In the pages of FenderBender you’ll often find discussions on major topics within collision repair, things that mean huge changes for the way shops operate. But it doesn’t always take a big change to make a big impact on a shop’s bottom line. Sometimes the simplest advice can be the most impactful.
“I don't know that this is good advice or bad advice, just don't be afraid to try new stuff,” says Cam Mashburn, owner of Mashburn’s Collision Center in Lawrenceburg, Tennessee.
And the basis for that advice might not even come from an expert, or not from an expert in collision repair, anyway.
“Kind of what I live by today is Eddie Van Halen,” Mashburn continues, “who said the rules of guitar are meant to be broken. It’s kind of the same thing.”
If there is one thing shop owners have learned over the past several years of pandemics, parts shortages, labor shortages, assorted acts of God, etc., it’s to be adaptable. Big changes aren’t always so easy to make with so much out of your control. So keeping track of the little details can pay off in a big way.
Opening the Door for Customers
Collision repair is a visual business. You can plainly see how sufficiently a car was restored to pre-accident condition. The same goes for running a collision repair business. Take a look around—what’s out of place?
“I love things to be clean and organized,” says Jason Mundy, owner of Mundy’s Collision Center in Lawrenceville, Georgia. “It's like going into a dirty kitchen and trying to cook something; it just doesn't work for me. So, I'm really big on having a really clean environment. That way, things are organized and it's more efficient and you kind of know where everything is, you're saving footsteps because that tool’s in the same place.”
Being clean and organized has positive effects beyond efficiency and safety, too. It helps employees maintain a sense of pride in their workplace to come to a shop Just like presenting a clean home to guests is part of being a good host, the same goes for the shop you present to customers.
Mundy says his shop lobby is so clean that it might remind customers more of a coffee shop than a body shop. The layout is simple and inviting, which is exactly what customers want when they’ve been in a stressful situation like an accident. And if they want to see the environment they’ve trusted their vehicle to, it’s right there.
“A lot of customers want to see our facility, so when we walk them back in our facility, it's something that we're proud of,” says Mundy. “A lot of comments come back to me saying, you know, ‘This is really clean, I did not expect it to look like this when we walked back there.’”
Keeping a shop clean is too simple of a task to let fall by the wayside. The old saying goes that you only get one chance to make a first impression. A customer’s first impression is going to be of a shop’s waiting area, or where they drive in to get an estimate, or even the outside of the building. And the way they think of your business is going to proceed from there.
“When a customer walks in, their first impression of the office, they're going to get the same first impression when you walk into our shop as you do when you walk into our office,” says Mundy’s General Manager Dustin Davis.
Sometimes the best marketing is simply showing your work. Mashburn says online presence is huge for shops, and it doesn’t need to be any kind of complicated marketing. Mashburn recalls his father Mike, who started the business in 1981, was resistant to putting photos of repairs online as he believed customers did not want to see their vehicles in such a mangled state. But to Cam, a demonstration of what collision repair is all about is just what customers needed to see most.
“Be transparent,” says Mashburn. “Don't be afraid to show, OK, this is the worst your car's going to look. And then here's another picture, when it's done, look how perfect.”
Among the simplest things a shop can do is let their good reputation spread the word for them. Customer reviews are a relatively painless thing for customers to complete and all you have to do is ask. It’s easy to offer incentives like entering customers into a drawing for a $100 gift card if they leave a review.
These little things can add up—Mashburn reports that in his area, most shops have less than 20 reviews on Google. Mashburn’s shop, through some of the initiatives described above, was closing in on 100, and nearly all of them were five stars. Given that, Mashburn has faith customers who do even some basic online research will know what to do.
“Where do you think they're going to choose? I mean, that's where I would choose,” says Mashburn. “So. I would focus heavily on the, on the online reviews and things like that, there's ways you can do that to make sure you're building that online reputation, because I think that's important.”
Laying the Path for Employees
It is hard to classify training and education as a “small” thing for shops. It can be a huge investment in both money and time lost from productivity. But in comparison to the return on investment—which is admittedly hard to quantify—it can certainly make the initial outlay look small.
Mundy says that training is something of a win-win. For the shop, it enhances quality and reduces liability. For the technician, it’s a boost to their careers and also helps them feel valued since the shop is willing to invest in them.
“Some of our young guys just want the education behind what they're doing,” says Mundy. “They want the training. And I would definitely say we've been able to pour into these guys. And once they know that you've got their back and you're pouring into them, it just increases their overall production and their love for being here.”
Not all training, of course, is created equal. While the bulk of a technician’s training is going to be hands on and geared toward their specific duties, more shops today are making it a priority to educate the whole person and help them advance their careers in other areas. Mundy’s, for example, has brought in Mike Jones from Discover Leadership to help round out their educational offerings.
“Spending the time and spending the money to take time out and invest in our people and the growth of our people personally, as well as setting a vision for the organization,” has increased efficiency and helped the team set shared goals, says Davis.
Shops of course struggle to find talent and retain the great employees that they have. And much of that is out of a shop’s control—there are only so many techs out there. That is why both shops put so much focus on culture and building a business where employees want to be. And again, it’s a simple formula.
“My dad did this years ago, he kind of instilled that in me you’ve got to treat your people right,” says Mashburn. “You’ve got to give them proper pay, you’ve got to make sure they're well compensated.”
Mundy’s maintains an open-door policy when it comes to employee communication, that way it’s easier for management to learn of potential issues in the shop. The team holds monthly meetings where employees can raise issues and ask questions. They also empower employees to make decisions themselves based on standard operating procedures rather than have to wait for guidance.
