VENDORSpeak

>> E ditor’s note: It’s only natural with the flipping of the calendar to a new year
to begin wondering about the future. What will 2011 hold in store for the fast
lube industry? Are there developments for which lube operators can prepare now
that will give them a competitive edge?
While we could offer our answers to these questions, we wanted to hear from
those companies with a vested interest in the success of the fast lube business,
namely those leading industry vendors. That’s why we’ve invited them to offer
their take on the coming year, as well as discuss the biggest changes to occur in
recent years.
Following, in alphabetical order, are the vendor companies that responded to our
invitation.

8AMSOIL Inc. 8 C.A.T.Products, Inc. (Run-Rite)

800.777.8491 800.872.8921
www.amsoil.com www.run-rite.com
8Ed Newman, director of Advertising 8Javan Stallard, vice president

Q: What has been the biggest development in the fast lube industry during
the past five years?
A: The most current development is probably GM’s introduction of the dexos1
specification for motor oils. These new requirements, in conjunction with ILSAC
GF-5 and the API SN upgrades, serve to underscore the important role that lubri-
cants play with regard to performance, especially with regards to fuel efficiency and
emissions.
Another major development these past five years has been the growth of the spe-
cialty oils category. Many companies came out with or re-positioned products for
the older vehicle market or to address problems created by reduced zinc and phos-
phorus levels, as with flat tappet cams.
 
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: The economic crisis our nation went through did have an impact on new car
sales, which only means that people are keeping the vehicles longer. As a result,
many people are taking better care of the vehicles they drive, and are thinking
about this more. This is undoubtedly one of the drivers in increased synthetic oil
sales, as synthetics offer better engine protection, cleaner operation and other ben-
efits that keep cars on the road longer. The most recent numbers we’ve seen indicate
that lubricant demand is already back to pre-recession levels.
 
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: Many people believe that the new dexos1 spec will require synthetic base stock
oils or synthetic blends. This, along with many other drivers, will lead to continued
growth in the synthetic oil market. Oil change specialists and installers would ben-
efit from getting as educated as possible about synthetic motor oils, their history
and their performance capabilities.
Historically there has been a price gulf between petroleum and synthetic oils, but
we have introduced an attractively priced synthetic oil to help motorists achieve
the performance benefits of synthetic oil at a drain interval recommended by ve-
hicle manufacturers. The new motor oil line is rated API SN and ILSAC GF-5, with
the SAE 5W-30 viscosity also recommended for the dexos1 specification. This “OE
Synthetic” motor oil line will bring quick lubes a new generation of customers who
have always wanted the performance, protection and benefits of synthetic motor oil
but were reluctant to pay extra for it.
 
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: There has been a huge move on the part of larger quick lube chains to buy up
established, smaller chains. We have also seen a growth of new owners with fewer
than 10 stores. The quick lube industry is alive and well despite facing the chal-
lenges of business in our current economy.
 
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: The driving public is paying increasingly more attention to the needs of main-
taining their automobiles, and we can see that quick lube owners are adapting to
meet these needs. We believe that the industry is equipped to handle these needs
by expanding the traditional service menu to include a variety of different mainte-
nance services to consumers. When the consumer sees real results from the service,
they are more likely to consider additional services at each interval.
 
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: Quick lube operators and managers must continue to focus on the education
and training of their own employees and staff. They must help them learn to meet
the challenges of customer retention through exceptional customer service. As a
company we continue to re-invent programs to help our customers focus on these
intangibles.
Another key to survival is expanding the service menu to include additional main-
tenance services that are both needed and profitable. Our research and develop-
ment team is always coming up with outstanding new products, and we have plenty
in store for 2011.
8 Communication Graphics Inc.
800.331.4438
www.thedecalcompany.net
8Dave Cleveland, president
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: The biggest development in the fast lube industry has been the shrinking amount
of discretionary income in the average consumer’s pocket due to the entrenched

