3 Min ReadJuly 16, 2021

After winning customers back, how do you keep them?

Let’s say a dealership has successfully overcome concerns of trust, fair pricing and convenience — and won back customers that had been previously lost to other providers. How easy is it to keep them coming back for service?</p>  <p>The numbers suggest it will take some work: shopper loyalty, according to a 2020 study conducted by the CDK Research and Insights Team, ranked dealerships (at 47 NPS) significantly behind independent service providers (at 63 NPS). </p>  <p>One strategy may be leveraging custo

Let’s say a dealership has successfully overcome concerns of trust, fair pricing and convenience — and won back customers that had been previously lost to other providers. How easy is it to keep them coming back for service?

The numbers suggest it will take some work: shopper loyalty, according to a 2020 study conducted by the CDK Research and Insights Team, ranked dealerships (at 47 NPS) significantly behind independent service providers (at 63 NPS).

One strategy may be leveraging customer perceptions. Research shows that customers tend to prioritize different providers based on perceived strengths. Dealerships are the front-runner when shoppers feel knowledge is needed (44%). But when speed is primary, chain service providers take the lead (59%).

In light of this, dealerships can play to their strengths by:

  • Emphasizing dealer knowledge through certifications and vehicle specializations
  • Promoting their factory-certified parts; 35% of shoppers visit dealerships for them

illustration of a mechanic and car parts

Finding the features customers want.

Another way dealerships can increase retention is by delivering the features that matter most to their customers. Here are several identified as particularly worthy of consideration:

Enhancing communications to build trust

Real-Time Service Updates
54% of customers would love if this were available, and 72% of dealers are either interested (43%) or have already added it (29%). Among the latter group, this has already a proven success: 97% of dealers who have this feature are satisfied.

Price Estimate at Booking
49% of shoppers would love if this were available, and 59% of dealers are either interested (24%) or have already added it (35%). Of the dealers currently using it, 84% are satisfied.

Market Price Information
The ability to show customers the transparency of market pricing is proving itself as a powerful tool. 57% of dealers are either interested (36%) or have already added it (21%). Of the dealers currently using it, 84% are satisfied.

In step with pandemic shopper interests

Mobile Check-In and Check-Out
38% of shoppers would love if this were available, and 63% of dealers are either interested (41%) or have already added it (22%). Of the dealers currently using it, 79% are satisfied.

Remote Vehicle Pickup and Delivery
60% of shoppers would love if this feature were available. 63% of dealers are either interested (16%) or have already added it (47%).

Evaluating features for the future.

Since technology is constantly moving forward, it would be impossible to predict every possible upcoming feature. But there are two questions dealers will always be able to ask of potential features for their Service business — whether available tomorrow or ten years from now:

  • How is this helping me win back customers?
  • How is this helping me keep my customers?

Remember: about 70% of new-car purchasers take their service needs elsewhere. But dealers responding to the latest data could significantly reduce this outflow of business — and make their dealerships far more profitable.

If you missed them, be sure to read Part One and Part Two to see what the latest data suggests are the reasons Service customers leave in the first place, and what you can do to win them back.

Share This

CDK Global
By CDK Global
Staff

Recent Insights

Road Tripping and Overcoming EV Range Anxiety.

Road Tripping and Overcoming EV Range Anxiety

With electric vehicles inching closer and closer to price parity with gas-powered and hybrid vehicles, interest in EVs has skyrocketed....
4 Min ReadJun 13CDK Global
Don’t Flub the Dealership Test Drive.

Why Dealerships Can't Afford To Flub the Test Drive

Nearly everyone who buys a car takes it for a test drive before they close the deal, 91% of all car...
2 Min ReadJun 11CDK Global
How A I Can Help Secure Your Dealership Service Marketing Spend.

How AI Can Help Secure Your Dealership Service Marketing Spend

U.S. auto dealerships spent $4.46 billion in advertising expenditures last year, averaging thousands per month per dealership. Advertising expenses aren’t...
2 Min ReadJun 9Jeanie Cairo
Inventory Dip Alters One Crucial Metric in May

Inventory Dip Alters One Crucial Metric in May

Inventory picked up slightly in May but still remains lower than what was witnessed last year. Overall, shoppers are just...
2 Min ReadJun 2David Thomas
How to Spot Generative A I in Automotive Retail.

How To Spot Generative AI in Automotive Retail

Every vendor in the automotive retail industry is touting artificial intelligence and innovation. From marketing tools to sales assistants, dealerships...
3 Min ReadMay 21Amber Good
How Dealership A I Tools Can Help Service Team Productivity.

How Dealership AI Tools Can Help Service Team Productivity

Eight minutes and 12 seconds may not seem like a long time, but for dealership customers stuck on hold trying...
3 Min ReadMay 14CDK Global
Make Your Entire Dealership’s Phone System Smart.

Make Your Entire Dealership’s Phone System Smart

A dealership’s phone system is integral to generating business and if it’s not up to today’s challenges it may be...
3 Min ReadMay 9Natalia Mischenko
How Your Dealership Can Prepare for Auto Parts Tariffs.

How Your Dealership Can Prepare for Auto Parts Tariffs

Navigating the world of tariffs is no easy task. It seems there’s news of changes nearly every single day. But...
3 Min ReadMay 7Adam Bigelow
Car Pros Optimizes Operations With C D K Dealership Experience.

Car Pros Optimizes Operations With CDK Dealership Xperience

Car Pros Automotive Group has a rich history, starting in the mid-'90s as a used car lot founded by CEO...
2 Min ReadMay 5CDK Global
Car Buyers Hit More Dealers Amid Tariff Turbulence

Car Buyers Hit More Dealers Amid Tariff Turbulence

If there’s any question about tariffs impacting car buyer behavior it seemed to prove out in April. While 90% of...
3 Min ReadMay 1David Thomas