Joe Marconi

Gonzo, I can top that. We had a Subaru towed in last November, new customer with a no-start. We diagosed the car and repair it the same day. Every day the the customer would call and asked, What time do you close?" Well, after six weeks of this he finally arrived at the shop, gave us half the money for the repair and did not pick up the car for another 3 weeks! Is it that bad out there?

Are You Tracking Comebacks? “Comeback”, one of the most hated words in our business. We all get them. But how we handle comebacks, track them and learn from them is vital to our success. I don’t have to tell you how important it is to take care of a comeback in the quickest manner. In addition, no matter what the comeback, you will need to follow up with the customer in a day or so to make sure everything is ok and to show you care. Another thing you need to do is keep records of the comebacks. Was it a part issue, a tech issue, a training issue or a procedure issue? Keeping track and reviewing the findings with your staff will help make necessary changes and improvements to your business. If you find that an unusual amount of water pumps are failing from a particular supplier, you will have the documentation to back that up and possibly look for a new supplier. If your tracking identifies a problem with one of your techs, you can use this information to retrain the tech or get him the necessary training to avoid issues in the future. You need to share this information with all staff members; I call it, “Shared Knowledge”. We can often learn more from our mistakes than any other way. Knowledge is power, it takes a little effort on your part, but trust me, it will go a long way at improving your bottom line.

Well, you are right, not politically correct....but.......

i want to wish all the Mom's a very Happy Mother's day. To all ASO members, have a wonderful day with your family. Joe Marconi

According to Honda, thier Ow20 is a semi synthetic blend. As far as a better oil change...most shops were charging more for an oil back in the 80's, when the oil, the filter and labor was a lot cheaper. Marketing and advertising from some segments of the industry (including new car dealers doing $19.95 oil changes) is killing us. Look what we do when we do an oil change....It should be called a maintenance service. Plus now you have to reset the light, take down the splash pan, on and on and on. An oil change is just not an oil change. Sorry for getting off topic...

Some new Honda's require 0w20 oil, which is a synthetic oil from the suppliers that I have contacted. The local Honda dealer in my area sells the oil change service for the same price as conventional oil. This is hard to compete with. Any thoughts on oil and marekting 0w20?

I understand the issue with correct friction modifiers, but if your service your transmission using BG fluid every 30,000 miles, BG will protect your car and give you a protection plan for the life of the vehicle for your transmission. The plan will give you $2,000 if you start the servicing under 36k miles, $1000.00 if you start the program under 75k miles. BG is a good company, why would they stand behind their product, if the product did not work? Maybe we should hear from a BG rep????

That's the biggest issue in our area too. The condition of the rotors are so bad due to corrosion, it is not in the best interest of the customer to attempt cutting them, in most cases.

I was waiting for your post....and you did not dissapoint me! Too funny!

Oh boy, I got 12 out of 15....what does that tell you?

Ray, I have been around the block a few more times I care to remember, and I can tell from the way you express yourself that you have great potential. I am glad you found AutoShopOwner.com. I hope you stay active in the forums; there are a lot of fine members with so much to offer this industry. The power of our industry is our collective knowledge. Remember, success is not a destination; it's a never ending journey.

Hey Gonzo, do you ever wonder if there's a book out there that the consumer reads on how to treat a mechanic? You know, a book that for some reason is never shown to us? There has to be, think about it. How else do you explain these things? How can there be so much similarity among what people say to us. There's a book out there...I know it!

So, You Fix Cars…So What? Do you ever think about why you are in business? Do you ever think about how you market your business to your consumer base? I know; you perform brake work, oil changes, steering, suspension, tires, alignments, check engine light analysis, blah, blah, blah. We all do that, so what? What I want to know is why you do what you do. What makes you different from your competition? Now, you’re not going to tell me it’s because you do a “quality” job, are you? The fact is the consumer can buy a Goodyear tire anywhere and get a brake job or an oil change done anywhere. Plus, there are a lot of quality shops out there. Is the only reason you keep going back to your favorite restaurant because of the good food? The truth is quality work is expected, and must not be used to define your company. Another truism; the average consumer has no clue nor do they care about your Snap-On sockets, Hunter Wheel Balancer or your OE factory scan tool. Those are things WE CARE about. Do you go to your doctor and say, “Hey Doc, what brand X-ray machine do you use?” Do you ever ask your dentist, “Those are nice instruments you are using on my teeth, who makes them?” Indentify who your most loyal customers are and find out WHY they keep coming back. The answer will define your business and define who you are. This is what you market and advertise; this is how you attract more customers who fit your culture.

