Dealers' Digest 2023, Issue 1

Jim with George Foreman

FROM THE PRESIDENT

It may be a little late to wish you Happy New Year, but since this is our first issue of 2023, I do hope that 2023 has started off well for all of you. With supply chain issues in the rearview mirror, maybe we can all just focus on being better than last year.

As you know, the 2023 MDA Bi-Annual Meineke Dealers Association (MDA) Convention, April 4-7, is right around the corner. If you don’t already know, we are celebrating the 30th anniversary of the MDA at this convention. We have a lot to celebrate, and we plan on looking back at where we started and assessing where we are now. I have some very fond memories of the genesis of the MDA, and we want to feature all the past presidents of the MDA at our convention since each of them has in some way contributed to the organization we have today.

My mother, Jeanne Kennedy, although she wasn’t a founding member of the MDA, was heavily involved in the lawsuit that brought about so many changes that eventually birthed a very strong association with rights that we all enjoy today. Pioneers like Mark Zuckerman, Denis and Mary Ann Wickham and many others put their time and effort into building an association for all Meineke dealers. Denis tells stories of typing, stapling and folding newsletters to send out. We stand on the shoulders of those who sacrificed to create this association but look how far we have come – both as an association and an industry.

Things have changed a lot in the last 30 years. Although computers have made our job more efficient, in some ways things are harder today than when the MDA first started. There is a lot to keep up with if we want to be successful. We have all our data at our fingertips. We don’t have to take out a calculator to see what to charge for a part. We can go online and manage the coupons that are sent out. We can even get demographic information and manage where they are sent. We can manage our online reviews. No more do we talk about “word-of-mouth” when customers used to go to a friend or relative, but now they rely on complete strangers who give us star ratings. Our technicians can inspect a car using a tablet and get that information directly into our point-of-sale system. There is no longer a need for clipboards and inspection sheets. We have online scheduling as well. Gone are the days when we wrote an appointment down on a piece of paper. We don’t even have to call a vendor to get a price and availability on a part. It is all on the computer.

The MDA has benefitted from all this technology as well. We have autopay for your dues, Zoom board meetings, webinars for training and vendor presentations and a website with lots of helpful information.

But all that wonderful technology can sometimes bog us down and keep us from “seeing the forest through the trees.” That doesn’t necessarily pertain to the MDA but certainly can happen at our centers. Some of us have mastered it all and are running very successful centers. Some of us are struggling to keep up with each new innovation in the industry. We hope that this publication, and anything else that comes from the MDA, will be a lifeline to those of us working hard to keep our head above water as well as a network where the most successful among us can mentor and advise anyone interested in how to improve.

by JANET CUMMINGS

With that in mind, we want to challenge all of you to send us information about your centers – how you do your own marketing; how you’ve modeled or remodeled your center(s); how you hire and how you retain/train; how you juggle all of the technology; and finally, how you stay profitable. Send us pictures of your center or any marketing ‘thing’ you’ve done. We really want to highlight dealers in the chain and celebrate your wins and learn from each other. We believe this publication will be valuable, keeping you educated, informed and entertained.

The Dealers’ Digest and the MDA both need you to be successful. We are a stronger organization when we work together and share knowledge!

Sincerely,

Janet Cummings

MEINEKEANDTHE MDA – BetterTogether

Flatbec Inc. Sponsors Car Show to Support Caleb’s Prayer

Store No. 884 in Bourbonnais, Illinois, has co-sponsored the Annual Benefit Car Show since the event’s inception in 2009 that later went on to support the Caleb’s Prayer Foundation. The foundation was formed in 2014 in memory of Caleb Hoggins from Chebanse, Illinois, who passed away from his second battle with cancer at age 15.

According to Bill Perakis, Flatbec Inc. CEO, “Caleb was a loving and caring young man who looked out for others. He loved to build LEGO® sets, listen to 80s music and hang out with his family and friends. Caleb was a freshman at Central High School in Clifton, Illinois, and had dreams of becoming a chef.”

The annual event raises funds to support families of cancer patients in their time of need. The donations go towards moving costs, basic necessities, the purchase of gas cards and hospital parking, housing expenses, funeral expenses, medical bills and school tuition. The foundation has raised over $65,000, and all of the funds stay local to help families in their community that have been impacted by a cancer diagnosis.

Perakis plans to continue participating in the annual event and said, “We are proud to have supported and participated in this show for more than 12 years now. When Caleb was alive, he would

personally choose his favorite show vehicle for a trophy prize. We are honored to help local families and eternalize the memory of this young man.”

Janet Cummings Wins Corvette at 2022 Meineke Convention

Janet Cummings had a lot to celebrate in 2022. The MDA president, and second-generation Meineke owner, won the drawing for a 1972 Chevrolet Corvette convertible at the Meineke Convention in San Diego, California.

Cummings, daughter of the first Meineke dealer, Jeanne Kennedy, has kept the family tradition of working in the business going.

“We are starting our third generation of family ownership now,” she commented. “Our son and daughter, Matt and Kelly, now run our shop, and we hope they will keep it going.”

Cummings continued, “One of the hardest lessons we had to learn as Meineke dealers is how to change with the times. Our children are very open to change and can easily adapt to new technologies, so I believe they will be successful in running the business.”

When asked about winning the car, Cummings said, “When I won, I told the audience that my husband had been telling everyone in the weeks leading up to the convention that he was going to win. I love seeing how happy he is with the car.”

Bill Perakis and his wife with their winning Corvette at the 2022 show.

Janet and Jim Cummings with their prize Corvette.

MDA Members Win Meineke 50th Anniversary Awards

The Meineke Dealers Association (MDA) wants to congratulate the following members who were recognized at Meineke’s Bi-Annual Convention, celebrating the 50th anniversary of the brand, that was held in early 2022 in San Diego, California. These members were recognized for their exceptional customer service, revenue growth and overall performance in 2021.

• Franchisee Partner of the Year: Ben Ramsay

• President’s Award: Kevin Leger

• 50th Anniversary Award: Janet and Jim Cummings

• Most Improved Award: Brendan Sullivan

• Growth Award: Paul Hammond

• Multi-Center Operator Award: Scott Martin

• Rookie of the Year Award: Mark Sproule

• Technology Award: Marc Arnold and Greg Masewic

• North/Central Award: Sam Greco

• South Award: Mark Zimmerman

Thank you all for your commitment to automotive-maintenance excellence!

MBSK Inc. Partners With Cars for Neighbors

MBSK Inc. franchisees Mark and Barb Koloff, who operate a Meineke Car Care Center in Ham Lake, Minnesota, have partnered with Cars For Neighbors since 2014. Cars For Neighbors is a nonprofit organization that provides car care for low-income residents who cannot afford to have their vehicle fixed or maintained. Understanding the importance of reliable transportation, the Koloffs have worked with the organization to donate time, labor and equipment, so they can provide as many repairs as possible.

From 2014 to 2018, the franchise hosted Car Care Saturdays where volunteers came to work on Cars For Neighbors vehicles, using MBSK Inc.’s equipment at no cost. Now, the Meineke franchise offers to do the car repairs at a reduced labor rate, understanding that the people who need these cars are often under-served.

Not only have they helped the nonprofit by donating their services; in 2018, MBSK Inc. also donated an office space to Cars For Neighbors in the same building as its car care center. The nonprofit does not pay rent or utilities to utilize the space which frees up more funds to be used for serving as many people as they can. The location allows them easy access to the Meineke staff and equipment needed to continue their important work.

“A reliable car is crucial to so many people, especially those of us who live in sprawling cities and towns. We understand that people need these vehicles to go to doctors’ appointments, to take their children to school, to get groceries and so on,” Barb said. “This is a true partnership between our franchise and Cars For

Neighbors. They are an extension of our business. They are part of our Meineke family.”

Since the beginning of their partnership, MBSK Inc. has repaired 1,324 cars for Cars For Neighbors and plans to continue working with the organization for years to come.

The Meineke awards gala where MDA members were recognized.

Joe McKenzie, Director of Philanthropic Partnerships, Anna Weingart, Administrative Coordinator, Barb and Mark Koloff, Owners.

Smylie Unlimited Recognizes Key Employee’s

Anniversary

Julie Smylie, owner of Smylie Unlimited, recognizes Dave Kidwell for his outstanding performance at her Meineke location.

