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Everything posted by Joe Marconi
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I would like to know how shops handle new hires: Training, orientation, list of benefits, dress code, shop policy, etc. We have learned that we things are brought up and documented at the time of hire; the employee knows what is expected and what the employee expects from the company. Would like to hear from other shop owners...
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There has been and will always be part changers. Now, with companies like AutoZone and Advance, that are dedicated in "helping" the DIY market, it will perhaps get worse. There are a great many people who have this notion that the answer is just right there, simple and easy. Much like when someone goes to the doctor about feeling run down and tired, and the doctor says; "loose weight and eat right", the person says, "really,you can't just give me a pill"? I can deal with the public, it's the pros that I am concerned about. Most techs want to diagnose the problem properly, the issue is most either don't get paid for it or don't know how to get paid for diag. This is a topic for a different discussion, right?
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Document Exactly What the Customer States, Don’t Interpret what you “Think” the Problem Might BE Not too long ago a customer came to us complaining of a vibration. The customer stated to the service advisor that around town his Honda felt fine, once on the highway the car starts to vibrate which can be felt in the steering wheel and throughout the car. After the customer finished explaining the issue, the service advisor writes up the work order and dispatches the vehicle to a tech. On the work order the advisor wrote: “Check Wheel Balance and vibration at high speeds”. Was the service advisor correct? Well, not exactly. The tech road tests the car and does not feel anything, inspects the steering and suspension and all is fine. The tech gets authorization to check the wheel balance and alignment and the car is given back to the customer. Nothing is really found. The car is given back to the customer. A few days later the customer returns complaining of the same problem. This time, another advisor carefully listens and asks a few key questions. This advisor asks, “Exactly when do you start to feel the vibration”? The customer replied, “After about 10 to 15 minutes when traveling on the highway”. The service advisor asked, “And you don’t feel any vibration at any other time”? The customer said, “No”. At this point, the advisor knew that this is not a wheel balance issue. He dispatches the car to a tech and told the tech exactly what the customer stated. The tech was instructed to drive the car for at least 10 minutes at highway speeds. After 10 minutes, the tech felt the vibration, returned to shop and discovered that there was a faulty front brake caliper which, when heated up, was causing the brakes to drag, which caused the vibration. The lesson for all of us is to ask questions and carefully listen to the customer at write up and not interpret what we “think” the problem might be. The clues to the problem are most often found within the words of the customer.
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Wow, now that's talent!
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Sometimes I feel like I’m alone on a deserted island. I charge for diagnostic analysis. Why? Because I know what cost is to buy the tools, equipment, information systems, training and pay a technician to professionally and accurately diagnosis a check engine light, air bag, ABS or any other complicated problem. But, I feel a lot of shops are willing to give this up in hopes to get the work. In my opinion all they are doing is digging themselves in a hole. And, I have heard all the reasons: “If the customer gives me the job, I waive the analysis”. “I package the analysis into the repair, so the customer does not see the diag charges” “I will lose customers if I charge analysis” And the best yet: “It only took me 10 minutes to diag the O2 sensor, so I can’t charge diag labor”. Waiving the analysis is the same as a doctor waiving the x-rays and blood tests. They don’t do it, we should not either. I will also challenge those who “package” the analysis into the repair. You mean to tell me that after taking 1 hour to find a faulty mass air sensor, you will add the 1 hour to the 5 minutes it takes to install a new mass air? Come on, we all know the truth. And let’s address the 10 minutes it took to find the failed O2 sensor. Did it really take 10 minutes? NO, it took years of training, years of experience, the investment in the right equipment and the investment in the right information systems. Why we sometimes diminish what we are truly worth is amazing. No other profession does that. Sorry for being so tough on this topic, but business is hard enough these days and people question everything. If shops don’t realize what they are giving up, it makes it bad for all of us. Please tell me what you think. Agree? Disagree? Or any other thoughts....
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Welcome aboard! And good luck. You will find a wealth of information on this site, but if there is anything specific, please post a topic. We are all here to help you.
