Elite Worldwide Inc.

We wanted to give all shop owners out there a heads up that Elite’s Online High Impact Sales Course begins on April 4th. There are only 100 seats available on a first come, first served basis. Because the course is sponsored by JASPER Engines & Transmissions, JASPER customers receive an exclusive discount! Please find the course details below, and if you have any questions at all, feel free to contact us or give us a call at 800-204-3548. Hope to see you there! Online High Impact Sales Course details: Course web page: http://www.eliteworldwide.com/event/633/online-high-impact-customer-care-sales-course-april.html Content that will be covered: Selling multiple repairs & big ticket items Selling diagnostic testing & maintenance Building powerful relationships in 60 seconds Overcoming the most challenging sales objections Generating higher sales and happier customers Generating more repeat and referral business Presenting service recommendations in a way that makes customers want to buy Note: Course will come with a workbook, homework assignments and testing to ensure accountability and lasting results Presenters: Jen Monclus and Doris Barnes of Elite Price: $179 (JASPER customers receive a $50 discount) Course Dates and Times: Session #1 – April 4, 10:00am–10:45am PST Session #2 – April 11, 10:00am–10:45am PST Session #3 – April 18, 10:00am–10:45am PST Session #4 – April 25, 10:00am–11:00am PST (optional AMI testing at end of session)

By Chris Monroe of Elite We have all felt that empty feeling in our gut when a client walks back in the door with the “look” shortly after installing that new set of tires on their BMW. As they uncomfortably begin to describe some rim damage that didn’t exist when the car was dropped off…yuck. Yes, you have policies in place to address such situations, but for whatever reason, the training on quality control has failed and now you are left to deal with the fallout. What next? It is obvious there is a quality control issue that must be addressed, but how you take the next steps are very critical to the image of your business, as well as the credibility of your team. The first step is to remain calm while reviewing with the client their concerns. Walk out to the vehicle and allow them to express what they feel is of issue. Once you have listened and observed with sincerity, start the process of restoration. In our case, we had an incorrect set up on the tire machine with a low profile run-flat that ultimately allowed contact with the rim. This scratched the lip in multiple places. In addition, the technician continued with the installation without stopping to involve the advisor so we could get in front of the issue with the client. The technician did tell the advisor, but the timing was such that the client looked at the assembly on the car prior to checking out. Imagine how much easier this would have been had the advisor gotten to the client immediately to make them aware and assure them that we would professionally restore or replace the wheel. Needless to say, I spent the next day with each and every technician reviewing the situation and the importance of why we have policy and process in place. Our technicians are now well aware of what to do (stop immediately and report the issue to the advising team) if damage occurs or could occur to a client’s vehicle, and understand the importance of getting in “front” of these concerns. A better example this week where a technician wisely notated worn lug nuts and a partially damaged center cap “before” we began work. He gave the advisor a quick heads up that enabled a client visit to the vehicle to see in person and discuss the concerns. Not only did we replace the brakes on the car, but also replaced 20 lug-nuts and 4 center caps! The service concluded with the client scheduling another vehicle for service and thanking our team for being honest and helping resolve the issues. (This ain’t rocket science folks) If you are in the automotive service business, incidents can and will happen. Coach and train your team on how to handle these situations, and demonstrate how important timing is with advising your client. Your shop's reputation and credibility ride on it. This article was provided by Chris Monroe, an industry leading shop owner who recently won the 2018 Tire Dealer of the Year Award, and a Business Development Coach who helps other shop owners reach their goals through the Elite Coaching Program. View full article

Superstar sales trainer Jen Monclus reveals 5 steps that your service advisors need to follow to overcome even the most challenging sales objections shared by your auto repair customers: For additional help generating happier customers and higher sales, learn more about Elite's industry acclaimed Masters Service Advisor Training Course.

