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Showing posts with label service. Show all posts
Showing posts with label service. Show all posts

Sunday, April 01, 2012

Lexus Explains How Two New Store Positions Are Targeting Better Customer Service

Lexus contends it is “raising the bar again” in regard to customer service by partnering with its franchised dealers to create two new certified store positions.

Announced Thursday, Lexus explained the vehicle delivery specialist (VDS) will introduce customers to their new units and review the features of each model.

Meanwhile, the brand highlighted the vehicle technology specialist (VTS) will serve as a resource for customers who have any questions about how to use the advanced functions of their vehicle, including the new Lexus Enform telematics system. 

Lexus group vice president Mark Templin reiterated that when the nameplate was established 23 years ago, it was dedicated to providing the best customer service experience in the industry. Templin stressed Lexus’ commitment to that goal is reflected in its top position in the J.D. Power and Associates Customer Satisfaction Index for 15 years, including the past four in a row.

The Lexus boss thinks these new dealership staff members can keep Lexus at its current customer service perch.

“With the advent of more technology in luxury cars, customers often have questions about their navigation system, establishing a Bluetooth connection for their phone or managing other telematics systems,” Templin explained.

“While we’re happy to answer their calls, we think it will be much more beneficial to have experts at our dealerships who can establish and maintain relationships with customers to answer any questions about their cars,” he continued.

With the launch of the new 2013 GS, brand executives said training for the VDS and VTS positions is now taking place across the country.

To emphasize the importance of these customer-facing positions, Lexus noted it is applying the philosophy of “takumi,” or master craftsman, to their jobs. Dealership associates are trained to treat customer service as a craft and are given advanced tools to help them go the extra mile with customers.

Lexus pointed out much of the training for the dealership associates is accessed through interactive iPad apps. The product information apps, including one specifically for the GS and also for Lexus Enform, include training exercises and are available for customers to download. Or, if a customer prefers, the individual can use iPad features like Facetime to contact their dealership and receive a remote personal tutorial in their vehicle. 

“Lexus customers are becoming more and more technologically savvy, and we want our dealership associates to be able to communicate effectively with them throughout the sales, delivery and ownership process,” shared Vince Salisbury, Lexus College dealer training manager.

“Customers can access the information on their own, come in to the dealership or contact their dealership via phone, e-mail or iPad to get the answers they need,” Salisbury added. “The idea is to give them what they want, when they want it and how they want it.” 

In addition to providing technical training, Lexus mentioned it is training dealership associates to recognize verbal and nonverbal feedback to customize each customer’s experience.


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Wednesday, February 22, 2012

JMN Logistics Adds International Shipping Service

Auto Remarketing | JMN Logistics Adds International Shipping Service

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February 21, 2012 | ST. LOUIS By Auto Remarketing Staff Cindy Darnell, JMN Logistics

Because international vehicle shipping has become quite popular during the past decade, JMN Logistics expanded its transportation services on Monday to include international shipping.

When chief operating officer Cindy Darnell learned the company could make international shipping easier and less complicated for customers, she insisted that it became a top priority to gain partnership with quality affiliates all across the country and around the world.   
 
JMN owner Jon Nuckolls contends the company now offers fares reasonable enough to justify bringing a vehicle overseas.  

“People who have strong attachments to their vehicles can take comfort in knowing that if they need to move their vehicles to another country they can do so reasonably,” Nuckolls declared.

Darnell highlighted, "JMN ships to all 50 states so it only seemed natural that the next step would be to grow an international department as well.

“We will uphold the same standard for our international moves that we do for our domestic ones, which means all equipment and drivers are filtered through the most stringent standards in the industry. All our auto haulers are fully licensed and insured as required by FMCSA,” she continued.

Denise Jarvis, who is heading up JMN’s international shipping department, added, “JMN takes dedicated attitude to assigning drivers that are dependable, consistent and prompt. We do our best to price realistically, in an constantly changing market, to provide the most efficient service.”


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Sunday, January 29, 2012

Women-Drivers.com Releases List of Top Automakers for Service

Auto Remarketing | Women-Drivers.com Releases List of Top Automakers for Service

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January 26, 2012 | PITTSBURGH By Auto Remarketing Staff

For dealers, service visits serve as a way to interact and check in with current customers — a convenient way to foster customer loyalty. And Women-drivers.com has just released a list that shows which dealers are succeeding in providing superior service after purchase, according to female customers' ratings.

