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Posted

Hi everyone,

In case you hadn't heard, here's something you need to be aware of...

AAA is making some changes, in the way they are doing business.

Within the last few years, AAA has decided to build their own company-owned facilities.

Here is a link, with an example of search results, drivers will see when they type in a zip code:
http://bit.ly/2bk7prG

Pay special attention to the search results marked (AAA Owned Facility).

The facilities are impressive and are gaining traction:
http://midatlantic.aaa.com/Automotive/ClubOwnedRepair/Aboutus/New

As you can see, their slogan is, "Auto Repair From A Name You Trust".

This is genius marketing, on their part...

Because customers equate the AAA logo, as a shop they can trust.

The other major change they've made is...

The new requirements for the AAA certification renewal.

Many shop owners did not read the fine print or notice the changes to the agreement.

In other words, the fine print requires certified shops to give AAA access to the shop's customer database.

The biggest concern is if you give them access to your customer database and then, they open a AAA Owned Facility, in your backyard...

They now have a built-in customer base they can market to.

What that means to you is...

This a major conflict of interest because now, they have all of your customers' information, which they can use to actively market and essentially steal your customers.

So, this is something to be considered, in deciding to continue to be affiliated, as a AAA certified shop.

Posted

AAA was running two locations near me, one in Union and the other in Edison. They have closed now, and they seem to be only running the travel/insurance locations now.

 

Our business does not command the double digit margins they expect to survive in a corporate environment.

Posted

In any given market, there are shops that have great reputations and

there are shops that don't.

 

The ones that don't have great reputations are the best advertisement

for the good ones because it helps you stand out, as THE one that

can be trusted to treat the customer fairly and take great care of them.

 

For example, we were working with a shop owner recently, doing an

onsite training. Within 2 blocks of his store, there was a huge

billboard from one of the biggest multi-location tire stores, in that state.

He was intimidated by the name, by their branding, their marketing,

their advertising, etc. He was scared that these guys were taking

away all of his business.

 

The other issue was the chain had a reputation for low-balling pricing,

which caused my client to think they needed to compete on price.

 

We convinced the owner (and his staff) that customers care about

price. However, price is not at the very top of the list, like they thought.

People will pay for great, trustworthy service.

 

As soon as they implemented processes that communicated Value

to every single customer calling on the phone and every single walk-in,

sales and profits increased dramatically.

So, "competition" can work to your advantage.

  • 3 weeks later...
Posted

AAA member shops make AAA look good not the other way around. I left them when they got too big brother, wanted my customer info, wanted to track them by OB11 devices, Selling my customers crummy batteries without me checking them out at our shop and not referring cars within a block of me to shops further away.

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  • Have you checked out Joe's Latest Blog?

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      It always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
      While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
      Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
      One last thing; the cost of technician turnover can be financially devastating. It also affects shop morale. Do all you can to create a workplace where technicians feel they are respected, recognized, and know that their work contributes to the overall success of the company. This will lead to improved morale and team spirit. Remember, when you see a technician’s toolbox rolling out of the bay on its way to another shop, the heart was most likely gone long before that.
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