“Dave Kidwell, my general manager, will celebrate his 5th anniversary at my shop in late March 2023. Our shop success is due in great part to Dave's skill and experience as both a tech and shop owner, his dedication to his family and job and our long relationship. Dave worked for us as a technician the first year we were open. Jim (before his passing) and I have always valued our friendship with Dave and appreciated his love of family and his great work ethic. I am blessed that Dave continues to lead our team.”

CALENDAR

NATIONAL EVENTS

Join us in April for the 30th anniversary celebration of the MDA! We are hosting our Bi-Annual Convention April 4-7, at the Arizona Grand Resort and Spa in Phoenix, Arizona. We hope to see you there!

MDA Bi-Annual Convention

April 4-7

Arizona Grand Resort and Spa

Phoenix, Arizona

SPRING REGIONAL MEETINGS

Don’t forget to attend your region’s meeting for educational sessions, networking opportunities and more!

Regions 1 and 2: May 8-9

Newark, New Jersey

Regions 4 and 5: May 10-11

Charlotte, North Carolina

Regions 3 and 6: May 15-16

Chicago, Illinois

Regions 7 and 8

May 16-17

Las Vegas, Nevada

Kidwell in front of the Smylie Unlimited store.

ASSOCIATE MEMBER LISTING

Support The Vendors That Support Your Association

Bill Perakis

COMPANY NAME: Flatbec Inc.

NUMBER OF LOCATIONS: One BASED OUT OF: Bourbonnais, Illinois

In every issue of Dealers’ Digest, we are going to highlight a business-related tip from a dealer to share with MDA membership.

Best business advice for Meineke dealers? The answer is like a bowl of potato chips, it’s hard to have just one. Let me explain. The short answer is to provide excellent customer service. But that is such a broad subject. To do so, you need to follow (at least) the following steps:

1. Greet people with a smile like they are the reason for your success, not the interruption of it.

2. Ask pertinent questions to validate their concerns and WRITE THEM DOWN, so they may be exactly conveyed to the person responsible for the correction of that concern. Test drive with the customer if possible to verify the complaint and test drive afterward to verify repair.

3. Meanwhile, keep the customer informed on progress and any additional developments, so there are no surprises.

4. Be honest if there is ever a mistake made and own up to it. This applies to a warranty repair as well. Never try and diagnose a complaint or comeback from behind the counter, apologize for the inconvenience and get the vehicle in the shop to find what’s wrong. Then if it’s your fault, fix it. If not, explain what’s needed in detail and how it actually differs from the original complaint or today’s issue (remember all those notes you wrote detailing the visit?).

5. At the foundation of this, make sure you are charging enough to provide excellent customer service. If you’re afraid to raise your labor rate because you think the customer will resist, how can you expect to charge enough if, heaven forbid, the vehicle returns and now you have to eat the repair? See, this is like tire road hazard. Your customer pays for the warranty so that you are capable of handling what is your responsibility without question. That one thing alone will go a long way ensuring that you are not stressed out wondering how you are going to afford to fix a warranty repair and make your customer happy.

I could go on and on. This one subject may be the most important and complex facet of your business and, in my opinion, what will propel you to exceed your customer’s expectations and lift you above your competition.

Q APlease provide your best piece of business advice for Meineke Dealers.

John Coffield

What are some goals you have for your business in the short and long-term?

My short-term goal is to continue steady growth year over year. My long-term goal is to retire as soon as possible!

Describe your best recent business decision.

There are two. We restructured pay plans for all employees and upgraded major equipment to be able to add services for our customers.

What do you feel is the biggest challenge currently facing franchisees?

Staffing stores and finding reliable employees.

What is the biggest industry change that you have seen since you started?

What inspired you to become a Meineke Dealer? Have you been a franchisee before with other brands?

After a long career managing new car dealership parts and service departments, I decided it was time to build something for myself.

In your opinion, what stands out about the Meineke brand?

The name recognition of the brand.

The amount of technology within vehicles and the lack of maintenance the manufacturers require.

Tell us a little bit about your family.

I have been married 31 years to Michelee, and we have two boys, Dalton and Kyle. We added Kyle’s wife, Rocio, and twin grandsons, Keith and Samuel.

What is your make and model of car?

The 1968 Mercury Cougar coupe.

Spotlight on the 118th Congress: Tom Emmer (R-MN-6)

QWhat skills or perspectives from your background do you apply as a public official?

ABefore coming to Congress, we ran a small law firm. The experience of owning and operating a small business has been invaluable to our work here on Capitol Hill. We understand the tight margins that small businesses work under and the stress that is put on the livelihoods of owners and employees alike. Running a business of that size is a difficult undertaking with serious challenges.

QWhat do you see as the current biggest threat to small-business owners?

AWe are deeply concerned about the Biden Administration’s regulatory landscape causing higher costs and more difficult working conditions for small-business owners and employees. For example, last session, we voted against the Protecting the Right to Organize (PRO) Act. This bill would have hamstrung all American franchises by preventing national brands from partnering with small businesses. In Minnesota alone, local franchise businesses create more than 143,000 jobs. We can’t afford to have these businesses grind to a halt. While this bill did not receive consideration in the Senate, it is a reminder of the regulatory threats on the horizon that small businesses face every day.

QWhat challenges have you helped small businesses in your district overcome?

AIn my home state of Minnesota, most of us bank with small credit unions and community banks that are uniquely threatened by ever-increasing regulatory burdens. Unlike larger institutions, they do not have access to substantial compliance budgets and were understandably concerned when Democrats proposed that financial institutions should report to the IRS about every transaction on accounts with inflows and outflows of over $600 per year.

This proposal would have made compliance massively difficult for community banks and credit unions, and we led a push with more than 200 Republicans urging Treasury Secretary Yellen to back down. We were proud to be successful, and thanks to our effort, these smaller institutions were saved from a serious issue.

QIn what ways are you seeking feedback from small businesses in your state/district and using that information in Washington, D.C.?

AHearing from stakeholders back home is hugely important — in fact, we are not doing our jobs if we aren’t in constant communication with small-business owners and employees. I have toured several small businesses in my district and appreciate seeing the flexibility and innovation of Main Street. We get our best ideas from you and stand ready to turn those ideas into legislative actions.

As Majority Whip, I look forward to hearing from small-business owners and franchisees across the country, as well as in Minnesota, on how policies impact their ability to innovate, create new jobs and grow their business.

QWhat seat do you believe franchisees have at the table and what do you do to support them?

AFranchisees are on the front line. We want to hear your insights and help you with your concerns. Legislators have a stake in seeing the communities they represent thrive and supporting your work is part of that. I will continue to support and advance legislation that empowers entrepreneurs, encourages economic growth, reduces burdensome regulations and improves access to resources and capital for entrepreneurs. Additionally, the upcoming expiration of the Tax Cuts and Jobs Act provisions will pose huge challenges for small businesses. We would love to extend these provisions.

QWhat message do you have for small-business owners struggling with supply chain issues, inflation, staffing and other prevalent issues of today’s day and age?

AThere is a new majority in the House of Representatives. Republicans were elected by small-business owners to deal with exactly these concerns. Combatting high inflation, supply chain delays and workforce challenges will take time. But the effort must, at the very least, involve some combination of reigning in runaway federal spending that has been fueling inflation and easing some of the regulatory burdens that have made hiring workers and acquiring products more difficult.

LOOK LISTEN READ

Look, Listen, Read is a quarterly compilation of some of the most highly rated and reviewed apps, podcasts, books, websites and other resources. MDA does not support or endorse the use of these tools that merely serve as a guide to exploring a new level of knowledge and productivity for your business.

4With the book “Franchisee Lifestyle: Your Future as a Franchisee Is Better Than You Think,” you can discover the path to success. Building a successful business is hard work. That, coupled with the low odds of coming out of your first year afloat, it’s easy to see why many people take the safe option of a regular paycheck. There is another way to ensure success in your business ventures through becoming a franchisee. With a franchise, you stand a better chance of success.

5The Domo Campaigns app allows you to build your own custom email campaigns, SMS messages or PDF and CSV attachments and send them out on a schedule set by you. Ensure your customer communications have a positive impact on your conversion rate by gathering data from your CRM and analytics systems in Domo.

6

Synuma is a remarkable cloud-based platform that enables you to grow your entire multi-unit business from beginning to end and was built by industry pros like you, for you. The app will help you make better, quicker decisions to open units on time, on budget and reach projected revenues sooner.