If you want to build a more profitable, successful auto repair business, you’ll need to make sure that every single employee has a clearly defined, written job description. If you’re a shop owner who has a manager in place, then here’s a list of things you will need to include in their job description. 1. They must know the goals of the company, as well as all of the relative Key Performance indicators. For example, when it comes to the company goals, they’ll need to know the long-term goals, as well as the annual, quarterly, weekly and daily goals. They will also need to know the goals for car count, sales, ARO, customer retention and satisfaction, gross profit, technician productivity and efficiency, and taxable income. 2. All shop managers must embrace the mission and culture of the company. The mission is why you do what you do, and the culture is the glue that holds your team together. For example, the mission may be to be to better your community, and the culture of your company may be defined by your shop’s ethics. 3. Shop managers need to ensure that they have a team of superstars, and they need to know how to keep their employees operating at peak performance. This means they’ll need to know the minimum levels of acceptable performance for each position, and all company policies. They will also need to know how to hold effective team meetings and perform reviews, and how to deal with every type of employee issue. 4. Shop managers need to know how to effectively manage customer concerns, and have a firm grasp of the situations that warrant contacting the shop owner, or their designated superior. 5. Shop managers must know how to properly secure the facility, vehicles, cash, checks, credit card information, all customer information and all employee records they have access to. 6. All shop managers must be able to properly maintain equipment, and process both customers and vehicles in a safe and efficient manner. This includes managing the shop’s labor inventory and expenses, properly assigning and dispatching work, and complying with all governmental requirements. 7. All shop managers need to know how to report to the shop owner, or their designated superior. We understand that every shop owner will have different reporting requirements, but at a minimum the manager should be required to provide a daily report on all relative KPI’s, violations of company policies, and customer concerns. This reporting must also include scheduled meetings with the owner (or their superior) to discuss the performance of the business and their recommendations for improvement. 8. At Elite we realize that there will be limitations on the control and authority assigned to the manager, but regardless, they must be held accountable for the overall success of the business. If the manager feels there is something that is holding the company back, or causing harm to the brand in any way, they have an ethical responsibility to advise the owner or their superior immediately. 9. All shop managers must effectively manage their time and tasks. They need to ensure they have a daily plan in place that allows them to remain focused on their goals, roles and responsibilities. 10. Shop managers must accept the fact that it is their responsibility to provide leadership to all the employees. They can fulfill this requirement by remaining focused on the goals of the company, fulfilling the requirements of their job description, treating all others in a professional way, and behaving in a manner that reflects that they will never compromise their ethics, show preferential treatment, or put money ahead of people. Since 1990, Bob Cooper has been the president of Elite, a company that strives to help shop owners reach their goals and live happier lives, while elevating the industry at the same time. The company offers coaching and training from the industry’s top shop owners, service advisor training, peer groups, along with online and in-class sales, marketing and shop management courses. You can learn more about Elite by visiting www.EliteWorldwide.com, or calling 800-204-3548. View full article

By Bob Cooper If you speak with most shop owners they’ll tell you that they think their shop is worth x amount of money. Ask them how they came up with that number, and they’ll tell you it’s based on what they heard another shop sold for, or it’s predicated on their annual sales. But if you really want to know what your shop is worth, first of all, forget everything you’ve heard about “goodwill” and the fact that you have thousands of names in your database. That’s icing on the cake, but it’s not something a buyer can take to the bank. And although there is some value associated with some franchise names, there are two things that are most important to a buyer: the “tangible assets” and the “income history.” Tangible assets are things like real estate, cash in the bank, secured receivables, inventory and equipment. To put it another way, these are the assets that buyers could turn into cash if they had to. When you’re establishing the value of your inventory and equipment, bear in mind that the actual appraised value may very well be far less than what you originally paid. So tangible assets are always number one. In regard to “income history”, we all know that past performance is no guarantee of future performance, yet the substantiated income history of a company is what buyers can use to forecast earnings. And don’t forget: The amount of money the “company” made does not include any income you’ve drawn out of the company as a salary. The company’s income is the amount remaining after all expenses, including your salary, have been considered. So imagine you’re looking to buy a shop, and let’s say the tangible assets are worth $400,000. In addition, let’s say the shop has a history of generating $100,000 in annual income after all expenses, and let’s say the owner has been drawing a salary of $80,000. So if you were to buy that shop, how much would you be willing to invest? Well, only you can answer that question, but I hope you take these 6 points into consideration: 1. If you were to liquidate after you purchased, how much could you sell the assets for? I call this the “street value” of assets. 2. How long has the company been in business, how long have the key employees been with the business, and what’s the probability that these key employees will stay on once you buy? 3. What is the probability of the company continuing to earn the same $100,000 in annual profits, and for how long? 4. In regard to the $80,000 salary the owner was taking, would you be willing to do what he or she does for the company for the same amount? Or will you be able to hire someone to do that job for the same or less? 5. If you were to invest the same amount of money in any other business or investment vehicle, would you receive a better return? 6. What are the terms of the purchase price? You may be better off to pay a higher price in return for a lower down payment, good financing rates and a non-compete. So, how do you establish the value of your business? Not by the icing (goodwill and number of names in your database), but by looking at it through the eyes of both a banker and a buyer. Since 1990, Bob Cooper has been the president of Elite, a company that strives to help shop owners reach their goals and live happier lives, while elevating the industry at the same time. The company offers coaching and training from the industry’s top shop owners, service advisor training, peer groups, along with online and in-class sales, marketing and shop management courses. You can learn more about Elite by visiting www.EliteWorldwide.com, or calling 800-204-3548. View full article

