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