What do you think of flat rate insurance referals?

[Brent Deines]

The great thing about the windshield repair business is that there is something for everyone. Like Glassdoc I hate to see anyone sell themselves short in this business, but I can also appreciate the fact that although insurance jobs often pay a little less, they are a perfect fit for many technicians. I love the fact that one technician can do nothing but RVs, another can do nothing but insurance, another can do nothing but fleets, and another can do nothing but cash jobs. The list goes on and on, but there is a niche for just about all of us.

I used to tell customers not to waste their time on car lots, only to have many call me back to say that's all they do and their business is doing very well. If you enjoy your work and are satisfied with your income, or at least see a potential to earn a satisfactory income with your current business model, more power to you. We all measure success differently, so what makes one person happy is not necessarily the right path for someone else.

My personal opinion is that if we keep our cash prices higher than our insurance prices, the insurance companies will recognize the true value of our service and eventually pay more. The other thing that has to happen to get "anyone" to recognize the true value of our service is that we all have to increase the focus on the quality of our work. I think that if we charge too little the temptation to rush the job increases, and no matter how low we go, there will always be someone that will go lower.

I always hated losing a job to a competitor, but I finally decided that my niche was quality, not price. In order to provide the best possible quality I had to have the best available equipment and supplies, and I had to take as long as was necessary to properly complete the job, so I simply could not offer the lowest price. What really changed my way of thinking though, was when I realized that I could make the same amount of money doing 5 repairs a day at $80 as I could doing 10 repairs at $40, but that's just me. I certainly have nothing against someone that is happy with 10 repairs a day at $40, and realize that it is much easier to get top dollar in some areas than others.

I should also say that I did about 50% insurance jobs and accepted their payment terms. If I could have gotten enough high paying cash jobs I may not have done insurance work, but marketing has never been my strong suit, so I needed the insurance jobs to survive. Again, I found my niche, and I think it is great that all of you have found yours, even though you business models vary greatly.

[Glassdoc]

Well put Brent. If I have stepped on toes, and it hurt. I apologize. but do not play the "market area" card.. Its too used, much like the "racial" card.. A Buick in Kansas cost the same as a Buick in Philly.. A tune-up in Kansas will be within $25 of the same tune-up in Philly.. Gasoline.. .27 cents difference? Why is it higher in Philly? More cars on the road, so a higher demand.. You dictate your pricing.. If you are happy where you are at, so be it.. Don't blame the area for you not charging what you feel fair.. I'll bet a steak dinner with all the trimmings runs within $10 of the same price in Kansas or in Philly.. And the same steak in the grocery store is probably within 40 cents a pound difference. When I started, I charged $35 a shot across the board and $10 for an addt'l. Did I lose business by raising my prices. Not any that is noticeable by the income. And the ones that did complain about it, wasn't really a loss because they were the same ones that always ask for a freebie..
Its funny, you think I am on a high horse.. You don't have a clue.. You think because I'm residing in Philly I am a city boy born with the East Coast money in my background.. That could not be farther from the truth. I'm from down south, and have scratched and clawed my way to where I am.. Proud of it, you bet. See others making the same mistakes I did for 8 years, yes.. Maybe you don't agree with the way I stated it.. But, the fact it struck a nerve tells me that you know I am right... Its your choice. I put it off for a full year before I said ok today is the day.. And I have'nt looked back with regrets one time.. In fact as of Jan. 2008 my pricing will increase again.. I can't wait.. You can work harder or you can work smarter. And it does not matter what you charge someone will always be lower than you are. Anyone can do a repair, even the pimple faced kid at the lube store.. But how many people can sell themselves for what they are worth.

[GlassStarz]

Metro areas cost more for most things and thus the customer pays more without as much of a grumble. Owning a car in places like NYC is expensive I have a bud who gets two parking spots with his co-op but doesnt drive he charges $1500 a month to park in em I guess a security building spot in downtown is worth a lot my point is everthing is relative in east podunkt $20 is a lot of cash in NYC its the tip the valet gets having lived in the SF Bay area half of my life with its extra high prices on everything and here in a state with the largest city being 50k people i understand markets are different and anyone who doesnt think so really should crawl up out of that hole and look for thier shadow.

