Automotive recalls continue to be a critical issue affecting road safety and consumer trust. Over 28 million passenger vehicles, light trucks, and vans were affected by recalls in 2024, with 505 campaigns labeled as “high-risk,” according to Recall Masters’ 2024 Automotive Recall Report.
This includes both 445 federally mandated recalls from the National Highway Traffic Safety Administration (NHTSA) and 238 voluntary manufacturer notices. These voluntary campaigns, not always publicly recorded through the NHTSA, introduce hidden risks for both dealerships and consumers.
“Behind every missed recall is not just a safety risk—it’s a lost opportunity for dealers to engage, build trust, and deliver service that protects customers and boosts their bottom line,” said Christopher Miller, Founder and Chairman of Recall Masters. “We’re committed to giving dealerships the tools they need to close the gap and protect both consumers and their businesses.”
The Growing Challenge of Software-Related Recalls
A key finding in the 2024 report is the sharp rise in software and electronic system issues, which accounted for 174 recall campaigns and impacted 13.8 million vehicles. As cars continue to evolve into high-tech machines reliant on advanced electronics, software malfunctions have become the primary cause of automotive recalls.
For dealerships, software-related recalls can require highly skilled technicians and specialized tools, but they also open doors for warranty revenue. Mobile inspection units, software update capabilities, and highly trained service staff can give a competitive edge, allowing them to capture more repairs.
Voluntary Recalls and Older Vehicles
Roughly 34.5 percent of voluntary recalls in 2024 were classified as high-risk, posing real safety dangers. However, because these campaigns are not always logged in the NHTSA database, they can easily slip under the radar, especially when vehicles are sold off-brand. Dealerships need to actively monitor inventory for unresolved recalls, especially voluntary ones.
Another area of focus for dealerships is the growing percentage of older vehicles impacted by recalls. The average recalled vehicle in 2024 was 12.8 years old. While these vehicles are the hardest to engage for recall-related repairs, they also represent a significant revenue opportunity.
Older vehicles often come with greater repair needs, providing service departments with the chance to build relationships with owners who may not be regular customers. Targeted outreach using advanced data and personalized engagement strategies can help bring these vehicles in for needed fixes, uncover additional repair opportunities, and ultimately drive customer loyalty.
However, there is a drop-off in recall repair rates after three years. Vehicles subject to older recall campaigns often go unnoticed by their owners or dealerships, creating a growing pool of unresolved safety issues. This is a missed opportunity for dealerships. By focusing on re-engagement programs, offering incentives for recall repairs, and maintaining efficient communication channels, dealerships can bring these vehicles back into their service bays.
How Dealerships Can Turn Challenges into Opportunities
Recalls can present significant challenges for unprepared dealerships, but they also provide potential growth opportunities. Proactive communication is key. Dealerships should leverage tools like automated email and SMS systems to notify owners about outstanding recalls. Make it easy for customers to book appointments and address their safety concerns to build trust and strengthen relationships.
Using platforms designed to track unresolved recalls can help dealerships identify high-risk vehicles in their inventory and connect with their owners effectively. With the rise of software-based recalls, dealerships should invest in upskilling technicians to meet the demands of high-tech vehicle repairs. A skilled workforce ensures faster service times, improved satisfaction, and the ability to handle complex issues.
Offering mobile repair solutions can also help dealerships capture business from customers who lack the time or willingness to visit the dealership. This is particularly effective for simple fixes like software updates or inspections. Proactively reaching out to owners of older recalled vehicles with tailored messaging can encourage them to book a time for repairs. Informing customers about these lesser known but high-risk recalls demonstrates commitment to safety and establishes the dealership as a trusted partner.
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