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9/11 Remembered, Never Forgotten Today marks the 10th anniversary of that tragic day, when terrorists planned a viscous attack on America. It’s hard to believe it has been 10 years already. Being born and raised in New York, I watched those towers being built, I watched in horror when they fell. The only good that came out of that day was the unity that brought an entire nation together. Political differences were set aside and we, as a nation of free people, collectively came together and shared in the pain. I have not seen such unity before that day and I am sad to say that I don’t see a lot of today. It shouldn’t take a tragedy such as 9/11 to realize that we are livening in the greatest country this world has ever known. We have brave soldiers that have been fighting the war on terror for nearly a decade. They fight this war, as others have fought wars before them, to preserve our freedom and rights. Let us never forget those that sacrificed so much. I hope everyone displays the American Flag today, wherever you may be. Show the people of the world that this great nation is, first and foremost a nation of free people, dedicated to the preservation of all the things that make America great. God Bless America!
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My Nemesis - - - Superman has his kryptonite, and so do I
Joe Marconi replied to Gonzo's topic in AutoShopOwner Articles
We all suffer from Kryptonite poisoning from time to time. But, I do believe it originates from the customer. The negative aura that some people give off can be compared to voodoo magic. Ever wonder why most problems arise from those customers that are the biggest pain the neck? Your best customer comes in, throws the keys on the counter and tells you, “Call me when you done”. No problem. But that “pain in the neck” customer comes in, tells you what’s wrong, tells you he does not want to spend a lot of money, tells you he wasn’t happy the last time you worked on the car and tells you he needs it done yesterday. Right? Well, this is where kryptonite turns the job into a nightmare….everything you touch on the car is an issue…..I swear, it’s like voodoo! -
Everyone has core beliefs; those values and ideals that determine your personal success. Notice I said, “personal” success? That’s because success is defined by your goals, your desires and your individual talents and potential. Not by the achievements of others. A great athlete may study other great athletes to see how they achieved their success, but ultimately it’s the talents, work ethic and the potential of the individual that will determine personal success. Below is my list of core beliefs: 1. Never judge your life or your achievements by the achievements of others. 2. Always go the extra mile when performing any task, even at the risk or perceived risk of short term monetary loss. 3. Commit to a life of continuous improvement and learning. 4. Never give up when a problem arises; whether in your private life or in your daily work. Work diligently to find solutions. 5. Never dismiss someone’s perception of you. While we should not govern our lives by other people’s opinions, how others view us should be considered. Are we respected and considered credible by the people we associate with? 6. Spend more time listening than talking. 7. Analyze what goes wrong in your life and learn from your mistakes. 8. Never hesitate to make a key decision out of fear of making a mistake. 9. Make decisions based on your gut feelings; which is founded on past experience, expertise and personal judgment. 10. Accept responsibility of your life, your family, the world around you and your coworkers. 11. When things go wrong in your business or in your life, blame yourself first. Ask yourself; “Was there anything that I could have done that would have prevented what happened?” 12. Think beyond your job description, always be willing to help others, the more you understand the concept of the team, the better individual you will become. 13. Be a leader, find other leaders and help others achieve their personal greatness. 14. Don’t look for praise or recognition. Knowing that what you do in life matters is recognition enough. 15. Find happiness in your life. If you spend your life looking elsewhere for happiness, you will never find it. 16. Focus on your strengths, not your weakness. Do what you enjoy, but also do what brings the greatest return of fulfillment in your life. Joe Montana, famous quarter back for the San Francisco 49ers, devoted his life to becoming one of the greatest quarter backs of all time. Although he was a great football athlete, he did not spend his time perfecting his skills in tackling and catching the ball. That would have been a waste of his time. This is my list; you may agree or disagree with these core beliefs. The key thing to remember is that we all need to know what makes us tick. Who are we and what do we stand for? We may never know completely who we are and may never reach our personal definition of success, but, as we all know, life is a never ending journey, not a destination. Striving continuously in achieving our very best is what defines us and defines life itself.
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Make A Great Impression With First Time Customers Your service personnel must do all they can to create the best possible experience for all first time customers. Obviously, all customers should be treated with exceptional service each time, every time. The difference with new customers is that they may not know you or your staff and may have a little apprehension when their car is being serviced for the first time in your shop. It takes a few visits for you to build a relationship. Your goal with first time customers is to create an experience so outstanding that they feel comfortable with you company and will want to return.
