Quantcast
Jump to content

Tire Rack: Revolutionizing tire buying since 1979.


Tire Rack: Revolutionizing tire buying since 1979.


Mickey Thompson: $100 Summer Rewards Unleashed

Has Gas Prices and Other Costs forced You to Raise Prices?

Joe Marconi
 Share

Recommended Posts


Sell your car with CarBrain


Sell your car with CarBrain


Sell your car with CarBrain

Tom Ham AutoMN.info Contributor

Tom Ham AutoMN.info

Posted
Posted
Well, I believe that everything should get raised annually, but keep your lost leaders (oil changes, etc) at the same price points, if you can. Adjust your pricing to reflect your cost of doing business. Labor and parts increases on larger jobs. Maintenance increases where needed, after doing a market survey in your area.

 

Common service prices should be set according to a competition survey.

 

Other prices should be set according to overall GP.

 

Price marketing should be used effectively as needed (yes, I will beat you on that timing belt job if I have stuck techs).

 

Many shops will get behind the curve during the rapid inflation which is not underway....and it will kill many of them.

Link to comment
Share on other sites
autoguy Rising Star

autoguy

Posted
Posted
The biggest thing anyone can do is trend tracking/graphing of all key numbers to see which direction they are headed to prevent getting behind.

 

Also, constant monitoring of GP and expense figures.

 

Keeping your costs down and not losing any customers is key. I'd rather drop the price than have them walk out the door!

Link to comment
Share on other sites
Tom Ham AutoMN.info Contributor

Tom Ham AutoMN.info

Posted
Posted
I fear price wars. Has this become a trend in our industry to stay alive?

 

Almost all types of businesses almost always have price wars. It's the intensity that varies. The intensity in our industry is picking up and will likely grow significantly soon.

 

A few shops will be able to stay out of it. Most will not if they want to be a player. Many who ignore it may get run over.

 

The trick is, if you need to get into the battle, is to maintain decent GP. There are many ways to be price competitive without simply lowering the price. One just needs to be creative in what they offer.

 

Different levels of parts, service, what is included, and warranty are some examples. Adjust to what the customer wants while remaining profitable instead of focusing on what you think they should want.

Link to comment
Share on other sites
  • 9 months later...

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share
Go to topic listing

  • Have you checked out Joe's Latest Blog?

    • Joe Marconi
      Hey Boss, Are You Approachable?
      By Joe Marconi in Joe's Blog
         2 comments
      My son is not in the automotive industry. He is in the commercial real estate business. However, the workplace problems are the same. Recently, his frustration with the heads of the company reached an all-time high. When I asked him why he doesn’t speak up and let the leadership know how he is feeling, he responded, “Anyone who has voiced concerns or issues has been viewed as weak and incapable of doing their job. I don’t want to be viewed like that.” This is an example of a toxic work environment.
      If you are a shop owner, you are a leader. And leaders must be approachable. That means that you are willing to hear the concerns of others and have them express themselves. It also means that while you may not agree with someone’s perspective on an issue, it is their perspective, and that viewpoint needs to be recognized and respected.
      Make it known that you want to hear the opinions of others. Literally, ask for input from others. And thank those that speak up. Now, I am not saying that you need to act on every concern or opinion. That would not be realistic. But just listening may be enough. And you never know, someone in your company may have an idea that you never thought about and even improve your business.

