Thursday, September 15, 2005

Preventive Maintenance Presents Opportunities for Repair Shops

Vehicles have generally increased in quality through the years, causing warranty work to decline and preventive maintenance to become a top source of income for repair shops. Opportunities for preventive maintenance are plentiful, becoming important as both a profit building and customer retention tool.
According to Dave McKallagat, advertising/marketing manager for BG Products Inc., between $60 and $70 billion in revenue is lost per year due to unperformed light repair and preventive maintenance, and the reasons are both lack of consumer awareness and failure to offer additional services. Audits of repair orders indicate an abundance of one-item repairs, suggesting that other necessary maintenance is being ignored.
Engine oil, transmission and differential lubes, coolant, brake fluid and power steering fluid top the list of potential fluid maintenance opportunities, while fuel and air conditioning systems often require maintenance work as well.
It must be clear to all repair shop personnel what services are recommended at what intervals. Integrating a professional, well-thought-out customer menu into the selling process can help increase business, acting as a focal point for the customer and the service personnel, while also demonstrating the shop's understanding of the customer's vehicle needs. It is a good idea to provide space on the menu for a stamp each time a service is performed.
Because lack of training or poor training can lead to irreversible customer alienation, proper ongoing training and accountability is important. Proper selling skills can also dramatically increase a shop's profitability.
Repetitive maintenance reminders are key to a quality preventive maintenance program. Evaluate current direct mail programs, use of reminder stickers, appointment setting systems and reminder call procedures to ensure they are being carried out as they should be.
A lot of potential revenue is being left on the table simply because customers are not being advised of the availability of extra services. Creating and implementing a well-thought-out plan can add significant profit to a shop's bottom line.
The
AMSOIL XL Oil Change Program presents shop owners with another excellent way to increase profits, while providing customers superior protection and performance for extended drain intervals. Busy shops that are currently working at capacity can potentially service twice as many customers since they only need to see them half as often to make the same or greater profit.
AMSOIL XL Synthetic Motor Oils are specially formulated to deliver 7500 miles or six months between oil changes, and may be used longer where stated by the vehicle manufacturer or indicated by oil monitoring systems.