Joe Marconi

44 minutes ago, DUFRESNES said:

I know this is what they are always saying, my question is, what do you do if you find a couple of people you would like to hire, but you don't have a 

space for them.  Then what

 

GREAT QUESTION! 

I think we need to look at this differently. Always recruiting is not always hiring; it's building a pipeline of quality people.

It involves creating relationships with your contacts and then finding out through them the top techs and top service advisors that you can reach out to and just have a conversation with. From there, you maintain contact with people that you have met and then put them in your pipeline.  So, you build relationships over time. 

When the time comes when you need someone, you stand a much better chance at making the right choice by making an offer to someone you know and have a relationship with. 

One thing, if your existing people ask questions about this strategy, just simply tell the truth; you are always looking to expand your network of people and always looking to grow in the future. 

There is a lot more to this process, but I thought I hit on the main points.  Not to plug Elite, but at the Eagles Fly with the Eagles course that I present, we spend a half day on this subject alone. 

Any questions? Let's keep the conversation going. 

On 11/15/2022 at 12:58 PM, TTP said:

Hi,

I was wondering if there are any aftermarket shop owners on this forum? If so please respond to this thread. 

Let me introduce myself, my name is Joe Pazdera, I have been in the aftermarket game since 2005, but I have been self-employed for over 40 years. Currently, I own and run two companies Texas Truck Performance and TTP Coatings. I have found over the years that there is not alot of resources out there for shops like ours. Everything is geared to the normal auto repair shop. Which is like trying to fit a sqare peg in round hole, we just don't fit the mold. We have different obstacles, to overcome that a normal repair shop doesn't.  Like installing a lift, most manufacturers do not give a labor time, you just have to guess. Even if they do its not always correct and you either over bid and lose the job or underbid and lose your profit. So in the days to come I want to explore how other business owners are doing it. I hope you will join me in the quest to make us the best and most profitable we can be. 

First, Auto Shop Owner is primarily comprised of aftermarket auto shop owners from around the world and also companies that support the aftermarket.  

You have a unique business and one that does not fit into the "normal auto repair shop," as you state. With that said, it's important to understand your numbers: your labor costs, material/parts cost, and operating expenses to start with. Then you need to establish your required gross profit on labor and parts in order to pay for your operating expenses.  And of course, you need to have a decent net profit(bottom line)

I don't want to trivialize your business model; I just want to start the conversation. 

I would like to hear from businesses that are similar to yours. I ran a traditional multi-store auto repair shop for 41 years, and now work as a business coach. 

 Great Topic!!! 

What are your Thanksgiving business hours this week? The balance between time off and responsibilities to our business and customers is a challenge.

What strategies do you implement and how do you balance the Thanksgiving holiday for your auto repair shop?

15 hours ago, TTP said:

What forum do I post it on?

 

I would suggest, "Running the Shop"

42 minutes ago, TTP said:

That sounds great, Thanks! 

Should  I start a new thread ot continue this one?

JPlet

Yes, I think that would be best.  And give some specific examples of what issues you are referring to.  Let's see what happens. Thanks!

6 hours ago, Eric Roberts said:

Hi firstly could I apologise for my delay in answering! Unfortunately my wife has been taken ill and is in hospital at the moment!

In answer to jamcneely then he has given almost a perfect reply. 1st point: He is using one to get about town in where their will be plenty of charging stations. More importantly he is using his own electric supplied by his solar battery bank. There will be people and places where an electric car makes sense to own and yours looks perfect for the purpose. Like you I also think that the EV will be part of the big mix of fuels at the end of the day. However, I believe that the electric car service and repairs side will be steered towards the main dealers and the small/medium garages will slowly be depleted of work. The world order is for !bigger is better" now matter where you live in this crazy world.

The second half of my reply also relates to the reply by Joe Marconi.

Many thanks Eric Roberts

First and most important, I hope all turns out well for your wife. 

A lot has to be figured out with regard to battery charging before the EV is mainstream. In the foreseeable future, if battery technology stays the same, EVs will be more practical for homeowners or those that have everyday access to an EV charging station. If you look at all the major cities, it's hard to imagine EVs having an impact for everyday use. 