We just wanted to share the quick update that this webinar has only a few available seats left, and that all attendees will be receiving the Elite Employee Meeting Checklist, at no charge! We're looking forward to a great event! Have a nice weekend, The Elite Team

In this quick video Elite's Doris Barnes shares a proven, easy-to-apply recruiting tip that all shop owners should be using:

By Bob Cooper A while back I had the opportunity to interview over forty people for a panel of customers. My intent was to discover what drives their decisions in choosing an auto service facility, how they make their purchasing decisions, and the follow up they would like to see after bringing their vehicles in to a shop. I spent well over an hour with most of these prospective panelists, so I had the opportunity to learn many amazing things. I would like to take a moment to share one of the most valuable insights I was able to obtain from these interviews…. Regardless of the length of time the people I interviewed had been patronizing the same independent repair facility, one of the questions I asked each of them was, “If a service advisor told you that you needed a complete transmission or an engine, would you authorize repair?” The overwhelming majority of the people I interviewed said that before they would authorize such an expensive repair, they would first contact the dealership or a transmission shop. When I asked why, the standard response was, “Bob, you have to understand that a transmission or an engine can be pretty complicated, so I’d want talk to an expert first.” I came to a number of conclusions after speaking with all of these customers. First of all, most independent repair shops are not doing a good enough job of educating their customers on their level of competency and skill. Secondly, your customers are no different than you are when it comes to looking for expert advice. Look at it like this… Imagine you have been going to the same doctor for years, and have a tremendous amount of faith in that doctor. Then imagine that doctor told you that you had a problem with your lower back. Even though your doctor may be very skilled with lower back problems, and possibly even better skilled than many orthopedic surgeons, I suspect you’d still feel more comfortable speaking with an orthopedic surgeon. Why? Because they’re viewed as the “experts” when it comes to back problems. Believe it or not, your customers are no different. If you have a general auto repair shop, they’ll look at you like they look at their friendly family doctor—good for most things, but not necessarily the expert. The “expert” perception plays a huge role in how brake shops are able to generate new customers. You might think they attract customers by offering low-priced brake services, but in reality that’s not the case. The reason they are continually able to bring in customers is because the motoring public perceives them to be what they are looking for: the brake experts. So here’s my suggestion to you: if you want to build a more profitable, successful business, then one of the things you’ll need to do is brand yourself as the “expert” in every way that you can. Those of you that have specialty shops, such as transmission shops, brake shops, etc., should incorporate the word “expert” into all of your marketing campaigns. Those of you who have general auto repair facilities should use terms such as “The SUV experts”, “Toyota experts,” etc. Your customers are looking for an expert for all aspects of their lives, so when it comes to auto repair and service, make sure that they know in very clear terms, it’s you. Since 1990, Bob Cooper has been the president of Elite, a company that strives to help shop owners reach their goals and live happier lives, while elevating the industry at the same time. The company offers coaching and training from the industry’s top shop owners, service advisor training, peer groups, along with online and in-class sales, marketing and shop management courses. You can learn more about Elite by visiting www.EliteWorldwide.com, or calling 800-204-3548. View full article

