Programme to raise profits for dealers

Chevron Global Lubricants believes it has outflanked its rivals with the launch of a programme that claims to offer more efficient engines to drivers, while giving them a reason to visit a franchised dealer twice a year.

Retail customers who opt for Havoline Performance Plus are told engines will perform better and produce less smoke and fewer gas emissions. They must, however, return every six months so that a dealership can use two Havoline fuel-system cleaners.

Hendy Group, whose seven Ford outlets took part in a 12-month pilot scheme, charges £14.99 for the service. This includes a visual safety check on tyres, lights and brakes. Dealers can charge what they like for the programme.

Chevron, which formally launched the programme at the end of January, says it has 400 dealerships signed up. Linked programmes, to clean crankcases and air conditioning systems, will follow.

The appeal to the trade is based on the potential to sell other services and products to customers – many call in only once a year because of lengthening service intervals.

According to Chevron, an AM100 top 20 group (that asked not to be identified) added £25,000 per month to its profits during the pilot.

Mike Weatherston, Hendy Ford’s group service marketing director, says: “The programme has helped us increase our profits over the past year by £50,000.

Chevron claims Texaco’s fuel technology (the two oil companies merged in 2001) has produced a cleaner that is superior to chemical-based products.

John Jackson, auto/commercial manager, Chevron Global Lubricants UK, says: “The programme is only for franchised dealers, though there will be a separate one later this year for independents.”