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Joe Marconi

Mild Winter May Hurt Us This Spring

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The mild winter in the north east and in other areas around the country is a mixed blessing. We are all enjoying the weather, but my fear is that we may not get the winter-related repairs and services we normally get after a tough winter: transmission repair, clutches, wheels, struts/shocks, tires, and others. I hope my fears don't come true, but would like to hear from other shop owners.

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  • Similar Topics

    • By Joe Marconi
      New York Governor announced yesterday that the stay-home order will remain in effect until May 15th.  With so many consumers not driving and so many businesses closed; sales will be a struggle for the next  4 weeks or more.  Many Auto Shops across the country will be in the same boat.
      Ok, that's the bad news.  The good news is that you are a shop owner, and no stranger to making tough decisions and finding solutions to the most complex problems. I know this is different, but truth is we are all learning together, and we will beat this.
      With that said, you will be called upon to remove the emotions from the situation and make the decisions that are best for your employees, family and for the business.  You will need to look at your average sales and projected near-future sales and adjust your payroll accordingly.  I hesitated for a few weeks, but then made the tough decision to cut staff to get my payroll in line with current sales. It had to be done.  
      You will also need to look at each line on your Profit/Loss statement and see where you can shave any expenses. Even a few percentage points can end up saving a lot of money at the end of the month.
      Lastly, have daily meetings and let your remaining staff know what you are doing. Let them know that the number 1 goal is the health and welfare of everyone. Number 2: Ensure the business thrives, not just survives.
      You are tough....now go make those tough decisions! 
       
    • By Joe Marconi
      Usually the winter drops off in sales, but along with car counts.  This year is different.  Customers seem consumed with debt and worried about thier finances, and putting off needed vehicle maintenance.  Not good.  In the long run this leads to breakdowns and larger repair bills. 
    • By Joe Marconi
      The mild fall appears to have caused a slow down for many shops. We have seen this before.  But, winter tempertures are here, and the threat of snow will boost repair shops.  
    • By Joe Marconi
      The other day, a customer asked my service advisor, if he would price match a set of tires.  This customer got an online quote from the internet; a local TIre Store know for discouting tires. 
      My rule, I don't price match. My prices are competive and fair. 
      Would you price match just to get the job, and sacrifice profit?   Remember, no one really knows the true cost of any service or repair until the car is in the shop.  So, internet quotes are not set in stone.   
    • By Joe Marconi
      So far for winter 2020, we are having a better than normal season.  This is good news since, late fall sales fell. I am hopeful this will continue. Sales of new cars fell last year, with the average age of cars on the road are at an all time high. Near 12 years.  And the scrappage rate has greatly declined.  
      What are you seeing in your area?


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