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Dealerships going mobile


JimO

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Last week a sales rep from a local Mercedes parts department stopped in to see me. He has been to my location several times in the past, always polite and professional. He handed me a paper with several topics highlighted such as extended parts dept. business hours during the week, Saturday hours, on-line ordering and mobile diagnostics. He provided additional information about each topic but the item that concerned me was mobile diagnostics. He explained that today’s vehicles are so complex that in many cases they require proprietary OEM equipment, information and training to efficiently repair them which they can provide, for a fee, at my location. He went on to tell me that they are equipping two vehicles, one vehicle for diagnostics and the other vehicle equipped with a compressor, tire machine and balancer. Whoa.... now he lost me, we need assistance replacing tires? Seems to me this mobile task force is NOT our friend but instead our foe, a wolf in sheep’s clothing. They are gearing up to provide mobile repairs in my area at my customers homes and work places, not good. I expressed my concern and he quickly informed me that everyone else that he had presented this concept to were very pleased to be able to receive assistance (for a fee) when needed and did not look at this as competition. This dealership is owned by Lithia, one of the top ten largest dealers in America. I doubt if we, the local independent repair community, could keep two mobile repair vehicles busy enough to warrant their existence. Fine, they are willing to “help” me (for a fee) with problem jobs at my location but I feel they are clearly after my customers. What are your thoughts? Are there any dealers in your area also offering this same service? 

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Well.... I’m actually in the process of creating a mobile division for my shop. I’m only in the planning stages, but I hope to launch a beta project by end of year. I figure one tech, one truck to start. It will complement my bay business. I look at it this way, convenience is becoming the norm for people and working on their car at their location is about as convenient as you can get. I can’t build anymore bays and my location is the best in town so I’m not moving. Bottom line, if I want to keep growing and I can’t bring anymore to me with my bays and lot size then I‘m going to go to them. If anyone else has tried this I’d like to hear from them

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I get the issue of the dealer looking for that "fee" from shops. But I think what's being overlooked is what they're doing with their customers. 

Like, the lesson is ,"do be worried about what I'm doing... LOOK at what I'm doing... AND DO THAT!"

If you're not reaching your customers on their phones.. somebody else will... but YOU may not like what they do to your business! 

 

Hope this helps!

Matthew
"The Car Count FIxer"

P.S.: Can you text your customers? And actually put car count in your shop? 

Join me on YouTube at Car Count Hackers! FREE Help to grow your Car Count, Income and Profit! 

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How do you think they are after your customer? Getting info from the VIN and contacting them? Highly unethical, almost stealing. I'd be surprised. too easy to verify, which would be bad publicity.

A "fee" seems fair, depending on how much. Is it a shop rate, where you can mark it up?

Could it be simply added income for them?

And what if the diagnosis doesn't fix the problem?

I'm presuming their diagnosis software is much better than ours -- read more expensive, Probably prohibitively more expensive than ours, depending on how many brands you work on.

 

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8 hours ago, newport5 said:

How do you think they are after your customer? Getting info from the VIN and contacting them? Highly unethical, almost stealing. I'd be surprised. too easy to verify, which would be bad publicity.

A "fee" seems fair, depending on how much. Is it a shop rate, where you can mark it up?

Could it be simply added income for them?

And what if the diagnosis doesn't fix the problem?

I'm presuming their diagnosis software is much better than ours -- read more expensive, Probably prohibitively more expensive than ours, depending on how many brands you work on.

I am not insinuating that the dealer is stealing my customer by responding to a request for help (for a fee) from me and working on that vehicle and acquiring contact information. What I am saying is that the dealer is no longer content with the vehicles that customers drive to them for repairs. They realize that offering waiting areas with tiled floors, chandeliers, coffee machines and pastries is nice but quite a few prospective customers want more, they want convenience. Unlike years ago today’s dealers are now mostly located on the highway which in most cases is inconvenient. We, the independent local repair shop fulfill the customers needs when it comes to convenience... until now. I think that the dealer is after that segment, that piece of the pie, that potential customer that doesn’t give a rat’s ass about tiled floors or pastries and just wants convenience. Is the dealer offering assistance to me, at my location (for a fee) if requested? Yes, but is that the main reason that they equipped two vehicles with diagnostic equipment, information links, tire machine, balancer, compressor and staff both vehicles with two mobile techs? Either they took nice pills and feel sorry for me and want to help me -or- they are going after an untapped customer base which just so happens to be a good portion of MY customer base. It is for that reason that I think they are after my customers. 

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  • Have you checked out Joe's Latest Blog?

         5 comments
      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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