MWACA - August 2020

THE BENEFITS OF AN INDUSTRY MENTOR

HOW TO WORK WITH FAMILY

SOCIAL MEDIA MARKETING IN 2020

PAGE 19

PAGE 23

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The Driving Force for Automotive Service Professionals

MAGAZINE

THE NEXT GENERATION THE MILLENNIAL SHOP OWNERS MOVING THE INDUSTRY FORWARD PAGE 14

Euro Cars, American Tech Vicente Silva combines two passions—European marques and cutting-edge technology—to drive business forward.

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CONTENTS

ISSUE 02 NUMBER 03

04

FROM THE PRESIDENT’S DESK How do you respond to change?

07

MWACA MOMENTS News and events from MWACA chapters

10

LEAD FEATURE The millennials’ time has come

14

MEMBER SPOTLIGHT Vicente Silva took over a well-known shop and has made it his own

19 TOP: GARY ROHMAN, BOTTOM LEFT: GETTY, BOTTOM RIGHT: COURTESY PRO AUTOMOTIVE SERVICES

Q&A Find an industry mentor and watch your numbers grow

23

ACTION PLAN: MANAGE FAMILY EMPLOYEES How to not blur the lines between family and employee

14

27

ACTION PLAN: MARKET DURING TOUGH TIMES Change your social media marketing to combat the pandemic

30

MEMBER COLUMN Doug Jacquot understands the power of persistence

10

23

The driving force for today’s independent service professionals. Formerly operating as ASA-Midwest, the second largest affiliate, our leadership responded to our members’ concerns and created a regional association designed to provide new and innovative benefits, resources, and support to shop owners and managers.

Visit mwaca.org to become a member today.

3

FROM THE PRESIDENT’S DESK

EDITORIAL VP CONTENT AND EVENTS

Bryce Evans

EDITORIAL DIRECTOR

Anna Zeck

SPECIAL PROJECTS EDITORS

Nora Johnson Jordan Wiklund

PRODUCTION ART DIRECTOR

Zach Pate

GRAPHIC DESIGNER

Nicole Olson PRODUCTION ARTIST

Lauren Coleman

SALES

EMBRACE CHANGE

VP AND PUBLISHER

Chris Messer 651.846.9462 cmesser@10missions.com MARKETING STRATEGIST

Matt Walz 651.846.9463 mwalz@10missions.com CLIENT & SALES SERVICE SPECIALIST

CHANGE CAN BE SCARY!

Jen George 651.846.9465 jgeorge@10missions.com

We become accustomed to the environment in which we live. We resist the inevitable changes forced onto us but ultimately feel the need

MWACA LEADERSHIP

to simply move on with work or life.

PRESIDENT

Tim Davison 515.961.2594 tim@chumbleysautocare.com

For my part, seeing family close to me becoming older and then slowly changing into someone I didn’t recognize was tough. It can be scary

EXECUTIVE DIRECTOR

Sheri Hamilton 816.413.9800 sheri@mwaca.org

Change can be for the best. Sometimes, necessary changes may not be glaringly apparent until pointed out to you.

T I M D AV I S O N PRESIDENT

I recently attended one of our Des Moines Chapter SOS (Shop Owner Support) meetings. The meeting was held at a member shop a few miles out from the metro area. The shop owner had taken over an existing business that had employed him for several years. He knew change was needed to free him from working six and sometimes seven days

MWACA MAGAZINE ADVISORY BOARD

Tim Davison Chumbley’s Auto Care Summer Guerrero Affinity Automotive Services Ron Haugen Westside Auto Pros Jerry Holcom S&S Service Center Sherri Stock inMOTION Auto Care Travis Troy Honest Wrenches

per week to get all the work done. Many of us in attendance reassured him the changes we

10 MISSIONS MEDIA

proposed were the exact changes that helped us grow our business and allowed us the freedom

PRESIDENT

to enjoy our families and to spend time with them. It is now up to him to make those tweaks to

Jay DeWitt

GENERAL MANAGER AND PRODUCTION MANAGER

make a good business even better.

When it comes to change, I often use the motto, “crawl before you walk,” and then, “walk before you run.” Whenever you need to change your shop—for whatever reason—don’t make all the changes at once. It may send you over the edge! Did you know it’s estimated to take 22 days for change to stick? I know this is true, and that is why I have not succeeded in a weight loss diet—yet.

I hope this issue of MWACA Magazine finds you, your staff or fellow team members, and your loved ones in good health and spirits. If not, please reach out to a friend and talk or seek professional help for whatever the ailment might be.

Work hard and take time to have some fun too!

4

Mariah Straub

BOOKKEEPER AND CLIENT SERVICES SPECIALIST

Meghann Moore

MARKETING SERVICES MANAGER

Miranda Jama ADMINISTRATIVE ASSISTANT

Corey Steinhoff

MWACA HEADQUARTERS 5950 N Oak Trafficway, Suite 201 Gladstone, MO 64118

816-413-9800

mwaca.org and visionkc.com

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MWACA .ORG

5

Drive

Your Shop Financials in a 3D Dashboard

“Your business isn’t brokeit is out of adjustment”

- Rick White

owner of 180BIZ and DriveYourKPI trainer

A Whole New Experience with Numbers at Your Fingertips

Increase Profits

Understand Where to Improve

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www.driveyourkpi.com 6

6

MWACA .ORG

Feel Confident in Decisions

Take Control of Your Business

816-413-9800

MOMENTS SCAN TOOL PROFICIENCY PRESENTED BY

Jeff Bly SPONSORED BY

NAPA Autotech Training

MWACA eXchange Online Training As the coronavirus continues to upend life as we know it, MWACA members have adapted to share their most valuable insight, knowledge, and strategies. The MWACA eXchange is a valuable resource in which members share common challenges and exchange solutions to drive business and community forward. Check out page 9 for a list of upcoming training events.

“The topics that have been offered through the MWACA eXchange have been unique and helpful.”

–Rico Kotrous, H.I.S. Auto Care, Lincoln, NE

“Jeff explains everything in common man’s terminology. I like that he is an active technician, is extremely easy to understand and I am able to relate to him. I enjoyed his explanations of fuel trim and calculating mass air flow without using a scope.”

