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By Joe Marconi in Joe's Blog0 commentsIt always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
One last thing; the cost of technician turnover can be financially devastating. It also affects shop morale. Do all you can to create a workplace where technicians feel they are respected, recognized, and know that their work contributes to the overall success of the company. This will lead to improved morale and team spirit. Remember, when you see a technician’s toolbox rolling out of the bay on its way to another shop, the heart was most likely gone long before that.
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By marxautocenter
Hello all,
I'm currently the General Manager of a pre-owned vehicle sales and service center. The business has a great reputation in the community, and has done well for 35 years. The current owners are ready to retire and enjoy a life of less responsibilities. They have deemed me fit to take control, and are helping me out by carrying the note, with a good down payment of course. We are still working on the nuts and bolts of the deal, and it has me thinking of all the avenues I could pursue in the future. Which leads to my question, should I continue to sell cars, or just focus on service? I know I'm not giving much information, but I'm looking to hear from other owners who may have experience on both ends, on some pros and cons. I know the 2 segments are symbiotic, as sales gives us future service work, and service has the option of offering vehicles for sale when a service customers vehicle is deemed not worth repairing.
The current numbers are skewed, as service gives a discounted rate to sales in the manner of 50 dollars per hour of labor, as opposed to the 134.77, and also parts are at cost. I am a numbers guy, and would like to make a decision on what would be most profitable, and I will have a better idea as we work over the reports.
I'm just looking for opinions from knowledgeable folks. We don't have a master technician at the moment, so we struggle on diagnostics sometimes, and I would have to resolve that should I decide to remove sales from the equation.
Sales end is currently handled solely by one owner, other than myself talking to customers on the lot. We have a license now for 30 cars.
Fenced in yard behind building capable of storing 40+ cars, with a front lot that displays the 30 vehicles for sale.
Great customer base, minimal advertising in the 35 years of business. ARO is 426.20 currently, and we average around 2000 RO's annually in the last 4-5 years.
I know I'm not providing enough information, but I can update when more becomes available.
Thanks in advance!
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By Joe Marconi
Source: By Joe Marconi -
How to Make Price Irrelevant
My wife and I recently celebrated our 46th wedding anniversary. While this is truly a noteworthy event, it was our 25 anniversary that I will always consider as one of my most enduring memories. It’s also when I learned a valuable lesson on the difference between price and value. More importantly, how an amazing customer experience can make price fade from our minds.
For our 25th wedding anniversary, I wanted to do something special for my wife. She often talked about having dinner at this swanky upscale restaurant. This restaurant was known for its elegant atmosphere, first-rate service, quality food, and also known for its high prices. I was a little hesitant, but believing this would be a great choice, I called the restaurant and booked a reservation.
As soon as I entered the parking lot, I knew that this restaurant was different. There were parking lot attendants directing cars right up to the front entrance, where our door were opened for us, and then escorted inside. One of the attendants let me know that after dinner, my car would be brought up to the entrance. We were greeted inside by two women with big friendly smiles. I gave her my name, and she immediately replied, “Yes, Mr. Marconi, 7:00 pm reservation for you and your wife, please follow me.”
In less than a minute, a waiter walked over to our table, introduced himself, and then asked us if we were celebrating any special occasion. I told him, “Yes, it’s our 25th wedding anniversary.” The waiter gave us a big smile and said, “Congratulations! May I ask you and your wife’s name? I replied, “Sure, my name is Joe and my wife is April.” He then asked, “Would you like for me to send over our sommelier to discuss our wine list?” I had never heard of a sommelier before, so being a little embarrassed, I simply said, “Sure, that would be great, thank you.” The waiter then said, “I’ll be right back with tonight’s menus.” At this point, I knew that this night was going to cost a small fortune.
A few minutes later the waiter returned and handed my wife and me leather-bound menus. At the top of each menu was written in bold letters, “Happy 25th Anniversary April and Joe!” I was stunned! To have the ability to produce a personalized menu in-house, and in a few minutes was simply incredible. After ordering our dinners, the sommelier helped us choose the right bottle of wine. And trust me, it was not cheap.
