In 2024, the average amount customers paid for service was $515. However, the frustration point at which customers decided to trade their cars for something newer was slightly higher at $518. This indicates that service customers have made multiple high-dollar visits and the threshold for their frustration is growing.
In contrast, 2023 saw a higher frustration point of $564. This discrepancy suggests that customers were more tolerant of service costs in 2023, possibly due to different market conditions or customer expectations at that time. Or they hadn’t yet paid multiple times at higher service costs. The decrease in frustration point dollars alongside an increase in average service costs in 2024 indicates that customers are becoming increasingly weary of repeated high service visits, leading to a lower threshold for trading in their vehicles.
As customers become more frustrated with the cumulative costs of service, it is essential for dealerships to have a service mining process. We can help.
