What’s the difference between retention and loyalty? It’s simple: retention is when a customer comes back for their next oil change. Loyalty is when they wouldn’t even think about going anywhere else.
If you’re a dealership, you’ve probably got retention down to a science—text reminders, service specials, maybe a free coffee in the waiting room. That’s all good stuff, but if you’re stopping there, you’re missing the bigger picture.
We recently spoke with John Traver, CEO and Founder at Traver Connect, on an episode of Retention Roadmap. He shared how dealerships can shift their focus from simply retaining customers to building true loyalty. Let’s take a look at some of the insights we discussed in that conversation.
Retention is about events—what gets a customer to show up. Loyalty is about intent—what makes them keep choosing you.
Here’s the good news: When you focus on loyalty, the benefits start to stack up. Loyal customers come back for everything: service, repairs, tires—heck, they’ll even buy their next car from you. In fact, 50% of service customers say they’ll buy their next car from the same dealership where they service their current one. That’s not just retention—that’s a relationship.
But here’s the challenge: customers will leave if you give them a reason to. Long wait times, lack of communication, a bad experience—these are loyalty killers. Worse yet, independents and big-box stores are getting better at meeting customers’ needs quickly and cheaply. Dealerships can’t afford to sit back and hope loyalty will happen. You’ve got to build it—deliberately.
Building loyalty through customer-centric strategies
If retention is about getting customers back for another visit, loyalty is about creating experiences so good they wouldn’t dream of going anywhere else. Here’s how you shift the focus from events to intent:
1. Master the phone call
Every customer call is a chance to make—or break—their experience. The key to winning on the phone is simple: confidence and connection.
Customers hate making the call. They’re anxious. But when they hear you say, “I can absolutely help you with that,” they know they’ve got the right person on the other end.
Pro Tip: Use positive adverbs (“L-Y” words—certainly, absolutely, definitely) at the start of every call. It’s a small tweak, but it makes a big difference in how confident and capable you sound.
2. Be a lifesaver during unplanned visits
When customers have a breakdown or a roadside emergency, how you handle it can earn their trust for life. Traver’s advice? Stay on the call the whole time—even if it’s a long one.
Whether you’re coordinating a tow or transferring to an OEM hotline, don’t hang up until the customer has a solution. For you, it’s just another day. For them, it’s a crisis. Prove that you care by sticking with them until it’s resolved.
3. Mobile service: bring the shop to them
Mobile service isn’t just a convenience play—it’s a loyalty builder. Customers love the idea of skipping the trip to the shop, and dealerships love the extra capacity.
Ed Roberts’ team at Bozard Ford Lincoln has proven that mobile vans are just as productive as service bays, turning 6-7 jobs a day with no bricks and mortar required.
Why It Works:
- It meets customers where they are—at work, at home, wherever it’s easiest for them.
- It frees up shop space for high-value repair jobs.
4. Communicate like a pro
Most customers prefer texting over any other form of communication. If you’re not texting yet, you’re already behind.
The key? Make it easy, consistent, and proactive. Send reminders, updates, and follow-ups so customers never feel out of the loop.
Customers don’t want to chase you for updates. If you’re clear, quick, and professional, you’ll stand out in a big way.
The role of leadership: perspective drives loyalty
Good leadership starts with perspective. If you’re leading a dealership, you need to see the road ahead and call out the obstacles before they trip you up.
The biggest mistake? Thinking you already know what satisfies customers. You don’t. Listen to your customers—to what they want, what frustrates them, and what makes them come back. Are your service appointment wait times too long? Are customers asking for mobile options? If so, the time to fix it is now.
Leadership isn’t just about reacting—it’s about looking ahead. Invest in solutions that remove friction for customers, like mobile vans or proactive scheduling processes. If mobile service can add bays without “bricks and sticks,” why wouldn’t you do it?
You don’t need perfect execution on day one. Start with the right idea: put customers first, then refine the details as you go. Loyalty doesn’t come from flawless systems; it comes from intentional systems. Customers don’t expect perfection—they expect care and consistency.
As a leader, your job is simple: focus on loyalty, communicate the mission, and make sure your team lives it every day.
Measuring success: from retention to intent
If you’re serious about loyalty, you need to measure more than service visits. Start tracking the steps that create intent.
- Appointment scheduling rates: Are your advisors booking the customer’s next visit before they leave? That’s an easy win that pays dividends.
- Service availability feedback: How many customers are frustrated by wait times? If your BDC hears this consistently, it’s a red flag. Address it.
- Unplanned service calls: When customers call for a tow or breakdown, how does your team respond? Staying on the line the whole time—no transfers, no “call this number”—shows the kind of care that builds loyalty.
Forget focusing on quick fixes or isolated events. Loyalty comes from a combination of thoughtful communication, convenience, and confidence-building experiences. If your systems prioritize these, the numbers will reflect it.
Loyalty isn’t magic. It’s measurable—and intentional.
To learn more about what keeps customers coming back, check out the 2023 Dealership Service Retention Report.
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