[Onsite]

To each there own!

[splitpit]

You struck a nerve, not because you are right. You are not right as far as I'm concerned. You struck a nerve because I don't care for people like you who think their way is the only way. I never have cared for the know-it-all types who think they are smarter than everyone else.

[Glassdoc]

You struck a nerve, not because you are right. You are not right as far as I'm concerned. You struck a nerve because I don't care for people like you who think their way is the only way. I never have cared for the know-it-all types who think they are smarter than everyone else.

Whatever.... :eusa_booh

[tooldini]

I have to agree with splitpit on this one also. I think you are just blowing smoke, especially about your income the numbers just don't add up LOL from the numbers your telling everyone and how you demand $69.99 because YOUR worth it you should be making just under 200K a year but yet you said you make $75,000. I mean you do charge dealers $69.99 right because you would never let someone else dictate what you charge remember YOUR worth it. I think my repairs are worth $100.00 because I spend the time on them and make them look very good, BUT I am also realistic and realize I won't get close to that. You should do some travelling you would be blown away by the difference in prices for the same products from one town to the next. Market differences are the reasons why there are watermelon stands on Conner and Jefferson but not 2 miles down the street in Grosse Point Park, MI. I guess Michigan is just way different than PA. I do love what I do this is the greatest thing I have done in my life and am totally happy. Maybe you are so worked up because your living a lie

Jeff

[Glassdoc]

Ahhh, see I don't care what you think. And as for my numbers, yes I said I make 75k (easily). As posted under another thread, I also posted my income was not public knowledge. And why should it be?.. Don't be hating, because I'm doing what you have only dreamed of.. And, according to your standards, yes. I am over charging my car dealerships.. LOL And they love paying it. I'll continue charging what you folks are afraid to charge.. Because, the "area" won't allow it .. Thats what seperates Mercedes from GM.. You get what you pay for. And something about knowing that you've paid for quality makes you more comfortable with your purchase.. As for doing some traveling, even in N.E. Arkansas the average retail repair goes for $65.. Wake up.. Safelite gets $79.95 NATIONWIDE.. Duhhhhh.

[Glassdoc]

Wow, based on these numbers. Detroit should pay 6%less ($62vs$65) for windshield repair than they do here in Philadelphia. And Kansas with12% less income, would be able to pay $57 vs the $65 I charge..

Job Position Automotive Mechanic
Market Area Philadelphia-Camden-Wilmington PA-NJ-DE-MD
Median Salary $44,330

My point is this: Yes I charge a higher price and yes I get what I charge.. You say, they won't pay that here.. I challenge that with this simple question.. Dealerships offer windshield replacement and repair. The utilize an outside sub contractor to do the work, their charges are typically 80% more than the average shop would charge. Why do the customers pay for the service there, and not from you? Your $50 invoice at the dealership service counter just cost the owner of that vehicle $75-$90 and they are thrilled because the OEM windshield thru the dealership was quoted at $600.

Job Position Automotive Mechanic
Market Area Detroit-Warren-Livonia MI
Median Salary $46,049

Job Position Automotive Mechanic
Market Area Manhattan KS
Median Salary $35,809
*Salary comparisons provided by http://www.homefair.com/Find_A_Place/Ca ... esults.asp

Salary in Philadelphia PA:
$40,000
Comparable salary in Detroit MI:
$32,839.58

If you move from Philadelphia PA to Detroit MI...

Groceries will cost: 19.311% less
Housing will cost: 24.328% less
Utilities will cost: 6.408% less
Transportation will cost: 10.453% less
Healthcare will cost: 12.387% less

Salary in Philadelphia PA:
$40,000
Comparable salary in Lawrence KS:
$29,857.94

If you move from Philadelphia PA to Lawrence KS...

Groceries will cost: 29.881% less
Housing will cost: 38.549% less
Utilities will cost: 17.576% less
Transportation will cost: 12.196% less
Healthcare will cost: 16.617% less

[splitpit]

Hey Jeff....I agree. he's a blow hard. He not only blows smoke, he also insults those who don't do business his way. Don't forget, he handles 87 dealerships on a weekly basis!