“What if every service advisor treated their customers like they would their own mother?” That’s the radical question posed by Tully Williams, Fixed Ops Director at The Niello Company, and it means a lot more than just being friendly and considerate.
Tully brings decades of experience in elevating service departments across both luxury and mainstream brands. Tully sat down with us on the Retention Roadmap podcast to share some candid, data-driven, and customer-focused insights.
Let’s dive into what works, what doesn’t, and why trust beats any sales pitch.
The business we’re really in
Dealerships aren’t just selling oil changes, brake pads, or repairs.
“We’re in the repeat and referral business,” Tully says. That means your goal isn’t just to close a ticket—it’s to earn the next visit, and the one after that.
What does that look like in the real world?
- Treat every customer like they’re family
- Focus on long-term relationships, not one-time profits
- Ditch the short-term mindset and build something sustainable
The more your team lives and breathes that philosophy, the more customers come back—on time, and for everything.
Retention by the numbers
Here’s the thing: most dealers say retention matters. But not all of them are measuring it in a way that makes sense.
Tully’s team at Niello uses one simple rule:
“A customer is retained if they come back once every 14 months.”
Why 14? Because life happens. People get busy. Cars don’t always show up for service right at the 12-month mark. And for some brands (like Land Rover), service intervals are spread out even further.
Targets across the group:
- 75%+ retention = crushing it
- 70% retention = doing okay
- 60s or lower? Start asking “why.”
Every store in the Niello group uses the same retention metric. That way, they’re all speaking the same language and can actually compare performance without the usual “yeah but” excuses.
“I’d rather lose money on tires than lose the customer.”
This one hits hard. Tires might be the single biggest retention killer in most service departments.
Why? Because when a customer walks out your door to get tires somewhere else, there’s a good chance they’ll go back to that place for everything else too.
Here’s what Tully says works:
- Reframe the mindset. Advisors often hate selling tires because the pay isn’t great. But you’re not selling tires for margin—you’re selling them to keep the customer.
- Measure the right thing. Don’t brag about total tires sold. What matters is how many red tire events (urgent needs) were actually converted.
- Run a compelling offer. Niello’s BMW store crushed it with a “buy 3, get 1 free” promo. Tire revenue? Not great. Retention? Through the roof.
- Make techs part of the pitch. Every car gets a 45-second tech video showing tire tread and brakes in plain language—not jargon. It’s short, personal, and helps customers say yes.
Read more: Transforming Dealerships into Tire Destinations
Focus on what actually drives retention
Tully doesn’t care about how many total tires, batteries, or brake jobs were sold. He cares about whether the urgent stuff gets handled while the customer is still there.
He tracks four main categories:
- Tires
- Brakes
- Batteries
- Maintenance
For each one, the goal is simple: 75% same-day selling on red events.
What doesn’t work?
- Trying to make a killing on every repair
- Holding out for gross on small-ticket items
- Pushing gold-plated parts no one asked for
The mindset shift: These aren’t profit centers. They’re trust-builders. You make a little on them—but you keep the customer, which is worth a lot more in the long run.
Ditch the email blasts—go human
Tully’s take on communication? Let’s just say he’s not exactly bullish on email or automated texts.
“Emails are for old people. And if you text too much? Blocked.”
So what’s working at Niello?
A real, live human making actual phone calls.
Their BDC (Business Development Center) team follows up with customers at 11, 12, 13, 14, and 15 months if they haven’t come in. No AI bots. No spam. Just people talking to people.
And when that human gets a signal—maybe a customer is frustrated or confused—they can escalate it fast. The right manager can jump in, offer a pickup, schedule around a busy week, or just fix the issue before it becomes a lost customer.
Tech helps (they use a software tool called Volie), but human connection does the heavy lifting.
When (and how) is texting the right move? Listen and learn more.
Don’t blow the first visit—or the next five
Everyone talks about the first service visit like it’s the golden ticket. And yeah, it matters.
But Tully’s not putting all his eggs in that basket.
“The second, third, fourth, fifth, and sixth visits are just as important.”
Sure, you want to get that first oil change visit. But if you treat it like a box to check and don’t follow through with great communication, clear service, and personalized recommendations—you’re just teeing the customer up to leave next time.
What doesn’t work:
- A generic email eight months after the sale
- Pushy accessories offers they don’t care about
- Overuse of auto-texts with no follow-up
What does work: A real person calling with context, helpful info, and a genuine tone.
The takeaway: Retention is built over time. Nail the first visit—but don’t forget the rest.
Get Parts and Service on the same team
A huge driver of Niello’s success? They pay their parts and service managers the same way.
That’s rare. And powerful.
Most dealerships split the incentives: parts people care about parts gross, and service people care about labor hours. That creates friction.
Tully’s solution: Pay them both on the same fixed ops goals. Hours forecast + gross. That’s it.
“Parts sells hours. Not just parts. So make sure they know that.”
Then they extend that alignment all the way to the back counter staff:
- Back counter is paid on hours forecast too
- Parts runners go to the tech—not the other way around
- Tire inventory? Always ready thanks to tight relationships with suppliers like Dealer Tire
Simple change. Big impact.
Protect your service writers from burnout
Overworked service advisors aren’t just tired—they’re hurting your retention.
When they’re slammed, here’s what happens:
- Inspections get skipped
- Recommendations go unsaid
- Follow-ups turn into “just pick it up, you’re good”
- CSI tanks
- And worst of all? Customers don’t come back
Tully’s approach is crystal clear: Staff based on efficiency—not volume.
Here’s how he breaks it down:
- If your techs are 100% efficient → 3 techs per advisor
- If they’re 150% efficient → 5 techs per advisor
And yes, that’s a heavy investment. But the payoff?
- Service advisors leave on time
- They’re not fried by Friday
- They actually have time to connect with customers, explain work, and say thanks
- Retention and CSI both go up
Bonus: It makes hiring easier too. Niello has a bench of techs and writers ready to step in—because burnout doesn’t scare them off.
Final word: build trust, not just tickets
If there’s one thing Tully hammers home more than anything, it’s this:
“Sell only what you’d sell your mother.”
That mindset filters everything. Pricing. Recommendations. Staffing. Promotions. Training.
It’s not about maximizing today’s ticket. It’s about earning tomorrow’s visit.
Because once a customer trusts you:
- They say yes more often
- They bring their family
- They don’t shop around
- And they don’t leave over a $40 difference on tires
If your shop culture is still built on “pound, pound, pound,” you’re going to bleed customers and not even know why.
But if it’s built on real value and real relationships, your retention numbers—and your bottom line—will thank you.
Want to learn more? Catch the full conversation with Tully Williams on the Retention Roadmap podcast—your go-to source for boosting customer loyalty and service excellence.