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I think we all know that diagnostics is the most costly service we provide in the automotive repair business today. In today's automotive repair environment, you need to be selling diagnostics, and getting paid for it. I'm looking for feedback on when things don't go exactly as planned. Let's say a car comes in and you sell some diagnostics, by the hour, or from a menu. After you complete that work, and you still don't have an answer, do you go back to the customer and sell some more? Do you continue at your expense? If you do go back to the customer, and you have nothing conclusive after that, then what? Do you keep going back and selling more diagnostic work until you solve the problem? If you continue to go back and sell more, how many times can you do that? We've all had that car that we've worked on for weeks to find some strange problem. I doubt many customers are willing to pay for the 40 hours you spent on the car. Now lets say after 5 hours of work that the customer agreed to, you are no closer to finding the issue than when the car came in. Do you charge them for the 5 hours and send them down the road even though you have not provided them with a diagnoses? Do you start spending your time trying to solve the issue because you have a hard time charging for 5 hours and are unable to provide any answers? I'm asking these questions as I am rethinking my business strategy on diagnostics a little. Our shop is known for its abilities to diagnose problems. We have other shops bringing cars to us on a regular basis because of these abilities. I actually get several calls and emails weekly from across the county for help diagnosing problems. There are times, a lot of times, when I think this is more of a curse, than a blessing. I know we are in the business of fixing cars, and we need to be able to find problems if customers are going to keep coming back. But after my lead tech and I spent a considerable amount of time over the last 15 days diagnosing the strangest intermittent no start issue on an Audi, and watching his frustration grow everyday, not because of the difficulty of the issue as we both love the challenge, but because it held him back from addressing the other work that was coming in the shop. So, as rewarding as it was to solve that mystery, I can't help but look back at what it cost me financially, and the frustration to the technician, and realize we have to come up with a way to try to avoid going down those rabbit holes. Right now my idea is to give it 1 hour. If after an hour, we are not relatively certain that we will find the issue, with another hour or two, then let the car go. Let the customer know that it's not that we can't fix the car, but that we cannot fix it efficiently. If I lose that customer, it would probably still be cheaper that working on his car for 2 weeks. Love to hear your thoughts. Scott
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As the auto industry moves on into the modern age, repair centers all around the country are experiencing pressure with the tech world and our world colliding. We are all trailing nationwide franchises and dealerships that have endless resources working at their disposal. For most smaller auto repair businesses there isn’t enough time, money, or energy to attempt to constantly and actively secure the new business. We’re mostly worried about attempting to maintain the existing business we have, which has newer cars and increasing demands. Most of our time is now spent adjusting to the learning curve of advanced vehicle systems. However, that’s just a shop problem. The front office of your shop has its own issues to contend with that didn’t exist 15 years ago. Make no mistake about it, our industry is in the middle of a revolution and with 3D printing knocking at the door… the amount of balls to juggle are going to be considerable and it's all just getting started. Today’s auto repair businesses need to worry about the following: Location – Securing a proper location and the authorization to conduct business there over the long term ensures survival. Tools – Without the proper tools, we just can’t work on today’s vehicles. Training – Without the proper training, we put ourselves and our customers at high risk. Employee Engagement – Keeping your employees as interested in your success as you are is critical to the elements that keep people returning and employees from leaving. Employee Advancement – Providing an environment where employees know they can grow with your business, whether financially or moving up within the organization, is the key to keeping and securing talent. Marketing – This is the most complicated element in today’s world. It involves a mix of a strong web presence, good advertising ethics, social media profile, and following up with customers. Advertising – Can be expensive and very confusing. The best method to start is to get your feet wet with small budgets that keep your name in front of your potential customers, constantly. Software – Without good software, it is difficult to run any business. Good software is and always has been subjective. Our experiences indicate that good software saves you time and builds trust with your customers. Most importantly, it should work for you and not against you. This article originally published in CAR's News Section
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Have you ever searched various services or products from your PC, tablet and phone trying to figure out what happens when your customers do the same? I'm guessing we all have and came to the same conclusion: it's a moving target. As shop owners we are all thinking "How do people in need of my services find me online"? Once we know the answer to this question we know where to go to get found, but that answer doesn't seem to be clear. Google search is still the #1 lead generator but the playing field has changed, here is the best article I have ever seen which clearly describes what Google is (and was) doing. If you struggle like me to understand, this will clear up a little confusion. To read it, CLICK HERE. Scorpion Internet Marketing are the experts my company has recently teamed up with for web development and marketing.
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Does your shop use a chatbot on your website, or do you have a chatbot on your Facebook page?
If so, what has your experience been like?
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Have any of you attended classes or seminars put on by a company called ATI automotive training institute ? Was considering signing up for a 1 day class.
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By Joe Marconi
A few weeks back I had a problem with my refrigerator. I got a referral and called an appliance repair company. I called three times and each time I called this is what happened: "C and E appliance, please hold." I was put on hold three times for about 5 minutes. After being put on hold each time, a women would say, "What's the problem?" No engagement, no sign of interest for me the customer, no signs of caring. I gave the women a brief description of the problem and each time she told me someone would call me back. Well, no one did.
So, I called for the 4th time, and as the person answered the phone I said, "DO NOT PUT ME ON HOLD." There was silence, so I continued. I explained to her that she has spoken to me three times, I left messages three times and three times you told me that someone would call me back. She replied, "You are talking to the wrong person, if you have any complaints, write a letter to my boss, after all he won't listen to me anyway." I hung up the phone and called another company.
The lesson and takeaway here is simple: Who's answering your phone? The wrong people on the phone in your shop can kill your business. Have meetings with your people. Make sure you review your phone skills policy. If you don't have one, create one. Empower your people to people to handle issues. And make sure you log every phone call. If you feel you have a problem, start recording phone calls.
