The metrics of dealer loyalty

If you ever have a chance to be in Japan, go to the Shibuya Station. Once there you will see the bronze statue of Hachiko, an Akita, that is the epitome of owner loyalty.  If you know the story, the owner met the dog at the end of each day at the station and even after the owner died, the dog came back to the Shibuya station every day for nine years waiting for his master’s return. That’s loyalty.

The interesting thing is, we often expect loyalty from the customers who buy our cars, but what exactly is “good” or “bad” loyalty?   Is that number going up or down?  Car dealers obviously want customers to return to the dealership and buy again, but are they moving the needle when it comes to dealership loyalty?

I did some analysis for you to answer these questions, and they’re important ones with direct implications for dealership profitability.

Watch here.