Why its important to implement
Customers need mobility during repairs. Loan cars show professional edge and improve satisfaction. Some offer sustainable options. OEMs may require for large repairs. Insurance partnerships need key-to-key monitoring.
Loan Car Daily Routine
When the vehicle is in for repair they may not have opted for a loan or rented vehicle, but they will need to have a way to continue their daily routine
Loan Car Sustainability
Some businesses as part of their sustainability approach are offering electric vehicles or bicycles for customers
Loan Car Satisfaction Benefits
Having a loan vehicle will also improve customer satisfaction and remove some of the pressure if the repair is delayed as they are fully mobile and not inconvenienced
Loan Car Customer Dependency
Many customers heavily rely on their vehicle for business, family and personal mobility
Loan Car Professional Edge
The business will give customers a professional edge if they make it easier for customers are offered a loan or rental vehicle
Insurance Loan Car Packages
I some countries the insurance company offers the customer a loan vehicle as part of their insurance package, the business will need to be highly alert to 'key to key' days if this is the case as they will cost the insurance partner a lot of money for every extra day the loan vehicle is with the customer
Loan Car OEM Requirements
Some OEMs require a loan vehicle for customers with large repairs that will take some weeks to repair
Insurance Loan Car Requirements
In some countries the insurance companies require the body shop to have loan cars at no additional cost to the customer
Business Impact
Maintains customer mobility, reduces stress from delays, protects relationships and reputation. Enhances retention, reviews, and referrals while supporting premium pricing and differentiation.
Customer satisfaction
Customer without a car are highly irritated if there is a delay in the repair causing poor customer satisfaction
Overall Business Impact
Loan car availability significantly impacts customer satisfaction by maintaining customer mobility during repairs, especially for extended repair periods. This service reduces customer stress and irritation from delays, protecting the business relationship and reputation. Enhanced customer satisfaction translates to better retention, positive reviews, and referrals. For insurance work, loan car management affects key-to-key costs and work provider relationships. The service can justify premium pricing and differentiate the business in a competitive market
action steps
Investigate work provider/OEM requirements. Calculate profitability with loan car costs. Negotiate rental fees covering costs. Always use signed contracts for loan cars.
Documentation and Communication Materials
Always have a contract signed by the customers before any loan / rental cars have been used, as the customer needs to know their legal rights and know the collision shops rules of the loan/ rental car policy
Service Partnerships and Agreements
The business needs to investigate the requirements any potential work provider partners or OEM's have in this regard; a calculation must be made to see if the business from the work provider will still be profitable if loan vehicles are included at no charge. Negotiating a daily rental fee that at least covers the cost of the vehicles and managing the fleet is best for the business
Related tasks
Milestone:
01: Elevate Your Customer Experience