–William Holmes, Style Automotive SEARCH ENGINE OPTIMIZATION FOR AUTO REPAIR SHOPS PRESENTED BY

Brian Walker SPONSORED BY

Shop Marketing Pros “Brian gave great information I have not heard from other resources.”

–Joel Lebron, Joel’s Automotive

REACTIVATING YOUR CUSTOMER BASE TO INCREASE CAR COUNT PRESENTED BY

Ron Haugen

A/C DIAGNOSTICS & REPAIR PRESENTED BY

Jeff Bly SPONSORED BY

“Ron gave excellent ideas. I was not sure how I was going to track some of the promotions we are doing, but now I do. Thank you!”

–Lisa Ellis, Wyman Automotive 5 STEPS TO GET YOUR MESSAGE OUT QUICKLY WITH VIDEO PRESENTED BY

Jennifer Filzen SPONSORED BY

Rock Star Marketing “For me, this training is highly informative. It is an area of our business that I have neglected, and this is helping us get star ted.

Thanks, Jennifer.”

–Gene Pfahl, Gene’s Auto and Truck Service Inc.

NAPA Autotech Training “It was highly informative, even though I have been teaching A /C for several years. I came away with several things I can pass on to my students.”

–Bernard Flucke, Molle Toyota MARKETING WITHOUT PRICE PRESENTED BY

Maylan Newton SPONSORED BY

ESI “Maylan had exceptionally good information. We were able to sit down and discuss with our service managers how to sell our store to the phone shoppers.”

–Bob Shanahan, Dupage Tire & Auto Center

MWACA FILE PHOTOS

OTHER HIGHLIGHTS Shop Owner Support (SOS) Group Our Des Moines Shop Owner Support Group met at Gus Automotive to offer fresh perspectives of its shop workflow. The owner learned achievable and actionable items from his industry peers to help improve his shop.

7

S P O N S O R E D C O NT E NT

How to Protect Your Shop from Chargebacks Establish a Consistent, Secure Process & Communicate Clearly with Guests When a guest goes through their bank or credit card company to get a refund, whether it’s because they were unhappy with the repair or not, it can leave shop owners in a bind. There are some cases where business owners can make a case against the chargeback, but it can be a lengthy process and most banks and credit card companies will side with the cardholder who’s making the complaint.

Protecting your business from chargebacks doesn’t start when the payment is processed, nor does it end with being reimbursed for a single chargeback. The best way to protect your business from chargebacks is to establish clear, open communication with your guests and adhere to a consistent and secure payment process.

Always Get Consent Before Work When your service advisors take guests through the repair order, they should listen carefully to what the guest wants. If that means spending some extra time to review the repair order with the guest, it’s time well spent. Once the RO is thoroughly reviewed, you can either get written or verbal consent for the work and the cost. It’s worth keeping in mind that it’s easier to document written consent than it is to document verbal consent.

Shop ®ip³ Enhance ¦uest Ser¯ice with a Call or Personal ®e t Using a shop management system like Tekmetric sets clear expectations and allows guests to see the inspection from their phone or computer and select the work they want to do.

Establish a Transparent Relationship with Guests Providing excellent customer service is good practice for any repair shop, but it also goes a long way toward preventing chargebacks. Let your guests know that you’re committed and dedicated to fixing their problem, even if that means taking a vehicle back into the shop. If you make it clear to your guests that they can come back to you about any concerns, they are far less likely to go to their bank or credit card company first. It’s better to do a little extra work to ease their mind than it is to give away an entire repair order for free or go through any chargeback hassles.

Shop ®ip³ Set a Clear & Easy Return Policy If your shop doesn’t already have one, consider establishing a return policy and make it visible to guests via signage or with messaging on repair orders.

Simple policies such as “If you’re not satisfied, call us, and we’ll make it right” can go a long way in terms of letting guests know they should go straight to you if there’s something wrong.

Use an Address Verification System (AVS_ Sometimes, chargebacks happen because a guest used someone else's card or because of a clerical error. In times like these, safe-checks built into your payment process come in handy. If you’re processing payments over the phone, be sure to use an address verification system. An AjS ensures that the cardholder on the other end is who they say they are. Address verifications are crucial to dispute claims with a bank or credit card company when you’re unable to acquire an in-person signature.

Other Tips When Processing Payments - Keep a record of all transactions and work completed

- o not round numbers. Always enter the exact agreed upon amount.

- f a transaction is entered incorrectly, make sure it is completely oided before starting a new transaction

- nly submit one copy of sales receipts to banks

- For card-not-present transactions, collect the CVV or CVº erification numbers

Avoiding Chargebacks Takes a Holistic Approach Mistakes happen, even at great shops. Building a relationship with guests is

key to avoiding chargebacks. If your guests trust that you care and something does go sideways, they'll talk to you about it, and you will have an opportunity to work it out. Auto repair shops also benefit from having solid shop management and payment processing systems that make it easy to prevent chargebacks long before the sale.

For a free payment processing demo, call (832) 930-9400 and mention tQis article:

8

MWACA .ORG

M WA C A M O M E N T S

UPCOMING MWACA EVENTS Highlights of upcoming MWACA events. To register or find out more information about these and other MWACA events, visit mwaca.org/events.

