Previous experience with a manufacturer’s brand is one of best indicators of future purchase. If a consumer enjoys his or her vehicle, has a consistent, positive experience with the dealership and is unencumbered by the strain of constant vehicle maintenance, there’s a strong chance the individual will become a repeat customer. And though customer retention has historically been a focus for new-car sales, Certified Pre-Owned Vehicles (CPO) offer many of the same value-adds – long-term warranties, scheduled maintenance, a like-new feel.
A 2012 study from Experian Solutions shows that 31% of CPO vehicle owners repurchased the same vehicle brand for a subsequent purchase, a loyalty rate nearly 1/3 higher than general used-car purchases. Dealerships that take full advantage of their manufacturer’s CPO programs may have greater success building and retaining their own customer base, and stand to influence shoppers beyond just the new-car front.