Can Small Dealers Buy Cars From Service Drive? A Smaller CDJR Store Bought 3 Cars in Its First Week

• A rural Washington CDJR store running 15 to 20 ROs a day bought one car and traded two in its first week on MOTO(drive).

• Lower RO volume stores have usually sat out service drive acquisition because traditional tools cost thousands of dollars and require a dedicated service acquisition person.

• MOTO(drive) uses DMS data and automated texts and alerts the sales team when a customer is ready, so it does not require a dedicated service buyer.

• MOTO(acquire) is a Stellantis approved vendor for trade-in, value tracking, and service drive acquisition, which matters for CDJR stores.

• According to Mike, a store can be set up on MOTO(drive) in a couple of weeks.

If you run a smaller store, you have probably asked yourself: can small dealers buy cars from service drive, or is that only for the big-volume rooftops? It is a fair question. Most service drive acquisition programs were built around stores with heavy RO counts, a dedicated buyer in the lane, and a budget to match. If you do not have all three, it is easy to assume the service drive is not a real source of inventory for you.

Mike Crothers, CEO of MOTO(acquire), shared a recent result that challenges that assumption. Even he was skeptical going in.

Can small dealers buy cars from service drive?

Yes, and here is the example. A CDJR store in rural Washington launched on MOTO(drive) and, within one week, bought a car and traded two. Their RO volume is between 15 and 20 ROs a day.

Mike talked with the general manager after the store's one-week check-in call. In his words, that is "incredible for the first week results for a store of that repair order volume." He was upfront that he did not expect that kind of RO volume to produce those results so quickly.

One week is one week, and every store is different. But it shows that a lower RO count does not automatically rule you out.

Why lower RO volume stores have sat this out

Mike's point is that smaller stores have not avoided service drive acquisition because the opportunity was not there. They avoided it because of what it traditionally takes to run it.

• Cost: As Mike put it, "generally you have to pay thousands upon thousands of dollars for a service drive acquisition tool."

• Headcount: Most programs expect you to have a service acquisition person working the lane.

For a store doing 15 to 20 ROs a day, that math is hard to justify. You are being asked to fund a tool and a salary before you know whether the lane will produce. So a lot of stores just do not start.

That is the part Mike is most excited about. This result opens service acquisition up to smaller stores that may have been locked out in the past.

How MOTO(drive) works without a service buyer

MOTO(drive) is MOTO(acquire)'s service drive acquisition tool. It uses DMS data and automated texts to reach service customers, pushes VIN and miles to your inventory tools, and alerts your sales team when a customer is ready. That is why, as Mike said, it "doesn't really require a service acquisition person."

A few things worth knowing if you are evaluating it:

• MOTO(drive) stores consistently buy about 1% of their repair orders without dedicated service acquisition hires.

• MOTO(acquire) integrates with all major DMS platforms and many others, including Tekion, Dealertrack, CDK, Reynolds, and Auto/Mate. If your DMS is not one we integrate with yet, we will build the integration.

• For CDJR stores, MOTO(acquire) is a Stellantis approved vendor for trade-in, value tracking, and service drive acquisition.

If you want to see how other stores have approached it, the service drive acquisition topic hub collects Mike's videos on the subject, including a look at a store that bought a car on its first day live and a dealer group's results from service acquisition.

Not sure you have the RO volume? Talk it through

Mike's message to dealers on the fence is simple. If you would like to acquire cars from service but do not think you have the RO volume, book some time with the MOTO(acquire) team. They will talk through your store, show you what they think they can do, and get you set up in a couple of weeks.

The worst case is you learn what your service drive could realistically produce. The best case is you start buying cars your competitors are not even looking at.