Joe Marconi

It is true that some people, in the heat of anger, will post a negative review. I often wonder how many of those people took time to resolve the issue, rather than to post something negative. Consumers are getting smarter, and negative reviews don't hold as much weight as we fear. But, in reality, no one wants a bad review. I would not suggest asking for review, but give people opportunity to give feedback. For example, A CRM company like MechanicNet and Demand Force, sends out email and post card thank you's. These thank you's will politely ask the customer to review your shop. This will generate a stream of great reviews. The problem is that these reviews don't show up on Google or Yelp or Angie's List. What we do is call or email these people and thank them for taking the time post the review, and then ask them if it would be ok to post that review on Google, etc. Another way to stimulate great reviews? Create such an amazing experience for the customer that the customer walks away feeling compelled to tell the world. I am curious to hear from other shop owners on this topic.

These are great questions. If a customer asks for an alignment, you need to ask why. Many times they are referring to something else. For example, A customer may state, "Please check my alignment", and then after asking why, the customer will say, "Well, the steering wheel shakes at high speed.". So, you always need to be a good detective. I like the one-on-one from the service advisor, rather a form checklist. I hate when I go to the doctor and they tell me, "Fill our this form." But, that's me. Always road test the car prior to any alignment and perform a steering/suspension check. That is standard protocol. As far as charging a diag fee; that depends. We don't normally charge, unless there is a particular issue. For example; the customer ran off the road and now the car is shaking a pulling. In that case we charge .5 to inspection and also check for things like bent wheels. Lastly, as in any sale, always sell the benefits. An alignment will enhance the steering performance and extend the life of the tires, saving you money in the long run.

You have certainly put us in the holiday spirit with the past few articles. Thank you and Merry Christmas!

With Christmas on Thursday, the question when to close and open up is a tough one. Some shops are closing Christmas Eve, others the Friday after Christmas. I don't think there is a right or wrong answer to this. We all need to take the time and celebrate the holiday. But what are your thoughts and strategy?

Let’s face it, as business owners we run a marathon all year long. Our day as no start, no middle and sometimes, no end. We do what we have to do. It’s our life, our job, and to a degree, it defines who we are. But, in spite of all that, we need to take a breather from time to time. So set aside time this holiday season and put down the tools, put away the laptop and focus on the things that really matter. Take this time of the year and spend it with the family, with friends and set aside time for you too. Do something different. It will do you a world of good. Trust me; the business is not going anywhere. The truth is the time you take away from the business will recharge your batteries. You’ll be in better shape to move forward. Make the best of this holiday season!

The Holiday Season is upon us. It is a time for reflection on the things that really matter: family, friends and our core beliefs. I would like to take this time to say thank you to all the members of AutoShopOwner.com. I want to also wish you and your family the very best life as to offer and a healthy and prosperous New Year. From ASO to you and yours, Merry Christmas and Happy Holidays! Joe Marconi

It's been rocky roller coaster for most shops. Not sure why either. You would think that the drop in gas would stimulate the economy. I think people today are much smarter and have a lot less money in the pockets. This glut of oil around the world may give us an emotional lift when we pass a gas station, but we all know that there is something in the wind that will hurt us. When you combine all the factors, and add in that people want to reserve some money for the holidays, it sets up a tough next few weeks, perhaps months. Build now with each customer, don't let any opportunity slip by you. Be proactive, and don't wait for cars to come to you

A good doctor will never diagnose over the phone, we shouldn't either. And to give prices may actually lead you and the caller down the wrong road. I recently had a women call me for a price on a transmission. She works in the office of the company that does my website. She had been to two other repairs shops, and "knows" it's the transmission. I could not get her to bring it in and have me check it out. All she wanted was a price. She ended up giving the car to her brother. The problem ended up being a faulty solenoid. She did email me to apologize and she learned a valuable lesson.

AAA in New York merged with another AAA group in the New England area. I don't know all the details yet. I do know that AAA wants to promote a 2 year, 24 month warranty as one of the key changes. I have had many discussions with my area rep about and recently told my rep that I can no longer afford to give a 10% discount. If the program does not change, I will drop out. Well it seems that I was not alone in my feelings and my AAA group as of Jan 1, 2015 will cap the discount at $50.00. I still have a few issues to work thru, but hope is not lost. I was will keep everyone updated.

