Charging for Diagnostic Labor
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By Joe Marconi in Joe's BlogIt 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 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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By carmcapriotto
Thanks to our Partner, NAPA Autotech
Matt Fanslow explores common frustrations and misunderstandings in the automotive service industry. Speaking from the perspectives of technicians, managers, owners, and service advisors, he emphasizes the importance of understanding underlying factors in workplace dynamics. Matt discusses the theme of perception, drawing parallels between music, movies, and workplace interactions. He encourages listeners to remain curious, communicate effectively, and foster empathy to build a collaborative work environment.
Show Notes
Frustrations in the Automotive Industry (00:01:11) Exploring Deeper Meanings (00:02:37) Music as Metaphor (00:03:41) Misunderstandings in Relationships (00:06:18) Management Perspectives (00:07:24) Seeking Understanding (00:08:31) Blame and Accountability (00:10:52) Identifying Systemic Issues (00:12:29) Curiosity in Problem-Solving (00:14:56) Lessons from Entertainment (00:16:12) Building Trust Through Curiosity (00:17:43)
"Ask Us Anything!" with Matt Fanslow and Brin Kline
📆 Save the Date: Thursday, December 19th, 2024
🕒 Time: 8:00 PM EST
Register Here: https://streamyard.com/watch/M3JjMR53s5Ct
Thanks to our Partner, NAPA Autotech
NAPA Autotech’s team of ASE Master Certified Instructors are conducting over 1,200 classes covering 28 automotive topics. To see a selection, go to napaautotech.com for more details.
Contact Information
Email Matt: [email protected] Diagnosing the Aftermarket A - Z YouTube Channel
The Aftermarket Radio Network: https://aftermarketradionetwork.com/
Remarkable Results Radio Podcast with Carm Capriotto: Advancing the Aftermarket by Facilitating Wisdom Through Story Telling and Open Discussion. https://remarkableresults.biz/
Diagnosing the Aftermarket A to Z with Matt Fanslow: From Diagnostics to Metallica and Mental Health, Matt Fanslow is Lifting the Hood on Life. https://mattfanslow.captivate.fm/
Business by the Numbers with Hunt Demarest: Understand the Numbers of Your Business with CPA Hunt Demarest. https://huntdemarest.captivate.fm/
The Auto Repair Marketing Podcast with Kim and Brian Walker: Marketing Experts Brian & Kim Walker Work with Shop Owners to Take it to the Next Level. https://autorepairmarketing.captivate.fm/
The Weekly Blitz with Chris Cotton: Weekly Inspiration with Business Coach Chris Cotton from AutoFix - Auto Shop Coaching. https://chriscotton.captivate.fm/
Speak Up! Effective Communication with Craig O'Neill: Develop Interpersonal and Professional Communication Skills when Speaking to Audiences of Any Size. https://craigoneill.captivate.fm/
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
Want to make your February marketing a win for your auto repair shop? Join Brian Walker and Caroline LeGrand as they share engaging, practical ideas for February’s marketing—from fun Valentine's Day campaigns that show love to your customers and vehicles, to creative ways to highlight your shop's culture.
Get tips on using National Days to boost engagement, from "Doggy Date Night" to “Random Acts of Kindness Week,” and learn how to connect with your local community, honor shop anniversaries, and run themed giveaways that your customers will remember. Whether you’re promoting winter maintenance, preparing for tax season, or tapping into February’s spirit, this episode has everything you need to make February marketing easy, effective, and engaging.
Tune in now and discover how to keep your shop top-of-mind this February and beyond!
Thank you to RepairPal for sponsoring The Auto Repair Marketing Podcast. Learn more about RepairPal at https://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://shopmarketingpros.com/126 - Preparing For January’s Marketing
https://www.daysoftheyear.com/
https://www.nationaldaycalendar.com/ - Topics for February
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 Joe Marconi
Labor rates are increased across the board in the last 4 years at a pace I have not seen ever. BUT, expenses have gone up too.
Do you feel that your labor rate is in line now? Or do you think the auto aftermarket is ready for more labor rate increases in 2025?
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