ClearMechanic Case Study: Beaverton Nissan Uses Real-Time Video To Sell Wheel Service
Overview: This week, Beaverton Nissan explained a $1,095 wheel service recommendation using ClearMechanic's real-time video feature. After seeing definitive visual evidence of the worn wheel bearing, the customer approved the service recommendation.
Watch The Video: Click here to watch the video uploaded by Beaverton Nissan's service department. Note that the video is incredibly simple - only 5 seconds long! - but shows clearly and undeniably that the customer's wheel is unstable.
Background: Beaverton Nissan, a dealership just outside Portland, Oregon, is a regular user of CIMA CarView, a visual explanation program sold by CIMA Systems and powered by ClearMechanic technology. Beaverton Nissan routinely uploads real-time photos and video clips of customer vehicles to explain its service recommendations. Common examples are leaks, cracks, diagnostic tests, dirt, contamination and wear. In this case, Beaverton Nissan needed to explain a $1,095 service recommendation to address a worn wheel bearing which caused the vehicle's wheel to loosen.
In the Words of the Service Advisor - "Made the Decision Easy for the Customer": Beaverton Nissan service advisor Zeb Stern was responsible for explaining and selling the wheel service. Here is what he said about the importance of the real-time video clip:
"I was showing how much the customer's wheel moved, due to the extremely worn bearing. A picture doesn't show motion. The video was great and made the decision easy for customer. He did the repair for $1,095.00."
Return on Investment ("ROI") Calculation: One way of looking at this case study is to say ClearMechanic technology enabled the sale of a $1,095 service job, which paid for the monthly subscription many times over in a matter of seconds.
However, we like to be very conservative with our numbers because we know how powerful this program is. Even the most conservative figures will show a significant return on investment.
Let's assume CIMA CarView, powered by ClearMechanic technology, only increased the chance the customer said "yes" to the wheel service by 20%. And let's also assume that the service department's profit on this job was $500, which would be under 50% gross margin (almost certainly understated). Even with these extremely conservative assumptions, ClearMechanic technology still delivered $100 of profit to the service department on a single job. If this process were repeated just a few times per week, the product would have a 10-15x monthly ROI.
If, like most of our clients, ClearMechanic technology is used every day and sometimes 10 to 20 times per day, then the ROI is literally 100x-200x. That is, for every dollar spent on our technology, the service department would get $100 to $200 of profit.