Group 1 Mercedes-Benz Coventry: Moving the Needle on Tough Amber Sales

Group 1 is one of the leading automotive retailer groups in the country, with a portfolio of 115 dealers across the UK. Employing over 7,000 trusted colleagues, the group represent over 21 brands, including Audi, BMW, Jaguar Land Rover, Mercedes-Benz and many more.

The network boasts an impressive aftersales care programme, ensuring customers driving away with their new vehicles have access to expert repairs and servicing.

Challenge

Unlike urgent red work, many drivers don’t feel an immediate need to have advisory work, such as worn brake pads, ageing batteries, or minor fluid leaks, completed.

Many perceive it as discretionary spending that doesn’t require immediate attention, especially if cash is tight.

Trust can also be a factor, with some doubting if the work even needs to be done or even wanting a second opinion.

Even when convinced of its importance, price can be a blocker, especially if they’re facing large bills for multiple repairs.

When Group 1 Mercedes-Benz Coventry came to Bumper, amber sales were the biggest hurdle to achieving their ambitious targets.

Solution

PayLater, an interest-free monthly payment solution provided by Bumper, drastically reduces friction for amber sales.

Drivers can spread the cost of work across a number of months, allowing them to take out work that’s important there and then, without having to wait until a second visit to the dealer.

In addition, this financial safety net gives advisors more confidence when introducing advisory work into the conversion.

Results

When comparing year-on-year growth for February 25, the Coventry site increased the number of completed PayLaters by 56% and, despite fewer retail jobs, they saw impressive increases in their key metrics.

The results showed:

• 138% increase in amber work sold

• 139% increase in amber work sold per VHC

• 100% increase in amber conversion

• 27% increase in overall average invoice value

Impact

As well as improvements to key performance indicators, the site received positive customer feedback through Bumper’s Trustpilot integration, which can be accessed on all service advisor accounts for real-time customer feedback.

One driver said, “The process for applying is easy and straightforward. I’ve used it for my 3rd repair. Brilliant.”

Another said, “Quick, easy, and helped me not murder my bank account just before I went on holiday.”

Following the site’s successful implementation of PayLater, Stuart Johnson, Site Aftersales Director of Mercedes-Benz Coventry, said:

“Amber conversion has always been a tough metric to move, but Bumper has enabled us to give customers the payment flexibility that gets them saying yes to important advisory work.

“This has resulted in a 27% increase in our average invoice value, happier customers, and, with an easy budgeting option in their toolbelt, more confident advisors.

“To anyone looking for a solution that allows you to sell more and keep your customers coming back time and time again, I’d say give Bumper a call.”