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DNYUZ

Your next oil change is becoming a bigger part of car dealers' business as profits cool and service departments make up the difference

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Your next oil change is becoming a bigger part of car dealers' business as profits cool and service departments make up the difference
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As profits from selling cars cool after the pandemic boom, dealerships are pushing harder to keep customers coming back for service—especially oil changes—to protect revenue. With compressed sales margins from supply returning toward demand and competition rising, many dealers are treating service as the “biggest opportunity.” A Ducker Carlisle report says 42% of Americans identified a chain such as Jiffy Lube, Meineke or even Walmart as their primary service provider in 2025, up from 20% in 2020. Sales-side margins have fallen, but dealer service and parts sales grew 48% over five years to $164.6 billion last year, per the National Automobile Dealers Association. Dealers like Pohanka Nissan Hyundai in Fredericksburg, Va., offer walk-in options, financing, and video updates after every job.

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