Topping the list of highest ranked servicing car brands by women are two luxury nameplates, Mercedes-Benz (4.71) and Acura (4.67).

Moreover, Mercedes-Benz also recently topped a list released by the site that showed the overall top car brands as rated by women. 

After tracking thousands of consumer reviews with regards to womens' purchasing and browsing experiences at dealerships, the site found that the luxury nameplate took the highest score in both categories.

Mercedes-Benz scored a 4.89 for purchasing experience and a 4.59 for browsing at a dealership experience.

On the site, dealerships’ scores range from 1.0 to 5.0 on the its Women Satisfaction Index (WSI).

Honda and BMW followed the two leaders closely behind in the servicing department with scores of 4.62 and 4.57, respectively.

Why are these numbers so important? The site stressed that with “women accounting for about two-thirds of all dealership service visits,” it is important for dealers to research what practices best suit their female customers.

Further explaining this logic, Anne Fleming, president of the site, noted, “The average customer buys a new car every 40 months, according to NADA (National Automobile Dealers Association). However, during the same time duration, those customers make an estimated ten visits to a dealer's service lane. These interactions are crucial to a dealership for several reasons.

“There is a higher rate of net income that is derived from the service department, for starters; and if a she has a good experience, there is a much higher probability she will be returning to this dealership to buy, especially if she is staying with that brand,” she continued.  “Brands that maintain very strong WSI servicing scores are continuously meeting women’s expectations.

“It's all about trust and treatment,” she concluded.

And just what were these brands’ dealers scored on? Site officials cited the following:

—Ease of scheduling service appointment.

—Receiving an estimate prior to work being completed.

—Being kept informed of the progress or any changes and the financial implications of those changes.

—Being treated respectfully.

—Work being completed to satisfaction.

—Car being cleaned.

—Plans to have service work done there in the future.

And with the average rating for all brands coming in at a 4.04, a few brands on the list hit below the desired mark.

Volkswagen and Chevrolet sat at the bottom of the list of the rated 15, with scores of 3.87 and 3.85 respectively.

Here is the complete list of the 15 brands with the highest servicing WSI scores at new car dealerships, according to Women-drivers.com: 

1. Mercedes-Benz: 4.71

2. Acura: 4.67

3. Honda: 4.62

4. BMW: 4.57

5. Lexus: 4.42

6. Buick: 4.23

7. Toyota: 4.18

8. GMC: 4.16

9. Jeep: 4.12

10. Subaru: 4.03

11. Chrysler: 3.97

12. Dodge and Nissan: 3.93

13. Hyundai: 3.91

14. Volkswagen: 3.87

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Thursday, December 08, 2011

Pitching products in the service drive works. Just ask Nestor.

Jim Henry
Automotive News -- November 30, 2011 - 12:09 pm ET
Alvarez: "We reward whoever sells it, whether it's a sales person or a cashier. "

It's impossible to miss Service Manager Nestor Alvarez at Land Rover North Dade, a Miami dealership -- or the fact that he offers extended-service contracts in the service lane. "We promote it pretty heavily," he says.

That's an understatement.

The slogan "Ask Nestor" appears on dealership banners, e-mail promotions, all over the dealership's Web site, and on hats and buttons dealership employees wear, Alvarez says. A typical banner: "PROTECTING Your Investment with an Extended Warranty is Even SAFER than Driving a Land Rover! Ask Nestor!"

Land Rover North Dade is part of the Warren Henry Auto Group. The group has six locations with seven franchises in Florida (Fisker, Infiniti, Jaguar, Lamborghini, Land Rover, Subaru, Volvo).

The group has been promoting and selling extended-service contracts -- sometimes referred to as extended warranties -- to service customers for about a year. On Nov. 17, Alvarez gave a presentation in a 30-minute Webinar hosted by Automotive News, titled "Master Extended Warranty Sales." [To view it at no charge, go to autonews.com/webinars] Special Correspondent Jim Henry interviewed Alvarez by phone on Nov. 29.

Do you offer contracts to all service customers?

We offer contracts on the service drive to everybody who would qualify ... We can go up to a 7-year-old car, and up to 80,000 miles. They're working on providing us with something a little bit longer.

Who's "they?" Do you have a particular supplier, or do you sell a lot of different contracts?

We use Vanguard Dealer Services. We only sell EasyCare service contracts. That is one part of the business. We also sell KeyCare [key replacement policies], dent repair, tire and road hazard.