With regard to the world order and bigger is better, there is no doubt the government push for the EV means there is money to be made by big business. Will this push the average auto repair shop into oblivion?  I don't think so.  Independent auto repair shops have always been resilient and always found a way to survive and thrive. 

With that said, it will get exponentially harder, and auto repair shop owners must do all they can to become financially strong and build a strong business model.

23 minutes ago, John Shanderuk said:

I love incsetual labor rates. Kind of like... What are you doing? I donno know what are you doing? Same as incestual advertizing (I usually do the opposite of what others are doing). Charge what you need to charge to pay people good money and yourself... I charge $181.09 and thinking of going to $200 an hour haven't had any issues. Maybe I'm pushing the envelope but it is what it is.

I don't know the finances of your business, but from what I see around the country, quality repair shops are in the $175.00 range, with EURO, Diesel, and Specialty shops above $200.  So I don't think you are pushing the envelope. In my opinion. 

I have been saying this for years: "As an industry, we have been too cheap for too long." 

As a business coach with Elite Worldwide, I speak to many shop owners around the country about their struggles and concerns. At the top of that list is driving more profit to the bottom line.  Some of the questions I hear are: Should I increase my marketing budget?  Should I raise prices and my labor rate? Is it a car count issue or an ARO issue?  Or should I improve my procedures and policies? All of these are great questions and the right questions. 

However, the first step in improving your business is to ask yourself: Do I have the right people employed at my auto repair shop?  

Whether you are struggling in business or having a banner year, your future depends on the quality of people you assemble around you. Do all you can to take care of your employees. Listen to them, and include them in on ways and ideas to build your company.  Make them feel important. 

When you assemble a great team of employees and take care of that team, trust me, profit will follow. 

With the difficulty auto repair shops have these days finding quality techs, I thought it would be a good idea to share our ideas on what ways have worked for you. 

Please post what has worked for you in the past when looking to hire a technician. 

On 11/7/2022 at 2:01 PM, TTP said:

PLEASE PUT THIS IN THE CORRECT TOPIC i WAS NOT SURE WHERE TO POST IT, TY

I have owned an aftermarket shop for years and have struggled with different things, like shop mangement issues. We don't fit most descriptions by what we do. I wonder if any other aftermarket shop owners are having the same issues and how have they overcome it?

I tried starting up a discussion page on Facebook, with very little sucess. I was hoping for an exchange of ideas, but all I got was a bunch of people telling me to F-Off!! I had to delete most everything. Anyways if anyone is intersted it up and running. Thanks for your time. 

. 

The best place to have an honest and open discussion is right here on Auto Shop Owner. The members of ASO are pros and always willing to help.

Post your issues. Start the discussion.  You mention shop management issues. Can you name a few? 

By the way, I am a former shop owner (41 years), co-founder of ASO, and a business coach for Elite Worldwide. And happy to be part of this discussion. 

1 hour ago, jamcneely said:

I own a 2020 Performance Model 3 as my commuter and it works very well for me. It's smooth, stupid fast, incredible sound system, etc. I absolutely love the car! I ate up a set of tires in 9K miles in which Michelin pro-rated so it only cost about $500. It seems that auto crossing your daily is not the best idea. But damn it was fun and impressive! It amazes me how well technology keeps us safe. The car makes you feel like you can do no wrong, pretty cool yet scary! I feel bad for this generation of drivers and the other drivers (us) around them considering the differences between my 71 Nova in high school and this Model 3. 

I have a Tesla charger at home and at the shop using 220 which takes about 5 hours to charge. I have solar on my house and battery back up. I live in far Northern California and unfortunately our wonderful governor (Gruesome) is most likely going to start taxing my car, my solar and attach a meter to my well and charge me for water. Gruesome is a huge backer of all this EV nonsense and says by 2035 there will be no more ICE's sold in Ca. He also had the nerve to tell EV owners to NOT charge our cars because the grid can't handle it. WTF? LOL!!!!!! I also own a 2016 Tundra and a Miata I use for racing so I feel I'm kinda evening out my carbon footprint.

