Fixed Ops Journal - August 2021 - F16

FIXED OPS JOURNAL
D
PROPER PROCESS
ealerships have long known that
the service lane, where existing
customers roll up in aging vehicles,
is a good place to prospect for
trade-ins. Th row in a lack of new-vehicle inventory,
and the service drive becomes a logical
place to acquire highly coveted used cars.
But Darren Militscher, a strategic growth
manager for software provider Dealer Socket,
says the service drive is often ill-equipped to
properly handle this. Th ere usually is a lack of
a process, with an unenthusiastic salesperson
stationed on the drive.
" Service customers aren't looking to be solicited, "
Militscher says.
Instead, a proper service drive appraisal
program requires processes specifi c to service,
a dedicated employee to manage them
and buy-in from advisers.
Militscher helped design an appraisal program
with these features at Reedman-Toll Auto
Group, of Langhorne, Pa., in 2013. Th e current
climate of severe vehicle shortages and
high retail prices has spurred more inquiries
about how to manage this component of the
service drive, he says.
A go-between
At Lester Glenn Chrysler-Dodge-Jeep-RamFiat
in Toms River, N.J., Christina Petrolito - a
veteran of Internet sales and business development
centers - runs what the store calls its
Vehicle Exchange Program.
" I act as a bridge between the service and
sales staff , " says Petrolito, whose desk sits in the
customer lounge adjacent to the service drive.
Before a customer arrives for a scheduled
appointment , Petrolito prepares a packet that
includes a letter thanking the customer for
their business, a free Carfax report on the customer's
vehicle, marketplace pricing for it and
a corresponding trade-in off er. With new-vehicle
inventory short, the packets now include
outright off ers to buy.
For service customers who wait, exchange
program signs are posted in the lounge, and
Petrolito has a whiteboard that outlines ways
customers can reduce their payments on a
new vehicle. QR codes for the program website
even adorn the vending machines. Customers
can visit the site or text to inquire
about an appraisal.
PAGE 16 AUGUST 2021
Stores' appraisal programs crucial to win used cars in service lane
ALEX KWANTEN
foj@autonews.com
Increasing trade-ins
Essential steps to bolster service lane
appraisal programs
 Hire a dedicated, salaried sales
liaison to manage the information-driven
service drive process.
 Bundle trade-in informational
packets with repair orders. Include a
thank-you letter, Carfax and market
reports with multiple pricing sources,
and what the dealer will pay for the
vehicle.
 Be patient and informative. Service
customers may be interested in a
trade, but it's better to give them
information than attempt a hard sell.
 Follow up with customers who
receive information packets after
2 to 3 business days.
A QR code on a vending machine at Lester
Glenn Chrysler-Dodge-Jeep-Ram-Fiat directs
customers to Vehicle Exchange Program info.
Petrolito says customers can consider the
off er information and investigate the program
at their own pace. Th is, she says, prompts customers
to come to her instead of being approached,
which puts them in control.
" We want them to know that this is an informational
process and not feel pressured, " she
says.
After-hours drop-off customers get the
same packets left on the driver's seat, and
Petrolito says it's not uncommon for customers
to call a few days later. When they do, she
says, " You've got permission to talk further or
hand them to a salesperson. "
Lester Glenn's exchange program began in
March and brought in 20 deals that fi rst
month. Petrolito says the total is now around
30 per month, and she hopes to grow that to
50 by the fall.
Hot market
Militscher acknowledges that current conditions
have made these deals more attractive
to customers than in normal times . But the
process is more important than the prices, he
 Incentivize service advisers to help
with the process, and fl ag customers
who have expensive repairs or other
circumstances that may indicate a
trade is possible.
Source: Darren Militscher, DealerSocket; Christina
Petrolito, Lester Glenn Chrysler-Dodge-Jeep-Ram-Fiat
says. Reedman-Toll sources more than 100 vehicles
a month through its program - numbers
similar to those in pre-pandemic times.
At both Lester Glenn and Reedman-Toll,
service advisers are the ones who ensure informational
packets reach their destinations,
and advisers play an important role in identifying
customers who may be well served by a
trade. Lester Glenn advisers are paid a small
bonus for every deal they generate.
" In the beginning, we just talked to the service
advisers to see who might be interested in an offer, "
says Reedman-Toll used-car manager Ross
DiMaria. " But over time, their role got more
proactive, bringing people with expensive repairs
or unique situations to our attention. "
Militscher and DiMaria agree that the process
works best when the exchange employee
has strong support from advisers and everyone
is patient.
" Th at fi rst mention of the program by the
adviser and the packet are often just planting
a seed, " DiMaria says. " It puts the idea of a
trade into their head, and a week or two later,
they may return to do a deal. " 
Fixed Ops Journal - August 2021

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