12 Keys to Excellence in Auto Repair Sales

If sufficient care is given to the repair sales process success will follow. Pricing, profit, and product mix are primary components of any service offering. Providing accurate competitive estimates are critical to earning business. Sales presentation and customer service are the final pieces of the puzzle that influence positive long term relationships. The following keys are building blocks of excellence in sales. Click on the bullet heading to view the entire article.

1. Set your profit goals – Setting the right profit goals can mean the difference between success and failure. Offering a price that the customer is happy with is important in earning business but you must be profitable to succeed as a business.
2. Determine the Right Service Offering Structure – Quality, price and delivery are the primary components of any product or service offering. Knowing the proper balance of the three is crucial. Providing too much of one and not enough of the other can mean the difference between success and failure.
3. Define your Upsell Parameters – Up-selling in the auto repair and tire retail business whereby a customer is offered more expensive items or other add on items in an attempt to make a more profitable sale is a common practice. When practiced with the correct objectives up-selling can bring positive results for both the customer and the shop.
4. Measure the Accuracy of Your Labor Estimates – Labor is a significant component in determining profitability and competitiveness in the auto repair and retail tire business. It is of the utmost importance that estimates of labor time are as accurate as possible to ensure that work is profitable and pricing is in line with the marketplace.
5. Set Effective Parts Prices – Parts pricing and sourcing is an integral component of the sales process in the auto repair business. Pricing must be based on what the market will bear, the true cost of procurement, profit goals, quality and reliability.
6. Develop Accurate Sales Projections – There are a number of factors that come into play when compiling these numbers and information can come from a number of sources including sales history, customer attrition rates, cost and price changes, future marketing plans, as well as economic factors.
7. Develop Excellent Sales Presentation Techniques – Positive attitudes produce positive results, clear communication results in understanding and honesty builds trust. When a person spends money on auto repair they’re actually seeking a benefit. Guide the customer to make the decision that’s best for them and positive results will be achieved.
8. Make the Most of Every Opportunity to Build Your Image – Every time a person is exposed to your business in any way their perception of who you are is affected. They say you never get a second chance to make a first impression. In reality you never get a second chance to make any impression.
9. Provide Exceptional Customer Service – Excellent customer service is founded in reliability, timeliness and personal attention. Achieving excellent customer service is not a onetime event or a permanent state. It is an ongoing continuous effort focused on improving every aspect of the customer experience.
10. Build Lasting Relationships – Long lasting positive relationships are at the core of every successful business. And the basis for a positive relationship is trust. The more trust the greater the efficiencies, savings and profitability.
11. Ensure a Positive Customer Experience – In the auto service industry repeat business is paramount to success. Therefore ongoing relationship management is critical. A customer can evolve from prospect to customer to loyal partner to advocate. Continuously seeking to improve the customer’s experience will result in a greater number of loyal partners and advocates. A loyal customer is extremely valuable. A customer advocate is priceless.
12. Evaluate Sales Performance – Measuring sales effectiveness is a necessary part of any business. In addition to revenue and profitability securing ongoing business is critical to long term success. Factors such as appointments scheduled, recommendations sold or lost and customer retention should be included in sales performance measurements.