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Long time lurker with a question. For those who pay under .5hr do you give additional time under another labor op for giving the vehicle a once over? 15-18 min in my opinion isn't enough unless you've got lot guys/helpers that are bringing the vehicle in and setting it up for the tech or you've got lube pits and even then you're probably losing out on potential sales.


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I pay my lube techs .5

 

Your lube techs are your money makers if you have then excellently trained. They do so many oil changes that if you train then well they can spot the winners and losers my giving the incoming cars a once over.

But if you don't train then, they will just rush over to get the car in and out.

 

So discipline then to do the job right and they will mine those cars in recommendations that will help you prosper in this business.

Edited by HarrytheCarGeek
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3 hours ago, Ulfar said:

Long time lurker with a question. For those who pay under .5hr do you give additional time under another labor op for giving the vehicle a once over? 15-18 min in my opinion isn't enough unless you've got lot guys/helpers that are bringing the vehicle in and setting it up for the tech or you've got lube pits and even then you're probably losing out on potential sales.


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We also pay a commission on total ticket so it is really closer to .5 on a LOF plus commission on what they find if they replace it. A finders fee if it goes to a tech.

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.75 and I charge $55.00 which is just under .4 at our currently hourly rate.  Technician MUST perform a fairly comprehensive inspection and we don't have any lube techs.  Just 3 ASE Masters.  Oh, and when I'm on the phones it seems like about 75% of people say that is exactly what they are looking for and the rest often hang up as the price is too high.  Guess which ones you would like to have for customers...  :-)

 

Edited by stvstbsvc
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  • 2 months later...
57 minutes ago, Framingham Auto Service said:

Thanks for all the previous replies.

When it comes to charging the customers, do you charge your regular labor rate or do you have a Lube rate? 

Do you try to compete on Oil Changes, what are your thoughts?

Thanks.

We've gone over my program in depth in other threads, but the readers digest version is that I pay .3, don't pay the techs for the inspection, do an oil change on 67.7% of all vehicles we see, carry a 425 ARO and don't exclude anything, and I don't just compete on oil changes I absolutely spank everyone on the oil change price.

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We're like Anderson, also explained in another thread. We charge a low oil change price, which includes digital MPI and battery test. We pay .4. My logic is that I want our customers coming to us, not going to the quick lube. We emphasize maintenance strongly as part of our marketing and branding. I've thought about raising our oil change prices, but the few extra GP dollars gained aren't worth it to me in the long run, I'd rather make sure I see our customers for all of their maintenance.

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  • Have you checked out Joe's Latest Blog?

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      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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