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By Jonathan Ganther
Hey guys. I'm new to the forum and was looking for this subject but couldn't find it. Sorry If I'm posted something that's already been discussed. I own a brake shop in Austin, TX. We do anywhere from 10-20 brake jobs a day. We only do brakes so I don't know how much full service auto shops deal with this problem but... Customers are constantly calling in claiming they've bought the best parts or they want to provide their own parts because they've done research and know what is best. This drives me crazy. First of all they don't know whats best. Then after being told no they get offended and act like tons of shops allow this. What is the best way to handle these customers? Just send them away? I'll quote them a price using our parts and they act as though its a rip off. What shops are doing this for their customers? I feel like I'm letting jobs get away from me. Any experience with this?
By Joe Marconi
Retail stores have known for a long time that adding or increasing the size of shopping carts also increases sales. Consumers may go to the store with a list, but as they pass through the aisles, having a cart makes it easy to add to that list.
While your repair shop does not use shopping cart, the same strategy can used. Every customer that books an appointment as done so with some sort of list; an oil change service, a brake issue, tire rotation, etc.
Through an effective multipoint inspection and looking at service schedules, you can make suggestions to your customers that can add to their cart; essentially increasing sales per vehicle.
One last thing: Always make service and repair suggestions to the customer that is in their best interest and have value, and you can’t go wrong. It’s actually great customer service.
By Joe Marconi
We all have our favorite customers. You know who there are. They’re the ones that throw their keys on the service counter in the morning and say, “Do what you need to do and I’ll see you at 5 p.m.” They never question your price, they trust you and they keep coming back. But does that person define your true profile customer? The answer is probably yes. But it’s not the only criteria. It’s a little more complicated than that.
Defining your true profile customer starts with you. It starts with who you are, why you are in business and the culture of your company. By the way, determining your true profile customer has nothing to do with excluding certain people due to their income level. The young 23-year-old college graduate who sets aside part of her paycheck to shop at Whole Foods does so because she believes in the company and for what they stand. It’s not about what she “supposedly” can or cannot afford. She is Whole Foods’ profile customer because she aligns herself with that brand. And Whole Foods welcomes her with open arms.
Many of my profile customers endured tough economic times during the Great Recession of 2008. They lost their ability to pay for some of the things they previously could afford. What they didn’t lose was their loyalty to my company. So, what did we do? We helped them through that difficult time. We helped them manage their car care needs better, offering services that would save on fuel, reduce repair costs, and reduce breakdowns. We showed them how to squeeze every mile out of their tires and brakes. We took care of them and we still do to this day. We consider them family and we don’t turn our backs on family. One thing we didn’t do, and will never do, is compromise on price to get a job. That would not be fair to all my customers, my employees or the company.
With regard to pricing your services and repairs, it’s a delicate balance between being profitable and competitive. But I don’t know of any shop that prefers a customer walk away or sends someone to another shop because he or she cannot afford a particular price. A smart service advisor will give options, prioritize the work needed, and offer finance options.
If you’re a startup company, your doors are wide open to everyone. You need customers and car counts, and you need them right away. But as your business matures, you begin to realize that not everyone is your customer. And there’s nothing wrong with this realization. As you build your customer base, you begin to see that there are customers that respect the work you do, align themselves with your culture and appreciate what you do for them and for the community. They become your profile customers.
Let’s say you sponsor a youth baseball team in your area, help out at community events and involved with local fundraisers. You will become known as the business person that cares about the community and children. That’s making your business stand out among the rest. As you define who you are, you also attract those that want to do business with you and support your brand.
While I do recommend treating everyone the same, I don’t recommend trying to be everything to everyone. That’s not a sound marketing strategy—that’s a recipe for failure. Defining your customer and targeting your market does not isolate consumers. It actually increases market share. Here’s an important fact: In your geographical area, automotive shops basically do the same thing; they repair and service automobiles. So, how is a consumer going to choose you over another? You need to stand out. You need to be different. You need to build a brand culture and establish a marketing position that will make people take notice. By the way, every successful company, large and small, understands its true profile customer and creates a marketing plan on attracting them.
One last thing: When you build a business around your culture, you put the focus on your brand and the value you provide. This strategy is one of your pathways to success. When you combine value with culture, you will have an enduring and profitable company.
If you want to build a great company, ask yourself these questions: Why are you in business? What’s your life’s purpose? Your culture? Build a marketing strategy and a brand message around the answers to these questions. Not all people will take notice, but your profile customers will.