32 www.noln.net   
VENDORSpeak
economic downturn. This has, in turn, ratcheted up the competitive level another
notch. Every time a customer leaves a service establishment with a long wait time,
an incomplete service, lack of friendly departure or failure to set the next follow up
with an oil change sticker, the business loses a small battle in what is a dogfight for
every piece of business out there.
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: Our economic forecasts show some slight improvement in the overall fast lube
business but nothing yet like what we are used to when normally coming out of a
recession. This in turn will likely mean more consolidation of the overall business
with only the strong franchises continuing to flourish.
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: The winners going forward in 2011 and beyond will be the establishments that
are truly customer driven. A good price in today’s environment is a given for all
competitors. The last and only area to distinguish yourself from your competition
is through your everyday demonstrable commitment to the customer’s happiness.
That commitment takes form in many ways both small and large. It not only is an
oil change done quickly and timely, but it is also the attitude that is conveyed to the
customer. The extra steps taken to present the car as it was delivered or perhaps
better. It is the follow up and the professional manner in which it is conducted.
We participate in that process with our customers who include oil companies and
lube shops by offering a system of oil change stickers that are attractive, don’t smear
when imprinted or written on and that operate with a printer that is reliable day in
and out. We further that experience by providing professional consulting on how to
message to the customers through the sticker and assure return business. We assure
the reliability of that system by having a printer warranty that puts a replacement
machine in the customer’s hands virtually overnight.
8 eGenuity
800.296.0177
www.egenuity.com
8Dan Nelson, vice president of Sales
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: The use of technology to help shops better serve their customers has been a very
big development to the fast lube industry over the past five years and eGenuity
has led the way in this area. eGenuity was the first to offer several of these features
which include: a robust service review that allows the shop to quickly and easily
review OEM recommendations with their customers, a scanning solution that al-
lows the shop to not only scan the VIN but also completely process the car from
a mobile unit, several third-party integrations such as credit card processing and
reminder cards, report viewing via a cell phone or the Internet, several mobile op-
tions including the use of an iPad, and various marketing programs that include
gift cards, loyalty programs, vehicle history via the Internet, e-mail reminder cards
and text messaging. Recently, eGenuity introduced a customized kiosk that allows
customers to select the services they wish from their vehicle without employee in-
tervention, the first time a kiosk environment of this nature has been used in the
quick lube industry.
 
