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Boost Service Revenue: Why Tires Matter More Than You Think

By July 9, 2024September 10th, 2024Customer Retention2 mins read
Boost Service Revenue in Auto Dealerships

Introduction

Do you want to increase Service Department revenue? Look no further than tires! You might be surprised to learn that while tire sales typically make up only 20% of service department revenue, they play a crucial role in customer retention.

Why Tires Matter

Here’s the shocker: tire sales are the #1 reason customers abandon dealerships for independent shops. Industry data reveals that 80% of consumers buy from the shop that recommends new tires, and 90% get maintenance done where they buy tires.

The Problem: Lack of Awareness

Why do customers head elsewhere for tires? It’s a lack of awareness.
  • A mere 33% of vehicle owners buy tires at dealerships.
  • A staggering 29% are unsure if their dealership even sells them!
  • Even loyal customers are often unaware (24%).
This lack of knowledge is a missed opportunity. Customers are going elsewhere, and big box stores are capturing a growing market share with aggressive pricing and marketing.

The Solution: Leverage Kea

Kea can help you recapture lost revenue with these simple steps:
  1. Identify Untapped Potential: Ask Kea to show you repair orders by type, identifying customers who haven’t used your tire services.
  2. Target Your Audience: Export this customer list to create targeted marketing campaigns.
  3. Engage Your Marketing Team: Collaborate with your internet marketing person in Kea to craft compelling messages.
  4. Reach Out Directly: Utilize email newsletters, mailers, and text messages to remind customers about your tire services.
  5. Unlock Hidden Insights: Kea empowers you to ask simple questions and gain valuable data about your service department.

Shifting Your Focus

By focusing on tires, you can significantly boost profits and offset declines in other service areas.

Ready to learn more? Book a Kea demo and discover how to unlock insights that drive service department revenue.

Contact Us Today!