Given the tremendous opportunities available in the auto repair industry, plenty of competition is sure to exist in your area. Carving out a meaningful segment of this market will be a challenge, even with a strong franchise name behind your business. So let's explore some of the essential elements to keep in mind while starting a new auto repair venture.
Your Reputation is Your Business
The strength of your business is tied entirely to the reputation that you carry in the community. For example, a trusted auto repair facility will book a solid day after day and month after month. But, on the other hand, an auto shop with a reputation for poor work or unfair pricing will quickly close its doors. Right from the start, the focus of your auto repair operation should be on treating customers fairly and delivering value. It's not an exaggeration to say that the first few months of establishing a reputation will have an impact for years to come.
The Art of the Upsell
Certain basic auto maintenance and repair tasks, like oil changes, need to be performed regularly. Those are an excellent foundation for your business, but they might not carry huge margins. To add to your profit margin and stay in the black, be sure to upsell your customers' products and services. Of course, upselling customers should always be done in a respectful manner, and it should be done in a way that truly adds value for your customer base.
Diversify Your Revenue Streams
Serving private automobile owners is one way to build up your business, but that's not the only stream you can tap into in this industry. Also, consider targeting commercial customers like fleet managers for delivery businesses, companies with cars for their employees to use during the workday, etc. Building commercial relationships can significantly add to your ongoing revenues.