Dealership service is at a crossroads. Vehicles are older, service demand is rising, and the market is expanding—but dealerships aren’t capturing their fair share. According to the 2025 Cox Automotive Service Industry Study, service visits are up, yet more customers are shopping around for service.
The upside? Fixed ops revenue is thriving. Last year, service and parts brought in $156 billion, making up 13.2% of dealership income. That’s a clear sign, now’s the time to win back visits, boost retention, and turn service demand into long-term profitability.
Reclaiming share won’t happen by sticking to the status quo. Below are five proven strategies to help your team deliver transparent, convenient, and connected experiences that customers can’t get anywhere else.
1. Build Trust Through Transparent Service Pricing
Nearly half of vehicle owners (45%) say they’re dissatisfied with dealership service —often because of unexpected costs and poor communication. Yet dealership repair costs in 2025 averaged $261 versus the $275 average at independent shops. That gap between perception and reality is your opening.
What to do now:
- Publish menus for common services and offer upfront digital estimates.
- Break down every line item—no surprises, just trust.
- Send proactive updates at every stage: “vehicle received,” “diagnosis in progress,” “awaiting approval,” “ready for pickup.”
- Simplify approvals with visuals, technician notes, and easy “approve/decline” options.
Xtime’s automation tools make this easy, streamlining communication and approvals while building customer confidence in your dealership.
2. Make Convenience the New Standard
Today’s customers aren’t just comparing shops—they’re comparing experiences. The study shows strong demand for easy scheduling, after-hours options, and modern conveniences like pickup, delivery, and rideshare integration.
What to do now:
- Offer mobile-first scheduling and real-time availability.
- Provide pickup and delivery, rideshare credits, or after-hours options.
- Streamline check-in and check-out with digital prompts and payment links.
Xtime’s full suite of fixed ops offerings help dealerships meet these expectations. With seamless, automated workflows that are tailored to your customers, their history, and their preferred means of communication, these tools keep customers coming back.
3. Turn Service Loyalty Into Future Sales
Service isn’t just about today’s repair—it’s tomorrow’s sale. Customers who service at the dealership are 74% more likely to buy their next vehicle there. But early-ownership retention is slipping.
What to do now:
- Make scheduling the first step of the sales handoff.
- Reach out proactively as vehicles age out of warranty.
- Use reminders and “vehicle health” updates to help drive retention.
With VinSolutions CRM and Xtime, dealers can prioritize outreach and personalize follow ups—turning service loyalty into sales momentum.
4. Use the Service Lane to Source Inventory
More than half of owners facing a major repair would consider trading in—but most are never offered an appraisal during their service. That’s a missed opportunity.
What to do now:
- Set triggers for appraisals based on repair thresholds.
- Equip advisors with insights, quick-quote tools and a clear process.
- Track offers made, trades acquired, and how quickly those vehicles turn.
Integrating CRM, Inventory, and Service solutions will be key in making this a seamless process. Leveraging VinSolutions, vAuto, and Xtime will allow dealers to not only flag high value vehicles, but enable real-time acquisition conversations directly from your service lane.
5. Manage Fixed Ops With Data, Not Guesswork
Winning back share means running fixed ops like the smart business it is. The study highlights repair orders, approval speed, revenue per RO, declined-work recovery, appointment lead time, and communication responsiveness as strategic focus areas.
What to do now:
- Use weekly scorecards for every lane and advisor.
- Monitor response times and abandoned approvals—then fix the friction.
- Continuously A/B test outreach and estimate presentation.
Xtime’s reporting features and AI-enabled insights help managers make smarter decisions, faster—turning data into action.
Dealers are finding they are losing customers on clarity, convenience, and connectedness. Close the communication gap, make convenience your standard, align service with sales, and manage by the numbers. In a market of aging vehicles with rising service demand, a smart service department isn’t just the fastest path to recapturing share and profits—it’s your competitive edge.
Findings summarized here are drawn from Cox Automotive research conducted April–May 2025 among 1,974 U.S. vehicle owners who serviced a vehicle in the previous 12 months.
