Kia dealer presentation phil 4 13-10


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Kia dealer presentation phil 4 13-10

  1. 1. The Integration of a revolving customer experience ABC KIA U.S.A.
  2. 2. Five points of Customer 360
  3. 3. The Overview <ul><li>Creating new sales opportunities for our Sales, Service and Parts Departments </li></ul><ul><li>Improving the KIA Customer experience through good process </li></ul><ul><li>Marketing of our Fixed Operations </li></ul><ul><li>Creating Trust through Inspection process </li></ul><ul><li>Building value of products and services through training </li></ul><ul><li>Tire sales and customers who return </li></ul>
  4. 4. New Sales opportunities <ul><li>Service Absorption goal 100% </li></ul><ul><li>CP mech GP % goal 75% </li></ul><ul><li>CP ELR % of door rate goal 95% </li></ul><ul><li>Cust Pay as a % of total labor goal 70% </li></ul><ul><li>Parts Mech Gross profit margin goal 45% </li></ul><ul><li>Parts to Labor Ratio goal 80% </li></ul><ul><li>Flat Rate Hours per CPRO goal 1.7 </li></ul><ul><li>Increase based on 10 % CPRO’s,80.3 p/l ratio +.4 + 16% Pts Gross improvement CPHPRO NO TIRES SALES ON STATEMENT! </li></ul><ul><li>Current 58.5% increase to 72.4% </li></ul><ul><li>Current 75.6% </li></ul><ul><li>Current 78% Increase 10% to 85.8% </li></ul><ul><li>Current 60% Increase 10% to 66% </li></ul><ul><li>Current 29% Incr to 45% </li></ul><ul><li>Current 73% 10% to 80.3% </li></ul><ul><li>Cur 1.3 add .4 Adds $115K GP </li></ul>The first step is evaluation of current sales trends and opportunities of our Service and Parts departments
  5. 5. Improving the KIA Customer experience through good process <ul><li>Customer retention is directly affected by good business process </li></ul><ul><li>KIA customers want to be treated with respect, kindness & value their time </li></ul><ul><li>A professional business process insures KIA customers a good experience </li></ul><ul><li>KIA customers today more than ever before look for convenience </li></ul><ul><li>Good process adds Gross Profit $$$$ </li></ul>
  6. 6. Process Evaluation <ul><li>Pros </li></ul><ul><li>Sales and Service team members were courteous and thoughtful </li></ul><ul><li>Service consultants were prompt </li></ul><ul><li>Estimates were accurate and reasonable </li></ul><ul><li>Cons </li></ul><ul><li>No sales to service Hand Off </li></ul><ul><li>No signs of a walk around </li></ul><ul><li>No service Inspection process discussed with customers </li></ul>
  7. 7. Process Evaluation Continued <ul><li>Tires on customer cars are NOT being inspected at time of write up </li></ul><ul><li>First service process is currently not being utilized </li></ul><ul><li>Customers seem confused about the overall service process and tend to wait in the service drive area creating an overall confusing / chaotic atmosphere </li></ul><ul><li>New car purchase customers are not being introduced to accessories for their new purchase </li></ul><ul><li>No new car customer education about maintenance needs and how to make appointments </li></ul><ul><li>Minimal $$ YTD spent on Fixed operations advertising vs. benchmark 0.4% vs. 3.0% </li></ul>
  8. 8. Marketing of our Fixed Operations <ul><li>Many customers are unaware of the vast array of services we provide allowing them to seek our competitors services that are well known to them </li></ul><ul><li>3% of service/parts gross is a benchmark for advertising </li></ul><ul><li>Maintenance service reminders are a necessity in today's fast paced lifestyles. </li></ul><ul><li>Utilizing the internet offers inexpensive and focused marketing of your services. </li></ul><ul><li>Use printed maintenance schedules as effective sales and learning aids, and be sure service consultants use these aids to counsel customers about their scheduled maintenance and light repair needs. </li></ul>
  9. 9. Creating Trust through Inspection process <ul><li>Be sure to complete standard vehicle inspections on every customer’s vehicle, at every visit, at no charge to the customer. This is a great way to develop a trusting relationship as you keep your customers informed of the condition of their vehicles </li></ul><ul><li>The Inspection Process will add credibility to your Service Consultants by starting them in the service drive and educating the customer in the process </li></ul><ul><li>Technicians gain customer trust through completing the inspection and personalizing it with their name and thanking the customer for their business </li></ul>
  10. 10. Building value of products and services through training <ul><li>KIA customers are looking for value and quality </li></ul><ul><li>Training our team members in consultative selling skills and building value are the key to increased CSI, retention and gross profit thus increasing service absorption </li></ul><ul><li>Management Team will learn how to be competitive on pricing and the value of menu sales </li></ul><ul><li>Creating one price services for multiple vehicles through weighted cost averaging </li></ul>
  11. 11. Tire sales and customers who return <ul><li>Selling tires will help you keep customers coming to your service department </li></ul><ul><li>13% of the tires coming thru this dealership need replacement </li></ul><ul><li>78% of customers will purchase from the first tire professional that expresses the need for replacement </li></ul><ul><li>Most customers who purchased tires purchased additional services </li></ul><ul><li>Such as: </li></ul><ul><ul><li>Brakes, alignment, balancing, struts/shocks, steering components and a wide array of other services. </li></ul></ul>
  12. 12. <ul><li>“It costs four to 10 times as much to attract a new customer than to retain an existing one. So, it’s imperative to keep the ones you have happy.” </li></ul><ul><li>– Fixed Ops Magazine, May 2005 </li></ul>
  13. 13. The Road to Success <ul><li>Training of employees within service, parts and sales. We commit to 2 days initial in store training and 2 additional days per quarter to ensure your success! </li></ul><ul><li>Creating a mindset of the Excellent Customer experience </li></ul><ul><li>Developing and implementing processes that support our goals </li></ul><ul><li>Working with the management team to develop and coach their team members at a level you desire. </li></ul>
  14. 14. It’s Our Commitment and Your Decision