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Are You Sure You Want to Charge Your Customers A Fee for Using Their Credit Card?

Joe Marconi
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pfseeley442 Explorer

pfseeley442

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Years ago I figured out what cards cost and added the proper amount to my labor rate. Very easy. I have a friend who owns a shop and did the cash discount or pay a fee on the credit card. His first month he had three bounced checks. I asked him how did that work out for you ? LOL    Customers just want the bottom line. All the extra fees agravate me, IE: $10 fuel charge to deliver oil. 

 

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RYAN B Apprentice

RYAN B

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Joe. I thought the exact same way, our credit card processing fees were over 45000 a year! We charge and now we are getting more checks and cash, but I am able to not charge the fees at my discretion! I hate to say but people are getting educated on paying the fee.  It's hard, I did a cylinder head on a Jeep last week the bill was over 4000, the fees would have been over 120.00, customer was told and they wrote a check, it's getting harder to hide and eat those costs. 

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RYAN B Apprentice

RYAN B

Posted
Posted

Joe, In our area the dealers are now charging by the 1/2 hour and they are also charging the fees as well! most dealers around here are 180 dollars and hour!

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  • 3 months later...
RYAN B Apprentice

RYAN B

Posted
Posted

We have been charging for the last 3 to 4 months, but I do have the option to eat the charge. Its hard but I do explain it to the customer and I have a sign up. I don't charge shop supplies but I do charge for Oil and filter disposal and tire disposal. You have to pick and choose and the credit card fees you can validate versus  charging shop supplies. I always felt the shop supplies were a necessary charge but I always heard a lot of grief from it.

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  • Have you checked out Joe's Latest Blog?

    • Joe Marconi
      The Toolbox is Last to Leave, First is the Heart
      By Joe Marconi in Joe's Blog
         0 comments
      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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      How To Get In Touch
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      Website - shopmarketingpros.com 
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      Get the Book - shopmarketingpros.com/book
      Instagram - @shopmarketingpros 
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      Thanks again for listening to The Auto Repair Marketing Podcast on Aftermarket Radio Network. There are some other great shows on the network and you can find them at AftermarketRadioNetwork.com or on your favorite podcast listening apps like Spotify, Apple Podcasts, Google Podcasts, and many others


      Tune in for another episode next week. Until then, go fill those bays!
      Talking Points


      General Topics for April:
      April showers bring may flowers - wiper blades, Aquapel, tires Continuing the theme from March Spring maintenance and cleaning Pot holes - winter damage Change back to summer tires Continue with the tax refund talk
      Days of the Year - Monthly Themes
      April is the first of the two National Car Care Months VEDA - Video Every Day in April


      Days of the Year - Weekly Themes
      National EMS Week


      Days of the Year - Daily Themes
      4/1 April Fools Day 4/2 National Ride Your Horse to a Bar Day 4/3 National Burrito Day 4/4 World Rat Day ⅘ International Pllow Fight Day ⅘ National Read a Road Map Day 4/12 National Grilled Cheese Sandwich Day 4/15 National That Sucks Day 4/17 National Auctioneers Day 4/20 Easter 4/22 National Jelly Bean Day 4/28 Clean Comedy Day 4/29 Viral Video Day














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