SPRING 2020
STAYING STRONG: How the Industry Is Coping with the
Coronavirus Pandemic
WACTAL Welcomes Its New
EXECUTIVE DIRECTOR
2020 WACTAL BOARD of DIRECTORS President Larry Terrien, MJ Collision Center larry@mjcollisioncenter.com Vice President Mark Williams, Williams Auto Body mark@williamsautobody.com
Spring 2020
CONTENTS
Vol. 7, Number 3
Secretary Ronnie Goss, Goss Auto Body, Inc. ronnie@gossautobody.com
14 COVER STORY
Treasurer Sue Black, Dean’s Auto Body suzieq@deansautobody.com Directors Eileen Haberman, Glen's Auto Body, Inc Steve Humblet, Quality Paint & Body, Inc.
STAYING STRONG: How the Industry Is Coping with the Coronavirus Pandemic by Alana Bonillo & Joel Gausten
Ken Kempfer, Fox Valley Technical College Michael Taylor, Zimbrick ChevroletSun Prairie Tracy Black, Dean’s Auto Body, Inc. Executive Director Deb Brunett info@wactal.com 262-542-7707 Lobbyist Jolene Plautz jplautz@aol.com
CELEBRATING 30 YEARS PUBLISHED BY: Thomas Greco Publishing, Inc. 244 Chestnut St., Suite 202 Nutley, NJ 07110 PHONE: 973-667-6922 • FAX: 973-235-1963 ADVERTISING: 973-667-6922 • alicia@grecopublishing.com PUBLISHER Thomas Greco (thomas@grecopublishing.com) SALES DIRECTOR Alicia Figurelli (alicia@grecopublishing.com) GRAPHIC DESIGNER Lisa M. Cuthbert (lisa@grecopublishing.com) EDITORIAL DIRECTOR Joel Gausten (joel@grecopublishing.com) EDITORIAL / CREATIVE COORDINATOR Alana Bonillo (alana@grecopublishing.com) OFFICE MANAGER Donna Greco (donna@grecopublishing.com) www.grecopublishing.com Wisconsin Automotive News is published quarterly by Thomas Greco Publishing, Inc., 244 Chestnut Street, Suite 202 Nutley, NJ 07110. Distributed free to qualified recipients; $48 to all others. Additional copies of Wisconsin Automotive News are available at $5 per copy. Reproduction of any portions of this publication is specifically prohibited without written permission of the publisher. The opinions and ideas appearing in this magazine are not necessarily representations of Thomas Greco Publishing, Inc. or of WACTAL. Copyright © 2020 by Thomas Greco Publishing, Inc. Images © www.istockphoto.com.
PRESIDENT’S MESSAGE..............................................................4 We Will Get through This! by Larry Terrien PUBLISHER’S MESSAGE..............................................................4 OUTGOING WACTAL EXECUTIVE DIRECTOR’S MESSAGE ........................8 Time for a Change by Sue Peterson WACTAL THANKS SUE................................................................9 EXECUTIVE DIRECTOR’S WELCOME MESSAGE....................................10 A Welcome Message from WACTAL’s New Executive Director by Deb Brunett MY TWO CENTS - GUEST EDITORIAL ..............................................12 I’m Concerned! by Steve Humblet WACTAL MEMBERSHIP APPLICATION..............................................13 INDUSTRY ADVICE: ASK MIKE ......................................................16 How Can Shops Take Advantage of Their Downtime? by Mike Andersen ADVERTISER’S INDEX AkzoNobel..............................................IBC Axalta Coating Systems ......................IFC Body Shop Supply Co. ........................6 Buerkle Hyundai....................................9 Dent Clinic ..............................................7 Dentsmart ..............................................17
Morrison’s Auto Parts............................11 Reliable Automotive Equipment..........OBC Sherwin-Williams ..................................5 Straight and Square..............................18 Zorn Compressor & Equipment..........18
Spring 2020
Wisconsin Automotive News
3
PRESIDENT’S MESSAGE
We Will Get through This! As you probably know, WACTAL is in a state of transition. As of April 1, Sue Peterson, our longtime executive director, has retired. (See page 8.) Sue has been the driving force for WACTAL for many years and will truly be missed. I would personally like to thank her for her years of tireless service! I would also like to welcome Deb Brunett as our new executive director. Deb comes to us with a wealth of knowledge, experience and fresh ideas. The other transition that we are going through is dealing with what is going on in the world and how it is affecting our industry. We are seeing some shops that are shutting down completely and others that are continuing to serve their customers. Some are running at full staff, while others are short-handed. The ones that are running are experiencing a drastic change in business practices. These often include dealing with parts shortages and having to pick up parts that are no longer being delivered