1

2Recognized as one of the most iconic and impactful strategy books ever written, “Blue Ocean Strategy” argues that cutthroat competition results in nothing but a bloody red ocean of rivals fighting over a shrinking profit pool. Based on a study of 150 strategic moves (spanning more than 100 years across 30 industries), the authors argue that lasting success comes not from battling competitors but from creating “blue oceans” — untapped new market spaces ripe for growth.

3In the “Franchise Euphoria” podcast you’ll discover how to design the right business plan for you and your business, avoid the most common and costly mistakes, manage growth and achieve your business goals and dreams. You will hear from leading franchise and business experts like John Lee Dumas, Michael Gerber, Joel Libava and Dan Miller.

In each bite-sized, daily episode of “Before Breakfast,” Laura Vanderkam will share a time management strategy or an answer to a listener’s schedule question. Vanderkam helps listeners make the most of their time both at work and at home. The mission is to give listeners practical tools to feel less busy and get more done.

7

Canva is your free photo editor and video editor in one graphic design app! Create stunning social media posts, videos, cards, flyers, photo collages and more. Make your business stand out with one-tap animations and fun music for Instagram stories and video collages.

8

Managers and professionals across the globe have embraced “Primal Leadership,” affirming the importance of emotionally intelligent leadership. Its influence has also reached well beyond the business world; the book and its ideas are now used routinely in universities, businesses, medical schools, professional training programs and professional coaches.

“Problem Solvers” with Jason Feifer features business owners and CEOs who went through a crippling business dilemma and came out on the other side bigger and stronger. Feifer discusses these stories as a means of helping others avoid the same pitfalls.

9

and What to Expect

E very year brings its own set off obstacles to overcome, goals to meet and trends to watch. 2022 brought a slew of unforeseen circumstances to you and your business, such as supply chain issues, inflation and supply shortages. Leave the guess work to us to predict the trends in 2023 that will keep you as a business owner on your toes and ready to tackle the new year.

1Now more than ever, consumers are purchasing items with sustainability in mind. Much so, a little over 75% of them have been attempting to buy more environmentally friendly products.

2 A company’s sustainable initiatives or actions toward a cause could build a loyal customer base. A whopping 88% of customers support companies that support social or environmental issues.

3 TikTok, a once up-and-coming social media platform, now has over one-billion active users. Marketing your business on TikTok may be in your best interest with over 84% of consumers admitting to buying a product after watching a video advertising its use.

4 Who are the people selling these products? Influencers. Franchise owners are aware of their low cost and influence in certain markets with 25% of small-business owners utilizing them for marketing campaigns.

5 Individuals in Generation Z are stepping up as active participants in the economy. With the oldest of this generation being 24 years old, they, now more than ever, have an influence on the economy.

6 A heavier reliance on automation is at the forefront of combatting the rising costs seen in 2022. It is predicted that 53% of tasks can be automated.

7 With automation comes artificial intelligence (AI). AI is becoming more advanced and will continue to develop as the need for human work decreases. Companies are already exploring this technology, as 25% of U.S. businesses are utilizing this, and 43% of those entities are exploring it.

8 As a business owner, you are one person trying to be in multiple places at once. It is key to have tools that allow you to monitor your business from afar to ensure your efforts are being put in the right place. Other entrepreneurs agree, and 19% of small businesses feel that investing in new technology is worth it.

9 Eighty percent of U.S. small businesses are not correctly utilizing advanced digital tools which can be detrimental to multiple parts of your business.

10 All-in-all, this is the year to build up your business or get it out of a rut. With 66% of small-business owners predicting revenue increases, 2023 is going to be a year of prosperity and growth!

*Note: This is a compilation of web articles strictly for engaging your thoughts, and the MDA had no hand in making such predictions.

Sources: Small Business Currents, Melanie Edwards, Ken Marshall, Incfile, Forbes, IBM, Finances Online, Visual Objects, Business.com, Deloitte

January 2023 MDA Committees Recap

franchisees to contact their marketing coordinator if they are looking to do a deeper dive into their local DMA’s budget.

MDA CONVENTION COMMITTEE REPORT

The MDA Convention Committee, chaired by MDA President Janet Cummings, has been busy planning the MDA’s 30th Anniversary Bi-Annual Convention. After much discussion and an extensive RFP process in finding the perfect location to host this special event, we are very pleased to have selected The Arizona Grand Resort & Spa in Phoenix, Arizona.

MDA staff and leadership has planned two days filled with educational training sessions, presentations from Meineke Car Care Center President, Rob Fillman, Driven Brands representatives such as Jeremy McGowen, Chris Streahle, John Price and Chuck Wilson, a keynote presentation from former Meineke Car Care Center President, Ken Walker, networking opportunities with fellow dealers and a trade show full of exhibitors who want to work with dealers and support Meineke franchises.

The event will close with a wonderful gala to celebrate the 30th anniversary of the MDA and all of the accomplishments of the association and those who have been instrumental in helping to make the MDA the association it is today.

ADVERTISING COMMITTEE

The Advertising Committee discussed reducing the number of promotional windows from three to two. This action will allow dealers to run advertisements for a longer duration, thus increasing consistency. On top of this, the promotional reduction will not affect the pace at which dealers move with promotional blasts.

TV and radio tags were also a point of discussion, as Meineke Corp. presented brand messages and promotional offers to franchisees. From there, they were able to select favorable options, and corporate adjusted based on gathered input.

The importance of early involvement with the Advertising Committee in the consumer facing website and app refresh was agreed upon by all who were present.

Due to increased communication and involvement with the Operations and Training Committee, 83% of the chain has now provided MIDs, with the overall goal being 90%. Blackhawk will have a fully functional website allowing customers to load dollars onto cards and owners to sell e-cards in approximately two months.

The committee agreed on the need to return to deeper transparency into national budgets, dollars received, dollars spent and ROI on promotions. The group will begin to build a format for this to play a larger role in future meetings.

To adjourn the meeting, committee members encouraged

TECHNOLOGY COMMITTEE

The Technology Committee has been meeting with Tekmetric to resolve refunding and reporting issues with progress being made. The committee will be able to tackle other matters with the POS provider once these are settled.

TekMerchant/360 Payments Integration was having a significant impact on credit card sales. There were many reports of the system timing out that the Technology Committee worked closely with 360 Payments to resolve. As a result, double charges and chargebacks should no longer be an issue.

VENDOR RELATIONS COMMITTEE

The Vendor Relations Committee, chaired by Marc Arnold, has been actively reaching out to vendors who have supported the MDA for many years. The recent split with the MDPCI has uncovered many misconceptions with vendors in how their sponsorships supported the MDA. We have spent a lot of time speaking with vendors to clear up any misconceptions and more importantly, ensure that the relationship between the Meineke dealers and the vendors remains strong and viable.

We are thankful to all of the vendors who came to the Vendor Appreciation Event in December and who will be at Convention in April.

At the beginning of 2023, the various Meineke Dealers Association (MDA) committees met to discuss matters important to Meineke Car Care Center franchisees. Continue reading to find out what was discussed.

The 2022 MDA VAE Closes Out the YeAr in MArgAritAville

The Meineke Dealers Association (MDA) closed out 2022 with the Vendor Appreciation Event (VAE) Dec. 15-17, which brought together franchisees and vendors for a memorable time in Orlando, Florida, at the Margaritaville Resort.

The VAE, originally scheduled in September, was rescheduled due to Hurricane Ian, but this did not stop attendees from being excited for the opportunity to gain knowledge and insight from one another.

The annual VAE gives the Meineke community an opportunity to show its appreciation to the many vendors who support them throughout the year as well as the chance to hear from those vendors through their presentations, listen to guest speakers and make personal connections.

Some of the guest speakers included the “Thank you, Cancer” author Logan Sneed and empire-building strategist, award-winning multi-unit franchisee, attorney and CEO of Ask April Porter, April Porter, who led the Franchisee Formula Growth workshop.

Franchisees and vendors sit in on Logan Sneed’s presentation.

Vendors had the opportunity to share their insight and services with fellow vendors and franchisees.

April Porter presents valuable knowledge and tips at her workshop.

April Porter shares valuable knowledge with franchisees and vendors in her Franchisee Formula Growth Workshop.

Attendees sit through insightful presentations from their vendor partners.

Franchisees and vendors dressed in their best Hawaiian shirts for the Jimmy Buffett 5 O'Clock Somewhere themed reception and were able to have some fun, as well as strengthen their connections with one another.

The VAE was a huge success amongst vendors and franchisees. Vendor, Litify, stated, “We are seeing some great results from the event and even getting interest from the business coaches. This is a great opportunity for us, and we would love to be a vendor again.”