By Bob Cooper Far too many shop owners are so determined to make a certain percentage of gross profit on each job, that they lose sight of profitability, as well as customer service. I’m talking about the people who judge their success by percentages rather than dollars. These are the shop owners that are so busy trying to squeeze every last penny out of every job that they forget about the dollars being lost at the same time. Sure, your technicians can take that transmission apart and rebuild it, but with rare exception, most shop owners will install a replacement, right? Does the replacement cost more than the sum of the parts and labor it would take to rebuild or repair or the customer’s transmission? Typically it does. But with the exchange unit, you don’t need technicians who are skilled at rebuilding transmissions, they have typically been dyno-tested so there is less risk of initial failure or a comeback, the warranty is off-loaded to the remanufacturing company, and your customers are happier since they get their vehicles back faster. Now here’s the part that most shop owners miss. With the installation of exchange remanufactured components, whether it be drivetrain components, brake system components, or steering components, the vehicles and the customers are out of your service bays faster, which means you can now start on the next jobs sooner. While there is typically less profit on the “job,” by installing the exchange component, there is a whole lot more profit per hour, and there is no doubt that profit per hour is the real secret, in any business. Just look at companies like Costco. They operate on razor thin margins, but they generate staggering per hour sales, and happy customers, at the same time. Over the years I’ve helped many shop owners realize that time is money, and understand just how profitable it is to install exchange remanufactured units. Not only have they been thrilled with the results, but today the overwhelming majority of the transmission shops that Elite works with have now made exchange remanufactured units a large part of their businesses. Why? Because they realize that in today’s world, turn-around time is critical to most customers. Exchange units skyrocket tech productivity, and they lessen the shop owner’s dependency on highly skilled labor. When you think about it, you’re actually outsourcing a good part of the labor that’s required, and for those of you that are in areas where you are dealing with high labor cost, the associated cost of workers compensation insurance, etc., this in itself can save you a fortune. In essence, your shop may be in New York or California, but your technicians are working…in the Midwest. So let’s look at some numbers. If you are working on a 15% net, and if you sell an in-shop transmission rebuild for $3,000, you’ll earn $450 ($3,000 X .15). But what you’ll need to give up for that profit is 10 hours of time (R & R, rebuilding, etc.), plus you’ll have the liability of the warranty. Divide that $450 profit by the 10 hours you spent on the job, and you’ll see you’re earning a net of $45 an hour. Now imagine that instead you decided to install a remanufactured transmission that brought a $250 net rather than the $450. At first it might not sound like the right choice to give up the $200 in net profit, but then you consider the all-important profit per hour. In this case, the vehicle was in your shop for only 4 hours (vs. 10) so your profit per hour is $62.50 rather than $45. A nearly 39% increase! And good gets even better, because while your competitors are busy trying to figure out why the rebuild kit they just received doesn’t have all the right parts, you have a happy customer back on the road, and you’re now helping your next customers solve their problems. So in conclusion, for those of you who are interested in generating a higher “percentage” of profit, there’s no doubt that the old way of doing business may still work for you. As a matter of fact, you may be able to tell all of your friends that your profit percentage is a really good number. But for those of you that are interested in generating higher incomes, what you need to do is find the right suppliers and take advantage of the benefits of installing exchange remanufactured components whenever possible, because one thing is for certain: No matter how you run the numbers, the one thing that you can’t take to the bank… is percentages. Since 1990, Bob Cooper has been the president of Elite, a company that strives to help shop owners reach their goals and live happier lives, while elevating the industry at the same time. The company offers coaching and training from the industry’s top shop owners, service advisor training, peer groups, along with online and in-class sales, marketing and shop management courses. You can learn more about Elite by visiting www.EliteWorldwide.com, or calling 800-204-3548. View full article

