
7 De la Commune St W #302, Montreal, Quebec H2Y 2C5
Service departments are the profit engine of automotive dealerships, yet a single
negative review can potentially destroy years of potential revenue. Here’s why this
matters:
• 50% of dealership profit comes from the service department
• Customer buys a car and is happy with the sales experience
• Same customer gets their first oil change and has a negative experience
• Result: Bad review that damages BOTH service AND sales departments
Common Review: “Service department tried to upsell me $1,200 in repairs I
didn’t need”
Critical Insight: Service department reviews don’t just hurt the service
department—they destroy your entire sales pipeline by preventing repeat business.
| Item | Value |
|---|---|
| Initial car purchase | $30,000 |
| Service visits over 5 years | 15 visits |
| Average service ticket | $250 |
| Total 5-year service revenue | $3,750 |
| Service profit margin | 50% |
| Lost Revenue Component | Amount |
|---|---|
| Future service customers lost | 20 customers |
| Lost service profit (20 × $1,875) | $37,500 |
| Of those 20, would have bought next car | 10 (50%) |
| Profit per vehicle sale | $3,000 |
| Lost sales profit (10 × $3,000) | $30,000 |
| TOTAL LOSS FROM ONE REVIEW | $67,500 |
Service department reviews are not just about maintaining a good rating—they’re about
protecting your dealership’s most valuable profit center and ensuring repeat business.
Every negative service review has a cascading effect that:
1. Immediately damages your service department’s reputation
2. Prevents future customers from using your service department
3. Destroys your repeat sales pipeline
4. Costs your dealership tens of thousands in lost profit
Our team will answer all your questions. we ensure a quick response.