PUBLISHER’S MESSAGE To Our Valued Supporters: You don’t need me to tell you about the impact of COVID-19 on the automotive repair industry. Certainly, you’re getting it from all ends already. If you’re a small business like Greco Publishing, all you have to do is look at your cash flow over the past few weeks to see how this virus is affecting you, symptomatic or not. In a world where you’re worried about paying staff, retaining customers and, most importantly, keeping yourself and your family healthy, what can Greco Publishing do for you right now? As it turns out, quite a lot. Information. We vow to keep our readers informed by continuing to put out our regular publications informing the repair industry atlarge of the issues affecting your daily success, whether in print or online. Please bookmark grecopublishing.com and follow us on Facebook and Twitter to stay in the loop when our issues come out. Connection. While many of us remain in isolation, don’t forget that assistance in almost any area - from insurance relations (yes, shops are still hearing “We don’t pay for that” even now) to completing Small Business Assistance (SBA) paperwork - remains very much available. We can connect you to each of our client associations: The Wisconsin Auto Collision Technicians Association Ltd. (WACTAL), Washington Metropolitan Auto Body Association (WMABA), Alliance of Automotive Service Providers of New Jersey (AASP/NJ), Massachusetts (AASP/MA), Minnesota (AASP-MN / “The Alliance”), Auto Body Association of Texas (ABAT) and many more
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Wisconsin Automotive News
Spring 2020
(often driving long distances). Drop-off and pick-up of vehicles is now done differently, and many shops are modifying estimating procedures and office hours, among other things. Sanitizing vehicles before repairs and delivery has become one of the most important changes that must be made. Are you charging for this required operation? It is times like these that stress the need to stay informed with the latest information. This is why it is so important to belong to WACTAL and be an active member! If you ever have any questions, please contact us. Together, we will get through this! WAN Larry Terrien President
by Alicia Figurelli Sr. Vice President / Sales Director, Greco Publishing
leading organizations with just a phone call or email. Your trade association is in place to help you through these tough times; we encourage you to utilize them, and us. Guidance. Vendors, I won’t claim to have the magic formula to reach more customers than you would if things were “normal,” but I will remind you that as of today (April 17), auto repair is still considered an “essential” business. That means that you remain essential as well, even if your customers’ (or your) doors are temporarily closed. This is not the time to withdraw from the public eye, but rather a time to stay in communication with your contacts. Trust me: they need you now more than ever. Please contact me to discuss how we can work together - for free - to reach your customers until, and well after, this industry is back on its feet. Support. Our top priority is your success, in good times and in bad. Please contact me anytime if we can assist you or your company in any way. No request is too big or too small. Call or text me at (908) 565-3270, or email me at alicia@grecopublishing.com. I want to help you through this however I am able. These are uncertain times, to say the least. But I promise you that until we are all back to “business as usual” - and for long after that - that all of us at Greco Publishing are here for you, no matter what.
