Joe Marconi

I could not begin to explain my disdain for this administration within the pages of this forum. But, I do know a few things: It is your right to think and speak your mind as you see fit. That’s America. What I don’t like are the lies that are being told to the American public, the finger pointing of blame, the division of this country between liberals and conservatives. It has the feel of “two” Americas’, each feeling that if you don’t feel our way you are un-American. The tea party leaders are gaining ground solely because the hard working people in this country are sick and tired of politics. The status quo is not doing the job. Will this group have the momentum to actually make a difference for the long term? I don’t know. But for the first time in a very long time, we see average people, not professional politicians, that are willing to take time out of their daily lives and fight to make a difference. Obama says on national TV, his health plan will not increase taxes…a big lie. The increases in capital gains taxes alone on investment dividends will significantly hurt the average citizen’s retirement investments. Obama does not understand economics. He wants to punish American companies overseas. Well, that ship sailed decades ago. We live in a global economy and many factors, including powerful unions, have sent our corporation overseas. The fact is American companies around the world hold about 500 billion dollars in foreign banks. We need that money back home. Why is money not in our banks? Because of the tax rate, which is the highest in the world. If Obama was smart, he would lower the tax rate and get that money back here. Do you know what an infusion of 500 billion dollars would do for this country? I could go on and on…but I think you know where I stand.

Yes, I am not complaining, especially in this economy. Many shops around the country are suffering. 7% is great, September has always been a mixed month for us, this year was one of the weakest. But, I am not really concerned.

We were 6% ahead of last year at the end of Aug. My goal was 8%. Sept has been weak, although. I still project we will hit our target. The 4th quarter for us is usually stong. I expect a big bounce toward the end of the year, people are holding back right now, but they will need to get their cars ready once the seasons change.

I think for many of us, thinking like a business person is almost foreign and uncomfortable. Making a profit is often secondary to getting the job done. Our focus as technicians has wired our brains to think in terms of the mechanical side of the business. Those of us that “crossed over” and learned business skills have prospered and never looked back. Again, I am not judging here, but we would all be better off if all technicians who choose to venture into the business world run their operations like a true business. AutoShopOwner.com is committed to those who seek help in learning the skills of running a business. There are many members that learned the hard way and all of us can benefit within the forums. We need quality people in our industry. People in this industry are probably the hardest working group of people worldwide. Make sure you are being compensated for that.

Start Thinking about 2011 Now October starts the last quarter for 2010. A time when you need to start compiling your business numbers, looking at your current goals and start making plans for 2011. By the end of December you will need to know all your numbers to benchmark this year in order to set your new goals for 2011. Don’t wait for the beginning of 2011 to begin thinking about new goals and new strategies. The more thought and work you put into where you are today will determine where you are headed in 2011 and beyond. Success is all about planning, and I am talking about written planning. A plan is not a plan unless it is written down.

Someday our paths will cross. Have a beer together.

Are you attending CARS this year? If so, I would love to see you there! CARS is an event specifically designed to deliver high quality and trusted education and product information to automotive service professionals, and if you haven’t been in the past, I would encourage you attend. As many of you know, I’ve recently joined Elite Worldwide as a business coach for shop owners, so I will be at the Elite Worldwide trade show booth Oct. 11th-13th helping the attendees grow more profitable businesses. If you plan on attending the event, I would be honored if you stopped by to say hello! Event Info: www.carsevent.com Conference: Oct 10-13 Trade Show: Oct 11-13 Mandalay Bay Convention Center Las Vegas, NV

I just want to mention that customer write-up is a key opportunity to start the sales and service process. We train our service advisors to not only review what the customer concerns are but to be proactive with needed service work, reviewing vehicle history and any suggestions that were made at the last visit. Many service items are pre-sold at the counter, increasing efficiency. For new customers, we take a different approach. We want to know how that customer found us, is the vehicle up to date with maintenance and talk a little about what we do. We will also inform the customer that we always perform a bumper to bumper inspection with every service. For diagnostic work, we try to pre-sell diagnostic time; this saves time, giving the tech the go ahead, and not have to wait for authorization. We don’t use any particular form, just the Mitchell Manager Estimate and Repair Order forms. The techs will get the Mitchell Tech sheet along with the Service Intelligence form (from Mitchell) to show vehicle history and what service is due.

