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well unfortunately in all my 40 years nothing's easy about new customers, I have posted this before. It will cost you one oil change. I have circled in my list of about 50 customers I refer as to my Centers of Influence. I go to there work and tell them how great customer they are, I appreciate all they do for me trust , the same old thing, I then say Mr. so and so, I want you to think of one the members at the country club you stay all day or the rodeo you help with, golfing buddies, whatever. And just say, you have always been my perfect customer, could you please think about some of your friends, men or women that need a good shop to handle their cars needs. Give them a complimentary oil change to give the prospective customer, you will generally have a new customer on your list Just make sure that center of influence guy is a good one. You will be amazed , that guy will tell that new customer you invented the car engine, younger Henry Ford. Another thing I do is get my haircut at a barbershop that has 4 to 6 barbers in there, I send them lunch about 1 time a year, that referral is dynamite as well. I have found in my area people are starving for honest shop owners that run a ethical business. See Ya David

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  • 1 month later...

Nice plan tirengolf (nice name too!). One of the big things I see all the time is that shops don't REWARD for the referral. Now don't take this the wrong way - but have you ever tried to train your pet?? No reward - you don't get anywhere.

 

With that said, the reward has to be instant. Don't offer some lame discount the next time the customer comes in... or something like that. The reward has to be something I can touch (or taste) NOW. Movie tickets; coffee cards; fast food cards; it's your choice. But make the reward instant.

 

Nothing good ever happens on it's own, does it?

 

Hope this helps!

Matthew Lee

"The Car Count Fixer"

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  • Have you checked out Joe's Latest Blog?

         13 comments
      Most shop owners would agree that the independent auto repair industry has been too cheap for too long regarding its pricing and labor rates. However, can we keep raising our labor rates and prices until we achieve the profit we desire and need? Is it that simple?
      The first step in achieving your required gross and net profit is understanding your numbers and establishing the correct labor and part margins. The next step is to find your business's inefficiencies that impact high production levels.
      Here are a few things to consider. First, do you have the workflow processes in place that is conducive to high production? What about your shop layout? Do you have all the right tools and equipment? Do you have a continuous training program in place? Are technicians waiting to use a particular scanner or waiting to access information from the shop's workstation computer?
      And lastly, are all the estimates written correctly? Is the labor correct for each job? Are you allowing extra time for rust, older vehicles, labor jobs with no parts included, and the fact that many published labor times are wrong? Let's not forget that perhaps the most significant labor loss is not charging enough labor time for testing, electrical work, and other complicated repairs.  
      Once you have determined the correct labor rate and pricing, review your entire operation. Then, tighten up on all those labor leaks and inefficiencies. Improving production and paying close attention to the labor on each job will add much-needed dollars to your bottom line.
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