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The ROI of Regular Training for Automotive Service Advisors

Regular training for Automotive Service Advisors is a wise investment for auto repair shops. Not only does it help advisors keep up with industry changes and better serve their customers, but it can also lead to a significant return on investment (ROI) and improve retention of your Advisors.

Training in tire basics, courtesy 360 vehicle inspections, charging for repair diagnostics, and the consultation process can lead to increased revenue for the shop. By recommending necessary services and understanding customer spending, Advisors can build customer loyalty and increase revenue. Advisors who are trained in selling to different personality types and closing more sales can also boost revenue.

The ROI of training can also be seen in cost savings. Advisors who are trained in vehicle maintenance can help customers save money by keeping their vehicles rather than replacing them. Advisors who are trained in the service process at the front counter can increase efficiency in the shop, leading to cost savings and increased revenue.

In addition to the financial benefits of training, there is also the benefit of staff retention. Employees who receive training feel valued and supported by their employer. They are also more likely to stay with the company long-term, reducing turnover and the costs associated with hiring and training new employees.

In conclusion, regular training for Automotive Service Advisors is not only a smart investment in the growth of the shop, but it is also an investment in the retention of staff. By investing in training, shops can increase revenue and reduce costs, while also fostering a sense of loyalty and commitment from their employees.

Is a $200/hr Auto repair rate right for you?

The automotive industry is changing, and the economic pressures facing auto repair shops are increasing. To remain profitable and competitive, it is becoming increasingly urgent for these businesses to accelerate the move towards a $200/hour maintenance and repair shop rate.
With the rise of technology and increased economic pressures, the skill set required of technicians is changing. Technicians now need to be proficient in software engineering as well as parts changing. To meet this challenge, we need to start working to transition our existing technicians to this new model if possible through extensive re-training. This new level of expertise requires a higher level of compensation, which is why technicians who specialize in EVs should be paid at least $100,000 per year.
Sourcing expensive OEM parts with lower margins, complying with restrictive city regulations that limit our new locations, and paying for costly mobile diagnostics have placed upward pressure on operating expenses. It is becoming increasingly necessary for shops to charge a higher hourly rate, which will enable them to cover their expenses while maintaining profitability.
Moreover, to attract and retain younger people to the industry, higher wages are necessary. Paying a top technician $60K per year in our old model is no longer sufficient. This wage is inadequate, particularly for someone living in a major city where the cost of living is high. Therefore, a higher hourly rate is essential to offer competitive wages and retain skilled workers.
Lastly, shop owners need to let go of their emotional wallet when it comes to what they charge. When was the last time a customer asked about your hourly rate? In most cases, customers are more interested in having their car fixed correctly and in a timely manner. Therefore, a premium hourly rate is necessary to attract skilled technicians, invest in new equipment, and provide high-quality service to your customers.
In conclusion, setting your hourly rate based on the value you provide to your customers and your costs is necessary in today’s automotive industry. The days of setting your rates based on the competition down the street are gone. Instead, a higher hourly rate is essential to attract and retain skilled technicians and provide high-quality service to your customers. Moving towards a $200/hour shop rate is becoming increasingly necessary to remain profitable and competitive in an industry that is becoming more technologically advanced and more challenging to navigate. The time to start moving to this rate is now, to ensure the long-term sustainability of the industry.

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