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Is your business down 40 or 50% ? Some ideas ...


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Is your business down 40 or 50% like many on this forum?  If so, I have an idea to help a bit now, but especially in the future. And even help the impression of our industry.

 

You probably have more time available to spend with your customers. It’s the perfect time to build or cement a great relationship, to create that illusive trust with your customer, that’s mentioned in just about every trade magazine, but they never tell you how. May I suggest “The How” that I’ve been using for years? This will be handy now and in the future when this is over.

 

Learn more about your customers. Become “friends.”  Talk about everything: the lousy situation we’re in, ask about their job, their kids, their past vacation, their future vacations, their weekend jaunts. Exchange good news. Exchange not-so-good news. Listen. Talk about what comes up.

 

I treat our customers like friends, like former high school friends. And these friends know we have to make a profit (EVERYBODY knows that!)

 

For me, it’s a given that we’re going to take care of their car. If they tell me their dad just went into the hospital or nursing home, we’re done talking about their car.  I ask, “How’s dad?”

 

But still do your (digital) inspections. And write down everything, even the stuff that can wait six to nine months. This may affect the service writer or shop’s approval percentage, but so what! Your percentage will be lower, but you will do more work on the car this way. (Notice that I didn’t say you would sell more work. I don’t “sell.”) No decision now on the future stuff, it can wait.

 

If their car came in with a problem, this is what will fix it (there’s no selling: this is the solution). I point out the other thing that needs attention now. There will be some explanation, but no selling: it needs it. No decision for the customer, actually.  Their car needs it.

 

Next I say, “Here are the things that can wait six to nine months, but I want you to be aware so there are fewer surprises.” No selling, no decisions on their part. Plus, I’m the trustworthy guy who’s telling them they don’t need everything now.

 

“Now let’s come up with a plan for these other things I found about your car.” I’m explaining, not selling. “You can do these now or in two or three months.” NOBODY wants to come back in two or three months so they are leaning in that direction, but no pressure from you.  They will probably ask; “What would you do?” I say, “If you hate bringing your car in, do it now.” (this is where you would bring in a little value, benefits and safety) Again, not selling, suggesting; letting them make the decision.  Notice that the first two issues didn’t involve them making a dreaded decision:  It needs this, doesn’t need that.

 

If your inspection has 5 things, they will do 2 to 4. If the inspection has 8 things, they will do 3 to 5 – with no selling. You are their friend, you are advising. List everything!

 

Now think about that phone call. There is only a little selling value or benefits: maybe some safety. So there’s no pressure on you, no bad news. You are the car detective, reading the cars clues and helping your friend thru this.

 

When you take care of the customer in this fashion, you come from a place of trust, like taking care of a high school friend.

 

You will be happier because that call back won’t be stressful, you will have more work, and they are more likely to refer your trustworthy, easy-to-work-with shop, which means even more work.

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I have basically operated as newport5 illustrated and it has worked very well for me. I happen to be in a busy, affluent area which helps quite a bit. High pressure sales turn me off so I have never been a proponent and fortunately have never had to go that route. All jobs take longer since Covid-19 so I can’t say that I have any extra time. Business is off 50% but I am non-stop 12 hours a day with no time to spare. Reduced staff, additional Covid protocols such as: disinfect shop, office and bathrooms numerous times during the day, install disposable seat and steering wheel covers on every vehicle, sanitize keys and common touch points, accepting credit card payments by phone, emailing invoices plus leaving hard copies in vehicle, washing my hands constantly and the list goes on and on and chews up all of my time. Great tips newport5.

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Up 25% from our best year and 44% from a down year in between where I had surgery.

This isn't a gimmick, it's the only way to run your business in this industry and succeed against the marketing onslaught we all face.

 

We've added 14 new people to our system in about 21 days.  7 of which spent money at our facility doing a lot more than changing their oil and rotating their tires.

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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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