All-in-one?! The modern service advisor in conflict between customer expectations and profitability

Transcription

1 All-in-one?! The modern service advisor in conflict between customer expectations and profitability July 9th 2014 Copyright 2014 NTT DATA EMEA Ltd.

2 Automotive Service subject to change Changes of customers Higher information and price transparency Changes in business Vehicle and service demands are getting more complex Changing expectations towards services Increased cost and margin pressure Expectations about individualized customer care New communication channels and service formats are gaining importance From now on the customer is the focus no longer the vehicle. Copyright 2014 NTT DATA EMEA Ltd. 2

3 Expectations on the service advisor are changing From the customer s point of view, the service advisor has to know everything. be a good communicator. understand customer requirements. From the workshop s point of view, the service advisor has to act as a salesman. diagnose the vehicle problems. prepare a complete job order. Copyright 2014 NTT DATA EMEA Ltd. 3

4 Agenda 1. Survey method and sample 2. Survey results (excerpt): I. Current tasks and responsibilities do not fulfill the target state II. Support through IT-systems offers room for improvement III. Training and qualification programs focus on the wrong objectives 3. Summary & conclusion Copyright 2014 NTT DATA EMEA Ltd. 4

5 Survey method & sample Method Phone interview Conducted by Puls Marktforschung GmbH Interview: approx. 15 minutes / approx. 35 questions Sample 401 service advisors interviewed 10 brands* covered Single-brand & multi-brand dealership from urban and rural areas are equally distributed Timing Survey time frame: Feb 18 th till March 3 rd 2014 Analysis & documentation: April June 2014 Publication: July 9 th 2014 *Audi, BMW, Ford, Opel, Mercedes, Hyundai, Skoda, Renault, Toyota, Volkswagen Copyright 2014 NTT DATA EMEA Ltd. 5

6 Today s service advisor Who are we talking about? Age of service advisor Job experience as a service advisor 30 years or less 16% 3 years or less 17% years 28% 4-6 years 14% 7-10 years 18% years 32% years 19% years 20% years 15% over 60 years 3% over 20 years 18% Average: 42,3 years Average: 12,5 years Copyright 2014 NTT DATA EMEA Ltd. 6

7 Educational background of the service advisor 2/3 have only a technical education background Apprenticeship as service advisor 1% Only business/economic 12% 65% Only technical Technical and business/economic 22% Question: Which educational background do you have in general? (N= 401) Copyright 2014 NTT DATA EMEA Ltd. 7

8 Study results - Overview Demands on advanced training Educational background & work experience Salary levels & structures The typical workday Satisfaction criteria for motivation = Focus of the presentation IT-support at the workplace The role of the service advisor Copyright 2014 NTT DATA EMEA Ltd. 8

9 Tasks & responsibilities of the service advisor Service advisors see themselves as salesmen The typical workday No Yes 8% 92% but only in theory! Question: Do you think that selling additional services is part of your job responsibilities? (N= 401) Copyright 2014 NTT DATA EMEA Ltd. 9

10 Tasks & responsibilities of the service advisor The typical workday 1/2 of their time service advisors do not interact with customers Without customer interaction Direct customer interaction Question: What % of your working time do you spend with direct contact/interaction with the customer? (N= 401) Copyright 2014 NTT DATA EMEA Ltd. 10

11 The typical workday of the service advisor The typical workday The typical workday is filled with many administrative tasks. Initiating service and marketing activities Processing customer complaints Consulting with respect to the current topics/open issues Sales-related activities Interaction with insurance companies Other activities without direct contact to customer Diagnosing vehicles Preparing cost estimations Appointment scheduling Other activities with direct contact to customer Processing warranty & goodwill requests Question: What % of your working time do you spent with direct contact/interaction with the customer? (N= 401) Copyright 2014 NTT DATA EMEA Ltd. 11

12 Tasks & responsibilities Recommendations The typical workday 1 The changes in customer expectations have to lead to noticeable changes in the daily business. Therefore communication and change management activities are required. 2 The changing tasks and responsibilities need to be reflected in new role concepts aligned to the new targets. 3 Prerequisites in processes and organization need to be implemented and supported by management. Copyright 2014 NTT DATA EMEA Ltd. 12