Franchisees and vendors were able to successfully close out their year by strengthening their bonds and learning from one another, and they are counting down the days to see where the 2023 VAE takes them.

Thank you to our sponsors, 1-800-Radiator, Atmosphere, AutoVitals, Easypay, Leasecake, TSP Family Office, UpSwell and Workstream.

Franchisees and vendors dressed for the occasion to network amongst one another at the Jimmy Buffett themed reception.

The closing reception was a great way for attendees to catch up and connect with one another.

Attendees celebrating a great time at the VAE Jimmy Buffett themed reception.

It’s 5 o’clock somewhere for these franchisees and vendors as they celebrate the last night of the VAE.

From left to right: MDA Sales and Development Manager, Christy Rowan, MDA Executive Director, Amy Mancuso, MDA President Janet Cummings and Linda Arcangeli-Story.

The Legacy

of Meineke’s

First Dealer and the Meineke Dealers Association

In 1973, it would’ve been a rare sight to see a woman working in a muffler shop. This was back before stainless-steel car parts, and changing rusty mufflers was routine maintenance for car owners. That was 50 years ago now, and the legacy of Jeanne Kennedy still lives on. Often touted as the Queen of Meineke, the original dealer was around for big changes in the brand and even a part of the major events leading up to the founding of the MDA.

In the early 1970s, Kennedy was looking for a business opportunity and saw an ad in the local paper that Meineke was looking to franchise. Inspired by her son’s love of automotives, she jumped on the opportunity, and Sam Meineke himself decided to let Kennedy pursue this venture as the first Meineke franchisee. As business grew, she began pulling in her husband, children and in-laws to create one of the largest Meineke chains in the Houston area.

Janet Cummings, MDA president and daughter of Kennedy, recalls the beginning of the family business, saying, “My mother asked me if I wanted to come work with her, and at the time I thought ‘What would I do in a muffler shop? I’d get dirt under my nails!’ By 1977, I moved back to Houston and decided to get into the business. Eventually, we got to 10 shops, but we ran out of family members to work with.”

By the late 1980s, Sam Meineke decided to sell his business — all of which were his original Meineke locations. The

Kennedys acquired his Houston-based stores, doubling the size of their business overnight with 18 shops total.

The 1990s ushered in big changes for Meineke and the automotive industry as a whole. The federal government passed new regulations for car manufacturers; they were going to be required to produce new exhaust systems with stainless steel parts. For Meineke dealers, that meant that their work went almost entirely obsolete given that the only services offered at Meineke shops at the time were muffler and shocks replacement.

by ALLISON MCCALLUM

Cummings remembers this, saying, “To keep our doors from closing completely, we started adding services. The more services we added, the more equipment we needed, which was expensive. We needed more highly skilled technicians as we started doing engine work and brakes.” This increase in services offered led to higher operating costs, and eventually, the Kennedys began selling their stores. After operating with three stores for several years, Cummings, her husband and two kids now have one store in the Houston area.

Simultaneously, in 1990, the Muffler Dealers Association was

The Queen of Meineke, Jeanne Kennedy.

loosely formed. It wasn’t until 1993 that the association rallied around a cause that affected all Meineke dealers, which marks the official beginning of the MDA.

It was discovered that Meineke Corp. was misusing advertising funds; the money in this fund had come straight from the dealers through paid royalties. Dealers were torn over what to do. Several wanted to pursue a lawsuit, while others thought it would be best to settle in a different way. Some ended up leaving the chain altogether.

dealers back together,” Parascondola commented. “There were times where we didn’t agree, but Ken is a wonderful guy, and he always seemed to work things out.” Walker even paid the dues for every Meineke dealer in the system to become a member of the MDA in 2000.

“That agreement was one of the strongest sets of rights given to franchisees at the time,” Cummings said. “It even gave the MDA the right to use Meineke in our name, though the association is still technically incorporated under the name Muffler Dealers Association.”

“We’ve kept a pretty harmonious relationship with corporate since Ken Walker came through,” Parascondola added.

The start of the COVID-19 pandemic in 2020 brought about more waves of change for the MDA. Both Cummings and Parascondola were part of negotiations with Meineke to help the dealers during the uncertain times.

“It was very chaotic; we were trying to fulfill the sponsorships for our meetings, but we couldn’t meet in person and dealing with the money and all of that was very difficult,” Cummings recalls. “The president of the MDA at the time was Randy DuBois, and I was the vice president. A group of us negotiated with Meineke to temporarily lower our royalties and operate with diminished hours since we didn’t have any business at the start of the pandemic.”

Cummings recalls this, saying, “The dealers found out and tried to talk with Meineke, but that didn’t go anywhere, so they decided there should be a lawsuit. A group of them reached out to dealers that they felt could be trusted, so they reached out to my parents. My parents initially didn’t want to be a part of it, but after we all talked, we decided to move forward with joining the lawsuit.”

By 1994, a group of seven dealers officially filed a class-action lawsuit against Meineke and its parent company, GKN.

Steve Parascondola, a longtime Meineke dealer and MDA president in 2006, recalls the lawsuit as well, stating, “That lawsuit was fracturing the whole chain. I didn’t agree with those who wanted to sue Meineke. I was totally against the lawsuit and so were several other dealers. We knew if the lawsuit went through, the chain would totally go away, and we would lose our livelihoods.”

Despite winning the lawsuit against Meineke in 1995, the decision was later thrown out in 1998 in appellate court. Meineke Corp., represented by notable defense attorney Ken Starr, was still in the wrong for their misuse of funds, but the lower court made some errors in classification, overturning the ruling. Even though this seemed like a win for Meineke, it meant that each individual dealer could sue the company. Had that happened, it would have been the end of Meineke.

Splintered and divided, Meineke dealers were unsure how to move forward. Meineke Corp. got a new president, Ken Walker, in 1996, and Walker positioned himself as an ally for the dealers. After the lawsuit was appealed and the ruling thrown out, he invited a group of dealers, including Parascondola, to meet with him in Charlotte, North Carolina, in 1999 to hash out a new agreement.

“We had a brainstorming session talking about where we’ve been and where we’re going. We formed what was called the Dealer Advisory Council (DAC), and I was one of the dealers on the DAC. He wanted our input, and the association took off around that. Ken ended the threat of more lawsuits, and it brought the

In 2021, a dispute erupted between the MDA and the Meineke co-op, MDPCI. Some MDA board members resigned because of how the situation was being handled, one of those being the president. Cummings was then elected to the position of president of the association.

Since Cummings assumed her role, the MDA hired Elevanta as its new association management company in 2022.

Cummings commented, “Elevanta, as a new management company, and I, as the new president, were at times the blind leading the blind. There were things we didn’t know. Throw into the mix that we have a somewhat new president at Meineke, so the fact that we pulled it all off was a miracle!”

The start of 2023 marks a new year full of promise for the MDA, and the association is celebrating 30 years at the upcoming Bi-Annual Convention. Coincidentally, it has also been 50 years since Jeanne Kennedy took the plunge into becoming the first Meineke dealer. Cummings said that Kennedy continued going to work every day well into her late 80s, all the way up until she was diagnosed with cancer in 2010.

Kennedy’s story is one that undoubtedly shaped Meineke and the MDA into what they are today. Now, with the MDA in capable hands of Cummings and the board of directors, the legacy of the first dealer is sure to carry on.

ON THE COVER: Donna Black and Janet Cummings, daughters of Kennedy, present their employees with a certificate of completion.

William and Jeanne Kennedy receive the Dealer of the Year Award from Ron Smythe.

ALLISON MCCALLUM is the communications editor for MDA. You may reach McCallum at allisonm@elevanta.com or call 678-797-5165.

Jim Cummings poses with previous Meineke spokesperson, George Foreman.

“My mother asked me if I wanted to come work with her, and at the time I thought ‘What would I do in a muffler shop? I’d get dirt under my nails!’”

– Janet Cummings

True Performance: Five Ways to Avoid Fake Productivity

Better productivity means less human sweat, not more,” said Henry Ford, 20th-century automobile manufacturer. We all know the classic definition of increased productivity: producing more goods or services per given amount of time; or, as the online Oxford Dictionary puts it, the effectiveness of productive effort, especially in industry, as measured in terms of the rate of output per unit of input. That’s foundational knowledge, right? The problem is, while these definitions may have applied when our economy was based almost entirely on agriculture and manufacturing, they don’t necessarily apply to our modern service-based economy or knowledge jobs.