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: The automotive industry appears to be getting stronger in recent months, and
we see this trend continuing as the economy continues to improve. Technology will
continue to be a driving force for lube shops, and eGenuity continues to develop
products that help shops not only service their customers better but also increase
ticket averages and drive customers back to their shops at scheduled intervals.
eGenuity also specializes in customizing the eLube software to meet the ever-de-
manding needs of the fast lube operator which in turn allows them to service their
customers better and become more profitable.
34 www.noln.net   
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: Lube operators need to use technology to their advantage to stay ahead of the
competition. The 21st century is nearly 10 years old, and almost everyone uses
technology to stay current with the world around them. We have been focusing on
“marketing” features that encourage customers to come back to the shop at sched-
uled intervals. eGenuity has worked with its current customer base to develop these
features, and we believe lube operators will be at a tremendous disadvantage if they
do not have a software solution that offers these features. The fact that eGenuity has
the ability to quickly customize the eLube software is often the difference for both
large and small chains alike. 
8 ExxonMobil
800.667.6680
www.mobil.com
8Tom Segletes, Americas marketing advisor
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: A big driver behind much of the industry change during the last several years,
like this year’s upgrade to ILSAC GF-5 oils, is the focus by the government and con-
sumers on the environment and sustainability. Things like improved fuel economy,
reduced emissions, extended drain intervals and even larger package styles are be-
coming more important to consumers. This environmental evolution has impacted
car manufacturers, oil marketers and, yes, quick lubes, more than they probably
know.
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: In general, there are fewer oil change outlets then several years ago, but the econ-
omy is beginning to rebound and car sales are beginning to improve. For quick
lubes, the opportunity to sell higher quality oils, like synthetics and high mileage
oils, continues to grow. Many car manufacturers are switching or look to switch to
lower-viscosity synthetic or near-synthetic motor oils in the future, driving many
new consumers to this category. At the same time the U.S. vehicle fleet is aging,
opening up greater high mileage oil opportunities. The installers that best know
how to offer and educate their customers about these products stand to benefit
greatly.
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: Leveraging technology will continue to grow in importance as time goes on,
whether it is text messaging campaigns, website utilization, customer database
management or smartphone apps. At ExxonMobil, for example, we’re launching a
waiting room broadcast TV technology V to deliver relevant Mobil-branded con-
sumer content to our growing Mobil 1 Lube Express network. The content is de-
signed to help support the potential and ticket average of our installers. There is a
lot of opportunity ahead, but it is about being at the right place at the right time.
8 Inter-LinkResources Inc.
866.724.5823
www.pcilube.com
8Brad Hampel, president
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: Clearly, the biggest development in the fast-lube industry is the VIN scanning
tools that many POS companies have developed to decode vehicle VIN codes. De-
coding a VIN rapidly, and accurately, resolves the year, make, model, engine and
all the filter applications, and vehicle specifications for the technician. Many POS
systems now tie the VIN scans directly to the OEM manufacturer’s recommenda-
VENDORSpeak
tions for service intervals. In my opinion, it would be extremely difficult and time-
consuming for a lube shop to operate without a VIN scanner, as the accuracy and
effectiveness of the shop would be compromised without it.
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: I am excited about the future of the fast lube industry. We are seeing a significant
growth in our business, which means that certainly there is growth in the industry.
We wouldn’t be growing at the rate we are without parallel growth in the fast lube
industry itself. I expect that most of 2011 will be much like 2010, with operators
experiencing significant growth, increased car counts and increased average tickets.
Certainly the recession is not over, but the growth in the economy and excitement
among lube operators is palpable.
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: During the past year we have implemented many firsts for the lube industry
to help our operators succeed. We now offer our POS system on Linux, Mac or
Windows platforms, and we believe we are the first to do so. If our clients are al-
ready running an existing POS on Linux or Windows, they can keep their existing
hardware and simply switch to our product. This saves them thousands of dollars
on new hardware.
We have released a “bay command” module, which displays for the lower techni-
cian all the vehicle specifications for the vehicle scanned in above. This certainly
