Late Ownership Services
FIXED OPS DIGITAL CEO Owen Moon was featured on the Automotive News Daily Drive Podcast last week, where he and Dan Shine discussed the importance of late ownership services for dealerships. Listen to the podcast below or read on to learn more!
Older Vehicles Need More Repairs
The average age of vehicles on the road recently passed 12 years. Owen mentions that this could be due to a combination of Covid keeping customers from purchasing new cars, people not driving as much, and the chip shortage. No matter the reasoning, the fact is that many more service customers need late ownership services and will be searching for a place to have them done.
In many cases, “once a customer’s warranty or prepaid service contract expires, up to 70% of them will go somewhere other than the dealership for service, maintenance, and repairs.” (Automotive News) Focusing on late ownership services in your fixed operations marketing can help retain customers and keep them returning to your dealership.
Late Ownership = Higher ROs
Not only are late ownership services crucial for your customers’ safety, but they can also make your dealership more money. Oil changes and tire rotations may increase customer retention, but high-mileage services such as transmission replacements and exhaust repairs are often higher-dollar ROs, so you shouldn’t overlook them.