Here’s what I mean. Consider the editor who cuts 10,000 unnecessary words out of a novel. Using the old definitions (rate of output per unit of input), his productivity is negative, suggesting ineptitude. So, the definition obviously doesn’t apply in that case. But in truth, his reductive work has increased the novel’s clarity, making it easier to read and more likely to find a publisher. Some things simply require more time and input to refine; here’s where effectiveness outshines efficiency, though productivity typically requires both. On the other hand, just because someone finishes 15 tasks in one day doesn’t mean they were productive. They might have been procrastinating on an important task or performing low-value work only.

Differentiating fake productivity from true productivity isn’t hard, but it does involve a sincere review of your daily activities. Most of the tips I’ll outline here are just as foundational as our standard definitions of productivity. Sometimes we need to return to these core principles to ensure our goals remain properly aligned with reality and corporate need.

1 Don’t confuse output (or quantity) with productivity.

So, what if you write 1,000 lines of code a day, but the code is inefficient or requires lots of revision? If you write 500 lines of code that does the same thing and isn’t buggy, it will ultimately prove more beneficial, even if it takes you longer. As I’ve pointed out, sometimes doing one or two high-value tasks is more profitable and productive than doing 15 low-value tasks.

3 Fear perfectionism. The devil may be in the details, but when you’re trying to produce, you can only go so far in correcting yourself before you kill your productivity. Fix things on the fly. Personally, I tend to write overly long sentences per my train of thought and then go back and edit. This keeps me from being painfully slow by trying to type a sentence correctly the first time. That’s what editing is for. If you try to get everything exactly right before you start, you may never start.

by LAURA STACK

4 Don’t just play it by ear. Proactive always trumps reactive. Guesstimating or only bothering to learn something when needed is a sure way to hobble yourself. Practice lifelong learning instead. While on-the-job learning remains crucial, start with self-training. Read about and learn your field the best you can before you step into a role, from the technology you use to how to hit deadlines and on through to human psychology. You’ll hit more home runs that way.

5 Keep sight of your goals. As an old saying goes, “When you’re up to your neck in alligators, it’s hard to remember that your original goal was to drain the swamp.” Your best bet? Find a way to bypass the gators and get busy with draining the swamp, no matter your obstacles. Here’s the thing: Even if they attack you, once the swamp is drained, most (or all) of the gators will go away. This is usually the case with whatever allegorical swamp and symbolic gators you’re working with. Go around people if they are in your way and figure out how to get it done.

Making Life Better

You can spend years fighting alligators, putting out brush fires, stalling, revising and letting the petty bury you if you don’t look at the list above and take these tips to heart. Don’t fake productivity! Most people know exactly what they should be doing.

2

Realize that low-value tasks aren’t always non-productive. You’ll always have lower-value housekeeping tasks to take care of. Meeting daily requirements, maintaining a database, editing and even clearing your email inbox are all essential tasks because they save you time later. However, they may seem like net performance losses in the short term and probably won’t directly profit your organization. However, they will likely pay for themselves in the long run. Necessary, boring, hidden work can still be meaningful if it doesn’t keep you from other high-value work.

© 2022 Laura Stack. LAURA STACK, MBA, CSP, CPAE, is an award-winning keynote speaker, bestselling author and noted authority on employee and team productivity. She is the president of The Productivity Pro Inc., a company dedicated to helping leaders increase workplace performance in high-stress environments. Stack has authored eight books, including “FASTER TOGETHER: Accelerating Your Team’s Productivity” (BerrettKoehler 2018). She is a past president of the National Speakers Association and a member of its exclusive Speaker Hall of Fame (with fewer than 175 members worldwide). Stack’s clients include Cisco Systems, Walmart and Bank of America, and she has been featured on the CBS “Early Show,” CNN and in The New York Times. To have Laura Stack speak at an upcoming meeting or event, call 303-471-7401.

hop managers hardly ever have to think about one of the most valuable machines in their garage, though they may use it dozens of times a day. You might call it an ideal product: Year after year, it performs so well that hard-working auto technicians can comfortably take it for granted, though it doesn’t service autos. Instead, it keeps the shop within easy, constant reference for the drivers behind the wheels.

SKeep Them Coming Back: Cobra’s Striker Sticks to Reassuring Customers at a Glance

Shop managers hardly ever have to think about one of the most valuable machines in their garage, though they may use it dozens of times a day. You might call it an ideal product: year after year, it performs so well that hard-working auto technicians can comfortably take it for granted, though it doesn’t service autos. Instead, it keeps the shop within easy, constant reference for the drivers behind the wheels.

We’re talking about Cobra Systems’ sturdy little Striker industrial standalone printer (computer connection is optional), a favorite at busy service and repair shops for going on three decades. It creates high-quality custom oil/lube reminder stickers — they never fade and are always easy to read — that adhere to the inside of the windshield. The stickers can be customized not only with the shop’s logo, phone and address, but now QR codes can be added for swift interfacing with customers. They can even connect with the shop computer’s point-of-sale system.

We’re talking about Cobra Systems’ sturdy little Striker industrial stand-alone printer (computer connection is optional), a favorite at busy service and repair shops for going on three decades. It creates high-quality custom oil/lube reminder stickers – they never fade, so are always easy to read – that adhere to the inside of the windshield. The stickers can be customized not only with the shop’s logo, phone, and address, but now QR codes for swift interfacing with customers. They can even connect with the shop computer’s Point of Sale system.

So, while shop owners and workers rarely give the easygoing Striker much thought other than the few seconds they wait as it prints out a neat vinyl square, they can bet that their customers would notice if they didn’t have that convenient little sticker. People appreciate the reminder for service, and the reassurance that contact information for their vehicle’s repair professionals is only a glance away when they’re on the road.

So, while shop owners and workers rarely give the easygoing Striker much thought other than the few seconds they wait as it prints out a neat vinyl square, they can bet that their customers would notice if they didn’t have that convenient little sticker. People appreciate the reminder for service, and the reassurance that contact information for their vehicle’s repair professionals is only a glance away when they’re on the road.

Loved for Longevity

Loved for Longevity

One of the reasons the Striker is so popular with repair and service garages is that its maker, family-owned Cobra Systems Inc., builds its industrial printers to function in industrial

One of the reasons the Striker is so popular with repair and service garages is that its maker, familyowned Cobra Systems Inc., builds its industrial printers to function in industrial settings. These small,

settings. These small, stand-alone, hard-shelled units have a reputation for decades of longevity. They can be operated independently of computers, software and even electricity if a Cobra Systems portable battery pack accessory is included. They are very easy to operate, with a variety of templates for service reminders or decals.

stand-alone hard-shelled units have a reputation for decades of longevity. They can be operated independently of computers, software, and even electricity if a Cobra Systems portable battery pack accessory is included. They are very easy to operate, with a variety of templates for service reminders or decals.

Cobra Systems, established in 1989, specializes in helping businesses find unique solutions for industrial signage and workplace print needs — a surprisingly large territory, it turns out. Its Striker and larger VnM SignMaker printers create extremely durable adhesive and magnetic vinyl signage for indoor and outdoor industrial and commercial use of astounding variety in useful applications.

Cobra Systems, established in 1989, specializes in helping businesses find unique solutions for industrial signage and workplace print needs –surprisingly large territory, it turns out. Its Striker and larger VnM SignMaker printers create extremely durable adhesive and magnetic vinyl signage for indoor and outdoor industrial and commercial use of astounding variety in useful applications.

the brutal conditions experienced by shipping containers, boats and ships. It can withstand at least five years exposed to sun, cold and rain, so it can be applied to almost any clean smooth surface indoors or out, including floors. The wide variety of OSHA compliant vinyl colors stay brilliant, and lettering remains crisp and easy to read. Their surfaces are easy to clean, so they keep their vibrancy which is crucial for warning and safety alerts around chemicals, construction sites and warehouse operations.

by shipping containers, boats, and ships. It can withstand at least five years exposed to sun, cold, and rain, so can be applied to almost any clean smooth surface indoors or out, including floors. The wide variety of OSHA compliant vinyl colors stay brilliant, and lettering remains crisp and easy to read. Their surfaces are easy to clean so they keep their vibrancy, crucial as warning and safety alerts around chemicals, construction sites, and warehouse operations.

