's recommended
that a vehicle receive service every six months, or 183 days. If the
average customer returns 20 days late, this delayed maintenance
results in a significant loss of revenue for the dealership.
Encouraging customers to come back even 10 days earlier - 193 days
between service visits - can quickly generate more maintenance
revenue. For a typical dealership with 3,500 active maintenance
customers, that increases the number of annual maintenance visits by
326 and thus the total number of maintenance services performed.
With an average maintenance repair order of $200, that higher level of
business can increase the dealership's service revenue by more than
$65,000 a year.
Given the impact just a few days can make on your revenue, how do
you get your customers to come in closer to their recommended service
date? It comes down to consistent communication and adjustments in
your service department processes.
Start by educating your customers on the maintenance schedule of
their car or truck, and focus on the importance of returning on time for

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DECEMBER 2019

FIXED OPS JOURNAL ILLUSTRATION

service. Make clear the impact that timely maintenance has on the
vehicle's life and overall safety. Put this in terms that customers can
understand, and paint the picture of the true impact of service.
During this time, emphasize other maintenance that your service
department offers, such as tire rotations and repairs. Build on the
idea that oil changes aren't the only reason to return to the
dealership.

Proactive measures
Beyond education, show the additional value you offer customers.
Some suggestions:
1. Schedule service appointments as far in advance as possible. Set
the first maintenance visit when you deliver the vehicle, then
encourage customers to schedule their next appointment at the
conclusion of each maintenance service. Planning appointments in
advance can make it more likely that customers will return when it's
time for maintenance, helping decrease the delay.
2. Rethink your service reminders. Most reminders include a vague
message that doesn't explicitly tell vehicle owners when they need
service. Change the focus and emphasize a specific date they need to
return for maintenance. Through texting, email or a phone call, adding
a distinct date can motivate customers to come back on time.
3. Incentivize on-time service visits. Through such measures as a
loyalty program or extra incentives for scheduling maintenance early,
use your resources to motivate customers to return to your dealership
when their service is due.
In the end, it's a win-win. Whether a service interval is based on time,
mileage or oil-life indicator, encouraging your customers to return for
on-time maintenance will result in a stronger customer experience, a
safer and better running vehicle - and an improved bottom line for
your dealership.
Bill Springer is president of Krex Inc., which offers the DriveSure solution
to new-vehicle dealerships to provide customer benefits that encourage
service retention and tire sales.
Fixed Ops Journal - December 2019

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