I believe we need to go the direction of putting more value than other shops to set us apart, I dont think cutting prices is the answer, nor installing used parts, bottom line is people need there cars, majority of people want to get value for there dollar, So do things like free car wash, when spend so much, loaner car, free rides , use the dental appointment it works here, Free com inspection, sell pm work it will save them money $8 per $1 spent.
referal programs promote loyalty, We have to find ways to be better not cheaper.
just my 2 cents
steve r