How to increase the profit of a car service centre
The main goal of any business is to generate revenue. And in order to achieve positive results, you can use any methods, but weighing all the pros and cons beforehand.
For example, if you increase the cost of services, there will be fewer customers. You need to aim to increase their numbers and at the same time reduce the time spent on all service operations.
How can I increase revenue in my car service centre? Introducing new projects and ideas will help a car service centre become profitable. The direction of the car service centre, its geography, and the presence of competitors all play a major role when setting up a new business.
So you can increase your revenue by implementing new projects and ideas.
Calculation of car service profit
Planning the work of the service station, it is necessary to make a business plan, take into account its directions of development. It is convenient for customers to receive a set of services of high quality, which means that good specialists should work in the car service centre.
Business plan is calculated based on the availability of professional staff and resources of the enterprise. The presence of competent specialists and good equipment will lead to an increase in demand for services.
Business plan is calculated based on the availability of professional staff and resources of the enterprise.
How much profit will a car repair shop make per month?
The profitability of a newly opened car service centre averages 25%, and then this figure can increase to 40 – 60%.
Seasonality. In autumn and spring, the number of orders for service stations doubles. There is a demand for work on repair of air conditioners, suspension. The camber and tyre fitting are relevant in any season. In winter there is a growing demand for body work.
Potential customers. For example, owners of used cars go to the garage service station more often. To calculate who will apply to the service most often, it is necessary to analyse sales for 2-3 years. This information will allow you to form the necessary range of spare parts and an up-to-date list of services.
Profit generation. Business profit is closely related to the quality of services provided and their range. Therefore, although this market is quite saturated, good offerings are scarce. Providing quality services will result in a growing customer base.
Business profits are closely linked to the quality and range of services provided.
Specialisation. Experienced businessmen advise to choose a single specialisation for the service station. This will be able to distinguish the business among similar ones. Analysing the market demand and supply will help to pick up that profile, which is little represented in the city, region.
Selling spare parts. It is easy to open a point for the sale of components at the car service centre. Thanks to the dropshipping system there is no need to store spare parts in their own warehouses. Only the most frequently bought goods must be available. Less common and expensive parts can be delivered to order.
Opening a car service centre through a franchise. This scheme of work of service stations has long been worked out. Franchise will save the owner of the car service centre from any possible risks and unforeseen monetary costs that occur at the stage of launching the business.
Waiting area. A comfortable waiting area for customers shows the attitude towards them. Coffee machines, sofas are installed here. Such care for visitors will increase the average monthly income of the car service centre.
Tire storage. For customers who live in high-rise buildings, the issue of tyre storage is always relevant. The service of tyre storage on the territory of the STO will attract new customers.
Recruitment policy. Qualified professionals are highly valued in auto repair shops. Both motorists and owners of service stations know this. An experienced specialist always has its own client base. Competent selection of personnel directly affects the income of the service station.
Creating complex and exclusive offers. Many people think that narrow specialisation will reduce the flow of customers. However, information about quality services spreads quickly, so the number of visitors will even increase.
Creating a comprehensive and exclusive offer directly affects the revenue of the workshop.
How to choose a new direction for a car service
Popular destinations:
- GPS pumps;
- Steering racks;
- EPS units;
- Auto air conditioners;
- Shock absorbers;
- Starters and alternators;
- Brake calipers
MSG equipment offers ready-made business solutions in these areas. For their realisation it is necessary to choose the necessary business area. Purchasing one of MSG equipment business complexes, the customer gets not only complete set of equipment for car service, but also stable technical support. When buying an already ready business, the customer is trained to test and restore the unit.
Master Receptor training courses in auto service include learning the programme using the author's methodology. Training in MSG equipment gives an opportunity to master new profitable directions of car service activity, to make the enterprise competitive.
Training in MSG equipment gives an opportunity to master new profitable directions of car service activity, to make the enterprise competitive.
Marketing plan of car service
Correct promotion – is the key to the success of any business, and car service is no exception. Media, internet resources are used to conduct promotional campaigns. A proper marketing plan helps to attract customers, especially if the business is new.
A proper marketing plan is essential to the success of any business.
Effective marketing tools for auto businesses:
- Outdoor advertising (signs, billboards, banners, signs);
- Promotions (discounts for customers);
- Internet advertising (promotion of the site);
- Printed advertising (leaflets, booklets, business cards);
The right marketing will attract the consumer. MSG equipment – a company that is ready to share invaluable experience in creating its own successful car service centres.
