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Cheap oil changes ( should I keep doing it )


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My shop was started in 1989 be my grandfather. His oil changes were $18.95 and I was that when he past away in 1999. I opened the shop back up April of 2000 and kept that price through the years all the way up to now. The shop has been known for the cheap oil changes. Should I keep offering them or bump the price up to like $24.95 or something different? It brings in cars that I can inspect and possibly get more work from but I just don't want to get the bottom feeders that won't spend any money on needed repairs.

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Great Tire Deal

Xrac I agree that's why I needing feedback from other shop owners. My grandfather wasn't working to grow just to have something to do. And when I took it over I didn't know any better. I never planned on running my shop this long I was just going to sake it after I bought it from my family. Well the economy tanked and that didn't happen. Well now I have grown to enjoy doing this and now I'm on a mission to grow the business and make the changes to turn it around and start showing a profit. All feed back is welcome here.

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I have spent the last 20 minutes looking at your website, advertisements, reviews, Facebook, google street images, and more. I have some definite profitable improvements in mind, and I am going to share them with you.

 

If you have been there since 2000, you have lots of people that trust you, and you have plenty of room for much more profit!! You will want to build on that Big-Time!!

 

"The shop has been known for cheap oil changes." *** How does the following sound? "My shop is known for precision front-end and undercar work and is a leader in computerized alignments." How about this?? "I know brakes and I perform long-lasting, smooth-stopping, and quiet brake jobs. "I can diagnose your "Service Engine" light for you and get it turned off after the necessary repairs and services have been completed." "We are known as the Go-To shop for Air Conditioning Service."

 

Think about what it would be like to have from three to four alignments scheduled for one day, and you get them in and some need repairs and/or tires. I see that you advertise alignments and promote them on Facebook. When folks come in for an alignment, many times they are prepared to invest a lot to have their car repaired in order for it to drive and perform properly.

 

When folks come in for a cheap oil change, their mind and pocketbook are on a cheap oil change. So....think about this!! Nobody else (I imagine) is doing $18.95 oil changes, so you need to up the price and add more benefits!! Walmart oil changes are about $35.00 and Jiffy Lube about $50.00.

 

So when Miss Jones comes in for her oil service with safety inspection, you tell her up front: Miss Jones, you have been a great client of mine!! And I thank you for that!! I am going to give you better service than ever, because I have integrated a safety and maintenance inspection with our oil change services. I am going to use a checklist, inspect your car, and go over any needs with you. Your investment in this is only $29.95 plus tax. Please have a cup of coffee or hot chocolate while I'm bringing your car in the shop!!

 

**** Note: 3 important sentences coming up:

 

A client came in to my shop Friday with his 2011 Altima for an oil change service only. I told him that the factory maintenance recommended a belt, air filter, cabin filter, and trans. service. His invoice was $440.00. They won't all buy, but lots will, and that's what counts.

 

Now notice that you didn't say that "oil changes" went up....you told her about the added benefits. ***PLUS most of the later model cars take 0W20 Synthetic motor oil and the Oil Change Services are usually $44.95 to $59.95. Be sure to ALWAYS SPECIFY the factory recommended oil because it's what the car and your cash register require!!! $$$

 

You will want to work on enhancing your train of thought from Cheap and Lowest Price to Precision, Performance, Smooth, Quiet, Vibration-Free, More Power, Long-Lasting, Straight, Hot for heat, Cold for AC. Practice selling the benefits and you will see MUCH HIGHER ARO'S, more satisfied clients, and MORE CA$H in the BANK!!!

 

I'm ending for now, but please pay close attention to the above, start tomorrow, and have a CHANGED WEEK!!! I will be in touch!!

 

Hi-Gear

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I hate cheap oil changes. In my opinion, anyone doing cheap oil changes is unreasonably providing a subsidy and harming themselves and others.

 

I price oil changes accordingly:

 

Shop hourly rate $110 /, drain and fill, plus R & I oil filter: 15 minutes. =$27.50 revenue labor

5w20 quart @ 3.25 x 5 = $16.25,+ filter $6. = $22.25

 

for a total of $49.75

 

This has worked out well for me. Once we have the car on the lift, we make sure to do a complete and comprehensive inspection and note what needs to be recommended to the customer. For this, I credit the tech an additional .25/h and the cost debited to my marketing budget.

Edited by HarrytheCarGeek
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Do not short change your shop.

 

We do quality oil changes, just like the rest of the work we do on your vehicle.

We do not cut corners on your oil change, just like we do not cut corners on your repair.

We do not use the cheapest oil filter available, just like we do not use the cheapest quality part available.

We respect your vehicle, and want to do a quality job on your vehicle, whether it is an oil change, alignment, brake job or restoration.

 

We also educate the customer with what they are getting for the price of the oil change. We have never made excuses for our oil change prices, they are between $45-$60 depending on oil filter and number of quarts of oil, and semi-synthetic or full synthetic. Full synthetic may be more.

 

There is a perception that we get across. We want the customers to know we do quality work on everything.

