Dealership OnDemand solution improves service retention and transportation efficiency

Dealership OnDemand solution and why transportation data now matters

Transportation has become one of the most important yet overlooked factors in dealership service performance. As customer expectations continue to rise, service departments are being judged not only on repair quality, but on how easy it is to do business with them. A modern Dealership OnDemand solution helps dealers meet those expectations while improving efficiency and controlling costs.

Industry data consistently shows that convenience directly impacts service retention. Studies across automotive service operations indicate that between 20 and 30 percent of customers who delay or decline service cite transportation inconvenience as a primary reason. That lost service work does not just affect today’s repair order. It often leads to long-term defection to independent shops that feel easier to work with.

Service departments that offer reliable transportation options see measurable gains. Dealerships with structured transportation programs often experience 5 to 15 percent higher repeat service visit rates over a twelve-to-twenty-four-month period. That increase alone can represent hundreds of thousands of dollars in retained service revenue for mid- to high-volume stores.

Shuttles and loaners have traditionally filled this role, but they come with real costs. When dealers calculate true shuttle expenses, including driver wages, fuel, insurance, vehicle wear, and idle time, the average cost per shuttle ride frequently lands between $18 and $30. Manual routing and scheduling often result in underutilized trips, with many shuttles operating at less than 50% passenger capacity.

Loaners present an even higher cost profile. Depending on vehicle type and market, loaner cost per day commonly ranges from $45 to $75, not including risk exposure or administrative overhead. When loaners are used for short service visits that could be handled with a ride or shuttle, overall transportation spend increases without improving customer outcomes.

Ridehail has emerged as a flexible option, especially for dealerships looking to reduce fleet size. However, ridehail alone does not solve the complexity of managing transportation at scale. Without centralized visibility, advisors still spend time coordinating rides, managing approvals, and responding to customer questions. Research inside dealership service lanes shows advisors can spend five to ten minutes per repair order handling transportation related tasks when systems are manual. Across dozens of repair orders per day, that quickly becomes hours of lost productivity each week.

A Dealership OnDemand solution addresses this gap by unifying all transportation options into a single workflow. Instead of choosing between shuttle, loaner, or ridehail manually, decisions are made based on availability, cost, and timing. This leads to tangible operational improvements. Dealers using OnDemand transportation platforms often see 20 to 30 percent reductions in transportation-related delays, helping technicians start work sooner and improving overall repair order cycle time.

Customer satisfaction also benefits. Transportation issues are a frequent source of negative reviews, particularly complaints about waiting, lack of communication, or confusion around ride availability. Dealerships that implement centralized OnDemand systems report fewer transportation-related CSI complaints and stronger convenience scores, which directly influence manufacturer incentives and future service loyalty.

Solutions like Connexion Mobility’s OnDemand platform are designed to support this shift. By passively integrating ridehail with existing dealership transportation options, OnDemand allows service departments to scale capacity during peak demand while maintaining control and visibility. The result is a transportation experience that feels seamless to the customer and manageable for staff.

As service volumes grow and margins tighten, transportation can no longer be treated as an afterthought. A Dealership OnDemand solution turns transportation from a cost center into a strategic tool that protects retention, improves efficiency, and supports a better service experience at every touchpoint.