Marketing a Transmission Shop
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Have you checked out Joe's Latest Blog?
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By Joe Marconi in Joe's Blog13 commentsMost shop owners would agree that the independent auto repair industry has been too cheap for too long regarding its pricing and labor rates. However, can we keep raising our labor rates and prices until we achieve the profit we desire and need? Is it that simple?
The first step in achieving your required gross and net profit is understanding your numbers and establishing the correct labor and part margins. The next step is to find your business's inefficiencies that impact high production levels.
Here are a few things to consider. First, do you have the workflow processes in place that is conducive to high production? What about your shop layout? Do you have all the right tools and equipment? Do you have a continuous training program in place? Are technicians waiting to use a particular scanner or waiting to access information from the shop's workstation computer?
And lastly, are all the estimates written correctly? Is the labor correct for each job? Are you allowing extra time for rust, older vehicles, labor jobs with no parts included, and the fact that many published labor times are wrong? Let's not forget that perhaps the most significant labor loss is not charging enough labor time for testing, electrical work, and other complicated repairs.
Once you have determined the correct labor rate and pricing, review your entire operation. Then, tighten up on all those labor leaks and inefficiencies. Improving production and paying close attention to the labor on each job will add much-needed dollars to your bottom line.
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Upcoming Events
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March 24, 2023 01:00 PM Until 09:00 PM
0Hi all,
AutoLeap is hosting Amplify 2023, a virtual auto repair conference for shop owners, on March 24. We have 22 incredible speakers, and 13 industry associations and training institutes participating in this virtual event. The conference is free of cost.
You can book your complimentary, virtual seat today using this link: https://bit.ly/3EXvfWY
Amplify 2023 speakers include: Joe Marconi, Co-Owner AutoShopOwner and Elite Business Coach @Joe Marconi Aaron Stokes, ShopFix Academy Cecil Bullard, The Institute for Automotive Business Excellence Chris Cotton, AutoFix Auto Shop Coaching Darrin Barney, Elite “G” Jerry Truglia, Automotive Technician Training Services Greg Bunch, Transformers Institute Jeremy O'Neal, AdvisorFix The conference will cover essential topics such as:
Navigating through the current industry challenges Tackling the technician shortage through employee retention Creating memorable customer experiences Growing & expanding your business in 2023 Financial planning & KPIs to measure And that’s not all.
The interactive, dynamic conference also offers live networking opportunities, and fun games and prizes.
You can book your complimentary, virtual seat today using this link: https://bit.ly/3EXvfWY
#AutoLeapAmplify23
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Similar Topics
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By carmcapriotto
It's time to shift your mindset on comebacks! Consider comebacks as a second opportunity to learn, make it right with the customer, have a training moment with your employees, and document and discover ways to improve your quality control. Aaron Woods, X-tra Mile Auto Care, Stillwater, OK. Listen to Aaron’s previous episodes HERE
Clint White, Service Advisor Coach & Shop Consultant with CWI and currently holds multiple ASE certifications. Clint’s previous episodes HERE
Jim Fleischman, Automotive Alley, Arcade, NY. Listen to Jim’s previous episodes HERE. Deidre Parker, Chloe's Auto Repair, Woodstock, GA.