Feedback from users of the VnM SignMaker and the Striker shows that business owners come to love the nimble independence of being able to make their own signage on demand in minutes, instead of having to order it from an outside vendor and wait for days. In fact, the cost of three outsourced industrial sign projects typically equals the cost of a Cobra Systems printer. After it is purchased, its cost effectiveness gets even better as customers realize great price savings in superior-quality vinyl supplied by Cobra Systems, hard to find anywhere else at any price.

Feedback from users of the VnM SignMaker and the Striker shows that business owners come to love the nimble independence of being able to make their own signage on demand in minutes, instead of having to order it from an outside vendor and wait for days. In fact, the cost of three outsourced industrial sign projects typically equals the cost of a Cobra Systems printer. After it is purchased, its cost effectiveness gets even better as customers realize great price savings in superior-quality vinyl supplied by Cobra Systems, hard to find anywhere else at any price.

From reflective to glow-in-thedark to clear as glass, give extra voltage to what workplace signs do best: give directions, identify locations, provide reminders and instruction, and warn of safety hazards. Wellthought signage can make a solid improvement in productivity, safety, and employee confidence in any dynamic workplace where people are constantly on the move in coordinated effort.

From reflective to glow-in-the-dark to clear as glass, give extra voltage to what workplace signs do best: give directions, identify locations, provide reminders and instruction and warn of safety hazards. Well-thought signage can make a solid improvement in productivity, safety and employee confidence in any dynamic workplace where people are constantly on the move in coordinated effort.

What a Difference a Sign Makes

What a Difference a Sign Makes

For smaller businesses as well as large conglomerates, whether they are retail or industrial, public or private, smart use of colorful signage can increase harmonious flow, workplace productivity, and safety in a big way. Users of Cobra Systems for improved workplace safety and efficiency include Amazon Warehouses, WalMart, Hyundai, and Tesla, among others.

For smaller businesses as well as large conglomerates, whether they are retail or industrial, public or private, smart use of colorful signage can increase harmonious flow, workplace productivity and safety in a big way. Users of Cobra Systems for improved workplace safety and efficiency include Amazon warehouses, Walmart, Hyundai and Tesla, among others.

Cobra Systems signage is so resilient that it qualifies as “marine quality” by British Standard, suited for the brutal conditions experienced

Cobra Systems signage is so resilient that it qualifies as “marine quality” by British Standard, suited for

For more information about the Striker oil/lube windshield reminder printer or any of Cobra Systems, Inc.’s other industrial printing products and services, visit www.CobraSystems.com/meineke or call 800-262-7298

For more information about the Striker oil/lube windshield reminder printer or any of Cobra Systems’ other industrial printing products and services, visit www.CobraSystems.com/meineke or call 800-262-7298 .

“Cobra Systems’ extreme premium quality adhesive vinyl gives bright voltage to what signage does best: provide reminders, give instructions, direct flow, and mark safety hazards.”

“Cobra Systems’ extreme premium quality adhesive vinyl gives bright voltage to what signage does best: provide reminders, give instructions, direct flow and mark safety hazards.”

The Experience of Great Customer Service

The term “customer service” evokes different images in people’s minds. One image could be that of friendly, smiling, helpful employees who go out of their way to serve you. Or it could be the opposite — indifferent, unfriendly employees who can’t wait for you to leave or hang up the phone.

Most people can recall many examples of poor customer service. Whether it’s the help desk employee that puts you on hold for 20 minutes or the store cashier who engages in a personal conversation with a co-worker instead of ringing up your purchase, poor customer service can make people feel frustrated and vow never to do business with that company again. You can probably think of several examples of poor or mediocre service you’ve received in just the last few days.

In this article, I focus on some key elements of excellent customer service and more importantly, how to provide excellent customer service. I should first make very clear that customer service isn’t about a department that deals with customer issues or complaints. What I’m talking about is the entire experience a customer has when dealing with your organization.

Defining Great Customer Service

Because it’s relatively rare, great service feels like a gift. You feel welcomed and that the organization cares about you as a customer. You feel valued rather than merely tolerated. The company’s processes are designed for the customer’s convenience, not the

organization’s convenience, and the processes feel seamless. If there’s a problem, the company takes ownership and goes out of its way to correct the issue.

Why Is Excellent Customer Service Important?

Receiving great customer service makes us want to continue to do business with an organization over the long haul. And that alone is the secret to business success — retaining customers by providing great customer service.

by DENNIS SNOW

With so much competition out there, customer loyalty is the single most important attribute your business can have. You achieve loyalty by doing the “little things” that make customers want to deal with you again and again and recommend you to their friends.

The real difference is how a business makes their customers feel. If customers feel valued, most will remain loyal. If they feel undervalued, sooner or later they will defect to a competitor.

Many studies from organizations such as TARP, American Express and others have shown that one of the top reasons customers leave is poor customer service. Other studies have noted how customers define poor service: “An attitude of indifference on the part of employees.” So, while poor customer service certainly causes customers to leave,

indifferent service can be almost as detrimental.

With customers citing poor customer service as a reason for leaving, what can your company do to achieve customer loyalty?

Assuming your products and prices are competitive, you need to focus on providing excellent customer service to gain loyalty. To do that, here are four simple principles to help you make sure your customers remain loyal to your organization.

How to Deliver Great Customer Service and Create Loyal Customers

1. Look At Everything Through The “Lens of The Customer”

Because customers have their choice of where to obtain goods or services, the business must convince the customer that it truly cares. Engaged, caring employees or customer service professionals raise the customer’s confidence that the business is looking out for the customer’s interests. When that employee suggests a new product or service, the customer trusts that his or her best interest is at heart. On the flip side, if the customer senses a lack of caring, he/she will question the motives behind any recommendations.

A good example of seeing through the lens of the customer relates to the use of industry jargon. Every business has its jargon, acronyms, etc. It allows employees to communicate with each other in a kind of shorthand. But it’s important to remember that customers typically don’t understand that jargon and find it confusing and intimidating when it’s used in communication.

Successful businesses speak the language of the customer, not the language of their own industry. In other words, they look through the lens of the customer when choosing their words.

Take, for example, the banking industry. Would a young couple buying their first house be looking through the same lens as a customer who buys and sells real estate for a living?

Of course not. That young couple purchasing their first house is excited and nervous — that’s the lens through which they are experiencing this purchase. Therefore, they need a loan officer who is excited for them, who explains the terms in everyday language and who provides information that will make their buying experience easier. A bank that shows that level of care is likely to earn that young couple’s ongoing business.

One of the reasons we tend to look through our own lens rather than the customer’s is that the longer we do what we do, we start to think that customers know what we know. But they don’t always know what we know.

Those processes and procedures that you and your team might deal with every day, your customers don’t. That’s why so many times when there’s a customer problem, and we analyze it later, we’ll say it was a communication issue. And the issue is that we assumed that the customer knew how this process or procedure works, and the customer did NOT know how it works, and our relationship with that customer suffered because of that assumption.

When designing customer processes or delivering service through those processes, it’s important to keep this question in mind: “Am I seeing this experience through the customer’s lens?”

2. Pay Attention to the Details Because “Everything Speaks”

Imagine visiting a fine dining restaurant for a special occasion. You’ve been looking forward to the meal, and you’ve heard good things about the restaurant.

Then imagine noticing something crusty dried on your

silverware and old lipstick marks on your water glass. Wouldn’t you begin worrying about the cleanliness and quality of everything else in the restaurant? Everything speaks!

Now imagine a customer entering your place of business. She notices trash in the parking lot. When she enters the reception area, she sees delivery boxes stacked by the receptionist’s desk. She sees employees standing around eating and having personal conversations.

All of this detracts from your business’s image. Consciously or unconsciously, the customer’s antennae go up and makes them question, “Do I really want to spend my money here?”

When it comes to delivering great customer service, the “everything speaks” philosophy means that all employees understand that even the little things count. Pay attention to everything, including whether the physical environment is neat and clean, whether all necessary supplies are available, whether the employees are dressed appropriately, etc.

Anything that sticks out as “wrong” becomes an intrusion on the customer experience. These intrusions add up and result in customer concern. On the other hand, when customers sense an atmosphere of professionalism, care and order, they feel a sense of confidence.

How many times have you seen employees in a business walk right by trash on the floor or a display that has been bumped out of alignment? Employees who understand that everything speaks will take a moment to pick up some wadded paper and straighten the display because they know that such behaviors have a direct impact on the customer experience.

Attitudinal Everything Speaks

This principle doesn’t just apply to the physical environment. There’s also what I call “attitudinal everything speaks.”

