In a recent Forbes study, it was again confirmed that it can cost a business up to five times more to acquire new customers, as opposed to retaining the ones you have.
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It is startling to see that 44% of businesses still have a greater focus on getting new customers versus 18% that focus on keeping them. Research done by Frederick Reichheld of Bain & Company in fact shows that by increasing customer retention rates by 5%, it increases profits by 25% to 95%.
The Directors at Secunda BMW understand this concept fully and recently celebrated one of their favourite and most loyal customers, local attorney Evert Underhay, who has purchased no fewer than 15 cars from them since 1993.
Secunda BMW Directors Jacques van der Westhuizen (left) and Danny Hanger (right) with one of their favourite clients, local attorney Evert Underhay.
According to Jacques van der Westhuizen, Dealer Principal and co-owner of Secunda BMW, providing customer service to a buyer on the day of purchase, with some aftersales follow-up and ensuring good service at the workshop are basic rules.
“However, to make sure we keep our customers coming back, we just love giving them the best interaction with us that we can… every.single.time,” he emphasises. “It doesn’t matter if they call any of our employees on a Monday morning first thing, or on a Friday afternoon after we have closed, we always treat them as friends, because that is what they have become.”
Underhay concurs, stating that he cannot fathom being disloyal to Van der Westhuizen and the BMW team. “Just the idea of buying a car from another dealer gives me an anxiety attack,” he told Dealerfloor. “I am a super BMW supporter, had the opportunity to visit the BMW museum in Munich, and I have owned a variety of models over the years, but I can say with all honesty that it is the treatment I receive at Secunda BMW and from Jacques that keeps me coming back.”
Zero Carbon Charge (CHARGE) welcomes the government’s extension of short term fuel levy relief measures aimed at cushioning consumers from rising fuel prices, but cautions that these interventions do not address the underlying structural challenge facing South Africa’s transport economy.
Volvo Cars has started building the fully electric EX60 at its Torslanda factory outside Gothenburg, with first customer deliveries due in early summer.
Changan has unveiled its ambitious “1+4+4+5” global strategy, signalling a determined push to become one of the world’s top ten automotive brands by 2030.
The Isuzu Foundation, a collaboration between Isuzu Motors South Africa and its Dealer network, has raised more than R200 000 for thirteen children’s charities in Nelson Mandela Bay through its partnership with the IRONMAN4theKidz organisation.