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Improving ARO thru vehicle inspections


Shopcat

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I am looking for shops that implemented or improved their inspection process. What made you decide to take action? How did you make the change? What result were achieved? There are so many shops that think they need more car count, when what they really need is to MAKE the cars count.

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My average RO increased significantly. We had a record month.... in FEB!! Statistically, Feb was slow for us and our car count was much less than our previous record.

Customer satisfaction wise? Hard to gauge right now but most seem appreciative to know what is going on with their vehicle. Our oil changes take longer now but still much less time than other chains. I tell our guys that inspection process should take 10min max and my advisors to price things out within another 10min. I don't want the customer waiting more than 30min for an oil change if that's all they are here for.  We don't use high pressure tactics or anything like that. Our policy is to "inform" not "sell." Customers see that, we don't show desperation, and most come back for the repair.

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3 hours ago, Shopcat said:

What made you decide to take action? How did you make the change? What result were achieved?

I had a business coach (John Wafler (great guy, made it in R&W a few years ago)) who told me to implement the '300%' rule. 100% of the cars get 100% inspected and present 100% of the findings. I didn't like the idea at first. I felt I would be running off my customers. I thought it would come across that we were just trying to sell extra work. Turns out he was right and I was wrong. Customers love it. I've actually got new customers because they heard about how well we do inspections. 

 

We use tablets with Bolt-On to do digital multi-points. Like Jay Huh said, it does make the oil changes a little longer, but most customers are understanding that we're not just doing an oil change, but an actual service. Obviously, ARO went way up. From the month we started, we blew every previous month out of the water. It's a no brainer

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Your guys should make it a habit of doing vehicle inspections until it becomes second nature, for example, one of the 1st thing to note is vehicle mileage, this will give you a lot of information. Second notice the windshield wipers, then the tires, from that walkabout check all the lights, then pop the hood, look at the battery terminals, from there to the hoses and filters, then as you lift the car, you should have the mileage contrast with the suspension, ball joints, tie rods, leaks, power train, bearings, universal joints, exhaust,, etc.

To a new guy, it may look daunting, but to an old paw it should be no sweat.

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The biggest hurdle is implementation. Making sure every vehicle is inspected. Whatever inspection process you actually have it is imperative it is done. Second part of this is making sure your Front end people are estimating ALL the work and presenting ALL the found work. At this point you become the consultant and help the customer make the best choice.  

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2 hours ago, mspecperformance said:

The biggest hurdle is implementation. Making sure every vehicle is inspected. Whatever inspection process you actually have it is imperative it is done. Second part of this is making sure your Front end people are estimating ALL the work and presenting ALL the found work. At this point you become the consultant and help the customer make the best choice.  

Very true. Rest of my crew are kind of slow to jump on board with complete inspections. Sometimes my new guys find so much stuff that my advisors don't end up letting the customers know everything.

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M-Spec, you have a great point. Providing all the information puts you in the position of letting your customer decide based on the facts about their vehicle. I am sure everyone has had to make a buying decision based on vague or missing information, and that is a very bad feeling. Your shop develops great affinity giving your customer ALL the information needed...like you said you become the consultant.

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  • 2 weeks later...
Very true. Rest of my crew are kind of slow to jump on board with complete inspections. Sometimes my new guys find so much stuff that my advisors don't end up letting the customers know everything.



I'vebeen there. Here's how we addressed it, we enhanced our presentation process! We began saying basic things such as "if we were to bring your car mechanically back up to 100% ..."

In saying it that way..

- They don't feel like the car is junk.
- They don't feel threatened.
- The door is open for them to bring it "completely up to code" or "what can be done now vs later".

You'll be very, very surprised at how many will just buy it all. So much that the few it could scare away will be made up for x10!

We've also had a lot of customers think us for sharing with them everything we see as we see it.

Sent from my SM-T800 using Tapatalk

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  • Have you checked out Joe's Latest Blog?

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      I recently spoke with a friend of mine who owns a large general repair shop in the Midwest. His father founded the business in 1975. He was telling me that although he’s busy, he’s also very frustrated. When I probed him more about his frustrations, he said that it’s hard to find qualified technicians. My friend employs four technicians and is looking to hire two more. I then asked him, “How long does a technician last working for you.” He looked puzzled and replied, “I never really thought about that, but I can tell that except for one tech, most technicians don’t last working for me longer than a few years.”
      Judging from personal experience as a shop owner and from what I know about the auto repair industry, I can tell you that other than a few exceptions, the turnover rate for technicians in our industry is too high. This makes me think, do we have a technician shortage or a retention problem? Have we done the best we can over the decades to provide great pay plans, benefits packages, great work environments, and the right culture to ensure that the techs we have stay with us?
      Finding and hiring qualified automotive technicians is not a new phenomenon. This problem has been around for as long as I can remember. While we do need to attract people to our industry and provide the necessary training and mentorship, we also need to focus on retention. Having a revolving door and needing to hire techs every few years or so costs your company money. Big money! And that revolving door may be a sign of an even bigger issue: poor leadership, and poor employee management skills.
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