By Bob Cooper If there is one thing our industry has done since the very beginning, it’s put technicians into the role of service advisors. The rationale is that they have a good understanding of automobiles, which will enable them to be competent advisors. Unfortunately, that’s the furthest from the truth. Although an in-depth understanding of automobiles can be an asset, there are a number of other things you should consider before offering a service advisor position to one of your techs. First and foremost, you need to consider why they want the position, or why you are offering it to them. If they suggested they would like to become an advisor because it has become difficult to work on cars at their age, then they may very well be the wrong person, because they are looking to become an advisor out of necessity rather than interest. The same is true if you are looking to move a tech into an advisor position when that tech has shown little interest in becoming an advisor in the past. Two of the most common mistakes we see at Elite are shop owners making this hiring decision out of necessity rather than interest, or out of desperation rather than inspiration. In either case, there is a high probability of failure. Another major mistake we see made by shop owners is they put far too much value on the technician’s technical skills, and far too little value on the tech’s natural people talents, and their passion for the position. Unfortunately, these owners don’t understand just how important the people skills component is to an advisor’s success. So here is what I am going to encourage you to consider before you offer one of your technicians a service advisor position. First of all, when it comes to selling auto repairs and services, bear in mind that natural talent trumps technical skills every time. Talent can’t be taught, but skills can, so if your tech doesn’t naturally smile, doesn’t have a positive attitude, or is not quick-witted and articulate, then they may do a fair job for you, but they will never be the advisor that keeps you ahead of your competitors. You will find there are a number of companies that offer online behavioral assessment testing to evaluate the sales potential of candidates, and I would strongly encourage you to take advantage of this type of testing. You will more than likely be surprised with what you discover. Secondly, you will need to evaluate how well he or she will be accepted in the advisor role by your other employees. If the candidate has a good relationship with your other employees, and if you feel your employees will be willing to take directions and orders from the candidate, then they may very well be a good fit for an advisor position. The third thing you will need to do is avoid overselling the position to the candidate. In addition to knowing the benefits of the position, they’ll need to know all of the negatives as well. In essence, you want to make sure that there are no surprises. We also encourage all of our clients to get the significant other of the candidate involved in the decision making process. As we say at Elite, “When you hire Larry, you get Mary”, so you will need to ensure that their spouse is also onboard with the new position. Lastly, I hope you do two other important things if you decide to have one of your technicians take on the role of service advisor. First of all, take them for a test drive by having them help you on the counter, and pay close attention to their people skills, how well they are able to manage their emotions, and how they deal with difficult situations. Secondly, if and when you put that tech on the service counter, remember, training trumps productivity. What that tech will need more than anything is professional sales training, encouragement from you, and the opportunity to become… a superstar. Since 1990, Bob Cooper has been the president of Elite, a company that strives to help shop owners reach their goals and live happier lives, while elevating the industry at the same time. The company offers coaching and training from the industry’s top shop owners, service advisor training, peer groups, along with online and in-class sales, marketing and shop management courses. You can learn more about Elite by visiting www.EliteWorldwide.com, or calling 800-204-3548. View full article

By Bob Cooper We all know that the industry is continuing to evolve, and you will be seeing your customers less often as time goes on. Accordingly, you will need to find ways to keep your service bays full. One way is through commercial accounts, which we will call fleet accounts. Now I realize that fleet accounts may not be practical for some of you, but for those of you who are open to servicing such accounts, here are some tips you may want to consider… First of all, many shop owners shy away from fleet accounts because they feel they’re not profitable, and I can understand how they would feel that way. But don’t forget; you set the pricing, not the customer, and there are many business owners who are willing to pay a fair amount for quality repairs and service. Ironically, there’s a perception that in order to be competitive in servicing commercial accounts, you have to come in with the lowest price. Yet in reality, that’s not the case. When I was still operating auto repair shops, I discovered that fleet owners and managers are most interested in quick turnarounds and quality repairs that keep their vehicles on the road. There is no question that with commercial vehicles time is money, which is why every fleet manager knows that vehicle downtime costs them a fortune. Fleet owners (and managers) need to know that their vehicles will be turned around quickly, so you may want to give them a guarantee when it comes to the turnaround time. You should also bear in mind that your warranty will play a strong role in their decision, because it will send two messages. First of all, it will let them know just how confident you are in your repairs and services, and secondly, it will give them the peace of mind they need in knowing that if one of your repairs fails, they won’t be facing additional expenses. Now we all know that there will need to be some conditions in place with your warranties, especially with commercial vehicles, but your basic warranty needs to be good enough to put the customer at ease. Something else that I discovered over the years is that fleet owners and managers are busy doing what they need to do with their businesses, so the more hassle-free the service and repair experience is, the more open they will be to your proposal. This leads me to the best-kept secret to landing the right fleet accounts… What you need to do is put your entire proposal in writing. Fleet owners and managers have been duped in the past in many ways, but one of their biggest challenges is that as soon as they switch service providers, they find that a month or two later they’re faced with huge price increases. This is why you need to clearly outline the prices for the more common repairs and services you’ll provide, and you should guarantee those prices for one full year. You should also clearly outline your warranties, towing provisions and pricing, inspection services, turnaround time and any employee discounts that you elect to include. Now before I go any further, I know that many of you are thinking that even if the account takes you up on your offer, the margins are going to be thin. I would be the last to disagree, but I also hope you consider that because the services are pre-sold, your efficiencies will naturally improve. Secondly, most advisors are more than willing to earn a little less on these accounts because the jobs are pre-sold, and thus do not require the same investment of their time. Now here comes the best part: beyond having all of the fleet account employees exposed to your brand, the account’s brand is now promoting you. To put it another way, just think of how much more powerful your image and automotive repair marketing campaigns will be when the people in your community know that many of the community’s prominent business owners turn to you as the best choice when it comes to repairing and servicing their vehicles. I am sure you will agree; that kind of name association is priceless. So, can fleet accounts work for you? Only you can answer that question, but one thing is for certain: now that we are seeing customers less frequently, fleet accounts will be an integral part of many successful shops in the coming years. Since 1990, Bob Cooper has been the president of Elite, a company that strives to help shop owners reach their goals and live happier lives, while elevating the industry at the same time. The company offers coaching and training from the industry’s top shop owners, service advisor training, peer groups, along with online and in-class sales, marketing and shop management courses. You can learn more about Elite by visiting www.EliteWorldwide.com. View full article

