Head of Service, Warranty and Audit
Our client had an initiative to increase customer retention and bring lapsed customers back into the network with a service marketing programme. Based on VIN numbers provided by the client, the challenge was to create a programme using the data provided, understanding when to communicate with customers and what offers were suitable.
Research clearly indicates that the main reasons for owners to defect from the Franchised network for service and repair is due to high cost associations. Some Dealers are also of the view that they are unable to compete on price when this is not usually the case. In turn, they don’t communicate with customers who own vehicles of a certain age.
Consequently, workshop effectiveness goes into decline and customer loyalty to the brand weakens leading to potential defection to a competitor brand for the next purchase.
The Solution Taking information from the chassis data which indicates potential upcoming service and repair requirements for specific vehicles, Impetus Automotive worked alongside the UK NSC to develop a communications strategy to re-engage their customers and challenge the Dealers’ own perception of high pricing.
Via an administration team and a team of Field Consultants working with Dealers on engagement and programme benefits, we delivered:
The Outcome Through the Business Process Improvement function of Impetus, we were able to develop and facilitate the programme on behalf of our client, growing from a 3 person operation to an 8 person operation within 2 years.
Due to the success of the programme, quarterly sales improvement in 2012 averaged incremental revenue of £1.25million from the campaigns which delivered a Dealer Return on Investment ratio of 10 to 1.