We can all agree that bringing new customers is essential for your business. However, when you reach them the first time, the next step is to adopt a strategy that will help you retain them in the future.
The main goal is to increase a profit per single customer while reducing overall expenses for marketing and promotion. Therefore, you can handle every single aspect by retaining existing customers.
The best way to learn more about the importance of retention is by checking here for additional info.
Customer retention and loyalty are essential for car dealership companies. It is better to sell five cars to one customer than to sell them to five different ones.
Here, we will discuss different customer retention strategies you should implement to take your business to the next level.
Crucial Facts to Remember About Car Dealership Customers
- As Customers Age, They Become More Loyal to Vehicle Brand – It is vital to remember that they are more likely to find a car brand they trust and buy it as consumers are getting old. That way, if you have many elderly customers, they are more likely to purchase cars from you than other dealerships.
- Customer Service is Essential for Retention – The main goal is to create a meaningful, helpful, and efficient experience for people that wish to buy from you. Data has shown that more than sixty percent of people will go to other dealerships if they have a terrible experience with your employees.
- It Is More Expensive to Find New Buyers Than Retain an Old One – Getting a new buyer is not a simple task, especially when it comes to statistical data. The cost differences are seven times more expensive compared with retaining the past ones. That is why you should focus on the ones that have already been buyers, which will boost a retention strategy with ease.
- A Small Increase in Retention Will Bring You a Significant Profit – It is vital to understand that retention will help you reach higher profits than finding new buyers, similarly as mentioned above. For instance, a five percent increase in retention will help you boost overall profits by twenty-five percent compared with other options. As you can see, this strategy is much more efficient compared with other options you can choose.
- Suppose People Are Using Your Dealership to Service Their Vehicles. In that case, they are More Likely to Buy New Car from You – Statistics state that people that are servicing their vehicles at your dealership are eighty times more likely to choose you instead of your competitors. Implementing a service department is an essential way to boost your overall revenue. However, it is not just about profits because having a service center is vital to keeping your customers back to your dealership for new leases and purchases.
It is vital to enter this website: https://www.forbes.com/sites/forbestechcouncil/2020/05/12/five-customer-retention-steps-to-boost-profitability/?sh=35d541731644 to learn the steps towards reaching past buyers.
Customer Retention Strategies
Ensure Frequent Maintenance Appointments
Similarly, as we mentioned above, regular servicing will bring you more returned buyers because the process will increase the overall chances they will lease or purchase a vehicle from you.
That is why you should find ways to ensure your customers will use your dealership as the place they service cars.
- Implement Automated Service Notifications – You can create email and text messaging campaigns to remind past buyers they should conduct regular services based on a particular timeframe. If you decide to implement an automation process, you will ensure that past buyers get relevant and timely notifications. As a result, you will increase the number of regular maintenance checkups, which will bring you closer to them than before.
- After-Hours Appointments – According to reports, people tend to schedule maintenance appointments after-hours. That way, you can reach more younger drivers that will schedule appointments after you close your dealership, which will bring you more potential buyers. You need to ensure your phone system and website will allow after-hour scheduling.
- Service Discounts – You can also implement specials and discounts for regular visits, which means they are more likely to choose you instead of neglecting or going to another service center.
- Let Them Understand the Importance of Regular Appointments – Numerous vehicle owners tend to avoid and neglect regular maintenance due to a wide array of reasons. That is why you should create blog posts, social media posts, and other digital campaigns to explain the importance of regular maintenance.
Send Non-Business Messages
Retaining is about creating a meaningful relationship with your past buyers. Therefore, you should implement other means of communication that will help them get closer to you than before.
If you wish to learn more about automotive customer retention, we recommend you to visit a link we shared with you.
For instance, you can send them birthday cards through text or email, which will let them understand how you treat past buyers. At the same time, you can do the same thing for anniversaries, holidays, and other crucial events.
Finally, you can create community events that will bring all past buyers to reach your dealership without purchasing something. That way, you can get them closer to your business than before, which will help you retain them in the future.