We’ve all dealt with a customer service rep who we could tell didn’t really want to help us. We could tell by the tone of voice that he or she would much rather be doing something else.

On the other hand, we’ve dealt with service providers who appear through their demeanor that they are delighted to see us or hear from us and are anxious to serve us. That’s what I mean by “attitudinal everything speaks.”

Take a moment to think about your company’s physical and attitudinal service environment. Since everything speaks, what are the details saying about your organization?

3. Create Customer “Wows”

Small gestures can create customer wows.

Consider the housekeepers working in the hotels at Walt Disney World. Housekeepers have a tough job. Cleaning up after people on vacation is a challenge. Even in such a challenging job, Disney’s housekeepers will do little things that make guests say, “Wow.”

For example, while spending a day in the Magic Kingdom, children will often leave their stuffed Disney characters in their hotel rooms. Housekeepers have been known to position the characters with playing cards in their hands or tuck the characters into the children’s bed to create a moment of magic.

Employees can do many things to create wows. Remembering a customer’s name is a huge wow, creating a feeling of family. Letting a customer know that another product may better meet their needs is another wow. Sending a goody basket with a handwritten note to that young couple who just took out their first

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Customer Service

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mortgage is a wow.

Some wows are small and some are large, but make no mistake about it — wows add up.

One of the most powerful ways to make creating wows a part of your organization’s culture is to share best practices with fellow employees. Hold a company meeting so employees can share things that they have done that dazzled customers. Just talking about these behaviors increases the likelihood that others will adopt some of the practices or create new ones of their own.

Imagine everyone on your team performing with this mindset: “Will my behaviors make this customer say or think, ‘wow’?”

4. Know What Frustrates Customers – And Do Something About It

“Why does this have to be so difficult?!?”

How many times have you had that thought as you navigated through some company’s confusing, maddening process? My guess is you could rattle off several experiences without batting an eye. I know I can. Sometimes it’s all you can do to keep from screaming.

Recently I was helping my mom close an account with a large online bank. She hadn’t used this account in years, and the balance was just $94. Well, it might as well have been $94,000 with all the hoops we had to jump through just to close the account. It reached a point where I just wanted to tell the customer service rep, “Just keep the $94.” (Maybe that was their strategy all along.)

I realize that this frustrating experience was not the customer service rep’s fault. She was simply following the process the bank has in place for closing an account. And maybe there are good reasons for the hoops we had to jump through.

But it doesn’t matter. To the customer, it’s a clunky process that will likely keep me or my mom from ever working with that bank again.

Frustrating processes are everywhere:

• The appliance repair company that tells you a technician will be at your house sometime between 8:30 a.m. and noon. From the customer’s perspective, whose convenience are they concerned with?

• The doctor’s office waiting room where you sit waiting well beyond your appointment time, with no one providing updates of when you’ll be seen. (Keep in mind they knew you were coming — you had an appointment!) Whose time do they really value?

• The company phone tree with a mind-boggling number of options, making it nearly impossible to get to a live human to help. How much value do they really place on taking care of their customers?

Keep in mind that most of the organizations guilty of causing these frustrations know that they exist. They just don’t do anything about them.

And while it’s maddening for the customer, it’s likely even more maddening for the company’s front-line employees. They’re the ones who deal with these frustrated customers every day.

And human nature being what it is, employees learn quickly to put an emotional barrier between themselves and the frustrated customer because they know they can’t win. They just want to end the interaction as quickly as possible.

A wonderful way to delight your customers AND your

employees is to do something about those frustrations. When you do that, you become a beacon of light in a frustrating customer service world. Consider the following examples:

Good Customer Service Examples

• The doctor’s office that has an electronic board on the wall that shows where you are in the queue of people waiting to be seen, thus managing your expectations.

• FastPass at Walt Disney World (pre-COVID-19) allowed guests to make reservations for popular attractions, dramatically reducing wait times. I also think it was a stroke of genius that for the newer attractions, the queue is designed to be a part of the attraction’s story.

• The electric utility that texts customers with regular updates during a power outage.

Each of these organizations has identified a customer frustration and done something about it. Customers appreciate the organization’s efforts, and employees do too. It’s a great way to build customer and employee loyalty.

What are some of the things that frustrate your customers, and what can you do about them?

The Payoff – What Is Customer Service to You?

Building a culture of customer service excellence takes commitment from everyone on the team. It’s not something that happens overnight or can be put on automatic pilot. It takes constant focus and nurturing.

The hard work does pay off, however. Consider the following statistics:

• Sixty-nine percent of customers say they’ll spend more with a company that has good customer service. (American Express)

• Customers are 64% more likely to try a company’s new offering if they think the company has very good customer service. (Qualtrics)

• Increasing customer retention rates by 5% increases profits anywhere from 25% to 95%. (Bain and Company)

Take Action Now

Excellent customer service is not about policy manuals. Excellent service is about excellent behaviors.

When employees focus on excellent service, the results can be magical. Customers are happy, employees are happy and shareholders are happy. Everyone wins.

The key is to make service excellence a habit. Encourage every employee to internalize the principles described in this article, so they become habits. When employees focus on these principles, your company will achieve the most powerful result of all — intense customer loyalty.

DENNIS SNOW is the president of Snow & Associates Inc.

Dennis worked with The Walt Disney Co. for 20 years and now consults with organizations around the world, helping them achieve their customer service goals. He is the author of “Unleashing Excellence: The Complete Guide to Ultimate Customer Service” and “Lessons From the Mouse: A Guide for Applying Disney World’s Secrets of Success to Your Organization, Your Career, and Your Life.” You can reach Snow at 407-294-1855 or visit his website at www.snowassociates.com.

THEDOWNSIDE OF SUCCESS&

THEUPSIDE OF BOUNDARIES

Success is important. Success is worth pursuing. Career success is often measured by title, authority, recognition and income.

Presidents are seen as more successful than vice presidents. Being in charge of 100 people is seen as more successful than being in charge of 10 people. Receiving a national award is seen as being more successful than recognition in your office. Making $250,000 a year is considered more successful than making $80,000 a year.

People invest an enormous amount of time and energy in working to be successful. It’s a good thing to be successful, to be seen as successful and to have the resources to do what you want in your life for yourself and other people.

THE DOWNSIDE OF SUCCESS

However, as you become more successful because of your wellhoned talent and hard work, there are traps you can easily fall into.

TRAP ONE: PEOPLE STOP BEING HONEST WITH YOU.

When you’re 23 years old, six months into your new job, and you get drunk at a company party, the boss will call you in the next day and tell you to stop acting like a knucklehead, or you will be fired.

When you’re 45 years old, the COO of the company and you get drunk at every company party, perhaps no one will say a word to you because they don’t want to put their jobs on the line.

TRAP TWO: THE BOUNDARIES ON WHAT IS APPROPRIATE BEHAVIOR BECOME HAZIER.

As you keep pushing the envelope, and no one says anything to you, you start to think more and more obnoxious words and behavior are okay.

I have seen a senior executive in a room with several associates, and the executive makes bizarre, perverse statements using very vulgar language. The associates just roll their eyes when the executive can’t see them. No one points out to the executive how ridiculous he or she is acting.

TRAP THREE: YOU IGNORE MULTIPLE WARNING SIGNS.

Even if no one tells you to change your words or your behaviors, there are almost always warning signs you could have picked up on. You can feel the next day that you said something or did something wrong. You can see it in people’s non-verbal cues. They are sending messages to you. You might lose a good employee or a good customer because of something you said or did.

by DAN COUGHLIN

When you are in this trap, you just continue on saying what you’ve been saying and doing what you’ve been doing without paying attention to any of the warning signs.

TRAP FOUR: YOU THINK YOUR TALENT AND SUCCESS JUSTIFY ALL KINDS OF BEHAVIOR.

If you ever hear yourself or hear other people saying things like, “His/her talent is so great that we can’t afford to ever lose him or her no matter what he/she does,” then WAKE UP. Those words are dangerous. They open the door to terrible thoughts and behaviors.

I know of people who are tremendously successful, but every single time they drink, they get very drunk. No matter how many times they must be carried home, they still put their career in danger because of their willingness to justify their drinking with their tremendous business talent.

Their big title or their big talent becomes a trap, until one day their behavior is so far over the line the company has no choice but to fire them or something worse happens.

THE UPSIDE OF BOUNDARIES

The way to avoid these traps is to truly value having boundaries in your life.

