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
Not every shop pays flat rate; for many reasons. So, many techs are on hourly pay. There is nothing wrong with hourly pay, as long as you have an incentive program in place that promotes high production levels to avoid complacency. For hourly paid employees I strongly urge you to have a pay plan that rewards production levels on a sliding scale.
As a business coach, I have seen too many times shops with low production levels and high tech payroll due to overtime pay. Overtime pay must not be used to get the jobs done with no regard to labor production. Limit overtime and create a strategy that increases production and rewards techs with production bonuses. By the way, there are many ways to incentivize techs, it's not all about money.
Overtime without high levels of production will eat into profits and if not controlled, with kill your business.
If your shop is an hourly paid shop, what incentives do you have in place to maintain production levels?
By Jonathan Ganther
Hey guys. I'm new to the forum and was looking for this subject but couldn't find it. Sorry If I'm posted something that's already been discussed. I own a brake shop in Austin, TX. We do anywhere from 10-20 brake jobs a day. We only do brakes so I don't know how much full service auto shops deal with this problem but... Customers are constantly calling in claiming they've bought the best parts or they want to provide their own parts because they've done research and know what is best. This drives me crazy. First of all they don't know whats best. Then after being told no they get offended and act like tons of shops allow this. What is the best way to handle these customers? Just send them away? I'll quote them a price using our parts and they act as though its a rip off. What shops are doing this for their customers? I feel like I'm letting jobs get away from me. Any experience with this?
By Elite Worldwide Inc.
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Our Service writer is paid 8% on all sales. When he is off for 2 days, we have another hourly person that service writes. My question is we pay the SW that was off for 2 days 8% on all sales, but take them as vacation days. The person filling in (he does a great job) pay him the difference if he was service writing and would be commission. Looking to see if somebody has a better solution. If the regular SW is on vacation, I can figure the sales from his last day till he comes back. That is not a problem