Quick Tip! Gross Builder – Add On Balance

theory into practice

Add On Balance If your like most Tire Dealers, you give Life-Time FREE rotations away with the purchase of a set of Tires. Forward ahead to the first time to your customer comes back for their FREE tire rotation -  It may go something like this - "Sir we will rotate your tires for FREE,  but you really should balance the tires as well - That will be $29.99 - Want us to take care of that for your?" Question:  How does one FEEL when you take their FREE service away from them? Answer:  Probably not so good. Solution:  Task your Service Manager to insure his/her Technicians are checking the tire balance on at least one tire - every time they pull wheels. So the conversation should go like this:  "Mr Grier; While rotating your tires, our technician checked the balance of one of your tires, your right front tire is out of balance by almost an ounce!  That condition will most likely cause premature tire wear and a vibration in the steering wheel at highway speeds.  It may … [Read more...]

How to Grow New Customer Count by 40% in 90 Days

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In Automotive Retail; statically speaking, the average new customer costs a dealer somewhere in the neighborhood of $300 to acquire.  These customer acquisition cost are mostly related to advertising expenses and promotional “lost liter” services. So you spend $300 to get yourself a new customer.  A customer, that if you do a good job will be a customer for life; spending on average between $300 – $1000 per year. Sounds good right?  Now for the bad news – As an industry, our customer retention rate for first time customers is only 30%!  That means that for every ten new customers that come into your shop with that $15.99 oil change coupon, only three will return. Not too good, right? Sounds like we are not doing a good job MOST of the time with our new customers (as an industry). Why don’t they return? There are lots of reason, but the reality is we didn’t do anything to WOW our new guests.  We didn’t do anything to differentiate ourselves from the … [Read more...]