Fixed Ops Friday w/ David Rogers, Bill Demaree | Daily Dealer Live
About this episode
Social media is reshaping dealership service operations, but many are losing customer loyalty despite record service revenues. The episode dives into the challenges facing service drives, including retention and staffing, while highlighting the importance of AI in enhancing dealership operations. Notable discussions include the Supreme Court's ruling on tariffs affecting the auto industry and insights from Nissan's chairman on competition. The hosts emphasize the need for dealerships to integrate AI into their core operations for better efficiency and profitability.
service revenue
"But we're posting record service revenue."
Service revenue is the money that car dealerships make from fixing and maintaining cars. This includes things like oil changes and repairs.
Service revenue refers to the income generated by dealerships from servicing vehicles, including repairs, maintenance, and parts sales. This revenue is crucial for dealerships as it often compensates for lower vehicle sales.
Cox Automotive
"According to Cox Automotive, dealerships have lost roughly 10% to 12% of service visits to independence since 2018."
Cox Automotive is a company that provides information and services to car dealerships and manufacturers. They help understand how the car market is doing and what customers want.
Cox Automotive is a leading provider of automotive services and data analytics, helping dealerships and manufacturers understand market trends and consumer behavior. Their insights are often used to gauge the health of the automotive industry.
independent repair shops
"...dealerships have lost roughly 10% to 12% of service visits to independence since 2018."
Independent repair shops are places that fix cars but are not connected to any car brand or dealership. They can sometimes be cheaper and offer different services than dealerships.
Independent repair shops are automotive service providers that are not affiliated with any specific car manufacturer or dealership. They often offer competitive pricing and personalized service, attracting customers away from dealerships.
repair costs
"...increase in revenue related to increased repair costs, increased parts costs, which have both hit records in the past year."
Repair costs are the money you pay to fix your car when it breaks down. This can include the cost of parts and the work done by mechanics.
Repair costs refer to the expenses associated with fixing a vehicle, which can include labor, parts, and any additional fees. These costs have been rising due to various factors, including supply chain issues and increased demand for repairs.
parts costs
"...increase in revenue related to increased repair costs, increased parts costs, which have both hit records in the past year."
Parts costs are how much you have to pay for new pieces to fix your car. If these costs go up, it makes fixing cars more expensive.
Parts costs refer to the price of replacement components needed for vehicle repairs. Rising parts costs can significantly impact overall repair expenses and are influenced by supply chain dynamics and material shortages.
aging cars
"Well, cars are aging. Customers need more repairs, but the loyalty is slipping."
Aging cars are older vehicles that often need more repairs and maintenance as they get older and parts wear out.
Aging cars refer to vehicles that are older and may require more frequent repairs and maintenance. As cars age, their components wear out, leading to increased service needs.
Nissan Pathfinder
"...high volume returns like the Nissan Rogue Pathfinder, Silverado and Sierra are holding mid to high 60% of MSRP."
The Nissan Rogue Pathfinder is a type of SUV that is designed for families and offers a lot of space and features for comfortable driving.
The Nissan Rogue Pathfinder is a crossover SUV that combines the features of the Rogue and the Pathfinder models, offering versatility and space for families.
Sierra
"...like the Nissan Rogue Pathfinder, Silverado and Sierra are holding mid to high 60% of MSRP."
The GMC Sierra is a large truck similar to the Chevrolet Silverado, but it usually has more luxury features and a more upscale design.
The GMC Sierra is a full-size pickup truck that shares many components with the Chevrolet Silverado but is marketed as a more upscale option with additional features and luxury options.
Chevrolet Silverado
"...like the Nissan Rogue Pathfinder, Silverado and Sierra are holding mid to high 60% of MSRP."
The Chevrolet Silverado is a big truck that people use for work and everyday driving. It's known for being strong and able to carry heavy loads.
The Chevrolet Silverado is a full-size pickup truck known for its durability, towing capacity, and versatility, making it a popular choice for both work and personal use.
MSRP
"...are holding mid to high 60% of MSRP. Others, including certain crossovers and luxury models,..."
MSRP is the price that the car maker suggests you should pay for a car. It's a starting point for negotiations when buying a vehicle.
MSRP stands for Manufacturer's Suggested Retail Price, which is the price that the manufacturer recommends for a vehicle. It's often used as a benchmark for pricing in the automotive market.
retained value
"...that gap can mean a $4,500 to $5,000 swing and retain value before recon and transport."
Retained value is how much money you can get back when you sell your car after owning it for a while. It's a way to see how well a car holds its value over time.
Retained value refers to the amount of a vehicle's original value that it retains after a certain period of ownership. This is important for understanding how much you can expect to sell or trade in your vehicle for later.
Jeep Recon
"... a $4,500 to $5,000 swing and retain value before recon and transport. In other words, discipline select..."
The Jeep Recon is a new electric SUV from Jeep that will be great for off-roading while being better for the environment. It’s designed to be tough and fun to drive, just like other Jeep models, but it runs on electricity instead of gas.
