Changing a Dealership’s Culture To One That Focuses on the Customer Isn’t Easy (But it’s Necessary)
A Forbes article in November 2017 reports that customer acquisition costs are on the rise.
It’s partly due to the change in the automotive retail climate and partly to do with how customers respond to advertising.
The results aren’t what they used to be either, with more people chasing the best price and fewer customers remaining loyal after the sale.
As it’s always been, it’s much less expensive to keep a loyal customer than to acquire a new one. But how do you encourage customer loyalty in a way? It’s a one-part focus that does it.
The One Thing You Need for Customer Loyalty
A happy customer is a loyal client. When your whole culture is centered around doing what’s right for the customer, you’ll need to worry about customer acquisition costs much less. The principle applies at all levels of the automotive industry:
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• The manufacturer can expect loyalty when their product is the right fit for their customers’ needs. The product’s perceived value must be high and its quality uncompromised.
• The sales floor can expect repeat customers when their salespeople are focused on fitting a customer with the right vehicle and options package. It can’t be solely about slamming a customer into a car to pad a monthly commission check.
• The service department is the linchpin for client loyalty. Consistent, customer-centric service must be the promise and the result, not a sales push in the service drive. When they’ve felt that they were the most important part of the visit, they return for their next maintenance or repair visit and, ultimately, come back to buy their next car.
Do You Have a Customer-Centered Culture?
Evaluate your processes one by one to determine if it’s self-centered or for your clients’ benefit. When everyone on your team is of the same mindset – focused primarily on the customer – you’ll discover that your customers are increasingly loyal and your customer acquisition costs are dropping.
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