Reduce Costs & Overhead with Ridehail in Your Dealership’s Courtesy Transportation Program
How Ridehail Services Help Dealerships Reduce Costs & Lower Overhead
Offering courtesy transportation is a valuable service that enhances customer satisfaction, but it comes at a significant cost to dealerships. Managing a fleet of loaner vehicles or operating shuttles requires continuous investment in fuel, insurance, maintenance, staffing, and vehicle depreciation.
By integrating ridehail services (Uber/Lyft) into their transportation program, dealerships can reduce expenses, improve efficiency, and provide customers with a seamless transportation experience—all while lowering operational overhead.
Where Traditional Courtesy Transportation Increases Costs
Many dealerships rely on loaner fleets and shuttles, but these methods come with hidden expenses that impact profitability:
- Loaner Vehicle Costs
- Purchasing loaners requires upfront capital investment.
- Insurance and registration fees add ongoing costs.
- Fuel, maintenance, and repairs increase operational expenses.
- Excessive mileage and depreciation reduce resale value.
- Unreported damage from customers can result in costly repairs.
- Shuttle Service Expenses
- Fuel costs increase due to inefficient routes and idling.
- Shuttle drivers require salaries, benefits, and scheduling management.
- Running shuttles with few passengers wastes dealership resources.
- Customers waiting for shuttles may become frustrated, impacting CSI scores.
- Administrative & Operational Overhead
- Service advisors spend time coordinating shuttle rides and loaner car availability, reducing efficiency.
- Managing vehicle inventory, maintenance schedules, and insurance claims adds complexity.
Tracking costs and warranty reimbursement for loaner vehicles is time-consuming.
How Ridehail Lowers Costs & Reduces Overhead
Integrating ridehail services into your dealership’s courtesy transportation program can eliminate unnecessary expenses while offering a more convenient option for customers.
✅ 1. No Need for a Large Loaner Fleet
- Reduce or eliminate the need to purchase and maintain extra loaner vehicles.
- Avoid insurance, registration, and depreciation costs on loaner cars.
- Only pay for rides when needed, instead of keeping unused loaners on the lot.
✅ 2. No Shuttle Drivers or Vehicle Maintenance Costs
- Eliminate labor costs associated with shuttle drivers.
- Reduce fuel expenses by replacing underused shuttles with ridehail options.
- Avoid shuttle vehicle maintenance and unexpected repair costs.
- Free up dealership resources to focus on higher-value operations.
✅ 3. Pay-Per-Use Model for Cost Control
- Ridehail services are charged per ride, allowing predictable cost management.
- No need to budget for idle vehicles or unused shuttles—you only pay for actual rides taken.
- Reduce wasteful spending on transportation services that may not always be in demand.
✅ 4. Recover Costs More Effectively
- Easily track and report ride costs for warranty reimbursement when applicable.
- Use ridehail services for short, one-way trips, ensuring the dealership only pays for what’s necessary.
- Charge customers for premium ride options if they request upgraded transportation.
✅ 5. Improve Service Advisor Productivity
- Service advisors spend less time managing loaner or shuttle logistics.
- Advisors can focus on upselling services and enhancing customer relationships.
- Reduced workload leads to a more efficient and profitable service department.
How Connexion Mobility Makes Ridehail Integration Easy
With Connexion Mobility, dealerships can seamlessly integrate ridehail services into their courtesy transportation program for maximum cost savings:
🚗 Automated Ride Dispatching – Book rides in seconds, no manual scheduling required.
📍 Real-Time Tracking – Monitor ride status and ETAs for complete visibility.
💰 Cost Reporting & Reimbursement – Track expenses and submit for OEM warranty claims when applicable.
📊 Analytics & Optimization – Compare ridehail costs vs. traditional courtesy transportation expenses.
Ridehail: The Smart Way to Cut Costs & Improve Efficiency
By supplementing or replacing traditional loaner and shuttle programs with ridehail services, dealerships can drastically reduce expenses, eliminate unnecessary overhead, and create a smoother customer experience.
🚗 Ready to lower your dealership’s courtesy transportation costs?
🔗 Contact Connexion Mobility today to integrate ridehail services and start saving!