Yes, I know...here's a story for you. We had a Ford Probe with a no start at times and would break up under hard acceleration, ONLY at times. To make a VERY LONG story, real short. This car was at a trans shop for a transmission overhaul. They broke the end off the tab for the crank sensor on the flywheel and bent it back into place. Well, it lasted for about a year before having problems. It took me 4 days to find out this problem. I kept getting a strange signal from the sensor, but it would start, stall, no start, break up. Drove me nuts...It felt real good when I found it and fixed it, but lost my shirt, my socks, my pants and my underwear on the diag labor.

Wow, that would have drove me crazy! You must really know your stuff, you stuck with it with conviction. Hope it was worth it $$$$$, becuase you deserve it...

We all need time away from business to focus on those things that truly matter in life; family and friends. A little down time is good for the soul and will reenergize you. Your business will always be there. Happy Easter!

Raising your labor rate and trying to increase your average ticket dollar amount in an effort to increase income may not be the way to financial stability. In fact, it might just make you fail! Before you send for the men in white coats and call me crazy, please have an open mind and read on. Like many of you, I once shared the belief that a high labor rate, quality work, high-ticket averages and superior customer service was the business strategy to create a successful repair shop. I also believed that the customers should never control the flow of work in my bays by dictating to me when they need service and that I should carefully plan out the day. There was also a time when I would refuse a walk-in for an oil change because I had too much work in the bays. Well, I’m here today to tell you that for me, this strategy is dead. It died along with the carburetor, points and condenser. The quality of your work, tracking key performance numbers and providing great customer service still holds true, but in today’s business world, it’s not enough. Look around at the world today. Has anything changed? You bet! We live in a fast past world where people balance work, family, fun, Church and other obligations. Both Mom and Dad have careers and are running from ballet to baseball. The media has been drumming into our head for the past thirty years that great service is getting what you want now and fast. Why do people today value their time so much? Because they have so little of it. So, here’s the scenario. Its Tuesday 2:00pm and Mrs. Smith arrives at your shop unexpectedly with a check engine light on. You politely and professionally tell Mrs. Smith that you would be more than happy to take the car in on Thursday. Now, she’s starts processing in her mind what she needs to do on Thursday: She needs to leave work early to bring her daughter to the dentist at 1:00pm and needs to be back at the office by 3:00 for a meeting, then dinner at 5:30 and the P.T.A at 7:00. “No, Thursday won’t do”, she says. Respectfully, you answer, “How’s next week?” At this point she gets frustrated and says she will let you know. You just may have lost a customer. You viewed her problem as a check engine light and how you would fit her car into YOUR calendar. She perceived her problem as another way to balance an already demanding schedule. Now let’s talk about labor rates and average repair order dollars, and I will hopefully tie all this together. Concentrating on bigger tickets and labor rates as a way to overcome inadequate car counts and low profit will simply not work. I’m not saying you shouldn’t charge what you are worth. I don’t give anything away in my shop and charge accordingly. But, what I’m more concerned about in today’s market is opportunity. I concentrate on maintaining healthy car counts to give me the opportunity to sell more. Today’s cars are not like those built in the 70’s and 80’s. You don’t have the highly profitable repair work anymore and cars are more reliable. Take a look at what the automakers are taking away from us: Timing belts, plugs/wires, fuel filters, distributor caps, rotors, etc. Not to mention long life coolant, transmission fluid and extended oil change intervals. This means you will need a healthy car count in order to give your shop the opportunity to sell profitable service work. This also means that you will need to be very proactive in managing your customer’s vehicle maintenance. You will need to be very innovative in your approach on maintenance and service, and diversify your services to fit a broader range of consumers. Successful “Big-Box” stores understand the law of compounding and moving product. Even in these tough economic times, Home Depot would rather sell 1,000 cans of paint a week and make $6.00 on a can, then make $12.00 per can and only sell 300. Why? Having that many people coming through their doors buying paint increases sales in other areas, such as paint brushes, primer, rollers and drop clothes. Again, when you increase the number of customers, you increase the opportunity to sell more products. This is the law of compounding sales through opportunity. Before you go lowering your prices, STOP. Most of us sell at a fair price already. What I’m suggesting is that when you increase car counts, you give yourself more opportunity to move product: such as air filters, cabin filter, batteries, wipers and other items. Plus, you are working on building a customer base that will more likely return in the future because your willingness to work around their schedule. You may have loyal customers, but if you’re not perceived as convenient and not willing to accommodate them when they need you, you may not be capitalizing on your potential to fully satisfy a customer. How do you increase traffic to your bays? Say “YES” as much as possible. Be more accommodating. Try to work around your customer’s schedule, not yours. Be more flexible. Your daily planner is not written in stone. Promote while-you-wait service, if at all possible. At my shop we welcome walk-ins and promote while-you-wait service. It has proven to be a gold mine of opportunity for us. I do understand that smaller 2 or 3 bay shops may not be able to handle a flood of waiting customers. For these shops you may need to rethink your business model to insure that your daily scheduled jobs are balanced properly in order to maximize opportunity. Remember; opportunity equals profit. View full article

