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03/07/2014
EUROMASTER, THERE'S METHOD BEHIND SUCCESS

Franchising by Euromaster



Extending the number of activities dedicated to optimizing procedures with the help of a trainer and presenting them with an highly professional impression, pampering clients and placing emphasis on service; here is the franchise recipe to increase traffic and margins

Francesco Lojola

More efficient and productive, and at the same time capable of a more polished service and a wider range of products and services: this sums up the key for a successful retailer, the actual dividing line between those who can look to the future with confidence and those who take it day by day, often in uncertainty.

Models of successful management and operational practices in the field are many: however, it is not enough to take them as a source of inspiration. One must fully comply. As in the case of the franchising brand Euromaster, currently holding 104 outlets in Italy, already operating under the yellow-green-blue banner and part of the 134 in total under contract. An organization with clear guidelines of working methods designed to transform the approach, the scope of action and especially the professional know-how of the trade. But is it possible to convince an experienced tire retailer to start (almost) all over again? And what could he learn that isn’t already present in his wealth of experience?

The doubts are justified, along with many others concerns about commitment and time to translate theory into concrete actions and most importantly, consistency of results: in order to find answers, nothing better than a full immersion, almost a day, at a couple of dealers affiliated with Euromaster, chosen taking into consideration different size and profile. On the one hand the big  Sedall retail outlet at Cazzago San Martino near Brescia, a 360 degrees service centre, the pride and joy of Bruno Piantoni who runs it with his brothers Sergio and Giuliano, along with his son Damiano, his daughters Laura and Loredana and twenty employees.



Streamlining is the secret

 

On the other hand, in the Bergamo province, Frana Gomme, a store run by the Frana family, Carlo and Marina with their sons Emilio and Marco, who were able to turn the store into a hugely popular tire boutique, though in a concealed area. The common denominator; managing budgets with a positive trend, in clear contrast to the performance of the market for the last three years.

"The decision to join Euromaster (says Damiano Piantoni), in mid-2011, was due to a stagnant situation. We had reached a saturation point and needed a project to resume growth by stimulating a shake-up able to free additional resources for our development. And so it was, transforming commitment and efforts in satisfaction and results.

Today we carry out the same activities as always, but much more effectively, because we were shown how to optimize them. "Starting with the two operators for single ramp, acting in synergy, struggling less and reducing time as well as errors, arriving at the tire storage service, illustrated trough an explanatory brochure and contract details. A service that Sedall is testing also for truck tires.

Things are going well in this business segment too, so much to convince the family to invest in a new warehouse for truck tires: 5 thousand units in addition to the 20 thousand new parts for cars  and 4x4 already stored, not to mention the 7 thousand tires that customers have given the company for safe storage. The annual sales of Sedall correspond to approximately 10 thousand truck tires, 15 thousand car tires and 5 thousand agricultural, industrial and motorcycle tires.



An onsite consultant, a trainer for each point of sale

 

"In 2012-13 the sale of tires marked a +21.8% for truck tires and +18.8% for cars and 4x4; and mechanical services, which accounted for 1% of total sales, now exceed 5%.”The path of the affiliate - said Simone Ferro, head of franchise consultants Euromaster - rests on strategic foundations. After changing the look of the retail outlet, we proceed with the reorganization, attributing to each employee specific roles and responsibilities; then, the training with all the specific details of the tasks assigned, and, following that, in-workshop training. "

As a personal trainer with a learner, the advisor has a fundamental task in stimulating and reassuring the personnel, "transforming precarious and discontinuous working practices in a more “by the book” working method. The coaching concept is the real key, because the Euromaster consultant is responsible not only for the training, but also for the supervision of the retail outlet staff: the vast majority of training sessions are held on site and the follow up is the push they need to apply what they have learned. "

Last year, the 11 consultants in the territory gave their services for a total of 186 days each. Once up to speed with the new model of organization and work, you start drawing up the figures: result analysis against specific franchise standards year after year during the five years of the contract. "The amount of tires sold - says Gerardo Cammi, Euromaster director of operations - is the all important indicator, measured in relation to the geographical area in which the retail outlet is located."



Figures under the magnifying glass

 

"The franchise standard correspond to the average number of wheel alignments, brake pads replaced, engine oil changes, refills of air conditioning, etc. for every 100 tires." Based on the deficiencies highlighted, plans are made to develop those services that appear to be weak." The performance review also allows identifying an employee’s substandard performance in order to plan further training sessions or a move to different tasks, to better exploit one’s skills and professionalism."

Because if the right person is in the right place, the improvement is obvious. "For us - intervenes Carlo Frana – the Euromaster method has resulted in a series of small improvements: a sum of many changes that accomplish positive results. The customers have shown to appreciate the organization, new methods of work and the quality of services offered, and new customers flock in by word of mouth. All of this resulted in higher margins, proving the wisdom of our decision to join the program: the aim was to excel in services and compete with car dealerships. "An already accomplished result, if it is true that mechanical repairs in the Madone workshop account for a quarter of the turnover in the car sector.

"For three years now, the total turnover has been growing. A special praise goes to the consultant who follows us, Massimiliano Intiso: he sets the targets and is a strong stimulus. Our goal is to give the best service, which is what we focus our promotional campaigns on. We are already very fast: in half an hour, we give back the car to the customer and so we attract further customers from the competition. "VIP days are a constant feature, but we also offer 11 free checks and a free 20 euro maintenance voucher; the latest initiative of the retail outlet is the free wi-fi in the waiting room. "I hope that other colleagues in the area adhere to Euromaster, the more widespread is the recognition and reputation, the more are the benefits for the whole network."

 

 

TRUCK FLEET MASTER, HOW TO CONVINCE A CLIENT

 

With 9 large hydraulic ramps for cars and 4 truck-bays, the Sedall retail outlet at Cazzago San Martino (Bs) has in the transport sector the heart of its business. What has changed after joining the network Euromaster is primarily the focus on customer assistance: 4 mobile heavy vehicle workshops, and a methodical approach based on the truck fleet Master program, ensuring maintenance aimed at optimizing tire life. The initial vehicle check-up to detect, axle per axle, make and model of new and retreaded tires, pressure and tread remaining. And then, a detailed report that photographs the condition of the customer’s fleet, defining the average value of the tires and programming maintenance routines, tire reversal or eventual re-grooving, to optimize the tire’s performance and life span, and finally highlighting potential cost reductions. "Customers are impressed by the professional setting - declares Damiano Piantoni, part of the family owned Brescia retail outlet - allowing us to shift the focus from market and prices to service. And, thus, sales are a direct consequence. "

 

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