Study: Aftermarket Manufacturer Support Programs Fall Short in Helping Independent Shops
A recent study has shown how automotive manufacturer support programs are falling short in helping the critical sector of independent shops.
The report from 360insights examined the disconnect between manufacturer support programs and their dealer networks by surveying over 200 individuals in the auto and auto aftermarket, including dealers, owners, and technicians.
Though 82% of dealers said that they view loyalty programs as being effective, almost half of respondents said it had little impact on their business.
42% of dealers said that they believed lack of awareness was a barrier to utilizing support programs. However, 50% of respondents said ease of use was the most important factor. Another 57% said understanding the program was also essential.
Additionally, 75% of dealers identified talent retention as a problem impacting them. With that said, just 31% of participants are currently enrolled in a training program.
While shop owners cited profit growth, customer satisfaction, and customer retention as their most important goals, current manufacturer programs have instead been focusing more on volume metrics as opposed to helping shops boost profitability.
60% of shops also said finding and retaining skilled labor was their primary challenge. This is another area where manufacturer support programs have been falling short, with just 24% offering comprehensive technical training support.
“The winners in this market will be those who help independent shops bridge the digital divide while simplifying program engagement through mobile-first training, streamlined 30-day promotions, and aspirational rewards that drive long-term loyalty,” said 360insights Founder and CEO Jason Atkins.