HELLO MUDLICK MARKETING CLIENTS AND PROSPECTS,
Many of you have recently started your direct mail program with us (or will be starting your program soon) and are just starting to see the short-term benefits of a targeted direct mail program. We spoke at Mudstock 2009 about how our industry used to be 80% broke cars and 20% PMI / Oil change cars.
That statistic has unfortunately changed and now we see 70% PMI / Oil changes and 30% broke cars. This change has caused us to evaluate how we treat our existing and new customers at the front counter.
ASK YOURSELF: ARE YOU SAYING “YES” TO YOUR CUSTOMERS OR DID YOU TURN THAT OIL CHANGE CUSTOMER AWAY/TRY TO SCHEDULE THEM IN LATER?
Generally speaking, each customer is worth about $4,000 in sales and $2,000 in net profit over a five year period of time. Now, what we sometimes fail to see is what a customer is worth in the short-term as well as the long-term.
In the short-term, a new customer who received your direct mail piece might only be worth an oil change on the first visit. However, if you have great, speedy service and can build a strong business relationship with every customer, it will pay off in the long-term.
DID YOU KNOW THAT MOST REFERRALS MADE BY CUSTOMERS END UP BEING A BROKE CAR? NOT AN OIL CHANGE REFERRAL.
A referral from that initial short-term oil change customer might be worth a $2,000 water pump. If you said yes to your customer on the oil change then you just earned a $2,000 broke car referral. How many other referrals do you think you might have lost for saying “NO” to your customers? When you advertise, you must say “YES” to your customers. If the customer asks for an oil change and nothing else, you must say “YES”.
How Much Is Your Customer Worth