Quantcast
Jump to content

Free Service Continues to Plague Repair Shops

Joe Marconi
 Share

Recommended Posts

Gary A Community Regular

Gary A

Posted
Posted

I have a good customer that bought 4 Ford edges for his family. used late model. They claim that they are getting everything for free. brakes tires everything. I am going to try to monitor this one closely to see see exactly what they are getting.

  • Like 1
Spence Enthusiast

Spence

Posted
Posted

Because of the storm this week I made it a point to meet and speak with every customer who managed to come in. Many came by to check their car for damage, some even stopped by to charge their cell phones, since they had no power.

 

I spoke to a number of customers with new cars and asked them why they haven’t been in for service, but only for State Inspections and other minor issues, such as a tire light on. They told me it was due to their free service at the dealership. These car makes included; Toyota, KIA, Subaru, Volvo, and Audi.

 

I know this has been brought up before, but the question is, “How do we compete with free?” Another question is, “What is free?” Many consumers don’t realize that the oil change is the only freebie. The customer will pay for items such as tires, brakes, tire rotation, air and cabin filters and wipers. In fact, one customer showed me her 15k service on her Subaru which included spark plugs, transmission service, coolant service, tire rotation air filter, cabin filter and a whole lot more. That’s a 15k service! HOW'S THAT FOR FREE SERVICE, RIGHT?

 

So how much did the 15k service cost this Subaru customer?

 

We know what goes on, but the consumer does not. Why they can’t see thru the smoke and mirrors will remain a mystery, but the sad fact is that we may be losing the battle to this false marketing that anchors customers to the dealership.

 

A battle worth fighting! Staying in touch and asking to see work receipts is a good start! Look for the loop holes that the customer doesn't see and point them out. If the dealership ploy is exposed then the trust is lost also.

 

I don’t mind healthy and fair competition, but the questionable disguise of FREE service casts a voodoo-like magic over the consumer. It’s amazing how they recite the words from the sales person, “Everything is free, everything is free, I was told everything is free”. And when questioned about what exactly is free, they stare at you in silence.

 

That stare is your chance. You need the info I mentioned above and more to fill in the blanks of that blank stare.

 

So, how do we compete with Voodoo Free Service?

 

 

Thanks for bringing up the topic. Hopefully it will stir the pot with some better tactics of our own.

 

 

Spence Enthusiast

Spence

Posted
Posted

I have a good customer that bought 4 Ford edges for his family. used late model. They claim that they are getting everything for free. brakes tires everything. I am going to try to monitor this one closely to see see exactly what they are getting.

 

Looking forward to what you find out Gary.

GobblesAuto Contributor

GobblesAuto

Posted
Posted

A good customer of mine just bought two new Hondas. They come with lifetime powertrain warranty if all the maintenance is followed and performed by the dealer.

 

This is difficult to compete with

Spence Enthusiast

Spence

Posted
Posted

Besides the two posts I made so far on this subject I wanted to add.

 

1. I have seen this in a couple different formats. By that I mean the free service was only at the dealership the car was sold at. Other makes it is with the manufacture and it is good at any of their dealerships.

 

2. If a customer owns 3 different makes... Lets say a Ford, a Chevy and a Toyota. And the Ford gives the so called FREE service. If that customer trys to take in their Chevy or Toyota could they get "FREE" service? Not likely and that speaks volume It means they are paying for it when they bought the car. Do they really want to deal with a place that pulls sneaky tricks like this? Or do they figure since I paid I should go back and get as much as I can?

 

3. Before the OE's had this so called FREE service oil changes where at 3,000 to 5,000 intervals. Have you noticed since they have been paying (meaning the OE's) that their oil change lights come on around 12,000 to 15,000? The cars are junk and don't last as long. Sounds like a good program for selling the next car if you ask me. Have you pointed this out to your customers?

 

4, Being as scheduled maintenance is pay and oil changes are free. Prices are a game where they hide some of this crap.

 

5. Dealer Techs are not happy. I have spoken with quite a few. Try doing the same and see if you are getting the same in your area. The so called FREE has been passed on to the techs. They are not getting the same time to do some of this work that they use to. This could backfire soon.

 

Good,,, No great subject to discuss!

