Launch UK awarded Best Business 2017 by Launch Europe

Published:  05 March, 2018

Launch UK has been awarded the “Best Launch Business 2017” accolade by the brand’s European division.The award is in recognition of its customer service and its commitment to supporting customers in all areas of business.

Dave Richards, Launch UK managing director said: “We’re thrilled to add this accolade to our collection. To be named best business is a testament to the hard work and commitment the UK team puts in to developing the brand and supporting customers.”

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  • All the things YOU could do…  

    If you had a little money, how would you spend it to improve your business? Maybe you’d buy the latest ADAS calibration kit, or subscribe to an workshop management system?

    Okay, now let’s think bigger. If you were given all the money you had ever invested in your business and could start it again from scratch, how would you gear it up to attract customers and make it profitable? Would you build something like
    your current business, or would it be totally different?

    Why do I ask? Because the world changes quickly, which means our businesses are rarely set up exactly as we need or want, and we must make frequent spending decisions. We must work out how to prioritise our spending, to ensure we always offer the things of greatest worth to our customers; i.e. we maximise our value proposition.

    Last month, we sought to understand our typical customer (a private vehicle owner). We saw that they have functional, emotional and social tasks to complete (jobs). These jobs have either good results (gains), or bad outcomes, risks and obstacles, related to their undertaking or failure (pains). For example, taking a car to the workshop is an extreme pain for a typical customer because it makes it more difficult for them to complete their more important jobs (e.g. commute to work or navigate the school run).

    This month, we’ll use the things we learned about our customers to design our value proposition; We’ll use a repeatable technique to ensure our businesses offer the things our customers need and want. The result will be a value (proposition) map, or value map for short.

    Value mapping
    Anything that helps our customers get their jobs done will have value. Therefore, our products and services must aim to help them complete their jobs. If these products and services then eliminate a customer’s pains, they are pain relievers, or, if they produce gains, they become gain creators. By stating the ways in which our products and services create gains and relieve pains, we can communicate their potential benefit to our customers. Hence, by putting a list of our products and services together with the lists of their respective pain relievers and gain creators, we create a guide to the worth of our business to our customers. That is, we make a value map.

    Of course, not all our products and services, and their subsequent pain relievers and gain creators, are equally relevant to our customers; some are essential, whilst others are merely nice to have. We can use these differences to help our decision making: by ranking the items in our value map in their order of relevance to our customer, we can see which can be ignored, and which can be prioritised.

    Figure 1 shows example items that might be within an independent workshop’s value map, ranked in order of relevance to a private-vehicle-owning customer (a value map is targeted at a specific customer segment). As with the creation of a customer profile, there is no ‘right’ answer; this one is based on my half-thought-through assumptions, and previous business experiences. Yours might differ. Hence, we must derive and tweak our respective value maps accordingly. Ultimately, each of us would use business metrics (e.g. profit ratios and customer satisfaction ratings) to tune our value propositions to the max. But that’s a task for another time.

    Products and services
    We saw before that customers don’t like to waste time at a workshop; they want to go through their lives with the minimum of hassle. They crave convenience. Therefore, courtesy cars, a handy location (covered under ‘community-orientated’ services in Figure 1), extended opening-hours, while-you-wait servicing, or pick-up and returns (either vehicle or customer) all represent high value offerings. We don’t have to offer them all - they’re included in Figure 1 for reference. Likewise, online bookings and related management systems simplify engagement, bring convenience, and enhance value.

    Have you ever heard a customer say they like messy and dirty workshops and technicians? I haven’t. That’s because we attach value to our health and safety: If your premises and staff are well presented, they will project professionalism, and your customers will reach their desired emotional state of feeling safe. Even better, properly motivated, well-equipped and trained staff will increase the likelihood that your customers are safe and secure. As safety fears are powerful motivators and manipulators, we must use our expertise to help our customers assess and manage their exposure to risks. They will then be in control and feel in control of their safety.

    Not all customers will be seeking to cut costs all the time, but certainly all of them will want to control their costs. There are ways a business can help customers manage this aspect of their lives: clear terms of trade and fee structures; well-managed engagements with expert advice; warranted parts and labour; and a range of payment methods such as easy-pay solutions, touch-less, or credit card services.