Show Notes:
It's your second opportunity! Address the issue promptly: When a customer returns with a complaint or problem, the repair shop should address the issue promptly and efficiently. This includes communicating clearly with the customer about the problem and what steps will be taken to resolve it. Re-diagnose as a Team: The original technician and another technician/manager/Forman should thoroughly verify and diagnose the issue TOGETHER to determine the cause of the problem and the appropriate solution. Another misdiagnosis or underdiagnosis will damage the repair shop's reputation and further destroy the client’s trust. Prioritize the repair: Comebacks should be prioritized over other work to ensure the customer's vehicle is repaired immediately. This demonstrates the repair shop's commitment to customer satisfaction. Analyze the root cause: When a comeback occurs, the repair shop should analyze the root cause of the problem to identify any areas for improvement. This includes reviewing the repair process, technician training, and parts selection. Implementing changes to address the root cause can help prevent future comebacks. It may not be your fault, but it is your problem- empathy, resolve, and quickness. Evidence will be the evidence, but there is an opportunity to have integrity. Establish a healthy culture of accountability. Assume derived from the individual, but what about your processes? Communication error? What is your definition of a comeback at your shop? Documentation of the initial visit What is the greatest prevention tool? Final QC process “Cherish the Customer” allowance for customers Aaron Woods: We define comebacks as any reason a customer has to return due to an error in communication or workmanship. Each technician is responsible for ensuring their comebacks are at or below 2% of their total car count. We display each technician's scorecard at our weekly Monday morning production meeting and discuss all numbers as a group. This also helps establish peer-to-peer accountability as well. Hunt Demarest- Accounting for Internal and Warranty Work
QC CHECKLIST:
Test drive the vehicle and verify that the PRIMARY CONCERN has been resolved. Visually check that all other work has been completed according to the repair order. Inspect the vehicle to ensure that there are no new scratches, dents, or other new damage (See Intake Pictures in the DVI for reference) Verify that the vehicle has been cleaned and is free of any debris or grease marks/stains. Verify that all peripheral components that were removed during the repair have been reinstalled and are functioning correctly (i.e. Engine Covers, Air Filter Box, Oil Caps, Lids, etc) Check that all fluids have been topped off to the correct levels whether they were serviced or not. NO FLUID LEAVES LOW Inspect the tires to ensure they have been properly inflated. Manually retorque lug nuts if wheels were removed for any reason. Check that all warning lights and error codes have been cleared and are not displaying unless previously declined by the customer. VERIFY ALL MONITORS HAVE RUN/PASSED Verify the LOF sticker is present and ACCURATE Reset the Oil Life Monitor -or- Maintence/Service Reminder. Vacuum floors, clean windshield inside and out, and refresh wipers if not replaced. Park vehicle in Launch Pad, remove seat cover & floor mat and place “gift” for customer on the dash or in plain sight.
Thanks to our Partners Shop-Ware and Delphi Technologies Shop-Ware: More Time. More Profit. Shop-Ware Shop Management getshopware.com Delphi Technologies: Keeping current on the latest vehicle systems and how to repair them is a must for today’s technicians. DelphiAftermarket.com
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By carmcapriotto
"Keep a cool quarter of a million? Or give it away.... You’d think that was self-evident, but usually, companies are unintentionally giving it away. If you’re like most of our clients, you’ve got enough worries on your plate when it comes to making sure everything in the business is running smoothly. You don’t have the bandwidth to take on another project, especially one this large—that has the probability of costing the company thousands of dollars in repairs, overages, gas...the list goes on. Recently we helped a company drive down the cost per mile from 48 down to 36 cents per mile by showing them how they can run their vehicles longer for more mileage and reduce their total investment in that vehicle, therefore, lowering the cost per mile. They were replacing their vehicles every hundred thousand miles. We showed them how much they can save by extending the mileage to double and triple which...came out to a cool quarter of a million dollars. That’s where we come in. We help businesses just like yours run more smoothly with less breakdowns, less downtime, and more profit in their pocket at the end of the year." Bill Deboer
Bill DeBoer, DeBoer’s Auto Sales & Service. Listen to Bill’s podcast episodes HERE.
Show Notes
freefleetbook.com Growing with fleet and retail- had office space next to the current location, rezoned it highway commercial to be recycled and added 6 bays. RR 481: David Saline – Start or Grow Your Fleet Business Wrote the book to try to speak to those people so that we can acquire more fleets and bring people into their wheelhouse, but also help out those people that aren't to the point where needing a fleet management team, but they're just trying to survive on their own. Downloadable PDF- cost per mile, vehicle maintenance tracker spreadsheet etc "The fractional fleet management program, where they can hire us, we can manage their fleet for a fraction of the. Because we're doing it on a fractional-time basis, they don't need that full-time management. But at the same time, they get all the same perks and benefits." Get 30 vehicles collected with only one or two contact points. So now you're not making 30 individual calls; you're making one phone call. You get a good relationship going with the key stakeholders and the decision-makers in those fleets. Telematics- all that data gets pulled into our fleet management program as we set up these vehicles on the maintenance schedules as they hit their miles. Share it with their prospects for fleets