As AutoShopOwner.com enters its fourth year, I would like to personally thank all the members for their continued contribution and making AutoShopOwner.com the “go to” online business forum for the independent automotive repair industry. The success of ASO is truly due to the strength of its membership. The combined knowledge and participation of its membership base has far exceeded our expectations. For that reason, we at AutoShopOwner.com are very proud. One year ago I wrote about the tough economic times we have endured the last few years. I stated that although 2009 was very challenging, 2010 would be the year to make our mark. Well, another year has passed and the automotive independent repair shops have once again shown their resilience and the ability to overcome just about anything thrown their way. We may have lost a few colleagues, but not many; certainly not nearly the numbers that were predicted. And, when you compare it to new-car dealership losses, we truly need to stand up and give ourselves a round of applause. In an era where conglomerates such as Chrysler and General Motors needed Uncle Sam to bail them out; we tightened our belts, restructured our pricing strategy, diversified our services, continued to train our technicians, and stood up to adversity. The truth is we maintained the attitude of, “Business as usual”. Our strength always has been and will continue to be, ourselves. Yes, I know how you are constantly being told that you need to run your shops more like a business, and I have heard over and over again how an industry of “mechanics-turned shop owners” is the main reason for our demise. But, how do you explain our continued success? How do you explain the fact that the independent repair sector is alive and well? How do you explain that we, the independent repair shops, are the number one preferred choice of the motoring public? I think it’s time to examine how WE do business, and maybe the rest of world should take a few lessons. To be honest, many of can do better financially. Shop owners and technicians work extremely hard, give a lot of the profits away in lost productivity, and simply do not always charge what they are worth. Too many of us end our careers with little to show for it. For many of us, breaking away from skills of mechanics and learning the skills of business is almost unattainable. As we get older and a bit wiser and beat up, we make the necessary changes to ease back and take more of a managerial role. We see the writing on the wall and feel the pain of years past in our backs, hands, and shoulders. But, we endure, and make a life for ourselves and our family. As a fellow shop owner, let me outline the profile of the typical shop owner. The typical shop owner is a dedicated, community focused person, involved with either the local Church or other organization(s). We put in an enormous amount of hours each week, working on every aspect of business. We always strive to do our best and produce the best product possible. We commit ourselves to continued education. We always give the customer the benefit of the doubt and will do just about anything (even at a loss) to keep the customer. We warranty repairs long after the warranty period. We come to work sick and take very little time off. We never hesitate to pick up a wrench, broom, mop or push a car into the bay. We are in the business of helping people and keep this country moving. Without us, our communities would come to screeching halts. We will work days on a problem, until we find the fix. We never give up. We always find a way to win. No one, and I mean no one, can take away the fact that the typical shop owner is truly committed to their customers and to the industry. As a group, we may not be the best business people, but we always find a way to get the job done. My vision for the future is to see more and more shops realize that our proven track record dictates that it’s time to secure our place in the future. We have done great things in the past, now it’s time to do even better. Continue to shift your role as a company leader and look for ways to transform your business where all the people in your company can enjoy the fruits of their labor. Build a solid future for yourself and for the people around you. This will be your legacy. Do this for all the reasons why you have done everything in the past, not solely because of economic gain, but because it’s the right thing to do. You owe to you, your family, and to the people who work with you. As we move forward in 2011 and beyond, AutoShopOwner.com is committed to your success and will continue to provide a platform where the open exchange of opinions and ideas will provide valuable information through shared knowledge and experience. Premium Members Can Download Here View full article

