Dealership service-bay revenues are down as people work from home and venture out less often. But as vaccines are administered and people become more comfortable traveling, dealership groups are optimistic about better business in the second half.
The pandemic has accelerated many changes. Some customer-centric services, such as vehicle “concierge” or pick-up and delivery, went from a convenience to the price of admission for most fixed operations.
Despite record 2020 dealership profits from car sales and Finance & Insurance products, there’s less demand for parts and service because COVID-19 has reduced wear and tear on vehicles, Lithia, Asbury and Group 1 report.
RevolutionParts’ annual Parts eCommerce Report says parts sales processed through the company's online platform grew 28% in 2020, from $328 million to $421 million.
Panelists say dealers are offering what’s now a familiar menu of pickup and delivery and sanitizing customer vehicles, as well as new approaches where dealers get more value from customer data.
“This research confirms that quality work done promptly, explained clearly, for a fair price, and delivered with excellent customer service is what leads to customer satisfaction among American drivers.” says Timothy Gravelle of SurveyMonkey...
“When people see that van, and the doors open, and they hear that generator start up, they want that service,” says David Bergamotto, service manager for Park Avenue BMW of Rochelle Park, NJ.
