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Feature
Auto Addition
Auto Glass Retailers Explore Add-On
Services
by Katie Hodge
Standing out among the crowd can be a lifelong challenge. Auto glass
companies constantly seek ways to set themselves apart and, for many,
that has meant adding new services.
“We have to be diverse to survive,” says John Kachnik, owner of Fox Valley
Glass in St. Charles, Ill., whose company has added residential glass
installation as a service.
David Zoldowski, owner of Auto One in Brighton, Mich., has discovered
how add-on services can help level out the business throughout the year.
Likewise, many auto glass companies experience lulls in business during
certain seasons and to counteract this many have added additional services.
“[Diversifying] has dramatically helped out business because it tends
to level out the seasons,” says Zoldowski, whose company offers remote
starters, cell phones and detailing in addition to auto glass repair or
replacement. “Auto glass is very seasonal. What we have tried to do as
a corporation is find things that match the seasons.”
Making the Decision
If your company plans to diversify, finding the right time and the right
product is key, and some say choosing what service to add in can be simpler
in the off-season, when business is slower and there is time to research
options.
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Many industry retailers have added items such
as window film and residential glass to provide additional revenue.
Diversification Additions
A wide variety of services are being used as add-ons for auto glass
repair and replacement businesses and a selection of examples are
included here:
• Detailing;
• Headlight restoration;
• Mirrors;
• Paint protection film;
• Paintless dent repair;
• Remote Starters;
• Residential/commercial glass;
• Shower doors;
• Side mirrors;
• Vinyl repair; and
• Window film.
Have you been successful at diversifying your product line? Please
e-mail information about your successful add-ons to pstacey@glass.com.
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“I think it’s about identifying the services [shops] want to bring on
in the off-season,” says Rory Most, general manager for Glass Technology
in Durango, Colo. “As a whole, the [auto glass] industry tends to slow
down a bit in the winter time, so I think during those slow months it
is great to find out what you are doing and what’s making you money and
where you can possibly expand or move into some other service-oriented
sectors to help your business increase its bottom line.”
Once timing is selected, it’s time to choose a product or service your
company can offer and manage successfully.
“Obviously you have to have the capacity and the capital to support it,”
Zoldowski.
“I don’t think there is ever a bad time as long as it’s the right service,”
adds Brent Deines, president of Eugene, Ore.-based Delta Kits. “It’s interesting
because you can go into a glass shop that is really successful and they
are too busy for another service. If a shop owner is struggling, then
he feels like he can’t afford it. It’s like advertising. There is no bad
time to advertise. It’s part of running a successful business. If it’s
the right kind of advertising then you should do it and I think it’s the
same thing with adding on to a business.”
“We have to be diverse
to survive.”
—John Kachnik, Fox Valley Glass
Based on location and what your company has the man-power to accomplish,
choosing the right product also is of course crucial.
“When someone is looking at doing this the most important thing is to
find a product that can accomplish what they need,” adds Most.
Choose Your Adventure
Once the decision is made to shop around for a new service or add-on,
the difficult choice of what service to add looms.
Some of the more popular add-ons include traditional services that go
hand-in-hand with auto glass, such as window tinting, detailing, commercial/residential
glass and replacement side mirrors. With the constant changes in technology
there are many new options, too—such as remote starters, headlight restoration
and scratch removal.
Kachnik added residential glass installation to his auto glass business
two to three years ago because his employees were familiar with the service
and some had experience with it.
“It was a slow rollout. We do have a very good glazing team out there,
and we have two glaziers on board,” says Kachnik. “We had to learn the
business. We knew it and had experience, but we had to make it work for
us by getting advertising out there to promote that we do commercial and
residential. Now putting our money where our mouth is becomes the challenge.”
About 15 percent of Kachnik’s business is now residential glass and he
has a couple of “seasoned installers” working on the residential projects.
He expects to see the add-on business grow more.
“We’ve talked to people about doing trim work, but that’s a huge ball
of wax. We’ve talked to people about doing window tinting. The feelers
are out there,” says Kachnik.
While Zoldowski’s company has implemented add-ons such as detailing and
remote starters, he views tinting as a great addition.
“It varies by state and locale, but window tinting becomes a very nice
add-on because you can get half-pregnant with this service,” says Zoldowski.
“What I mean is that you can contract out your window tinting and still
make a good margin. You would schedule it and find a tinter that you know
is good and you develop the relationship with him and you can still deliver
quality.”
Deines agrees that there are some add-on services that just make sense
for an auto glass business to implement.
“If you are an auto glass shop owner or a windshield repair technician
you are seeing vehicles every day that need things done,” says Deines.
“It’s kind of a no-brainer to add something like headlight restoration.
It is very inexpensive to add and you can make your money back very quickly.
It doesn’t take a lot of time to learn the craft where other things might.”
For some auto glass shops the benefit of time saved coupled with the low
cost for the shop makes an add-on like headlight restoration or scratch
removal valuable.
“Headlight repair is a great service and the reason I say that is that
the average auto glass repair or installation is 45 minutes to an hour,”
says Most. “So if you have a car in your shop and are doing a replacement
you can do a headlight repair in roughly 25 minutes.”
David Kozlowski, owner of Glass Doctor of Southeast Wisconsin, added headlight
restoration to his business about a year ago.
“I haven’t had the chance to really market it well yet, but it is up on
our website,” says Kozlowski. “We have done a few jobs, but for the most
part we haven’t seen big results yet. However, the more you can diversify
the more you open up the door for sales.”
On the Fence
Diversifying a business and adding potential revenue streams has its challenges,
of course.
There are some businesses that just want to stick with what they know
best. Diversifying does come with some risk, financially and in reputation.
The addition of a new service does take effort and a new line of business
can have different results than what an auto glass shop is used to.
“I don’t think it’s a very easy transition. You have to have experience
in it and feel comfortable doing it. It is difficult,” says Kachnik about
his residential glass add-on service.
Protecting the reputation of a business also is an important factor.
Don’t hurt the reputation of your core business by trying something and
not doing a good job at it,” says Zoldowski.
Katie Hodge is an assistant editor for AGRR™ magazine.
AGRR
© Copyright 2011 Key Communications Inc. All rights reserved.
No reproduction of any type without expressed written permission.
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