We all have had that week from hell. You know, the one week that makes you ask yourself why in the world you ever got into this business in the first place. The week that makes you doubt yourself, your customers and the people around you. And as you push through the week, every turn you make you find another fire to put out, another bounced check to worry about, another comeback that needs to be done over again, on and on and on. By Wednesday you say to yourself, “it must get better, it can’t get worse”. Well, guess what? It can. For me, my recent week from hell happened this past summer. I came in on Monday morning in the second week of July to find that my service manager was sick and would probably be out until Thursday. I also learned that one of my top techs got into a motor cycle accident over the weekend and was seriously injured, with no information about his return to work. It was 6:45am and little did I know, this was just the beginning, and it was about to get worse. A Subaru we serviced a few months ago was towed in over the weekend with a seized engine and the owner was blaming us for not putting oil in the engine. He was demanding we pay for a new engine because in his mind, it’s our fault. I gathered my crew together a little before 8am and told them this was going to be a very challenging week. I also told everyone to be positive, work together and we will get through this. On Tuesday my air compressor caught on fire. The compressor, only a little over two years old, apparently had a defect in the wiring which caused a short and fried the motor. We were one month over the warranty and I had to eat the cost for a new compressor motor. On the ride into work on Wednesday I called my shop foreman and asked if it was safe to come in. I was joking, but he wasn’t laughing. There was silence on the phone and I asked, “What happened now”? He told me that the transmission we installed in the Dodge Van last Friday was towed in overnight; “the transmission doesn’t even move”, he said. He also told me that there was a note from a very unhappy customer that said she needed the van back ASAP! Then he told me that someone threw a rock through the front window and that the Police are waiting for me. I wanted to turn my truck around a go to the hills and hide. Aside from these new issues, we were getting behind in our work as the problems kept mounting. Somehow, we made it through the rest of the day. Thursday morning started out ok. My Manager was back and we were well into the process of getting all the issues settled. The compressor motor was due to arrive that day. Luckily we had an old back up compressor which kept us going. The glass company was there installing a new window. Things were looking better, I thought. But, I was wrong. That morning we received the wrong tire shipment, and all the tire sales for that day had to be reordered. We lost electric power from a downed pole around the corner at 10:45am. We did what we could, but we all know how dependent we are with computers, lifts, phones and other equipment. The power came back late that afternoon and we all stayed late into the night to catch up. The push to get the work done was draining everyone, including myself. I could sense despair setting in as the morale in the shop was suffering. I spent the better part of Friday morning dealing with the customer of the seized Subaru engine. The truth is, there was oil in the engine, but low about 2 quarts and he couldn’t read any oil on the dip stick. According to our records he was 5,000 miles over his scheduled oil service. We only serviced his car once and as I questioned him, I realized he didn’t take care of the car as he should, often going over the recommended interval for an oil change. I asked him if there were any lights on the dash before the engine seized. After a short pause, he admitted that the oil light and check engine light had been on the day the engine seized. Knowing the truth put me in a better position to deal with the problem. He was still angry and wanted to know what I was going to do because we were the last to touch the car, but the facts were the facts and I stood my ground. By Friday afternoon I was mentally exhausted and was looking forward for the week to come to an end. About 3:30 that afternoon, a long time customer came in for service on her car. I walked over to her to say hello and she started to cry. I sat down in the waiting area with her and asked if there was something I could do for her. She told me that her daughter, 41 years old, just passed away from cancer. She left two young children and a husband behind. In an instant, all the problems that happened the past week took on a different meaning; all of the worry that I had the past few days suddenly vanished. This woman had real issues to deal with; issues about family and life, and in the end, are the only things that really matter. I sat with her until her car was finished and listened as she spoke about her daughter and family. When her car was complete I walked her out to her car. As I walked back to the office, I started to put things in perspective and realized that all the trouble that had happened in the last 5 days seemed a lot less important. As shop owners, we face adversity every day. At times I feel we are being tested. Sometimes, things appear to be too tough to bear. Sometimes, just sometimes, the problems we face are just what we need to remind us that things could be a lot worse. For me, I learned a valuable lesson about life. I learned to appreciate the things that really matter in my life and not concern myself about the things that are only part of life, not what life is all about. Tomorrow is Monday, and I don’t know what the auto repair world has in store for me. It may be hell or it may be paradise. But whatever happens, I’m ready for it. View full article

