Digital Dealer - October 2019 - 46
S A L E S & VA RIABL E OPS: Fixed Ops
By Charlie Polston
Automotive Customer Retention
& Profitability Consultant,
BG Products, Inc.
Value Is
Important... So
Are You Charging
Too Much?
Customers in your
service department say
that value is their top
priority. Does that mean
you're charging too much;
that you need to lower your
prices; or that customers
want cheap service? No!
No! No!
The Cox Automotive
Service Industry Study, after
interviewing 3,500 deal-
ership service customers,
found vehicle owners want
a good return on the vehicle
maintenance and repair
dollars they invest, and that
is the definition of value.
VALUE IS NOT AUTOMATICALLY
PERCEIVED BY VEHICLE OWNERS, IT
HAS TO BE SOLD. IT MAY WELL BE YOUR
MOST IMPORTANT SALE."
46
OCTOBER 2019
D I G I TA L D E A L E R . C O M
You get what you pay for;
cheap isn't good and good
isn't cheap.
There is this crazy
wrong impression that
dealerships charge too
much for service work -
way more than anyone
else does. It just isn't so!
For example, Cox found
the average dealership oil
change to be $61, while
the quick lube average
was $60, and tire stores
and repair chains averaged a whopping $75 - for
an oil change.
Fact: Quick lubes, tire
stores, and auto repair
chains do millions more oil
changes than dealerships.
Fact: Their average oil
change price is the same
or much higher.
Conclusion: Cheap price
is not a huge motivator -
but value is.
Quality, convenience,
and trust rounded out the
top four customer priorities
- in that order. I find that
very interesting because a
great definition for value is
quality (skilled technicians
and precisely engineered
parts), convenience (reasonable wait times, loaner
or rental cars, shuttle, and
streamlined drop-off and
pick up), and trust (keeping your word, following
through, and showing
transparency).
Speaking of convenience, the study revealed
the threshold for wait times
was 2.4 hours. Customers
that spent less than 2.4
hours at the dealership
gave a CSI grade of "very
satisfied." There is this craContinued on pg. 48
http://www.DIGITALDEALER.COM
Digital Dealer - October 2019
Table of Contents for the Digital Edition of Digital Dealer - October 2019
Digital Dealer - October 2019
A Message from the Show Director
Stop This Leadership Foolishness
Build & Develop the Right Team — Your Success Depends on It
Evolution Revolution: A Word to Successors
Could You Use Another 1 percent in Net Profits This Year?
Budget – We Don’t Need No Stinkin’ Budget
DMS Conversion: Careful Planning & Management Are Essential
Interview with Monument Chevrolet
Digital Retailing Online Experience Versus In-Store Experience
10 Social Media Tips for Salespeople
Defining Your Advertising Target Is Your Best Brand Strategy
4 Secrets for Google My Business Success
How to Know if Your SEO Investment Is Paying Off
“Look, it’s not Rocket Science” By Anthony J. TaCito
A Balanced Approach to Customer Experience
The Power of Words
Value Is Important… So Are You Charging Too Much?
Digital Dealer - October 2019 - CT1
Digital Dealer - October 2019 - CT2
Digital Dealer - October 2019 - Digital Dealer - October 2019
Digital Dealer - October 2019 - Cover2
Digital Dealer - October 2019 - 1
Digital Dealer - October 2019 - A Message from the Show Director
Digital Dealer - October 2019 - 3
Digital Dealer - October 2019 - Stop This Leadership Foolishness
Digital Dealer - October 2019 - 5
Digital Dealer - October 2019 - Build & Develop the Right Team — Your Success Depends on It
Digital Dealer - October 2019 - 7
Digital Dealer - October 2019 - 8
Digital Dealer - October 2019 - 9
Digital Dealer - October 2019 - Evolution Revolution: A Word to Successors
Digital Dealer - October 2019 - 11
Digital Dealer - October 2019 - 12
Digital Dealer - October 2019 - 13
Digital Dealer - October 2019 - Could You Use Another 1 percent in Net Profits This Year?
Digital Dealer - October 2019 - 15
Digital Dealer - October 2019 - 16
Digital Dealer - October 2019 - 17
Digital Dealer - October 2019 - Budget – We Don’t Need No Stinkin’ Budget
Digital Dealer - October 2019 - 19
Digital Dealer - October 2019 - DMS Conversion: Careful Planning & Management Are Essential
Digital Dealer - October 2019 - 21
Digital Dealer - October 2019 - 22
Digital Dealer - October 2019 - 23
Digital Dealer - October 2019 - Interview with Monument Chevrolet
Digital Dealer - October 2019 - 25
Digital Dealer - October 2019 - 26
Digital Dealer - October 2019 - 27
Digital Dealer - October 2019 - 28
Digital Dealer - October 2019 - 29
Digital Dealer - October 2019 - 30
Digital Dealer - October 2019 - Digital Retailing Online Experience Versus In-Store Experience
Digital Dealer - October 2019 - 10 Social Media Tips for Salespeople
Digital Dealer - October 2019 - 33
Digital Dealer - October 2019 - Defining Your Advertising Target Is Your Best Brand Strategy
Digital Dealer - October 2019 - 35
Digital Dealer - October 2019 - 4 Secrets for Google My Business Success
Digital Dealer - October 2019 - How to Know if Your SEO Investment Is Paying Off
Digital Dealer - October 2019 - 38
Digital Dealer - October 2019 - 39
Digital Dealer - October 2019 - “Look, it’s not Rocket Science” By Anthony J. TaCito
Digital Dealer - October 2019 - 41
Digital Dealer - October 2019 - A Balanced Approach to Customer Experience
Digital Dealer - October 2019 - 43
Digital Dealer - October 2019 - The Power of Words
Digital Dealer - October 2019 - 45
Digital Dealer - October 2019 - Value Is Important… So Are You Charging Too Much?
Digital Dealer - October 2019 - 47
Digital Dealer - October 2019 - 48
Digital Dealer - October 2019 - Cover3
Digital Dealer - October 2019 - Cover4
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