closing ratio

[harleygrl]

Ok, so I just took over the fixed op's for a GMC Pontiac, Buick store. We have a quick lube here, "jiffy lube" style with a pit and drive in. There are 3 quick lube tech who interact with the customers, write and close their own repair orders, etc. In looking over how many cars we are doing and how much we are upselling, our upsel ratio is about 16%
How much of an upsell ratio do you all think should be expected? Just to give you some ideas, from Oct 1 through yesterday (October 6th) we ran 43 cars through the lube bay, with 7 upsells.
Thanks for your input!

[Hotwired]

Harlygrl,

You may need to analyze a little deeper. How many of the cars are low or extremly low mileage? Upselling on a first oil change would be unlikely. Any valid analysis would almost have to include mileage and perhaps previous service. The car you upsold significantly on the last oil change is not likely to be as "lucrative" the next time it is in.

[harleygrl]

One step ahead of you there. 32 % 0 to 25k miles, 23.5% 25to 50k miles, 18.5% 50 to 75k miles and 25.9% 75k plus miles. Since our lube bay is a drive-in, pit style even a tire rotation is considered an upsell.

I am wanting to put an incentive program in place based on the percentage of customer's we are up-selling, but I want to be realistic and achievable.

Any input is appreciated!

[topshop]

Our advisors sell about 60% or so of what the techs find (in dollars). The top shops that I have seen run in the 75-80% range.

Our 60%+ is average for the year. Lately, some weeks have been in the 40-50% range.

In your case, my suggestion is to replace one lube techs with a service advisor or run all of the lube techs through some basic service advisor classes.

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Tom Ham
AutomotiveManagementNetwork.com

[harleygrl]

Thanks for the tips!