Joe Marconi

Told you Gonzo... many techs (and some shop owners) probably never heard or saw a Ford/Lincoln Variable Venturi Carburetor.

Don’t Let A Customer Compromise Policy A women came to the shop a few weeks ago asking for a donation for her son’s baseball team. The woman has come to us for minor service work a few times, but not one of our loyal regulars. After we gave her the donation, she thanked us and made an appointment for her car. It had a check engine light on and “claimed” it was diagnosed at another shop. When she brought the car in for her appointment, my service manager explained to her that we needed to obtain certain information from the on board computer and then discuss what tests would be needed to determine the cause of the problem. She was vehemently against paying any testing charges, stating that the car is already diagnosed and it needs a catalytic converter. She said, “Just put the catalytic converter in, no other charges." When my service advisor asks why the other shop didn’t do the work, she said, “Your shop gave me a donation, so I wanted to show my appreciation and come to you." After a few rounds of trying to reason with the customer and against his better judgment, he agreed to just install the converter. Well, guess what? Yes, the car is now back with the check engine light again, and with the same code. My service manager at this point explained that this would have been avoided if we only followed our policies and procedures and properly tested and diagnosed the car. She stated, “I never told you NOT to diagnose the car, I just didn’t want to pay for the diagnostic charges again.” No amount of reasoning would sink into this women’s brain (or lack of a brain) and we now have to start from scratch to see why the check engine light is on. The lesson: Don’t let anyone sway you away from proper procedure or policy. In the end WE were wrong and now we have to make it right. A lesson for all of us.

Welcome to ASO and best of luck in your venture. Also, thanks for the kinds words about this site. One thing is for sure, the members of ASO are a bunch of sincere pros. I am proud to be among them. They are the very best in this industry and always willing to help. When we founded ASO I wasn't quite sure of the direction, but the shop owners around the country (and a few from around the world) have proven that they really have what it takes. So, please ask questions and participate. It's the power of networking!

What a fun article, very enjoyable. One question; How many techs these days even know what a variable venturi carb is? When I worked for Ford in the 70s, I remember going to a training course on those VV carbs, not fun. Always look forward to reading your articles each week, it's like a treasure hunt...you never know what you are going to find!

I was passing one our “favorite” parts stores this morning and after seeing the sign posted in the window, “Check Engine Light On? Use Our Scanner”, a thought came to mind. Imagine passing a hospital or Dr. Office and you see a sign posted: “Break Your Arm? In Pain? Use our X-ray Machine” I know it may be a silly analogy, but maybe not. Your thoughts?

Has anyone spoken to their insurance agents in regard to health insurance. I briefly saw my insurance agent at the last Chamber of Commerce meeting and he told me he wants to meet with me way before November, when it will time to renew, to discuss all the changes in the new health laws. From what I see in New York, rates are going up and coverages will not be the same.

Sorry, I am not familiar with that program. What is it that concerns you about the program? I can tell you that Advance Auto is coming out with a management program that really looks good. I am waiting to see the finished product.

I am starting to see more and more customers who have been holding off on certain services, and now at a point where they do not care anymore. They would rather roll the dice. These are customers that have close to 200k, and somtimes over 200k on the clock and have been hit by the recent recession. We did keep their cars rolling with needed repairs, but they totally avoid doing anything with respect to preventive maintenance. Some of these customers are still riding around with the original plugs and T Belt. But at this point they are just waiting to hopefully replace the car soon. Have you seen this too in your area?

FREE is hard to refuse, or should I say "Perceived Free". I agree, nothing is really free and in the end the customer will pay for it. But just like many other sales tactics, the consumer has to go thru this free cycle until consumer realize the truth. In the meantime, stay the course. There are a lot of cars out there and there will always be market for those of us who understand that what we do cannot be duplicated by a new car dealership. Take care of your customers and take care and be part of the community. The dealers are not in the community like we are, let's compete on our strenghts.

Puts things in perceptive, doesn't it?

