See Chip King speak at NADA on March 31st at 3:45 and April 2nd at 10:15 about your phone process and your financial statement, where he reveals new data and trends from millions of calls. Chip will unveil fresh insights that dealers don't want to miss. For a taste of what to expect, read on.
The Current Automotive Climate: Fixed Operations may become the new “Front End”
With shrinking margins on new car sales, along with prime interest rate rising, dealers are focused more than ever on the fixed operations revenue. The customer’s experience in fixed operations continues to be the key to overall profits; driving repeat service business, as well as keeping a customer in the sales cycle.
Peter Leto of Google reported that $310 billion is spent on vehicle repairs each year, with more than half of the dealership’s gross profit coming from fixed operations. Not all customers return to the dealership where they purchased, making the customer experience when they do return more important than ever.
The caller’s journey in fixed operations has equal impact to the experience at the dealership. Your retained customers will call your service department 20 times for every 1 call to your sales team, with the most common call being the dreaded ‘status update’ call.
About two out of every three callers reaching your dealership will ask to speak with someone in service or parts. Unfortunately, 23 percent of these callers will never reach the department or agent they need to assist them with their needs. The potential opportunity from these calls is enormous, yet fumbled calls waste this potential and can shrink customer retention.
It’s more than just the sales and service call.
“I’ll call you back with that information,” “I’ll send you the pictures you asked for,” “I will have my manager call you back,” “I’ll mail you the owner’s manual” ... you know the call.
How often do these post sale calls get transferred like a hot potato to the administrative office or the fixed ops team? Oftentimes, this call ends up in voicemail or not addressed the way you’d choose, or a cold transfer (transfer without warning call receiver) to service about an extra set of keys doesn’t end well. A perfect sales experience that should result in a great survey and a repeat customer that tells all their friends, gets derailed at this juncture.
You will impact your CSI score, your real retention for sales and service, and your financial statement by knowing about these calls and addressing them in real time. You can’t snap your fingers and make these calls disappear; they’ll always be there. But, you can turn them into a positive experience with a fast and courteous resolution.
Focus on every phone call. Fix the phones.