BodyShop Business Blog - All Comments

re: Communication Breakdown

Skitch Davis — Mon, 18 Aug 2008 00:28:50 GMT

I too was in attendance at the Colombia MO meeting. I listened to the 'Progressive' method of State Farm's Avery method of skating problems. I have had contact with Prog's Larry Shaw since the meeting. We had the usual steering problem with one of their "Home Office Where ever it is I've just had a wreck call center" operators.

I informed Larry that things have lightened up and have improved considerably locally in the KCMO area with his people, as I have not had to escort any of them out of my shop lately, (I am not kidding, serious as a heart attack here), and was not even considering holding him hostage for those of his company, over which he had no control. BUT, I leveled with him that he does not need to conduct business as does Avery, and completely fail to communicate with his upper people... He needs to ilustrate some genuineness in communication efforts.

Bottom line here with Prog in our area, we can get much closer to a real life damage assessment. There has been a much better effort on their part to get things done in efforts to get their responsibility to my customer taken care of properly. I have also exerted efforts to be more patient as well, and this has worked well to get where we need to be.

re: The Future of Collision Repair?

Donnie Smith — Fri, 15 Aug 2008 02:01:54 GMT

That sounds like an awesome shop. I also agree that times are changing...sometimes I think maybe too fast.

re: Customer Service Key

SuperDave — Sat, 02 Aug 2008 20:51:10 GMT

Thank you for the post Jason.

I think I can offer some unique insight on this topic. Prior to my current role of Operations Manager for a multi-location body shop, I spent several years working as a call center manager for the corporation who handles Best Buy's incoming customer service calls. Best Buy takes customer service extremely seriously, and on a regular basis front line customer service calls were monitored and reviewed against Best Buy’s list of “keys to customer satisfaction” by their executive management, often at a surprisingly high level. Many of these keys translate very well to our customer interactions at the shops I manage, and I believe that this targeted focus on specific aspects of customer experience sets our shops completely apart from others in our market. I look forward to reading August’s article for more insight into providing superior customer service as relates to our industry, and look forward to following up this post with what works for me after that article prints.

re: Customer Service Key

Donnie Smith — Wed, 30 Jul 2008 01:43:35 GMT

I agree, customer service is important. Here is an excellent book by Carl Sewell that describes stellar customer service. www.amazon.com/.../ref=ed_oe_p

re: Raising Labor Rates

jstahl — Tue, 08 Jul 2008 21:11:32 GMT

My comment was based on the Consumer Federation of America recently reporting that the insurance industry's reserves were at an all-time high. Some feel it is excessive.

re: Communication Breakdown

Donnie Smith — Wed, 02 Jul 2008 12:59:08 GMT

Here is a link to a few videos I found that I believe you may find interesting. Are there other associations out there like this?

www.c-a-r-a.org/commercials.htm

re: Raising Labor Rates

FixedOn66 — Mon, 16 Jun 2008 15:08:18 GMT

Even though I'm a body shop owner, (OK, not MA) I can't believe your last phrase, "insurers can indeed absorb the cost". Should I

The problem isn't that the insurers are making too much money. The problem isn't that body shops aren't making enough. The problem is that Massachusetts does not allow a free market system in the insurance/collision repair industry.

The state tells insurance companies how much they can charge for insurance policies. The state tells body shops how much they can charge insurance companies for repairs. With that logic shouldn't the state determine how much the paper company can charge for a ream of paper for the copiers or even the price for toilet paper? How far should the absurdity of the process continue?

What is needed is what we have in most states including my state; insurers can charge what they want to charge and shops can charge what they want to charge. If either charges outside the market norm they will lose business to their competitors. When the cost of doing business warrants, the industry as a whole will increase rates to stay profitable.

