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I have been thinking quite a bit about how to address the biggest challenge we are facing in our dealerships today and that is increasing service sales while driving CSI and retention.

   

Everybody working in this business can see the writing on the wall. The old dealership model of product distribution and servicing is going away. Buyers motives have changed. People don't buy cars with the same intent they did 10, 15 or 20 years ago. 

  

In its place are more and more buyers seeking better short term value and product prestige without a long term purchase commitment. 

  

This is what I am facing as a manager in this business and I know I am not the only one. 

  

High Service CSI, customer retention and profit growth is the expectation. Dealer Principals and GM's are under increasing pressure from the manufacturers to represent the brand while providing an expanding array of benefits for purchasing their product.

  

Combine that with the "cost shifting" occurring between the manufacturer and the dealership and you have a perfect storm of competing for customers while trying to maintain a profit base that allows you to stay in business.

  

For managers like myself, we have to become more creative in our approach to everything from pay plans to marketing. Maybe a better term is clever.

  

Our service profits are being devoured by longer service intervals, better made vehicles and the largest bubble of leased vehicles ever in the history of our business. To beat the system, we have to be on point for opportunity in every facet of our business.

  

In the last year in our store we have invested in electronic infrastructure, competitive pay plans for both advisors and technicians, technician training, and service facilities upgrade including a reception area face lift along with new equipment.

  • We did all of this in one year.
  • And we still need more.

  

We can't go into this year without investing in our personnel. Advisor Training will be a priority. Not only service sales, but CSI focused training, combined with communication training.

   

High CSI, with better than average Service Sales and Increased Customer Retention are the focus. We cannot count on "natural" results and instead must direct our efforts towards targeted and definable key performance indicators.

  

Not only are we training outside of the dealership this year, we are training in the dealership on specific subjects like "CSI strategies for women", "Advanced communications including conflict resolution and negotiation skills" and "Generational communication" to name a few.

  

The dealership model is being flipped in ways we have never seen before. Every dealer principal, manager, service advisor and customer service personnel will need to be trained, coached and monitored to achieve sales and CSI goals.

  

Call, text or email if you need help. It's time to get pointed in the right direction. Cheers to you and your team!

Views: 56

Tags: #Advisor, #CSI, #Communications, #FixedOps, #Millennial, #Service, #Training, Advisor, Communications, Training

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