Joe Marconi

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.

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? 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. 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. So, how do we compete with Voodoo Free Service?

The National Highway Traffic Administration (NHTSA) has issued a warning to both consumers and repair shops to be aware of counterfeit airbags entering the aftermarket. These counterfeit airbags, within the last few years, have been tested by the NHTSA and shown to malfunction and may explode metal shrapnel during deployment. Although no deaths or related injuries have been reported, it is a major consumer concern and a liability issues for auto body shops and repair shops. Every repair shop is urged to confirm the authenticity of every airbag purchase. In addition, all used cars that have been purchased within the last 3 to 4 years should have its history checked either through CARFAX or other sources to see if the car has been in a collision and if the airbags were replaced.

I just read an article in November issue of Fortune Magazine, written by Nina Easton, about the lack of skilled workers in this country. It’s a crisis, but not a lack of jobs crisis, but a lack workers who are able to fill the jobs that are available and will be available in this country. These aren’t jobs that require a college degree either; they are well paying jobs that require trade skills. We, as shop owners are well aware of this crisis. There are 3 million jobs right now in this country that go unfilled. When we speak of the unemployment rate, we cannot discount that this numbers factors into this state of affairs. We need to take responsibility to secure our future. We need to find ways to increase interest in our industry, get involved with local high schools, trade schools and with automotive college programs. We also need to implement apprentice programs, mentorship and internship programs. This year I started an internship program with the local trade high school. This spring, handpicked automotive students who plan on furthering their automotive education will have the opportunity to work side by side with a tech or service advisor at my shop. They will be required to write about their experiences and about their future. We will then, will the help from their teachers, choose one of these students and my shop will award that student a scholarship. I would like to hear from other shop owners around the country on what you are doing and what you think needs to done to bring qualified people into our industry.

As we near the presidential election, I feel compelled to say a few words. What I will not do is turn this post into a political position or voice personal opinions on how I will vote. My intentions are to keep this post neutral. Rather, the importance of this election and every election is to recognize who we are as free nation. We are a melting pot of people who have migrated here from literally around the world. Even the American Indians trace their roots back to Asia. This diversity gives us great strength and a unique heritage. My own family migrated from Italy in the early 1900’s, coming through Elis Island and settling in New York City. As a child I remember hearing stories of the old country, but my family also spoke about how proud and fortunate we are that we are now Americans. I clearly remember my parents, who would switch from speaking Italian to English, stop themselves and would tell each other, “We are Americans now; we need to speak English, not Italian”. My father told me time and time again growing up, “You are an American. Yes you have an Italian ancestry, but never forget that you are an American”. Patriotism, hard work and family were the ethics I grew up with. When my father enlisted in the Army the day after Pearl Harbor was bombed, he was asked if he had a problem fighting the Italians. My father sternly told that person, “I am an American and proud to serve and fight for this country”. This sentiment embodied my childhood. At every Election Day my father would remind the family, “It is not just a right, but our obligation to vote on Election Day”. He would tell us often, “Whether you are a democrat or republican or whatever, don’t blindly vote your party line, vote for the person you feel is the best person for the job”. So, with Election Day almost here, let us not forget our obligation as Americans and work to continue to make this Nation the greatest nation in the world.

Yes, I do remember reading this before, but it is such a great story, it's worth reading again. A truly amazing story!

Years back I remember speaking to a GM dealer tech, he told me that they used a tool you are decribing to swap engines on caddies. But I have never seen one. Sorry.

It is truly amazing how stupid some people are....

Thanks, yes are back open and thankful for that.

A Lot to be Thankful For This past Monday morning, October 29, I sat in my office with my service advisors and manager planning the week. We had a packed schedule and just last Friday the buzz phrase for the day was, “We have turned the corner”. Business had picked up last week and it looked like this week would be a banner week. But, lurking around that “corner” was a storm, not a storm of cars, but Hurricane Sandy. Our plans shifted from business to safety. We sent everyone home by noon on Monday and secured the shop for the storm. I was angry and disappointed. For the first time in months it looked like we would have, a much needed, banner week. But, it was as if an unknown force had other intentions than granting us those sales. We were told it would be bad, but like past predictions, we thought this storm would not live up to the hype. We were all wrong. By late that afternoon, with winds nearing 100 miles per hour, I knew this was something I had never experienced in my 57 years. As I watched trees falling down around me, losing power was inevitable, the safety of my family become the only thing that mattered. That feeling of anger about losing sales became so insignificant that I became ashamed of what I thought was important just a few short hours before. As the lights went out around 7pm, and in the dark, my wife and I looked at each other and I said to her, “Well, here it is, are you ok?” I started the generator and grabbed all the flashlights; we had dinner by candle light, and opened a bottle of wine. I could hear crashing around me and we made last minute plans to find refuge in the basement, if needed. As we sat there in the dark all we could think about was our family and friends. No thought of tire sales, ARO, car counts or part GP. We tried sleeping that night, but the howling wind kept us awake. I received a number of phone calls during the night from the alarm company that there were numerous break-ins at the shop. I knew they were not break-ins but probably wind damage. It would be foolish to venture out in the storm, so I merely ignored the calls. Around 4am I finally dozed off for an hour. The wind had died down a little by then, but it was clear that the storm had wrought its wrath. At 6am I heard knocking at my front door. It was a frantic neighbor. Everyone was without power and I was one of the few with a generator. She said that her daughter was having a mild asthma attack and needed to plug in her nebulizer. She tried calling 911, but it would be a while for help to arrive with all the roads blocked from fallen trees. I welcomed her and her daughter into my home. The daughter plugged her nebulizer into one of the kitchen counter outlets. A minute later she was breathing normally. I offered the mother coffee as we watched the daughter continued to breathe into the devise. The feelings of calm and serene from helping a neighbor were feelings you could not put a price on; feelings that transcended the storm. Those feelings stayed with me for days. It would be days before we got power back or phone service. We were helpless without our man-made devises. No lights, no water, no heat, no internet, no phone, no IATN, Alldata or Identifix. How could we survive? Well, we did survive, but not without casualties. Thankfully, my family is ok and we experienced minimal damage to the shop and my home. We were lucky, but not everyone was granted this luck. People lost homes, their cars, businesses were destroyed and for some, a life time of hard work was literally washed away. Some lost their lives. So, here I am, Friday night, thinking about this past week and realizing that I am a much different person than what I was just a few days ago, thankful for what I have and thankful for the things that we sometimes take for granted. This week’s business tip has little to do with business; rather, it has EVERTHING to do with business. We put so much emphasis sometimes on the daily ordeals we encounter as business people. What we learn from Mother Nature we cannot learn from a book. Sometimes Mother Nature reminds us that life itself is fleeting and we need to value each and every minute of it.

