By Joe Marconi
A few years back, my service advisor, Tony, was trying to sell a customer a new battery. Let’s call this customer Ed Jones. Here’s how the conversation unfolded; “Mr. Jones, my technician completed our 21-point inspection on your vehicle and everything checks out fine. However, I do want to discuss the battery. Your battery was tested with our Midtronics digital battery diagnostic tool, which is a very accurate piece of equipment. Your battery is rated at 575 cold cranking amps, and your battery tested at 300. Would you like me to replace the battery today?” Ed Jones looked at Tony, and three seconds later said, “Thank you for the information. Let me think about it.”
I know Ed very well. The car we were servicing that day was his daughter’s car, who was home from college for the Christmas holiday. Ed’s daughter is in her first year at Plattsburgh University in upstate New York, which is about a five hour drive and near the Canadian border.
I could see the frustration on Tony’s face, so I gave him a little advice; “Tony, ask Mr. Jones who drives the car. After he answers you, ask him what the car is used for. Listen to his answers and then use that information to sell safety and peace of mind, not a battery.”
Five minutes later, Tony reported back to me excited and amazed; “Joe, great advice! He authorized the battery! I guess you knew he would buy the battery with the right questions?” I replied, “You were trying to sell Ed Jones a battery by pointing out the technical process we use to determine the health of the battery. What you need to do is reach the customer on an emotional level. The questions I recommended you ask made him realize that it’s the welfare of his daughter he was really buying, not a battery.”
Now, let’s clarify something. Tony didn’t say anything wrong with his sales presentation. But he got the process backwards. He was leading with logic. If you’re trying to sell something by using logic alone, you are going to struggle. People make buying decisions based on emotions. To make a sale, you need to connect with the part of the brain where emotions reside, and then back it up with logic.
Bombarding the customer first with facts and features tends to confuse the brain as it tries to make sense out what you are saying. That can be difficult because the technical information is usually not fully understood by the customer and the confusion usually results in the customer saying, “No.”
Let’s review the conversation when Tony asked the right questions; “Mr. Jones, who drives this car?” Ed replied, “My Daughter.” Tony continued, “And what does she use the car for?” Ed replied, “She uses it to go college at Plattsburgh. She’s home for the holidays and goes back to school on Monday.” At that point, Tony realized why I urged him to ask those questions, and continued with, “So, your daughter drives this car back to college, and leaves on Monday. She goes to Plattsburgh, which is near the Canadian border. Mr. Jones, it’s wintertime and that’s a long, lonely drive. Her battery tested weak and may fail without warning. For peace of mind and your daughter’s safety, wouldn’t it be in her best interest to replace the battery before she leaves?” Ed now makes the emotional decision, “Yes.”
Here’s the bottom line. First, know your customer. Build rapport during the write up process and find out all the details of why the car was brought in for service. Second, tone down the technical side of what you do. That’s not to say it’s not important. But, before you give the technical facts, reach your client on an emotional level. Ask questions to find out as much as you can about the customer, and then direct the conversation to the reasons why what you are trying to sell will benefit the well-being of the customer and/or the customer’s family.
Remember, decisions are easier to make when it has meaning to them or a family member. In Ed’s case, not replacing the battery would have been unsettling to him. Tony’s recommendation to replace the battery is perceived as the right decision because it promotes the safety and well-being of his daughter.
Humans are driven by feelings and make emotional decisions, then justify it with logic. Next time you are trying to sell anything to a customer, ask yourself, “Why should the customer buy what I am trying to sell?” The answer may surprise you.
This story was originally published by Joe Marconi in Ratchet+Wrench on November 1st, 2019
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By Mail Shark
I hear a lot of auto repair shop owners say they don't want to offer a cheap oil change coupon on their direct mail marketing. They feel the cheap oil change coupon brings in the wrong clientele, and they don't want to devalue their brand and position themselves as the cheap oil change shop.
As a quick note, the concept behind the cheap oil change offer is that it is a loss leader and utilized to entice new customers. The key is getting new customers through the door, which the cheap oil change can be extremely effective at doing. Once you get them in your shop and you do a great job for them, you can build a great rapport with them and win them over as a loyal customer.
All that said, you will always know your business better than any marketing company. Therefore, we certainly can't argue with the fact that you would not like to use this strategy if in fact you have already executed a cheap oil change coupon campaign and it did bring in the wrong clientele.
However, having an oil change coupon as part of your shop's direct mail marketing strategy is critical. Here are a few reasons why.
An oil change is something that every non-electric vehicle owner will need at some point in time. Consequently, I would venture to say that most vehicle owners are familiar with what an oil change is more so than any other maintenance service. Compare that to a timing belt replacement coupon or a serpentine belt replacement, each of which the average consumer may not be familiar. When you have a coupon that is familiar and relevant to everyone that you are targeting, you have a much higher chance of increasing redemption rates.
Therefore, for those shop owners that are afraid of attracting the wrong clientele or devaluing their brand with a low-price point oil change, the simple fix is to increase your oil change price point to a number that you are comfortable with and that is still a value from a consumer perspective. An alternate option would be to offer a specific $ off discount that you are comfortable with — for example, $10 off any conventional oil change & 15 off any full synthetic.
My next recommendation, if you are a general auto repair shop, which is a non-negotiable one, in my opinion, is to structure your oil change coupon to offer both a conventional and full synthetic oil change offer. All too often, shop owners only offer a conventional oil change coupon. A conventional oil change coupon is fine. However, it will never appeal or be applicable to owners of vehicles that require full synthetic oil. There is no reason to limit your offer to only appeal to a specific set of vehicles. It's crucial you cast a wider net and appeal to as many vehicle owners as possible. The simple and quick solution is to offer both options.
PRO TIP: if you are concerned about coupons bringing in the wrong clientele, think again. Even the wealthiest consumers use coupons.
Here is a snippet from our blog post entitled "WHY YOU SHOULD BE SENDING DIRECT MAIL COUPONS:
It might seem surprising, but wealthy people love saving money with coupons. In fact, households with annual incomes of $100,000 or more are twice as likely to use coupons than households earning less than $35,000 a year.
Wealthy customers may be able to afford your most expensive products and services, but that doesn't mean they don't want a good deal. The majority of them are cautious about spending money and rarely make frivolous, unnecessary purchases. Rather than viewing your business as cheap, they'll appreciate your coupons and the opportunity to save money,
You can check out the entire blog post here.
Executive Vice President of Sales
Email: [email protected]
Oil Change Coupon Example.pdf
By Joe Marconi
If you have a repair shop business in New York State that you are looking to sell, please let me know. I will keep this strictly confidential. Criteria required, shops with 6 plus bays. Other details to be explained. Please email me: [email protected]
By Joe Marconi
We sell service, not products. Yes, we sell water pumps, brake pads and air filters. And yes, those are products. But it’s the service we sell, the customer experience, which lives on well beyond the customer leaves your shop.
Think of it this way; when you buy a watch, or a new cell phone, the experience of what you purchase continues after the sale. When we replace a customer’s water pump or air filter, there is very little about those items that lives on beyond the sale.
But, what does live on is the customer experience. The better the experience, the more likely the customer will return to you. So focus on the customer experience, not the products you install.
Yesterday, went for a drive through North Jersey, was very concerned to see that independent shops are putting permanent signs with the $19.95 oil change offers, the $59 A/C recharge, and the $5 dollar flat fix. This reeks of desperation, clearly the industry is coming due for a strong correction. At my shops this month we are starting to see price resistance from the lower income segment, we are having to exert price flexibility for price discovery which we are finding to be 10% to 20% from list pricing. The mid to upper segments are still going strong.