CENTRAL MISSOURI

KANSAS CITY

EVENT NAME

EVENT NAME

Dive Into Data from the Driver’s Seat

Marketing: Back to the Basics

DATE

DATE

DATE

PRESENTED BY

Tuesday, September 15

Thursday, September 10

Rick White

PRESENTED BY

PRESENTED BY

EVENT NAME

Kevin Leiby

Ron Haugen

EVENT NAME

EVENT NAME

Advisor Mistakes and How to Avoid Them

Customer Connection DATE

DATE

Monday, October 26 PRESENTED BY

Rick White

Thursday, October 29 PRESENTED BY

Rick White EVENT NAME

DES MOINES EVENT NAME

Why Price Doesn’t Matter DATE

Tuesday, September 8

What Kind of Diagnostic Detective Are You? DATE

Tuesday, November 17 PRESENTED BY

Jim Wilson

EAST IOWA EVENT NAME

Why Price Doesn’t Matter DATE

Wednesday, September 9 PRESENTED BY

Ron Haugen

Customer Connection Thursday, October 29

Improving Communication Between Advisors and Technicians Roundtable DATE

Thursday, November 19

PRESENTED BY

Kevin Leiby EVENT NAME

Advisor Mistakes and How to Avoid Them DATE

Tuesday, October 27 PRESENTED BY

Rick White ST. LOUIS EVENT NAME

SOUTHEAST IOWA EVENT NAME

Engine Performance Diagnostic Strategies

Hands-on Training for Today’s Difficult Assemblies

DATE

DATE

PRESENTED BY

Thursday, September 17

Tuesday, October 13 Mark Ingram

PRESENTED BY

Hunter Engineering

WICHITA

EVENT NAME

EVENT NAME

LAWRENCE & TOPEKA

Improving Communication Between Advisors and Technicians Roundtable

EVENT NAME

DATE

Improving Your Road Test Procedure for Fuel Trim Diagnostics

Thursday, November 19

PRESENTED BY

SPRINGFIELD

EVENT NAME

DATE

EVENT NAME

PRESENTED BY

Ron Haugen

EVENT NAME

Thursday, September 17 PRESENTED BY

Jim Wilson

Dive Into Data from the Driver’s Seat DATE

Tuesday, September 22

Fundamental Alignments DATE

Saturday, September 12 Hunter Engineering Training with Rick White DATE

Wednesday, October 28 PRESENTED BY

Rick White

9

DON’T CALL IT A COMEBACK MILLENNIALS AND GEN Z ARE STEPPING INTO OWNERSHIP ROLES AND THE SHOP WILL NEVER BE THE SAME BY

10

J O R D A N

W I K L U N D

As Bob Dylan tells us, the times they are a-changin’.

As the last generation of baby boomers fade from the market, the time of the millennials is here.

They are taking over independent and family-owned shops, curating entirely new digital marketing plans, and seeking out their competitors and 20 Groups for the knowledge to run fast, run lean, and drive their businesses into the future.

Nationwide, we’re at the cusp of 5G technology and the promise of bet ter, faster, more instantaneous communication while globally we’re scaling back our physical activities in lieu of the coronavirus. Never has so much happened so quickly without any road map in sight—never has the calendar been more tenuous.

Nonetheless, cars need fixin’,

AGEE’S AUTOMOTIVE LOCATION LINCOLN, NEB. OWNER KYLE ARNOLD, AGE 34 STAFF SIZE 3 ANNUAL REVENUE $600,000

people need payin’ and most shops have been able to pivot to meet the

OUT WITH THE OLD (OWNERSHIP)

unexpec ted

“It’s challenging being a young owner,” says Kyle Arnold of Agee’s

and

unprecedented

demands of new ownership and the

Automotive (Lincoln, Neb.).

shifting market as auto repair contin-

“It’s challenging when you’re interviewing people older than

ues to undergo tectonic, foundational

you—it’s difficult for some to take you seriously and trust that you

change amid wireless technology,

know what you’re doing. I can’t speak for anyone else but it seems

stringent repair specifications, and

that my age makes gainful employment here harder to see as the

anything else the wind seems to

future isn’t as clear to them.”

throw our way.

In Arnold’s defense, the future isn’t clear to anyone. Thirty-four 11

F E AT U R E

years old, Arnold worked as a technician at Agee’s for almost nine years before buying the business in late 2017. The transition plan to sell to Arnold had been in place for a few years, so he moved to a service advisor role to get closer to the customers and to be able to see the business with fresh eyes (and knees), well off the shop floor.

“Most people knew me anyway but it was still beneficial to

“Changing what you’ve always done will make you more successful. Our ROI on postcards and mailers was low and untrackable. Targeting who you’re after in different ways is necessary to get younger customers in.”

deal with me every time for a few years. It sets us up to ease

–Kyle Arnold, owner, Agee’s Automotive

the transition,” he says.

“Since it was a slow transition into management over a long period of time, I wasn’t blindsided by much. I’m involved with ATI, the business coaching program, and became involved immedi-

history of his experience, what he’s accomplished thus far with

ately as an owner.”

the shop and what the plans are for the future. Most of the time,

Arnold acknowledges that ageism has definitely been something he’s had to confront and overcome with customers and staff, but he knows that’s nothing new.

he says, peoples’ minds are put at ease.

“The best I can do is be honest,” he says. And that includes being honest about change.

“I think ageism has maybe always been an issue,” he says.

“When you’re in your thirties, people in this industry probably just

NEW MARKETING, NEW SHOP

don’t trust you as much as when you’re in your forties, or older. But

“There was a ton of stuff I changed right away,” Arnold says.

that’s true in any industry, not just auto repair.”

“The previous owner hardly had any internet presence and

Arnold says the best he can do is simply tell people a brief

didn’t market much through email or text messages. The whole way he operated was the same for years and years and years.”

TALKIN’ ‘BOUT MY GENERATION The Who may have said it best, but lumping anyone under the age of 40 into the same generation could cause more headaches than you know. Here’s a handy guide to help you more accurately assess your clients and staff when they walk through the door or email you a resume.

Arnold also chose to focus on customer

influence,

adding

that

asking for reviews was strange at first, but he soon grew used to it.

Today’s word-of-mouth is Google,

Millennials

Gen Z

after all, and as the positive reviews started piling up, so did ARO and the

Life Stage

Well into their adulthood, roughly ages 24 to 36

Either still in high school or recently graduated, under 25

Digital Influence

Maintain vivid memories, skills, and knowledge of a non-connected, pre-internet world

Have not lived in a time without accessible internet

View of the Job Market

Sold a vision that didn’t become a reality and entered the workforce at the peak of the depressed job market

Saw the effects of the recession, entered the workforce during the recovery of the economy, and is now dealing with the coronavirus, yet maintain more realistic expectations than their predecessors

work. You can’t track print marketing

Seeks solid employment pathways and are more focused on personal and rewarding longterm fulfillment

before the year is out. Soon after, he’ll

Key Employment Traits

Seeks job flexibility and more readily participates in the gig economy

volume of new clients.