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Cheapest oil change in my place (two man shop) is 50 bucks. Worldpac has a customer retention program where they mail potential, and current customers a flyer of your shop promoting free oil changes. I did it for 1 week, and quickly cut that **** out. All I got into the bays were self entitled know nothing-alls just looking for a freebie. I tried as hard as I could to upsell, and not a single one bit. Not only that, but one customer brought me his car, asked me to check it out, and when I told him I charge for a diagnosis, he gave me a hard time.

 

It caused more traffic sure, but no revenue, and more stress and headaches. No thank you. Times change, as do ppl and society. I'm sure when grandpa opened his doors, cheap oil changes probably made sense, like at one point in time, free oil changes to create traffic made sense. They do not any longer. I mean, at 18 bucks an oil change? How do you even cover disposal of said oil?

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I won't even do oil changes period, except for my fleet customers if I'm also doing something else for them. I have limited billable hours and consider them a waste of time.

 

I let the other shops do the cheepo oil changes, then lots of those customers come to me to have their work done right. I hear it almost everyday, "I was at ****** getting getting an oil change and they said I have a bad right front wheel bearing and I also need rear brakes". Lets take a look and see when I can get you in lol.

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My basic oil change is $35 out the door, nobody complains. 80% of the time I ask if they want synthetic oil and they say yes. That's $55. Same work, more money. Air filter add $20. Cabin air add $35, new drain plug and gasket $11. Wipers add $24. I'm not a believer in offering cheap lof to get them in for an upsell. Monroe runs coupons for $19.99 lof and they close stores because of the bad reputation they get. When someone comes in for an oil change we do that service plus the basics listed above, and while we inspect every car I never push to get the additional work done the same day unless its an emergency.

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We only offer a fairly complete "Maintenance Service Oil Change". Includes a very thorough checklist performed by an ASE Nationally Certified Tech. Includes test battery, blow the horn, check ALL LIGHTS, wipers and washers, all blower fan speeds, inspect MOST cabin air filters, inspect belt and tug on the tensioner, ROAD TEST THE CAR, lift the car and look for leaks, shake the suspension, measure tread depth & set pressures, silicone spray suspension bushings (NO ONE DOES THAT!) and lube all the hinges and latches. l pay the tech .75, charge only $50.00 Labor - I'm bumping that another $5.00 next year. Oil filters are typically $8.00 - 10.00. Conventional 10w30 oil is $3.50/qt., Semi Syn 25w 20 or 5w30 is the same. Synthetics (including 0w20 & 0w40) $8.00/qt. Average oil service out the door is around $80.00 - Synthetic just over $100.00. When PROPERLY EXPLAINED AND SOLD more than half of the cold-callers buy - "That is EXACTLY what I am looking for". If this trade would STOP GIVING STUFF AWAY and training customers to look for QUALITY instead of price...

We average about 60 of these a month! Our regulars have been known to call it the "1000 points of light oil change"! :-)

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Oil change intervals are now extended to align with visual warranty, safety and service checks intervals. I offer a immediate free ride to their destination of choice or I recommend rescheduling. If they are really in a hurry I say that they can try a lube in the box but don't let them upsell you anything,recheck all fluid levels and watch where the park for leaks.

 

Merry Christmas

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  • 4 months later...

We only offer a fairly complete "Maintenance Service Oil Change". Includes a very thorough checklist performed by an ASE Nationally Certified Tech. Includes test battery, blow the horn, check ALL LIGHTS, wipers and washers, all blower fan speeds, inspect MOST cabin air filters, inspect belt and tug on the tensioner, ROAD TEST THE CAR, lift the car and look for leaks, shake the suspension, measure tread depth & set pressures, silicone spray suspension bushings (NO ONE DOES THAT!) and lube all the hinges and latches. l pay the tech .75, charge only $50.00 Labor - I'm bumping that another $5.00 next year. Oil filters are typically $8.00 - 10.00. Conventional 10w30 oil is $3.50/qt., Semi Syn 25w 20 or 5w30 is the same. Synthetics (including 0w20 & 0w40) $8.00/qt. Average oil service out the door is around $80.00 - Synthetic just over $100.00. When PROPERLY EXPLAINED AND SOLD more than half of the cold-callers buy - "That is EXACTLY what I am looking for". If this trade would STOP GIVING STUFF AWAY and training customers to look for QUALITY instead of price...

We average about 60 of these a month! Our regulars have been known to call it the "1000 points of light oil change"! :-)

I would like to know more about this! Im dumping my 22.99 Dont even try to sell me anything customers. This seems as when the value is put in perspective, an oil change can be profitable, The car gets complete service, And If used with wiper blades, air filters, I just love the idea! If you wouldnt mind discussing your methods more in depth I would greatly appreciate it!

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I have yet to see this be the case.

 

 

Same here also, Was offering an Base LOF at 14.99, Had a handful of things, Nobody buying. Oh and they all asked your gonna top off my fluids and rotate my tires right? HA

 

the idea of the cheap lof price is to get them in the door. Once they are there it is your responsibility to keep them as customers, not the oil change price. There is a catch to everything and some are not going to be the customers you want. but others will be.

Edited by lmcca
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      It always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
      While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
      Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
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