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THE CRITICAL IMPORTANCE OF CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

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Did you know that repeat customers spend on average 67% more per purchase while costing 10 times less than acquiring a new customer?

 

From the first moment a customer enters your auto service shop, your sole focus is on providing quality service. But what about after they leave? 

 

Most modern auto shops gather information about their happy customers like phone numbers, emails, direct mail, and social media. This allows them to keep in touch with their customers and build ongoing relationships in their communities. Then, they can send out messages about deals and special offers to those customers. 

 

This practice is known as Customer Relationship Management (CRM). It’s one of the strongest tools you have for growing your business and increasing your revenue. Today, let’s discuss how it works. 

 

How does Customer Relationship Management work?

In the auto service business, you provide services your customers cannot do without. By performing your job every day, you immediately create strong bonds with those customers. After a single good experience at your shop, you can all but guarantee they’ll come back to you.

 

Plus, when one of their friends or family members says they need an oil change, that customer will recommend your shop as the best choice. See how that works?

 

CRM is all about building deep, valuable connections with your customers over time. By providing specific solutions to your customers’ needs, you’ll win them over to your side. Afterward, they’ll go to bat for you and help you gain even more customers down the road. 

 

Every CRM system is different depending on your company, budget, and software choices. But with the right long-term thinking about every customer relationship, you can use your CRM system to your advantage and keep your customers coming back for more. 

 

Customer Relationship Management Strategies

  • Encourage customers to follow your auto shop on social media platforms like Facebook, YouTube, LinkedIn, and Instagram.
  • Send out emails focused on previous customers’ experiences rather than simply marketing your services.
  • Direct customers to free information on your website like instructional videos or blog posts on vehicle maintenance and repair. 
  • Surprise customers with perks, discounts, and rewards for their repeat business. 
  • Offer discounts when customers refer a friend. 
  • Listen to customers’ needs and respond to their comments, concerns, and even their complaints. 


The Benefits of Customer Relationship Management

  • Improved services over time. When you get to know your customers, you’ll gain a better understanding of them and their vehicles’ specific needs.  
  • Increased customer loyalty. Through CRM, you can create customer loyalty programs that give them rewards for coming back, like discounts or other special offers. 
  • Enhanced customer insight. The more you interact with repeat customers, the more feedback you’ll get from them. You can then analyze this feedback to make better business decisions. 
  • Boosted profits for your business. Returning customers means more sales – period. Research shows that 85% of companies who used CRM said it was critical for their long-term business success.
  • Repeat customers become brand ambassadors. If they’re satisfied with your services, they’ll tell their friends and family. 92% of consumers trust peer reviews over marketing.

The majority of businesses still focus on transactional marketing, which is more about increasing individual sales than encouraging repeat business. In fact, only 30% of companies are fully committed to CRM. If your auto shop learns the value of CRM and puts it to good use at every opportunity, you’ll experience all these benefits and more. 

 

Check out the Castrol Insider resource hub for helpful tips, information, and guides to help you attract new customers and retain existing ones.