auto dealer in black and red logo
MenuMENU
SearchSEARCH

Focus on Fixed Ops: How to Thrive After Peak SAAR

When sales plateau, service and parts revenue becomes paramount. Use this three-part plan to optimize your fixed ops revenue.

by Jim Roche
August 28, 2017
Focus on Fixed Ops: How to Thrive After Peak SAAR
3 min to read


Educating customers, investing in the right technology, and offering online appointment-scheduling can help drive service visits and parts revenue. Photo by Julia Manzerova

The auto industry is just beginning to adjust to a post-peak SAAR reality. In this environment, some dealers may be tempted to put their faith in overall economic confidence and key projections pointing toward stronger auto sales beyond 2017. Regardless of whether consumer demand rebounds, dealers need to think beyond new car sales and growth and consider the service department’s potential to drive revenue and growth.

Untapped opportunity in the service department is abundant. With fewer than one in three service visits taking place at dealerships in the U.S., according to J.D. Power, dealers have a compelling opportunity to engage customers beyond the initial sale. Here are three ways to do exactly that:

Ad Loading...

1. Educate the Customer.

It is the dealer’s responsibility to educate and engage customers in all facets of the dealership, including service. According to the Cox Automotive 2017 Car Buyer Journey, less than half of new-car buyers and only one-fourth of used-car buyers are aware of the service capabilities available at the dealership at the time of purchase or lease.

Introducing customers to the service department not only results in a more positive experience, but also makes customers more likely to return for their service needs as well as when they are ready to purchase their next vehicle.

2. Invest in the Right Technology.

Customers today are looking for technology enhanced experiences that provide value, convenience, and trust. Investing in the right technology can help you deliver on all three throughout the customer journey.

Ad Loading...

Through the proper utilization of an integrated CRM, you can start connecting with customers before it’s time for service. The CRM should be used to book the first service appointment at the time of vehicle purchase. This approach creates a connected customer experience that will help grow customer loyalty and as a result drive fixed ops revenue by tying the experience together from the start.

3. Schedule Appointments Online.

Another vital service feature dealers should invest in to boost revenue is online scheduling capabilities. New Xtime research shows that 23% of online customers schedule their visits outside of the business hours of a dealership. If you don’t have online scheduling capabilities, these customers are likely lost to a competitor who does. By meeting customers where they are at the time they wish on their device of choice, you can deliver the flexibility and convenience that customers desire and that your dealership will benefit from.

For dealers implementing online scheduling, education is once again critical to getting your customers to utilize it. A Cox Automotive report found that while 76% of customers who scheduled service appointments online would be willing to do so again, 45% of customers are not taking advantage of online scheduling because they did not know it was an option. By simply enhancing communication efforts, you can set the stage for service department growth.

The bottom line for dealers in this post-peak SAAR environment comes down to creating a seamless customer experience that transcends the point of purchase. Re-engaging customers beyond the initial sale through superior communication and innovative technology will allow for a more simplified, convenient, and connected experience, ultimately driving retention and revenue on both sides of the dealership. In a challenging sales environment, now is the time for dealers capitalize on the white space in the service department.

Ad Loading...

Jim Roche is senior vice president of marketing and managed services for Xtime (div. Cox Automotive). Email him at jim.roche@bobit.com.

Subscribe to Our Newsletter

More Dealer Ops

hands making protective frame over red car, Risk Reality Check, Be Proactive, Auto Dealer Today logo
DigitalApril 1, 2026

Managing Risk Effectively Through Changing Times

The variables influencing risk pricing have changed significantly over the past five years. Being proactive and responsive to emerging trends is not optional but essential.

Read More →
Car key, stacks of coins, and a paper car cutout with AutoPayPlus logo, representing auto financing, loan terms, and vehicle affordability trends.
Dealer Opsby StaffMarch 31, 2026

Survey Reveals What Won't Fix What's Breaking Car Sales

AutoPayPlus says extra-long auto loans are trapping consumers and threatening the dealer trade-in cycle, and that the industry is leveraging the wrong tools to combat high MSRPs.

Read More →
Headshots of two male executives
Dealer Opsby StaffMarch 24, 2026

IA American Appoints Two Execs

Senior vice presidents of the company's agent and dealer channels chosen to support general agents and help auto dealers with sales and performance.

Read More →
Ad Loading...
Dealer Opsby StaffSeptember 8, 2025

Cox Automotive Acquires Inspection Firm

Full ownership of Alliance Inspection Management, or AiM, meant to unlock growth for Manheim inspection capabilities

Read More →
Dealer Opsby StaffAugust 26, 2025

Assurant Expands Partnership With Holman

Extended collaboration delivers training, products and performance development to 30 newly acquired Holman dealerships

Read More →
Dealer Opsby Hannah MitchellAugust 26, 2025

Franchises, Throughput Down in First Half

A handful of states see franchise growth through June, while EV sales per store boost overall business in U.S.

Read More →
Ad Loading...
SalesAugust 25, 2025

How to Build a High-Performance Sales and F&I Team

Performance and profits start with people chosen and led the right way.

Read More →
Dealer Opsby Hannah MitchellAugust 19, 2025

Buy-Sells Up in Q2

Kerrigan metrics show there’s plenty of demand, though many sellers are waiting to pull the trigger.

Read More →
Graphic for July 15, 2025 webinar “Driving Directions to Your Secure Auto Destination,” listing vehicle theft, vandalism, insurance losses, and other security risks with a laptop meeting image.
Dealer Opsby StaffAugust 14, 2025

Webinar Gives Driving Directions for Vehicle Security

Free on-demand session shares solutions for securing vehicle storage and parking facilities.

Read More →
Ad Loading...
Dealer Opsby Hannah MitchellAugust 7, 2025

Own Your Missteps

We all mess up from time to time, but it’s how we address the mistakes that really matters.

Read More →