How (if at all) has COVID19 changed how you operate your automotive shop? Are you changing procedures in greeting customers? Offering special protection equipment or barriers? Are you now using plastic and disposable seat covers, steering wheel covers, etc? These were just a few thoughts running through my head since businesses are due to open soon.
Thanks in advance for your responses.
Stay safe, healthy and well!
By Joe Marconi
The year was 1980 - the year I founded my company. And, like many new business owners, I didn’t have a clear understanding of what was needed to grow a successful business. I thought that success would be determined by my technical skills and my willingness to wear the many hats of the typical shop owner. It wasn’t until I began to let go of trying to do everything that I realized that success is not just dependent on what I do, but by the collective work accomplished by the team. I eventually discovered that I was not the center of my universe. After a few years in business, I began the transition from simply owning a job to becoming a businessman. And, while technology has reshaped our industry throughout the years—and will continue to do so—there is one constant that will never change: success in business rests largely on the people you have assembled around you.
By the late '80s it was obvious that I was doing way too much. I looked at each role I had my hands on: shop foreman, service advisor, shuttle driver, bookkeeper to lot attendant. And, as long as I’m confessing all this to you, I need to disclose that I was also the shop’s maintenance person; making repairs to the bay doors, the slop sink and equipment. You name it, I did it. I was literally too busy to be successful.
In order to lead my company, I had to first clearly define my responsibilities. These are working on the business, recruiting and hiring the best employees, becoming a leader of people and making sure that my business was successful. I also needed to fulfill the obligation I had to my employees. I realized that this required a deep understanding that putting people first is the best strategy for success. This was difficult at first because it requires working on things that have no immediate impact on the business. Unlike working in the trenches and having your hands on everything, working as a businessperson means that you need to spend time building for the future. The things that are most important to your success in business are the things that have a payoff down the road.
I also clearly defined the duties I should not be doing and assigned those tasks to others. This is a critical step for any shop owner. Warren Buffett says that in order to be successful in whatever you do, it’s crucial to focus on the things that generates the greatest return and that you can’t do it all, and that means sometimes you have to say, “no.”
By the late '90s it became clear that the most valuable role I played in my business was that of coach. All the best marketing plans and the best business strategies mean nothing without a team of great people around you all pushing in the right direction. And that takes a strong leader. Not just a boss, but a leader. Leaders inspire people. Leaders get others to reach down deep inside themselves and perform at their best because they are aligned with the leader’s vision.
Leaders inspire others through praise and recognition for the work they do. When people feel their work matters, they have a purpose. People are motivated by the heart, not the wallet. That’s not to say earning a decent wage isn’t important. But a focus on money alone is not a strategy for success. Focus on people first and profit will follow.
Spend time with your employees. Get to know them as people, not just the role they have in your company. Find out what their dreams and goals are. And then find a way for others to achieve what they want out of life. People cannot be motivated until they realize that what they do every day helps them to achieve what they want in their personal life.
There are other people in our business world that we must never forget. And that’s our customers. If you were to ask me, who is more important, my employees or my customers? I would answer, “They are equally important.” You cannot have a successful business without the right employees and the right customers.
One last bit of advice I can give you is to focus on your success, no one else’s. Be very clear about the pathways you take and never forget about the obligation you have to others. Build a company culture of teamwork, quality and integrity. Focus on what’s in the best interest of the customer and the people around you. Put people first, and everything else will fall into place.
This story was originally published by Joe Marconi in Ratchet+Wrench on February 4th, 2020
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By Joe Marconi
According to Zip Recruiter, tech pay on average is about $41,000 per year. Is this an issue? I know many of you pay more than average, but do you think that we need to increase tech pay in order to attract more people to the auto repair industry. One other thing to consider, the shop and shop owner needs to be profitable and make the money first in order to pay anyone a decent wage.
By Mail Shark
Before approving your next database mailing, run down this checklist to ensure all of these steps have been taken to validate the quality and accuracy of your mailing.
Utilize the National Change of Address Service (NCOA)
Every year, millions of Americans move, and this undoubtedly includes some of the customers in your database. This can be a problem when you pull your database to use for sending out a direct mail campaign, as you may have customers that have moved and no longer live at the recorded address.
If these customers have moved outside of your trade area, and you were to send a direct mail piece to them, you would essentially be wasting your marketing dollars by sending direct mail to customers that are simply no longer there.
