How common are problems with new vehicles? – part 2

The following example was a recent situation that happened to one of our customers, and shows just how disruptive vehicle problems can be when purchasing a new vehicle. It also demonstrates how vital customer service can be when purchasing a vehicle, especially after delivery of the vehicle.

As a majority of vehicle brokers do not have large premises and big advertising budgets, ensuring customer satisfaction for repeat business is a central part of their business plans, and this is reflected in the reactions of the broker compared to the dealer when faced with this issue.

The situation:

A customer, who was a tradesperson, purchased a new dual cab Ute for work purposes through a broker. They picked the vehicle up on a Friday afternoon after moving their toolboxes on to the new vehicle. Two days later, in the middle of their Sunday errands, the vehicle began to lose acceleration power, and it was clear the vehicle was experiencing mechanical issues.

The customer was on their way to help set up a childcare centre for class on Monday morning when the vehicle began experiencing problems. He needed a vehicle to get to work on Monday, and also required his tools, which were all on the back of his new vehicle.

Result with a dealer: (what could have happened)

As the customer had purchased the vehicle through a broker, they had a liaison to contact the dealership to organise repairs on their behalf. Although it was not required as the broker offered a better solution, the following is what would have occurred if the customer had purchased the vehicle through the dealer:

After being contacted on the Sunday afternoon and informed of the situation, the dealership manager suggested the customer get the vehicle towed to their dealership for the service department to examine on Monday. The customer then would have had no vehicle to get home or to work the next day, not to mention the necessary tools that were stored on the back of the car.

On Monday morning, the dealer called roadside assistance on behalf of the customer to claim the vehicle had just broken down that morning. This was to ensure the vehicle manufacturer, and not the dealer, were liable to pay for the repairs. The broker, who had met the customer on Sunday evening and taken possession of the faulty vehicle, was informed that the roadside assistance would not be there for a number of hours.

The vehicle was not picked up until after lunchtime on Monday, and the dealership service department did not examine the vehicle until Tuesday morning. After diagnosing the issue as a faulty electrical accelerator pedal, they had to order the part, which would not arrive until the next day. The service department advised that they would be in contact when the part had arrived and when the vehicle would be repaired.

After contacting the service department directly late in the afternoon on Wednesday, the broker was informed that the vehicle had been ready to be picked up for many hours, despite never being informed of this. As the customer was given no prior notice and it was late in the day, he would not be able to pick up his new vehicle until Thursday morning.

The dealership sales team had no interest in helping the customer, as there was no financial benefit due to the vehicle already being sold and paid for. As the dealership was not concerned about the customers repeat business, they did not provide an adequate level of customer service.

Result with a broker: (what actually happened)

The customer advised he was experiencing mechanical issues on Sunday afternoon and the vehicle had lost power when he was accelerating. The customer mentioned he was close to the location that he had picked the vehicle up from on Friday, and the broker agreed to meet him there.

The broker then took possession of the faulty new vehicle, and helped the customer move his toolboxes back on to the vehicle he had traded in to ensure the customer was not affected at work by the vehicles mechanical repairs.

A couple of hours after first experiencing acceleration problems in his new vehicle, the customer was driving their previous vehicle. The customer was able to use his old vehicle to fulfil his errands for the day, including setting up the childcare centre, and was able to get to work on Monday morning with all the tools he required.

After taking possession of the vehicle, the broker organised towing and mechanical repairs whilst liaising with the unhelpful dealership. The broker continued to follow up the service department and provided the customer with updates on the repairs.

Once the repairs were completed, the broker co-ordinated with the customer to return the vehicle to the customer at their earliest convenience.

A week after initially picking up the vehicle, the customer was able to return his previous vehicle, transfer the toolboxes back to the new vehicle, and leave in time to have a mechanically sound, new vehicle for the weekend. The inconvenience suffered by the customer was limited to less than 3 hours with the broker, compared to the multiple days he would have been without a vehicle, had he purchased directly from the dealership.
The large majority of new vehicle purchasers do not experience issues with their new vehicle, and for these individuals customer service is not as important. As discussed in part one of this blog, J.D. Power has identified the trend of technology integration into new vehicles as the main reason for the upward trend in vehicle problems.

As problems with new vehicles and their technology become more common, it is making customer service an increasingly important aspect of purchasing a vehicle.