Chris Aiello Are your parts and service managers “Long-term relationship builders”?
It is hard to believe we’re already well past the first half of 2024! Time is flying, and I hope everyone is hitting their sales, customer experience, and satisfaction goals. As we progress into the latter part of the year, it’s important to take a moment to reflect on our accomplishments, reassess our strategies, and gear up for the challenges ahead. This month’s edition let’s explore the topic of managing customer expectations and how you can enhance your service delivery to stay ahead of your competition.
Parts and Service Managers at your dealership are at the forefront of customer interactions and play a critical role in maintaining the efficiency and reliability of your customer’s lift truck operations. One of the key challenges they face is managing your customer’s expectations, particularly when it comes to parts, service, and other aftermarket activities. Getting this right not only ensures customer satisfaction but also strengthens your dealership’s reputation and builds long-term loyalty.
In June’s edition of Material Handling Wholesaler, I discussed how the success of your dealership hinges not only on the quality of products and services you sell but also on the seamless collaboration between the different departments within your dealership. Also, siloed departments within your dealership can impede efficiency, communication, and ultimately, customer satisfaction; breaking down these silos is essential for thriving in today’s landscape within our industry. Fundamentally, the quality of the relationship you have with your customer, your grasp of their needs, and the effectiveness of your communication is vital. How your various departments interact with your customers must be perceived as genuine, dependable, and credible. Failure or reluctance to communicate to your customer, especially when for example there are delays in parts or service delivery, or there are additional costs that were not initially anticipated, can cause customer dissatisfaction and failure to meet their expectations. Here are some ways we can effectively manage these expectations.
Clear Communication is Key
Communication is the foundation of managing expectations. From the moment a customer contacts your dealership, they need clear, transparent information about the services and parts you offer, costs, and expected timelines. Miscommunication can certainly damage your credibility.
Effective communication is essential for managing customer expectations. This begins with providing detailed quotes that are comprehensive and include all potential costs—labor, parts, and any additional fees. Transparency in quotes prevents surprises and builds trust with your customers. Additionally, drafting clear service agreements that outline the scope of work, timelines, and service levels is crucial. Ensuring your customers understand these terms before starting any work sets a solid foundation for mutual expectations. Finally, keeping your customers informed about the status of their service requests through regular updates is vital. This consistent communication helps manage expectations, especially if there are delays or additional work required.
Set Realistic Expectations
Setting realistic expectations is crucial. Honesty about what your team can achieve and within what timeframe will always work in your favor. Before committing to a job, assess the situation thoroughly and advise your customers on what can realistically be done, including evaluating part availability and repair timeframes. Be upfront about potential limitations or delays; if a part is backordered, inform the customer of the expected delivery time and any available alternatives. Additionally, help your customers prioritize their needs based on urgency and impact, as not all requests are equally critical. Managing this can help set realistic expectations about response times and service delivery.
Building Long-Term Relationships
I came across an industry colleague’s profile the other day on LinkedIn. His job title was: Long Term Relationship Builder! How clever is that! But it speaks to exactly the point here, managing customer expectations is about more than just the immediate service interaction. It’s about building long-term relationships based on trust and reliability. Satisfied customers are more likely to return and recommend your products and services to others.
After completing a service job, follow up with your customers to ensure they are satisfied, demonstrating your commitment to quality and customer care. Additionally, you could implement loyalty programs that reward your repeat customers with discounts on future services or priority scheduling for urgent repairs. Finally, understand the unique needs of each customer and tailor your services accordingly, as personalized service can significantly enhance customer satisfaction and loyalty.
Leverage Technology
Implement customer portals that can be accessed through your company’s website where your customers can track the status of their service requests, view service history, and communicate with your team. Additionally, integrate feedback systems to gather customer input on their service experience, using this feedback to make continuous improvements and show customers that their opinions are valued.
For Parts and Service Managers at your dealership, managing customer expectations is a crucial part of their role. By focusing on clear communication, setting realistic expectations, providing consistent quality, leveraging technology, and building long-term relationships, you will not only meet but exceed your customer expectations. This approach fosters trust, loyalty, and long-term success for your dealership.
About the Author:
Chris Aiello is the Business Development Manager at TVH Parts Co. He has been in the equipment business for 17-plus years as a service manager, quality assurance manager, and business development manager. Chris now manages a national outside sales team selling replacement parts and accessories in various equipment markets such as material handling, equipment rental, and construction/earthmoving dealerships.
