Tempting Incentives Give Customers a Reason to Return
Telling a tire dealer he or she needs great customer service to make
their business thrive is simply stating the obvious. Successful
dealers already have systems put in place to ensure their staff treats
customers well, and that’s great for any business.
But in the quest to keep customers coming back again and again,
sometimes a little extra persuasion can’t hurt. By establishing unique
customer incentive programs, you’re taking an additional step in making
sure your shop stands out above the competition, as well as giving
customers a tangible reason to return.
Tire Review talked to a handful of Top Shop Award honorees to see what
kind of incentive programs they currently have in place. Read on to
start getting some ideas for your own business.
Griffin Brothers
Based in Charlotte, N.C., Griffin Brothers Tires, Wheels and Auto
Repair offers local businesses a corporate discount program. The shop
e-mails a PDF to the owner or human relations professional of nearby
companies with at least 20 employees. The flyer is good for 5% off any
purchase, in addition to a $25 discount if the employee makes a
purchase within 90 days of receiving the offer.
“Companies like this because it costs them nothing and is an added
benefit for their employees,” says Larry Griffin Jr., one of three
owners.
The tire shop also was the first in the nation to use POS key tags,
which feature a “buy five oil changes, get the sixth free” offer.
“We give a key tag to every customer,” Griffin says. “Hopefully they
see us every time they look at their keys. Plus, there is a bar code on
the back; our POS system has bar code readers that will bring up
information on that customer and their vehicle.”
Not only does the key tag program give customers a reason to come back,
it also makes gathering pertinent information faster for Griffin
Brothers employees, he says.
Performance Plus
Like Griffin Brothers, Long Beach, Calif.-based Perfor-mance Plus Tire also offers employees of local businesses a discount.
“We go into local businesses and give them enough $25 gift cards to
cover all their employees,” says Hank Feldman, one of three owners.
“It’s not a discount card, it’s a straight gift card. If they only come
in and spend $25, their purchase is free. But it gets them in the door.”
He notes that roughly half of all corporate gift cards are redeemed.
Performance Plus also offers a “smart card program” for store gift
cards. A vendor paid for the cards, which can be reloaded with more
money, so the program cost the dealership very little. Standard gift
cards and employee gift cards feature different graphics, so Feldman’s
staff can easily keep track of who is redeeming the cards.
The company also distributes a free flat repair card that lists
Performance Plus’ services and contact information on the back. “I gave
a stack to each employee to give to friends or anyone they feel would
make a good customer,” Feldman says. “In addition, our outside fleet
salesman gives them to companies that will be likely to return to us
for tires and service.”
Superior Tire
Paul Hyatt, owner of Superior Tire, based in Scarborough, Ont., knows
that when it comes to earning customer loyalty, saving them money goes
a long way. That’s why the dealership offers a 10% coupon on its Web
site, e-mail specials and service reminders, a 99-cent oil change for
first time customers and a VIP key tag with a “buy four oil changes,
get the fifth free” offer.
“We also give all our customers 5% cashback in ‘Superbucks,’ which they
can use for any future service at any of our stores,” Hyatt says.
“Also, our ‘Superior Price Guarantee’ is posted in all our stores to
remind customers that they are receiving the best value for their
money.”
The guarantee states “If you find a better advertised value on tires
within 30 days of your purchase, we’ll double the difference with
Superbucks.”
The paper “money” is recirculated, so when it’s time to print more,
Hyatt knows the program has been successful. “The incentives programs
are popular,” he says. “Locations ask for more Superbucks all the time,
so we know they’re being used.”
Superior also offers a “President’s Guarantee,” which states if a
customer isn’t satisfied with their his or her tires, the business will
replace them with a different tire within 30 days, at no charge. In
addition, Superior gives each customer a service maintenance booklet
that includes a service maintenance chart and $250 worth of coupons, as
well as offering in-store manager specials that are changed on a weekly
basis, Hyatt says.
Curry’s Auto Service
Sterling, Va.-based Curry’s Auto Service adds a little intrigue to its
Curry Reward Card incentive program. The cards, given free to each
customer, have a magnetic strip that is scanned into Curry’s credit
card machines to check the balance and to add or redeem points. Each
card is pre-loaded with a random number of points, so each customer
begins with a balance between $20 and $60, according to owner Matt
Curry.
With each service, points are added on the cards and can be redeemed at
different point levels for savings from $10-$60. “Points can be
accumulated and used when needed,” he says. “This program encourages
our customers to return to either add more value to their cards or to
redeem them for a discount.”
An upside to the program, which Curry’s started some four years ago, is
that it actually saves the company money and streamlines customer
discounts. Before the card program, Curry’s offered 5% or 10% off to
various car clubs and businesses, which started to get confusing when
it came to redeeming the discounts.
“We started this program not only to tie customers to us, but to make
all the discounts the same,” says Chris Coulter, part-owner and vice
president of operations. “They present a reward card with a certain
number of points on it, rather than telling us where they work and
having our people look up what discount they’re supposed to get.”
“After starting the program, we actually saw our discounts go down. It
used to be about 5.5% on average, and it’s now 3%. Basically, it added
2.5% to our bottom line,” Curry says.
Curry’s also offers a referral program in which customers can fill out
referral postcards both online and at each location and pass them
along to a friend. The friend can bring the card in for a $20 discount,
and the referring customer receives a chance to win a reward during the
dealership’s monthly drawing, says Judy Curry, vice president of
marketing and advertising.
The company also offers VIP coupon books that include coupons good for
18 months to attract new customers. New this year, Curry’s published
and distributed a customer calendar, which features pictures of actual
customer vehicles, that offers specials for each month, she says.