Berge Ford Credits Sales Increase to Customer Loyalty Program
San Ramon, CA – January 31, 2006 – Berge Ford announced today that its loyalty card members have purchased more than one million dollars worth of parts and service in the first year on Performance Loyalty Group's LoyaltyTrac®; solution. The loyalty program is delivering hundreds of thousands of dollars in profit to Berge with more than 100% return on investment in the first quarter.
"By more precisely marketing our services to customers, we were able to reduce our advertising costs by more than $120,000 this year," said Jim Crutcher, General Manager for Berge Ford. "We're extremely pleased with the results of the program," said Crutcher. "The gains are significant and measurable. And best of all, the loyalty program is giving our customers another reason to continue to come back to us for vehicle purchases and service."
Customers have many choices when it comes to servicing their automobiles. With a growing number of third-party oil change, tire, and maintenance providers, dealerships need to focus on retaining their customers. Recent NADA statistics indicate that service and parts are 57% of a dealer's profits and 11.5% of revenue. Loyal customers are 70% more likely to buy a new car from a dealer if they use the dealership for ongoing service. Since service profit is a key to dealer success, many dealers are using Performance Loyalty Group's loyalty program as their primary customer marketing and communications tool.
Berge Ford's service reward members receive offers for services that continue to bring the customer back to the dealership. Members who return to the dealer for service are eligible to redeem earned points and take advantage of dealer promotions. Reward members simply log on to Berge Ford's website to track their service activities and reward points.
Berge Ford's customer loyalty program was developed by Performance Loyalty Group, the market leader in automotive service reward programs. The LoyaltyTrac system combines elements of marketing, tracking, rewarding, and analyzing to help dealers build customer loyalty. The system helps organizations understand who their customers are and which customers are their most loyal and profitable. Performance Loyalty Group has partnered with Scottsdale, Arizona-based Ensurety Group to serve as the sales distribution agent for its LoyaltyTrac product in the automotive industry.
"Performance Loyalty Group and Ensurety Group are great partners to work with. They have an outstanding product and have done a great job supporting our loyalty program goals. LoyaltyTrac is a program that really works," said Crutcher. "It has given our business a competitive advantage and we have the results to prove it."
Headquartered in San Ramon, California, Performance Loyalty Group is a leading marketing technology company providing customized loyalty rewards, customer retention, prepaid maintenance and media tracking programs for the automotive industry.
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