Kia dealer presentation phil 4 13-10

The Integration of a revolving customer The Integration of a revolving customer experienceexperience

ABC KIA U.S.A.

Five points of Customer 360

The Overview

Creating new sales opportunities for our Sales, Service and Parts Departments

Improving the KIA Customer experience through good process

Marketing of our Fixed Operations

Creating Trust through Inspection process

Building value of products and services through training

Tire sales and customers who return

New Sales opportunities

Service Absorption goal 100%

CP mech GP % goal 75%

CP ELR % of door rate goal 95%

Cust Pay as a % of total labor goal 70%

Parts Mech Gross profit margin goal 45%

Parts to Labor Ratio goal 80%

Flat Rate Hours per CPRO goal 1.7

Increase based on 10 % CPRO’s,80.3 p/l ratio +.4 + 16% Pts Gross improvement CPHPRO NO TIRES SALES ON STATEMENT!

Current 58.5% increase to 72.4%

Current 75.6%

Current 78% Increase 10% to 85.8%

Current 60% Increase 10% to 66%

Current 29% Incr to 45%

Current 73% 10% to 80.3%

Cur 1.3 add .4 Adds $115K GP

The first step is evaluation of current sales trends and opportunities of our Service and Parts departments

Improving the KIA Customer experience through good process

Customer retention is directly affected by good business process

KIA customers want to be treated with respect, kindness & value their time

A professional business process insures KIA customers a good experience

KIA customers today more than ever before look for convenience

Good process adds Gross Profit $$$$

Process Evaluation

Pros

Sales and Service team members were courteous and thoughtful

Service consultants were prompt

Estimates were accurate and reasonable

Cons

No sales to service Hand Off

No signs of a walk around

No service Inspection process discussed with customers

Process Evaluation Continued

Tires on customer cars are NOT being inspected at time of write up

First service process is currently not being utilized

Customers seem confused about the overall service process and tend to wait in the service drive area creating an overall confusing / chaotic atmosphere

New car purchase customers are not being introduced to accessories for their new purchase

No new car customer education about maintenance needs and how to make appointments

Minimal $$ YTD spent on Fixed operations advertising vs. benchmark 0.4% vs. 3.0%

Marketing of our Fixed Operations

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

3% of service/parts gross is a benchmark for advertising

Maintenance service reminders are a necessity in today's fast paced lifestyles.

Utilizing the internet offers inexpensive and focused marketing of your services.

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.

Creating Trust through Inspection process

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

The Inspection Process will add credibility to your Service Consultants by starting them in the service drive and educating the customer in the process

Technicians gain customer trust through completing the inspection and personalizing it with their name and thanking the customer for their business

Building value of products and services through training

KIA customers are looking for value and quality

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

Management Team will learn how to be competitive on pricing and the value of menu sales

Creating one price services for multiple vehicles through weighted cost averaging

Tire sales and customers who return

Selling tires will help you keep customers coming to your service department

13% of the tires coming thru this dealership need replacement 13% of the tires coming thru this dealership need replacement

78% of customers will purchase from the first tire professional that expresses the need for replacement

Most customers who purchased tires purchased additional services

Such as: Brakes, alignment, balancing, struts/shocks, steering components and Brakes, alignment, balancing, struts/shocks, steering components and

a wide array of other services.a wide array of other services.

“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.”

– Fixed Ops Magazine, May 2005

The Road to Success

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!

Creating a mindset of the Excellent Customer experience

Developing and implementing processes that support our goals

Working with the management team to develop and coach their team members at a level you desire.

It’s Our Commitment and Your Decision