Often considered the step-child of the dealership, the auto detailing department (or team) was often relegated to dealer prep and “make ready” services for new cars, pre-owned vehicles and cars and trucks taken as trade-ins or from auction royal 1 mobile detailing.
In today’s soft economy and having gone through the toughest years in the industry, auto dealers are looking closely at opportunities for enhanced and improved profit.
Improving Profits at the Dealership
Generally considered a “necessary evil”, the car detailing department is now being looked at a source of new gross margin and profit.
Along with other service offerings in the service, F&I, and add-on departments, the detailing department is increasingly becoming part of the in-crowd of profit source for the dealership. Today’s detailing departments can perform a variety of value-added services required or requested by customers. For example:
Interior and exterior detailing
Paint touch-up and minor dent repair
Ozone treatments to remove foul odors
Carpet and fabric staining and reconditioning (to remove the occassional spilled drink)
Minor interior repairs
The list continues to grow every year as car detailing services expand and as staff improve and expand skills. The important note is that each of these represent an opportunity to improve profits for the dealership.
Auto dealerships are looking everywhere to increase profit – the detailing center has been a hidden gem that is now coming of age.
In the past several years, complimentary “service washes” while customers are having their cars serviced have migrated from a luxury offering of high-end dealerships to a must-have for even the smallest dealers of low-cost vehicles. This has increased the cost of operation, but with the right team of technicians, the correct training and equipment and experienced management oversight, most dealerships can improve profits by thousands of dollars.
To maximize the profit potential, dealers should closely consider having an outsourcing firm conduct a site review. For larger dealers, having a car detailing services firm come in makes sense. For smaller or lower volume dealerships (less than 80 cars/month – new and pre-owned), an in-house solution make work better – assuming the expertise needed for full-blown details.
Excelerate Automtive Solutions is a leading provider of outsourced services to auto dealerships. The company provides a wide range of services including car detailing, service and lot wash programs, fleet maintenance, paint and dent repair, and odor treatment.
Royal1 Mobile Detailing Los Angeles
3325 Castle Heights Ave UNIT 106, Los Angeles, CA 90034
Phone: +1 323-310-3954