Quantcast
Jump to content

Flash Sale + Social Proof


Flash Sale + Social Proof


Flash Sale + Social Proof

Focusing too much on specials?


Recommended Posts

So I've been running my shop for a little over a year now, taking in whoever I could at whatever rate I could, regardless of profit margins. Recently I've started becoming more selective and strict on my markups and margins, and lo and behold I think I get more business now than I did catering strictly to the customer's wallet.

 

So now that I'm more set on my prices and have a matrix setup for parts markup, I figured I set up some generic specials on oil changes and things of that nature. I read someone's idea on here about advertising factory scheduled maintenance instead of just oil changes, and I thought that was a really good idea, so if it's okay with Junior I'd like to run with that idea in my shop. :)

 

Now on to the problem. I think I'm taking these flat cost services too far. I have one set up for standard service/oil change (4qt/5qt, conventional/high mileage/synthetic) and I have a flat cost for EGR delete kits on a couple of the newer diesels. But wait, I can set up one for CV Axles too! And everyone has a brake special! Maybe a set price for timing belts on most 4-cylinders! Oh wait, transmission services too! See where I'm heading with this? At what point do you differentiate between a flat cost service and quoting on a vehicle-by-vehicle basis?

Edited by MattW
Link to comment
Share on other sites


Find your domain and create your site at Weebly.com!


Find your domain and create your site at Weebly.com!


Find your domain and create your site at Weebly.com!

Flat pricing or what I call, menu pricing, works for a lot of services: Wheel align, tire rotation, wheel balance, fluid services, LOF, etc. While just about any service or repair can be menu priced, trying to bridge that concept to many repair jobs can have a negative impact on your bottom line. A lot of repair work is vehicle specific. The job of assigning menus can be a daunting task, but not impossible.

 

Be competitive on the services that consumers regularly compare to with other shops, but you need to be very profitable on repair work. If not, you will not make it.

 

We often base of price structure on what the "other guys" are doing. We compare ourselves to the average shop. Remember, build an outstanding business and you can charge accordingly, but be careful, if your shop is not perceived as top notch, you will never be able to charge what you are worth.

 

Personally, I don't want to be the average shop, anyone can be average. I strive to be the best and hire the best. It's like a ball team. Does a ball team work to be average and hire average ball players? No, they work to be the best and know that they can be the best with the right players, training and equipment. We are the same.

 

Look at your margins, understand the numbers of your business and your breakeven. And never, never, never, base your bottom line or sales goals on breakeven. Just paying the bills is not the reason you went into business. Making a profit is.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Similar Topics

    • By Joe Marconi
      Now that I am not a shop owner, I had to make an appointment to have the A/C checked on my wife's car. While the vehicle was being serviced, the tech noticed a bubble on the tire. I told the service advisor to get me a good set of Michelins.  He said that might be hard since he had trouble getting some sizes and models.  My wife drives a Mercedes E350. 
      Are you seeing tire-related shortages too? 
       
    • By Joe Marconi
      Having been a shop owner for 41 years, I have lived through many economic swings, both good and bad.  I can tell you that increases in prices, from gas to food to new car prices, can prove to be a good thing for auto repair shops. 
      People tend to tighten their belts during tough economic times, but also understand that they need their cars in the best shape they can be to save on fuel and save on costly breakdowns. 
      How can you help your customers save on fuel costs and focus on preventive maintenance?  
    • By Transmission Repair

      Premium Member Content 

      This content is hidden to guests, one of the benefits of a paid membership. Please login or register to view this content.

    • By Joe Marconi
      October 4 - October 6, 2022
      Fly with the Eagles
      The Industry’s Most Powerful Shop Management Course
      This is a 3-day course, with each day devoted to a new topic, but you have the option to pick and choose the days you’d like to attend.
      October 4th-6th, 7:30am – 5:00pm EST                                                                                            
      After attending this comprehensive course for shop owners you will be able to
      Improve your skills in time management, leadership, and goal setting Fully understand your shop’s financials and key performance indicators Find and hire superstar service advisors and technicians Turn your existing employees into self-motivated superstars Fill your bays with the right kind of customers through new marketing programs Utilize your step-by-step Action Plan to ensure your ongoing success This AMI-accredited course has one objective: to help you create a more profitable, successful business! Bob Cooper built this course from the ground up based on his own success as a shop owner and his experience in helping thousands of other shop owners go right to the top.
      This series is now presented by Joe Marconi and Kevin Vaught, who have both experienced extraordinary success as shop owners as well, so it’s no surprise that Fly With the Eagles II is heralded by many industry leaders as the most powerful shop management series available to shop owners and general managers.
      To learn more and to register: https://eliteworldwide.com/event/fly-with-the-eagles/
       
       

       

       
         

       
      
       
       

       

       
        
       
       
       
       

       

       

       
       
    • Heavy Duty Parts Fleetcross
    • By Joe Marconi
      With so many different models on the roads these days and the challenges of obtaining all the necessary training, tools, and technical information, should auto repair shops consider narrowing their focus on fewer makes and models?  
      Is "All Makes, All Models" really achievable today? 
       


  • Our Sponsors


Start LLC for $0 at IncFile


Start LLC for $0 at IncFile


Start LLC for $0 at IncFile

×
×
  • Create New...