Frank. Great idea! Gonzo, your Christmas article brings joy to all of us during this time of the year. Thanks!

Source: When you match price, do you also match value?

After one of my service advisors (who is no longer with us, by the way) matched a price on a set of tires to a competitor, I felt the need to share with you my thoughts and the comments on pricing I sent to my manager to review with the service advisors. See below... Would anyone walk into a Starbucks and ask to lower or match their price on a cup of coffee? We all know the answer to this. Starbucks doesnt just sell coffee. They sell something special; they sell the experience, the friendly service and the connection they make with you, the customer. The truth is, you can buy coffee anywhere, but you cant get a Starbucks anyway. You need to think of your brand in the same way. There are basically three reasons why people compare price. One: they truly are price shoppers. These people we will never please and to be honest we dont need or want them. Two: the person does not see the value in what you are selling. Thats why you need to promote the benefits of what you are selling to the compared item or service. For example, in the case of tire price matching, tires are often considered a commodity and are easily shopped with a phone call or Internet search. So, how do you position you price and stick by it? You do that with a series of questions that brings out the benefits and reasons why you are the best choice. Ask the customer what the warranty is, does the competitor offer lifetime rotations, flats fixed free or road side assistance. Ask the customer. Wouldnt you want to come here for all you needs, rather than to jump around? Plus you have trusted us in the past with all your automotive needs. You know I am going to do the best for you. Plus, the dealer does not have what we have.and thats the people here at Osceola Garage. Also, ask the customer if that includes mount and balance, state recycle fees, wheel alignment and all other incidentals. Get the customer to understand that your price comes with value. And lets be honest, can we really trust the competitors price the customer gave us? And the third reason why people ask and compare price is that they dont know what else to ask. Again, this is when you need to promote value over price. I am not a fan of discounting and lowering my prices. We have spent countless hours doing the math. We understand that our price structure is in place to remain profitable. Are we competitive? Well that depends on your perspective. If you are strictly a price shopper, the answer is no. If you are someone that wants to build a solid relationship with a company that values people and has the right ethics, the right morals and offers benefits you cant get anywhere else; then YES, we are competitive because there are no other companies like us. Remember, price is what you pay, value is what you get.

I word of caution with regard to price. There needs to be a balance between being profitable and competitive. However, you need to be very carful you don't promote price over value. Two of the same services can be priced differently and yet the higher price may have more value. For example: If you sell a set of tires that includes lifetime rotation, flats fixed free and nationwide road side assistance, those tires can be sold at a higher price due to the value to the consumer. Longer warranties is another way to differentiate your services and not worry too much about price. With regard to transparency with customers, again we need to position our business not like every other business. We do not sell commodities, like milk and eggs. We sell service. Sell the job: the benefits that the customer can get from you, that cannot be gotten from another shop. Think of Starbucks, you are not buying a cup of coffee, Starbucks has more perceived value in the mind of the consumer, so price is not an issue. Of course there is one more marketing element: Starbucks targets its profile customer, those that are willing to pay. I hope I am making sense. I have been on both sides of the price equation. For me: Be competitive - Be profitable.

Spoken from a man of obvious wisdom.

You always find ways to top yourself! Amazing, truly amazing!

The Pearl Harbor Attack, December 7th 1941 A day that will live in infamy On Sunday morning, December 7, 1941 America's naval base at Pearl Harbor, Hawaii was attacked by aircraft and submarines of the Imperial Japanese Navy, killing 2,403 American military personnel and civilians and injuring 1,178 others. The attack sank four U.S. Navy battleships and damaged four more. It also damaged or sank three cruisers, three destroyers, and one minelayer. Aircraft losses were 188 destroyed and 159 damaged. The day after the attack, the United States declared war on Japan and entered World War II. President Franklin Roosevelt, in a speech to Congress, stated that the bombing of Pearl Harbor is "a date which will live in infamy." There are some things that we must never forget, the attack on Pear Harbor is one of them.

Thank you, but the truth is, it's shared knowledge. Time, age, experience has taught me well. And I am glad to share and help.

