Route 23 Honda: The Challenge
Like many dealership Owner/Principals, Adam Barish of Route 23 Honda looked at his service department and saw unrealized revenue potential. Barish's north New Jersey dealership enjoyed strong sales volume, but his team struggled to convert vehicle buyers into loyal service customers.
Route 23 Honda Business Goals
Direct mail and other traditional marketing methods had proven ineffective, so Barish reinvested in his website and set a goal to increase web-derived revenue within a year. Key objectives:
- Improving customer communication satisfaction and retention
- Leveraging the Internet to attract new business
- Reducing overhead cost from traditional marketing methods
Barish implemented Dealer.com's Service Marketing Package, which allowed Route 23 Honda to increase and improve service-related communications. The solution included targeted email to customers approaching scheduled maintenance appointments and interactive tools like "Online Garage," where they could easily view their personal vehicle history.
The impact was dramatic. Customers immediately began sharing their appreciation for the new site especially the lineup of communication tools that made it easy to connect with Route 23 Honda.
Barish saw the benefits of this increased customer engagement and loyalty in his bottom line. Within six months of implementing Dealer.com's Service Marketing Package, Route 23 Honda achieved growth in every significant customer category:
Customer Contact: 1,921 new emails collected.
New Customer Revenue: 494 transactions and $66,607 in revenue from brand new service department customers.
Active Customer Revenue: 6,339 transactions and $1,353,023 in revenue from "active customers" who had purchased service within the last 6 months.
Inactive Customer Revenue: 1,290 transactions and $349,023 in revenue from "inactive customers" whose last service had occurred between 6-12 months prior.
Lost Customer Revenue: 282 new transactions and $97,884 in revenue from "lost customers" who hadn't visited the service department in over a year.