    Surprisingly, some customers want to look after their vehicles. Primarily, this helps them feel safe and secure, minimises the risk of disruption to their lives (from breakdowns), and protects the value of their vehicles. A good service history represents monetary value in this sense. This means we should be offering, high quality parts and labour, and OE-aligned servicing and repairs.

    Pain relievers
    It might suit your ego to think all your customers visit your workshop because of your skill, expertise and professionalism, or your friendly welcome and great (i.e. free) coffee. However, pure convenience can be the decisive factor when some customers choose where to take their vehicles: you’re around the corner; you had a spare courtesy car; you’re open; you were prepared to look at it there and then; you had the part in stock etc. Whilst this reflects the significant value these pain relievers offer to all our customers, it is the case that some of those who value convenience above all else are not able to see the worth of your other products and services. If they don’t understand that your conveniences come at a cost, then point them elsewhere. You will never please them. Nothing has the potential to sour a relationship like an unexpected bill: When my head was buried in an absorbing diagnostic job, adequate communication was sometimes an issue for me. My ‘solution’ was to swallow the costs, to avoid upsetting the customer. This was neither a solution nor a sustainable business strategy. What I really needed was the best preventative medicine of all: Great communication.

    It should be no surprise that there are far more pains than gains in our value map: Servicing and repair workshops are all about pain relief; we are either trying to eliminate a current pain, through diagnostics and repairs, or carrying out preventative maintenance to avoid a future pain. Because this is our reason for being, customers find it intolerable to think our actions have caused them unnecessary inconvenience or costs. Nowhere is this more obvious than when we try to ‘help them out’ -  Every time we ever tried to help a customer to control costs (i.e cut costs), by fitting a cheaper part or trying a less expensive solution, it always backfired. Every single time. Can you guess who suffered the consequences? It always paid us better to ensure the car was fixed when it left the workshop. ‘Try it and see’ tends to translate into ‘you are going to be really cheesed off next time I see you’, It also counted that we supplied quality, parts and labour.

    Gain creators
    When properly delivered, our products and services will help our customers have the following: An easy-life; a car that holds its value and works properly; peace of mind; a sense of feeling special at our premises; and the information from our sound advice to make good decisions.

    However, for some of us, the ultimate convenience is to not have to engage our brain, so if we really want to take our value proposition to the next level, we must be highly proactive and perform our customers’ thinking for them: e.g. by sending MOT and service reminders, with easy to process ‘calls to action’ so that they are only a click away from being sorted. Then, at the allocated time, we would pick-up their vehicles from their homes to take them to the workshop, leaving a replacement vehicle in their place. I know plenty of businesses that do this. And they are successful.

    Money, money, money
    There are many servicing and repair options available to private vehicles owners: Independent workshops, fast-fit chains, main-dealer workshops, mobile technicians, chancers, etc. Next time we’ll see how other business types deliberately tweak their offerings (value maps) to fit specific customer segments. We need to learn to be equally deliberate and well-informed about our investment decisions. What if we don’t? Well, we might waste all our money, and lose all our customers. Which isn’t always funny, even in a rich man’s world.


    https://automotiveanalytics.net

  • Connecting to tomorrow’s lean workshop 

    In a previous article, I had written about the fourth industrial revolution, but I suspect that this may not have been the most threatening topic that you were thinking about concerning your day-to-day workshop business – the business of diagnosing and repairing cars, using a range of workshop equipment and agreeing ‘partnership’ relationships for the technical data and replacement spare parts.

    The way that you work may have evolved over the years, mainly due to the increasing vehicle technology, but the basic principle has remained the same. You have customers who choose to come to you due to the good service and competitive pricing that you provide. However, the world of vehicle repair is changing and if you do not adapt, you will die. Unlike previous industrial revolutions, the pace of change is now much faster. So how is this going to impact the aftermarket?

