Automotive service and repair shops looking to draw in younger customers — those with whom long, deep relationships can be established — can attract them with video, an industry-leading observer suggested.
Video has a big impact Millennials, or Gen Y, those born between the early 1980s and late 1990s. It’s a major differentiator from their older peers, Gen Xers and Baby Boomers, reported Lang Marketing in a series of recent Aftermarket iReport studies.
“Effective communication with customers is critical for repair outlet efforts to create satisfied customers and expand their business through customer referrals,” Lang said.
While all age groups respond well to videos, Millennials responded particularly well.
“Lang’s study found that despite its underutilization by repair outlets, video is a powerful communications resource and is especially effective in reaching Millennials,” it said. “This generation will dominate the auto-repair market over the balance of the decade.”
Keep in mind, videos don’t have to be of the repairs made or issues in the vehicle. Videos can be customer testimonials.
“Millennials were three times more likely than Baby Boomers to rate video customer testimonials as significant in their outlet selection,” Lang observed.
Videos that answer common questions also had a high impact, no matter what the generation.
“The importance of videos in marketing auto repair to DIFMers will grow in the coming years, boosted by the surge in auto-repair volume generated by Millennials, the power of video in communicating with Millennials, and the opportunity for auto-repair outlets and their partners to create satisfied DIFM customers and expand their DIFM market share and product sales through customer referrals,” Lang said.
Customer satisfaction was found to be “supercharged” post-repair as videos were made available to them.
“Post-repair videos, despite their underutilization by repair shops, have a significant impact on customers, especially Millennials, the largest and fastest growing DIFM age group,” Lang said.
The group found that three-quarters of Millennials would be highly motivated to be repeat customers because of such videos. Lang found that Boomers were five times more likely than Millennials not to be influenced toward repeat business by these videos. Even Gen Xers were three times more likely than Millennials to lack motivation for returning in the future.
Nearly 80 per cent of Millennials said that their satisfaction with a repair shop would go up significantly if they received a video of their vehicle explaining the completed repairs. This was nearly two-thirds stronger than what was seen for Boomers and 20 per cent stronger than its impact on Gen Xers.
And when it comes to additional work found during the course of an inspection, Lang found customers respond more positively and with a better understanding if there’s a video component.
“Videos can increase the likelihood that customers will approve additional needed repairs, thereby improving vehicle performance and boosting customer satisfaction along with repair orders.”