CASE STUDY: Chris Volvo "Better Snacks"

The owners of the dealership group were concerned with this new dealership's lackluster sales.  They had a strong GM, an experienced sales team and decent CSI scores. There was concern that the dealership's suburban territory market potential for Volvo was simply saturated; that the dealership may not be able to grow much more.

Our market research showed that the territory still had excellent growth potential.  Local residents were apparently opting to shop at a Volvo dealer inside Atlanta city limits that had been there for 25 years.  But, the research also showed solid awareness numbers for Chris Volvo.  So why were local buyers driving 15 miles and shopping outside of their neighborhood?

Volvo corporate encouraged dealer brand and pricing conformity by offering coop dollars when you use their creative.  So, the dealership had been running Volvo supplied creative - and so were all of the other Metro Atlanta Volvo dealers. The only thing that differentiated each dealership was their location. So why was Chris Volvo losing customers to the in town dealership? 

We talked to people in the neighborhood who opted to drive to the in-town dealership. Their perception was that the in-town dealer must be a better option. They believed that the dealer's longevity and their in-town status must mean it is a better dealership - better service, better prices, better inventory.  We also learned that there was virtually no difference in the customer experience at Chris Volvo versus any of their competitors - except for one thing...

Chris Volvo customers who had been to other dealerships mentioned that Chris had better snacks in their waiting area for service and on the sales floor.  So... we went with it. We sacrificed the coop dollars and launched a brand campaign touting the idea that all other things being equal, Chris Volvo has "Better Snacks.  The humorous but true, graphic campaign creative made the difference: CSI scores UP 11% Sales UP 5%.