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Wisconsin Automotive News
Spring 2020
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OUTGOING EXECUTIVE DIRECTOR’S MESSAGE
Time for a Change As they say, all things must come to an end. That includes my time working for WACTAL and its members. I retired from WACTAL at the end of March. After being involved with WACTAL for more than 30 years, it’s difficult to adequately express my gratitude to the many individuals I’ve met, worked with and became friends with. Preparing for the transition and going through and consolidating the archives have brought back some wonderful memories. The hypnotist who entertained us at one of the conventions, Casino Night at another convention, touring Lambeau Field, the reception at EAA and the many fun-filled summer campouts where dinner was always a surprise. We never knew what chefs Phil Black and Lenny Glass had in store for the group cookout. The kids’ scavenger hunt was always a favorite. Such great memories! As I “traveled” back in time, I came across an article in the July 1979 issue of the WACTAL Newsletter asking shops to document problems with insurance appraisers and adjusters and submit that information to WACTAL. A
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“complaint” form was also included as part of the article. Just as WACTAL asked shops to become involved back in 1979, shops are asked to do the same today. Become involved. This is your industry and your livelihood. If you’re too busy to be actively involved, at the very least become a member if you aren’t already one. To each and every one of you, THANK YOU for the memories and your friendship! It’s been a privilege and pleasure working for you and WACTAL. As I bid farewell, I’d like to introduce you to Deb Brunett, WACTAL’s new executive director. With Deb’s life experiences, work history and skill sets, she’ll do well by WACTAL and its members. WAN Sue Peterson Outgoing Executive Director
WACTAL THANK YOU MESSAGE
Thank You, Sue! For more than 30 years, Sue Peterson has devoted her days to WACTAL and the automotive industry in Wisconsin. As executive director of the association, she has been the heart and soul of this organization and the glue that has held it together, helping to make it what it is today. We thank you, Sue! “We owe many thanks to Sue. It was under her watch that WACTAL was kept alive while many associations were failing. Sue was always professional, dedicated and prepared with great leadership ability. Sue will be missed at the helm. Thank you for all the years. I’m thankful that I had the opportunity to work with her. Thank you, Sue, and congratulations.” Tim Goss WACTAL Past President Goss Auto Body
“Sue has been with WACTAL for decades, and she has run numerous conferences, trade shows and Camp and Golf Outings. She attended a multitude of other organizations’ trade shows and has been the steady face of WACTAL. Sue has been the glue that has held this organization together with her meticulous attention to detail, knowledge, expertise and connections within the industry. From the beginning, she always thought of details no one else did and has stayed on top of industry issues. She does so much behind the scenes that the Board may not even be aware of. In all the years I’ve known her, she has never spoken ill or complained. Our kids remember the Camp/Golf Outings because Sue always made them feel so special and made the events so much fun.” Sue Black WACTAL Treasurer Dean’s Auto Body
WAN
WAN
Spring 2020
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EXECUTIVE DIRECTOR’S WELCOME MESSAGE
A Welcome Message from WACTAL’s New Executive Director Let me introduce myself. I am Deb Brunett, and I am so privileged to be your new executive director. I really appreciate the warm welcome I have had so far from the WACTAL family. The experiences and skills that I bring to your organization vary from educating students and adults to setting up conferences and workshops to everything in between – including running the office of our family’s masonry business. I have had the pleasure of getting to know a couple of our Merrill hometown auto collision businesses: KB Body Shop (after a deer decided he wanted to travel as a hood ornament on our van) and One Way Collision (when our Buick was sideswiped in a parking lot). Both companies provided top-notch service to us, and I now know that their business practices align perfectly with WACTAL’s Member
Code of Ethics. I hope to meet the rest of the WACTAL organization under better circumstances. As I enter this new chapter, I would be remiss if I did not thank outgoing Executive Director Sue Peterson. She is one of the foundational pillars of WACTAL and will be a very hard act to follow! Sue has been instrumental in helping this transition to be as seamless as possible, and I’ve learned a lot about WACTAL from her in a short space of time. Good luck and blessings, Sue, as you begin this new chapter of your life. Enjoy! I’m looking forward to being your executive director. My door is always open. Please feel free to contact me anytime with your ideas and concerns. WAN Deb Brunett Executive Director
WACTAL’s new Executive Director Deb Brunett (second from left) and her family (left to right): Husband Kelly, owner and mason of ABG Masonry, Inc.; daughter-in-law Kylie; grandson Jackson; and sons TJ, Brandon and Logan at a family wedding in October 2019.
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www.morrisonsauto.com Spring 2020
Wisconsin Automotive News
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GUEST EDITORIAL By Steve Humblet
I’m Concerned! We've all made stupid business decisions to keep business as usual. This is certainly not business as usual, and it's more important now than ever to keep your financial stability high on a list.