13 Current IT-system support for the service advisor Apps and tablets will gain importance IT support at the workplace Automated reminder for service appointments Online appointment scheduling Dealer phone hotline Apps for individual customer consultation Wireless headsets tablets e.g. for direct reception Video consultation e.g. per Skype or online No support 8% 23% 19% 18% 42% 59% 51% 45% Question: Which of the following systems do you have or which communication channels or options for service consultations do you already offer? Which of them will gain importance in the next 5 years? (N= 401) 81% 71% 75% 70% 73% 79% 3% 2% Wird Already heute offered schon today angeboten Wird Will gain an Bedeutung importance gewinnen Copyright 2014 NTT DATA EMEA Ltd. 13

14 Requirements for support through IT systems 40% would like to receive more support through IT systems IT support at the workplace Need for support through IT of activities which require a direct contact to the customer 40% Yes Sales-related activities Consulting on current topics/ open issues Appointment scheduling 28% 40% 36% Need for support through IT of activities which do not require a direct contact to the customer 41% Yes Processing warranty requests Cooperation with insurance companies Diagnosing vehicles Preparing cost estimations Processing customer complaints 41% 33% 24% 23% 22% Question: During which activities would you like to receive more technical/it system support to be able to conduct customer service better and faster? (N= 401) Copyright 2014 NTT DATA EMEA Ltd. 14

15 IT system support Recommendations IT support at the workplace 1 New technologies, already implemented in other industries, have to find their way to the automotive service industry. 2 Processes with external service partners need to receive better support through IT systems. This requires support and solutions through the OEM. 3 Information transparency and integration of customer data are the key with regard to the changed requirements on the service advisor role. Copyright 2014 NTT DATA EMEA Ltd. 15

16 Recruiting service advisors The majority of the service advisors started in the workshop. Demands on advanced training Service Advisor Mechanic Lead Technician 16% 24% 23% Workshop Manager 10% Service Technician Service Manager Trainee Mechatronic Parts Manager 5% 5% 4% 4% 2% Question: What was your previous job position at the dealership before you started to work as a service advisor? (N= 401) Copyright 2014 NTT DATA EMEA Ltd. 16

17 Currently available training programs Preparation of service advisor skills (Rating: good & very good) Demands on advanced training Brand-specific knowledge 38% 48% 86% Technical knowledge 32% 47% 79% General communication skills 18% 52% 70% Relationship management/ Building trust 19% 46% 65% Question: How well are you being trained by your current employer (dealership) or your manufacturer/importer on the following aspects, which might be important for conducting a customer consultation successfully? (N= 401) Copyright 2014 NTT DATA EMEA Ltd. 17

18 MUST NEED AHA Employee training - an important motivation factor Demands on advanced training Service advisors would like to gain more technical knowledge and improve their communication skills. Technical knowledge Customer communication/rhetoric Dealing with complaints Excitement Factors Warranty-related topics Introduction of new models Customer care and customer orientation Product-related trainings Performance Factors Basic Factors Everything is already covered Question: If you would like to receive additional trainings from your employer/manufacturer, which topics should they cover? (N= 401) Copyright 2014 NTT DATA EMEA Ltd. 18

19 Training & qualification Recommendations Demands on advanced training 1 2 The hiring criteria need to be adjusted and new ways for recruiting employees need to be identified, also considering the changes in role models. Soft skills trainings have to become an integrated part of qualification programs - this is also a responsibility of the manufacturer. 3 The excitement factors offered by trainings should be used more actively for improving the motivation of employees. Copyright 2014 NTT DATA EMEA Ltd. 19

20 Summary & Conclusion 1 New service culture in the dealership 2 Service advisor of the future redefining an established role 3 Targeted qualification for improving customer interaction 4 IT integration instead of IT revolution In the future, the focus will be on the customer, not on the vehicle. However, this is currently not reflected in the interaction time with the customer. Individual customer consulting needs to be reflected in the roles and communication channels. The changed priorities are not yet reflected in the educational background and the daily business tasks. Information transparency is not yet secured. Transparency of processes and information is essential. Soft skills are insufficiently trained. Availability of qualification & training is a motivation factor for employees. Adjustment of the training portfolio and buy-in of the dealership management is required. New technologies are not sufficiently represented in the Aftersales service. Core business processes require more IT-system support through the manufacturer. Focus should be on the integration of applications. Copyright 2014 NTT DATA EMEA Ltd. 20

21 Thank you for your interest! For additional questions, please contact us: Stephan Oerder Head of Competence Center Automotive Aftersales NTT DATA Deutschland +46 (163) Claudia Wegerer Competence Unit Manager NTT DATA Deutschland +46 (163) Copyright 2014 NTT DATA EMEA Ltd. 21