Transforming customer retention by changing customer experience perceptions is the route tyre suppliers like Bridgestone take to build their clientele. Bridgestone Retail Operations, which owns more than 2.2K tyre and automotive service centres like Tyres Plus, Hibdon Tyres Plus, Wheel Works and Firestone Complete Auto Care, works consistently on building its customer service. Generally, market leaders do their best to move away from transactional business practices and view the car manufacturing industry as recurring customers.
Top players are also providing lean manufacturing principles to the auto care experience for accurate and faster services. B2B customers of a tyre dealership or supply form include fleet customers as well. Tyres are sold based on a visual sales strategy and tyre suppliers need to visually showcase the value of their product to the customer. This includes B2B clients like car manufacturing services. Pathwwway customer retention teams understand that while a presentation is part of any selling situation, retention is all about quality service. Here are the steps the client retention team takes when it comes to boosting sales for B2B tyre suppliers:
Competitive Pricing & Value for Money
Being competitive is not about being the cheapest supplier, but being in the ballpark is a must for customer retention. Tyres are a product with lower margins. Selling on price alone is not the route to customer retention. Pricing your product competitively is essential. Tyres engineered with precision must also provide value for money.
Managing client needs your tyre supply company to adhere to industry standard best practices. When your clients are big car manufacturers, you need to possess a certain level of inventory and just-in-time delivery. OEMs and dealers spend a lot of effort trying to convert customers.
But customer acquisition is not the end game alone. Customer retention stemming from high levels of satisfaction and loyalty are equally important. Research by DME Automotive, part of Solera Holdings and AutoPoint, has found loyal customers at tyre dealerships are 86 times more likely to purchase from these companies again.
The Pathwwway customer retention team focuses on working hard to build customer satisfaction and loyalty. A JD Power analysis found recalls and poor quality impact customer satisfaction adversely. How dealers engage with customers also impacts satisfaction. Retention research found service satisfaction goes up by 44 per cent when advisors reach customers within 2 minutes of their arrival.
First-visit service appointments further reach 90 per cent, as against 50 per cent or less when sales to services hand-off was properly executed. So, quality, according to Pathwwway’s team, depends on offering exceptional services, not just best-in-class products.
Tapping Freebies and Incentives
OEMs realise that retention is the key to future sales. The customer retention team at Pathwwway knows the power of incentives to bring customers to tyre supplier firms. This includes not just finance or cash freebies, but programs like free or prepaid maintenance programs. Mercedes-Benz, Audi, Maserati and BMW are among luxury brands that engage customers using PPM incentives to connect to brands. A huge part of this picture is the partnership between the tyre supplier and OEMs to provide free or discounted routine maintenance services to the end user. Dealers can also build other products such as tyre rotation and alignment services and road hazard coverage to sweeten the deal.
Car manufacturing firms focus on tyre suppliers that offer branded solutions. Dealer branding leads to a 20 to 22 percent increase in fixed absorption rates and promotes more active retail negotiations. Pathwwway Ltd. customer retention strategies for tyre suppliers and dealers include rewards, coupons and point systems. Membership gift card promotions can generate 20 percent more response rates and a phenomenal 200 percent ROI, especially at the time of the peak season.
The focus of retention programs also needs to include special incentives for car manufacturer brands that do regular business with your tyre supplier company. Retention building should touch customers at many points of contact across the dealership journey. This includes everything from the finances to the services and the point-of-sale. Every aspect of the retail experience from finance and cashiers to customer-wait lounges, sales associate desks, ads and websites need to be up to the mark.
The Value of Retargeting
The Pathwwway customer retention team also helps tyre suppliers to use reminder mailings, especially for those that show recipients the savings that took place through the plan’s use. Customers use plans that reinforce them in such a way 65 per cent more. Further, the customer experience needs to be mobile, as 53 per cent of consumers are likely to schedule service appointments using mobile devices.
Planning mechanisms that offer comprehensive ROI and performance reports are also likely to yield positive benefits for tyre suppliers to boost customer retention, when it comes to car manufacturers. Properly designed, managed and executed, these retention plans drive business in the tyre supply industry for the product as well as associated accessories.
Keeping Up With Competitors & Save Cash
The auto and tyre supplier industry has massive competition, so it is critical to build your clientele and establish a relationship based on trust. Customer satisfaction counts when it comes to edging past competitors. Keeping customers loyal creates a consistent business flow. Traditional marketing is focused on customer acquisition, but this can be expensive for your automotive business. Invesp has researched and found it costs 5x times as much to acquire customers than retain existing ones.
Around 89 percent of companies see customer experience as a key factor in driving loyalty and retention. Research has further shown a probability of selling to present customers is 60-70 percent while selling to new prospects is 5-20 percent. Existing customers are 50 percent more likely to try new products and spend 31% more, compared to new customers. It serves to make it affordable to focus on consumers one already has and establish rapport with them.
The Pathwwway customer retention team understands that auto shop owners and managers are busy juggling responsibilities and roles. This is why the team has focused on building a relationship with customers through innovative retention programs for your tyre supplier company. From blogs to websites, customer retention strategies can take on digital forms too. Your tyre supply company’s blog can be a powerful source of retention, offering car manufacturers a look at your quality control measures.