“When I changed our marketing strategy, business grew. The former owner invested in marketing but they weren’t good investments—flyers didn’t and it never seemed beneficial.”

Looking ahead, Arnold has plans to grow. He just leased the adjacent building to amplify parking and office space and hopes to install a few new lifts hire more people, and begin passing on what he knows.

Which, inevitably, will only change once more.

12

CUSTOM AUTO CARE LOCATION LINCOLN, NEB. OWNER JUSTIN CALHOUN, AGE 35 STAFF SIZE 4 ANNUAL REVENUE $700,000

says, “and building stronger relationships is one thing I’ve continued to do to keep growing. I try to bend over backwards with our employees as well—I probably overpay them, but I treat people as I’d like to be treated.”

Calhoun may be the youngest full-time employee, but he’s not the youngest person working under the roof of Custom Auto Care.

That honor belongs to a part-time administrative assistant—she’s 18 years old and works three days per week for a few hours per day. Solidly in Gen Z, Calhoun reports she arrives five minutes early almost every day and that he has no employment problems with her, despite it being her first job.

YOUNG AT HEART, BUT NOT EXPERIENCE

Calhoun sits on the advisory board of Southeast Community

At Custom Auto Care, Justin Calhoun faced many of the same

College and also mentors a student from there. He’s 19 and works

challenges in the transition to ownership.

three days per week sweeping floors, cleaning the shop and

“The first hurdle was making the leap from a technician making

attending to whatever needs to be done.

$50,000 per year to buying a $400,000 business,” he says.

Calhoun isn’t alone; many young owners simply have no idea what the first steps are on the business side of ownership. They all know the destination, but it’s hard to get there without a map—or a co-pilot. Calhoun sought help writing a business plan from his alma mater, Southeast Community College, in Lincoln, and then applied for a Small Business Administration (SBA) loan, which took almost twelve months. He was 29 years old at the time, and being a homeowner for six years helped further secure the loan.

Still, he had a retirement account after eight years of employment that he had to dip into, incurring withdrawal penalties in the name of the business he would soon steward into the future. The former owner agreed to a five-year lease-to-own arrangement, easing the burden. A little.

“Now I own the business, and I’m still the youngest person here,” Calhoun says. But he knows that won’t last forever—not if

WHAT TO KNOW WHEN HIRING GEN Z • Ninety-nine percent of respondents said it is important to have a job that is personally fulfilling, and 43% expect to stay at their first job for more than 3 years.

• Ninety-six percent of respondents believe in the importance of networking even when a company does not have an immediate job opening.

• Ninety-one percent of survey respondents believe recruiters should know professional details about them before reaching out about an opportunity.

• Eighty-eight percent of respondents reported they would pursue an opportunity that is a clear fit for them even if they are unfamiliar with the company, while only 44% are likely to work for a company they have heard of, even if the opportunity isn’t a clear fit.

Source: Tallo company survey, tallo.com

he’s successful.

As the youngest in the building, Calhoun says he didn’t face any major issues during the transition. The service advisor he hired was from the service industry and regarded him as an expert despite

Calhoun admits to some challenges with the shop hand. He’s not always on time, but Calhoun says he’s coming around.

being 15 years older. Calhoun soon hired a millennial technician

“His uncle is a technician for us,” he says, “and it helps having a

about his age, followed by two more. One of those technicians, 20

family member here to help keep him in check. He’ll ride him hard.

years older than Calhoun, appeared to “have had some anxiety,”

He has a comfort level that I don’t; I’m not here to tell you to get

with the age factor, according to Calhoun.

off your phone—I don’t want to micromanage. I want this to be a

“‘Does this guy know what he’s doing? Is he going to be able to steer the business correctly?’ After a month or so working together, he became comfortable and knew that we’re growing the business.”

Calhoun believes the automotive business is a relationship business. Whether it’s with employees or customers, the ability to connect and forge a bond is key to success.

“I knew many of our clients before I bought the business,” he

place they enjoy being at.”

If Calhoun can continue to foster a strong culture, he believes he’ll be able to launch Custom Auto Care to greater heights.

“You’re either going forward or backward, and if you’re sitting idle, you’re most likely going backward,” he says.

“I’m never satisfied, and maybe that’s not always a good thing, but I want to keep moving forward.”

13

MEMBER SPOTLIGHT

A NEW OWNER FOR

NEW CONCEPT AUTO SERVICE Vicente Silva bought a renowned repair shop and immediately increased revenue BY

J O R D A N

P H O T O S

14

BY

W I K L U N D G A RY

R O H M A N

Success Isn’t Accidental Silva believes diversification and taking risks is key to growth.

15

MEMBER SPOTLIGHT

THE ONE THING MWACA MAGAZINE DID NOT EXPECT

was tears from

Vicente Silva.

Silva is the new owner of New Concept Auto Service, a highly

squares off against ARO and the final figures in the ledgerbook, and the crux of contemporary auto repair is in the hands of a mostly young, inexperienced generation of new technicians and advisors.

specialized shop in Overland Park, Kansas. The former owner, Paul Rupp, passed away from cancer in the spring, but not before he

NEW OWNER, SAME LEGACY

sold the shop to Silva in October 2019. Rupp was something of a

“I’m not the smartest person in the world, though my certifications

local legend, known for his methodical approach to repair, his love

say something else,” Silva muses.

of restoration and his generosity, kindness, and strength.

Others may disagree; New Concept Auto Service does a whop-

“We made a great team,” he says, smiling through a moment

ping $7.3 million in annual revenue, and Silva expects that number

of sorrow. “We saw many aspects of ownership and repair eye to

to grow. But as successful as New Concept is, Silva knows every day

eye. Our expectations of employees and quality of work were very

needs to be met with vigilance, honesty and integrity. It’s not as if

similar. We’d always laugh together about all that—he connected

there are talented technicians just strolling into the office every day.

me with so many people who became great friends and colleagues.

“The older generation is tired, their bodies are wearing down,

He’d text me every day, 4:15, 4:30 in the morning, ‘Good morning

and the technician shortage is looming,” he says. “We demand

Vicente,’ and rain or sun, he’d say, ‘It’s a good rainy day,” or “it’s a

experience without passing on the knowledge and skills. When

good sunny day.’ ”

you teach someone, what goes around comes around. You bless someone and it’ll come back to you. As owners, we need to change our mentality; if we don’t, it will all go down.”