We have a couple customers with EV's at the shop however other than tire rotation and alignments we haven't done much yet. I am looking forward to working on them, well having my son work on them. My dad got out of the tech side in the early 90's when carburetors went out and EFI came in. I took over as the drivability tech at that time and then the business in 2016. Now my son is that guy! We have been in business 55 years as of 2023 and my boys are 4th generation here.

I believe the US political money mongers feel better that we drill for oil and take from the ground all of the things we need in third world countries as opposed to ours because out of sight out of mind.

There needs to be a mix of ICE, hybrids, EV's, hydrogen, etc. to make this all work but there's always gonna be the one stickler group that'll throw a wrench in the whole thing.

Thanks guys I really enjoy reading these posts.

 

Great perspective! New York too just proposed nearly the same bill as CA, to ban ICE cars by 2035.  Not sure where we are headed with this, but we do need all forms of energy. Another thing, to strip mine sides of mountains for getting the precious materials needed for the EV and hybrid batteries is controversial too. The problem is, not enough people know or will do their homework to make an informed decision. 

Agree too: Really enjoy these posts! 

While I am not an Auto Shop Owner anymore, my work with Elite as a business coach puts me in touch with a lot of shops around the country. And while business is still good, there are signs that it may be slowing as we head into the winter season. Perhaps the effect of inflation and the cost of living. 

What do you see in your market?  And what should we do to maintain business through a potential slowdown? 

Join me on November 10 at 2 pm Eastern! See details below and to register! 

For more information on the webinar and to Register: https://us06web.zoom.us/webinar/register/5116675705371/WN_mT6jAjATRlqGJN40eLUByw

Nov. 1, 2022—In his opening remarks leading into the 2022 AAPEX Opening Session, Bill Hanvey, president and CEO of the Auto Care Association (ACA), announced that Right to Repair was delayed again for the seventh time. 

For more information:

40 minutes ago, bantar said:

For my heavily bonused employees, I will offer a sign-on bonus that gets the to the next pay period.  They may be in a full salary role.   The last one I did said:  Salary + $400 bonus paid weekly thru XX date.   Then, monthly bonus from that point forward.  This kept their salary at a competitive level until their earned bonus kicks in.  The bonus was less than he would make hitting goals, so there is an incentive to have next month's payout bigger and better.    NOTE: This is not a true sign-on bonus, but shows a method of implementation.   It is implemented in weekly chunks so that if it falls apart, the business is protected and spends less on that hiring mistake.

I've received bonuses in the past which had "claw-back" clauses.   If I didn't meet the time commitment, it would be demanded back.  I've made similar offers. 

If possible, I think it's best to avoid sign-on bonuses as a main-attraction.  If this person leaves their current job for the bonus, will he leave here for the next bonus?   You would prefer to have someone selecting their next job for better reasons.  However, if adding a sign-on bonus helps you close a deal-that-you-like, then go for it. 

I'm a fan of structuring any bonus payout with a time commitment or earned over time vs a day-one payout.   Sometimes that new hire does not pan out and it can be hard to claw-back what is already spent.

Interesting concepts. Are you transparent with your current employees on this plan, or is it kept private? (If that's possible) 

52 minutes ago, bantar said:

Truthfully?   I have a super-smart rat that visits, eats the bait off of my snap traps, stays out of the sticky traps.   He holds a dance party which set off my motion detectors.  Sometimes 4-6 times nightly.  Sigh.   Since I don't have a shop cat, I've asked one of my employees to let his snake loose for a buffet.  😎

Currently, I don't really bring work home with me, including worries.    Now, today is the 1st of the month.  We had a record month last month, yet it is still not enough.  So today, as I do every month on the 1st,  I'm worried that this month will be terrible.   Not a lot of traffic today, reinforcing my worry.  