helps with efficiency and accuracy of working on vehicles. We have also integrated
our POS system with several online filter catalog networks, as well as integration
with tire pressure monitoring systems. This allows the operator to set the tire pres-
sures and a digital signal automatically records those pressures in the POS.
Finally, we are licensing additional data beyond Chek-Chart to ensure our POS
provides the most recent, up-to-date and accurate vehicle information available.
With these changes we believe we are helping our customers achieve higher aver-
ages and higher car counts.
8 IntegratedServices, Inc. (ISI)
800.922.3099
www.ints.com
8Steve Barram, CEO
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: It may not be a “development” as much as a growing movement to redefine what
maintenance is and how often that maintenance is necessary. Over the last five
years the battle for the consumer’s mind challenging the historical view of changing
the oil every 3,000 miles has come under constant assault. No question the vehicle
manufacturers have attempted to drive down the “cost of ownership” by talking
about longer drain intervals, but often the discussion of severe driving is conve-
niently left out of the discussion. Our industry must recognize what the messaging
is and move to properly educate the customer. By manufacturer’s descriptions, a
vast majority of consumers drive in one or more conditions that meet the descrip-
tion of severe service. Our challenge and opportunity is to respond with good data
presented in a fair and easy way to understand.
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: ISI continues to believe that excellent attention to the customer by the operator
will be met with open arms and translate into higher retention; 2011 will continue
to challenge operators with retail price constrained by a more frugal and cautious
consumer. But the silver lining once again is the consumer’s need to prolong the life
of their second major asset — their car. Operators will continue to be faced with
opportunities to educate the consumer about severe driving and what it means for
the individual car owner and their service needs.
36 www.noln.net   
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: Coming out of the recession, consumers are showing fiscal restraint and in-
creased scrutiny as they select businesses they will choose to patronize. In this
environment, operators must choose to meet both the growing expectations from
consumers as well as learn more about their customers.
ISI believes turning the data captured at the POS level into meaningful information
to drive operational and marketing decisions will become more critical in 2011.
With that in mind, ISI has developed webCentral, a Web-hosted central repository
for LubeSoft data overlaid with a powerful business analytics tool. Fast lube opera-
tors can choose from a large repository of reports and dashboards or create their
own to meet their particular business need. The powerful reporting and charting
tools permits our users to organize their data into views that allow them to answer a
multitude of questions about their business, drive marketing decisions and measure
results.
8 Mighty Distributing System of America
800.829.3900
www.mightyautoparts.com
8Kenneth Voelker, president and CEO
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: The quick lube industry is large, fragmented and dynamic. These industry at-
tributes provide the opportunity for success for innovative operators. The biggest
development — and thus challenge and opportunity — over the past five years has
been the extension of oil change intervals by consumers. Due to a combination of
factors — technological improvements, OE recommendations and cash-strapped
consumers, to name a few — the average mileage between oil changes has been
extended. This industry development means most quick lubes are seeing fewer cars
in their bays, and this trend will continue in 2011.
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: How should lube operators and managers respond to these trends? By helping
consumers protect their investment in their vehicles. Progressive lube shops must
provide a portfolio of preventive maintenance services to help consumers keep their
vehicles in tip-top shape. Does your lube have a consistent and complete vehicle in-
spection program? Are you offering consumers value-added services to help them
maintain their vehicles properly? Successful lube operators have a comprehensive
program in place to ensure that when a car drives into their bay, they are ready
to help the consumer, which in turn builds their average ticket to an appropriate
level.
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: The Mighty system provides lube operators a range of value-added services de-
signed to help grow their preventive maintenance business. The acclaimed “Ve-
hicle Inspection Playbook” provides best practices and explodes many myths about
vehicle inspections. Mighty’s signature inventory management system ensures the
right preventive maintenance items are on-hand while protecting against inventory
obsolescence. Finally, Mighty’s award-winning electronic catalog and product in-
formation tools help technicians to be more efficient and effective at selling preven-
