Joe Marconi

Here's a bit of good news from Florida. Gunder's Auto Center, Inc., has announced that some insurers are now willingly paying its increased labor rate, which went from $42 per hour to $48 per hour in June 2012. It's not much of an increase, and in my opinion, way below what's needed to run a quality Body Shop, not mention paying the staff a decent wage. But I guess it's a start. Here's a link to the entire article. http://www.bodyshopbusiness.com/Article/103651/florida_body_shop_seeing_insurers_pay_increased_labor_rate.aspx

Below is a link to an article in USA Today, about the tech shortage. I would recommend reading it, this affects us all. http://www.usatoday.com/money/autos/story/2012-08-28/shortage-of-auto-mechanics-looms/57414464/1

Years back I used to take vehicle photos for insurance companies. Back then I did everything (actually too much) and eventually gave it up, mostly because it only paid $4.00 per photo and I had my hands fill running the shop, doing most of the repairs. I had to fill out a form, take photos of the vehicle and maintain a file. I know today it has to be different with technology. Does anyone do these car photos for insurance companies and do you use it as a marketing tool?

In a recent report by the Automotive Aftermarket Industry Association (AAIA), there were 45,341 collision repair shops in 2006. In 2011 that number dropped to 40,279, a decline of more than 5,000 shops. Independent collision shops are in the majority, with a total of 34,438. Is this a sign and indicator for the future of collision repair shops?

The Car Care Council will host the largest ever consumer vehicle check-up event at the 49th Annual Northwood Auto Show on October 7, in Midland Michigan. The event will offer free vehicle inspections to consumers performed by volunteer technicians. Students enrolled in the Northwood’s Automotive Aftermarket Management program will help plan and operate the event. If you have never held a car care event, I urge you to consider it. It’s a great community event and a great public service. You will reap the rewards, that's for sure. For more information on hold to hold a car care event go to: http://www.carcareindustry.com/

I will probably be needed to replace one to two of my lifts soon. I am a fan of Rotary and have been reading about the new Shockwave Rotary Lift. According to what I have read, it's uses a 110 outlet which recharges two DC car batteries, it has a laser to properly center the car and it is super fast, up and down, saving productivity time. I am wondering if anyone has any first-hand information on the lift? Any info would be greatly appreciated. Thanks in advance.

NASTF; A Valuable Resource The National Automotive Service Task Force (NASTF) is a valuable resource for information of OE websites, equipment and tool information, training information and more. It is also where we can log anytime we cannot find the necessary information we need to perform a repair, service or diagnosis. It’s a great source of information. For more information; http://www.nastf.org

AutoShopOwner.com has a goal to have 1000 members by the end of this year. 2012. We are well on our way with new members signing up daily. We all know the strength of AutoShopOwner is its membership and the more members, the better the forums. Please help us achieve this goal, spread the word about AutoShopOwner to friends and colleagues in the industry. Thank you, Joe Marconi

The Governor of Massachusetts signed the Right to Repair Act on August 7, bill No. 4362. The bill is only seven pages long and can be read in its entirety at http://www.malegislature.gov/Bills/187/House/H04362

I just love the way you create the future. I really like the sentance, "With the economy just now getting back on it's feet". Is that a statement for how things are today? Napolean Hill said, "What ever the mind can concieve it can acheive". I guess this is what separates us from the rest of the animal kingdom, we truly have a impact on our future, good or bad.

I will sure to look it up and read it, Thanks! Joe

Wow Spence, great way to reply to post. I appreciate the detailed feeback!

Great! Good choice.

I really don't know for sure...but it can't be the same cap as the ones in the Stadium, but I really don't know.

‎9/11 will never be forgotten in the hearts and minds of the American people. Like so many other tragic events, all of us will remember what we were doing on that fateful day when terrorist attacked our great nation. Many died that day, but are not forgotten. Let us all take a moment to reflect back on this day, and maybe all of us can unite as we did when we all came together on the day after 9/11.

Last Saturday, my wife and I had tickets to the 1:00 Yankee game. The weather was perfect. As usual I was running late and couldn’t find my Yankee’s cap. My wife said; “just buy another one at the stadium”. After seeing the prices at the stadium, paying for parking and the small mortgage needed to buy food, I decided that a cap was not at the top of my wish list. The Yankee’s rallied back from 3 to zip, to win 4 to 3 against Baltimore. As we were walking out of the stadium I saw a few peddlers on the street selling Yankee caps for $10.00. I almost bought one, but I rarely buy from street peddlers and kept on walking. 30 feet from the first group of peddlers was another group selling the same hats for $5.00. I quickly reached for my wallet and bought a cap, along with a crowd of other people. Now, think about it. These peddlers were selling the same caps and probably all worked together. But what they did was brilliant. They used a sales strategy known as, “frame of reference”. First, these guys knew what the hats cost at the stadium. Second, the first group offered the hats for $10.00. If they sold some at that point, great, but here’s how they maximize sales: By first positioning the price at $10.00 and then offering the caps at $5.00, they made the hats irresistible and a great value. It’s all a mind set. They actually sell more hats by using a frame of price reference, thereby creating a market. The question now is: how can we use this strategy in our business?

