Providing Auto Shop Management SOFTWARE Solutions Since 2005


Growing Auto Repair Profits By Improving In Key Performance Areas

Profit increases can be recognized in 3 different ways. Profit can grow through price increases, more sales and lower costs. Selling prices are largely dictated by market conditions and price increases can have the effect of lowering sales volume. Thus increasing sales volume and lowering costs will have a more positive impact on profit growth. Focusing on selected key performance indicators and employing practices that will improve them will result in positive profit growth. In fact small improvements in certain areas will result in significant increases in profit growth when employed together.

  1. Quote Capture Rate for New Business – The percentage of quotes made for prospective new customers that turn into repair orders is the measure of new business quote capture rate. Improvements in this area not only result in increased sales but increased customer acquisition rates as well … Read More >>
  2. Customer Acquisition Rate – The rate at which new customers are added is an important measure of business growth. Effective marketing and sales will result in positive acquisition rates… Read More >>
  3. Quote Capture Rate for Existing Customers – The percentage of quotes made for existing customers that turn into repair orders is a measure of sales success with the existing customer base. This rate should be higher than the quote capture rate for new customers as the relationship is already established… Read More >>
  4. Recommendation Capture Rate – Measuring the percentage of recommendations that become sold services is an important measure of sales success. The sales of recommended services that are generated as a result of inspections or diagnoses can be a significant portion of overall revenue generation… Read More >>
  5. Customer Retention Rate – The percentage of existing customers that purchased services during a period is the measurement of retained customers. This performance indicator is a measurement of how well the shop is doing at keeping customers… Read More >>

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