tive maintenance services.
8 The Penray Companies, Inc.
800.323.6329
www.penray.com
8Tony Costa, sales director Installed Markets
VENDORSpeak
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: The quick lube industry has certainly seen a switch in demographics: women
make up more than 60 percent of the customer base and the industry has shifted
from a DIY business to a DIFM business. We have seen the 3,000-mile interval
increase to over 5,000 miles, resulting in fewer customer returns for service. Quick
lubes are offering more services to help increase the ticket price such as tire rota-
tion, glass repair and chemical additives. A switch to a “good, better, best” menu
is offered to the customer base. Competition is making quick lubes step back and
revamp their businesses to better train employees and offer improved  customer
service. Shops are in a good position with help from the industry and the training
provided.
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: The number of cars on the road increases at a rapid pace which, when coupled
with the consumer trend toward DIFM services, bodes well for the industry. More
cars and more people are looking for professional maintenance services. People
are keeping their cars longer, requiring preventative maintenance. In 2011 new oils
will be introduced — for example GF-5, API SN and dexos1. These newer oils can
be used in older vehicles, though they’re likely to be more expensive. Some manu-
facturers are looking to reduce SKUs where applicable. If quick lubes look at the
services they provide and take a step back to see if they are getting the percentage of
business based on car count, I believe they will be surprised at the growth potential
they can achieve in 2011. 
In addition, training is key to the success of quick lubes. Some companies, such as
Penray, offer personal on-site training by supplying live demos and more impor-
tantly, selling data, to show how to promote services.
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: Operators should look at the services they provide. Simple math is taking the car
count and calculating the percentage to see if they are selling their share of services.
This holds true with all services quick lubes provide. Join forces with manufactur-
ers and let them provide the training needed to increase sales. Quick lubes should
provide outstanding service for each customer at every visit.
8 PM
Attendant
866.341.7449
www.pmattendant.com
8Ricardo Colon, president
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: The technology advance has been one of the biggest developments in the fast
lube industry during the past five years. The recession and the tightening of access
to capital have been major factors, as well.
The access to high-end technology is not just for large operators anymore. Single-
store owners can now run their shops with a wealth of information at their finger-
tips via the Web. Who would have thought five years ago a single shop owner could
pull up what was in his bay while on vacation in Europe? Large operators are also
enjoying the advancements with reduced hardware costs as well as greater connec-
tivity with their multiple locations.
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: The automotive maintenance industry should do well with customers driving
their cars longer. We will see more car owners taking advantage of the online infor-
mation and tools to help them maintain their vehicles. This means a more educated
customer in the bay who wants their shop to be on the cutting edge.
There will also be a continued growth in the marketing options for lube owners.
Those who take advantage of these refined marketing capabilities will see greater
38 www.noln.net   
growth than those who do not. Technology has made today’s marketing more ac-
curate and less expensive.
Lube operators/managers need to take advantage of these technological advance-
ments so they can better service their customers and market their businesses. If you
are still on a paper system, now is the time to get off.
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: PM Attendant has taken advantage of technology advancements to allow op-
erators to run their businesses on any Web-enabled device from anywhere in the
world. This is much more efficient and cost effective than the systems of the past.
You can now provide your customer with what is recommended.
We update our database live, as well as provide tools to show your customers what
they need. Owners can utilize internal marketing functions to help market their
shops as well as being integrated with several independent marketing companies.
8 Sage Microsystems
800.724.7400
www.sagemicrosystems.com
8Bob Sampson, president
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: Technology has improved. For example, sophisticated flush service machines
(transmission, radiator, power steering) have become easy to use and universal.
Computer information has more than doubled, providing employees with instant
access to service recommendations and procedures. Both lead to increased comfort
and confidence in the technicians that “sell” the add-on services. And that has led to
higher tickets, higher quality and more comprehensive maintenance services being
offered to the oil change customers.
 