Well you got to the bottom of this, but it still stinks. The sad part is you are taking responsibilty for something that is not your doing. But, I would have done the same thing. Shop owners are better people-people than we are business-people. I don't mind taking care of people either, but it would be nice to have a week once in a while where all we do is make a profit. Maybe, we answer to a higher authority?

STORM UPDATE: There is a gas shortage in the area and gas lines. People are getting frustrated. Also, there have been reports that people are stealing generators from people's home. It's a real mess, even worse in Jersey, Brooklyn and lower Manhattan. Power is still out in many areas. We got power back finally at home and at the shop.

It's hard to be everything to everyone. It's not bad to specialize, but you must know your market and have the image and look that will attract people from that market . General repair has an advantages and disadvantages. Working on multiple cars lines means you have to tool up for many different makes and models, which can be more costly and more training is needed. The up side is that your potential market is much greater and have a greater potential to make more sales. Also, a customer may own a VW today and buy a Honda next year. Whatever you decide, make sure you take care of the customers. Cater to them, not just their cars. Understand that people do business with people, no matter what car they own. Hope this helps and good luck.

Minor damage to roof and to front porch, lost a few shrubs, blown away. No damage at shop, just loss of business for a few days.

Minor damage to roof and to front porch, lost a few shrubs, blown away. No damage at shop, just loss of business for a few days.

Still without power at home. No internet or land line phones. I am using my cell phone to post this message. Shop as power again, but area is a mess, lots of damage. Will be limited in keeping up with posts. Sorry Joe

By now everyone knows that a major storm is hitting the east coast, particularly the mid-atlantic states on up to New England. For those that are in the pathway of the storm, please be prepared and stay safe. My home and shop are both in the pathway of this storm. Let's hope and pray that it's not as bad as they predict and that everyone remains safe.

We sell on average 100 to 150 units per month

That's a good question. The distributor I buy my tires from nominated me. That's the first step. Although I am not certain on what Goodyear looks for, I know that you must have a certain look, a clean facility, nice waiting area and customer bathroom, and the right equipment. Goodyear goes through an approval process which took a few months. The do require certain number of Goodyear, Dunlop and Kelly tires to be sold in a year (1000 units) and you have to take the Goodyear credit card, which I think will only help business. There is an agreement to be signed, but I am still an independent repair facility. I think this is a great opportunity for my business and I am looking forward to marketing the Goodyear name.

Oh boy, this can be frustrating. A few weeks back on a busy Friday afternoon I decided to help out and take care of customer who ran over a parking lot curb and ripped the bottom engine cover off. The splash shield had a number of those "fancy fasteners", missing. I got out my two draws of fasteners that I purchased from my hardware rep because he claimed, "With this kit you will have every fastener clip known to mankind". Well guess what? Yup, didn't have the right clip. So, when all else fails I used the ultimate fastener, the wire tie! (I had to call the dealer to order the right clips and get her back).

The Chinese tariff, as in all tariffs, is hard to comprehend. Tire Business Magazine has feature articles on this topic and follows this topic. If you sell tires, I would highly recommend subscribing to this publication. Here’s the link: http://www.tirebusiness.com/ From what I understand, the U.S. could only impose a three-year tariff without compensating China. Plus, all the tire companies have been gearing up the past three years and have found ways to be competitive, once the tariffs are lifted. The tariff situation is complicated. There were many, like the Tire Industry Association (TIA) that opposed the tariffs. And, if look back on the last three years, the tariff may have curbed tires from China, but imports from Korea, Indonesia and Thailand increased. I have not read anyway the overall effects of the tariff, but to be honest, it may above my pay grade to understand it in full. Some say tire prices will drop as the supply increase. Also, buying groups stockpiled tires during the tariff period, which will also cause tire prices to decrease, in theory at least. I think we need to remember that during this period we had an economy where fewer cars were built, less new cars were purchased and less miles were driven by the motoring public. And, as the economy improves so will the demand for tires. As far as that notice you got about the lesser price of the Chinese tires, I have yet to hear from my tire distributor. I sell a lot of tires and will forward any information I receive.

I just became a Goodyear G3X dealer and very excited about it. I feel this will give me an advantage in my market place. There are a few large tire shops within walking distance from me, and while I never worried about it, this does make me a player in my market when it comes to tire sales. I would like to hear from other tire dealers out there on how they market their business, pros and cons about the tire business, and anything else that I should know. Thanks in advance!

I read a lot about using mobile apps for our customers. The intent is to engage the customer thru their mobile phone and make it easy to do things such as, jump to your web site, make an appioinment, check for current promos, check vehicle history, services due, etc. Is anyone using Apps or considering it.