The rest of the night continued to amaze my wife and me. The food, the wine, the dessert, the service, everything was perfect. This restaurant not only lived up to its reputation, they hit it out of the park. You are probably wondering about the cost of dinner. Let’s just say the amount was more than most large families spend on groceries for a week. But, I have to admit, the remarkable experience made the price irrelevant.
While dining in a high-class, swanky restaurant may not be the same as going to your auto repair shop, there are things you can do to enhance your customer’s experience. Now to be fair, can we completely make price irrelevant? Not totally. However, a solid strategy with a focus on providing value will help you create solid relationships with your customers and build a more profitable business. In this blog, I will outline proven strategies to help your customers focus on the value you provide, rather than the price of your repairs and services.
Hire the Right People
Your success is directly dependent on the people you surround yourself with. The foundation of your business starts with who you hire. Look to hire superstars, not just anyone to fill a position. And once you hire great people, your job isn’t over, it just begins.
As the leader of your company, you must create an environment where employees feel engaged, are recognized and praised for the work they do, and feel that what they do matters to the success of the company. Additionally, the responsibility of management is to bring out the best in employees by being responsible for their development and their career path. In other words, creating an amazing employee experience will help create an amazing customer experience. Happy employees create happy customers.
Identify Your Profile Customer and Build Strong Relationships
There is no point in business trying to be all things to all people. A much better strategy is to identify your profile customers, cater to them, retain them, and acquire more of the same type of customers. You know who your profile customers are, they are the ones who throw their keys on the service counter in the morning and say, “No need to call me, I trust you, see you at 5 o’clock.”
Do all you can to take care of these customers. Find out everything about them and then build a marketing plan around your ideal customer profile. Ideal customers become brand advocates. They are aligned with your culture, which makes them a lot easier to deal with. They are also your most profitable customers.
Build strong relationships with your profile customers. Find out things that are specific to them, such as their birthday, their anniversary date, their favorite sports team, if they have children, their hobbies, and other specific attributes. Make notes in their customer file in your business management program so that every service advisors can recall this specific information and make small talk when the customer arrives. This is powerful. Connecting with customers on a personal level will create life-long loyal customers, and they in turn will refer more of the same like-minded customers.
Perhaps the biggest benefit of building strong relationships with profile customers is that they appreciate the recognition and see the value of having their vehicles serviced and repaired by you. This strategy goes a long way in making price less important and puts more focus on the relationship and the experience.
Find Ways to Make Your Business Remarkable
When the waiter returned and handed my wife and me leather-bound menus that said Happy Anniversary, I was filled with such positive emotions that it still resonates with me to this day. When a business does something remarkable, people don’t forget. In fact, it makes that business stand out from the rest. When a business is like all others, with nothing to differentiate it, that business is not remarkable, which makes it forgettable.
Find what makes you remarkable, something unique. But, it has to be something that people care about. In all due respect, performing the best brake job or wheel alignment means nothing to the average consumer. Think about this; I can’t remember the food I had or how it tasted at that swanky restaurant, but I DO remember those leather-bound menus and the incredible way my wife and I were treated!
If you truly want to make your business remarkable, make the customer experience something they cannot get from your competition. Also, follow up with customers on a personal level, not just with texts and emails. When you make your auto repair shop remarkable, people will take notice. Everything you do for the customer must focus on value. When customers see the value you bring, the price starts to become irrelevant.
Conclusion
At Elite we understand the challenges and the obstacles you encounter every day. We also know how rewarding and profitable your business can become. If you are a shop owner looking for innovative ways to enhance and grow your business, Elite Worldwide can help. We have world-class, experienced coaches who understand your business. We also have sales and management training, and peer groups that can take your business right to the top. No matter where you are in your business career; startup, growth mode, or looking to retire, Elite will guide you and help you achieve your goals and build a more profitable and successful company!
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By Joe Marconi
As a former shop owner turned business coach, this is a topic that I see often: A shop takes the time to establish their true labor rate, and in many cases, raises their labor rate significantly. While they get a short-term boost in labor profit, the long-term results are mediocre, at best. Why?
One of the reasons is that the cost of doing of business has also increased, along with payrolls, and in many cases, at a faster rate then the rising labor rates. And then there is the issue with poor productivity.
