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Posted

I get customers ask all the time during snow tires season, if they buy a set of snow tires would we store the summer tires. We have never done it here but another local tire shop does. I have just acquired new warehouse space for vehicle storage and to build a shop to perform specialty work in (we do a lot of classic European, specifically Mercedes work). There is lots of extra space and in the build out I'm wondering if I should put some racks in to store wheels and tires. So far I'm not so sure it would be worth the effort. The storage fee (yet undetermined) would likely barely be worth the effort, but what is the value of offering other services to your customers that most shops do not and guaranteeing repeat business?

 

If you offer this service, how does it work? What do you charge?

 

Thoughts?

Posted

If you have a lot of unused storage/warehouse space, I would definitely consider something like you are suggesting.

You are paying for every square foot of space, so you might as well use it to make money, even if it's only $5-10/month for a set of tires to sit there.

 

You can also think of it this way, you now are in possession of your customers tires, so you are GUARANTEED that he's going to come back to you at some point in time.

When you change his tires over (maybe for free, included in the storage fee), feel free to give your customer's car a courtesy inspection and make some recommendations.

What would that kind of customer retention be worth? I'd say a lot more then the hassle of having a stack of tires in a corner.

Posted

If you have a lot of unused storage/warehouse space, I would definitely consider something like you are suggesting.

You are paying for every square foot of space, so you might as well use it to make money, even if it's only $5-10/month for a set of tires to sit there.

 

You can also think of it this way, you now are in possession of your customers tires, so you are GUARANTEED that he's going to come back to you at some point in time.

When you change his tires over (maybe for free, included in the storage fee), feel free to give your customer's car a courtesy inspection and make some recommendations.

What would that kind of customer retention be worth? I'd say a lot more then the hassle of having a stack of tires in a corner.

 

This is kind of the thought process. We do a lot to get the customers in the door and keep the relationship going, make sure service is up to date and give customers recommendations on work. This would be one more way to do that while offering a relitively unique service to our customers.

Posted

I think if you have the space then it may be viable. But be sure to make it worth your while. $10/month isnt quite worth the effort in my opinion. If tires sit n dry rot, now customer blames you. Unforeseen fire/damage now youre paying for those $1000 tires. Maybe charge monthly with additional for insurance. Its a thought. But extra storage space should be able to yield you more than a happy meal...unless your rent is dirt cheap.

Posted

we store customers summer/winter tires for free, it takes up space but we have extra space so it's not an issue. I like it because if we store 500 tires for customers that's a pretty much guaranteed $15000 in the bank ($15/tire mount and balance spring and fall) and a repeat customer. They aren't going to Walmart when their old tires are at my place. If you plan on storing more than a few hundred tires you will need a good system - we are at the limit (or beyond) of crudely stacking them in the corner with a name tag on duct tape stuck to their stack of tires.

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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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