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Killer Holiday Tip for your repair shop


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Great tip! What most don't think about (or remember) is that the smallest little thing can mean so-o-o-o much! Another "twist" on this may be to use small gift cards - specially from local businesses. A great opportunity to reward the drivers - and build a bigger, better relationship with local small business owners... who just might "thank you" by spreading the word about YOUR shop. It's like a Triple-Win!

Hope this helps!
Matthew
P.S. Just released this video about a shop owner who contacted me... and I told him exactly what to do - but it's NOT what you think - I promise!

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For about 20 years, I would get those money cards, and put $20's in some and $100's in others. I would give the mailman, UPS driver, FedEx driver, Parts drivers, etc. the $20's. The $100's would go the the main parts guys we ordered from. There was always a lot of appreciation. For me, the Auto Repair business had been less and less profitable over the last decade. I had to cut this practice from the budget as well as Christmas bonuses, a yearly company event, and a number of other expenses. I agree, if you can afford it, these gestures go along way toward building loyalty.

Scott

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Scott... what you said is sort of ironic. I just attended a party my client holds for his entire staff and family every year. (He' invites me every year). About 20 people sit down to full dinner and open bar. I get what you said about business - but in reality, we're living in one of the best times in the last decade. Money is pretty free flowing... compared to 07-08. But if you're in a pinch, turn the $20, $50 and $100 into $5's and $10's. I don't know anyone who walks away from a gift. I just think it's those little things that mean so much. 

Hope this helps!
Matthew Lee
"The Car Count Fixer"

P.S. Get registered for my free training course before the "free" goes away! 

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For the umpteenth year in a row I will be delivering about 15 dozen donuts from a really good local bakery to parts stores and machine shops and other vendors my shop uses this Wednesday.  YES, I have been told that this is backwards - they should be bringing US treats.  But rather like the Original Post, I have learned that this comes back to help my business through much of next year!  AMAZING how much fun it is to go out and deliver these boxes and bags of donuts with a card and a bow on them and get to talk to other business owners / managers about the holidays, the weather, families and maybe even business.  GREAT TIP!!!

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You're 100% correct stvstbsvc! It's fun... nobody ever says "NO"... and it makes you look good. The only change you can try... is do it when it's NOT so expected. Like people are trained that giving a little bit at Christmas is... well... almost "expected". But what about the first nice day of spring? What about that killer hot day in July? Works even better then!

Hope this helps!

Matthew
"The Car Count Fixer"
Join me on YouTube - grow your car count, income and profits!

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One more tip: if your main parts guy takes good care of you, tell his boss how good he or she is. Everybody benefits!

The same for the driver. Tell his boss and your parts contact how good he is. My last compliment said how cheerful he is EVERY time and that he takes care of me AND his company.

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Another great tip newport5! I was just at a Christmas event for one of my clients. It was catered in the back room of a restaurant. I was blown away by how well the entire staff handled everything. With that said, I made a point of talking to the owner before leaving. I explained that (as an owner) you always hear about things when they go wrong - so I wanted to let him know how fantastic his staff was! Sometimes you just have to give credit where it's due. 

But as I was talking... I noticed the chef sort of looking - trying to figure out what was going on. I was the stranger in the kitchen, right? And when I walked away... I stopped and asked him if he was the chef. Reluctantly, he said "yes". I give him a huge smile - thumbs up - and told him what a great job he did! If I could only show you the expression on his face - it spoke volumes. I'm guessing he never hears about "the good ones" either!

Hope this help!
Matthew!

 

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Let's take it one step further: do the same thing at your shop.  When a technician fixes a tough car problem, walk out in to the shop and compliment the guy loud enough for everyone to hear. You will make his/her day. And the crew will know you are comfortable enough with yourself to not have to be the smartest diagnostician in the shop.

Side note: I think the worst thing for an owner to say is: "Ya, that's what I thought it was." You just downplayed their 3 or 4 hours worth of work. Resist the urge to say that, even if you guessed that was the problem.

Side/side note: I worked for a guy who would shout out the three typical solutions to a certain car problem and when it turned out to be one of those, would gloat around about how smart he was. Again, deflating to your hardworking technician.

Now off my soapbox.

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  • Have you checked out Joe's Latest Blog?

         0 comments
      Auto shop owners are always looking for ways to improve production levels. They focus their attention on their technicians and require certain expectations of performance in billable labor hours. While technicians must know what is expected of them, they have a limited amount of control over production levels. When all factors are considered, the only thing a well-trained technician has control over is his or her actual efficiency.
      As a review, technician efficiency is the amount of labor time it takes a technician to complete a job compared to the labor time being billed to the customer. Productivity is the time the technician is billing labor hours compared to the time the technician is physically at the shop. The reality is that a technician can be very efficient, but not productive if the technician has a lot of downtime waiting for parts, waiting too long between jobs, or poor workflow systems.
      But let’s go deeper into what affects production in the typical auto repair shop. As a business coach, one of the biggest reasons for low shop production is not charging the correct labor time. Labor for extensive jobs is often not being billed accurately. Rust, seized bolts, and wrong published labor times are just a few reasons for lost labor dollars.
      Another common problem is not understanding how to bill for jobs that require extensive diagnostic testing, and complicated procedures to arrive at the root cause for an onboard computer problem, electrical issue, or drivability issue. These jobs usually take time to analyze, using sophisticated tools, and by the shop’s top technician. Typically, these jobs are billed at a standard menu labor charge, instead of at a higher labor rate. This results in less billed labor hours than the actual labor time spent. The amount of lost labor hours here can cripple a shop’s overall profit.
      Many shop owners do a great job at calculating their labor rate but may not understand what their true effective labor is, which is their labor sales divided by the total labor hours sold. In many cases, I have seen a shop that has a shop labor rate of over $150.00 per hour, but the actual effective labor rate is around $100. Not good.
      Lastly, technician production can suffer when the service advisors are too busy or not motivated to build relationships with customers, which results in a low sales closing ratio. And let’s not forget that to be productive, a shop needs to have the right systems, the right tools and equipment, an extensive information system, and of course, great leadership.
      The bottom line is this; many factors need to be considered when looking to increase production levels. While it does start with the technician, it doesn’t end there. Consider all the factors above when looking for ways to improve your shop’s labor production.
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