Yes, about the virus. Absolutely. Those very near and very dear to me are in harm’s way. It’s very concerning, but I have no doubt that we’ll get through this – but not quickly, not easily and not without making sacrifices. My other concern is how I’ve handled past downturns in the economy and in our workload. In the past, I didn’t do too much. I discounted a service to keep busy or overlooked something to keep costs in line with what someone was willing to pay. Tricks of the trade. You know them, and it’s a big list. We’ve all made stupid business decisions to keep business as usual. This is certainly not business as usual, and it’s more important now than ever to keep your financial stability high on a list. Adding break-even jobs to keep the doors open looks helpful, but a gross without a net profit is no help at all. There is nothing wrong with discounting Aunt Martha’s fender ding or that longtime customer’s rust spot. Just keep it in check. You can’t give it away. This could be the downturn that can put you out of business. This is going to be a lengthy recovery that will further diminish the already dwindling market that’s available. One must think of survival! I would propose two strategies for myself and others: Salesmanship: Rather than lowering the price, you better sell the need or service. We have a lot of self-pay services this time of year, which is extra slow. So, my natural tendency is to estimate conservatively, adding insult to injury. (Wrong!) I’ll round it down when the customer balks. (Wrong!) Two wrongs don’t make a right; two
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wrongs make you stupid. So, this time, I’m determined to not be so stupid. Instead, I’d better polish my salesmanship and better explain what needs to be done, and why. That’s my plan, anyway. I can do it; I just need to be reminded.
Negotiation: This has been an ever-increasing requirement and a trait I’ve personally had to work at. I like things black and white - It costs this, and I pay that (or don’t). Simple stuff. Now, with photo estimates, desk adjusters and included/not-included items, it seems like I spend a lot of time at the negotiating table – an uneasy place I don’t like to be. Too emotional, I guess. Anyway, I encourage you to do your best. A great read on this subject is Chris Voss’ Never Split the Difference, which is also on YouTube if you don’t like to read. So, salesmanship and negotiation skills are gonna be the ticket, baby! I’ll add the importance of a “positive mental attitude” as well. I’ve never had trouble with that one. In fact, I have one to a fault. The staff will often remind me that my positive mental attitude doesn’t change the reality of not having a part, having a part that’s bent, having trouble clearing codes, being short on staff, etc. The list goes on and on. I would think if you’re (still) in this business, you’ve got a pretty good attitude already. This is no place for the weak. Best of Luck & Be Well, Steve WAN
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STAYING STRONG:
COVER STORY By Alana Bonillo and Joel Gausten
How the Industry Is Coping with the Coronavirus Pandemic
Note: This article represents current information as of our press deadline of April 17. We encourage our readers to follow the Centers for Disease Control (CDC) and state and municipal news for the most up-to-date information on the coronavirus response in your area. This is most certainly not the springtime anyone would have envisioned. Social distancing instead of social events. Wearing gloves and masks indoors and outdoors. National industry events such as the April Collision Industry Conference (CIC) and the Society of Collision Specialists’ (SCRS) Repairer Roundtable and Annual Elections (as well as a host of
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regional gatherings) rescheduled or postponed until further notice. As the nation continues to grapple with the coronavirus pandemic – and the effect it has had on businesses in Wisconsin and beyond – the auto body industry is one profession that is standing strong despite unexpected (and at times immeasurable) obstacles. While the pandemic has had a substantial impact on all facets of the collision repair industry, many businesses within the Wisconsin automotive community are keeping their doors open while doing all they can to assist others and keep busy despite any downtime that may come their way. “Frankly, we’ve been very lucky having a busy and
number on the office door so people can call, and we will profitable winter, so we have some reserves,” shares Steve come out to do the estimate. We are taking credit cards and Humblet of Quality Paint and Body in Minocqua. “With spring always being slow here, there are several maintenance leaving the keys inside the vehicle to eliminate customer contact. We are doing estimates from photos even though we projects we already had scheduled. But after that, it will get don’t like to do that. The bathrooms are cleaned daily. The interesting.” office floor is mopped three times a week, and all counters Although there were no cases reported in his shop’s area are wiped down daily. There are signs by the breakroom and at the time of this writing, Humblet says his operation is wash sink about washing your hands, staying six feet taking all safety concerns seriously. He meets apart