This story was originally published by Joe Marconi in Ratchet+Wrench on August 3, 2018
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By Ron Ipach
- LIVE WEBINAR TONIGHT -
< 8:00 PM EST >
Register For Free Below
Last night, I was up late putting the final touches on my new webinar, and let me tell you... I am fired up!
I believe this is my best webinar yet, and it will go LIVE at 8PM tonight (August 2nd).
If you need more car count and profits, you can’t afford to miss this one. I’ll show you exactly how shops all over the country
are using the latest techniques and technology to attract more new customers to their shops than ever before.
I hope you can carve out an hour of your time to help take your business to the next level.
- Captain Car Count
Auto Care Association Supports Supreme Court Decision Allowing States to Collect Online Sales Tax
POSTED BY AUTO CARE NEWS ON JUNE 21, 2018 The Auto Care Association applauds today’s decision by the Supreme Court to permit states to collect sales tax on purchases of products made over the Internet. The 5-4 decision means that online sellers will now be on a level playing field with brick and mortar retailers regarding charging sales tax. The Auto Care Association had filed an amicus brief with other retail groups urging the Supreme Court to hear the case based on the price advantage that the current system provided on-line sellers. The decision overturns a previous Supreme Court decision that required companies to have a physical presence in the state where the purchaser resided in order to charge sales tax.
“This is an important decision for many of Auto Care’s retail members and we are pleased that the Supreme Court saw the unfairness in the current system and determined to make everyone play by the same rules,” said Aaron Lowe, senior vice president, regulatory and government affairs, Auto Care Association. “We hope that implementation of the sales tax will be done uniformly across state lines to ensure a fair and efficient system of tax collection.
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By Joe Marconi
In my opinion, competition is actually good for the industry, and good for your repair shop too. It keeps us focused and forces us to maintain pace with other repair shops. It drives us to take a look at our own business to see where and how we can make improvements.
Don't worry about the competition. And never compete on your competition's features. Find what sets you apart; your differentiation factor. Deliver world class service and promote your culture to your employees.
So, how do we handle the competition? Learn from them, but don't copy them. Become the best you can be. Promote a culture of customer caring with your employees. The rest will take care of itself.
By Joe Marconi
We sell service, not products. Yes, we sell water pumps, brake pads and air filters. And yes, those are products. But it’s the service we sell, the customer experience, which lives on well beyond the customer leaves your shop.
Think of it this way; when you buy a watch, or a new cell phone, the experience of what you purchase continues after the sale. When we replace a customer’s water pump or air filter, there is very little about those items that lives on beyond the sale.
But, what does live on is the customer experience. The better the experience, the more likely the customer will return to you. So focus on the customer experience, not the products you install.
By Joe Marconi
Here's a tip I have posted before, but it's worth repeating.
One job that goes unnoticed most of the year is the job of the part's driver. You get part deliveries all day long, every day, all year long. Many times, these part's drivers take all the abuse due to wrong parts, the parts took too long to be delivered, on and on and on. Those drivers may not say anything, but they take it to heart.
So, here's what you are going to do. Buy small gifts, such as small boxes of candy or chocolate. Nothing expensive. During the holidays, give all the drivers one of these small gifts and say "Thank you, I appreciated what you do."
Two things will happen. First, the driver will be stunned and will not know what to say, and they will be very thankful that you thought of them.
The second thing that will happen is this: The very next time those part drivers have three delivers to make at three different shops, what shop do you think they will want to go to first? Yes...Yours!
By Joe Marconi
Shop production is a hot topic these days. High production results in higher sales and profits. But there seems to be so many obstacles to overcome to achieve high production levels.
I was discussing production with a few shop owners, and one shop owner mentioned that he recently hired a shop foreman; an “A” tech in his early 50’s. The foreman uses his knowledge and skills to organize the work flow. For younger techs, it’s even more important that they know how to work and keep productive.
What are your thoughts? Does anyone else have a foreman or similar position? And how does this role affect production?
By Joe Marconi
July 4th is this Wednesday. And as a shop owner, it means that sales may suffer. But, there is more to life than sales. Celebrate July 4th; commemorating the adoption of the Declaration of Independence! Speak with your employees about their plans for the holiday. This will send a message that you care about them as people, and that it’s not always about business.
With the right attitude, you will build morale and you will make up those sales. And let’s face it; we all need a little time off now and then.