Fixed Ops Magazine - 2020 Vol17 02 - 28

FEATU R E
MARCH APRIL 2020 || FIXED OPS MAGAZINE

T H IR S TY FOR T RAN SPARE N CY
HOW T R A N S PA R E N T P RICING BO LSTERS S E RVICE
SA L E S AT REIC H E RT C H E VRO LE T
BY JASON UNRAU

T

he average customer's journey
through the service department
is filled with mistrust. From quality of repairs to price, service customers
have a deep-rooted view that an aftermarket repair shop offers superior value.
The most recent Cox Automotive Service Industry Study emphasizes this
perspective held by customers where
they responded to a question of why
they no longer service at the dealership.
Of the five top barriers to retention,
four were related to cost. The top reason was "Total cost is not reasonable."
Mark Hanks, service director at Reichert
Chevrolet Buick of Woodstock, recognizes that as an horrific misconception.
Their Illinois dealership serves a city
with a population of over 25,000 as well
as a catchment area northwest of Chicago and south of Milwaukee, WI.
"The customer's preconceived notion is
that the aftermarket repair facilities are
always cheaper than the dealership; the
dealership is always way more money
and tries to take advantage of the consumer. In reality, we provide a better
product and better installation because
of trained technicians, and for less money than the aftermarket does."
Yet, the notion persists, true or not.

28

To combat the perception that's been
long entrenched in the service customer's mindset, Reichert Chevrolet
displays local competitive comparison
pricing from InteliChek on a digital
screen in their service drive. Every customer who passes through their service
drive can lay their eyes on the full-color
TV screen.
This reader board takes mystery
shopped prices from local aftermarket
providers and puts them side by side

against Reichert's in-store menu-priced
services. The data, completely true and
compiled by a third party rather than
the manufacturer, takes customer after
customer by surprise.
The same Cox Automotive study points
out a trust issue between customers
and their selling dealers, and dealerships in general. Of those polled, 60%
of respondents indicated that they
would be "more willing to travel further
for service" and 54% said they would be



Fixed Ops Magazine - 2020 Vol17 02

Table of Contents for the Digital Edition of Fixed Ops Magazine - 2020 Vol17 02

Fixed Ops Magazine - 2020 Vol17 02 - 1
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