That sor t of mentorship is exactly what Silva needed in order to take the reins at New Concept. During his brief time with Rupp, mentorship—as well as friendship—is all Rupp gave to him. Rupp left Silva a complete owner’s manual for every aspect of the shop, and dogged Silva day and night about all the aspects of ownership you can’t learn from a book.

He connected him with a 20 Group and advised him on a coach.

“I know how to make money,” Silva told the Rupps before accepting his offer to buy the shop, “and I can make the numbers; what I can’t do is force myself upon the process. I need a friend and a mentor.”

Protect Your People to Grow Your Business In the early days of the pandemic, Silva didn’t take a paycheck so his employees and business could thrive.

Queue another round of tears.

THE FUTURE IS TECH Since taking over, Silva has challenged his staff to do more, more, more. Before

No matter the weather, Silva still gets a kick out of repairing

selling, Rupp had a number he wanted to meet, and Silva tripled it.

cars, though he’d rather be focusing on the business. Silva says

Much has changed in a short time. Since taking over and despite

fixing vehicles brings him back to his childhood when he’d tear apart

the pandemic, Silva is on track to 50 percent growth rate by year’s

anything he could get his hands on. As many owners come to realize,

end. He hasn’t had to close a single day nor lay anyone off. In fact,

however, ownership is far from a game—it’s an arena in which

he refused to take his own paycheck so his employees and business

limitless ambition is pitted against profitability, vision for the shop

could endure.

16

Hi-Tech and High Volume Since transitioning to a new role as owner of New Concept Auto Service, Vicente Silva (bottom right) has primarily focused on one thing: premium technological service and care. Here, Silva reads pre-repair vehicle data from the OBDII sensor to help determine how to repair the vehicle.

“The way I see it, I’m responsible for my employees and their families, and they deserve the opportunity to work. I’ve even added to the staff since the pandemic started. Leaders build leaders—I truly believe that.”

Responsibility is not without risk—Silva’s investments in the shop’s new front office, new tools and technology and eventually the greatest risk of all— new employees!—is a bet against the status quo that says things will change; things are changing.

And we will be ready.

Growth is more about tangible shop additions, however. In his own words, Silva would rather shine light on others, and knows you can only grow if you’re willing to teach, pass it on, listen and adapt. Since taking over, he’s expanded the shop floor from 2,000 to 4,000 square feet. He installed a state-of-the-art tire machine for balance and alignment. He invested in top-tier ADAS technology from AUTEL to be able to service that segment of the market.

Today, New Concept is so advanced dealerships send cars they can’t fix. “Anything they can do, we can do,” Silva says. According to BMW North American and Audi North America, New Concept is the only shop in the Kansas City area that can go toe-to-toe on diagnostic capabilities.

“I’ll be able to do much more than the average shop, including Teslas and Euros,” he says. He contacted the only Tesla-approved collision center nearby and they’ve partnered on ADAS repair business. He even bought a key machine to make high-end keys and key fobs, and recently purchased an old USPS truck to offer mobile diagnostic services to capture more business for the shop.

“Diversification and staying on top of technology is key,” he says.

Silva believes flat rate is going to die in the next few years, especially as more independent shops see

NEW CONCEPT AUTO SERVICE LOCATION OVERLAND PARK, KANS.

hybrid and electric vehicles come to the forefront. He says you can’t rush those vehicles—not when you have someone’s life in your hands.

“If a shop doesn’t have these capabilities, good luck making money. It’s hard to change—even Paul

OWNER VICENTE SILVA

didn’t want to change. He knew and wanted carbu-

STAFF SIZE 9

more and more tech, and if you’re at the forefront of

SHOP SIZE 6,000 SQUARE FEET AVERAGE MONTHLY CAR COUNT 450 ANNUAL REVENUE $7.3 MILLION ARO $593 AVERAGE TIME SOLD 3.2 HOURS

retors, not computers. The truth is we’re going to see this, you’ll be set.”

And though Paul is gone, his spirit lives on—literally. Silva gets remote updates on his phone from the shop’s security system. The night Rupp passed, the room in which his toolbox sat for decades kept triggering the alarm.

“I knew it was Paul,” Silva says, “and my phone kept pinging as if motion detected, motion detected .

My phone was blowing up so much my wife was mad!” he laughs.

“It’s comforting to know he’s still with us, watching over the shop,” Silva says.

17

BECOME A CONFIDENT AND SUCCESSFUL REPAIR SHOP OWNER Shop Owner Support Groups Meet with area shops to focus on goals and gain insight on how other shops are handling work flow, personnel issues, and much more!

Mentor Program shop • owner • support

The goal of the MWACA mentor program is to help you get your business to the next level.

groups hosted by Midwest Auto Care Alliance

During each meeting, the group's participants will meet at a select shop to provide valuable insight, suggestions, and feedback.

SOS Groups have been a vital part in the turning point and success for many shops. Networks and friendships are formed that last a lifetime. Best part is....your participation is FREE as part of your MWACA membership.

We connect you with an experienced shop owner who's "been there". They are available to give advice and recommendations on any part of your business, whether it is financial, processes, marketing, vendors, or shop equipment.

Connect with a mentor and begin making the changes and transformation you have been wanting!

www.mwaca.org

Q&A

SCOTT

PELAVA OWNER LONSDALE AUTO WORKS LONSDALE, MINN. LONSDALEAUTOWORKSINC.COM

As MWACA very much knows, community is key. Especially in

THE POWER OF A MENTOR

What to look for in an industry mentor and the best ways to find your own BY

N O R A

J O H N S O N

an industry often looked at with a negative perception.

“Those outside of the

We don’t know what we don’t

to you?

know. And that’s why if you have

understand what our trials and

A mentor is kind of a coach, kind of

someone that can take you under

tribulations are,” Scott Pelava,

a teacher, and kind of a cheerleader.

their wing and give you information

owner of Lonsdale Auto Works

Mentorship is also very similar to being

you are looking for, or maybe not

in Lonsdale, Minn., and creator

a parent.

necessarily looking for, it can change

of the Facebook group Auto

I very much think I have parented

your whole outlook.