  • Similar Topics

    • Changing The Industry
      Gaining Business Acumen - What You Need to Know to Succeed
      By Changing The Industry
      Gaining Business Acumen - What You Need to Know to Succeed
    • carmcapriotto
      Lost Everything: Started from Scratch and Bought a Shop [RR 882]
      By carmcapriotto
      Aaron Weber, a shop owner from D & E Auto Repair in Chico, California, discusses his experience during the devastating Paradise Campfire in November 2018. Aaron shares how he and his family lost everything in the fire and had to start from scratch. He is transparent about the challenges they faced, including dealing with insurance, finding temporary housing, and seeking assistance. Despite the difficulties, Aaron emphasizes the importance of compassion and empathy, and how this experience has made him a better leader.
      Aaron Weber, D & E Auto Repair, Chico, CA
      Show Notes
      Watch Full Video Episode The fire hits Paradise (00:00:59) Aaron discusses the devastating Paradise Camp Fire in November 2018, one of the most destructive fires in California history. Starting from scratch (00:01:10) Aaron talks about how he and his family had to start over with nothing after losing everything in the fire. Evacuating and escaping the fire (00:03:07) Aaron describes the chaotic evacuation process and the harrowing experience of driving through the fire to escape. The evacuation and traffic (00:07:22) Aaron describes the time frame of leaving work, getting home, and being stuck in traffic while evacuating from Paradise to Chico. Watching the news and waiting (00:07:56) Aaron and his family watch the news at his sister's apartment, observing the live coverage of the fire and the challenges faced by those evacuating. Finding out the house is gone (00:11:12) Aaron sees a video on Facebook showing his property after the fire, confirming that his house is completely destroyed. The struggle to find assistance (00:15:13) Aaron discusses the challenges of getting assistance after the fire, including waiting in line and people taking advantage of the system. The need for help and support (00:17:10) Aaron talks about the help he received from his sister, a GoFundMe campaign, and the support of the community. The importance of love and compassion (00:19:21) Aaron reflects on the lessons he learned from the experience, including the importance of love, compassion, and empathy in leadership and life. The challenges of starting a new business (00:22:57) Aaron talks about his experience in buying an auto repair shop six months after the fire and the unexpected difficulties he faced in getting it up and running. Lessons learned from the fire (00:26:46) Aaron reflects on the lessons he learned from surviving the fire, including the importance of being vigilant and aware of one's surroundings, as well as the continuous learning and growth that comes with running a business. The ups and downs of business (00:28:24) Discussion about the challenges and fluctuations in running a business, including learning new technology and maintaining high performance. The power of attitude (00:29:13) Exploration of the importance of perception and attitude in overcoming challenges and achieving success. Starting over and seizing opportunities (00:30:04) Lessons learned from starting from scratch after losing everything in a fire, emphasizing the value of seizing opportunities and never being too old to start over. Thanks to our Partners, AAPEX and NAPA TRACS
      Set your sights on Las Vegas in 2023. Mark your calendar now … October 31 - Nov 2, 2023, AAPEX - Now more than ever. And don’t miss the next free AAPEX webinar. Register now at http://AAPEXSHOW.COM/WEBINAR
      NAPA TRACS will move your shop into the SMS fast lane with onsite training and six days a week of support and local representation. Find NAPA TRACS on the Web at http://napatracs.com/
      Connect with the Podcast:
      -Join our Insider List: https://remarkableresults.biz/insider
      -All books mentioned on our podcasts: https://remarkableresults.biz/books
      -Our Classroom page for personal or team learning: https://remarkableresults.biz/classroom
      -Buy Me a Coffee: https://www.buymeacoffee.com/carm
      -The Aftermarket Radio Network: https://aftermarketradionetwork.com
      -Special episode collections: https://remarkableresults.biz/collections
           
      Click to go to the Podcast on Remarkable Results Radio
    • Joe Marconi
      Are WE the Problem? Are Some Shops pushing Technicians Away from the industry?
      By Joe Marconi

      Premium Member Content 

      This content is hidden to guests, one of the benefits of a paid membership. Please login or register to view this content.

    • carmcapriotto
      Separating Profit Centers in Financials - Business By The Numbers
      By carmcapriotto
      This week on Business by the Numbers, Hunt discusses the challenges in a multi-service auto repair business, focusing on misconceptions about profitability. He analyzes a Trucking Business and the power of accounting such as:  
      Understanding direct, labor, and overhead costs. The role of accounting tools in revealing true financial insights and evaluating hidden and opportunity costs.  The pivotal decision to shut down an unprofitable transport sector leading to growth in the primary business. An accountant's role in providing clarity and empowering business owners to make informed choices.  
      Thanks to our partners, NAPA TRACS and Promotive
       
      Did you know that NAPA TRACS has onsite training plus six days a week support?
      It all starts when a local representative meets with you to learn about your business and how you run it.  After all, it's your shop, so it's your choice.
      Let us prove to you that Tracs is the single best shop management system in the business.  Find NAPA TRACS on the Web at NAPATRACS.com
      It’s time to hire a superstar for your business; what a grind you have in front of you. Great news, you don’t have to go it alone. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.
      Paar Melis and Associates – Accountants Specializing in Automotive Repair
      Visit us Online: www.paarmelis.com
      Email Hunt: [email protected]
      Get a copy of my Book: Download Here
      Aftermarket Radio Network
      Click to go to the Podcast on Remarkable Results Radio
    • Fast Free Shipping on All Orders Over $50
    • nptrb
      Understanding the Differences Between Employees and Contractors | What You Need to Know
      By nptrb

      Premium Member Content 

      This content is hidden to guests, one of the benefits of a paid membership. Please login or register to view this content.



  • nptrb

    6 Common Financial Statement Issues In Auto Shops (And How To Fix Them!)

    By nptrb, in Automotive Industry,

    0 comments 75 views
    Joe Marconi

    Vehicle Delivery Process: The First Step to Your Next Sale

    By Joe Marconi, in Joe Marconi's Tips and Articles,

    0 comments 122 views
    Joe Marconi

    There's No One Size Fits All Repair Shop Business Model

    By Joe Marconi, in Joe Marconi's Tips and Articles,

    0 comments 42 views

  • Our Sponsors



Main Sections

More Sections

Discussion Forums

×
×
  • Create New...