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What can you recomend as far as shop suplies.What % and on labor or on total ticket ? I do try to charge for small things like hose clamps and fuses and 1 can of brake kleen w,/ a brake job right now I charge 6.2% of total ticket up to $29 but I m thinking about making that on labor only to be competive and may be fair what do you think?



Posted

I charge 8.01% on total ticket with a cap of $39.97. I have been doing this for over 1-1/2 and never had anyone complain about it. I have a list plainly displayed on the wall of what it covers. Anything that you would use more than once (brake cleaner, grease, ect) is what is covered under the shop supplies. Anything that is a one time thing (clamps, bulbs, ect) I charge on the ticket itself as a part.

Posted
  On 12/27/2010 at 2:13 PM, CARMandP said:

I charge 8.01% on total ticket with a cap of $39.97. I have been doing this for over 1-1/2 and never had anyone complain about it. I have a list plainly displayed on the wall of what it covers. Anything that you would use more than once (brake cleaner, grease, ect) is what is covered under the shop supplies. Anything that is a one time thing (clamps, bulbs, ect) I charge on the ticket itself as a part.

 

I like your conditions or differentiation on what is a shop supply. I too have never had a customer complain, but how many would and how many would just be quiet and mad? As for the list palinly displayed that can play many ways. Most people do not read signs regardless. Then there are those who woudl read it and go, "Well that seems reasonable, you didn'g use brake grease on my oil change but you did use chassis grease and shop towles, and half a jug of washer solvent." And then there are those who wouldn't have known, noticed or cared until they saw that you charge shop supplies.

 

And then there are so-called gurus who would tell you that it's a sin to charge shop supplies. It just shows that you are a bad manager because that should be figured into yoru labor rate and parts mark-up. And then other so-called gurus say you should absolutely charge shop supplies with a 10% minimum and mo upper limit. So no one really knows what is right for yoru shop, except for you, based on the feedback from your customers.

 

Regardless I either charge way too much by simply charging shop supplies or I don't charge enough, still can't figure out which.

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  • Have you checked out Joe's Latest Blog?

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      It 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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