Search Optics, Focus On Service And Parts Have Never Been Greater

Focus On Service And Parts Have Never Been Greater

Without the profits being generated from service and parts, where would your dealership be? The time has come for the spotlight to shine on the back-end of the business.

In fact, the average technician generates as much gross profit a month for the dealership as the typical 10-unit a month salesperson. Do the math; the average sales gross minus F&I equals between $1,300 and $1,500 per unit, while a technician generates an average of $130 gross per repair order, which produces about the same gross in only 10 or 11 ROs.
With so much at stake, no service or parts department can afford to send a single customer to the competition, whatever the reason. Today, the importance of taking every opportunity to deliver service excellence at every point you engage with your customers cannot be overstated.
“Given today’s market conditions, where dealers are finding it extremely difficult to achieve profitability, it is vital that they not overlook the importance of ensuring their service customers are satisfied,” notes a recent J.D. Power and Associates report.

“Not only does meeting and exceeding the expectations of customers through after-sales service result in an increased likelihood that those customers will return for service, but it also results in increased likelihood that those customers will stay loyal to the brand when they are next in the market for a vehicle.”