Although it’s been proven to be far less expensive for a company to keep existing customers than gain new ones, attracting new business remains a very important part of growing your business.
This holds true particularly in today’s economic climate, where the majority of consumers tend to limit vehicle service purchases to the bare minimum. Loyal customers will continue to reward your shop with their business, but chances are this is a fraction of what it once was.
Aside from a major advertising campaign, there are plenty of inexpensive – and even free – options for attracting new customers and keeping your service bays full. The first step, of course, is to please your regular customers, who will, in turn, promote your shop through invaluable word-of-mouth advertising and glowing recommendations.
When looking to expand your customer base, target potential patrons carefully. Look at the demographics of your current customers and don’t waste resources trying to attract an entirely different set of people. Also, keep in mind the location of your shop and its proximity to any new customers you wish to target, since most people won’t be willing to make a long drive to test out a new service location if they already are familiar with a shop that’s closer to home.
Once you’ve nailed down a set of potential customers you’d like to win over, it’s time to get started. Below are 10 ideas to develop a plan for putting your shop in the spotlight and keeping it top of mind with customers and prospects alike.
1. Reward Drivers. Even if your shop offers customers a rental car or courtesy shuttle, chances are you still see a lot of patrons being dropped off and picked up by a friend or family member. Think about it: that driver is someone who lives nearby and knows not only the location of your business, but a friend who’s been there and can vouch for the quality of service they received. Consider setting up a program to reward those drivers, who aren’t already existing customers. Offer them discount coupons or a gift certificate to use on future service purchases. It takes only a couple minutes for your service manager to ask a customer “who” dropped them off, then take a quick trip out to the waiting vehicle to deliver the perks in person.
2. Approach Local Businesses. Targeting nearby businesses is a great way to reach a large number of people at once. Ask companies if you can drop off a stack of fliers or coupons for employees to take. If it’s a retail business, offer to do the same for them in exchange. To make an even bigger impact, provide a box of doughnuts, bagels or other snacks and place them in the lunchroom with your promotional materials. Advertise to the business’ employees that your shop will provide rides to and from the office, so their vehicles can be serviced while they’re at work. Also consider asking local quick-lube businesses to refer customers to your shop. Many of these businesses are not equipped to perform all types of repair work and wouldn’t mind steering people your way since you’re not direct competition.
3. Join Community Groups. Becoming a member of a local chamber of commerce or small business association is a great way to network with other business owners in the community. If you’re attending a networking event, don’t go in with the goal of meeting as many people as possible. The most effective way to network is to build quality relationships with a few people at a time, oftentimes giving them referrals first. As an added benefit, joining such a group will keep you apprised of any state and local legislation or activities that will affect your business, either positively or negatively.
4. Sell Gift Certificates. Consider selling gift certificates for customers to give to their friends and family so they can also give your shop a try. This is especially effective around the holidays. People may be more willing to visit your shop for the first time if it’s risk-free, since they won’t be paying anything for the experience. And, keep in mind, each gift certificate acts as a referral for your business. Be sure to make your gift certificates available in flexible amounts so buyers have the freedom to decide how much to spend.
5. Become an Expert. If you’ve been in the automotive repair business for any length of time, why not promote that fact by becoming a go-to expert for local media? Let community newspapers, cable channels, and TV and radio stations know your credentials, and tell them you would be willing to offer your advice free of charge for their readers, viewers and listeners. This could be in the form of a weekly or monthly service recommendation column or interview, or even a Q&A format in which people can call or write in with their own questions. Even though it may be somewhat time consuming for you, there’s no better – or less expensive – way to directly show off your knowledge and your shop’s expertise to large numbers of local residents.
6. Host an Event. Sure, you may have offered customers free lunch on certain days to boost awareness, but try taking that a step further and hold your own car care clinic. In addition to providing refreshments, have a few of your techs go over the basics of vehicle maintenance. Hold different seminars for different groups of people – women, teen drivers, Boy and Girl Scouts or seniors, for example. By hosting such events after hours or on the weekends, you’ll attract the largest amount of people while still keeping your shop free during its busiest hours. Be sure to publicize your event beforehand by placing a notice in community listings or newspapers, and make calls to local high schools to let them know about the opportunity.
Extend your efforts by getting involved in the Be Car Care Aware Campaign (www.carcare.org). Help educate customers about how much money they can save with proper vehicle maintenance and you’ll heighten your shop’s image in the community in the process.
7. Help a Cause. Donating to local charities and groups is another way to get attention from residents. By sponsoring a youth sports team, holding a collection drive or having your staff volunteer to help at a charity event, you’re demonstrating that your shop is deeply involved with the community. Whenever possible, attach your shop’s logo to an event, or have your employees wear clothing with the shop’s logo.
8. Promote Yourself. Get your shop in the news by becoming your own public relations representative. This is especially effective in smaller communities where a local newspaper prints announcements free of charge. If you’re holding a special event, participated in a charity cause, have hired a new employee or received some type of recognition, send the newspaper an announcement letting them know the key information. Whether they print it or not, you’re not out any expense, only the time it took to write the release. And for free publicity, that’s a gamble worth taking.
9. Acquire a Competitor’s Customers. Unfortunately, many businesses have been forced to close their doors recently due to the downturn in the economy, but this is something you can use to your advantage. Oftentimes, because they’ve built good relationships with customers, these businesses will be glad to recommend your shop since they’d like to ensure their former clients will be well cared for in their absence. If the shop isn’t willing to recommend you free of charge, ask about purchasing its customer list, which is a small investment that will pay off in the end.
10. Offer a Guarantee. In many cases, people may not be completely satisfied with their current automotive service provider, but the risk of choosing a shop that may be worse can prevent them from changing. To make a new customer’s first visit risk-free, consider offering them a 100% satisfaction guarantee, where if they don’t feel the problem is fixed, your shop will perform the job again. While this is very appealing to potential customers, be sure you put the terms of the guarantee in writing, including time limits and other details, to avoid headaches down the road.
After trying a few ideas, keep track of new customers that come to your shop. That way, you can test out a variety of strategies and repeat the ones that bring the greatest results.
Keep in mind that first impressions are at the top of the list when it comes to a patron deciding whether or not to return, so keep your shop clean and your staff looking professional.
View your shop’s showroom, waiting room and exterior as someone seeing it for the first time, and you’ll be on the right track in attracting and keeping customers.