Shop Owners Group (ASOG)

like a mentor. I hold my children

says. “Nobody understands but

accountable for their actions, but I

What do you think are important

our peers.”

also let them fail–not horribly, but I’ll

qualities in a mentor?

let them fail. I do this so they learn

Humility. Oftentimes arrogance breeds

to other owners continues to be

from their failures and appreciate their

arrogance. I find that if a teacher is

a force building up the success

victories. But I’m not just going to

arrogant, the student will become arro-

of individual owners and the

stand there and watch them go down

gant, maybe not to their mentor but to

entire industry. MWACA

without providing guidance. When

other people. They may begin to think

Magazine sat down with Pelava

things are great, I’ll cheer them on

that they know something everybody

to discuss what owners should

and tell them what a great job they

else doesn’t know.

look for in an industry mentor,

did and ask what they learned from

and how to best find one.

the success. When things don’t go so

ingness to say, “I might not be right,

well, I’ll ask them why they thought

this is my opinion, and my opinion isn’t

that happened.

always correct.”

Mentorship and connection

COURTESY SCOTT PELAVA

What does the term “mentor” mean

auto repair industry don’t

Mentors should also have the will-

19

Q&A

Empathy is also an important quality for mentors to have. They should understand the feeling of defeat. It’s

are good, because there’s a lot fewer

other people’s conversations, I won’t

people there.

even interact with them. I’ll hear

I think local networking is import-

something that piques my interest

easy to tell someone to just keep going

ant too. It can be difficult though,

and I might listen to him or her for like

when met with defeat. But unless

because if you’re trying to get into a

10 minutes or so.

they’ve been there, they don’t know

networking group like a BNI, they may

how hard it is to come out of that.

only let one person from each industry

can identify who these people with

Listening into other conversations

in and that could be challenging. But

good information are, and what rela-

Where can people look for a mentor?

you could look into your Chamber of

tionships you can cultivate from that.

Well, ASOG and other Facebook

Commerce, or MWACA, or a national

groups can be huge for that.

automotive association.

Industry events like VISION

Another way can be posting on social media, as well as reading other people’s posts. Even if you think it

Hi-Tech Training and Expo (MWACA’s

Do you have any advice on how to

yearly trade show) and the ASTE

approach a possible future mentor?

might not pertain to you at all.

(Automotive Service & Technology

My first piece of advice for when you’re

end of the day that says, “I did

Expo) show in North Carolina are good

at events, is that you maybe don’t have

this all on my own”. It’s great to be

places to meet others. Events that are

to approach anybody, just listen in. I

recognized for things, but we don’t

a little cozier and a little more personal

have learned so much by listening into

know ever y thing.

We don’t get a ribbon at the

AS E ASY AS...

1 2 3

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SPONSORED CONTENT

The Calling Game How to ensure timely and effective customer communication

When each day is busier than the last, and new challenges arise hourly, small daily tasks tend to get pushed to the sidelines. But pushing back these small tasks can have a huge impact on your business. Something as small as a phone call could be the difference between a customer scheduling their next service, or them taking their business elsewhere.

Dave Kusa, owner of Autotrend Diagnostics in Cambell, Calif., has been guilty of putting off customer calls at his shop.

“It's easy to say, ‘I'm really busy today, I'll do those calls tomorrow,’” Kusa explains. “But then a month goes by, and you never made the call.”

After recognizing this communication bottleneck, Kusa has since implemented the use of Kukui’s Follow-Up module to remind his team of when and who to make calls to.

Being more diligent and organized about customer calls has helped to grow customer retention and sales at Autotrend Diagnostics.

MORE THAN AN EMAIL On average, we get over 100 emails each and every day. How many of those emails are you actually reading? Probably not 100. Emails are easy to miss and oftentimes get quickly moved into a spam or junk folder. While emails are still important to send to customers, Kusa stresses the importance of a call.

“Many times when people will give you an email address, it’s not necessarily their active email account,” he explains. “They may just check that account once a week, once a month, or maybe not at all— and don't even know you sent a ‘thank you’ or a follow-up message.”

Phone calls are far more personal than an email, and if answered, can easily open up a channel of communication with customers.

A follow-up call may lead to a customer sharing a portion of their experience that was less than satisfactory. This issue can then be resolved or explained, possibly recovering the relationship and increasing customer retention. Even if the individual doesn't pick up their phone and a voicemail is left, people are far more likely to listen to a voice message than read an email.

STAY ON TRACK In order to guarantee that phone calls to customers are not missed and made on time, Kusa relies on the Kukui Follow-Up module. To help ensure that relationships with customers continue, this tab on the Kukui dashboard informs Kusa of who to call and when, as well as allows his team to view customer and vehicle information, take notes, and reschedule calls. A visual performance metrics dashboard is also available as a way to help analyze what communication techniques are working to grow his ROI, and what is not.

Kusa has been using the Kukui Follow-Up module for years to strengthen the customer retention at his shop. He uses the tab on his dashboard for multiple forms of communication with customers throughout their service experience and beyond.

THE “THANK YOU” CALL Within three days of a customer picking up their car, the Kukui Follow-Up tab will alert Kusa’s team to thank the customer and ask if the service on their vehicle and experience at the shop met their expectations.

“Thank you calls are a valuable way to show your customer that you care,” he says.

These calls can also act as a way for people to let you know if there was a problem with their experience, and present a way to correct that if possible.

“The service recovery aspect of correcting an error will cement that relationship more than anything,” Kusa says.

RECOMMENDED SERVICE CALL Kusa also uses the “recommended services” tab through the FollowUp module to call customers about recommendations from past vehicle inspections.

“When we recommend a service to a customer, our system will then transfer that over into Kukui’s tab for recommended services,” he says. “Depending on how we formulate it, either 30, 60, or 90 days, we'll then get a reminder to call that person about the service.”

That way, those potential upcoming visits for services don't fall through the cracks.

Factory recommended service calls are also scheduled and computed through the Kukui database using the customer’s vehicle information.