Has this happen to you and what are your strategies to maintain needed profits?
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Stolen Leadership And Allowing Your Team To Make Mistakes [E132] - The Auto Repair Marketing PodcastBy carmcapriotto
In this episode of the Auto Repair Marketing Podcast, we explore the concept of "stolen leadership"—a fascinating approach to leadership where proactive team members step up and take ownership without waiting for permission. We'll discuss why this behavior can be a game-changer for your business, how to embrace it, and the importance of allowing your team to make mistakes as part of their growth.
You'll hear insightful stories and practical advice on navigating the balance between guiding your team and stepping aside to let them thrive. Whether you're looking to empower your employees, reduce micromanagement, or create a workplace that fosters initiative and innovation, this episode has something for you.
Don’t miss out on this powerful episode that could help you take your leadership skills—and your team—to the next level.
Thank you to our friends at RepairPal for this episode. RepairPal will introduce your shop to new customers through repairpal.com, the largest site for auto repair. Learn more at
RepairPal.com/shops.
Are you ready to convert clients to members? App Fueled specializes in creating custom apps tailored specifically for professional auto repair businesses. Visit Appfueled.com to get started today. Keep your shop top of mind on the mobile device they love.
Lagniappe (Books, Links, Other Podcasts, etc)
https://www.tonyrobbins.com/disc - Disc Assessments
https://books.google.com.ph/books?id=tpspDwAAQBAJ&newbks=0&lpg=PA1&pg=PA1#v=onepage&q&f=false - Extreme Ownership
Shownotes with Timestamps
Introduction to the Episode (00:00:10) Brian introduces the podcast and co-host Kim, mentioning her recent recovery. Definition of Stolen Leadership (00:01:08) Discussion about the term "stolen leadership" and its positive implications in team dynamics. Personal Anecdotes on Leadership (00:03:37) Brian shares a lunch conversation about the benefits of allowing others to take initiative. Kim's Experience with Stolen Leadership (00:04:29) Kim reflects on her feelings when her responsibilities were taken over by a proactive team member. The Importance of Team Growth (00:06:17) Brian emphasizes that a good leader encourages their team to surpass them in abilities. Balancing Leadership Roles (00:09:04) Discussion on the need for both leaders and workers within an organization. Examples of Stolen Leadership (00:10:47) Brian shares examples of team members who have successfully taken on leadership roles. Acknowledging Contributions (00:14:02) The importance of recognizing team members who fill gaps and take initiative. Natural Leadership Qualities (00:15:06) Kim discusses how leadership can be innate and the importance of finding the right roles for individuals. Rewarding Initiative (00:15:37) Brian concludes by stressing the need to reward those who demonstrate leadership to prevent them from leaving. Understanding People Problems (00:15:43) Discussion on the four people problems and identifying the worst issue in team dynamics. Right Person, Right Seat (00:16:10) Emphasis on the importance of recognizing and nurturing talent in the right roles to prevent disengagement. Mentorship and Growth (00:16:58) The necessity of coaching and mentoring employees as they transition into new roles and responsibilities. Allowing Mistakes in Growth (00:17:55) The importance of permitting team members to make mistakes as a part of their learning process. Consequences of Punishing Mistakes (00:19:05) Discussion on the negative impact of punishing employees for mistakes, leading to a culture of fear. Learning from Experience (00:20:04) Personal anecdotes highlighting the value of learning from mistakes and the role of mentorship in that process. The Importance of Leadership Recognition (00:23:01) Encouragement to recognize and support leaders within the organization to foster growth and leadership. Stealing Leadership (00:23:56) Exploration of the concept of "stealing leadership" and its implications for organizational growth. Appreciating Team Efforts (00:25:02) The significance of acknowledging team members' contributions to maintain morale and encourage leadership. Closing Remarks and Future Topics (00:25:24) Wrap-up of the episode and a preview of the next topic related to the importance of effective team dynamics.
How To Get In Touch
Group - Auto Repair Marketing Mastermind
Website - shopmarketingpros.com
Facebook - facebook.com/shopmarketingpros
Get the Book - shopmarketingpros.com/book
Instagram - @shopmarketingpros
Questions/Ideas - [email protected]
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
The Weekly Blitz is brought to you by our friends over at Shop Marketing Pros. If you want to take your shop to the next level, you need great marketing. Shop Marketing Pros does top-tier marketing for top-tier shops.