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The effects of the recent Great Recession have left many people with a sense of uncertainty over the economy. Perceived consumer attitude is pressuring some companies into lowering prices or offering discounts in order to attract new consumers or to maintain their customer base. I would urge all businesses to seriously consider and examine the effects of price reductions and discounting. We are slowly moving toward better economic times. If you’re reading this, you have weathered perhaps the worst economic period in your business career. Now, more than ever, is the time to show strength in your company by offering quality customer service and repairs, continued community involvement, continued training, and by remaining positive. All while maintaining profits and building for your future. Discounting to make up for poor profits or weak car counts is a path that may have long lasting negative consequences. Rather than discounting prices, companies need to find ways to build their brand and culture. Personally, I don’t like discounting my services and repairs. In general, shops give far too much money away as is. I understand as well as anyone the power of a loss leader or discount promotion. There is a place for this type of marketing, but when you realize what a discount costs you, it becomes apparent that we need to be very careful about what and how much we discount. A $10.00 discount can take an additional $100.00 in sales to make up for it, depending on your net profit margin. One discount I really have an issue with, is the one that’s used to close a sale. Ever notice that your best, loyal customers, never negotiate your price? Those are the customers who need to be rewarded, not those who want to suck profits from your company. If a service advisor needs to use discounts to close a sale, it’s an indication of insufficient training or that you have the wrong person on the counter. Effective service advisor skills are crucial to the success of your company. If you have the wrong person in that position, act quickly. You aren’t doing the right thing for you or for that person, if they are in the wrong position. Another problem I see is the mindset that we somehow need to offer discounts to attract customers, or to maintain existing customers. I disagree with that thinking. If you are doing all the right things and hire the best people, you should not have to give away the farm in order to attract or retain customers. Would you choose a doctor, dentist, lawyer, or accountant because they’re the cheapest in town? Of course you wouldn’t. We may not be doctors or lawyers, but we are professionals. Build value in the eyes of your customers, offer outstanding customer service. Create a customer buying experience so powerful that your customers wouldn’t think of going anywhere else. Go the extra mile and reward those customers that patronize you over and over again. Be competitive, but be profitable. Your business must make a profit. And let’s not confuse breakeven with making a profit. Most shop owners know their breakeven, but some are stumped when questioned; “How much do you need to make above breakeven?” Breakeven only pays the bills of your company and nothing else. Breakeven should never be a goal. Your business must make a profit above breakeven in order to reinvest in your company, put away money for the future, pay for your kid’s education, train your people and do the things that make life fulfilling. Discounting your services can greatly affect this. Too often discounts attract the wrong customer. Our marketing and advertising should be about branding our business and focusing on our target customer base. The only exception: if your business model is truly a discount store and you have built you business catering to that clientele. Truthfully, I don’t know of many quality shops that advertise, “Come to me, I’m the cheapest around”. Do you? Advertising should invite the type of customers that fits your business model and those that value all that your company has to offer. If your advertising is always offering discounts, you just may be attracting the customers you don’t want. View full article
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Don’t Let Discounts Kill Your Business
Joe Marconi posted a article in Joe Marconi's Tips and Articles
The effects of the recent Great Recession have left many people with a sense of uncertainty over the economy. Perceived consumer attitude is pressuring some companies into lowering prices or offering discounts in order to attract new consumers or to maintain their customer base. I would urge all businesses to seriously consider and examine the effects of price reductions and discounting. We are slowly moving toward better economic times. If you’re reading this, you have weathered perhaps the worst economic period in your business career. Now, more than ever, is the time to show strength in your company by offering quality customer service and repairs, continued community involvement, continued training, and by remaining positive. All while maintaining profits and building for your future. Discounting to make up for poor profits or weak car counts is a path that may have long lasting negative consequences. Rather than discounting prices, companies need to find ways to build their brand and culture. Personally, I don’t like discounting my services and repairs. In general, shops give far too much money away as is. I understand as well as anyone the power of a loss leader or discount promotion. There is a place for this type of marketing, but when you realize what a discount costs you, it becomes apparent that we need to be very careful about what and how much we discount. A $10.00 discount can take an additional $100.00 in sales to make up for it, depending on your net profit margin. One discount I really have an issue with, is the one that’s used to close a sale. Ever notice that your best, loyal customers, never negotiate your price? Those are the customers who need to be rewarded, not those who want to suck profits from your company. If a service advisor needs to use discounts to close a sale, it’s an indication of insufficient training or that you have the wrong person on the counter. Effective service advisor skills are crucial to the success of your company. If you have the wrong person in that position, act quickly. You