in new vehicle sales
profit from new sales
When leases expire, most customers are excited to move on to the next big thing. We helped our client keep existing lessees loyal, and bring in new ones.
Our relationship with this client began with the buildout of an integrated CRM system that enables a higher level of customer service and support. The next step was to use the collected (or gathered) insights to build deeper engagement with customers near the end of their lease. A proactive outreach program was designed to delight customers with an exceptional experience that would steward them out of their current contract, and into their next new-car moment.
Each campaign begins with a direct mail offer to existing customers who are pre-approved for a new lease. The first interaction is followed by relevant, personalized, multichannel inbound and outbound programs. Multiple campaigns run concurrently, with offers tailored primarily based on the duration of time a customer has left on their lease. For example, customers with three months remaining might be offered a waiver of their remaining payments and an opportunity to move into a new lease early. Analysis of the results continues to optimize the program by identifying the “sweet spot” where customer response is strongest. Offers are adjusted based on hard facts, and more resources are applied to the campaigns that generate the most renewals.
This manufacturer now delivers a seamless experience that is more personal — and more profitable. For customers, it seems as if everyone they talk to knows who they are, from the dealership to the service center to the OEM contact center. The CRM solution aligns the customer’s purchase, service and dealer history with the manufacturer’s legacy systems, bringing the customer’s entire journey into view at every touch point. For employees, every customer contact becomes an opportunity to add detail to an ongoing story that is shared with other business units (such as parts, service, or consumer affairs). The evolving profile follows the customer everywhere, including to the local dealer — who is now better positioned to complete a frictionless customer experience. For business leaders, robust reporting and analytics provide a true 360-degree view of the customer. Sales can be matched back to individual campaigns to see what’s working, or which program could be adjusted to work better.
The Lease Loyalty program worked. To date, our associates generated 80,473 new sales, resulting in $10 million in profit from the program, and a total of $423 million in incremental profit from new sales. In addition, contacted customers were shown to be 50 percent more likely to renew than those who were not contacted.