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: Fortunately, cars and trucks are expensive. One thing this economy has done is
make owners much more aware of keeping their vehicles in good running shape.
That means regular maintenance and add-on services will be considered much
more seriously by consumers — especially with the evolution of the selling process
now being driven un-emotionally through accurate, computer-supported manu-
facturers’ service recommendations. This, coupled with customers more frequently
asking for better and higher-profit motor oils, should offset the growing trend of
extended drain intervals.
 
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: In the end, whether it is IBM, Amway or an oil change center, you have to sell
more to make more. Customer service is still number one. Many of our Sage cus-
tomers have been proactive in identifying non-return customers and have con-
tacted them directly to ask why. This is the best way to understand what needs to
improve to increase retention. Better computer analysis tools continue to evolve,
allowing owners to data mine their historical information and make informed busi-
ness decisions.
In one example, a Sage customer generated a report that showed the distribution
of specific makes and models of vehicles serviced in their center. It turned out that
over 70 percent were the same 10 vehicle models. They trained their technical crew
top to bottom on those 10 vehicles, including fuel filters, belts, cabin air filters, etc.
Again, confidence and comfort make all the difference in the technicians’ ability
and desire to sell.
Sage will continue to make more technical vehicle information available to the tech-
nicians, both on-screen and printed. This directly increases professionalism and is
VENDORSpeak
a big consumer confidence builder. In addition, Sage will continue to enhance our
reporting and analysis software tools to allow our customers’ to more easily mine
their data and improve their business awareness and decision processes.
8Sea Foam Sales Co.
800.536.4812
www.seafoamsales.com
8Jamie Hanson, marketing director
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: Corporate consolidation has long been a trend in the automotive aftermarket.
The big players in the industry are growing at a fast rate, largely through acquisi-
tions. Regional and independent distributors are being bought out and absorbed by
larger companies. These acquisitions may be motivated by the desire for expansion
into new regions or to influence the balance of wholesale versus retail sales.
In recent years, the market focus for auto parts distributors has been directed to-
wards achieving a balance between retail and wholesale to installers. It seems that
the “magic number” most distributors are shooting for is 50 percent wholesale to
professional installers and 50 percent retail over the counter.
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: In 2011 the industry will hopefully begin to see more stable growth. The last
few years have been pretty tough on auto parts distributors, although a select few
have fared tough economic climate quite well. This year has been steadier across the
board, so I believe 2011 will be a year of recovery for the industry.
In some states, bio-fuels (i.e. ethanol and bio-diesel) will become more prevalent in
2011. This will have some impact on the aftermarket simply because increasing bio-
fuel levels will affect an engine’s maintenance and fuel additive requirements.
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: When times are tough and everyone seems to be on the ropes, that’s the time
to hire more sales representatives and add to your list of “relationship customers.”
When your competitors eliminate sales staff to cut expenses, that is the perfect time
to hire more sales reps and expand your business.
Sea foam travels a national sales force that works directly with our distributor’s sales
representatives to increase their customer base. Sea Foam manufactures a line of
unique products with demonstrable attributes. We teach installers how to utilize
these products while servicing customers’ vehicles. In doing so, we hope to increase
business and improve the auto parts store’s relationship with its customer.
8 ServiceChamp
800.221.0216
www.servicechamp.com
8Kevin Gibbons, senior vice president
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: Certainly the decline in car counts has been a challenge for everyone in the in-
dustry and would unfortunately be the biggest change. We constantly get calls from
customers who wonder if they are the only ones experiencing this. While few are
exempt from this trend, it is interesting that the most successful operators are show-
ing the smallest declines. This is certainly no coincidence.
On the plus side, we are amazed at the continuing increases in the sales of cabin air
filters and premium style “beam” or “flat” wiper blades, even though these products
have been on cars for 10 years.
40 www.noln.net   
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: Since we are an industry based on “miles driven” and the trends are moving back
up, it should mean an increase in car counts. Hopefully, this will offset the con-
tinuing economic uncertainties. Additionally the 2,000-plus dealerships that closed
have left an opportunity in many markets. The tire and brake segment of the market
will continue to focus on oil changes, as everyone is searching for ways to increase
the frequency of customer visits.
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: It is easy for all of us to blame external factors (rising gas prices or high unem-
ployment) for the lack of growth in car counts. As our segment has matured, we
are now like any other service business, and we all need to focus on what separates
us from our competitors — since most of the growth we may see will come at their
expense. We talk and ask our customers every day what will make us better, and I
know we are listening and will always work to earn our name: Service Champ.
8 Universal
Products (USA Sealants)
888.863.0426
www.usasealants.com
8Kerri Papajohn, marketing manager
Q: What has been the biggest development in the fast lube industry during
the past five years?
A: Preventive maintenance. Consumer awareness peaks with affordable smart
phones. And most are aware the unemployment crisis is predicted by economic gu-
rus to last until 2018. Since April, our company has seen an influx in A/C stop-leak
orders from shops offering A/C recharge services as preventive maintenance.
Q: How do you predict the fast lube/automotive maintenance industry will
fare in 2011, and what developments do you predict the industry will see?
A: Since consumers blog on car maintenance and have a predilection for social me-
dia, feedback is immediate in 2011. We found a shop through social media turning
away 150 consumers who wanted an A/C recharge due to possible leaks. And since
this is our area of expertise, we pitched this to attract a chain of 30 California stores
to stop leaks. In two months, they performed 412 A/C recharges with only four
comebacks, one of which was not leak related.
With DIYers blogging, it is important for service writers to explain repair issues
with consumers. For example, we had one service writer in a three-bay repair shop
sit down and explain A/C leak situations to customers. Due to this doctor-like ap-
proach, he sold 58 stop-leak services along with A/C recharge services.
We noticed in the past year a larger group of people in their 50s and older partici-
pating in our contests and feedback online. Which goes hand-in-hand with recent
stats from Facebook that show a 186 percent increase in that demographic.
Q: What steps can lube operators/managers take to succeed in today’s chal-
lenging economic climate, and what steps is your company taking to help
operators achieve that success?
A: Today’s fast lube and automotive maintenance operators and managers have to
look for ways to incorporate new or expand existing profitable services in order to
stay ahead in this economy. We’ve noticed a $9,000 average profit with shops offer-
ing A/C recharge combined with stop leak.
By significantly decreasing A/C comebacks and increasing the number of A/C ser-
vices using a stop-leak product, these two factors will change the economics of of-
fering recharges. Shops that dropped this service should reevaluate that decision,
and shops offering A/C service should incorporate a good stop-leak option to in-
crease their profit. S