Spence Enthusiast

Spence

Posted
Posted

A good customer of mine just bought two new Hondas. They come with lifetime powertrain warranty if all the maintenance is followed and performed by the dealer.

 

This is difficult to compete with

 

At what cost is this maintenance?

5 Star Auto Spa Community Regular

5 Star Auto Spa

Posted
Posted

Joe,

 

Did you respond to the customer that had the 15K service done with all of that "extra" work performed at the dealership? I would like to hear how you have been responding to customers on this topic.

Spence Enthusiast

Spence

Posted
Posted

Yes, I explained to her that the 15k service the dealer sold her was a "Dealer written" service, not the factory service. I also added that many of the services she had done, were not needed at that mileage.

 

But people react funny when you present them with the facts, especially if they think you are questioning their decision. It becomes a power play, they almost want to defend their decision, rather than admit they were misled.

 

The more I spoke the more I could see the anxiety increase in her face, so I explained to her (and showed her) the factory schedule. But again, it becomes MY WORD against the DEALER'S WORD. And while deep down I put doubts in her mind, ego tends to cloud people's view and that FREE thing keeps coming up as a way to rationalize everything else. She actually said at one point, "Well I guess they got to sell you something for all the free stuff they give you".

 

This is a tough one, tough for me at least. The dealer has an advantage because the sell the car and more and more dealers understand that if they get the customer to come back for service, they not only increase the overall profit of the dealer, they greatly increase the odds that the customer will buy another car from them in the future.

 

My question still remains... Did she have to pay(which I think you answered here) and if so how much?

Spence Enthusiast

Spence

Posted
Posted

She did not have the invoice with her from the dealer, but she said that she did everything that was listed on the dealer 15k. She would not tell me what she spent, but said it was "a lot".

 

I think it was a good move to back off a bit when talking to her. The comment she made as "a lot" speaks volume! I doubt she feels it a good value. This may be the angle to go at.

 

Give her a week and make a call to show her you have been thinking of her and wanted to thank her for taking the time to share. It'll keep your face in front of her as a caring shop owner and the dealership thought she has for what it is. You have a leg up on the dealership though you might not feel it right now. She came to you and seems to show trust. She seems to also have a distrust for the dealership from how you are telling the story. Build on this.

 

The next question I have is what is this customer worth to you? Put a realistic value for a year. In other words start thinking what a customer is worth to you per year. Not just this one but any of them. Would it be worth 40 or 50 bucks to re gain her business to you? Think on that...

 

I think I'll stop there for now, Thanks for the response Joe.

 

Spence

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share
Go to topic listing

  • Available Subscriptions

    See all Subscription Plans

  • 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.

  • Similar Topics

    • Joe Marconi
      Many Shops Have Raised their Labor Rates, But Still Struggle!
      By Joe Marconi

      Premium Member Content 

      This content is hidden to guests, one of the benefits of a paid membership. Please login or register to view this content.