aren’t doing the right thing for you or for that person, if they are in the wrong position. Another problem I see is the mindset that we somehow need to offer discounts to attract customers, or to maintain existing customers. I disagree with that thinking. If you are doing all the right things and hire the best people, you should not have to give away the farm in order to attract or retain customers. Would you choose a doctor, dentist, lawyer, or accountant because they’re the cheapest in town? Of course you wouldn’t. We may not be doctors or lawyers, but we are professionals. Build value in the eyes of your customers, offer outstanding customer service. Create a customer buying experience so powerful that your customers wouldn’t think of going anywhere else. Go the extra mile and reward those customers that patronize you over and over again. Be competitive, but be profitable. Your business must make a profit. And let’s not confuse breakeven with making a profit. Most shop owners know their breakeven, but some are stumped when questioned; “How much do you need to make above breakeven?” Breakeven only pays the bills of your company and nothing else. Breakeven should never be a goal. Your business must make a profit above breakeven in order to reinvest in your company, put away money for the future, pay for your kid’s education, train your people and do the things that make life fulfilling. Discounting your services can greatly affect this. Too often discounts attract the wrong customer. Our marketing and advertising should be about branding our business and focusing on our target customer base. The only exception: if your business model is truly a discount store and you have built you business catering to that clientele. Truthfully, I don’t know of many quality shops that advertise, “Come to me, I’m the cheapest around”. Do you? Advertising should invite the type of customers that fits your business model and those that value all that your company has to offer. If your advertising is always offering discounts, you just may be attracting the customers you don’t want. -
Nice, that's the way to relax!
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Congratulations! You expanded at the right time. This shows strenght in your business model. Aside from the move to a bigger facility, what do attribute the growth from?
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We talk about competition all the time, but who do you think is your number one competitor. I may be partial to my fellow repair shop owners and actually have a great relationship with other shops in my area. We often help each other. In fact, we have a business alliance group of 20 to 30 TECH NET shops in the area that actually meet periodically and brainstorm ideas to help each other. For me, my biggest competitor is the new car dealer. They are lowering prices in an attempt to get cars in their bays, offering free oil changes and other maintenace services, are dirt cheap on some tire lines and are advertising to work on all makes and models. Plus, some dealers are open extended hours, including Sat and Sun! What are your thoughts, who is your competition?
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How are shops doing with training and what is the quality of training you are getting. In our area, our training is thru CARQUEST Auto Parts. CARQUEST has their own training company and they also use EAST Training from New Jersey. Each year we sign up for a block or seminars. CARQUEST has a nice program; each shop can pay one price for up to 6 techs, there are some considerations for one man shops. Overall it has been very good for us. What's happening around the country and in other countries?
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Summer is just about over and we need to turn our advertising and marketing thoughts to gearing up for winter. What new plans are in the works for shops out there. What successes have shops had with old marketing ideas. The fall is perhaps the best and easiest time of the year to promote preventive maintenance, at least in the northern states. Here's one thought; Remember Last Winter, Be Prepared! Other ideas?
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Thanks! Yes she is a very nice girl and they go perfect together. My son is an financial analyist for a commercial banking company. They live in San Francisco, California, we happen to be out here on vacation when he proposed and gave her the ring. They plan on getting married at a winery in Sonoma Valley.
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Gonzo, we are often held to a higher standard than doctors. Think about, a doctor we tell you; I don't know what is wrong, we have to perform these tests and try this medicine and I don't know if it will help. You get charged for the visit, the tests and the meds, even if you are still sick or even worse. And you get charged whether you are cured or not! With us, we have to be spot on, give the right diagnosis the very first time and if we are not, we are in big trouble. When the car comes back, for what ever the problem is, we often eat it. Will there ever be a day when we get paid each time, every time?
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I am on vacation in San Francisco visiting my son. Last night he proposed to his girlfriend! Wonderful time here and very excited. The wedding is next summer. Be back in New York on Wed
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We had a customer drive thru a flooded road during the last storm. For some odd reason the A/C compressor was damaged, it sits real low on this Mercedes. The adjuster arrived, wrote up the estimate, gave me his "comparable" price estimate for the part and "his" labor for the job. I told him, "Sir, you can write what ever you like, but the truth is I an not Monty Hall and this ain't Let's Make a Deal. Here's my estimate and here's the price I am going to get, either from you or the customer". He told me I could not call the customer. I reminded him that the last time I looked, this was still America and that I am the owner of my business, not the insurance company. After a few dirty looks and a few muffeled words under his breath, he agreed to my price. We all need to stand strong. I know it's a lot different for body shops, but the more repair shops takes this position, maybe we can help us all get what we deserve!
