How Auto Repair Businesses Might See BIG Changes in 2022
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In every business, there is a specific time when the business has the potential to thrive more. Similarly, for the auto repair business, 2022 is a perfect time to put their LUCK to the test. Utilizing the best auto repair software while running an auto repair shop in the US will put you on the right track. I’m sure your business will become the best shop in town in no time.
Pro-tip:Try to keep your talented technicians with you. More on that later.
This year you will be raking in a lot of money. Did someone said money? YES WOOHOO! 💵 because this year a lot of unexpected is happening. For Instance, people are investing more in used cars than new ones.
Your business is going to be boosted by used cars. Because it requires more fixes, more maintenance schedules. Wait a sec, hold on. How ready are you to take on more customers and not let your competitors beat you in this game?
Let me be straight here, you have to step up your game. So that customers enter your shop without looking at what the shop next to you is offering them.
Now you might be thinking, is this even possible? Indeed, it is. And we will be discussing ways to make it possible right here in this blog. Pick out your favorite ice cream scoop and keep reading.
What Makes 2022 Ideal For An Auto Repair Business?
As I have mentioned above, the auto repair business is booming every year. In my opinion, it is one of the fastest-growing businesses.
When it comes to appointments, auto repair shops are similar to doctors’ office. If a person owns a car, they will need oil changes or tires rotated occasionally. So in one case or another, they have to keep visiting auto repair shops for maintenance of their vehicles.
So that their vehicle doesn’t break down on the road while they are having a road trip with their friends. It will turn the FUN TRIP into a not-so-fun trip. 🤐
So to avoid such inconveniences, people always take their vehicles to auto repair shops. I would say that the auto repair business is not “sexy,” but it is HUGELY profitable. It’s just that you need to learn how you are going to make it profitable.
Why There is a Technician Shortage in the US?
Due to COVID-19, there is a technician shortage in the US auto repair market. Young people are changing their careers and old technicians are charging way higher than they used to previously. An average technician is earning $36,000 per year which means they earn about $800 a week.
So there is a high demand in the US auto repair market for skilled technicians because only knowing about the basics of repair is not going to make you a good technician. They need to be tech-savvy and know the latest know-how of auto repair technology trends. Like using: best auto repair software.
Retain Your Talented Techs
Fewer people are entering the auto repair industry. And as I mentioned above there is already a high demand for good technicians in the US auto repair market. So here is a time when you can play your game because you are already into this business.
Take my serious advice and keep your talent with you. If you have already got a skilled technician in your shop, don’t let them slip away from your hands. Have you heard of this old adage “April showers bring May flowers”?
So if you are going to take care of your shop technicians today they will be benefiting you tomorrow. So try to pay them fairly and offer them incentives monthly according to their performances.
It is a good idea to plan different offers for them. Here’s a tip that you can attract young technicians by offering a competitive wage to them. Due to the pandemic, most technicians have started doing work from home and making the same money as they used to earn at the repair shop for 8 hours. So why should they come work for you?
Offer Competitive Wages
To build a good crew of technicians for your auto repair shop offer them PAY PER FLAG. If this is a new term for you, let me explain.
A flag rate is simply the amount of time a repair generally takes to occur under normal conditions. Any repair is calculated by multiplying the flag time by the pay rate.
Another thing that you must do for your technicians is to allow them to work on their personal clients’ vehicles or their friend’s or clients’ vehicles inside your shop to improve their skills. However, you need to tell him clearly what their job hours are with you and after that, they are free to work on their personal cars.
This will smoothen the relationship between you and your technician. And by implementing this strategy you won’t make them your competition.
Running an auto repair shop in 2022 means you have to use modern solutions to stay on top of your game. That means you can’t go totally old school with your customers.
You can’t be doing manual inspection all the time while creating estimates for your customers. As they want quick fixes, similarly they need quick estimates from you. Whereas, manual things do take time. You will be wasting an hour or more diagnosing what the actual problem is with the vehicle.
Sometimes, customers will call you and ask you what you charge for certain repairs or want a rough estimate over a phone call.
Pro Tip: Don’t give estimates to customers over the phone. Instead, ask for their email and send them estimates through email. For more transparency, attach pictures of the parts that need repairing.
Customers, especially in the US, want accurate results. So try to diagnose errors in their vehicles using the best auto repair software. For instance, when you enter one problem while diagnosing a vehicle an auto repair software will show you multiple more repairs that need to be fixed and give you generic pricing.
So try to be more transparent with your customers and gain their trust. Because without them, you are out of business. And 2022 is the year to boost your sales.
To have a competitive edge in the auto repair market, use modern solutions for your customers. And try to be more transparent with them when you have a word with them.
Or if you are creating estimates for them try using digital methods, like using the best auto repair software for creating estimates.
2022 will bring more business to your shop, so be modernized with your methods and be empathic towards your technicians. Offer them flag rates, or allow them to work with their personal vehicles in their free time.
This is how you don’t make them your competition. And this makes your bond stronger, which is very important for auto repair shop owners to have a stronger bond with their shop technicians.
Let’s summarize all major changes that auto repair shops might face in 2022:
Due to chip shortage used cars will be more seen on roads
High demand for skilled technicians in the US
Technicians are demanding higher wages than before
Digital methods are taking over slow manual methods