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Posted

Unfair competition, it's just not fair!

You invest lots o money on tolls,equipment and training.

You create an excellent environment for the customer,work hard every day to have an excellent customer service and then comes the statement:

The guy down the street can do it for less!

I have 25 shops around me and at least 20 of them it's unfair competition. I'm always redoing their work, but people still goes back because of the price. They don't do any mark up on parts and only charge 35 dollars in labor to replace brake pads on any vehicle.

 

I did the math many times and it does not add up. How can they survive?

 

stressful!!!!!



Posted

I face it every day. Have complained to the state, county and local govt. Unlicensed shops working under the radar.

 

I'm sure I'll come off as being rude, but seriously? Complained to the state, county, and local govt? Did you try your parents too? I guess that attitude comes with living in a state that 'licenses' repair shops. <_<

 

Much like XRAC said, just outlast them. If you are fixing other shop's screw ups, you should be earning customers at that point. I don't have any customers that like getting something fixed twice, so most come to me to get it fixed right the first time. With that reputation, you can charge what you want (within reason). I would make sure to tell every customer 'This is what you get for price shopping'. Being nice and cutting them a break doesn't educate them at all on choosing a quality repair center over the 'shade tree mechanic' down the road.

Posted

Build value, build value, build value in your service and sales presentation. Sell the benefits of your service. Charge a fair price for your level of service and if they won't let you make a profit be glad they went somewhere else.

Your webpage and shop look good. I can tell you are doing a lot of things right. If you are having trouble closing sales, my advise would be customer service / sales training. Customers focus on price because that's all they know to ask. You have to point out the advantages for them doing business with you. If it was easy everybody would do it. We have to work hard at it every day. Also Marketing to the right demographic helps. I understand the frustration. I wish some shops would close and eventually they will.

Posted

when I first opened I had the same problem. Eventually I stopped caring what the mobile guys and backyard scam artists were doing and just focused on my own shop. The screw-ups the cheap guys made I was able to fix and that slowly is building my customer base. And the customers who just want a deal and spend no money, well let the cheap guys have them. Let them be someone elses headache. Just keep your head and spirits up :)

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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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