First I want to start by saying, “When was the last time someone wrote a news article about a shop owner who stayed late into the night to make sure his customer had his car ready for vacation? When was the last time someone featured a shop owner, on the 6:00 news, who gave away a used car to the wife whose husband died on 9-11? When was the last time you read about a shop owner who held a fundraiser to help the local youth sports associations.” I could go on and on about all the good we do for our community and customers, but you get the point. The fact is the overwhelming majority of shop owners and mechanics are hard working people who go the extra mile for the motoring public day after day. We don’t ask for recognition, we do it because of who we are. Ok, now on with Wallet Flushing. In 2006 Douglas Flint, the owner of Tune-Up Technology in Alexandria VA detailed his feeling about fluid services and started a firestorm of controversy over the legitimacy of fluid services and the practice of many shops. You can read his entire comments by going to the link below, but in short he stated that mechanics and shop owner’s, because it’s economically more profitable, push fluid services on their customers. He questions that validity of fluid services and says that when shops push fluid services on their customers, the only they are flushing is their wallet. Because of Flint’s comments, the California Bureau of Automotive Repair began an investigation into the “questionable tactics” of selling fluid services. The results may affect many shops, not only in California but around the country. There is now an initiative in California and a brochure to “educate” consumers about fluid services. California states it will prosecute for Wallet Flush under the Automotive Repair Act of 1971 and the California Unfair Competition Law of Section 7200, which prohibits the unlawful, and unfair, deception, untrue or misleading advertising. PLEASE READ THE LAST SENTENCE AGAIN. We sell fluid services all my shop. We are not deceptive, we are not unfair, we do not mislead and what we promote is not untrue. Our service programs and recommendations "flush" more money back to the customer through preventive maintenance, which lowers to total cost of owning a car over time. The investigation makes comparisons to cars of yesterday and cars of today, basing the findings by comparing a 1940 Cadillac Series 60 to a 2007 Cadillac. Is this a true comparison? We all know that cars are better made today and last longer. In 1940, you were lucky to go 40,000 miles without major engine, transmission or other repairs. In the 1970s, when I started as a mechanic, we did a ton of transmission work and engine work on cars that had less than 50,000 mile! It’s not the same anymore. Today’s cars last longer and servicing fluids will help customers lower the odds of failures. We do educate our consumers, we do explain the reasons why we are recommending a particular fluid service and we do explain that these recommendations may not be found in the owner’s manual. We also promote the BG Lifetime Protection Plan. Many of my customers keep their cars for 200,000 miles or more and I want to make sure they are protected. We don’t recommend fluid service based only on condition of the fluid, we base it on what WE feel is in the best interest of our customers. By the way, I can still do that in this country? Make recommendations based on my professional judgment, right? If the car maker states that you do not need to change a particular fluid, then why don’t they warranty that component for life??? I urge everyone to read the links below and please give me your thoughts and comments. I am not one to sit on the sidelines and prepared to go to bat for each and every one of you. So, please give me your honest thoughts and opinions. Article on Wallet Flushing, National Oil & Lube News, June issue 2013 http://www.noln.net/article/june-2013/wallet-flushing Article when story broke, AOL Auto, posted December 2006 http://autos.aol.com/article/fluid-flush-fallacy/

The best of luck to you and welcome to ASO! You are right, there is a ton of very valuable information on this site. Plus, the willingness of the ASO family to help each other is amazing. So, ask away and be part of the magic of ASO!

A new survey conducted by Harris Interactive on behalf of RepairPal reveals some startling facts about how consumers view the auto repair industry. The survey was held March 5-7, 2013, among 2,128 U.S. adults ages 18 and older. The survey included consumers who owned and leased their cars. A lot of the results are a little unsettling. As far as I can tell, no distinction was made between independent shops from new car dealers or national accounts. Regardless, I recommend reading and would welcome comments from everyone. Here are a few results; below is a link for the full survey. 66% who have taken a car they own/lease for repair think they have been ripped off by an auto repair shop. 38% of consumers who own or lease a car worry that they cannot trust the mechanic The number one thing those who own/lease a car want when choosing a repair shop is fair prices (82% of consumers said this was an important consideration) One third (33%) of those who own/lease a car say they do not trust online reviews of repair shops and only 16 percent use them. 48 percent of women who own/lease a car said, “being taken advantage of” makes them anxious 38 percent of me who own/lease a car admit to feeling anxious about “being taken advantage of” To view the entire results of the survey go to the link below: http://repairpal.com/consumer-survey-march-2013