Now more than ever before, we need to think and breathe business. I know most of you may have started as techs and many still turn wrenches on a daily basis, but the brutal facts are in: We are in a fight, unprecedented from any other time in auto repair history. The battle will not only be fought in the service bays. The key battle will be for market share of the service and repair business. We all heard that the future looks bright with low new car sales and dealerships closing, which are positive signs but not the total picture. The new car dealerships that remain after the dust has settled will emerge strong and with the full backing of the car maker. Yes, there will be some dissension in the ranks between the manufacturer and the franchise dealers. There will undoubtedly be a line drawn in the sand, as car dealers fight for market share of the service business and the car makers continue their desire to promote vehicles that need little or no maintenance. Dealers want and need the service business, but that would mean an abundance of cars that would last long past what the manufacturer would like. Car makers want to sell cars, not make them last for years. Let’s throw national accounts into the mix. The world was a nice place when a muffler shop was a muffler shop, or a transmission shop was a transmission shop, and a quick lube just did oil changes. Now, every national chain has entered the service and repair business, a place once dominated by independent repair shops. No longer can a tire store rely on tire sales, or a transmission store satisfy its existence through the sale of rebuilding transmissions. All segments of the auto repair and service industry now perform a wide variety of services, from tires to brakes to oil changes, and more. This transformation of the repair and service market is cutting up the service and repair pie smaller and smaller. So, where does that leave the independent repair shop owner? Actually, in a very good place. Think about it, we wrote the book on automotive service. We are the preferred choice of the motoring public. We are convenient, knowledgeable, work on multiple vehicle makes, friendly, and have been part of the community long before those muffler chains even thought about selling tires. However, we must not take anything for granted. We do have the power to shape our destiny. It’s up to you and me to stay the course. A recent Lang Marketing Report indicated that the decline in dealer service bays will lead to an opportunity for independent repair facilities. However, how the independent aftermarket responds to this decline will play a crucial role in the future of the independent car and light truck aftermarket business. As independents we need to commit ourselves to continued training. We need to embrace technology. We need to provide the very best in customer service and learn not only the skills of mechanics, but also the mechanics of business. AutoShopOwner.com will be there, every step of the way. That is our commitment to you! It will not be easy, but anything worth fighting for is never easy. Within the forums of ASO is a wealth of knowledge that gets stronger every day. Participate in the forums, post your questions and opinions. Share happy stories and share those bad days too. We want to hear everything. Spread the word too, in numbers there is great strength. The larger the membership, the more benefits we share. So, are you ready to roll up your sleeves and go to work? I know I am. View full article