VALUE ONE OF BOUNDARIES: YOU CAN SEE WHEN IT’S TIME TO MAKE AN ADJUSTMENT.

If you have a sense of the standard of behavior you want to maintain, then it becomes clear when you are missing that mark. My hunch is most of us have made mistakes in what we have said or done at some point. I certainly know I have said and done things where it very quickly became clear I needed to adjust my future words and actions.

Pay attention to what is happening right around you or internally. Take those indicators seriously and make the necessary changes for your own sake. They might not hurt you today, but they will eventually catch up to you.

We must be able to see when it’s time to make an adjustment. It’s dangerous to kid ourselves that we’re always talking about somebody else’s wrong behaviors or wrong words. We must be honest with ourselves about what boundaries we want to live within in terms of our words and our actions, and then we need to make adjustments to get back within our clear boundaries.

VALUE TWO OF BOUNDARIES: WITHIN CLEARLY DEFINED BOUNDARIES, YOU HAVE TREMENDOUS FREEDOM.

Once you start to realize your boundaries, you start to realize how much freedom you have within those boundaries. In a democracy, you have tons of freedom to do and say what you want to do. However, there are still laws that you have to operate within.

The same is true in our lives. When we know the boundaries we need to stay within, we realize that we’re still left with an enormous amount of freedom in terms of what we can choose to do or say. It’s when we ignore the boundaries that we start to lose our freedom.

VALUE THREE OF BOUNDARIES: YOU CAN SUSTAIN GREAT PERFORMANCE AND RESULTS FOR THE LONG TERM.

Boundaries truly don’t hold us back. They allow us to keep going strong for the long-term. Thomas Kinkade was like a volcanic eruption of talent. From 1987-2012, he produced an unbelievable number of great paintings. However, with no boundaries in place, he eventually lost his wife, his family, his work and his life by the age of 54.

VALUE FOUR OF BOUNDARIES: YOU CAN SLEEP BETTER AT NIGHT.

Operating within boundaries means you are acting with integrity. You are doing what you believe is the right thing to do. And that is the recipe for getting a good night’s sleep. Acting with integrity really is the best pillow.

Since 1998, DAN COUGHLIN has worked with serious-minded leaders and executives to consistently deliver excellence. He provides executive coaching, leadership and executive development group coaching programs and seminars to improve leadership and management performance. His topics are personal effectiveness, interpersonal effectiveness, leadership, teamwork and management. Visit his free Business Performance Idea Center at www.thecoughlincompany.com.

West Coast Workplace Litigation Explosion May Soon Spread Across Country

West Coast employers have been dealing with a new era of workplace litigation since the start of the pandemic: one that features increased claims, higher settlement demands and more aggressive plaintiffs’ counsel – and if past trends hold true, businesses across the country may soon also face the same fate.

That’s according to the results from the most recent Fisher Phillips (FP) Flash Survey, where nearly 350 employers across the country provided their insights to Fisher Phillips late last year. Also notable from the survey: Employers in the retail, hospitality, healthcare and staffing fields have been more acutely impacted by what some fear may be the “new normal” in workplace litigation.

Here are the four most intriguing conclusions gleaned from the survey results:

1 West Coast Employers Have Borne the Brunt of the Litigation Explosion.

While only 28% of employers across the country reported an increase in the number of workplace-related lawsuits since the pandemic started, that figure nearly doubles to 43% when focused just at employers on the West Coast. In fact, almost 20% of those businesses in the Pacific area (mainly California, Washington and Oregon) noted a “significant” increase in the claims faced over the past three years.

Similar figures emerge when examining the amount of compensation sought in employment-related filings and

settlement demands. Just a little over one in four (28%) report having experienced a mild-to-significant increase in the amounts sought by plaintiffs, but 39% of employers on the West Coast have seen such a spike.

by ANDRIA RYAN by HAGOOD TIGHE

Meanwhile, only 21% of Midwest employers reported an increase in the number of claims filed, and that number declines even further for those in the South (18%), Atlantic (17%) and Mountain (16%) areas.

But that’s not to say that employers in these locations will be spared from the onslaught. “With increased protections of employee rights under both state and federal laws – not to mention state and federal legislation to limit the enforceability of arbitration agreements – employers across the country should be prepared for more lawsuits over the next few years,” says Kristen Nesbit, a Fisher Phillips partner based in Los Angeles who regularly litigates employment matters on the West Coast and across the country. “These will include harassment and retaliation claims based on sex and disability and wage claims as a result of decisions that employers made over the last few years due to COVID-19 layoffs, remote work and vaccine mandates.”

2

List of Industries Experiencing Litigation Boom Includes Usual Suspects – and Some Surprises.

It will probably come as little surprise that employers in the retail, hospitality and healthcare sectors are in the top five when it comes to examining which specific businesses have felt the litigation boom described above. Nearly half of retailers (46%) and hospitality employers (45%), and more than a third of healthcare organizations (37%), have seen an increase in workplace-related lawsuits since the start of the pandemic. While it’s been a particularly difficult three years for these businesses, these findings show that their pain has been compounded by employment-related court battles.

Adding further insult to injury is the amount sought in lawsuits and demands against employers in these industries. An astounding 56% of hospitality businesses reported seeing an increase in the amount of compensation demanded in workplace-related disputes, and those in the retail (46%) and healthcare (37%) spaces have faced a similar fate.

But also dealing with an increase in employment litigation are industries that you might not expect to see in the top five. Forty-four percent of staffing/professional employer organization (PEO) businesses report an increased number of claims and higher compensation demands, as have 40% of businesses in the technology sector. “Some PEOs reported a decline in the quantity of Employment Practices Liability Insurance (EPLI) claims during the pandemic. That trend appears to have reversed in recent months, perhaps due to courts resuming normal operations,” says John Polson, an Irvine-based Fisher Phillips partner and management committee member who co-chairs the firm’s Staffing and PEO Industry Group.

3 Plaintiffs’ Counsel Have Gotten Even More Aggressive on the West Coast and in Claims Against Certain Industries.

A disturbing fact of life since the start of the pandemic has been the increase in the number of news reports and social media videos depicting people acting out in public – on airplanes, at the grocery store, in parking lots. But the FP Flash Survey reveals that this level of vitriol has unfortunately also reached the world of workplace litigation. Twenty-nine percent of employers have seen an increase in the level of aggression from plaintiffs’ attorneys in workplace lawsuits since the pandemic started, including 40% of businesses on the West Coast. “We are seeing unreasonably aggressive demands and irrational positions being taken by plaintiffs’ attorneys in litigation,” says Danielle Moore, an FP partner based out of San Diego who has a heavy docket of West Coast litigation. “It’s been disappointing and frustrating to also see an increase in the overall complete lack of professionalism and civility that has traditionally been expected amongst professionals and required by the rules of court.”

And the same industries that have faced a spike in claims and compensation demands have also faced a more aggressive plaintiffs’ bar. By industry, the employers that have seen a mild-to-significant increase in the level of aggression from plaintiffs’ attorneys in workplace claims includes:

• Staffing/PEO: 55%

• Retail: 54%

• Hospitality: 42%

• Technology: 40%

• Transportation: 38%

• Healthcare: 37%

4

Hospitality Sector and West Coast Employers Have Had to Dig Deep to Settle Workplace Claims.

More than four in 10 employers in the hospitality space (42%) report that they have had to pay out increased settlements to resolve workplace disputes since the pandemic started. This figure leads any other industry, including manufacturing (29%), technology (27%), transportation (25%) and retail (23%).

The massive boom in litigation against hospitality employers can likely be traced to two factors. The flood of ADA Title III accessibility lawsuits – which has not slowed at all – and the fallout from having to lay off, reduce and furlough large numbers of employees at the start of the pandemic.

Just as with prior findings, it comes as no surprise that West Coast employers also report the highest incidence of increased final settlement amounts in workplace claims. One in three employers on the West Coast (34%) say they have had to pay out mild-to-significantly increased settlement amounts to resolve workplace disputes in the past two years, compared to a quarter of Atlantic-area employers (24%) and a far-fewer grouping of employers elsewhere (17% South, 15% Midwest and 13% Mountain).

We will monitor these developments and provide updates as warranted.

ANDRIA RYAN is the co-chair of the Fisher Phillips Hospitality Practice Group, and HAGOOD TIGHE is the co-chair of the Fisher Phillips Wage and Hour Practice Group. Contact them at alureryan@fisherphillips.com or htighe@fisherphillips.com.

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