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Tuesday, 25 January 2022 11:31

Performance Group Launches Subscription Maintenance Platform

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While subscription services are becoming ubiquitous, until now, there has never been a subscription model that enables consumers to maintain one of their most expensive investments: their automobile.

Performance Group has launched UltraCare Plus Subscription Maintenance for auto dealers to turn the concept of traditional "prepaid maintenance" on its head. The program gives dealers the ability to sell fully customized, automatically renewing vehicle maintenance subscriptions to both their sales and service customers.

 

Dealers currently using UltraCare Plus are seeing significant, accelerating yearly revenue growth from their program with over 72% of their subscribers renewing for additional terms. Because of the auto-renewing model, there is a compounding effect on dealers' service drive visits and revenue.

 

Today's consumers, on average, already have nine active subscriptions and strongly embrace the subscription lifestyle.

 

In fact, Lockhart Cadillac in Indiana is seeing a significant uptake in their Lockhart Unlimited subscription maintenance program, where sales and service customers can subscribe to oil changes, tire rotations and inspections for only $109 annually.

 

"UltraCare Plus is a game-changer for us," said Corey Lockhart, owner of Lockhart Auto Group. "It will literally double our customer pay revenue within 36 months. This program creates a very predictable stream of loyal customers---and, most importantly, revenue."

 

By bundling a basic maintenance subscription with every pre-owned vehicle, Lockhart has also grown its pre-owned service retention from less than 15% to more than 65% since program inception. With a 78% renewal rate on the annual subscriptions, Lockhart is seeing customer pay service visits more than double over last year, generating more than $900,000 in revenue from the UltraCare Plus program so far. Because of the...


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