Auto Dealers
Posted in art supplies on 01/21/2007 11:57 am by admin
Auto Dealers

Customer Loyalty Program: The Auto Dealer’S Best Friend
These tough economic times bring tough sales, especially auto sales. Layoffs, shortened shifts, and pay-cuts are causing consumers to spend more wisely, as they are ultimately spending less. Educated customers are not necessarily unwilling customers, however, every person that walks on the lot is crucial to an auto dealer surviving. In addition to new clients, returning customers are vital to company revenue, and building buyer loyalty is imperative. A customer loyalty program is a well-developed solution that can keep customers coming back, time after time, with dollar after dollar. The following strategies are key elements of an established automotive customer loyalty program.
Point Programs
A good customer incentive program can be tailored to meet specific needs and parameters. Generally tracked via magnetic card strips, auto dealers can learn buying habits of particular customers, and gain the ability to adapt a rebate, or points, program. For example, if a customer has come to the dealer only once to get an oil change, it can be assumed that the customer went elsewhere to get the service done. A point program will establish incentives for the customer, or allow them to earn points, to return to the dealer for all of their oil changing needs, and possibly lead to more.
Customer Contacts
Customer relationship marketing is a principal strategy is gaining continuing revenue from existing customers because it allows auto dealers to pinpoint customer spending habits. Some programs allow the dealership to sit back and relax, while the automated system gathers information and sends emails that target individual customer needs. Additionally, the system is able to gather customer information for promotions, free gifts, contests, direct mailing, and loyalty certificates. In short, an auto dealership customer loyalty program can establish credible and constant contact with existing customers.
Club Benefits
Loyalty programs can go beyond targeting individual businesses by using local cross promotion. Customer incentives can link to local restaurants, retail stores, and other businesses. This type of enticement is a win-win for customers and businesses, as it creates revenue, offers preferred recommendations and saves the customer money. A good partnership program can go even further by tailoring customer benefits to their spending habits and location. Cross promoting businesses demonstrates a genuine care for the community, and fosters a strong network of revenue.
Today’s auto dealerships are one-stop-shops for buying, trading and servicing automobiles. However, emphasizing all three of these entities to customers can be difficult. Earning a customer’s dollar in these economic times is harder than ever, yet developing customer loyalty can battle a recession by promoting a wide range of services and incentives. A good client loyalty program will be able to effectively and efficiently gather information to target particular spending habits. Building customer faithfulness is an essential component in developing consistent revenue, as well as the overall growth of a dealership.
About the Author
NuCar Consulting has been the industry leader in developing customer loyalty programs, customer relationship marketing and automotive loyalty programs proven to increase customer retention in today's changing market.
How do you approach auto dealers to offer your services to them(tires,wheels,accessories)?
I am trying to find tire dealers that have done this and if it was successful or a waste of time.If it even benefits you to try this.
From several years of experience working in the auto industry (sales & service), I have found that when vendors solicited products and/or services in person rather than by phone it was better received. The auto sales/service industry is very dependant on their phones..they don't have time to entertain cold calls from vendors.
Auto Dealers Finance Department. F&I. AutoNetwork.
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