Spireon introduced the My Dealer feature for Kahu, a new customer retention module that allows dealers to easily target and engage customers post sale, creating ongoing revenue opportunities.
This enhancement to the award-winning Kahu connected car solution uses actual vehicle mileage and other customer data to deliver timely, relevant service reminders, promotions and other messages in a convenient and personalized way, keeping the dealership front and center with customers when they have automotive needs, the company said.
“Franchise dealers earn about 50 percent of their gross profits from fixed operations, so bringing customers back for service is critical, and mobile communication is the most effective way to do this,” said Sunil Marolia, vice president of product management at Spireon. “Relevancy is critical for consumer engagement and with the My Dealer module, dealers can reach their customers at the right time, with the right offer, on the right platform, strengthening the relationship and creating ongoing revenue opportunities.”
According to a Spireon survey of more than 2,000 consumers conducted by market research firm TechValidate, 80 percent of respondents are willing to visit the dealership for regular vehicle maintenance, and 57 percent would return for vehicle repairs. However, industry reports state dealers only capture 33 percent of the fixed operations market, indicating a significant area of opportunity for dealers. Further, 85 percent of respondents are interested in service-related features from a dealership mobile app, but only 25 percent have ever tried a dealership app.
Kahu is the first connected car solution designed to bridge the gap between traditional dealer marketing approaches and modern consumer needs, offering a high value, high frequency mobile app to consumers that makes ongoing engagement convenient and personalized. With the addition of the My Dealer enhancement to Kahu, dealership branding, services, products and community activities can be shared with customers regularly. This keeps the dealership top of mind, creates brand affinity with the consumer, and opens the door for ongoing revenue opportunities. Eighty-five percent of consumers surveyed said the timing of a reminder or special offer is important, so dealerships can benefit from the personalization within My Dealer, which ensures customers receive relevant offers at the right time.
Key features of the My Dealer module that enable increased revenue and customer loyalty are:
- Mobile convenience—simplifying maintenance reminders and service scheduling through mobile notifications can jumpstart the most profitable phase of the dealer-customer relationship
- Personalized offers—by creating more effective messages and promotions based on accurate vehicle mileage and other customer data, conversions will increase
- Brand visibility—with customized dealership imagery and contact information added to the My Dealer module, customers will keep the dealership top of mind for service and other needs. The Kahu consumer app is used 12 times per month on average, creating regular brand exposure for dealers.
- Quick and easy scheduling—click-to-schedule and click-to-call functionality within the Kahu app streamlines appointment setting
“My Dealer promises to be a game changer for us, in terms of our ability to successfully engage with our customers post-sale,” remarked Bulent Sadri, parts manager/interim service manager at Burien Nissan in Burien, WA. “Knowing consumers prefer mobile communication, the Kahu app is becoming increasingly important to ensuring the strength of our continued relationships with buyers. The convenience and personalization allowed by My Dealer will help us provide a better overall experience to our customers, which, in turn, will lead to increased retention and better margins for our business.”