    Approach
    The ‘internet of things’ (IOT) will change the approach to diagnostics, service and repair of vehicles, but also the way that the workshop equipment will be connected, the way that you handle your customers’ data and the way that you exchange data outside of the workshop, both as a consumer of data, but also as a data provider in data trading eco systems. All this will change the way that you do business. This might all sound like some science fiction concept, but this is already happening today with many vehicle manufacturers and their associated main dealer workshops. If the aftermarket does not start to develop the same approach and service offers, then it will not be able to compete.
        
    However, to understand this better, let’s start with today’s ‘classical business model’ and then see what will change. Today it all starts with your ability to directly communicate with both your customer and with their vehicle and (for the more difficult jobs once that vehicle is in the workshop) your ability to offer a competitive quotation.
        
    Once the vehicle is in your workshop, the diagnostic work or the replacement parts are identified, the parts ordered and the ‘complete repair process’ is conducted. However, there are three fundamental aspects to ensure that this process can be fulfilled – firstly, being in direct contact with the customer, secondly, being able to directly access their vehicle via the OBD plug and subsequently its data and thirdly, using that information to conduct
    the complete repair process in the workshop.

    Internet of things
    So, what is changing and how will the ‘IOT’ help to implement new and ‘lean’ business models to remain competitive? It will still all start with the ‘repair process’, but this will no longer be with the customer initially calling you or coming into the workshop with a question of ‘can you fix my car?’, but it will be through remote monitoring of the ‘thing’ – the vehicle (via OBD plug-in devices or in-vehicle telematics platforms) to conduct remote diagnostics, prognostics and predictive maintenance services. This will inform you when the vehicle needs work and should lead into being able to contact the customer and offer a competitive quotation for the work needed that ultimately should still result in the vehicle coming into the workshop.
        
    When the vehicle does arrive, you will already know the details of the vehicle and the necessary work, so can configure the workshop resources (which ramp, what workshop equipment, what technical data, what replacement parts etc.), before the vehicle arrives.
        
    You can also ensure that the various ‘external data’ that may be needed for the job is pre-arranged and can be downloaded into the specific workshop equipment which is needed as part of the repair process. This can be a ‘just in time’ download of the technical data, the diagnostic test routine, the replacement part fitment method and so on. All this can easily reduce the workshop time needed to complete the repair process by 50%.

    Captured
    This may already sound like a great move forward to be lean, more profitable and more competitive, but there is even more! You also now have new ways to use the data that you have captured. Not only will you know the faults of the specific make and model of vehicle, which in turn, you will store in your database (non-personal, machine generated data), but you will also be able to use this data to exchange or trade data with your existing suppliers or other (new) partners to reduce both your costs and theirs. Welcome to the world of data trading – and get used to it, because it will be your future.  The internet of things, means linking to the ‘thing’ (e.g. the vehicle and workshop equipment) and then handling the data created, by using it in new ways to make the whole workshop and vehicle repair process more efficient, as well as supporting new business models beyond just what you can do today in the workshop. However, let’s also take a step back and look at workshop equipment as part of ‘the internet of things’. It already starts with a new range of ‘connected’ workshop equipment that will not only be able to be remotely monitored by the equipment manufacturer to ensure better reliability, together with faster and cheaper repairs, but will also be the basis for ensuring that the technical information you require for the job ‘in hand’ is supplied not only ‘just in time’, but also charged for on a new competitive bidding basis from a range of suppliers and charged on an individual job basis. Going a stage further, you may be able to exchange data with your equipment suppliers so that they can collect ‘big data’ from all their customers and use it for their own new data trading business models and in turn, use this to offset supplying data or services to you at
    a lower cost. This may also apply with your parts suppliers to provide them with better forecasting and trend analysis.

    Data centric
    The classic business model of today that is ‘customer centric’ will change to become ‘data centric’ that creates added value to the consumer’s experience, but also to the service provider – you!

    This change of accessing the vehicle, your customer and use of the vehicle-generated data is a disruptive evolution that will drive (no pun intended) a revolution in the aftermarket. However, the key issue will be the ability to access the vehicle, its data and in-vehicle displays to offer your services when the vehicle needs work and that is likely to be a legislative issue as the vehicle manufacturers try to use their technological advantage to dominate and control tomorrow’s repair and maintenance business. It’s up to you to fight not only for your ‘right to do business’, but for your ability to evolve your current business models into those of tomorrow.

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