Wondering how to maximize mobile service profitability? Coach Christian and I recently discussed mobile service best practices, and I realized many departments leave easy money on the table.
Most Dealers view mobile service as merely a cost center rather than a strategic profit possibility. With the right systems, mindsets, and execution, mobile presents immense revenue potential. What specifically unlocks this untapped revenue source? Here are the six ways to maximize mobile service profitability.
Mindset Matters
I’ll never forget the manager who told me Mobile Techs could never work, given the geography. “Too much downtime,” he assumed. Yet hours later, I sat across from a dealer efficiently running six mobile trucks at 110% productivity. How? Simple – they billed travel time.
It’s a tale of two mindsets. Defeatist attitudes are the #1 pitfall stifling mobile revenue. At the first hurdle, we label efforts a failure rather than pushing through inevitable bumps toward profitability. If you believe mobile can’t drive profit, it certainly won’t. An opportunistic, solutions-focused mindset will push through, no matter what hurdles come their way.
Optimize Routing and Logistics
Carefully orchestrating Mobile Technician routes maximizes the number of jobs completed per day. Hire Techs willing to work commissions while allowing them to bill for travel time rather than just on-site repairs. This keeps your roving Techs productive en route between locations. Ensure they have access to frequently used components, so additional trips back to the shop are minimized.
Offer Mobile to Every Caller
Does every Advisor diligently offer mobile options to callers? Promote mobile to clients upon arrival for scheduled appointments. Train staff to sell the convenience value proposition. Without awareness, customers can’t request mobile service. Market mobile options prominently on your website and external listings. Make signed-up participants aware Techs can be directly reached when offsite. Half attempts generate half the results.
Leverage Trucks as Mobile Parts Departments
What should every Mobile Tech truck carry? Review past service data to reveal common parts demand. Keep these components in stock to limit additional trips back to the shop for materials. If return trips are necessary, explore using lower-cost transport like part runners or ride share versus losing billable hours sending back the Techs. And remember – the truck serves as your mobile parts department. Use it to sell add-ons!
Reward Customer-Focused Tech Expertise
Top Mobile Techs serve as Technical Advisors, building rapport with clients. They should inspect vehicles and suggest additional work just as their shop counterparts. Except now, you allow this trusted Advisor behind the owners’ doors. Ensure you motivate and reward your Mobile Techs to sell recommended maintenance, repairs, and vehicle inspections. Leverage their familiarity just as customers request favorite shop advisors. Now, you capture revenue at their offsite location!
Model Margins for Profitability
Review the fully loaded costs associated with mobile – Tech wages, vehicle expenses, tooling, etc. – and carefully structure rates plus attached fees until the offering pencils. If specific jobs or distances remain unprofitable, explore adjustments:
- Marked-up specialty tooling fees
- Emergency visit premiums
- Zone-based variable rates
- Travel fees
Increased margins on purchased components
While mobile offers immense customer value, the economics must make sense. Creatively price the convenience customers will pay for until revenue exceeds costs plus reasonable profit margins.
The path toward maximized mobile revenue begins with the right systems, mindsets, and execution. While challenging at the outset, those overcoming initial roadblocks reap huge benefits from increased customer convenience and captive profit streams. Will mobile service serve as your dealership’s next profit center or another missed opportunity?
If you see potential in mobile service but aren’t sure how to turn opportunity into profits, let’s chat. I’ve helped countless dealers maximize revenue, and create and execute the right systems. Book a quick call to discuss your unique situation and workshop solutions tailored to your obstacles and customer base. Together we can pave the road towards profitability at your store.