Your phone is your lifeline to future business. So, please ask yourself....Who's answering your phone?
By Ron Ipach
I'm going to go out here on a limb here and tell you -
YOUR ONLINE REVIEWS ARE THE MOST IMPORTANT FACTOR IN ATTRACTING MORE CAR COUNT!
First of all, the reviews given by your customers reveal the health of your business. If your customers aren't saying good things about you, that's a warning sign that you better get your act together right now and start providing a better experience for your customers.
Also, if you only have a few handfuls out of all the hundreds or thousands of customers you've worked saying good things - that's not a healthy sign either. They may like, or even love, doing business with you, but if they aren't telling the world (aka writing an online review), their little secret is hurting your chances to attract more car count.
You see, studies show that 92% of folks will read reviews before making a buying decision, and if you don't have a stellar reputation (4.7 or higher), they'll move on to the next shop.
In fact, I advise that you completely stay away from any form of online advertising for new customers unless your score is at least a 4.7 out of 5.0. Why? Because your prospective new customer will easily be able to compare you with everyone else and will more than likely choose the shop with the better reputation - negating all the time, money, and effort you've put into your advertising efforts.
Look, you can argue with me all you want, but we're talking human nature here. Most will always go with the higher recommended shop. Why not? If you don't have a great reputation score, all you're really doing is advertising for your competitors that do.
But your score isn't the only factor being looked at. There are actually three factors that are important about your reviews.
1. Quality (4.7 or higher overall score is needed)
2. Quantity (These days, a minimum of 75 reviews are needed, but in highly competitive areas, 150+ is needed)
3. Recency (You must be getting 1 or 2 new reviews every single week)
=== So you say you do a great job, your customers love you, but they just aren't writing those positive reviews that you need in order to let the rest of the world know how awesome you are, right? Here are three ways to get more reviews:
1. Ask. (Duh!)
2. Bribe. This has been very effective for a lot of my clients in the past, however it's also considered a no-no by the review sites and may get your account shut down if they find out.
3. Use an automated service like Soapboxx to do it for you that will email or text your customers after their service, ask if they were happy, and then send them directly to Google, Facebook, YP, or wherever you wish so they can write a quick word about their experience.
Soapboxx is the only automated review-boosting service created specifically for the auto repair industry and the beta-testing of the software has just been completed. (See just a few of the remarks from the users below) Go to www.Soapboxx.io for more details.
Check out what some of the members of the new Soapboxx platform are saying...
Whatever you choose to do, ask, bribe, or automate the whole thing - put getting more 4-5 star reviews at the top of your to-do list. It's simply the best thing you can do to help attract more car count to your shop!
Is it just me? or does it seem that lately there are a lot of businesses being started that insert themselves into the flow of existing transactions only to harvest your profits and lesson the margins of those doing the work and accepting responsibility (us). I am referring to technology companies: Repair Pal, Openbay, CarFix and now Blockchain to mention a few. It is frustrating to me after having built a business (brick and mortar), purchased equipment, hired employees, provide training, accepted full responsibility and risk, supported my community only to have a startup backed by money hungry venture capitalists attempt to erode our profit margin.
I find the statements from co-founder Vladimir Lupenko of Blockchain in this months Ratchet & Wrench extremely arrogant: "The repair industry is huge, and people always get cheated" "We use reputable and undisputable technical data to set the market and price rate". Vladimir goes on to say "Based on our contractual agreement , the repair shop will have to provide the service at the price we have calculated".
As good shop owners, protective of our future, we best rally against this technology, this Wolf in sheep's clothing. My research of these companies leads me to believe that no good will come from their involvement in our businesses. We, as independent shop owners, are operating in an industry some see as ripe for consolidation and this technology is just one of the signs.
I ask that anyone reading this post refuse to participate. The involvement of these companies is not a 'quick fix' for a shop needing car count. Their intention is to drive down your prices, recruit price shopping customers only and mine your data base for their benefit. If our industry sees their existence as a threat and together, refuse to become a member of their organization, they will disappear. Without shops to refer to they lose all value to the consumer and will not be able to return a profit to their investors.
To read the complete article, follow this link: https://www.ratchetandwrench.com/articles/5504-how-blockchain-technology-could-affect-your-shop
To support this research here is a seperate article from this months Ratchet & Wrench magazine discussing how to price your services for long term health and growth: https://www.ratchetandwrench.com/articles/4841-how-to-price-to-gain-customer-loyalty?utm_medium=email&utm_source=utm_code
By Ron Ipach
Hey Shop Owners,
It’s December and that means the year is almost over. Even though we only have about four weeks left, I hope you’re well on your way to having another fantastic year.
Now… it’s time to start thinking about how to make 2018 an EVEN BETTER year. (Heck, let’s go ahead and plan on making it your best year ever! Right?)
I’d like to invite you to a very special LIVE webinar where I’m going to reveal to you for the very first time, my proven 4-step process that I’ve secretly been teaching to my private auto repair shop clients for the past 21 years, that’ll practically guarantee 2018 to be a blow-out success for you.
With these four steps, you’ll be able to…
Magnetically attract more (and even better!) customers to your shop Easily sell your services at higher prices than your competitors Increase your take-home pay by 30%, 50%, or more Find, hire, and keep that elusive tech you’ve been searching for Put the fun back into running your shop! Interested? Great.
There is zero cost to attend this live training and you won’t even have to leave the shop. All you need to do is set aside about 45 minutes of your day to join me right here online.
Next week, I’ll be hosting this webinar twice. Once during the day. Once in the evening. That way, you’re sure to be able to find the time to join me.
For the dates, times, and registration details, CLICK HERE.
I hope you’ll join me,
Ron Ipach, President Of Repair Shop Coach