What Should I Do When Business Slows Down?

Summary

In this video, Dave Lure, founder of Elite Body Shop Solutions, provides valuable insights for collision repair businesses facing a slowdown in demand. He emphasizes the importance of continuous marketing, both long-term and short-term strategies. Long-term strategies include upselling, maintaining customer relationships, community involvement, and building a unique online presence. For short-term solutions, Dave suggests building relationships with local businesses, offering unique selling propositions, and targeting fleet services. Ultimately, the key message is to keep the marketing momentum going to ensure sustained success and business growth, even during slower periods.

Takeaways

• 😀 Always maintain consistent marketing efforts, even during busy periods, to avoid a slowdown when work starts to decrease.
• 😀 A marketing 'flywheel' is a long-term strategy that gains momentum over time. Spending money on ads in a panic may not help immediately.
• 😀 Upselling existing customers with additional services (such as dings, scratches, or detail jobs) is a great way to find work at no extra cost.
• 😀 Stay in touch with past customers and offer them additional services, potentially through email or direct mail campaigns.
• 😀 Community involvement, such as getting engaged in local activities, is a long-term strategy to create loyal fans and word-of-mouth promotion.
• 😀 Business groups like BNI can generate referrals, and you should consider leveraging them for more work.
• 😀 Radio or TV ads can be ineffective for collision repair businesses unless they are part of a long-term narrative campaign, telling a consistent story.
• 😀 Having a strong online presence and a unique selling proposition (USP) is key to standing out from competitors in a crowded market.
• 😀 Word-of-mouth remains the best form of advertising, so ensure excellent customer service and create raving fans who will refer you to others.
• 😀 Short-term strategies include reaching out to local mechanic shops, dealerships, insurance agents, and fleet owners to build relationships and gain business.
• 😀 A unique selling proposition (USP) is crucial—offer something different than competitors, such as specialized repair methods, and present it to local businesses and fleets.

Q & A

What should a collision repair business owner do if their business is starting to slow down?

The business owner should focus on marketing strategies to maintain a steady flow of customers. It's crucial to continue investing in smart marketing programs even when business is busy, so they don't find themselves scrambling when things slow down.

Why does Dave emphasize continuous marketing efforts?

Dave emphasizes continuous marketing because it helps maintain momentum even during slow periods. Marketing efforts build over time and can prevent a significant downturn in business if consistent efforts are maintained.

What is a 'marketing flywheel' and why is it important?

A marketing flywheel refers to the continuous and sustained effort put into marketing over time. It requires consistent pressure to keep the momentum going, and while it may take time to build, once it's established, it helps businesses sustain growth even during slow periods.

What are some long-term strategies for maintaining a steady stream of business?

Long-term strategies include upselling on current jobs, staying in touch with past customers, engaging in community involvement, leveraging local business groups like BNI, and maintaining a strong online presence and website. Additionally, word of mouth remains one of the most effective forms of advertising.

How can upselling on existing jobs help generate additional work?

By offering additional services like fixing dings, scratches, or detailing, a business can generate extra revenue without acquiring new customers. This strategy allows businesses to leverage their existing customer base for more work.

What is the significance of community involvement for a collision repair shop?

Community involvement helps build loyal customers and advocates. It's not just about sponsoring local events, but actively engaging with the community over time, creating lasting relationships that can lead to future business opportunities.

What role does having a unique selling proposition (USP) play in attracting business?

A USP helps a collision repair business stand out from the competition by offering something distinct, such as unique repair procedures or customer service. By clearly communicating this to potential clients, businesses can differentiate themselves from other local shops.

How can a collision repair shop gain work from local mechanic shops or dealerships?

By building relationships with local mechanic shops, dealerships, and insurance agents, a shop can access a steady stream of business. These partnerships can bring in work from damaged vehicles that come through these businesses on a daily basis.

What is the benefit of using radio or TV ads for marketing a collision repair business?

While radio or TV ads can be effective, they are often less targeted and may not yield immediate results. For better impact, these ads should tell an ongoing story about the business to connect with the audience over time, as collision repair services aren't impulse buys.

How does a strong online presence contribute to the success of a collision repair business?

A strong online presence helps potential customers find your shop easily. It's essential to have a well-maintained website and engage with customers online. However, differentiating the business from competitors through unique offerings is key to standing out in a crowded marketplace.

What immediate actions can a collision repair business owner take if they are nearly out of work?

In the short term, business owners should get out and build relationships with local businesses, especially those that deal with vehicles, like mechanic shops, dealerships, and insurance agents. Additionally, offering a unique selling proposition and targeting local fleets can help generate immediate business.