Don Zogg

Misconceptions about franchise car dealership Service departments persist despite industry efforts to change the conversation. You know how it goes: Dealership service centers are too expensive; the technician around the corner will do the same work; etc.

As a result, many vehicle owners skip car dealerships and turn to independent and chain shops. Franchise dealers retain only about 30% of customers after warranties and maintenance programs expire, according to CDK Research. That lost revenue adds up to tens of millions of dollars every year.

The spotlight is shining on delivering great customer experiences. In fact, 84% of dealers plan to increase their focus on the customer experience in 2024. And great strides have been made to meet buyer demand for a more efficient and seamless car-buying process. But what about on the Service side of the business?