Elk Grove Subaru Sees a 246% Increase in RO Size with Affirm

By offering flexible payment plans that allow customers to split big purchases over time, Elk Grove Subaru drove substantial growth in their service department.

Kimoby’s BNPL solution not only addressed Elk Grove Subaru’s immediate challenges but also enhanced their overall customer experience and financial performance. 

case study background

Results

In just a few weeks, Elk Grove Subaru saw: 

246% increase in average RO size

When using Kimoby Pay with its BNPL financing option, the average RO size jumped from $717 to $2479 per transaction.

Higher approval rates

With customers less worried about budget constraints, decisions were made faster, leading to stronger approval rates.

Increased profits

Elk Grove Subaru saw a significant increase in profits as more repairs were approved without the need for discounts.

“Customers are now approving repairs with less hesitation and are relieved to know that they can split big purchases over time.”
joel-courchaine
Joel Courchaine

General Manager at Elk Grove Subaru

The Challenge

Elk Grove Subaru struggled with getting customers to approve expensive repairs. Since 63% of Americans are unable to cover unexpected expenses over $500, many customers simply didn’t have the cash flow to proceed with the repairs. 

Customers postponed additional repairs due to budget constraints, resulting in smaller repair orders. Profit margins shrank as customers waited for deals or promotions before proceeding with repairs. Loyal customers were at risk of going to independent repair shops in search of lower-priced repairs.

The Solution

Kimoby helped Elk Grove Subaru make big purchases more budget-friendly with Buy Now, Pay Later (BNPL), a one-click financing option with Affirm. This enabled the dealership to:

Encourage quick approvals
By offering flexible payment plans that allow customers to split a purchase over time, Elk Grove Subaru made costly repairs easier to manage.

Offer pre-approved financing options
Pre-approved financing plans were automatically included in every estimate sent, making it convenient for customers to consider their options and speeding up the checkout process.

Simplify payment processing
BNPL is automatically included with Kimoby Pay, requiring no additional actions from Elk Grove Subaru, and full funds are received upfront after each transaction.

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