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I gotta believe loaners are a highly effective sales tool. Exposing your own customers to the latest, greatest from the brand they're already invested in makes nothing but sense to me. It's got nothing but "upgrade" and "replacement" written all over it - plus they'll sell the loaner cars later to recoup the majority of their upfront investment.
Stealers never cease to amaze me. Why do they charge for loaners, deny loaners to some folks, not offer a variety of models (even just 2 would be good plus a single high line LS or LX) or flat out not offer Lexus cars for loaners (Carolla or a rental)?
What you don't realize is that the service and sales departments of a dealership are separate, and the service department makes more profit than sales. Maintaining a loaner car fleet is a huge cost, and the service department really doesn't want you to trade your older car in on a new car, they want you to keep driving the old car so they can service it and repair it.
A car dealership has enormous overhead and profit margins are thinner than you think. Why do you think almost all dealerships now are owned by big conglomerates who own multiple dealers and multiple makes? Thats the way the economics work out.
Consider the battery in your key fob that they charge you $10-20 to replace. In bulk, that tiny little battery can't cost but a few dollars - if that. Why doesn't the stealer offer a "free key fob battery replacement service" to its valued customers?! They could easily train a receptionist or cashier that is already on the clock to replace them (it's not rocket science) and absolutely delight the customer with a "free" replacement service valued at $10-20! Folks would brag that up to their neighbors. It's a simple, inexpensive win for the stealer to continue cultivating loyalty.
Dealers do stuff like this all the time. I can name many instances where the Lexus dealer or dealers of other makes have done things like this for me for free. You can't expect that though, or it becomes just something they're supposed to do instead of something thats above and beyond.
Originally Posted by AL13NV8D3R
The funny thing is I made an appointment 3 weeks before the service date and requested specifically for a Lexus loaner. The service guy said he can only get me in a Corolla. I was willing to pay $800+ for tinting and glass break sensor but he just didnt want me in a Lexus loaner.
I also just bought the GS 2 weeks before so they should have giving me a lexus loaner because I was giving them my money, I could have installed tint at other aftermarket dealers outside Lexus so i figured they would return a good gesture and at least get me in an ES 350. It not until i talked to my sales person did he made it right. And then all the sudden they had a brand new 2014 IS 350 Fsport available miraculously.
My guess is this happened because technically installation of the parts and tinting was considered a "bodyshop" job. I have had this happen a few times, most recently when the front bumper of my LS needed to be repainted when I took delivery. The loaner cars are not supposed to be available for "body" work, only service work. That speaks to that division I mentioned earlier between service and sales. When you got your salesman involved they probably put you in a demo car instead of a loaner, or they escalated it with service and got them to comp the loaner even though they weren't supposed to.
Thats why it was a Corolla, they rented it from Enterprise and paid for it, but the way the process works at the dealer that was probably the only way for the body shop to give you a loaner.
When I set up the appointment to have the bumper redone, through the dealer, the guy told me that they would get me a loaner, but it would not be a Lexus because the bodyshop has no access to Lexus loaners. I wound up in a Lexus loaner anyways because it also needed a new nav headunit so they just left me in my loaner from that while they took care of the bumper.
When I brought my LS in for the fuel recall, they didn't have any loaners so they were going to get me a rental. Whatever, I'm not that picky. Then they tried to give me this.
Yes, no. Sorry. I barely fit in the thing.Their next option was a beat up Pathfinder that the rental place was using themselves. Had food in it, and damage everywhere. I drove it right back to the dealership and complained. Magically an IS350 appeared.
I usually am very easy going, but if I'm dropping off an LS, I really don't want to drive away in a baby Chevy.
LOL, I remember one time back when we had the 98 LS. My dad put it in for service and they were out of loaners, and all Enterprise had was a Suzuki Sidekick. Remember those? With the vinyl roof lol. He was not pleased.
What you don't realize is that the service and sales departments of a dealership are separate.
Good points and I agree to a degree. However, the two entities report into a single owner or conglomerate somewhere along the line who should have the bigger picture in sight. Too often, I hear about or see bickering between the two.
I have also heard that service is a profitable business. On the other hand, I gotta believe the older the car gets the less likely it is to return to the stealer for service. If true, sales needs to get that owner into another new car and keep them coming in for service.
I've been to a half dozen dealers and never gotten a free key fob battery. I've certainly been fortunate enough to receive a bit of goodwill along the years from the stealer and/or manufacturer, but never a teeny tiny battery. Instead, they want $4 in gas from me to refill their loaner.
I had a few years on the 80, and when the 100 came out I had it for an extended test drive (3 days). It confirmed what I expected from the vehicle. When the 200 came out I had it for 2 days and it did not make the cut. Waiting for the next gen.
Here in Dallas the dealers have a RX at best for loaners....no GX or LX that I know of. However, Park Place Lexus allows for overnight test drives (they'll drop the vehicle off at my house, pick it up the next day).
12-24-15, 12:31 PM