We offer this to our exsiting customers only-at this time. When a customer purchases a new car, we send a letter with the coupon offer. We also promote it in our marketing. We will have a tag line in our newsletter for example stating: "Purchase a new car lately? Ask about your free oil change!" We also have posters on the counter saying the same thing. After a while, your customers will know the program and keep YOU in mind when they buy a new car and let YOU know. It's a great way to keep them out of the dealer. I am not sure if it would work with people we don't know, it may bring in people who are just looking for a freebie.

Is there anything else we can help you with? We all know this and most of us probably do this on a daily basis, so this is just a reminder for some: Are you being proactive with your approach and asking for additional sales when booking appointments and writing up customers? If not, you are missing the opportunity for increase sales, the easy way. When a customer calls and schedules an appointment for an oil change, are you asking, “Is there anything else we can do for you or help you with? A tire rotation? Wipers? By asking may trigger the customer’s memory and they just might add another service item to the appointment. It’s easy and it’s simple and should be automatic.

I am not here to judge anyone, since I know many, many great techs that started out as shade tree mechanics, I included. When I was 19 years old I started a mobile auto repair business with a friend of mine in the Bronx. We worked nights and weekends: we both had regular jobs working as techs. But after realizing that I would never get to where I needed to go in business, I decided to go legitimate. I opened my own shop. That was on October 1, 1980 – 30 years ago. Those of you, who know me, know that I am a firm believer in running a business as a true business. And the better business person you are the more successful you will become. Committing to the skills of business will open more doors for and make you more money, resulting in a better life too.

When do you think America will wake up? When it's too late?

9/11/01-Let us never forget Let us never forget the tragic events of nine years ago when terrorists attacked our country which resulted in the death of 3,000 people. September 11 will always be a day of remembrance for those who died; those who fought that day to save others and those brave men and womien in our military who put their lives on the line for our freedom.

Great points, thank for your input...we all learn from each other.

The ugly truth!

I love it, clean old fashion fun!

Great motivating story. It shows the power of the human spirit.

Don't be afraid to fail Is the fear of failure holding your business back from achieving even greater success? Every great person in history had to overcome failure. Thomas Edison tried over 1000 time to find the right element that would make the electric light bulb possible. Michael Jordon, one of the greatest Pro-basketball players of all time, accepted the fact that he like everyone else, fails from time to time. You can only achieve great things in life and in business by trying. If you fail, so what, you now know what does not work and you move on and try again. That's the process of learning and success.

For me, I tend to hold on to the hope that people can change. But, the truth is, when an employee starts to show certain signs, you need to act. The damage of delaying letting someone go can be harmful to your business. I now ask myself two questions when I am having problems with an employee: 1. If this employee came to me today and said they were leaving, how would I feel? If it does not upset me or makes me happy, the person needs to go. 2. If this employee were to apply for the job today, would I hire him/her? If the answer to this question is a definite no, fire the person now!

Sometimes when I get these "backyard engineers" I am embarrassed for them. They seem proud of what they did and I just stand there in amazement wondering how in the world will this work? I end up taking a job I really don't want, even after my entire staff says no. In the end, I have to pull a few rabbits out of my old worn-out hat. Nice article,Gonzo....keep up the great work!

Congratulations! This is a big step. You will most definitely need to do cost analysis to determine what your expenses will be. This will give you a base line (your breakeven) to know what you will need to be profitable. Remember, breakeven means you’re just paying your bills, above breakeven means you’re making money. It may take a few months of tweaking before you know your true numbers. Last year when I built my new shop, I did a lot of home work projecting labor costs, fixed expenses and variable expenses, but nothing is like real life. Creating a price structure plan can be a little tricky. Again it depends on your CODB (cost of doing business), payroll, market area and other factors. Are you planning on having a grand opening? That would be a great way to jump start the new building. Maybe you can have some one-time lost leader or run a few specials. In general, your part profit and labor profit needs to generate profit “dollars” to your bottom line. Do an analysis on your competition; find out what they are doing. I am not suggesting that you follow blindly what they are doing, but you need to know your competition. There is shop in my area that advertises FREE Check Engine light diagnosis, I don’t compete head to head with that but I do have ways to indirectly compete by promoting our convenience, speed of service and tech certifications. Sorry to go on and on, but there is a lot to cover on this subject. Let me know if I helped and if there are any more issues or questions. One thing I can tell you for sure, never compete on price, someone will always be cheaper and you will left in the dust wondering what happened to the business.

Well said, and argree.