It’s Your Business
- Author: Terry Greenhut
Proper procedures for selling transmission repairs
When a customer calls to tell you about a transmission problem and possibly tries to get you to quote a price over the phone, a process has been started — one that, if handled properly, will go from the phone call to a shop visit, to a diagnosis, to the eventual sale of whatever repairs or services are necessary to solve the customer’s problem.
In the case of a major transmission repair there are several steps in the process that should be taken before a price is quoted and a sale is made. Since we all know that short-cutting the process in any way will lead to a lost sale or a lower negotiated price, we want to take the customer through the entire “dog-and-pony show” every time. The show includes several steps that can become confusing to some customers, especially those who are unfamiliar with how an automobile works. In fact, it is that confusion that many times leads shop owners and managers to believe that they should shorten the sales procedure to make it more palatable for the customer. Of course, that is a way to sell, but a very costly one. It prompts quoting low-ball prices over the phone, shooting people prices in the driveway or during a road test, and it, of course, prompts the deadly “price-out-of-thin-air scenario” that would have them giving unrealistic and unbelievable prices that end in zeros or fives.
You don’t need to put on a big show to sell a $50 service of almost any kind. In fact, in today’s world, if customers get out the door with a bill for less than $100 they think they got away with something, so they hardly even question it. When selling a $3,000 transmission overhaul you had better have a show ready. People don’t want to part with that kind of money until they feel really comfortable about it, which can come only from the effort the salesperson expends to fully disclose all the information a customer needs, at the right time and in a logical order, to be able to make an intelligent decision. The decision will be made on the basis of both fact and emotion, both factors needing to be totally controlled by the salesperson.
Although the proper method of selling a transmission overhaul has been argued for decades — and, in fact, recently was scrutinized yet again because of an article in another trade publication about a rather upset woman who didn’t allow a shop to perform an inspection service to find out the exact cost to repair her transmission — the simple fact remains that most people who are quoted a price without seeing an itemized list of the parts and labor necessary to fix “their transmission problem” have a very hard time understanding why they have to spend that much money. When they question the method used in quoting them the price, they question the price itself. And whom do they question? Other shops, of course. By shooting customers prices at inappropriate times, all we do is create the price shoppers we all want to avoid.
An expensive job takes time to sell, and it should. It’s not very often that someone has to decide to make a $2,000-$3,000 purchase of something they don’t even want to buy. The process takes considerable care and finesse on the part of the salesperson and a high degree of understanding on the part of the customer. Once customers understand exactly what they are paying for and why, the decision becomes easier to make.
The more professional the “show” the more likely it will be that the shop will get the price it eventually quotes. That professionalism starts at the initial phone call and carries through all the way to the delivery of the finished product. Any missteps along the way can lead to disaster. Again, understanding is the key. First you have to make the caller understand why the vehicle needs to be checked to see whether a transmission problem actually exists and, if so, how severe it might be before you can quote any kind of a figure. Then a road test and several diagnostic checks must be performed to determine whether the problem is minor and a price for a repair can be quickly determined of is internal to the transmission and a more-in-depth examination needs to be performed.
On today’s vehicles the engine, computer system and transmission may all need to be isolated from each other to determine which component is actually at fault or else customers might wind up paying for transmissions they don’t even need, which is the worst of all possibilities. In truth, a customer should never pay for anything not needed, and the only way to make that determination when the transmission is found to be faulty and has an internal problem is to take it apart to find out which parts can be reused to save the customer money and which ones must be replaced to provide the longevity the customer wants and deserves.
I sometimes wonder how many unnecessary transmissions were sold because the customer provided the diagnosis and demanded a price over the phone or in the driveway, and how many could have saved money be letting the technician do his job to find out what he might have done to fix the transmission short of a complete overhaul.
The process that makes customers most comfortable with their ultimate decision to buy includes a telephone procedure that provides a feeling of trust and comfort to overcome the fear they all have when they first call; a visit to the shop, where they see a clean and professional environment while being treated with respect and understanding; a comprehensive diagnosis of the problem, which many times will include a physical inspection of the transmission; and the offer of service alternatives that make sense on the basis of the customer’s needs and budgetary constraints.
By the time the finished vehicle is returned to the customer he or she will know they have done business with the right company. They will feel confident that they have invested wisely in the future of their vehicle, and most of all, despite the amount of money they had to spend, they will recommend you to their families, friends and neighbors because they will feel that they have been treated fairly and honestly.
One way to provide a great level of comfort and understanding throughout the process and to transition the customer through each phase of the sales experience is to retrace the steps in the procedure. For example, when a caller mentions that the transmission seems to be slipping and you invite him in for a diagnostic appointment, a concrete reason for that visit to the shop has been established. When the caller comes to the shop you will say something like: “Mr. Customer, when you called you told me that you felt like the transmission was slipping. That’s why I invited you in for a road test and diagnostic check.”
After the road test you may want to get the customer’s approval for a pan drop or an internal inspection service. You might say to the customer: “Mr. Customer, if you remember, when you first called you mentioned that you thought your transmission was slipping. That’s why I invited you to bring the vehicle in to be checked and road-tested. The result of those checks indicated that there was an internal problem with your transmission, which is why I am now recommending an internal inspection of the transmission to determine the exact cause of the problem and the remedies that must be taken.”
After you perform the internal inspection service and price the job and call the customer back to sell it, you would again go all the way back to the beginning to justify the steps you have taken and prepare to explain the repair and close the sale. The dialogue might be: “Mr. Customer, just to bring us up to speed, when you first called you mentioned that you thought your transmission was slipping. That’s why I invited you to bring the vehicle in to be checked and road-tested. The results of those checks indicated that there was a problem that could not be solved by any external adjustment or minor repair. That’s why I recommended an internal inspection of the transmission. Now that the inspection service has been completed and I know exactly which parts can be reinstalled and which ones have to be replaced, I can provide you with a firm estimate broken down into individual parts and labor operations so you can see exactly what you’ll be paying for and why. Do you have a few minutes to go through this with me now?”
Proceeding in this manner gives the customer a better understanding of the steps taken and the method by which the conclusion was reached. It also allows for a much better chance of your receiving the full amount of your repair estimate.
Visit www.TerryGreenhut.com.