It's bad enough to have to wait for insurance companies to catch on to a labor rate increase as it makes its way through a region. I can't imagine waiting for a government bureaucrat to decide, in his infinite wisdom, how much I should charge for my business to make a profit.

re: Crying Wolf?

jstahl — Tue, 10 Jun 2008 23:26:55 GMT

BadWolf - This is an interesting perspective. We hear so often why DRP shops are bad, but hardly ever why they might be good. I'd be interested in hearing more from you on misconceptions about DRP shops. E-mail me at jstahl@babcox.com or call (330) 670-1234 x226.

re: Crying Wolf?

"BadWolf" — Fri, 06 Jun 2008 21:14:49 GMT

How do you know that insurance companies dont guarantee repairs? Simply because they dont perform the service itself implies they cant guarantee it? The reason the shop is on the program in the first place is not because of cheap repairs. The shops on the program in my city are definitely not the cheaper ones and as far as labor rates...its the same as all the other shops not on the program.

One of the reasons why a customer may get their car repaired quicker at a DRP shop is because its a PREFERRED SHOP and obviously arrangements and understandings are there that if a vehicle comes in from that company then they will have preference. My company hardly uses an independent appraiser unless the area is extremely remote so that theory about delaying it on purpose so the next time they will use the shop is incorrect. What if there isnt a next time because they got irritated it took so long. Thats not a procedure that will keep a business alive.

oh and its just as easy to take a car that was repaired at a shop not on the program. So not so much of the great marketing tool. Kind of a skewed idea...

re: Survey Says...

jstahl — Fri, 06 Jun 2008 15:45:35 GMT

Donnie - That's a great point. Vehicles ARE very sophisticated these days, and the days of guesswork are over. Perhaps some repairers still cling to pride and their feeling that they have enough experience to wing it, but that's faulty thinking.

ALLDATA says that its customers who have direct access to OEM repair information HAVE been very successful at leveraging that information to get what they require from insurers. Still, I have to think if a shop has signed a DRP contract with an insurer, it pretty much gives the insurer the right to call all the shots or else you're off the program.

re: Survey Says...

Donnie Smith — Fri, 06 Jun 2008 13:06:38 GMT

I believe the new ways that cars are being made today, leaves no room for guess work. The days of doing it the way we've always done it are gone. Taylor rolled and boron metals may leave some sectioning procedures unsafe. I think it would be hard for insurance companies to argue with OEM procedures, as it may result in unsafe vehicle to drive. Are there any shops out there that have this problem?

re: Crying Wolf?

jstahl — Wed, 04 Jun 2008 13:26:46 GMT

Great advice, Bill. I've never heard of fixing a car that was improperly repaired by a DRP shop as a good marketing tool. Outstanding.

re: "D" is for Diversification – and Doughnuts

jstahl — Wed, 04 Jun 2008 13:24:10 GMT

Thanks for commenting, Donnie. You're right – who would have thought people would pay for bottled water? Some people have even gotten so used to it they wouldn't drink from the tap if they were dying of thirst. It just goes to show how being a "visionary" and seeing trends well ahead of their time can pay off in a big way.

I think more collision repairers need to be visionaries, but I'm not sure it's something that comes easy. I think you just have to read a lot, stay on top of what's going on in society and maybe every so often take a chance. After all, out of every failure comes great success.

re: Crying Wolf?

Bill Gonyo — Tue, 27 May 2008 23:03:18 GMT

Great article. I would advise all shops to have their customers ask the insurance compainy how a shop becomes a preffered network member. What discounts are given in regards to labor rates and parts.

It is also a good marketing tool if you have photos and

final bills from any repairs you have performed on a

vehicle after it was incorrectly repaired by a DRP shop.

Be certain not to disclose the DRP shop or the insurance company.

re: "D" is for Diversification – and Doughnuts

Donnie Smith — Thu, 22 May 2008 15:20:41 GMT

Funny you mentioned that. I agree, I would have never imagined 20 years ago, the revenue coffee (Starbucks) and bottled water generate today.

Our environment is changing at a fast-pace today, so we must re-think and come up with new ways to survive and stay ahead.

I like the way you used donuts to convey this point. it makes perfect sence.