Chris CollinsHelping Struggling Dealerships Build Profitable, High-Performing Service Departments | Automotive Coaching Expert | CEO

How to Pay Service Advisors

19 Jul 2023 · 1 min

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0:51

YouTube video by Chris Collins ("How to Pay Service Advisors") giving practical recommendations for structuring service advisor compensation: roughly 50% of pay tied to sales (parts, labor, warranty, internal), 25–30% tied to CSI/customer satisfaction/retention, and about 20% reserved for bonuses (ELR and possibly CP sales). The speaker emphasizes paying advisors on all RO components rather than excluding parts or warranty.

Questions this video answers

About 50%.

25–30%.

About 20% allocated to bonuses (ELR bonus and possibly a CP sales bonus).

Chapters

The sales part of their pay plan should be probably 50%, 25 to 30% of their pay should be a CSI, customer satisfaction, retention. Whatever manufacturer you're with will, you know. But 25 to 30% of it needs to be on customer satisfaction. And then the other 20%.
Would be a bonus, an ELR bonus, and maybe a CP sales bonus. So we're paying them a percentage of their total sales, parts, labor, warranty, internal, customer base. That's the other thing. When they go, these guys, I don't know how they come up with this stuff or why, but they're like, oh, we don't pay the advisors on internal, or we don't pay the advisors on parts or warranty. I've heard that before, too. Yeah. What are you talking about? If they're writing an ro, they should get paid for it.