Home / Articles / Are prepaid maintenance plans good for your service drive?

Are prepaid maintenance plans good for your service drive?

Studies show that service customers like to buy prepaid maintenance plans, for several reasons…according to Ryan Williams, President of Fidelis PPM. In fact, Ryan says if you’re not offering customers prepaid maintenance, you’re shortchanging them and your fixed ops department.

So, he offers these plans to simplify consumers’ lives…and why to buy them. First of all, it’s routine: plans reduce missed opportunities. A plan keeps upkeep on schedule and a vehicle operating as designed.

Secondly, plan: Ryan says like a great habit, using prepaid maintenance services helps ensure motorists that critical service are not missed. And, budget: bankrate.com reported that most consumers cannot cash flow a $500 emergency expenditure. Plan assets, prepaid and discounted save money on routine maintenance services in advance, so when needs arise…the expense is covered.

Ryan says depending on the plan the dealer implements, its use can produce: 85% first year retention, 65% each of the following two years. $70 customer-pay upsell per repair order and on average, $1,105 dollars in customer-pay service business a year with you, for the majority of the six years consumers own their vehicles today.

Check Also

SDstory2_062116a

Top tips on retaining customers in your service drive

As a service advisor, making a connection with customers is important…in fact, some would say …

Leave a Reply

Your email address will not be published. Required fields are marked *

Currently you have JavaScript disabled. In order to post comments, please make sure JavaScript and Cookies are enabled, and reload the page. Click here for instructions on how to enable JavaScript in your browser.

Leave a Reply

Your email address will not be published.