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4 Customer Loyalty & Retention Stats All Automotive Shops Should Know About

Posted by BayIQ on May 6, 2021 | 0 Comments

As an auto repair shop owner, customer loyalty retention should be one of your top priorities. Not only does acquiring a new customer cost five times more than retaining an existing one, but loyal customers provide far more value to your business over their lifetime. Read on to discover why. 

1. Loyal Clients Spend More

Loyal customers spend 33% more than new customers do. The reasoning is that as they continue to do business with you they begin to trust your brand and services so they aren’t afraid to spend more when needed. 

How to Leverage This to Your Advantage

So, what exactly can you do from a customer loyalty retention standpoint to keep customers as loyal as they are? Here are a few ideas to consider:

  1. Know your customers like the back of your hand- This is where the importance of reporting comes in. Track what type of sales and discounts do well with your loyal base, determine what services are purchased most often, and gear your marketing strategy toward those results.
  2. Stay connected- You’ll likely not see your customers every day but you still need to stay top-of-mind. The best way to do that is through text, email and social media. You can send them things like appointment/service reminders, coupons and promotions, and even birthday messages.
  3. Create an effective loyalty program: By far one of the most effective ways to round out a customer’s experience and show your appreciation is by creating a loyalty rewards program. In fact, 60% of people view rewards and loyalty points as the most valuable part of their shopping experience.

The good news is, you don’t have to do it alone. BayIQ’s innovative digital platform has the functionality to produce reports and dashboards on customer activity, send automated text messages and emails, and even establish a top-of-the-line loyalty program that's proven to increase repeat visits.

2. Happy Customers Spread the Word

Whether your customers have a great experience or a horrible one, they’re going to tell others. According to recent findings, a satisfied customer will share their experience with at least 11 different people. 

With that in mind, if you provide top-notch customer service to just one person, you may gain exposure to 11 potential customers. 

How to Leverage This to Your Advantage

If a satisfied customer is willing to talk about their experience to others, they’ll most likely be willing to leave a positive review for your shop for everyone to see. 

Online reviews hold so much power. In fact, they are often the deciding factor for many customers who are determining where to make an appointment. That’s why, reviews should be an important component with your other marketing efforts.


3. Continuity Matters

When it comes to customer loyalty retention, you have to continue to put in work even after your customers leave your shop. That’s how you keep them coming back. Whether they interact with you on social media, email, or text, it’s in your best interest to stay consistent in your communication. In fact, 71% of customers have said that they genuinely want a consistent experience with a business across multiple channels, but only 29% say they get it.  

How to Leverage This to Your Advantage

Keep consistency with your loyal customers by being present across multiple digital platforms. Make sure you have a strong presence on social media and that you’re actively monitoring your accounts daily as 65% of customers between the ages of 18-34 believe that this is an effective channel for customer service

Additionally, it’s important to ensure that no matter where they interact with you the same messaging, brand voice, and tone come across. The last thing you want is for a customer to have one experience with you in-person at your shop and then have a totally different experience with you in an email, text message or social media campaign. 

4. Advertising Isn’t Enough

Though advertising is an important component of your business it won’t work on everyone. In fact, 69% of U.S. consumers don’t trust advertisements. That’s why you have to take more of a holistic approach to creating a meaningful customer experience. 

How to Leverage This to Your Advantage

An advertising-only approach can seem impersonal. Fostering long-term relationships with customers requires time and multiple touchpoints along the way. Consider the following:

  1. Create a newsletter- Every month, keep your customers engaged with a newsletter that contains information about your shop and any current promotions. It’s important to include a section or two that they would personally find valuable such as tricks on knowing if your oil is bad, best practices for buying tires, or how to change a tire quickly.  
  2. Thank you messages- Send a text or email to your customers personally thanking them for their business. This also gives you an opportunity to ask for a review.  
  3. Reminders- Sending appointment and service reminders is a great way to stay top-of-mind and is also extra convenient for your busy customers. 

It Doesn’t Have to Be Hard

At first glance, customer loyalty retention may seem intimidating requiring a lot of hard work and effort. But, it doesn’t have to be. You can go all in with the help of BayIQ

BayIQ is a marketing platform built specifically for auto repair and tire shops. With convenience and effectiveness at the forefront of everything BayIQ does, you can finally put all your marketing and retention strategies on autopilot. 

From service and scheduled maintenance reminders to soliciting reviews after a customer visit, nothing is manual. You’ll also get to experience a state-of-the-art loyalty program that is specifically tailored for shops like yours that is sure to keep your customers coming back. 

Request a demo today to see what BayIQ is all about!

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Tags: customer loyalty retention