If your ARO is lower than you want it to be, do not start with: How do I get my advisors to sell more? Start with: Where in our process is the opportunity disappearing?
When shop owners see a low ARO, the advisor often gets blamed first. Sometimes the advisor does need coaching. But sometimes the opportunity was already lost before the advisor ever spoke to the customer.
- The technician did not identify the work
- The inspection was weak
- The pictures did not clearly explain the concern
- Preventive maintenance was missed
- The technician found the work but it never reached the estimate
- The estimate was complete but the advisor did not properly prepare the inspection
- Everything was done correctly until the actual customer presentation
Start With the Entire Process
ARO is the result of everything that happened before the invoice was closed: vehicle entry, inspection, findings, estimate, advisor preparation, customer presentation, approval, and completed work. If the process breaks anywhere along that path, ARO can suffer.
Start With the Inspection
If the technician does not find the opportunity, the advisor cannot present it. Ask whether every vehicle is being inspected according to the standard, legitimate findings are documented, good pictures and measurements are included, RED, YELLOW, and GREEN items are categorized correctly, the customer sees both the good and the bad, and preventive maintenance is identified where appropriate.
Make Sure the Customer Sees the Full Health of the Vehicle
A strong inspection should not only show what is wrong. It should show what is good too. The customer may be deciding whether they want to keep the vehicle for another three years, five years, or longer. Showing what is healthy helps them understand the entire vehicle and make a better investment decision.
Then Review the Estimate
- Did the identified work make it to the estimate?
- Did the required RED work make it?
- Did required YELLOW work make it according to the shop standard?
- Was preventive maintenance included where appropriate?
- Did we catch the obvious opportunities?
- Was the estimate complete?
If the technician finds the work but the estimate never includes it, you do not have a sales problem. You have an execution problem.
Review Preventive Maintenance
Where appropriate, the advisor should look at mileage, vehicle condition, manufacturer recommendations, known service history, and CARFAX or another available service history source. The goal is not to recommend the same service to every vehicle. It is to help the customer understand what maintenance may be approaching and what may already have been completed.
Review Advisor Preparation
Before the advisor calls the customer, ask whether the inspection was actually ready to present. Was the wording clear and customer friendly? Was Edit Pencil used where appropriate? Were pictures marked up? Was available service history reviewed? Did the inspection, pictures, estimate, and maintenance recommendations all tell the same story?
Then Review the Presentation
- Was the complete recommendation presented?
- Did the advisor follow the shop owner sales process?
- Were RED and YELLOW items explained according to the shop standard?
- Was preventive maintenance discussed?
- Were timing and financing discussed where appropriate?
- Did the customer understand the recommendation?
- Were approvals and declines recorded?
Do Not Confuse Selling Harder With Communicating Better
The goal should not be pressure. The goal should be clarity. A customer who understands what is wrong, why it matters, what is still good, what needs attention now, what can wait, what maintenance may be approaching, what the repair will cost, and what their options are is in a much better position to make a decision.
Look at the Difference Between Identified Work and Sold Work
Ask where the opportunity disappeared. Did the technician fail to identify it? Did the technician identify it but it never reached the estimate? Did it reach the estimate but the advisor never properly presented it? Was it presented but declined? Those are four different problems and each requires a different solution.
Follow the Repair Order
- Original customer concern
- Inspection
- Pictures
- Technician findings
- Estimate
- Preventive maintenance
- Advisor edits
- Presentation timing
- Approvals and declines
- Final invoice
Sometimes You Need to Slow Down to Increase ARO
When a business feels behind, everybody wants to speed up. But speed can cause the exact details that create revenue and gross profit to get missed. A rushed technician can miss legitimate findings. A rushed advisor can send an inspection that was never edited. A rushed estimate can leave work behind. A rushed presentation can confuse the customer.
Sometimes slowing down the process creates a better customer experience and a stronger financial result.
Owners Should Be Able to See Where ARO Is Breaking
With the right software and the right metrics, an owner should not have to guess. You should be able to see whether the inspection happened, findings were documented, the estimate was complete, preventive maintenance was reviewed, the advisor prepared the inspection, the recommendation was presented, and the customer approved or declined.