THE CALL TO CHECK-IN The last type of call, and least fun to make, that Kusa’s team uses Kukui for, are the ones to customers that haven’t been in for a bit.

The customer may have simply forgotten to make an appointment, decided to go somewhere else, or had an issue with the shop. These calls can act as a way to get some of those customers to come back in for a service or to discover why they chose to not come back.

“Those calls are the hardest ones to make, but they are necessary,” Kusa says.

THE KUKUI FOLLOW-UP EFFECT Once the calls are made, Kusa’s team can make notes through the dashboard on whether or not an appointment was made, and anything else discussed. Once the data from each call is entered, Kukui correlates everything and presents feedback on the ROI. This way, the team at Autotrend Diagnostics knows exactly how the calls impact the business.

“With Kukui, everything is right in front of you,” he says. “Nothing is out of sight or out of mind anymore.”

If you would like to learn more about Kukui, visit kukui.com/rw or call (877) 695-6008

Auto care news

where you need it, when you want it. ratchetandwrench.com

A C T I O N P L A N : M A N A G E F A M I LY E M P L O Y E E S

All in it Together At Pro Automotive Services, family and business come together to create a strong team built on trust and dialogue.

FAMILY MATTERS

The boundaries you need to set when working with family BY

N O R A

J O H N S O N

COURTESY PRO AUTOMOTIVE SERVICE

EARLIER IN THE YEAR ,

a young shop owner posted a question on a

Jennifer joined Mike at the shop around 10 years ago—19 years

repair shop owner community page. He was asking whether or not

into their marriage. Throughout the past decade, the Baggetts

he should hire his wife to be a part of his shop’s team. The post

have been able to set up multiple boundaries within their shop and

quickly became flooded with responses. Owners from across the

their personal life that have helped them maintain their successful

country were sharing both strong success stories and absolute

business and family life.

horror stories.

But there was one thing that was obvious from the responses—

PUT ON YOUR BOSS HAT

working with family is hard, although if navigated correctly, can

One of the best ways to lay down a foundation of a good working

create a strong and trustworthy team.

relationship with family members is to establish the lines between

Mike Baggett, owner of Pro Automotive Services in Wood River, Ill., and Jennifer Baggett, operations manager, have been able to create that strong balance of working together as spouses as well as managing multiple other family member employees.

employee and relative. But this can be a challenge, and something the Baggetts have had to learn and perfect over time.

“Sometimes it’s hard to put that boss hat on, you have to make sure to approach situations by saying, ‘I’m not talking to you as your 23

A C T I O N P L A N : M A N A G E F A M I LY E M P L O Y E E S

aunt or as your family member, I’m talking to you as your boss,’” Jennifer says. “It’s so hard because it is family and you don’t want that awkwardness to carry over at the Thanksgiving table.”

This has to be distinguished between partners as well, she explains.

“You have to set boundaries and be committed to stay within the boundaries,” she says. “Allow one another to call each other out when boundaries are crossed.”

This is something that has taken time and work to establish at Pro Automotive Services, but has ultimately aided in the success and harmony between all employees.

“Communication is the biggest thing; when we quit communicating it becomes the elephant in the room,” Jennifer explains.

NO WORK AT THE TABLE When Jennifer and Mike began working together over 10 years ago, they had to make a plan and set boundaries of their own.

They quickly realized that in order for the business to run smoothly and continue to have a strong marriage and home life,

Talk it Out Mike and Jennifer Baggett communicate regularly to set boundaries between work and home.

they needed to draw a hard line between work and home. For the

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24

Baggetts it’s simple: Work is done at work, and

EVERYONE IS FAMILY

nowhere else.

In order to ensure all employees feel equal at Pro

“We both agreed that we weren’t going to let it leave the walls of this building, if we didn’t make that distinction, we just wouldn’t survive,” Jennifer says.

Even when large business decisions or conflicts arise, the rule stays the same.

“If there’s an issue, we sit together and talk about it at work,” Mike says. “When we’re at home, it’s done, it’s been resolved.”

When the Baggetts’ kids lived at home, they were more cautious about not blurring the lines between work and home. Now, with their kids out of the house, they have to hold each other accountable for the separation.

“Once in a while, we’ll now catch ourselves

“You have to set boundaries and be committed to stay within the boundaries.”

— Jennifer Baggett, owner, Pro Automotive Services

Automotive Services, a strong culture has been put into place. Jennifer and Mike make sure all employees are treated equally.

“If a family member thought they were entitled to things other employees weren’t, a rif t would star t, and there could be animosit y between the employees and the family members,” Mike says.

The Baggetts make sure they care for all of their employees as if they were family, regardless if they are truly related or not. They approach challenges and successes with each employee with the same thoughtfulness and care.

“If you were to come in and see the culture that we have—family members or not—our employees

talking about work (at home), but we really try not

are all treated the same,” Mike says. “They really

to,” Jenifer explains.

have all become family.”

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MWACA .ORG

ACTION PLAN: MARKET DURING TOUGH TIMES

MARKETING THROUGH TOUGH TIMES

Effectively using social media to market in our world’s new climate BY

N O R A

J O H N S O N

have been able

throughout the country like Otto Service in Kansas City, Mo., and

to lean on their close community and the power of word-of-mouth

Hwy 7 Service Center in Newell, Iowa, are now posting content to

to get customers into their shops for decades.

disseminate updated information and make sure their customers

MANY OWNERS IN SMALL TOWNS AROUND THE MIDWEST

But the recent pandemic has resulted in a shift in how busi-

feel safe using their services.

nesses operate and how customers interact with the outside world.

In order to battle these new challenges, shop owners have been

KEEP CUSTOMERS UP TO DATE.

forced to get the word out about their business online.

With many businesses sadly closing during this time, it is important

GETTY

Those who have been marketing through social media have ramped up their efforts, and those who have yet to jump onboard are creating an active online presence. Facebook pages for shops

your customers know you are still open and ready to continue providing safe and excellent repairs.

During the midst of the virus, the first thing customers would 27

ACTION PLAN: MARKET DURING TOUGH TIMES

STAY PERSONABLE. Whether it be during a worldwide pandemic or not, keeping your social media personable and relatable is key.

