3 Features to Look for in a Service Retention Program
- 36% of people under 30 look forward to receiving physical mail.
- Service reminders are a powerful form of direct mail.
As new vehicle sales level off, the pressure to increase service business will intensify. Bringing back current customers for regular maintenance and additional services is vital to the success of your dealership.
Reach More Customers
You have a variety of options when it comes to reaching your customers. Television, radio, newspapers, online advertising, email, and direct mail all have their place in dealership marketing, but which method is the most effective? In a world where digital advertising is a popular topic, direct mail still remains a powerful connection tool. Direct mail response rates for in-house lists remain high at 5.1%, exceeding the 2% response rate for all digital channels combined.
Direct mail is also an effective tool for reaching multiple generations. In fact, 36% of people under 30 look forward to receiving physical mail. 95% of 18-29 year olds have a positive response to receiving personal cards and letters.
Reinforce Existing Relationships
Service reminders are a powerful form of direct mail. Unlike many forms of advertising that cast a wide net, service reminders target your current customers. These customers have already made the decision at least once to purchase a vehicle or get service from your dealership. They have an existing relationship with your business that is important to reinforce. You can accomplish that with a service retention program that promotes your brand.
Look For These Three Features
When choosing a provider for your service reminder communications, look for these three features:
- Communications that promote your dealership’s brand and not just the OEM. You want your customers to come back to your dealership, not just any dealership that sells a particular make and model.
- A program that reaches all customers regardless of make and model, how old their vehicle is, or whether they bought their vehicle from your dealership. Leaving these customers out leaves money on the table.
- Transparent reporting that shows your return on investment and provides feedback for improving your operations.
A service retention program should work to bring customers back to your dealership, supporting your business and goals.
There’s a communication breakdown that’s been plaguing dealerships for years between the sales floor and the service department. When I say communication breakdown, what I’m…