    • Changing The Industry
      Why Car Repairs Feel Like a Scam
      By Changing The Industry
      Why Car Repairs Feel Like a Scam
    • carmcapriotto
      Reframing [E019] - Speak Up!
      By carmcapriotto
      Thank You To Our Partners, The Institute, AutoFlow, AutoLeap, Shop Dog Marketing and In-Bound
      In this episode, Craig O’Neill tackles the all-too-familiar feeling of “I’m not ready for this.” It’s a common feeling that is shared among speakers or presenters.  In Episode 18 with Kent Bullard - the topic of “Imposter Syndrome” also came up - and in many ways this episode carries thoughts from that robust and enjoyable conversation.
      Craig tackles this topic with a thought process that occurred to him after revisiting episode 2 of Speak Up.  In his conversation at AAPEX 2023 with Carm Capriotto and Matt Fanslow Craig recapped Alan Deutschman’s Change or Die book where the three keys of change are introduced as Relate, Repeat, and Reframe.
      This episode is NOT about change management.
      It is about frames.
      To illustrate what reframing can do - Criag uses an example from his hesitation to rush into the holidays that same sentiment introduced at the begining… “I’m not ready for this!” 
      Curious how on earth public speaking nerves can be connected to reframing holiday stress?  You simply must listen to this yourself. 
      Craig reframes the holiday season, breaking it into three phases: Gratitude, Giving, and Growth. By shifting his mindset, he found a way to embrace the season in its sensible order with more readiness and joy. Tune in for stories, insights, and some robust reframing to help you reframe your purpose in speaking- away from obligation and make it more about being thankful for what you have to give, and how it helps you and others grow.
      This episode among all the topics covered is a jovial good time, we know it will encourage you to plan on attending the next summit coming up very soon in February 2025!  
      Join Kent, Craig, and the really, all the sponsors of Speak Up at the Summit 2025! https://www.wearetheinstitute.com/summit/
      Watch the YouTube Video Diagnosing Communication Problems A to Z with Matt Fanslow [E002]: https://www.youtube.com/watch?v=ByGYRFpH6Eo&t=3s Join Our Virtual Toastmasters: https://remarkableresults.biz/toastmasters
      Thank You To Our Partners, The Institute, AutoFlow, AutoLeap, Shop Dog Marketing and In-Bound:
      The Institute at WeAreTheInstitute.com.  "Stop stressing over your business, you deserve a good night's sleep. The Institute’s coaching helps you achieve success and financial peace.
      AutoFlow at AutoFlow.com. Your partner in technology, Autoflow consolidates your client interactions - before, during and after the visit to a single thread. Learn more at Autoflow.com
      AutoLeap at AutoLeap.com. Are you tired of juggling multiple tools to manage your auto repair shop? Say hello to the streamlined efficiency of AutoLeap, the #1 all-in-one Auto Repair Shop Management Software!
      Shop Dog Marketing at Shop Dog Marketing.com. "Want to see your auto repair shop thrive? Let Shop Dog Marketing be your guide. Our customer-first approach, combined with AI-driven creative content, ensures top rankings.
      In-Bound at CallInBound.com. Cover your communication needs and revolutionize your auto repair business with AI-driven call analytics from InBound.
      Contact Information
      Email Craig O'Neill: [email protected] Join Our Virtual Toastmasters Club: https://remarkableresults.biz/toastmasters
      The Aftermarket Radio Network: https://aftermarketradionetwork.com/
      Remarkable Results Radio Podcast with Carm Capriotto: Advancing the Aftermarket by Facilitating Wisdom Through Story Telling and Open Discussion. https://remarkableresults.biz/
      Diagnosing the Aftermarket A to Z with Matt Fanslow: From Diagnostics to Metallica and Mental Health, Matt Fanslow is Lifting the Hood on Life. https://mattfanslow.captivate.fm/
      Business by the Numbers with Hunt Demarest: Understand the Numbers of Your Business with CPA Hunt Demarest. https://huntdemarest.captivate.fm/
      The Auto Repair Marketing Podcast with Kim and Brian Walker: Marketing Experts Brian & Kim Walker Work with Shop Owners to Take it to the Next Level. https://autorepairmarketing.captivate.fm/
      The Weekly Blitz with Chris Cotton: Weekly Inspiration with Business Coach Chris Cotton from AutoFix - Auto Shop Coaching. https://chriscotton.captivate.fm/
      Click to go to the Podcast on Remarkable Results Radio
    • Joe Marconi
      Who Has Changed Their Shop Management Program Recently? Happy? Not so Happy? Or?
      By Joe Marconi

      Premium Member Content 

      This content is hidden to guests, one of the benefits of a paid membership. Please login or register to view this content.

    • Changing The Industry
      Transforming Customer Service with Insights from Great Books #podcast #autorepairbusiness
      By Changing The Industry
      Transforming Customer Service with Insights from Great Books #podcast #autorepairbusiness


  •
    Joe Marconi

    Money Isn’t The Motivator We Think It Is

    By Joe Marconi, in Automotive Management,

    0 comments 262 views
    Joe Marconi

    Isn’t It Time We Rethink What a Master Level Technician Is?

    By Joe Marconi, in Automotive Industry,

    1 comment 366 views
    Joe Marconi

    Five Proven Tips to Improve Your Bottom Line

    By Joe Marconi, in Selling Automotive Repair,

    0 comments 368 views

  • Our Sponsors



Main Sections

More Sections

Discussion Forums

×
×
  • Create New...