This is a topic that is brought up each year, but I think it's worth revisiting. Around the holidays and end of year, shop owners in general want to show their appreciation to their employees and will give them a bonus. How do your structure the bonus? Money? Tool certificates? Other?

What a classic! I really enjoy this. Gonzo, Thanks for all the great articles and all the great contributions you make all year long. I cannot thank you enough. It's members like you that have made ASO so successful and a great business resource for our industry!

This is a great post and a great topic. Take from someone who hit rock bottom 23 years ago. I was both emotionally broke and financially broke. The only way I was able to climb out of the hole that I dug for myself was to admit that the problem was me. It was not until I changed the way I thought and got the help I needed, that things began to change. From that moment on my business grew and grew and I never looked back. Today, my business is on auto-pilot and I am loving it! Shops owners in general are too technical and run their business from that mindset. We are business people. We are business owners. We are leaders. If we don't develop those skills, we will be in trouble. I wish you the best of luck. Get the help you need. Learn about business, about marketing, about customer relationships and employee management. Work on your business, not in it.

I know that there are many things on your mind this time of the year. With the winter coming and the holidays upon us, theres a lot going on these days. But, as a business owner, you need to consider that 2015 is right around the corner. The better you prepare now, the more successful you will be in the New Year and beyond. I have put together a short To Do list to help you prepare. 1. Review all the numbers for the first 11 months of 2014 and compare those numbers with the same 11 months in 2013 and 2012. 2. Based on the numbers, you can now begin to plan out your 2015 budget. 3. If you have not done so yet, have a meeting with your accountant. Review all the numbers for 2014. You want to know now about projected taxes you may owe, and not wait until April 15. Also, make sure you get a current checklist from your accountant on what is needed for yearend 2014. 4. Review your inventory. This goes hand in hand with your tax strategy. It will also indentify dead stock that hurts your cash flow. 5. Are there any tools, equipment, improvements to your facility or any other expenses that you can use in 2014 to reduce your tax liability for 2014. 6. Review all your goals for 2014. Did you achieve all your goals? If you did not, dont worry. Thats to be expected. Reestablish your personal and business goals now, before the end of the year. Also, start thinking about your future training and equipment needs. 7. Contact your financial advisor and discuss any financial issues and retirement plans. 8. Have an end of the year shop meeting. Outline all the accomplishments of 2014 and outline your goals and objectives for 2015 and your vision of the future. Most important; thank each and everyone for their efforts and make sure you convey to everyone that its the efforts of the team that determines success. 9. If you have not done so in a while, have one-on-one meetings with your employees. Do not make it a beat up session. Promote the positive attributes of the employee and ask for feedback on how the employee views the business, and ask for ideas and suggestions on ways to improve the business. 10. And, lastly, make sure you set aside time to work on self-improvement. As the leader of your company, all eyes are on you. Its your vision, your leadership qualities and your positive attitude that ultimately determines your success. Remember, you can achieve what you want from life, if you help others achieve what they want. I hope you had a good year, and best of luck in 2015 and beyond!

Great post! Another way we have found successful is to include the road hazard with selected tires. You will need to position the pricing accordingly to maintain your profit margin. But, as you state, to replace a damaged tire, especially a very expensive Michelin, can be unsettling for the customer. I also agree that peace of mind is what you are selling. It's the benefits of the warranty, not the cost. And I agree with Xrac, this post shows the strength in network and sharing ideas and strategies.

This is exactly what I am referring to! Great post!

The decision to expand, move, or open up another location is never easy. I found myself in the same position about 8 years ago. At the time I had a six bay shop with very little parking. There were times when you could not even enter my driveway. I had to make a move. Luckily, years back, I bought property adjacent to my shop and in 2008 constructed another 4 bay facility and a much larger parking lot. We finished the project in 2009. The advise I can give is to run the numbers, know exactly what you will need to remain profitable, understand that you will need good people around, and build the systems and procedures that will allow the business to run without you having to hold everyone's hand each and every day. If you read my early blogs, I outline the steps I took for the project. http://www.autoshopowner.com/blog/2-joes-blog/

Source: Your business success is often found in what you dont do