Jeff Pister, executive manager at Honda Marysville in Ohio, said fixed operations and a large used-car business are driving surprisingly good results in July, even as Honda's new car inventory stays tight.
"Our focus on fixed operations - we've been really focused on that all year long: Growing it, with more capacity, more availability, and more flexibility with hours has helped us tremendously," Pister told Daily Dealer Live host Sam D’Arc.
For context: About a year ago, Pister rebuilt the service tech schedule, centered around flexibility.
The shop now runs from 6 a.m. to 9 p.m. from Monday through Friday, plus a full Saturday.
“We don't do Sundays anymore,” he said.
Plus, their technicians work overlapping four-day schedules, which allows the store to cover a wider stretch of the day than a traditional five-day staff could.
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By the numbers: Pister said the group now employs 70 technicians, with room to grow.
Daily appointments climbed from about 160-200 to about 250-260, with a goal of 300 down the line.
That said, it’s not all about the numbers.
Pister said the flexible schedule also allows for a more balanced life at home.
“We've created some flexibility, whether it's co-parenting, sports with kids, you name it, right?” Pister said. “It's offering an opportunity for them to be more involved in their families' lives.”
Beyond that: Pister said the group’s recruiting process is more of a pipeline situation.
They have a tech training center as part of the Marysville high school curriculum, and it’s taught by one of Pister’s own technicians.
They also have a second school near Columbus aimed at at-risk and career-development students, along with a Honda-endorsed automotive program at the local community college.
Talking pay, Pister, who remembers his days as a tech after high school, added that the flat-rate pay system is one of the biggest objections keeping people out of the trade.
"It's a dirty business and hard work, and the flat rate system is antiquated," he said.
In the service lane: They’re pulling about 100 used cars a month, a number Pister hopes to grow to 200.
Here’s how they’re getting there:
First, they have two dedicated buyers who source inventory, with a high trade percentage built into the new car operation.
They also have a four-person service drive team that includes a former used-car manager with 19 years at the store, who works on pull-ahead opportunities and repair bills too expensive to justify.
Logistically, video MPIs run through iService, layered on the store's Dealer Built DMS, which also gives customers an appraisal offer.
Put together, the store is pacing more than 9,000 new and used sales this year, with a used-to-new ratio between 1.25 and 1.35 to 1.
Worth noting: The store uses Apollo to evaluate equity positions, but Pister said their efforts are really more grassroots. As in, they just talk to people.
“We ask every customer that comes in if they'd like a vehicle evaluation,” Pister said, and service advisors get incentives for flagging possible trade-ins.
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