Gonzo, once again great topic, great article. We had customer a few years back who owned a fish store (you know where I'm going with this, don't you?). Each day he would take his Van to the market in NYC to get his fish. Well, when brought his Van in for service, no one...and I mean no one wanted to work on his Van. He would park the Van in the sun and that smell was too much to bear. The funny thing is the owner of the store would tell us, "Come on, what smell?" We would air the Van out and wear gas masks, it was terrible.

As the economy recovers, new car sales will increase. The aging US fleet, which was predicted to be a boom for repair shops, never really materialized as we thought it would. As an industry, independent repair shops survived and some faired quite well. Just not to the extent that many of us predicted. That’s not to say we did not have opportunity, we did. However, as we painfully found out, when people are out of work, feel poor, and when consumer confidence is low, it makes our job a lot more difficult. Shops owners were put to the test and proved to be both resourceful and resilient during the great recession. Shop owners will be challenged once again, very soon. Consumers are returning to the new car show rooms. That 220,000 mile, 12 year old Ford Taurus, your customer has been driving, has seen better days. It’s time to go car shopping. Around the country dealership are preparing for the surge in sales and we, as repair shop owners, need to prepare also. Why? Consumers will see and experience a different breed for new car dealerships. Many new car dealers are starting to “get it.” The economic climate in the U.S., along with stiff competition from Europe and Asia resulted in many casualties, resulting in a steep decline in new-car dealership numbers, particularly among the Big Three. But just as in the wild, the thinning of the heard is good news for those new car dealers that survived. New car dealers and car makers understand, better than ever, that the service department can have a decided influence in future new car sales. In a recent Wall Street Journal article, a GM spokesman stated that when consumers use the dealer for their scheduled maintenance, those consumers are twice as likely to purchase another GM car. Plus, no one car maker dominates the market to the degree where their dealership can solely rely on car sales as their only income stream. Income from the service department and parts department are crucial to today’s dealership model. Marketing programs and strategy, such as Toyota Care, and other free maintenance plans will continue and most likely spread to most car companies. The aim is to lock-in the customer to the dealership through the service department, which hopefully will reduce the defection rate that was so prevalent in years past. Just do a search of your own database and you will find many of your customers who have not returned to you since purchasing or leasing new cars because of perceived “Free Maintenance.” New car dealerships across the country are also undergoing remolding and restructuring. Improvements will be made in not only increasing dealership physical size, new equipment and appearance, but changes to the service area as well. This is all geared toward enhancing the customer experience. Some average sized dealerships will be transformed into mega-dealers. The overall goal: To capture as much of their prospective market as possible. Should you be concerned? Well, you should. This is not to say that I think all the dealers will become so powerful that they will knock us into oblivion. Most dealers will make all the cosmetic improvements, make all the attempts at the delivering great customer service, and pour tons of money into their dealerships. And most of them will fail at making a difference. The reason? Ultimately, the car makers and car dealerships want to sell new cars. And that makes them vulnerable. If the heart and culture of the company is truly not in line with the customer and maintaining their car, no plan will fully work. Only those dealerships that truly give up the notion of buy and replace a car every few years, will make an impact. So, what do we do about this? The first thing is not to bury your head in the sand and fall prey to that old adage that the dealers don’t know what the heck they are doing and that none of your customers would ever think of going back to the dealer for service, especially after the warranty period. That may have been true in 1990, not anymore. The perception of the new car dealer is slowly changing and people are also economically tired. One of the reasons why they will buy a new car is because they are tired of putting money into that old clunker. Car makers and salesmen will continue to campaign their propaganda that these new rocket ships on wheels need very little maintenance and because they are so complicated, the dealer is your “best” choice. More propaganda will be from “free maintenance”, and will help to condition the consumer that not much is needed on their car. Why will the consumer believe this? It’s because for the first few years not much WAS done if they went back to the dealer for service. Now let’s add extended oil services into the mix. It wasn’t long ago that our goal for customer retention was to see a customer’s vehicle about 4 to 5 times per year. That was when the accepted oil service interval was anywhere from 3 to 5,000 miles. Take a look at the new car service intervals today; 7,500 to 10,000 will soon be the norm. This will no doubt cause a decrease in car counts and revenue for many shops. In spite of all this, we the independent shop owners have the edge. We were the first to understand that we thrive because we are part of the community. We were the first to understand that our customers come to us because we are genuinely interested in their welfare. There are no ulterior motives at play. We don’t sell new cars and we don’t sell car parts. Rather, we look to extend the life of our customer’s cars and promote preventive maintenance which ultimately lowers the overall cost of owning an automobile. We also understand that our customers come to us because of who we are. People come to us not because of a particular brand name. This is our greatest strength. It must drive new car dealer’s nuts that we can be so successful without any brand name like Toyota, Ford or GM hanging over our bays. Yes, this is our greatest attribute. We survive and thrive because of who we are. The new car dealers are coming after our business. That’s a fact and we all know it. Those of you who don’t heed the warning will be in trouble. This is my fear. Those of you who continue doing business the same way you did yesterday will also be in trouble. Earlier I spoke of the thinning of the heard. I am afraid that this may also happen with many of our colleagues if we don’t plan and prepare today. Never forget that it’s you who will make the difference. If you’ve gotten this far with all that has happened the last few years, my bet is on you. See you in the future! View full article

