If your automobile workshop is filled with cars for availing the service doesn`t mean that your auto repair business is profitable. So the biggest question arise how to make automotive business profitable.
To extend your profit margins you need to do a lot more than just being self-complacent about the increasing number of cars coming at your auto workshop every day.
Way that can be adopted to increase profits are:
Scheduling services plays an important part in a workshop this ensures that your technicians get enough time for repair. Meanwhile you should keep an eye on waiting time for repair and servicing is not high.
Don’t promised too many repairs to customers, as it will increase the chance of insufficiently repaired. If you schedule too lightly, you’ll have technicians sitting around with nothing to do. Set daily goals for your staff and then schedule no more than that amount of work for each employee.
Focus on Labour Costs
Having control on your labour cost is one of the significant steps towards increasing your profit margins. Depending upon the complexity of a task, assign specific number of employees for a given duration on the task at hand. Further, try conducting training programs at your workshop to help your employees learn to handle complex repair tasks efficiently in lesser time. Also, invest in different tools and technologies to reduce manual effort and save on labour costs.
Inspection Plays an important role in workshop as Customers often get irritated if something breaks down in their car just a few days after servicing or repair. So, it’s recommended to provide your workers some additional time after every repair work to inspect vehicles for additional problems, if any. If any additional repair work is needed, customers would find it convenient to get it done there and then rather than coming back to your workshop for minor issues again. Moreover, share the report of repair services to your customers to ensure transparency and increase customer satisfaction.
Reduce Marketing Initiatives
The main focus should be on existing customers rather than attracting new clients. Instead of expanding for making presence online adopt simple yet effective publicizing strategies like referrals. Referral program for customers should be such that they get rewarded for sending you every new business.
Get the Right DMS Software
Investing in the right tool of the trade is equally important to keep close tabs on your business processes and prevent loopholes, if any. Top automobile workshop software serves the daily operational requirement of automobile workshop. You can use on the best automobile workshop software AutoGenius – Automobile Dealership Management Software to track and manage your sales cycle and invoice generation. It will also assist in handling accounting activities and managing bookkeeping tasks accurately.