My main focus is on how to grow volume.   I'm tweaking our marketing, but at the same time feel helpless in the endeavor.   I've got a trough of water with room for lots of horses, yet most of the horses are drinking elsewhere.  😁  Should I add Whiskey to the water or Honey?   Or Market Both?  It's just money. 

I was worried about my Garage Keepers insurance being renewed.  The renewal notice came yesterday.  Phew.   I had a big claim in 2021 that made 2022 need to be error free and it was!  Now, I have to worry about 2023.  😧  

I have lots of day time worries... too many to list here.   Luckily it does not often impact my sleep.

--brian

Wow!  I think your attitude is keeping it all together. You combine humor with real-world issues and problems. Thanks for sharing. I am sure all of us can relate! 

In my 41-year career as a shop owner, I think that at least 80% of that time I experienced what I called, the Unexpected Wake-Up Call at 2:00 am.

I would go over and over all the things that happened throughout the day, and what I needed to do tomorrow. For me, it was the uncertainty of the next day, and what fire I would need to put out that troubled me the most. 

I know you have those nights too, so let's share a little.  What Keeps You Up at Night? 

I see more and more, in every industry, employers offering sign-on bonuses to incentivize candidates.   While I get the reasons why I think you need to be careful when offering a sign-on bonus. One thing to consider: What will your existing employees think? Especially those that are loyal and have been with you a long time.  Another thing to think about; If the person you are hiring is basing his/her decision on money alone, is that good for the long term? 

I always struggled with sign-on bonuses,  but I would like to hear from those that have done it, and how they handled it. 

32 minutes ago, JChapman said:

Yes, we are mostly looking to get  management & selling help from them, technical to a lesser degree (specifically ADAS & EVs)

As an auto shop business owner, it's crucial that management/business training is the primary concern. Technicians need technical training; Service advisors need sales training and auto shop owners need business management training.  I learned this being part of Elite Worldwide as a client, many years back.  And it's why now, that I have sold my company, I still involve myself with them. 

14 hours ago, JChapman said:

I'd really like to hear from others what the names of the tradeshow/conventions available to auto repair shops & which are the best ones to attend. We want to start going to some but don't even know the names of them or which are worth the time. Any input would be greatly appreciated!

I will name a few that I think are worthwhile attending, but there are many.

• Vision
• APEX/SEMA
• Super Saturday, Mid Atlantic Auto Care Alliance
• Fly with the Eagles- Elite Worldwide
• NAPA Summit
• ASTE- Automotive Service & Technology Expo
• Ratchet + Wrench conference

I see one of your clients is Brian Bowersock. He is a good friend of mine and a fellow Elite business coach. Brian knows his stuff when it comes to advertising.  It's an endorsement of what you do.  

1 hour ago, Transmission Repair said:

The most important strategy that we had was our curb appeal.  We had to move locations to find the building that had very good curb appeal.  Our old shop had no curb appeal as did all of our competitors.  People see the curb appeal of any shop before they ever set foot in the front door.  The curb appeal sets the customers expectations.  We had 3/4 of an acre of paved parking that was double fenced.  We kept the parking spaces next to the front door always clear for our customers.  If somebody left a car there we would move it to keep it clear.  The customer waiting area was as nice as the outside.  I tried to have the curb appeal new car dealership.  I've been asked several times if we were a franchise because it looks so nice.  I had one customer say "This place looks expensive." speaking about our pricing.  Let's face it, most transmission shops have bad curb appeal.  Here's a video about our curb appeal.  I've posted the following video before.

 

I can't argue with curb appeal. While you can't judge a book by its cover, the consumer likes to look at something appealing before they consider it. 

Super Saturday Sessions Flyer PROOF 6.PDF

Before you spend a dime on any advertising or marketing, you need to realize that it's the employee experience that will determine how effective your overall marketing plan is.  Everyone in your repair shop and everything you do on a day-to-day basis is the foundation of your marketing plan.  

We have all heard, "Happy employees create happy customers."  This is more important today than ever before. 

 Remember this: Your advertising and marketing programs do one thing; it brings you, people. It's your job to make the sale, and more importantly, create a customer experience so amazing it gives your customers a compelling reason to return!