Consumers are 40% more likely to purchase a service plan agreement at point of sale if they are buying a new or used car and when picking the car up after a service or MoT.

Those on service plans that match their finance or PCP term are also on average 25% more likely to purchase that brand from the same dealer again.

Chris Green, sales director of Motoring.co.uk, which carried out the research, said: “We are seeing an upward trend in consumers looking to use franchised dealers for servicing and MoTs. There is much better consumer awareness of what service plans can offer and an increase in uptake of service plans, as they offer a monthly payment plan to spread the cost.

“The recent move by Audi to launch a new fixed price servicing package for older cars to align pricing structures with independent repairers is great for consumers. The Audi service plan is aimed at retaining out of warranty cars aged between three and five years, which are being lost to independent outlets and should most definitely help with their current 40% retention rate which currently sits 20% below BMW and Mercedes."