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Increase Your ARO


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We use Autovitals digital visual inspection with LOTS of pictures taken by the techs. There are pictures of good stuff and pictures of problems, but the visuals are very appealing to customers. But the main thing that has increased our ARO is great sales techniques by our SAs. The techs can do fantastic checks, but it doesn't do any good if nobody sells it.

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But the main thing that has increased our ARO is great sales techniques by our SAs. The techs can do fantastic checks, but it doesn't do any good if nobody sells it.

 

flacvabeach hit the nail on the head when he talks about the importance of your SA having great sales techniques.

 

The most important thing to remember is what Thomas Watson of IBM said, which was: "Nothing happens

until something gets sold."

 

In other words, all of your KPI numbers are controlled by what is communicated by your service advisor

at your counter or over the phone.

 

Today's customers are way different than even a few short years ago. The Auto Care Association recently

published a report that revealed: 1 out of 3 of all customers are doing research AFTER receiving a

diagnosis on their vehicle. That's BEFORE agreeing to have work done.

 

That number goes up to 1 out of 2 if the customer is between the ages of 18 and 44.

 

That means, your service advisor needs to know how to communicate two main things to the customer.

 

1) They need to be able to remove 100% of the doubt in the customer's mind that the work is legitimate.

2) Why YOUR shop is their best choice out of all of the options in your area to do the work.

 

It's been our experience that it doesn't matter whether you're using a digital inspection or a paper inspection.

At the end of the day, a digital or paper inspection is just a tool. Both can produce great results when used properly.

 

 

 

 

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Kudos to all of you on the implementation of an inspection process! We're currently in the midst of developing our own digital inspection app that'll allow us to get the very most out of the process, & the sales psychology behind what we do.

 

In the meantime, the single most powerful element to the process as it pertains to ARO is what we call "Quick Notes" We've chosen 6 service items that are checked on every car that comes through our doors, and those items are checked "FIRST & FAST", giving our SA ample time to include them into the estimate we offer our customer once we've determined what they need.

 

This simple step has allowed us to push our average repair order by 16-20% on a weekly basis...which is both exciting and powerful. The most powerful part of ANY inspection/service process is in the consistent EXECUTION of your program. The bottom line? Whatever you do, just do it 100% of the time, and you will absolutely see the results you're seeking.

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  • Have you checked out Joe's Latest Blog?

         5 comments
      I recently spoke with a friend of mine who owns a large general repair shop in the Midwest. His father founded the business in 1975. He was telling me that although he’s busy, he’s also very frustrated. When I probed him more about his frustrations, he said that it’s hard to find qualified technicians. My friend employs four technicians and is looking to hire two more. I then asked him, “How long does a technician last working for you.” He looked puzzled and replied, “I never really thought about that, but I can tell that except for one tech, most technicians don’t last working for me longer than a few years.”
      Judging from personal experience as a shop owner and from what I know about the auto repair industry, I can tell you that other than a few exceptions, the turnover rate for technicians in our industry is too high. This makes me think, do we have a technician shortage or a retention problem? Have we done the best we can over the decades to provide great pay plans, benefits packages, great work environments, and the right culture to ensure that the techs we have stay with us?
      Finding and hiring qualified automotive technicians is not a new phenomenon. This problem has been around for as long as I can remember. While we do need to attract people to our industry and provide the necessary training and mentorship, we also need to focus on retention. Having a revolving door and needing to hire techs every few years or so costs your company money. Big money! And that revolving door may be a sign of an even bigger issue: poor leadership, and poor employee management skills.
      Here’s one more thing to consider, for the most part, technicians don’t leave one job to start a new career, they leave one shop as a technician to become a technician at another shop. The reasons why they leave can be debated, but there is one fact that we cannot deny, people don’t quit the company they work for, they usually leave because of the boss or manager they work for.
      Put yourselves in the shoes of your employees. Do you have a workplace that communicates, “We appreciate you and want you to stay!”
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