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Yeah - No worries. Automotive Vendors have been known to fabricate stats to serve their cause occasionally. So - I have been told by multiple OEs that they have VIN level data on every service that occurs, both in Franchise dealers and Independents as well. Which, would make sense in alot of ways on why the OEM is so focused from a CSI score and defection. It is a simple equation - the more the consumer enjoys his/her experience in the dealership for service. The more likely they are not to shop around when the time comes to buy a new vehicle. There is a clear correlation between service defection and repeat buyers. As for your questions: 56% of the time at point of defection is from tire sales. What that means is that out of the 100 customers a franchise dealership loses to an independant - 56 times it is because of some sort of Tire sale(s). The common understanding is that once a consumer does NOT service his/her vehicle with the dealer, the likely hood of getting that customer back becomes more challenging. You could make that same argument about a consumer buying a vehicle that is in your showroom as well. The chance of selling that consumer a vehicle is highest on their initial visit. As for your question: On why Tires is the most likely point of defection or why a consumer chooses to go to Discount Tires/Pep Boys. In my opinion it is a number of things. Lack of Awareness | Pricing and Transparency | PerceptionBased on experience and more specifically observing Dealer's Websites on the Fixed side for 18 months. How many dealers have more than 1 page dedicated to Tire Sales? Those pages don't redirect to an OEM site or a 3rd widget? And the majority of the time is a Dealer does have a content page or pages, it is duplicated content, code injected from the website provider or mandated OEM program.
Yeah - No worries. Automotive Vendors have been known to fabricate stats to serve their cause occasionally.
So - I have been told by multiple OEs that they have VIN level data on every service that occurs, both in Franchise dealers and Independents as well. Which, would make sense in alot of ways on why the OEM is so focused from a CSI score and defection. It is a simple equation - the more the consumer enjoys his/her experience in the dealership for service. The more likely they are not to shop around when the time comes to buy a new vehicle. There is a clear correlation between service defection and repeat buyers.
As for your questions: 56% of the time at point of defection is from tire sales. What that means is that out of the 100 customers a franchise dealership loses to an independant - 56 times it is because of some sort of Tire sale(s). The common understanding is that once a consumer does NOT service his/her vehicle with the dealer, the likely hood of getting that customer back becomes more challenging. You could make that same argument about a consumer buying a vehicle that is in your showroom as well. The chance of selling that consumer a vehicle is highest on their initial visit.
As for your question: On why Tires is the most likely point of defection or why a consumer chooses to go to Discount Tires/Pep Boys. In my opinion it is a number of things. Lack of Awareness | Pricing and Transparency | Perception
Based on experience and more specifically observing Dealer's Websites on the Fixed side for 18 months. How many dealers have more than 1 page dedicated to Tire Sales? Those pages don't redirect to an OEM site or a 3rd widget? And the majority of the time is a Dealer does have a content page or pages, it is duplicated content, code injected from the website provider or mandated OEM program.