* Part of a series of real life stories you can relate with! I got a call a few weeks ago from a customer (we’ll call him Dave). Dave asked me to give him a price on a 60k service for his daughter’s Honda Civic. She was coming home from college and he wanted to get her car up to date with needed maintenance. I asked Dave how many miles were on the car, and after looking up the vehicle’s records, I realized that she had put over 12,000 miles on the Honda, since we saw it last. I explained to Dave that it would be in his daughter’s best interest if I give the car a general inspection first, from bumper to bumper; just to make sure everything was ok. After the inspection I would be happy to give him a price on the 60k service and any other items identified during the inspection. Dave responded back, “You really can’t give me a price on the 60,000 mile service?” I explained again that many miles have past since we serviced the car and I just want to be sure that we look at the car in its entirety and not just focus on the 60k. After a pause he agreed and booked the appointment. The Honda arrived a week later and was dispatched to one of our techs for a complete general inspection. The inspection revealed only a few additional service items along with the scheduled 60,000 maintenance service. I was a little concerned about Dave’s insistence about the price when I first spoke to him and told my service advisor that I would be calling Dave about his daughter’s car. I reached Dave at his office and informed him that we had completed the inspection on his daughter’s Honda and that the car was in great shape. In addition to the 60,000 mile service the Honda would need a rear brake adjustment, a brake light bulb and a set of wiper blades. I gave Dave the total price, for the complete job. Dave responded back, “How much is the 60,000 mile service?” A felt a little confused at this point and itemized all the prices for him. He proceeded to tell me that a local dealer sent him a coupon and their 60k service was $80.00 cheaper! He asked me, “Why should I spend the extra money with you for the same service?” I could have explained to Dave that the coupon from the dealer was a special promotional price only. I could have also explained that dealers sometimes use these specials as lost leaders. I could have gone on to say that we employ only ASE certified technicians and that they receive on-going training and that we invest in the latest equipment and information systems. I also could have argued that this is how we justify our prices. But I didn’t say any of that. What I did say was this, “Dave, do you remember when you were leaving for vacation a few years ago, on a late Friday afternoon, and you noticed you had a flat tire on your camper? Do you remember I stayed open until you arrived to repair the flat tire? And do you remember the day your daughter was leaving for college in her sophomore year, and the check engine light came on an hour into her trip? Do you remember you called me and asked for my help? Do you remember how I arranged for a tow company to stand by in case your daughter broke down? And do you remember that I stayed opened until your daughter returned back so I can check the car out? Dave, is the service we have given you throughout the years worth a least $80.00?” There was a long pause and I knew from the sound in his voice that he felt a little embarrassed. He apologized and said that that he was trying to save a little money with the high price of gas and food these days. He also admitted that, with his daughter in her last year in college, he is feeling a little lighter in the wallet. We completed the 60k and the other service items later that day. What’s important is that I never tried to discredit the dealership. That would have gone nowhere. I also tried to direct the attention away from price and focus on the value of the relationship we have created throughout the years. In retrospect, I don’t know if I should have thrown it in his face, about what I did for him the past. I have mixed feelings about that. I think in these shaky economic times we need to concentrate on service. We need to address the concerns of the customers and give them options. Your customers will be looking to you for help and guidance, that’s part of your job. The shop that continues to deliver outstanding service and charges a fair price will thrive. I have lived though many economic roller coasters in my 30 years in business and have no doubt that this ride will pass too. If you’re wondering if I gave Dave a discount on the job, you can ask me that and any other questions, in the topic I have started for this story, in our forums. Let me know how you feel I handled the situation. View full article

