RedCap Announces Substantial Increase in Dealer RO Value
FT. LAUDERDALE, Fla., Aug. 1, 2017 /PRNewswire/ -- RedCap Technologies, the exclusive provider of white labeled, out-of-store experience platforms for the US Automotive Industry, announced today dealership performance showing an increase of 97% in repair order (RO) ticket values for customers under warranty. RedCap reviewed more than 545,000 RO tickets of dealerships that consistently use RedCap's service valet software platform. The results were conclusive:
For customers under warranty who used service valet, the RO ticket value increased an average of 97% compared to those who did not use service valet. The average increase was $417 per RO.
RedCap attributes the increase to the enormous time savings and convenience factor of service valet. If customers do not have to leave their home or office to get their car serviced, they will agree to more repairs, whether customer pay or warranty pay.
Diana Rodriguez, Business Operations Manager of Warren Henry Automotive Group, one of the top performing dealer groups in the country for service valet explains: "Of course there's an increase in the [RO] ticket. When customers are not pressured to get on with their day, they're more willing to get repairs they didn't plan for. They just don't have the time to wait in the lounge while we do an unexpected repair, unless it's critical. They'd rather get it done the next time they come in for service. It has little to do with the money, since the car is under warranty, than not having to wait around for an unplanned event."
For customers not under warranty, the results are more nuanced but still significant. Customer pay RO value increased an average of 14% for those using service valet compared to those not using service valet. The average increase was $115 per RO. Clearly money is a factor when customers pay out-of-pocket, but the results show customers still will pay significantly more for convenience.
RedCap reviewed the RO tickets of 26 dealerships in its study, which did not consider OEM brand.
About RedCap Technologies:
RedCap is the leading provider of Out-Of-Store Experience workflows to Automotive Manufacturers and their Franchised Dealers. RedCap's platform allows OEM's and Dealers to provide an "Amazon/Uber-Like" experience to their service and sales customers. The RedCap platform consistently increases CSI, and revenue per RO while reducing certain operational expenses.
SOURCE RedCap Technologies, LLC
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