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Article Directory :: Automotive Articles
A lot has been discussed on the subject of making money in the oil change business using extended drain motor oils. The old theory that the more times I see a customer the more money I make is not only inaccurate, but borders on unethical.
The facts speak volumes to the superiority of synthetic oils. Currently there are only 3 oil manufactures that openly print a drain interval on their bottles. Castrol Edge and Mobil 1 advertise a 15,000 mile interval and the leader in the industry, Amsoil claims a 25,000 mile or 1 year interval.
The current business model that our company uses gave up on the 3,000 mile oil change clear back in 1996. Since switching our focus to a 25,000-mile or 1 year oil change using Amsoil our business has exploded.
If you base your business model on educating your customers then extended oil change intervals will work for you. There is a lot of bad information out there on the use of extended drain lubricants and most if not all this information is based on old thinking from years past.
Extending drain intervals does not void the manufacturer's warranty. Consumers are protected by the Magnusson Moss Act, which is a federal law that outlines the provisions that are permitted inside most warranties. European car manufacturer's have been extending drain intervals for over two decades with absolutely no detrimental affects on their engines.
One of the stipulations set forth in the Magnusson Moss Act states that a manufacturer cannot void any warranty be verbal instruction only, it must be in writing. Every car dealer that we have challenged on this has backed off their stance about extending drain intervals, they simply will not put it in writing and more than likely that was on the advice of their attorney's.
The fact is you can make more money with extended drain lubricants. Why charge your customers $30.00 for an oil change every 5,000 miles (the national average for oil changes is 5,280 miles) when you can simply charge them $89.95 once a year and be done with it.
In a recent survey taken it was found that 94% of consumers would prefer getting just one oil change a year vs. going three or four time a year. It seems most people would rather save time vs. saving money.
The simplest way to determine if this is right for your business is take your own survey with your own customers. Let your customers be your guide, we think you will be surprised at the results. The sooner you switch your customers over to an oil the national quick lube chains won't sell the easier it will be to keep your customers from going there.
Don't totally rule out offering extended drain oils to your customers, besides the decision is really up to them. There are numerous reports documenting the benefits of extended drain intervals so don't rule out the possibilities of enhancing your bottom line.
Steve Tarini has been an authorized Amsoil Dealer since 1996 and has extensive experience in testing and marketing Amsoil. No other synthetic oils on the market generate more profits in the quick lube business than Amsoil. With staggering profits of over 40% on every oil change its easy to see why the Amsoil Business Opportunity makes sense.
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