Give your customers a memorable experience and they will return Peter Drucker, one of the greatest business minds in recent history preached, “The purpose of business is to create and keep a customer”. That simple quote is perhaps the single, most important business principle. We often get too caught up in sales numbers, gross profit margins, car counts and average work order dollars. Those are the numbers of your business, but what is the heart of your business? What will drive your business for generations to come? The answer: Customer Retention. And that can only be accomplished with a sound marketing program and creating the ideal customer experience. Take care of your customer, give them a memorable experience, and the rest will fall into place. Let’s first take a look how marketing differs from advertising. Marketing and advertising are closely related but often confused. Advertising is part of marketing and effective marketing is vital to customer retention. To simplify matters, advertising is everything you do to get your name out to your market area in the form of ads, radio announcements, TV commercials, bill boards, coupons, etc. Think of advertising as inviting consumers to try your product or services through different forms of media. Marketing is how customers perceive your business. Marketing consists of everything you do with respect to the customer experience. The experience is the most important step in the sales process, its makes or breaks the business-to-consumer relationship. For the customer to want to return, the experience must be positive. And, I’m not only referring to quality repairs, that’s a given. I’m talking about how the customer was treated on the phone, at the front counter, the waiting area, the bathroom, as well as the look of your facility….The Experience. Advertising may get new people through your front door, but marketing will keep them returning over and over again. A bad experience will result in a one-time customer, which wastes valuable ad dollars and hurts future sales. Remember, advertising gets the phone to ring, but how the customer is treated on the phone will determine if that person actually comes in. Or, how that person was taken care of once she arrived at your service counter will determine if she returns. Marketing is the key; it’s the difference between building a business and failing. It’s where many businesses drop the ball. Everything you do once the customer drives into your facility must be somehow related to getting the customer to return. Let’s take a look at a few basic marketing ideas you can implement today that will make a big difference with customer retention. Many of these marketing ideas don’t cost any money and I’m sure most of you already know them, but a basic marketing tune-up from time to time can’t hurt. Who’s answering the phone? A tech? A porter? Are they trained in customer service? This has to be the first step in your marketing plan. The wrong person answering the phone can kill your business. At my shop, only service personnel answer phones. They are trained with the proper skills to handle issues, problems and scheduling. Call your business from time to time or have a friend call. Make sure the people you have on the other end of the line are saying the right things in a warm and friendly manner. Who’s on the front counter greeting customers? What impression does the customer have as she walks through your front door? Are your counter people well groomed? Are they enthusiastic when they greet customers? Do they smile? You’ll have a tough time selling if your service people don’t have the right attitude toward the customer. I tell my service advisors; “When a customer walks through the door, treat them as if you were waiting your entire life to meet them, that your whole existence is dependent upon their arrival. If you want the customer to return, make them feel special”. How’s the look of your facility? Is it clean and orderly? Can customer see junk engines or tires piled up in the back? Is your parking area clean? How’s the waiting area? What does the customer bathroom look like? Clean bathrooms and waiting area are a reflection of your business. The customer doesn’t always see the repair, but they DO see how well kept your bathroom and waiting area is. You need to take a long hard look at your facility and make sure it has the look that invites people, not turn people off. It doesn’t take a lot of effort to insure that your facility is clean and neat. But, it goes a long way with the customer. The condition of the facility will leave an impression in the customer’s mind, if your place is a mess, the customer will take this as a sign that maybe your work is a mess too. Customer follow up is a great way to show your customers you care about their welfare. We call all first time customers and every customer who had a repair or major service performed. We don’t call for simple services like oil changes and state inspections or wiper blade replacements. Many new customers are stunned when we call; it’s a great way to reinforce that positive customer experience. Car delivery is another great opportunity to strengthen your relationship with the customer. Review the work order; ask the customer if there are any questions. Thank them and shake their hand. Walk them out to their car or hold the door for them. Anything that tells the customer you really appreciate the trust they have in you and want to see them return. Book the next appointment. Your dentist does it, why not you? Your customers will need another oil change service, right? Let it be your shop, book the next appointment during car delivery before the customer leaves. Create a system using a computer schedule program or use your business management program to alert you of scheduled appointments. You will need to remind these customers with a reminder card or phone call, but it’s a winner. You also need to create marketing programs that will contact your customers on a consistent and continual manner. You need to keep your company branded in the mind of your customer. This is important, the next time your customer is thinking about his car, he needs to associate his car with your business. This can only be done by constantly reminding him about your company. People will recall what they are familiar with. Here are a few marketing strategy tips: •Offer free tire rotation with every set of tires. Also offer free tire pressure checks. •Send out yearly reminders for wheel alignments. •Offer free fluid top-offs between services. •Create a welcome kit of all new customers. Include your company brochure, business card, other information brochures, and a new customer discount coupon for their next visit, magnetic business card. You can even add a small gift like a tire gauge. •At write up, get email addresses and birthdays (not the year). Send your customer a birthday card, either by mail or email. •Create an email newsletter and send out monthly car tips and other service specials. •Send out seasonal promotions. •If your state has mandatory safety/emissions inspections, send out reminders. •Make notes about future service work and suggested repairs and send reminders either by email or regular mail. •If you perform a major repair such as an engine replacement or transmission, schedule a follow-up visit. Getting the customer to return must be your marketing goal, particularly for a first time customer. It takes a few visits for people to get to know your company and feel comfortable with your people. That’s why it’s so important to create marketing strategies that increases the chances for a return visit. It takes time and effort to build a relationship, but once established, you have a customer for life. Sam Walton, the founder of Walmart built a world–wide empire, and although many of Walmart’s business practices are controversial, Sam Walton did understand the consumer. His quote says it all: “There is only one boss. The customer. And he can fire everybody in the company from the chairman on down, simply by spending his money somewhere else”. View full article