So service contracts aren't the only F&I products you sell in the service department.

It's not just service contracts. We try to sell road-hazard [policies], for example, but that's not so much. The other big thing we sell here is key replacement. Without it, it can cost $500 to get a key replacement for a Mercedes. It's $150 for the policies, and you can use it as many times as you need. You can also get a package where you can get a house key and everything. We also do very well with dent policies.

Do customers accept the idea of being pitched these products in the service lane rather than the sales department?

The actual effect is bigger if you take F&I to the service drive. If you're at a dealership that sells 20, or 30, or 100 cars a month, that's all the people you see in a month. We [in the service department] see that many in a day.

How do service writers get paid for F&I sales?

One of the problems [in other dealership groups] is that dealers, general managers — when you have one — try not to reward the people who sell it. We reward whoever sells it, whether it's a sales person or a cashier. They get $100. The profit is $1,000 even, so we keep the $900. If they sell enough, they can also qualify for prizes. Some [service] advisers pick up an extra $1,500 per month. We've probably tripled our extended warranty sales.

What do the people in the new-car and used-car departments think about this? Aren't you competing with them?

The competition is minimal. They're focusing on the cars they're selling that day. If a dealership sells 50 used cars in a month, that's 50 chances they have to sell a contract. We have 40 customers a day. The sales department doesn't have that kind of traffic. I don't think it's business that they would be getting anyway. There's not a real hard competition with sales.

Is the whole Warren Henry group doing this, or just your market?

It's everybody. The profits are nice, of course, but the big thing is for retaining people. For retaining people, it's a great tool.

When you say retaining people, you mean retaining service customers, right? J.D. Power says people quit going to the dealer for service after their original warranty expires.

That's right. Especially at the high end, you see more people hanging on to their cars longer. We always ask how long the customer plans to keep their car. If it's at least three years, they'll probably get their money back.

You can reach Jim Henry at autonews@crain.com. Readers are solely responsible for the content of the comments they post here. Comments are subject to the site's terms and conditions of use and do not necessarily reflect the opinion or approval of Automotive News. Readers whose comments violate the terms of use may have their comments removed or all of their content blocked from viewing by other users without notification.

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Wednesday, November 23, 2011

Transcontinental execs get 5 years in service contract scam

Jim Henry
Automotive News -- November 23, 2011 - 12:01 am ET

Two former executives of Transcontinental Warranty Inc., a Florida company that sold extended-service contracts directly to consumers, were each sentenced to five years in jail for fraud and misleading sales practices.

Christopher D. Cowart, 50, president of Transcontinental, and Cris D. Sagnelli, 46, vice president, were sentenced on Oct. 31. In addition to the jail terms, they were sentenced to another five years of post-release supervision and fined $15,000 each.

The pair pleaded guilty in December 2010. The company is effectively out of business and stopped writing new contracts since 2009, a prosecutor said.

Direct-to-consumer sales potentially take business away from dealerships that sell extended-service contracts, according to the Service Contract Industry Council, a trade group based in Tallahassee, Fla.

Fraud cases also may hurt the reputation of extended-service contracts in general, the group said. There have been several other cases, including the high-profile bankruptcy last year of another direct marketer, U.S. Fidelis in Wentzville, Mo. A couple of former U.S. Fidelis executives also have been indicted on criminal charges.

According to court documents, automated "robo calls" from Transcontinental reached the attorney general of Indiana, a U.S. senator (on his personal cell phone), consumers who had registered on the "Do Not Call" list, and thousands of consumers and businesses who didn't even own cars.

Transcontinental often misled consumers into thinking they were dealing with the manufacturer that made their car, a prosecutor said.

Many consumers believed they were somehow "reinstating" or extending the original-equipment warranty, when in fact they were buying an extended-service contract from an unrelated third party, court documents said.

Prosecutors said millions of consumers received phone calls from Transcontinental, and "tens of thousands" of customers bought contracts as a result of the deceptive sales pitch, from a generic-sounding "Warranty Service Center."

You can reach Jim Henry at autonews@crain.com. Readers are solely responsible for the content of the comments they post here. Comments are subject to the site's terms and conditions of use and do not necessarily reflect the opinion or approval of Automotive News. Readers whose comments violate the terms of use may have their comments removed or all of their content blocked from viewing by other users without notification.

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