Thanks to our Partner, NAPA AUTO CARE Learn more about NAPA AUTO CARE and the benefits of being part of the NAPA family by visiting www.NAPAAutoCare.com Connect with the Podcast: -Join our Insider List: https://remarkableresults.biz/insider -All books mentioned on our podcasts: https://remarkableresults.biz/books -Our Classroom page for personal or team learning: https://remarkableresults.biz/classroom -Buy Me a Coffee: https://www.buymeacoffee.com/carm -The Aftermarket Radio Network: https://aftermarketradionetwork.com -Special episode collections: https://remarkableresults.biz/collections
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
Will diagnostic work overtake remove and replace work? How will you position and present your shop as a technologically advanced repair center? What training will our employees need? How will artificial intelligence impact our industry? Will we be prepared? Join Jake Sorensen, Chris Chesney and Derek Kaufman as they discuss the shop of the future. Jake Sorensen, 2019 NAPA ASE Technician of the Year and 2019 Ratchet + Wrench All-Star technician of the year. Shop manager and diagnostic technician at McNeil’s Auto Care in Sandy, UT Listen to Jake’s previous episodes HERE
Chris Chesney, Training and Organizational Development, Repairify. Chris’ previous episodes HERE
Derek Kaufman, Managing Partner, Schwartz Advisors, President of C3 Network. Listen to Derek’s previous episodes HERE
Show Notes:
Looking up and reading service procedures is already a must, but even more so as technology advances. Example: ADAS systems now require calibrations when performing repairs like an alignment or bumper cover removal. If you change a headlight assembly that requires bumper R&R, you may need to perform a radar calibration. The only way to know for sure is to read service information. Reading technical information/technical reading skills- much different than reading newspaper or Facebook posts, a book etc. Evelyn Wood speed reading course- reading with purpose An explosion of information- computing power for all industries 2022 captures over a trillion data points that will be aggregated to provide insights AI- mining data for trends Diffusion of innovation curve- 17+ years for EV’s We have expected Technicians to be masters of everything. Many better diagnostic technicians are inefficient at R&R and do not enjoy it. Shift mindset to a technology industry Even today, electric vehicles account for 18% of new vehicles sold, and those won't be in our bays tomorrow. By 2030 the population of vehicles in operations, over 300 million, and only 8% will be electrified. Get ready, or some other service industry will beat you to the punch How are you presenting your shop to the public?
Thanks to our Partners Shop-Ware and Delphi Technologies Shop-Ware: More Time. More Profit. Shop-Ware Shop Management getshopware.com Delphi Technologies: Keeping current on the latest vehicle systems and how to repair them is a must for today’s technicians. DelphiAftermarket.com
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By Joe Marconi
There are many benefits to growing a company so that it runs smoothly and efficiently without the shop owner. Building systems and procedures to get the entire team on the same page is essential to any successful business. In addition, an auto repair shop will grow more successful, and worth more if the shop owner, is not needed in the day-to day operations.
However, the question is: Should you become an absentee owner? This is not an easy question to answer, since it really depends on the size of your shop, your role in the business and how you feel about your business. For example, if you run a 4-bay shop, with four employees, that is vastly different from a company that has three locations with 25 employees. And also, you may really enjoy going to work and being involved.
The bottom line is this: Build your company so that it can run without you, but know when to step back in when needed. Great leaders know when to get out of the way, and when to step back in and make course corrections. Ultimately, your business is your business, and the responsibility for its success rests largely on your shoulders.
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By carmcapriotto
This episode is sponsored by AutoLeap. AutoLeap is a cloud-based all-in-one automotive invoice software that helps you supercharge your mechanic shop. Their customers have experienced:
30% increase in revenue by improving transparency and trust 50% reduction in time spent researching and ordering parts 10% increase in profit margins through robust reporting Click here to learn more about AutoLeap and schedule a demo:
AutoLeap Link: http://bit.ly/3GRgO88
During Today's episode #101 Leadership Gold Experience Is Not The Best Teacher, I’m going to be talking about: How Will Experience Mark You, Gaining From Experience, How Often Do You Pause to Reflect on your experiences? How do you record what you’ve learned? How to Evaluate your year?
Don't forget to rate and review us!
Connect with Chris:
[email protected]
940.400.1008
www.autoshopcoaching.com
Facebook: https://www.facebook.com/AutoFixAutoShopCoaching
Youtube: https://bit.ly/3ClX0ae
To listen to more episodes, make sure and go over to iTunes and or Spotify.
Don't forget to rate and review us!
Connect with Chris:
AutoFix-Auto Shop Coaching
www.autoshopcoaching.com
www.aftermarketradionetwork.com
940-400-1008
Facebook: https://www.facebook.com/AutoFixAutoShopCoaching
YouTube: https://bit.ly/3ClX0ae
Email Chris: [email protected]
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