Chris Collins examines why the two-person wet/dry technician model in quick-lube shops wastes money. Two techs at $20/hr each cost $40/hr but save only 5 minutes per job. Hiring one skilled tech at $45/hr instead could cut labor costs by $15/hr and eliminate idle time.
About 5 minutes.
$16 to $20 per hour.
$40 per hour.
$60 per hour (example provided by speakers).
About $60 per hour.
So guarantees hourly tax, quick lube, anything or just Charlie Brown. So just aren't very productive.
Right.
Then number three is two people.
To a car or truck. Two people to a, to a vehicle.
Never has made any sense whatsoever. I've. I don't know how many manufacturers I have been round and round with about this. Like, literally there with the stopwatch, like. Okay. Having a wet and a dry tech makes this go. It's five minutes quicker, but it costs twice as much.
Yes.
So we're shaving five minutes off.
The five minutes is when you're recording it. When they're just out in the wild doing it. It is, it is exactly the same amount of time.
Yeah. So having a wet in a dry tech, I mean, if you got pits, that's. That's a different story because you're forced.
Into it and you can have the pit guys hopping back. If you have a pit with two, two cars on it, the bottom guy can hop back and forth. That helps a little bit, but it's still expensive.
Yeah. So you got, you got to think about it this way. If you, if you have a quick lube tech and you're not making a lot of money on oil changes and quick loop to begin with, so your revenue is pretty low. It's a volume game that you never really win. Yeah.
So it changes the focus.
You're not printing money, but if you look. So what is a quick lube tech make an hour now? 20 bucks.
Say anywhere between 15 and 20 for sure. Depending on the parts of the country.
Well, the first of this year, minimum wage is 16 in most places, so 16 to 20.
Yeah.
Okay, so let's say they're making 20 and then you have two of them. What does that cost?
40. I. The main reason I like, I would like everyone to pay 20 because the math is easier to do.
Yes.
So 40.
So 40.
Your cost is 40 to do oil changes?
Yeah.
Yeah. It's very often, it's very often that your lube team has the highest paid tech in the shop.
If you have guarantees in place and your technicians running at 50 and he makes $30 an hour, what's your cost?
60.
Yeah, it's double. So you're, you know, it is.
They.
We talk about expenses all the time. Your.
Biggest gap is usually that your inefficiencies and unapplied time are killing you.
Yeah. My favorite thing is when we'll go through in a store, we'll be paying on average $60 for an hour for tax. And they can't find tax.
Oh, yeah.
I'm always like, hey, could you, could you hire some good, talented techs for 45? They'd be like, oh, yeah. I'm like, we'd be saving 15.
You could do 50 and still be better off. Like you can.
Well, you can do 60 and be better off. Really?
Yeah. Because at least then you get more hours. Yeah, right.
Eventually you'll make it up.
Thanks so much for watching this clip of Service Driver Revolution. We're uploading new stuff every day, so make sure you subscribe and click the bell icon so you don't miss out. If you have a question you'd like us to answer on the show, call 8333 Ask SDR and we'll answer your question on the show. That's 8333 Ask SDR. For special deals on our books and training, head over to offers.chriscollinsinc.com now that's offers do Chris collinsinc.com I'm Chris Collins, and I'll see you in the next video.