Very funny, great way to start the day!

The service advisors are required to hold aside all comeback repair orders. Those repair orders are then given to the manager. The manage enters the information onto a form. The form is then given to an office personnel, where the information is transferred onto a excel spreadsheet, which I receive. Once I have reviewed the comeback report we hold a meeting (the manager, foreman and myself). We then make an action plan to correct the issues. I need to tell you that many issues are hard to solve, but the act of going thru the process makes us all better. If there is a tech comeback, we invite the tech to the meeting to hear his point of view. We always defer any gray areas in favor of the tech. All findings are shared with all the techs and service advisors. Since we started this process, comebacks have gone down. Comeback meetings are only held once or twice a month, thank God for that! Plus, we find that most errors are usually part issues or communications issues.

6 Tips to Reducing Comebacks Comebacks kill. There’s no denying it. While we can never eliminate all comebacks, we can work to reduce them. The more you reduce comebacks, the more money you put to your bottom line. I want to share with you six tips that I use in my shop. First, include all workflow errors as comebacks. It’s not just the cars that return with comebacks that can kill you. It’s any workflow error that causes loss of time, which means loss of income. Include any miscommunication between the tech and service advisor, any part that arrives defective and you need to wait for another one, and any other error that disrupts the normal flow of production. Any disruption in your work flow will reduce efficiency, decrease productivity, which will result in loss of revenue. You also need to look at time wasted between jobs. I have found that most experienced techs can beat book time in most cases. But, what happens between jobs is a whole different story. Smoke breaks, tool trucks, coffee trucks, waiting for the next job, are just some of the time-wasters between jobs. I am not telling you to hold a whip over your staff, but once labor time is wasted you can never get it back, so pay attention to it. Second, create a written work flow process, with a quality control system. Make sure all jobs and vehicles are reviewed before the customer is called for car delivery. To improve efficiency and consistency in your shop requires clearly define processes that everyone follows. Make sure everyone is trained and let them know that everyone will be accountable to follow policies and procedures. Third, create a system of tracking for all comebacks and errors in workflow. Identify what type of error occurred. Was it a part error, tech error, communications issue or a training problem? This tracking system must identity the source of the error or person. In other words, track individual techs, part supplies, service advisors, etc. Look for trends. If you find that all exhaust system problems are from a particular part company, you can take action and solve the issue by not buying exhaust parts from that supplier. Fourth, calculate your comeback rate. If you are having 10 out of every 100 cars return, your comeback rate is 10%. You will increase your bottom line for every percentage point, or part of a percentage point, you shave off your comeback rate. Don’t forget to separate the comeback rate by tech, part supplier, service advisor, etc. Fifth, hold meetings with key people and review all comebacks and errors. Create an action plan with each comeback or error. Determine ways to reduce or eliminate the comeback. For example, we had tech that struggled with balancing tires on certain wheels. Many of his cars came back with a wheel shimmy. Because of our tracking system, we were able to identify the tech, and after reviewing the invoices, realized that all his comebacks were with tires that needed stick-on weights. After proper training, the problem was solved. And sixth, collectively get everyone involved in solving work flow problems and comebacks. Ask everyone for ways to reduce comebacks, improve production and consistency. Rely on the people around you. This will keep you from looking like a uncaring watchdog. More importability, your people will respond better when they are engaged in helping you and the shop improve.

