Automotive Services Marketing vocab (specific to automotive)

actual cash value (ACV)

the amount of money invested in the purchase and repairs of a used vehicle; represents the amount of out-of-pocket expense a dealer or broker is “into” a car

advanced driver-assistance systems (ADAS)

systems developed to automate/enhance vehicle systems for safety and better driving; designed to avoid collisions and accidents by offering technologies that alert the driver or avoid potential collisions by implementing safeguards and taking over control of the vehicle

after market auto accessories

any accessories manufactured for a car by a company other than the vehicle’s manufacturer that are not sourced by the manufacturer

American Automobile Labelling Act (AALA)

regulations requiring vehicle manufacturers to include content information on vehicle labels for cars and trucks for sale in the US after October 1, 1994

ASE

National Institute for Automotive Service Excellence

auction

a sale of used vehicles operated by independent auction houses or vehicle manufacturers; generally not open to the public and may be limited to dealers in a specific type of vehicle; auctions provide an opportunity for dealers to dispose of slow moving vehicles or acquire additional inventory for sale

autonomous technology

refers to machines that act independently of humans; may do things that we find boring or don’t like doing, or behave in ways that mimic humans

autonomous vehicle

vehicles that can drive itself from a starting point to a predetermined destination in “autopilot” mode, using various in-vehicle technologies and sensors (including adaptive cruise control, active steering - steer by wire, anti-lock braking systems - brake by wire, GPS navigation technology, lasers, and radar)

back end

the fixed operations of an automobile dealership

ex. body shop, service department, parts department

base price

the cost of a vehicle without options, but including standard equipment, factory warranty, and freight

basic warranty

issued by the manufacturer for specific terms and mileage periods; covers all factory installed parts, excluding wear items, against defects and poor workmanship

body shop

a service outlet specializing in vehicle body repair work

capacity

the maximum production attainable under normal conditions; with regard to normal conditions, the company’s operating practices are to be followed with respect to the se of production facilities, overtime, workshifts, holidays, etc.

casting

a process technology that delivers a liquid molten metal into a purpose-built mould; after cooling, the solid metal surface has the shape of the mould cavity

concept vehicle

a current production vehicle modified for installation of new design concepts for evaluation of environmental functional feasibility

consumer factors

demographic characteristics of consumers including age, gender, income, geographic location, affordability

corporate average fuel economy (CAFE)

regulation enacted in 1975 which requires a motor vehicle manufacturer to classify its US vehicle fleet sales as either domestic or import for the purpose of fuel economy averaging

customer satisfaction index

a dealer’s customer service score; high score = high satisfaction

dealer management system (DMS)

a software system that clearly measures, reports, and controls the functions within a dealership yielding quantifiable, reliable, and timely information of significant importance to the dealer and dealership management

dealer repair program (DRP)

a relationship that is formed between an insurance company and an auto body shop; when an insurance agent is working with someone whose vehicle has been damaged, they will give suggestions of auto body shops to their clients

deductible

a predetermined amount on an insurance policy, warranty, or vehicle service contract with the buyer must pay to repair the vehicle

DIFM

do it for me

DIY

do it yourself

DOT

department of transportation

ECM

engine control module

ECU

electronic controlled unit

EDI

electronic data interchange: refers to the structured transmission of data between organizations by electronic means; used to transfer electronic documents from one computer system to another

electric vehicle

cars, buses, vans, or trucks which use dedicated or hybrid electric systems as their power source

factory equipment

in used vehicles: the combination of original standard equipment and production options that make up the equipment of a used vehicle; may be referred to as the “base” equipment

factory invoice price

the amount a dealer pays the manufacturer for a vehicle

fixed or one price selling

published fixed price displayed on a new vehicle eliminating need for negotiations

fleet sales

the purchase of vehicles by a business that meet a minimum requirement of units sold

gray market vehicle

cars that have been imported into the country, but not through authorized retailers; may not meet American safety and emission standards; have significantly lower values than cars imported through normal channels