The Jeep Recon is an upcoming all-electric SUV designed to enhance Jeep's off-road capabilities while embracing sustainable technology. It aims to provide a zero-emission driving experience without compromising the rugged performance that Jeep vehicles are known for.
apprentice tech
"Well, obviously, it depends on the person. I mean, I came into this business as an apprentice tech and walked in $5 an hour, $300 toolbox from Sears."
An apprentice tech is a beginner in the car repair industry who is learning how to fix cars by working with more experienced mechanics.
An apprentice tech is someone who is training to become a certified technician in the automotive field. They typically work under the supervision of experienced mechanics to learn the skills necessary for the job.
Porsche
"You know, if I was a California dealer that I had a Porsche and BMW and I was in, you know, Napa Valley or, you know, and with the high tech..."
Porsche is a famous car brand from Germany that makes fast and luxury cars. They are well-known for models like the 911, which is a popular sports car.
Porsche is a German automotive manufacturer known for its high-performance sports cars, SUVs, and sedans. Models like the Porsche 911 and Porsche Cayenne have become iconic in the automotive world.
BMW
"You know, if I was a California dealer that I had a Porsche and BMW and I was in, you know, Napa Valley or, you know, and with the high tech..."
BMW is another well-known car brand from Germany that makes luxury cars. They are famous for their sporty vehicles and high-quality engineering.
BMW, or Bayerische Motoren Werke, is a German luxury vehicle manufacturer known for its performance-oriented cars and motorcycles. The brand is recognized for its sporty sedans and SUVs.
Hyundai
"I'm not going to compare a Hyundai guy store in, you know, in Westchester to a Mercedes Benz"
Hyundai is a car brand from South Korea that makes a variety of vehicles, including affordable cars and SUVs. They are known for being reliable and good value for money.
Hyundai is a South Korean automotive manufacturer known for producing a wide range of vehicles, from affordable sedans to SUVs. The brand has gained a reputation for reliability and value.
Mercedes-Benz
"I'm not going to compare a Hyundai guy store in, you know, in Westchester to a Mercedes Benz"
Mercedes-Benz is a luxury car brand from Germany that makes high-end vehicles. They are known for their quality and advanced technology in cars.
Mercedes-Benz is a German luxury automotive brand known for its high-quality vehicles, including luxury sedans, SUVs, and sports cars. The brand is synonymous with innovation and engineering excellence.
Cadillac ELR
"right? So you would say ELR and you would say hours per hour are deceiving KP..."
The Cadillac ELR is a fancy car that can run on electricity and gas, which helps save fuel. It looks stylish and is packed with high-tech features, making it a unique choice for those who want a luxury vehicle that’s also eco-friendly.
The Cadillac ELR is a luxury plug-in hybrid coupe that was produced from 2014 to 2016, known for its sleek design and advanced technology. It features a combination of electric power and a gasoline engine, allowing for a more efficient driving experience while maintaining Cadillac's reputation for luxury.
Ford
"...we're also using it as a kind of a center where my Ford mobile can go down and handle recalls and kind of stage up..."
Ford is a popular car company that makes many different types of vehicles, like trucks and cars.
Ford is a well-known American automotive manufacturer famous for producing a wide range of vehicles, including cars, trucks, and SUVs.
Jeep Gladiator
"...e for years to come. So I love that quote from a gladiator, right? What we do now echoes in the future, rig..."
The Jeep Gladiator is a truck that looks like a Jeep, designed for driving off-road and carrying things in its truck bed. It's popular because it can handle rough roads and still be comfortable for everyday use.
The Jeep Gladiator is a mid-size pickup truck that combines the rugged off-road capabilities of the Jeep brand with the utility of a truck bed. Launched in 2019, it has gained popularity for its versatility and ability to tackle tough terrains while offering modern technology and comfort.
chuck hole
"...they could hit a chuck hole, they could have ran over a deer. And the most important thing about a video is pointing out seven great things to one bad."
A chuck hole is a type of hole in the road that can cause problems for cars. Hitting one can hurt your tires and other parts of your car.
A chuck hole, also known as a pothole, is a depression or hole in a roadway caused by wear or subsidence. Driving over a chuck hole can damage a vehicle's tires, suspension, and alignment.
tires
"...your car still looks great. The tires still look great. However, I noticed you ran over something."
Tires are the round rubber parts on your car that touch the road. They help your car move and stop safely.
Tires are the rubber components that make contact with the road, providing traction and support for the vehicle. They are crucial for safety and performance, and their condition can significantly affect handling and ride quality.
nail
"...you ran over something. You just got a nail on the right side."
A nail is a small metal object that can get stuck in your tire and cause it to lose air. It's important to fix it so your tire stays safe to drive on.
A nail can puncture a tire, leading to air loss and potential tire failure. It's important to address tire punctures quickly to avoid further damage or unsafe driving conditions.
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