Dealership Service Ticket Volume and Revenue Down in November, According to Xtime Metrics

According to a recent analysis of Xtime metrics by Cox Automotive, service activity at franchised dealerships in the U.S. decreased in November, following a rise in October. The Repair Order Volume Index fell compared to November 2022, while the Repair Order Revenue Index remained higher year over year.

“At the end of the day, this change mostly reflects seasonality, but there are also signs that dealers could see long-term declines without taking important steps to improve the overall customer experience,” said Skyler Chadwick, director of Product Consulting for Cox Automotive.

The monthly Xtime volume and revenue metrics are designed to showcase average service department performance over time, with the information indexed to January 2019. The two top-line measures provide a glimpse into service department performance at franchised dealerships in the U.S. Xtime, a Cox Automotive brand, provides software that helps auto dealers facilitate more than 10 million service appointments monthly.

In November, the Repair Order Volume Index tied its lowest point in six years with a reading of 82.1. This represents a 5.1% decrease from October and a 3.2% decrease from November last year.

Xtime Repair Order Volume Index for November

The Repair Order Revenue Index for November is at 133.7, reflecting a 1.5% decrease from the revised reading in October. This index shows a 3.5% increase year over year and a significant 36.4% increase from October 2019. The steady upward climb of the revenue index, in part at least, is due to overall inflation which has pushed the costs of goods and services higher

Xtime Repair Order Revenue Index for November

Research Reveals Service Department Challenges and Opportunities

In light of the pandemic’s volatility and the increasing sales of electric vehicles, the 2023 Cox Automotive Service Study is perhaps more important than ever. The latest report – Under the Hood: Opportunities and Challenges in the Service Industry – revealed that vehicle owners’ trust in dealerships is declining. For the first time, dealerships are no longer the “most preferred” service provider among vehicle owners.

Chadwick noted, “Consumer trust in the dealership service department has decreased 8 percent over the past two years. That’s significant, but it can be mitigated.

“Start by considering what improves trust — transparency. There are tools that help dealers show consumers what services and repairs are being recommended by texting videos and pictures. Consumers don’t have to wonder if dealers are telling them the truth; they can see it. 

“Also, dealers need to look at the experience holistically. Dealers can address the trust concern in the service department. However true, next-level customer experience will come when the experience is seamless from purchase to service through trade-in — across the entire lifecycle.”

Cox Automotive Industry Insights, with help from the Xtime data team, reports the Repair Order Volume Index and Repair Order Revenue Index around the 20^th of each month. For more information, reach out to Cox Automotive Corporate Communications.

Xtime is the leading end-to-end software solution that drives customer loyalty and revenue for automotive dealers in each stage of the service process. With easy-to-use technology and industry experts, Xtime helps dealers meet changing customer expectations. As an advanced, connected solution that provides exceptional support, Xtime is committed to helping dealers deliver the ultimate service experience. Through transparency, convenience, and trust, Xtime Spectrum — comprised of Schedule, Engage, Inspect, and Invite — facilitates more than ten million service appointments monthly. Xtime is a Cox Automotive™ brand.