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How Do You Create a Tiered Pay Plan That Motivates Service Advisors to Improve Gross Profit?

Oct 2
1 min read

A bonus tied to margin can focus advisors on profitable performance. But the plan also needs clear targets, fair measurement rules, and safeguards for repair quality and customer trust.

In this 3 minute video, a Service Director puts the question to EDGE, the DealersEdge Conversational Management Information Assistant.

EDGE responds with details on how to:


Connect advisor incentives to labor and parts gross profit.

Set measurable performance tiers and test payouts against historical results.

Define how discounts, warranty work, comebacks, and adjustments affect the numbers.

Reward appropriate service recommendations while protecting customer experience and repair quality.


The video provides some detail, but for a more in-depth review of all observations and recommendations, we invite you to ASK EDGE yourself!


This is just one example of the management questions you can explore with EDGE.


Log in to your DealersEdge account and visit www.dealersedge.com/edge-members to ask your own question and see how EDGE can help your dealership managers work through decisions across the business.


If you are NOT a DealersEdge Member, we invite you to sign up for a FREE 30-Day Trial Membership.


Once your Trial Membership is approved, you will be able to not only Ask EDGE... but you will have full Member access to all DealersEdge Management Resources... Including a 40% member's discount on the Guidebook employed in EDGE’s response.


How to get Your 30-Day FREE Trial Membership. https://www.dealersedge.com/freetrial


Here is that Guidebook:


Full details at: https://www.dealersedge.com/books .. But sign up first for the FREE Trial and get access the 40% Members Only Discount!


MEMBERS Access the guide here: https://www.dealersedge.com/payplans-members

 
 
 

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