Got your attention? Great! Now let me tell you what I really think. Advertising DOES work. Did the title of this article grab your attention? You bet it did. I purposely phrased the title in that way in order to get your attention. That’s advertising. There was a time when I only relied on word of mouth, the yellow pages and an occasional ad in the local paper. I would throw together an ad myself and when the results were poor, I would convince myself it was because advertising did not work –when this simply was not true. In today’s world of business, if you don’t have an effective advertising and marketing program, you are going to find it nearly impossible to compete in the future. The fact is, as business owners we need to be constantly thinking of ways to grow our companies, and advertising and marketing must be part of our business plan. The problem is that we are often unsure about the effectiveness of our advertising and feel that a lot of our advertising dollars are wasted. John Wanamaker, considered the father of both the modern department store and modern advertising was quoted as saying: “I know that half of my advertising dollars are wasted … I just don’t know which half.” Although there is some truth to this, it should not deter you away from advertising and marketing. There are things you can do to minimize the losses and increase the gains with an effective advertising plan. The rewards of an effective plan far outweigh the losses incurred when one of your ads or a promotion is not working. Four years ago when I was planning to build a new facility and expand my shop, I knew that in order to succeed I needed to gain market share in my area quickly, I could not rely on word of mouth alone. In order to grow at a faster pace, I needed to put together a comprehensive advertising/marketing program. With the help from a business consultant we set out to find a few critical factors; determine who my profile customer is, what products and services I want to bring to the consumer, and where to find more of my profile customer. I want to share with you some of what I learned from my experience and what forms of advertising are working for us. •There are some that say advertising does not work; that’s a myth. The right advertising works and you need to find out what works for you. You need to conduct a demographics study of your current customer base and the consumer base in you potential market area. Establish what your business is all about and what you bring to the market that sets you apart from your competition. Create a profile from your existing customer base to determine your ideal customer. Create an advertising program to attract more customers who fit your ideal profile. Find out where these people are in your market area and target these people. For example, if you are a high-end European service facility, catering to people who own Mercedes, BMW, Jaguar, Land Rover and Audi, then your advertising must reach out to these people. Your advertising does not belong in a discount publication. Remember; don’t try to be everything to everyone. •Don’t be afraid to try different forms of advertising; fear, sometimes keeps us back from achieving our potential. If something does not work, stop doing it. Try something else. That’s not failure; you have just gained knowledge that you did not have before. Don’t try everything at once either, build upon your program. Also, you need a blend of call-to-action and branding. You don’t always need to offer a coupon or discount. With our radio ads, we give seasonal auto tips during peak drive times. Sometimes it’s’ better to brand your company by getting your name out, then offering a discounted services. •Is word of mouth the best form of advertising? Yes and no. Word of mouth is great but it can be too slow. Several years back, I considered word of mouth to be my best form of advertising, while the truth was; I really did not have a well thought-out plan. •Many people say you can’t measure advertising. I don’t totally agree with that statement either. Every customer, new and existing, needs to be asked how they found you. You need to track and monitor this. I keep a spreadsheet of every contact I make; I want to know exactly how someone found us. This way I will know what works and what does not work. •All your advertising must be consistent in the message, colors, and logos. When someone sees your company, whether it’s on your website, TV, promotional flyer or print ad, it must be easily recognizable. Branding is everything. Don’t send mixed messages. That does not mean you can’t have different themes. Geico Insurance uses multiples themes. We all know the gecko and caveman commercials and easily associate these ads with Geico. I recommend recruiting the help from a professional marketing company to help you create an effective program. •The key to remember about advertising is that once you create a program along with a budget, you need to commit to that plan for the long haul. Your advertising must be consistent and continual. Inconsistent advertising does not work and actually ends up wasting valuable dollars. •People will buy your product or service when they are ready to buy, not necessarily when you are ready to sell. Just because a direct marketing promotion did not yield the results you were looking for, does not mean it failed. Keeping your company in the mind of the consumer through consistent advertising is powerful and will ultimately have positive results. Think of it this way; Dunkin Donuts does not expect you to jump off your couch every time it airs a TV commercial, does it? No. The purpose of the commercial is to keep embedding the Dunkin Donuts brand into your mind, which in turn they know increases their odds you will choose Dunkin Donuts the next time you are traveling down the road looking for coffee and donuts. After two years since starting our new marketing program, we now concentrate on TV, Radio, Internet marketing, email marketing and social media. This is what is working for us now. It may change in the future. That’s business. You need to do your homework and find out what will work for you. You will need to continually monitor and measure the effectiveness and make changes as you see fit, it’s an on-going process. Let me leave you with these thoughts; if you are not willing to advertise to your customer, I promise you, someone else will. Don’t get discouraged either; it takes time to establish your company in the market place. It’s like planting seeds; it takes time to see something growing from the earth. So, let me rephrase the title of this article: Advertising Does Not Work, the Right Advertising Works! View full article