What is a value-added program for a dealership? It is a business to consumer incentive plan that gives a quid quo pro “bonus” when someone purchases something from the dealership. For example: customers receive free oil changes for life when they buy a car from your store. This is one of the most common value-added programs.
My experience with these programs dates back to 1999 when I started selling Volkswagens. Our competitor gave free oil changes and state inspections for life. They were one of 3 dealers in town doing anything like this. At the time, I estimate roughly 40% of all customers mentioned their program and that was mainly due to them buying so much newspaper real estate to push it. As a salesperson, 40% of the customers saying something about it translated into 100% of my customers asking for it. It really is amazing how selective our memory can be isn’t it? I was all about our store offering the same or better. What we were given was a program that only tackled 5 oil changes and state inspections for life. It forced me to continue to be a better sales person by finding ways to sell around the other guys oil changes for life.