The good news is, there is a simple solution. You can have your direct mail partner run your database against the USPS National Change of Address (NCOA) service. The cost of doing so is very minimal and worth the small additional cost to ensure the quality and accuracy of your database.
NCOA is a database maintained by the U.S. Postal Service, and includes all of the individuals and companies who have completed a form to change their address in the previous four years.
Here are a few things you will find out by running your list through the NCOA process is:
Addressee has moved, and a new address could not be provided. New address information is provided. The recipient moved without providing a forwarding address to the USPS. From here, these previous customers that have moved can easily be removed from future mailings.
Remove Your Customers From New Acquisition Mailings
Most shop owners who are using direct mail to target their database of current customers are also sending out new customer acquisition mailers to target new prospects, either by carrier route or by specific make, model, fuel type, etc.
In doing so, it’s important that you request your direct mail partner to remove these current customers from your new customer acquisition mailers. It’s a waste of money to send your customers a new customer acquisition mailer when you are already targeting them by sending them a retention or lapsed customer mailer. It will also send your current/lapsed customers the wrong message. Your marketing and message to new customers should not be the same that it is to current or lapsed customers.
This is also an easy fix, simply request that your direct mail partner suppress your customer database from your new customer acquisition mailers. The only caveat in doing so, is for general auto shops that are removing their database of customers from their carrier route mailing—there are guidelines that must be met for carrier route mailings in order to receive the maximum discounted postage rate. These guidelines are as follows:
Your mail must be sorted in walk sequence. This is the exact order that the postal carrier walks/drives on their carrier routes. In addition, your mailing must follow the 90/75 rule. The 90/75 rule stipulates that you must mail to at least 90 percent of the total residential addresses, or at least 75 percent of the total combined number of residential and business addresses in each carrier route. Since you, as an auto shop owner will never want to mail to businesses, this means that you must mail to 90 percent of the total addresses in a carrier route to maintain the lowest postage rate.
If your mailer falls below the 90 percent guideline, there are three different levels of postage that your mailer can potentially fall into. Each level represents an additional cost of per piece postage above and beyond the standard rates.
Additional Saturation Mail Postage Rates (*As of 1/1/2019)
High density plus: Mail at least 300 pieces in walk sequence order (additional postage would be .01 per piece).
High density: Mail at least 125 pieces in walk sequence order (additional postage would be.019 per piece).
Basic: Mail at least 10 pieces in walk sequence order (additional postage would be .104 per piece).
Make Use of the Coding Accuracy Support System (CASS)
In addition to running your database through the NCOA process, it’s important to ensure your direct mail partner is also certifying your database mailing list through the Coding Accuracy Support System (CASS). This process will standardize your mailing file, verify that each and every address in your mailing file is valid and complete, as well as update any addresses that have been changed and/or has become outdated.
Executive Vice President of Sales
Email: [email protected]
By Mail Shark
Here’s a marketing idea I wanted to share with everyone. Auto shop owners and marketers are focused on targeting the local residential community. But what about all of the businesses that employ people who work in the area but don’t live in the area? These employees are all great prospects for auto repair services. The challenge is effectively targeting and reaching them.
One idea is to create a flyer that doubles as a break room poster. The poster should have a use case explicitly telling the business owner what you want them to do with your poster. Let them know they simply need to hang it in their break room to share the savings with their colleagues and employees.
We recommend clipless coupons or specials, which increase the lifespan of the poster and keep it intact for longer than it would if employees were tearing coupons off. Employees will simply take a picture of the coupon they want to use and show it to you upon redemption. Tear-off coupons destroy posters and ultimately result in them being thrown away as soon as the coupons, offers, or specials are torn off.
Using break room posters requires some legwork on the part of shop owners, since you’ll need to visit the businesses you want to target. However, the actual cost of the printed flyers is minimal. Let’s say you want to print 100 of them. At around $1 per piece, your total investment is $100 (give or take) depending on who does your printing.
There really is no downside to giving break room posters a shot. Put a call tracking number on your poster to keep track of anyone who comes in to redeem your coupons to track ROI. There are plenty of companies that can print cheap flyers, so call around. Attached is an example of a popular layout that Mail Shark has been supplying shops with.
Executive Vice President of Sales
Email: [email protected]
Example BreakRoom Poster.pdf