“I think that our culture is really what has set us apart created that efficiency and that productivity,” says Davis. “Because there's nobody in our shop that's a one-man band. If anybody needs a helping hand, there's always somebody that's going to go there, whether it's a painter helping a body technician, or a detailer helping a painter, or a body man helping detail a car.”
One thing that is simple to implement but not always easy to do is allowing for the workplace to not always feel like work. At Mundy’s on Fridays, employees can be seen playing soccer in the parking lot or grilling food out back. When those things are happening, employees are building trust, feeling more at home, and that can only make a better workplace going forward.
“We had a meeting probably six or so months ago, and one thing that really resonated with Dustin and I was having the right people not the best,” says Mundy. “And I know that maybe it's a little thing, maybe it's not, but just having everyone working together … building that camaraderie and they're building that culture.”
Mundy’s Collision Center General Manager Dustin Davis says that one advantage the shop has is an owner in Jason Mundy who isn’t needed to be on the shop floor day-to-day. That allows Mundy to take a more big picture view of the business and identify problems from a consumer point of view.
“When he's not involved in the collision side of things for two or three days, he can walk into in the front office as a consumer,” says Davis. “So he's walking in, he's seeing how he's being greeted … looking at things from a consumer’s perspective and doing things the way that you would want things done on your vehicle.”
One small skill that comes in handy in customer service is right there in the name—small talk. Just as you consider the technical abilities of shop technicians, it’s important to consider the customer service skills of any employee who is going to be interacting with customers, says Mundy’s Collision Center Dustin Davis. Their shop’s front end manager Pamela is adept at making each interaction meaningful and memorable with customers.
“You bring your car, right, and you drop it off with us today, and today is Thursday, and your kids have a baseball tournament on Saturday, and in a play at church on Sunday, chances are when you pick that car up, Pam is going to ask you how that baseball tournament went,” says Davis. “And she's going to find out how that play was at church. She's going to ask you questions about it, she's going to see if they got anything else coming up. … There's so many collision centers out there where you're just customers. That's it, you're, you're a car coming through the door. And that's not the culture that we want to develop.”
What is a small thing for a business can be a big thing for a customer. Mundy’s Collison Center GM Dustin Davis says that when applicable, kicking in a little something extra for a customer that comes at a small cost to the shop might be the finishing touch on a great—and memorable—experience.
“What can we do to make the experience that much better for the customer,” asks Davis, “and what can we do to go above and beyond? We don't do this on every single car, but we we'll go and we'll fill up a gas tank, or we'll go and we'll throw a $50 gift card in.”
It All Adds Up
Profit margin in a shop can be very fine, but one solution has saved a few dollars at a time and that’s a cumulatively big improvement at Mundy’s Collision Center. Owner Jason Mundy said that utilizing 3M’s Repair Stack hardware and software solution has helped streamline blueprinting, estimating and inventory management.
“It's really insignificant things in the estimating process and to get on your ticket, but man, you can really make a lot of GP on just adding those,” says Mundy. “Mike Anderson likes to call them forgettables, making sure you're seam filler’s on there, making sure your grinding discs or anything that are actually your consumables, things that you're using on the vehicle. If you're not billing for those things, it's a huge missed opportunity.”
Those things can add up to a couple hundred dollars per ticket, and using Mundy’s example of repairing 100-120 cars per month, that adds up to be a significant addition to each repair order. The other aspect to the stack is inventory management, ensuring that when materials are kept replenished as they go out to be used on repairs.
“It's pinging our jobber or our supplier to go ahead and restock us within a moment,” says Mundy. “Whenever it's got a minimum amount in there. So anytime one is taken out, the following day we're restocking on that. So it's pretty cool.”
DATA BREAKOUT
Drivers are becoming increasingly picky when choosing where to take their vehicles. These figures show the sentiments of drivers who have recently been to a collision repair shop. They show that drivers are doing their research and looking at pricing, depending on the type of repair and capabilities of the shop.
This information is courtesy of IMR, Inc. (www.AutomotiveResearch.com)
Look for least expensive option for repair:
Extremely Likely 19.6%
Somewhat Likely 22.5%
Neutral 32.0%
Not Very Likely 14.8%
Extremely Unlikely 11.1%
Research reviews for vehicle repair shops:
Extremely Likely 30.4%
Somewhat Likely 25.2%
Neutral 22.6%
Not Very Likely 12.0%
Extremely Unlikely 9.8%
******(second data set)********
Data from the 2023 FenderBender Industry Survey show that passion for the job is the most highly sought trait in a potential technician. See how technician pay and benefits stack up.
How do you pay your technicians?
Flat rate: 41%
Salary: 9%
Hourly: 24%
Hourly plus commission: 12%
Salary plus commission: 2%
Other: 12%
What best describes how your technicians work?
One tech per repair, start to finish: 26%
Techs work in teams on each vehicle, from start to finish: 18%
Techs are segmented by repair department: 50%
Other: 6%
What benefits do you offer your employees? (select all that apply.)
Disability insurance: 47%
Bonus plan: 54%
Retirement plan/401 (k): 65%
Training reimbursement: 52%
Health insurance: 71%
Life insurance: 43%
Others: 21%
*Respondents were asked to select all that apply
What trait is most important in a technician at your shop?
Technical skills: 22%
Ability to learn: 21%
Passion for the job: 26%
Trustworthiness: 18%
Ability to get along with others: 13%
Have you incorporated lean processes into your business to increase efficiency?
No: 67%
Yes: 33%
About the Author
Todd Kortemeier
Todd Kortemeier is former editor of FenderBender magazine and started writing as a contributor in 2024.