I’d like to give another shoutout to our sponsor, Shop Marketing Pros. They are the only marketing company I recommend, and they handle all of the marketing for my own shop as well. If you’re serious about growth, you need strategies that actually work: better websites, higher Google rankings, and ads that bring real customers through your doors.
Visit ShopMarketingPros.com/chris to partner with a team that understands your business. Because every great shop deserves marketing that’s just as great.
Check out their podcast here: https://autorepairmarketing.captivate.fm/
If you would like to join their private Facebook group go here: https://www.facebook.com/groups/autorepairmarketingmastermind
In this episode of "The Weekly Blitz," Coach Chris Cotton delves into the critical need for auto repair shops to offer customer financing options, a topic of growing importance in the industry. He begins by addressing the pressing challenges that many auto repair shops face today, such as low car counts and declining repair orders. These issues can significantly impact a shop's bottom line, making it essential for shop owners to find innovative solutions to attract and retain customers.
Chris emphasizes that offering multiple financing options can be a game-changer for both customers and auto repair shops. For customers, financing provides a way to manage unexpected repair costs without straining their budgets. This is particularly important in situations where a sudden car breakdown can lead to financial stress. By providing flexible payment solutions, shops can help alleviate this burden, making it easier for customers to approve necessary repairs.
Throughout the episode, Chris shares valuable insights on various financing providers available in the market. He discusses the pros and cons of each, helping shop owners make informed decisions about which providers might best suit their needs and those of their customers. Chris also highlights the benefits of financing for auto repair shops, such as increased sales, improved customer satisfaction, and enhanced customer loyalty.
Furthermore, Chris offers practical strategies for effectively communicating financing options to customers. He stresses the importance of clear and transparent communication, ensuring that customers fully understand their financing choices and the terms involved. By doing so, shops can build trust and foster long-term relationships with their clientele.
The episode also features a sponsorship mention for Shop Marketing Pros, a marketing company specializing in services for auto repair shops. Shop Marketing Pros is recognized for its expertise in helping shops enhance their marketing efforts, attract more customers, and ultimately grow their businesses. Their sponsorship underscores the importance of strategic marketing in conjunction with offering financing options, as both elements are crucial for the success of modern auto repair shops.
Introduction to Financing (00:01:26)
Discussion on the importance of financing options for customers in auto repair shops.
Current Challenges in Auto Repair (00:02:38)
Overview of low car counts and declining average repair orders affecting repair shops.
Importance of Customer Financing (00:03:43)
Financing options are essential for building consumer trust and increasing average repair orders.
Unexpected Expenses and Financing Solutions (00:04:58)
Highlighting how financing helps customers manage unexpected repair costs effectively.
Types of Financing Options (00:06:10)
Introduction to various financing providers and their benefits for customers and shops.
Making Financing Accessible (00:08:17)
Strategies for simplifying the financing process and making it more accessible to customers.
Communicating Financing Options (00:09:27)
Importance of consistently informing customers about financing options at every touchpoint.
Benefits of Offering Financing (00:12:50)
Discussing how financing increases average repair orders and customer retention.
Call to Action for Shops (00:13:56)
Encouragement for shops to start offering and promoting financing options to enhance customer relationships.
Connect with Chris:
[email protected]
Phone: 940.400.1008
www.autoshopcoaching.com
Facebook: https://www.facebook.com/
AutoFixAutoShopCoachingYoutube: https://bit.ly/3ClX0ae
#autofixautoshopcoaching #autofixbeautofixing #autoshopprofits #autoshopprofit #autoshopprofitsfirst #autoshopleadership #autoshopmanagement #autorepairshopcoaching #autorepairshopconsulting #autorepairshoptraining #autorepairshop #autorepair #serviceadvisor #serviceadvisorefficiency #autorepairshopmarketing #theweeklyblitz #autofix #shopmarketingpros #autofixautoshopcoachingbook
Click to go to the Podcast on Remarkable Results Radio
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