The things we encounter. It takes all kinds of people and they all show up at someone's service counter eventually. Great article!

There's a lesson for all of us!

I wrote this story a few years ago. I am posting it again and may post it next year again. It's about my childhood and some of the memories with my father. I hope you enjoy it and Happy Father's Day! Joe Marconi Men of Steel - A Father's Day tribute to the auto industry Some of my fondest memories as a boy growing up in the 1960’s were the Saturday afternoons I spent with my father at Babe’s Body Shop in the Bronx. Babe and my father were old army buddies who served together in World War II. They grew up in the same neighborhood and remained friends their entire lives. I never knew his real name or his last name, everyone just called him Babe. As my father and Babe would talk about the old days and the War, I would wander off and watch the men in the shop perform their magic. I can still remember as if it were yesterday. I watched in amazement as these men, with a cigarette dangling from their lip, took a wrecked car and pounded it back into shape. In those days, you didn’t just replace a fender or quarter panel, you straightened it and you fixed it. These guys had the strength of Hercules and the skill of a Michelangelo. I remember on one particular day, my father noticed how fascinated I was watching the guys in the shop. He knelt down beside me, pointed to the guys and said, “I call these guys, "Men of Steel." These are tough guys that work hard each and every day. They can take a crumpled-up fender and with hammer in hand, work it back into shape just the way it looked when it rolled off the assembly line; and all by eye." Before we left to go home, my father and I walked around the side of the body shop and pulled two sodas out of the Coke Cooler. Then we would sat down on a bench seat taken from of an old Desoto to finish our Cokes. Could an eight year old ask for a better summer Saturday afternoon? For many of us, childhood memories have served to create pathways to our careers. The auto repair industry is filled with shop owners and mechanics that draw upon past memories to shape their lives. The auto repair industry may have changed a bit, but we still perform magic every day. We are a dedicated breed and should be proud of what we, as a group, have accomplished. My passion for this business was born watching those “men of steel” back in the 60’s. I knew from a young age what I wanted to do in my life. I feel lucky that way. I often wonder how many people go to work every day hating their jobs. I am a mechanic and a shop owner. It’s the life I chose and it’s the life you chose. We all have a special bond. It’s the reason AutoShopOwner.com was created. Through the use of words, comments and stories we express who we are. We share, learn and become better at what we do. The glue that has bonded us together is our past. That same glue will help secure our future. My father encouraged me to open my own shop and we shared some great times before his passing in 1986. You see, he was also one of those, “Men of Steel”. I’m not one to live in the past, but I would give just about anything to have one more summer Saturday afternoon, sitting on that bench seat behind Babe’s Body Shop sharing a coke with my Dad.

Some good, mostly bad. When a customer walks in with an extended warranty, we all cringe. You need to inform the customer upfronnt that the warranty company most likely will not pay the entire amount of the repair, if they even authorize it. If you can you should read thru the policy before you even call. Most policies are "mechanical breakdown", which means they will cover a part like a ball joint, but not if it wears out, but only if it breaks. We also tell the customers that they are repsonsible for any remainding balance the warranty does not pay. We never accept what they want to pay us. Also, many warranty companies want to supply their own parts. Last month we had a warranty company that wanted to supply a used power steering rack. I they for real??? We ended up putting a reman unit in the car and the customer had to settle for what the company wanted to give them. If you handle it right, the customer will view the warranty company as the bad guy, and not you.