Hi Martin, One of the main reasons we offer this training online is to make it accessible to automotive professionals all over the US and in other countries, so we'd love to have your team member join us! You can get her enrolled on this page: http://www.eliteworldwide.com/event/622/online-high-impact-customer-care-sales-course.html. Just let us know if you have any questions, and have a great rest of the day.

Most shop owners begin their careers as technicians, and eventually buy their first shop. These are often the people that feel they own a business, when in reality, it’s the furthest from the truth. Consider this… When most past-technicians open their first shop, they spend most of their time test driving or under the hood of a car. They know if they stop working on cars, their income will come to a screeching halt. They feel that as long as they are turning wrenches they will have an income stream, and the faster they work, the more income they’ll make. So what they have in this scenario is a job; not a shop, and not a business. Ironically, they’re not much different than the tech down the street. They’ll go home tired, and they’ll judge their success by the number of vehicles they fixed that day. The only real difference is that the tech down the street doesn’t have all the liabilities, and they don’t take their problems home at night. Some of these aforementioned past-techs will make it to the next level, which is being a “shop owner.” The difference between having a job and being a shop owner is that shop owners have more than one person working for them, and they are able to take a few days off without everything shutting down. In most cases, shop owners feel this is a good place to be, and it is, until it’s time for them to either retire or sell their shop before their planned retirement. You see, what most shop owners fail to realize is that very few people are willing to buy shops, and if they do find a buyer, it’s typically a tech with very little money. The reason that business people with real money will rarely buy shops is because shops are typically dependent on the current owner, and there’s a shop on every corner. Now here’s the good news: Every shop owner can turn their shop into a business. You see, a “business” is not dependent on the owner. It has clear-cut, written systems in place for all facets of the business (pay programs, the recruiting process, the marketing plan, the sales process, etc.) so that when the new owner steps in they have everything they need to continue building the business. They have the business plans that were created by the seller, they have a seasoned staff, and they have all of the established systems in place for the business to continue to prosper and grow. In this case, what the buyer has bought is a “business”, not a job, and not a shop. The shop owners that are willing to embrace the fact that there is a major difference between a job, a shop and a business all have one thing in common: They are creating their own future, and they are building real equity at the same time. Is it worth the effort to transform your shop into a business? Well, the best answer I can give you is this: When the day comes for you to sell, I have a very strong suspicion that you will be thankful you turned your shop into a business. Since 1990, Bob Cooper has been the president of Elite, a company that strives to help shop owners reach their goals and live happier lives, while elevating the industry at the same time. The company offers coaching and training from the industry’s top shop owners, service advisor training, peer groups, along with sales, marketing and shop management courses. You can learn more about Elite by visiting www.EliteWorldwide.com. View full article

