In markets where manufactures use dealers to sell their products, it is important for the manufacturer to strive for a good relationship with its dealers. Not only because a good relationship within the business chain is desirable for good cooperation, but also because the brand retention decision of the consumer may depend on the dealers’ performance. The dealers’ performance is specifically relevant when it is expected that the dealers add substantial value to the brand they sell, such as the new car market. Most car manufacturers strive after a good, close relationship with their dealers to assure high levels of service quality to consequently increase (service) retention rates. By providing new ideas derived from business intelligence, car manufacturers can support their dealers with meeting today’s high service demands.
This need for additional knowledge inspired our trainee David Olthof to write his Master thesis on this matter. In his research he examines the weighted effect of different service constructs and specific dealer services on the service retention rate at car garages in the BeNeLux’ luxury automotive market.
Using divergent statistical methods, David determines the relative importance of aspects such as; perceived price fairness, transparency, waiting time and the accompanied services linked to the aspects.
With the created knowledge our client is able to compose an efficient and tailored service package for each individual dealer. As a consequence, its dealers are able to exceed the high service standards their customers ask of them.