Additional services that build customer loyalty and generate income in your dealership

In the current used car market, margins are becoming increasingly tight. This is why dealers looking to grow and consolidate need to look beyond simple buying and selling. The key is to diversify: offer additional services that not only generate extra income but also build customer loyalty and enhance the buying experience.

This article presents a mix of classic and creative services that can easily be integrated into a medium-sized dealership, especially focused on mid-range cars. If implemented correctly, these services can make a difference in profitability, reputation, and customer recurrence.

1. Personalized financing: income and ease for the customer

Financing remains one of the most profitable services for any dealership. By partnering with financial institutions or fintechs, you can offer comfortable payment options that increase the closing rate and generate a commission per transaction.

Advantages:

• Increases the average ticket per car.

• Improves the conversion rate.

• Generates recurring income from commission.

Tip: Provide different payment simulations in each ad or car listing. This way, the customer visualizes the car as an affordable payment, not as a large expense. Additionally, showing options with and without down payment can open more doors.

2. Extended warranties: peace of mind for the customer, income for you

Many times, dealers underestimate the power of a well-sold extended warranty. It not only conveys confidence but can also generate an additional margin per unit.

You can offer:

• Mechanical warranties of 12, 24, or 36 months.

• Partial or full coverage (engine, gearbox, electronics...).

• Premium services such as replacement car, roadside assistance, etc.

Business model: You can contract volume packs with specialized insurers and resell them with a margin, or integrate them into your selling price as "free added value."

Example: If you sell 100 cars a year and sell an extra warranty on 60% of them with an average margin of €150, that’s an additional €9,000 annually.

3. Administration and procedures services

Although it is a classic service, it remains essential. Many customers prefer to delegate the car transfer, registration, or tax management.

How to monetize it:

• Include it as part of the added value.

• Offer it as an extra with a clear fee.

You can also offer:

• Key duplicates.

• Traffic reports.

• Consulting for complex ownership changes.

• Management of circulation taxes or temporary withdrawals.

4. Prepaid maintenance and inspections

Offering scheduled maintenance packs is an excellent way to secure future income and build customer loyalty. You can collaborate with local workshops or have your own space.

Examples of packs:

• 2 inspections + oil and filter change for €149.

• Pre-ITV inspection + car wash + diagnosis for €59.

This type of service allows you to stay in touch with the customer after the sale and create opportunities to offer other products or future repurchases.

5. Extra installations: profitable customization

Many customers are willing to pay more if they can customize their car. From accessories to technological improvements, these services can have a high margin.

Most profitable services:

• Installation of parking sensors.

• Multimedia screens or Apple CarPlay/Android Auto.

• Rear cameras.

• Premium wheels or tires.

• Tinted windows, partial wrapping, or aesthetic kits.

These extras allow you to differentiate your stock and justify higher prices. Additionally, they can be sold as "packs" to facilitate their marketing.

6. Insurance and financial protection

The world of insurance is an untapped goldmine for many dealerships. If you collaborate with brokers, you can generate commissions for each policy sold without the need to be an agent.

Popular modalities:

• Extended third-party insurance or comprehensive insurance with a deductible.

• Extended mechanical warranty insurance.

• Monthly insurance or for young drivers.

• Payment protection insurance: covers payments if the buyer becomes unemployed.

In addition to income, you are addressing a critical need of the customer at the moment of purchase.

7. Loyalty and referral programs

A satisfied customer can be your best salesperson. Implementing loyalty or referral programs has a low cost and a high return.

Applicable ideas:

• €50 discount on the next purchase for referring a friend.

• 1 free inspection every 12 months for recurring customers.

• Accumulated points for maintenance or accessories.

This not only increases your income but transforms each sale into a long-term relationship.

8. Innovative services that differentiate

Innovation is not just for large groups. You can also apply original ideas to stand out from other dealerships:

• Home delivery of the sold car. Ideal for customers outside your area.

• Free courtesy vehicle 1 day a year. A gesture that builds loyalty.

• Flexible subscriptions: use of the car for months without purchase.

• Online purchase with digital signature and contactless delivery. Highly valued post-pandemic.

These services impact the customer's perception and open new income streams if communicated well.

Common mistakes when implementing additional services

• Not training the team on how to sell these services.

• Not integrating them well into the sales process.

• Lack of clarity in prices or conditions.

• Not measuring the individual profitability of each service.

• Promising more than can be delivered.

Improperly implementing a service can have the opposite effect: loss of trust.

Checklist: What services can you implement today?

• [ ] Do you offer financing with a margin?

• [ ] Do you have additional warranties that generate income?

• [ ] Do you have own or outsourced profitable administration?

• [ ] Do you sell extras or customization?

• [ ] Do you offer insurance with commission?

• [ ] Do you have apps or digital systems that build loyalty?

• [ ] Do you use a loyalty or referral program?

• [ ] Do you differentiate with innovative services?

The more checks you mark, the greater your overall profitability per customer will be.

Frequently Asked Questions (FAQs)

How much can a good system of additional services represent in income?

Between 10% and 25% of the total annual billing, depending on how many services are integrated and how they are sold.

Can I offer all these services as a small dealership?

Yes, most can be offered by outsourcing (insurance, administration, warranties, etc.) without large internal structures.

How do I start if I have no experience offering these services?

Start with the basics: financing, warranty, and administration. Then add extras as demand and resources allow.

Conclusion

A dealership that only sells cars is leaving money on the table. Incorporating additional services not only increases your income but also strengthens your relationship with the customer and differentiates you from the competition.

From warranties and financing to technological extras, insurance, or loyalty programs, there are multiple ways to generate real value. The important thing is to choose the services that suit your customer profile and execute them with professionalism and transparency.

Every car can be the start of a profitable relationship, not just a transaction. Make your dealership offer more, and charge better for it.