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Car Counts or ARO?


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Some people say car counts are not a problem if you average repair order dollar amount is high. Some say you need high car counts to have the opportunity to sell more hi-profit service and maintenance work. I agree with that. I like healthy car counts. I want to know that large masses of customers seek my service. What's your opinion?

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It doesn't matter if you think about it - what matters is that your Gross Profit (the $ left after paying your Parts and subcontracted vendors AND your techs) is substantially greater than your Operating Expenses. Financially healthy shops across the country are reporting 15-25% net income before taxes but after their wages are taken out. I am not there yet but working on it.

 

You need both in my opinion - we have a relatively health avg RO of $395 but we don't have enough cars to keep 4 ASE Master L1 techs busy through out the year.

 

My Service Manager argues that I should lower my Parts markup so that our Parts Prices are more in line with the dealers and jobbers and perhaps he is correct. BUT if I lower my Parts GP then I either have to increase my volume, increase my Labor charges or cut my techs wages, cut a tech perhaps and replace with a "General Service Tech" but somehow increase or maintain my total GP and get my net profit after taxes from our present 5% up to 15% .

 

 

In short, I told him and I'll tell everyone here - it doesn't matter what you charge for Labor or how you mark your parts up or whether or not you pay staff's health insurance premiums, turn the heat down and the lights off when you leave, etc - what matters is whether your clients accept your pricing and how your Bottom Line looks after all is said and done

 

 

Any suggestions from anybody out there? That's what I am hoping to gain from this Forum

Edited by Stephen
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First things first. It’s difficult to analyze another business when you don’t have all the facts. But after reading your posts, it appears to me that you have an above average shop and that you are dedicated to the success of your business.

 

With that said, I think you know what the problem is already. It’s car counts. Have they been decreasing or steady? That’s important. You need to find out what’s happening in your area. I speak to many shop owners around the country and the main concern seems to be car counts. You need to find ways to increase your traffic. Do you sell tires? Offer while you wait service? Open Saturdays? Offer late nights? Is your advertising reaching the right people? Do you have a program that offers a complete line of services? Are your service people doing an outstanding job at the counter and on the phone?

 

The answers to your business must come from your analysis of your business. Focus on what works and what is most profitable. Find ways to increase what is most profitable.

 

Let’s keep the dialogue going and I hope other join in.

 

One More thing: Remain Positive! Remember, if you’re negative, you will bring negative things into your life. If you focus on the positive and tell yourself today I will find one more way to attain my goal, it will happen

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  • 1 year later...

Whatever Love Means

Although neither or them remembered the occasion, Diana first met her future husband when she was just a baby. It happened during the winter of 1961, when twelve-year-old Charles, Prince of Wales, was visiting his mother's Sandringham retreat. (wow power leveling,)

At the time, your Prince Charles barely glanced at the tiny baby sleeping in her cot. After all, bow could a twelve-year-old boy be interested in babies?

But the Prince would eventually take a very keen interest in this particular baby —it would just take some time.

In fact, it would be sixteen years before Prince Charles and Lady Diana Spencer took place in the middle of a farmer's field during a shooting party in November 1977.

It was a cold, rainy, bleak afternoon when sixteen-year-old Diana, dressed in a borrowed parka that was too large for her, boots, and blue jeans, crossed the field to meet the heir to the British throne.

It was almost twilight when the two came face to face near Nobottle Woods.

"What a sad man," Diana thought when she first saw him. The future Princess was intrigued to finally meet the most eligible bachelor in England, thought she was not impressed with his five-foot-ten-inch height, thinking to herself that she would tower over him in high heels. But Diana would later say that she admired his beautiful blue eyes. (World of warcraft Power Leveling)

The Prince later remarked that he thought Diana was "a very jolly and attractive" girl, "full of fun," though Diana herself believed that "he barely noticed me at all."

Diana, it was discovered later, first came to the attention of the royal family when she acted as a bridesmaid for her sister Jane's wedding that April. It was the first major social occasion that Diana attended as a young woman. And many of the royals were surprised at how beautiful and mature the once-gawky girl had become.

Even the Queen Mother. Prince Charles's grandmother, noticed Diana's beauty, grace, and charm. She complimented the Earl on the fine job he had done in bringing Diana up.

A short time later, Prince Charles sent his valet to hand-deliver a formal invitation for Diana to accompany him that very evening to the opera and a latenight dinner at the palace.

Though she was flustered, and the invitation came at such short notice, Diana accepted. She and her roommate, Carolyn Bartholomew, hurried to dress and prepare Diana for her big date. The evening was a success, and an invitation to party on the royal yacht came soon after……

Although she was intimidated by the crowd at Balmoral, Diana was wise enough not to stay in the castle itself. She asked for, and was granted, an invitation to stay with her sister Jane and her young husband at their cottage on the Balmoral estate. (wow gold)

The Prince visited Diana there every day, offering to escort her to a barbecue, or extending an invitation for a long walk in the woods.

When Charles went to Switzerland for a ski vacation, Diana missed him terribly. He called her after a day or two, and told Diana he had something important to ask her.

He arrived home on February, 3, 1981.Three days later, he arranged to see Diana at Windsor Castle. Late that evening, while Prince Charles was showing Diana the nursery, he asked her to marry him.

To his surprise, Diana treated his proposal as a joke, She actually giggled. But soon she could see that Prince Charles was serious. Despite an insistent voice inside her head that told her she would never be Queen, she accepted his proposal. (World of warcraft gold)

Di ana told Prince Charles over and over that she loved him.

"Whatever love means." Was his reply.

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