The recent state of af fairs pushed Danielle Bohlmann, co-owner of Hwy 7 Service Center with her husband Brett Bohlmann, to be far more active on the shop’s Facebook page.

Her marketing tactic during this time has been to stay as personable as possible. Beyond posting a video explaining shop updates, their page’s timeline is filled with engaging Terri Otto, co-owner Otto Service

Danielle Bohlmann, co-owner Hwy 7 Service Center

photos, fun and informative videos, recipes to do with your kids at home, and other content meant to show the faces behind the business.

A customer favorite has become the shop’s “Mr. Technical” videos. These short clips give a peek into the shop and provide

see when visiting the Otto Service’s Facebook page is the cover photo. In large blue writing over a photo of the shop it says “Yes, we are open!”. Terri Otto, co-owner of the Kansas City shop with her

valuable information with a fun spin.

“A lot of our marketing is very tongue-in-cheek, we want to talk about our business and our services, as well as what sets us apart, but with humor,” she says.

husband Andrew Otto, made sure there was no

Otto has a similar lighthearted approach to her

question of whether or not Otto Service was open

shop’s marketing, with #TinyTechniciansTuesday

for business.

(activities for the young ones), timely quotes and

“Whenever I go anywhere I always look at their

humorous images, and bir thday posts for staf f

social media first, because I want to know what’s

members.

going on prior to walking into their doors,” Ot to says.

With things around the globe being very serious,

“I feel like our customers have all their questions basically answered before they even call or visit us.”

“A lot of our marketing is very tongue-in-cheek. We want to talk about our business and our services, as well as what sets us apart, but with humor.”

–Danielle Bohlmann, co-owner, Hwy 7 Service Center

these posts can create a connection with customers and add a much needed sense of ease and trust.

CONTINUE TO BE INVOLVED IN YOUR COMMUNITY. A mission that runs through the auto repair industry has always been community. Community is what continues to support small businesses and many owners are looking for more ways to be involved and give back. But many large community gatherings and events have been either cancelled or rescheduled in wake of current events.

To ensure that Hwy 7 Service Center continues to play an active role in their community they have found creative ways to give back.

After an annual spring community event centered around parents and children coming together for a teddy bear workshop

She also recommends that if your shop has changed hours,

had to be cancelled, Bohlmann delivered the materials to a local

those get updated everywhere online as well. This important

moms group to distribute the bears. She then posted photos of

information should be pinned to the top of the Facebook page so

the kids with their bears on Facebook in an effort to continue to

it’s the first thing each customer sees.

showcase their local community.

28

MWACA .ORG

29

T H E F I N A L WO R D

THE POWER OF PERSISTENCE “I don’t understand why you get so

wound up; all you do is order parts and talk on the phone. What’s the big deal?”

Most of you reading this know that the average employee has no idea what we really go through as business owners.

On our 10 year anniversary at the shop, my wife bought balloons for the lobby costing $40, total end-of-day receipts was $24.

Enter 2020, with the rise of COVID-19 —our city was placed on a Shelter-in-Place order. On top of that, in late April, a random car drove through our lobby almost killing me (thank

This is not your typical article about how an automotive shop

you to all my shop owner friends who reached out, your help

became successful or how to track your KPI’s, this one goes out to

and suppor t was instrumental while navigating the next few

the struggling or newer shop owners wondering if they are ever

days af ter the accident).

going to make it. To start off, I’d like to share some of the many challenges I have faced during my journey as an owner.

We started in March of 2010 in a 3-bay old gas station called Tire Brokers, and were in the business of new and used tires. Even though our numbers went up during the first few years, we never got a steady paycheck.

So what keeps me going af ter 10 years of what I call medi ocre success?

First and foremost, my faith. Every morning I pray for just a few minutes to help get me moving in the right direction.

Secondly, I learn from others. I am a big fan of the book “Think and Grow Rich” by Napoleon Hill, and I have read it several times.

In 2013, we got away from our “all tires, all the time” model, and

Hill has spent a lot of time with successful people which has

changed our name to Jammin’ J Automotive. We started to rebrand

helped him to realize what success looks like and how to achieve

and grew from our humble beginnings—or so we thought.

it for himself.

A few years later, we met a man who looked like the building

As I write this, I can think of eight shop owners who I call and

landlord, only younger—he came to our shop to inform us his father

text regularly, and every one of them is a MWACA member! If you

had passed away, and he needed to see a copy of the lease. We had

need help, ask for it! I have found successful people are more than

been talking with his father for years about a lease and/or buying

willing to help, because at one point in time, someone helped them.

the building, but nothing ever materialized—we had a problem.

However, you have to listen and be coachable.

We tried to buy the building, but the bank would not lend on

Lastly, don’t quit! If you are struggling with your business, you

property suspect to environmental concerns. So long story short,

need to know that it’s part of the process. If you have stepped out

we had to move.

and decided to do your own thing, you need to understand that it’s

We spent the next eight stress-filled months rehabbing a

part of success. I have read many books and studied many success-

7-bay, 5000-square-foot building during evenings and weekends,

ful people and none of them have made it without adversity, you

while still keeping the old location. Our shop was now on a major

have to pay your dues!

street in St. Louis, and we were finally going to make it! But at

The success of any organization rises and falls on leadership.

around 9 a.m. on our first day, two of the lifts would not pick a car

If you strive to just get a little better each day and just don’t quit,

up higher than 24 inches, and our toilet had backed up and begun

you greatly increase your chances for success.

to run out into the shop.

I can tell you this article has been good therapy for me and

We were able to survive a sales tax audit from the state in

has made me look back at when we started and where we are

2019. The auditor thought we were so nice and ran such a good

today. We have really come a long way, and we could not have

business that he referred his coworkers to us—after giving us the

done it alone.

bill of course.

Then, this year at VISION, I was used as the poster boy on how

not to run an automotive shop in front of an entire class, since my

Doug Jacquot purchased his shop in March of 2010, and is now the

shop ran through seven service writers in less than 14 months.

owner of Jammin’ J Automotive in Overland, Mo.

30

COURTESY DOUG JACQUOT

I ONCE HAD A TECHNICIAN TELL ME ,

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