RFJ Auto Partners Inc. will begin to expand its Hassle Free Buying strategy, a form of one-price selling, to all of its dealerships starting this year.
The group operates nine of its 25 stores under the pricing model. It will complete a road map this quarter for implementing the model across all its stores over the next three years, Rick Ford, RFJ's CEO, told Automotive News.
"It's a big focus for us in 2017," Ford said. "We'll start rolling it out one store at a time."
RFJ will "work out the bugs and tweak" the process as necessary, Ford said. A transition team of four to six people at each dealership will lead the launch.
The cost to switch to Hassle Free Buying is in the "seven figure" range, he said. But the stores using it have higher customer service scores, higher sales volume and lower employee turnover than RFJ's other dealerships, he said. Still, Ford is prepared to lose some employees during the changeover, especially in the sales department as it tweaks the pay plan.
"The turnover cost and the changeover cost will be high, but the benefits far outweigh the cost to do it," said Ford.