We wanted to give all shop owners out there a heads up that Elite’s Online High Impact Sales Course begins on Jan 3rd. There are only 100 seats available on a first come, first served basis. Because the course is sponsored by JASPER Engines & Transmissions, JASPER customers receive an exclusive discount! Please find the course details below, and if you have any questions at all, feel free to contact us or give us a call at 800-204-3548. Hope to see you there! Online High Impact Sales Course details: Course web page: http://www.eliteworldwide.com/event/622/online-high-impact-customer-care-sales-course.html Content that will be covered: Selling multiple repairs & big ticket items Selling diagnostic testing & maintenance Building powerful relationships in 60 seconds Overcoming the most challenging sales objections Generating higher sales and happier customers Generating more repeat and referral business Presenting service recommendations in a way that makes customers want to buy Note: Course will come with a workbook, homework assignments and testing to ensure accountability and lasting results Presenters: Jen Monclus and Doris Barnes of Elite Price: $179 (JASPER customers receive a $50 discount) Course Dates and Times: Session #1 – Jan 3, 10:00am–10:45am PST Session #2 – Jan 10, 10:00am–10:45am PST Session #3 – Jan 17, 10:00am–10:45am PST Session #4 – Jan 24, 10:00am–11:00am PST (optional AMI testing at end of session)

When it comes to customer complaints, most shop owners are aware that there’s some economic price they’ll ultimately have to pay for the complaint, but will typically have no idea how much each complaint actually costs. This article will aim to bring some clarity to this long-disputed issue. When a customer complains, the first direct cost that you’re going to incur is the loss of your time. This is the time you spend listening to the customer, discussing the resolution, and following up with the customer to ensure that their complaint has been properly resolved. Let’s call this direct expense “customer communication time”. I realize that the amount of time will vary with each complaint, so let’s assign 25 minutes as a realistic number for your average complaint time. These 25 minutes are comprised of 5 minutes when the customer first calls you with a complaint, 15 minutes when they return for correction or resolution, and then an additional 5 minutes for follow up. Now let’s look at the time spent on the internal communication that comes along with each complaint. This is the time that you spend with your technicians and service advisors discussing the cause, the resolution, and the prevention of future complaints. I feel that 15 minutes is a realistic number when it comes to this internal communication. We’ll also need to consider the same amount of time, at a minimum, of an employee’s time spent to help you resolve the issue. So, your internal communication will cost you at least 30 minutes with each complaint. Let’s shift gears and talk about the cost of customer attrition, and the marketing cost that will come along with each customer complaint. Let’s presume that you run a good business, and are able to properly address each concern to retain 80% of the customers who complain. In this scenario, you’ll still be losing 20% of those customers with complaints. In other words, out of every five complaints it’s safe to say you’ll lose one customer, so you should consider the marketing cost of each complaint to be 1/5th of the cost of generating a new customer. Lastly, you need to consider the “loss of productivity” that is associated with each customer complaint. Simply put, while your employees are discussing the complaint with you, they are unable to generate additional income for the company. Based on everything we have discussed, here is the math you can use to calculate the total cost of each complaint, which you and your employees may find to be quite surprising. Note: The below cost of customer complaints calculation is predicated on a shop labor rate of $100 per hour, the shop producing $200 per hour per technician, and the cost of generating a new customer being set at $30. 25 minutes of customer communication (25min/60min X $100) $42 30 minutes of internal communication (30min/60min X $100) $50 Direct marketing cost to replace 1 of 5 ($30/5) $6 Loss of productivity (30 min) (30min/60min X $200) $100 $198 If you think that $198 is a big number, please bear in mind we’re talking about the cost of customer complaints themselves, not the cost of additional repairs, services etc. that need to be performed to satisfy the customer. In addition to the $198, we haven’t taken into consideration the economic damage to your reputation, the damage to employee morale, and the loss of income that is associated with the loss of the customer and/or the direct cost of any repair. This considerable cost is one reason why the industry superstars invest in training, they go the extra mile to deliver extraordinary service, and they follow up with each and every customer to ensure that they met with the customer’s expectations. These top shop owners know that they are far better off investing a little more money in their people, than they are spending that money resolving customer complaints. So do absolutely everything that you can do to provide exemplary service, and ensure that each and every customer… is a satisfied customer. Since 1990, Bob Cooper has been the president of Elite, a company that strives to help shop owners reach their goals and live happier lives, while elevating the industry at the same time. The company offers coaching and training from the industry’s top shop owners, service advisor training, peer groups, along with sales, marketing and shop management courses. You can learn more about Elite by visiting www.EliteWorldwide.com. View full article