ELECTRONICALLY REPRINTED FROM JULY 1, 2013 fixed operations Car chip speeds up store’s service process When customer arrives, records appear on adviser’s tablet Arlena Sawyers asawyers@crain.com t Audi Coral Springs, minutes count. That’s why its service department has technology that recognizes when a customer’s vehicle arrives in its service lanes. The Coral Springs, Fla., dealership is one of a growing number that equips every new vehicle and some used vehicles it sells with Radio Frequency Identification tags, known as RFID. When a customer is at the dealership, the vehicle owner’s name and service records are sent wirelessly to the service adviser’s tablet. The salesperson who sold the vehicle is notified by e-mail or text. The customer’s name also appears on flat screen monitors in the service department with a personalized greeting. When the RFID tag, embedded with a tiny antenna and a microchip, comes within proximity of other larger antennas throughout the service department, service information about the vehicle is sent automatically from the store’s dealership management system to employees’ computers, tablets and smartphones. Bret Macy, the store’s general manager, says the system cuts about six minutes off of each customer’s repair order time. A Those minutes add up when a customer is waiting; they multiply into hours considering the service department handles about 60 vehicles per day. The tags help the dealership deliver more personalized and efficient service, Macy says. “All dealers are trying to speed up the service process and make it more efficient for the customer because in return we get better CSI scores,” says Macy, who has been using the technology in his service department for about a year. “Say the customer comes in for a 5,000-mile service — that’s typically 45 minutes to an hour. With the system you can cut five to seven minutes off because the car is recognized and we know it’s here for a 5,000-mile service. Privacy questions Cresto’s tags are flat, about 4 inches long and adhere to rearview mirrors. They contain no personal information, he says. “The association is with vehicle VIN number; there is no privacy issue,” he adds. MyDealerLot prices vary based on the level of service and equipment. Cresto says there is a one-time cost that starts at $15,000 to cover the RFID readers and antennas, integration with DMS and integration with software for loaner car management applications and sales analytics. The price also covers equipment installation and training. Subscriptions start at $999 a month, and RFID tags are “well under $1” each, Cresto says. Last month, Lexus endorsed MyDealerLot for its dealers. At Audi of Coral Springs, a tag on the customer’s rearview mirror is detected when the vehicle arrives. A welcome message is displayed on a screen in the service area and service records are instantly available. ❝ “All dealers are trying to speed up the service process and make it more efficient for the customer because in return we get better CSI scores.” ❝ Minutes add up Those are the customers that typically wait, so every minute counts.” Macy says antennas are located at service area and car wash entrances and exits. The tags respond only to antennas at the dealership, Macy says. They are placed on all vehicles when they arrive at the dealership. All customers are told about the tags during the delivery process. George Cresto, founder and CEO of MyDealerLot, a suburban Atlanta company that installs RFID technology in dealerships around the country, says there are about 1.7 million vehicles on the road that have his tags. He says his system integrates with dealership management system software and software that manages loaner vehicles in some luxury dealerships. Bret Macy, Audi Coral Springs Salespeople can be sent customer arrival information that includes “basic deal information stored in the DMS, including payment information and lease-end timing,” said Jim Anderson, Lexus dealer development and technical operations manager. Handling loaners, too Andy Benedict, fixed operations director at BMW of Minnetonka (Minn.), says his service department has used the technology for about 3½ years. He says it helps the loaner car drop-off and vehicle pickup go smoothly. Antennas at the dealership entrance identify a loaner vehicle when it enters the dealership property and notifies the dealership service adviser, porter and cashier. The heads-up gives them a head start retrieving the vehicle and having paperwork ready. It also helps them to loan out about 45 vehicles a day, up from about 25 a day two years ago, without adding staff to retrieve those vehicles. “We’re a big store, so we park all of our vehicles inside in a parking garage,” says Benedict. “We can dispatch somebody to get the car before the customer lets us know they’re here to pick up their car. So we get to cheat a little bit.” Benedict says the technology has a “Wow factor” for most customers, but some have privacy concerns. At least one tag was removed at the customer’s request, he says. “All it does is send us the customer’s [vehicle identification number], and it’s only a system within our store,” he says. “The downtown traffic camera is not going to get any information off your car.” Posted with permission from the July 1, 2013 issue of Automotive News ® Copyright 2013. All rights reserved. For more information on the use of this content, contact Wright’s Media at 877-652-5295 102815