Jay’s auto repair increases net profit to 14% per year

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Jay’s Auto Repair turns over a net profit of 14 percent per year while the national average is only 5 percent. Discover how one auto repair shop owner changes his business and boosted his profits.

Published in: Automotive, Business, Technology
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Jay’s auto repair increases net profit to 14% per year

  1. 1.  Beats national average for repair shop profit by almost three times with a net profit of 14 percent per year Profits allow the owner Jay Alfsen to expand staff and shrink his own schedule from seven days a week to only a few hours each day
  2. 2.  One time Jay’s Auto Repair was struggling just to survive Took courage to get to this stage Jay decided to try a new approach to marketing and business operations New efforts had real impact to the bottom line
  3. 3.  Jay says, “If you don’t pay attention to marketing and develop a clear business approach, your mechanical skills alone will not be enough to ensure your success. The change in focus for me has dramatically improved my lifestyle and my bottom-line.”
  4. 4.  Jay risked hiring Ron Ipach of CinRon Marketing to help him learn marketing and the business side of auto repair “Sales improved incredibly and I was able to expand my staff and turn my business into a success,” Jay says
  5. 5.  Opened in 1987 in Schofield, Wisconsin Jay thought mechanical know-how was enough Next 18 years he struggled trying to keep his business going ◦ Repair shop was not very profitable Almost stopped auto repair business altogether “I was going to sell my property to my neighbor. I thought this might solve my difficulty with the shop at that time. But the sale wasn’t completed and I realized I needed to make the business work.”
  6. 6.  Only way for Alfsen to achieve different results was to take different actions Needed more work at the shop Needed to find the customers that would provide regular repeat business Didn’t have the knowledge on how to attract ideal customers to his shop “But I learned that profitability doesn’t happen by accident. It’s about getting the right cars and customers in the shop.”
  7. 7.  Reduce expenses while increasing available capital and net profit Buildup capital to support staff expansion Increase auto repair shop efficiency through enhanced business systems
  8. 8.  Learn to identify and manage marketing strategies that drove operational and financial objectives Ipach consulted with Alfsen to discover makeup of specific potential customer base that would be most profitable Included local targeting and using inbound and outbound tactics Used community outreach element strategies to boost outcomes that were goal directed
  9. 9.  Thrilled with 14% net profit, he is hoping to continue improving “The national average is 5%; we’re trying to reach 20 to 25%,” “Without a doubt the marketing had an enormous impact on our results.” “Thanks to our growth, despite being a mechanic I seldom work in the shop anymore. Now my biggest challenge is figuring out what to do with all my time.”
  10. 10.  For 15 years, Ron Ipach with the CinRon Marketing Group have helped over 4563 Auto Repair Shop Owners to attract and keep all the high-quality customers they can handle Visit CinRon Marketing Group site: ◦ http://www.cinronmarketing.com

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