Joe Marconi

The cost of tools, the toolbox and all the specialty tools needed these days is overwhelming. It's also hard to determine at times, what is a shop tool and what belongs in the tech's toolbox. Some tool boxes cost in the 10s of thousands of dollars. Should the company either supply the tools, pay for the tools or in some way subsidize the expense of a technician's tools? Or is it up to the tech to continue to invest in his or her future?

55 years! Oh man. You should be proud! Question, with all those years in business, do you find that marketing to your existing customer base is a big part of your success?

I have a good friend of mine who is starting a repair shop, but his location is not good. In fact, he gets virtually no traffic. Now, I am not the biggest fan of Repair Pal, Open Bay and similar companies, But could these type companies help a start up, just to get cars coming to his shop?

I know exactly what you are describing. In my 41 years in business, I lived through many economic rollercoasters. You also make great points. I agree, we are in different times, and I don't know why some areas around the country are affected more than others. One thing I do know, doing all you can with the customers right in front of you every day is crucial for future success. Business is never easy, especially the auto repair business. Keep pushing, create the right culture in your shop, take care of each customer, and continue to market for new customers. Keep us posted and good luck.

I cannot speak for all shops and all insurance policies, but many garage keeper's policies do not cover technician's tools. It might worth a call or meet with your insurance rep to discuss this. I am not an insurance agent, but I was shocked a few years back when I found this out, and had to modify my insurance coverage.

As a business coach (former shop owner) I see that many areas around the country are having a slow down in business. However, a lot can be done. Focus on your existing customers. Make sure that all deferred and declined work is followed up and reminders sent out. Regarding your advertising, local is always better. Just don't cut your advertising too much. Perhaps the most important factor is to have a positive open mindset. Look for ways to improve, discuss with your team. Don't sit on your hands and say nothing can be done. With the right approach, things will improve. Good luck!

Agree, Linc. Years back, for general repair shops, it was a lot easier. Today, it is so much more complex. To assure we are achieving our profit margins on labor, shops need to have multitier labor rates.

When speaking to shop owners, it still appears that many are still looking to hire a qualified tech. It has gotten better, and I believe it's because most shop owners are more willing to create a better workplace and pay package. What are your top ways or thoughts on attracting and keeping auto techs?

Thanks for the info. I think you made the right decision.

Did you do wholesale work, work for other shops? And also for warranty companies. Were there different labor rates for these, and how did you maintain a decent profit margin?

A critical strategy that should be consider by shop owners! Excellent podcast!

Once again, Hunt brings clarity and great information to shop owners!

With labor rates going up, one concept me also need to consider is multi tier labor rates. For example, performing jobs on heavy trucks is different than work on a Honda Civic, or Toyota Corolla. Also, if you do complicated computer work, electrical and driveability, that requires your top tech with the most expensive tools and training. And those jobs have no part profit. Shouldn't this be billed at a higher labor rate? Do you have a tier labor rate strategy? I would like to hear from other shops.

I think all of us have been down that road. We sometimes get in the way of our own success, when it's right in front of us. Great point!

I had a recent discussion with a coaching client, who was complaining that sales are off. But, when we looked at his car counts, it was steady with no decrease. In fact, car counts were slightly higher than normal for last month. Another thing we noticed was that his calendar was booked out about a week and a half out. Reviewing the calendar revealed that many of the customers had previous recommendations and deferred work that was not addressed at the time of the current appointment. After a proactive approach of reviewing the appointment and vehicle history, the service advisors were able to discuss with their customers past recommendations and increase sales. Do you use your calendar as a way to prepare for your customers and increase sales opportunities? What strategies can you share that helps you to increase sales by using your calendar or other technologies?