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Price just isn't everything


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We’re not the cheapest guys in town. There – I said it. But we’re not downright unfair, and we do a good job at offering over the top value to those we hope to serve. In any market or industry, there are three distinct categories of customers, the price conscious, value conscious, and the quality conscious. Sadly, the price conscious folks seem to be the most discussed in forums.

 

We had a young lady come to us 2 years ago for service when she had a breakdown. In addition to the way her concerns were addressed from a technical/mechanical standpoint, she received such over-the-top treatment (I think her initial invoice was about $300), that her review of our company online indicated some key points in our company's mission statement, validating our effort to serve our market in the way we set out from the beginning. This, alone, made us dance joyfully. (I know…picture that, will you…)

 

A month later, she cancelled an oil change appointment...actually, I think she was a "no call, no show". When we called, we found that she had fallen ill with the flu. As she was local, and exactly the kind of customer we knew we wanted to be of service to, my service writer took it upon himself on his lunch to buy her a get well card, some hot soup, and a balloon, and deliver it to her door that afternoon. Total cost? About $10. Weird, I know, but seriously, how awesome do you think SHE felt about it?

 

What happened after that, and over the next 2 years was nothing shy of amazing. She has, without failure, come in EVERY FRIDAY with a plate of fresh, homemade cookies for us to leave out in our lobby for our other customers to share. Every week, for two years and counting! He cookies initially sat next to a well-articulated, printed letter she wrote, expressing her gratitude for “these weird mechanics who always seem to be more interested in the people who come in than the money they are hoping to make.”

 

As it turns out, she had a rotten experience with her last mechanic, and as we’ve all heard the story, vowed she’d never return there. Apparently they just didn’t seem to care about her…they only wanted her money, and over time, it became more and more evident to her & her family. Zig Ziglar (paraphrased) said that you can have everything you’ve ever wanted in life if you’ll just help enough other people get what THEY want. He’s right. We focus on serving the people that come in, not the “almighty dollar”. Focus on the needs of people, and the money will ALWAYS follow, I promise. Focus on the dollars, and you may make a few…but you’re falling short of your potential.

 

By the way, the customer described herein is married, has 3 college aged kids, and an elderly parent living with her. 6 cars. Six. In the last 2 years, we’ve collected almost $12,000 dollars from them for services provided, including 2 engine jobs. And she couldn’t care any less about the coupon in the paper at my competitor offering $10 off an oil change.

 

Just one man’s story.

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  • 3 weeks later...

Funny you mention it, I picked up zig ziglars book at the dump one day in the book share pile and it really changed my life. As soon as I focused on helping others get what they want, I mean honestly ingrained it into everything I do, my life changed for the better. Thanks for the post, very uplifting!

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  • Have you checked out Joe's Latest Blog?

         5 comments
      I recently spoke with a friend of mine who owns a large general repair shop in the Midwest. His father founded the business in 1975. He was telling me that although he’s busy, he’s also very frustrated. When I probed him more about his frustrations, he said that it’s hard to find qualified technicians. My friend employs four technicians and is looking to hire two more. I then asked him, “How long does a technician last working for you.” He looked puzzled and replied, “I never really thought about that, but I can tell that except for one tech, most technicians don’t last working for me longer than a few years.”
      Judging from personal experience as a shop owner and from what I know about the auto repair industry, I can tell you that other than a few exceptions, the turnover rate for technicians in our industry is too high. This makes me think, do we have a technician shortage or a retention problem? Have we done the best we can over the decades to provide great pay plans, benefits packages, great work environments, and the right culture to ensure that the techs we have stay with us?
      Finding and hiring qualified automotive technicians is not a new phenomenon. This problem has been around for as long as I can remember. While we do need to attract people to our industry and provide the necessary training and mentorship, we also need to focus on retention. Having a revolving door and needing to hire techs every few years or so costs your company money. Big money! And that revolving door may be a sign of an even bigger issue: poor leadership, and poor employee management skills.
      Here’s one more thing to consider, for the most part, technicians don’t leave one job to start a new career, they leave one shop as a technician to become a technician at another shop. The reasons why they leave can be debated, but there is one fact that we cannot deny, people don’t quit the company they work for, they usually leave because of the boss or manager they work for.
      Put yourselves in the shoes of your employees. Do you have a workplace that communicates, “We appreciate you and want you to stay!”
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