Majority of Consumers View Dealership Service as Most Expensive
April 18, 2014—More than half of consumers believe dealership service departments are the most expensive service option, according to a recent Cars.com report.
According to the 2014 Service and Repair Report, cost of repairs, lack of price transparency and underutilization of effective digital marketing strategies has weakened consumer perception of the dealership service department.
Of the 800 vehicle owners surveyed, the majority positioned independent repair shops as the least expensive option.
Online consumer reviews ranked behind only technician certification level and price guarantee in importance to consumers when selecting a vehicle service provider.
In addition, all things being equal, 43 percent of shops report no preference of where their vehicle is serviced. Twenty-seven percent of of consumers preferred the dealership, 13 percent preferred national chains and 18 percent preferred independent shops.
However, showcasing benefits through effective digital marketing tactics helped shift consumer preference toward independent shops.