I Can’t Afford it Today Recently, at one of our service advisor’s meeting, I questioned why a customer declined doing the timing belt. This customer was informed at her last visit that the timing belt was overdue and she also received a post card reminder from us. The customer’s response when the advisor mentioned the timing belt? “I know, I know, but it’s the start of the school year and I just can’t afford it today”. It was a busy day, and the advisor simply informed her that we will set up a reminder for the next visit. Good customer service? Of course not! This customer is already overdue for the timing belt and if it breaks and does internal damage, who will she be looking at and blaming? You bet; US! I constantly reminder my service advisors that we are not peddlers at a county fair trying to sell our products and need to convince people that our product is in their best interest. We are selling services and products that the customer absolutely needs in order to maintain a safe and reliable vehicle. And equally important, what we recommend will save the customer money down the road by decreasing the odds of a costly mechanical breakdown. When a customer states to you that they can’t afford what you are recommending, it may be true from their perspective. But do they really know what the cost of the repair will be if they choose no? Does the customer know that if the timing belt breaks, without warning, it may do internal damage which will lead to a repair that may be 4 to 5 times higher than replacing the T belt? When communicating with customers, ask the right questions; Is this a car you plan on keeping? Do you use this car to commute to work each day? Is this also a family car you use on weekends? If you get a series of, yes, yes, yes, you are making the customer understand that what you are suggesting is in their best interest. Lastly, let the customer understand the down side of not performing the service or repair today. If you have done your job correctly, the customer will be saying, “Well, I really can’t afford Not to do it”.

They say experience is the best teacher, but that doesn’t mean you can’t learn from someone else’s experience. Sometimes when I look at entry level techs, I ask myself, “Was I ever that young”? Lord knows I made my share of blunders. I remember years back I hired a young tech straight out of a tech school. One of his first jobs was to perform a brake inspection. The customer was complaining of a vibration when applying the brakes. I road tested the car with the newbie. After a few stops he turns to me and says, “The left front caliper is hanging up, causing the rotor to warp”. I stared at him and said, “You can tell that from a road test”? Maybe he was trying to impress me; maybe he really believed he nailed the diagnosis. I just told him to go through the brake inspection process, JUST to be sure. It turned out only needed front brakes and rotors. By not making a big deal, he learned his lesson. PS: Good looking dog!

This may be a silly topic, but it was brought up at a recent luncheon with a few fellow shop owners. Some say to keep the paper floor mat in the car to show the customer you care of the cleanliness of their car. This shows value and adds to the customer service experience. Others say to remove the paper floor mat before the car is returned to the customer. Don’t let the customer reach down out take out the dirty floor mat. It’s enough that you kept the interior clean, that will speak for itself. The look of the dirty floor mat can be a turn-off. What’s your opinion? Keep it in or throw it out?

In my shop I limit my techs to only their own vehicle, their wife's and children. Years back I had a policy that techs could work on immediate family members. I soon found that that some techs owned a dozen or so cars in the immediate family. Especially when you consider, Uncle Harry, Aunt Joan, the brother-in-law, their best friends, favorite neighbor, etc. So, I put a stop to that. I have no issue when a tech brings his car in after hours to do an oil change or brake job, but business is business and not having a policy leaves too much to chance and abuse. What’s your policy?

This is a tough situation. From what I have read, the problem with BP gas is concentrated in three states: Illinois, Indiana, and Wisconsin. I know of the BP issue, but being in New York, I have no first hand knowledge of any problems. If I were you I would research all I can within your state, learning all about how this gas can cause the problem with your customer's vehicle. I would also ask the customer to sate exactly what happened and put down on paper all the events leading up to the engine problem. Then, you need to correlate your findings with what the BP gas can cause. It's not an easy thing to do, but the better you make your case, the more BP will be inclined to listen to you. Is there a trade organization in your area that can help with reaching out to other shops. Maybe collectively you can bring more evidence to back your claim. You say your customer filed the complaint already, is there a process where you turn in more information for his case and will there be a hearing process? Also, is there an appeals process? Sorry I can't help with any specifics; this is probably new to all of us. Please keep us up to date in this, we all would like to know the outcome.

I have the Hunter Hawkeye set up with a flush mounted hunter lift. I am very happy with it. I bought it 4 years ago when opened up my new four-bay shop next to my 7 bay shop. The new hunter has a neat set up, the heads clamp around the tire, not pinched into the rim of the wheel. It's quick and easy and fast. I had a Snap On prior and now would only buy Hunter. Check out as many companies as possible, it's not a easy choice and as you know, pricey. But like any other tool or equipment you buy, it needs to make a profit.

I see many customers that come to us with either driveability concerns or repair needs that were recommended by local quick lubes. While I am grateful for the referral, it put us in an award position when we try to sell additional sales. We have long adopted the total car care approach, which means, if come to me with a check engine light I am still going to perform my multipoint check and make recommendations on services other than your initial concern. But, what I have found is that the customer referred to us are often not interested in those services, other that the reason why they have brought the car in. I hear comments such as, “Oh the guy at the quickie lube tried to sell that transmission service, but I told him I don’t need it”. I am not sure sometimes if it’s the quality of the customer or the how the service was presented at the quick lube. I feel that maybe their marketing approach is more of push tactic, and not one of a customer benefit type approach. Have other shops seen this too?