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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? 

Posted

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

Posted

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.

 

Posted
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?

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      The Technician Shortage Is Our Fault, And It's Time We Own It
      Nearly every day, I hear shop owners complain: "There's a technician shortage. We can't find qualified people. There's no one out there." If that's true, then who's to blame?
      The industry? The schools? The government? I don't know how you feel, but who promised us an endless supply of qualified technicians?
      Another common complaint is that young people do not want to work in the trades. Well, if that were true, then why are other trades such as HVAC, electrical, and plumbing growing? What are they doing that the automotive industry is not? 
      Here's the reality we need to face: We do have a problem, but we shouldn't look for someone or any entity to rescue us. Not the government. Not the trade schools. Not the recruiting companies. No one owes us a workforce. If we want great people in our industry, it's up to us. At some point, we need to own up to the truth: Building a pipeline of qualified technicians is our responsibility.
      In this blog article, I will break down the key reasons we are in this situation today and what we, as an industry, can do to solve the technician shortage. Are you ready to look in the mirror?
      Have We Pushed Technicians Away?
      Let's take a look at flat-rate pay. True flat rate, which pays a technician only for the hours they produce, is a controversial pay plan that emphasizes high production levels and creates a competitive work environment that, if not properly controlled, can lead to increased mistakes and a decline in morale and team spirit. Additionally, the stress and physical demands placed on technicians as they age are not favorable to long-term employee retention. What do we do with technicians as they grow older into their fifties and begin to slow down? 
      I have heard all the arguments and pros and cons of flat-rate pay, and I am not going to judge any pay plan. Let the facts speak for themselves. True flat rate has changed in most areas around the country and has evolved into a pay plan that gives technicians some pay guarantee.
      Many shop owners have learned that team morale, along with the opportunity to earn income, is important to technicians and to the company's long-term success. But let me ask you: how many technicians have left or been pushed out over the years because of the old flat-rate pay system?
      Another issue is the workplace environment. I remember being grateful to be hired as a young technician at a local repair shop. While very thankful, the work environment was not ideal. The shop owner kept the bay doors open year-round (I am from New York) unless it rained or snowed. He felt that if the bay doors were closed, customers might think we were closed for business. We had no heat and no hot water. Many of the jobs were done outside, year-round,  in all types of weather. The starting pay was minimum wage, with no benefits, sick days, or vacation pay. 
      Now, again, I need to point out that I was truly grateful for the opportunity this shop owner gave me. I learned a lot working there, and the experience was pivotal in my career. But looking back, I wonder how many people were discouraged by these working conditions?
      While the physical demands of the repair workplace are daunting, perhaps even more critical is the culture. Too many of my generation shop owners preached the mindset of "my way or the highway." We were the business owners, after all. We started our companies, took all the risks, and provided jobs. Why shouldn't we be the ones to set the ground rules our way?   
      Many of us found over the years that the "my way or the highway" mentality was a sure way to isolate employees and make them more likely to look over the fence for greener grass. In other words, it led many technicians to seek employment elsewhere, where they felt they could be appreciated and recognized for their hard work. The issue, however, was that there wasn't much green grass around. Disappointment after disappointment, bouncing from repair to repair shop, eventually led to despair. So, I ask you: were workplace conditions a contributing factor in today's technician shortage?
      Another factor that we are all well aware of is the complexity of the modern automobile. When I started, the work was mostly physical, and you were required to master essentially three vehicle models: General Motors, Ford, and Chrysler. Let's fast-forward to today. The evolution of automotive technology, along with the extensive training and tools required, has outpaced the typical technician's pay compensation, with no clear career path. Again, leading to frustration and insecurity about the future.
      Here is the bottom line: people don't leave their job; they leave their experience. We must do a better job. 
      The News Isn't all Bad; Your Next Steps to Fix the Technician Shortage
      To fix the technician shortage, it will take a combined effort from everyone in the automotive industry, particularly automotive shop owners. Shop owners are in the perfect position to make the greatest impact, not only on their businesses but also on the future automotive workforce.
      First, shop owners must become better leaders and understand that their ultimate success is directly dependent on the people they assemble around them. Any shop owner who mistakenly believes they can build an empire solely on their abilities is destined for serious disappointment. Business owners who think like this will eventually plateau. Without the collective contributions from a team of qualified people, your business will stall; it will not continue to grow.
      Create a workplace that attracts top talent: a clean, professional, well-equipped facility designed to support productivity, teamwork, and a career, not just a job. Build a great reputation in your community by getting involved locally. Become the auto repair shop that people take notice of as "the" place to work.
      Next, shop owners must become more financially knowledgeable. Knowing your numbers and what you need to achieve for a strong bottom-line profit is essential to paying technicians the money they need and deserve. Profit will also allow you to compete with other trade industries by providing a benefits package that has real take-home value and security.
      When it comes to culture, this is where the rubber hits the road. People crave recognition, praise, and a sense of purpose. Despite what you hear, people are not just money-motivated. Once people feel secure in their financial situation, retaining and motivating technicians can only be achieved by connecting with them on an emotional level. You cannot show enough appreciation. Give out praise for a job well done as if your business depended on it, because it does.
      As technicians age, we need to have a place for them. Expecting a 58-year-old to perform like a 35-year-old is unrealistic. We need to be more focused on career pathing. Provide training, skill development, and coaching to develop leaders and mentors within our older workforce. While their bodies may have slowed, the knowledge they have gained is priceless. 
      Our future is dependent on young people entering our industry. We need to give more young people opportunities. Every shop owner across the country should consider hiring an apprentice, then build an apprentice training plan and career path for them. If every shop did this, we could solve the technician shortage within five years. Get involved with the trade schools and high schools in your area. Look into the NAPA Apprenticeship Program. Don't sit on your hands with this one. Do it today.
      Lastly, don't get left behind. Commit to ongoing training for all your employees. Keep up to date with tools and equipment tailored to your business model. Don't try to be all things to all people and all vehicles. Identify your core profile customer and the vehicles they drive, and become an expert on those vehicles and the services you offer.
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