NSD Survey: Dealers, Providers Struggle to Find Cross-Industry Partnerships
Eight in 10 automotive executives want to create new revenue with cross-industry partnerships, but nearly 30% cite a lack of a trusted or proven partner as the leading barrier to moving forward, according to a new Nation Safe Drivers survey of more than 2,000 business leaders at dealerships, insurers, repair shops and product and service providers.
In a release, analysts say 82% of respondents are very or somewhat interested in partnering with companies in adjacent segments, including F&I, tire, glass and roadside assistance. Yet only 14% say they are very familiar with how cross-industry partnership models actually work, and roughly 40% of those who have pursued such arrangements describe them as unsuccessful.
Respondents ranked improved customer retention as the most valuable partnership outcome (31%), ahead of increased customer lifetime value (28%) and new revenue generation (23%).
“The organizations that benefit most from cross-industry partnerships will be those that use them to create meaningful value for the customer,” writes David Beattie, head of the office of the CEO at Nation Safe Drivers. “The opportunity is to combine the right products, services and expertise in ways that build retention, deepen relationships and create a stronger long-term business model.”