and not touching your face. We have customers in the driveway and is sure to been wiping down customers’ cars when conduct any business only from six feet While they drop them off, and we wipe down away. the loan cars going out. There are The doors remain open at Dean’s things may Clorox wipes on the counter for Auto Body in Sheboygan, but owner continue to remain customers, too.” and WACTAL Treasurer Sue Black uncertain in the coming In addition to trying to keep has noticed a drop in work volume weeks and months, it is their employees, themselves and as people are indeed listening to customers healthy and safe, shop the Governor’s policy to stay at clear that the essential owners like Goss and Black have home during this crisis. business that is the auto also been donating items not in use, “There is less traffic on the body industry will such as gloves or masks, to local road, and there has been a fear put hospitals or first responders. into people to not head out into the keep going. Black was contacted by a local world to do something that isn’t hospital in need of protective supplies. necessary right now. Unless you have a Thankfully, she had some unopened boxes of vehicle that is a total loss, you may not want to gloves she was able to spare. Goss was happy to help the get your dents fixed; however, now is the perfect time local fire department and rescue squad, which were in need because you may be working from home or home with the of N95 masks. Goss was able to supply about 50 masks and kids and not in need of that vehicle.” two-and-a-half cases of latex gloves. Black has assured all of her customers that Dean’s is Goss Auto Body has dealt with the virus firsthand in that taking the utmost care to sanitize every door handle, knob, one employee’s girlfriend tested positive. The employee did light switch, computer keyboard, etc. The shop is also not report to work the day his girlfriend showed symptoms. offering a pick-up or drop-off service to minimize customer She had the test and got the results days later. Goss says they contact. had both been quarantined for 14 days and are doing fine; “We are all essential workers coming into work, so we the employee was to return to work at press time. have to make sure we can be safe for our families and our Goss is well aware of the concerns and worry on his customers.” employees’ faces and does what he can to put them at ease. Although she misses her one-month-old granddaughter, One Friday, he cooked up some burgers and brats for his Black is practicing social distancing by visiting over crew. FaceTime or waving from 20 feet away. Right now, she is “We are taking this thing on a day-to-day basis. I have thankful that the shop is able to keep all of its employees on employees who want to work. Even if we close, the mail still board. comes, the towing line still rings and people still need WACTAL Secretary Ronnie Goss (Goss Auto Body; Menasha) remains positive. His doors remain open, and they estimates.” While things may continue to remain uncertain in the are taking every precaution to protect all involved. “We are still open. This is generally a slower time of year, coming weeks and months, it is clear that the essential business that is the auto body industry will keep going. but we have been able to keep everyone working.”. As Black says, “We hope that once the stay-at-home As far as safety measures are concerned, Goss and his [order] is lifted and people slowly start to go back to work, staff are doing everything they can. Signs on their doors alert more vehicles will be out and about again.” WAN anyone who comes by to remain outside the facility. “Parts deliveries are left outside. We have our phone Spring 2020
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INDUSTRY ADVICE By Mike Anderson Do you have a question for Mike? Contact Wisconsin Automotive News Editorial Director Joel Gausten at joel@grecopublishing.com or (973) 600-9288, and we’ll ask him in a future issue.
ASK MIKE How Can Shops Take Advantage of Their Current Downtime? This month, we “ASK MIKE” for his thoughts on how shops can make the most out of this unexpected downtime. We at Wisconsin Automotive News hope you find this following exchange useful, and we encourage you to reach out to us if you have a question for Mike on this or any industry-related matter that he can answer in a subsequent issue.
Wisconsin Automotive News: Obviously, the pandemic is impacting the industry more and more each day, and a lot of shops are facing unexpected downtime. While not ideal, this could present new opportunities for them. What might be some really good ways shops can take advantage of what’s going on to benefit their businesses?
Mike Anderson: They can use this time for a lot of things. They can go ahead and do maintenance on their spraybooths and frame machines. It’s also a chance for shops to check their inventories to see if there is anything they need to return. This is also a good time for them to look into their parts credits and any receivables they have. Hopefully, shops are closing repair orders when the cars leave, but some shops have some that haven’t been closed. They can close them now. If they need to take some I-CAR classes, they can take them online. Maybe there are online classes for OEM certifications that they haven’t taken yet. If they have company vehicles, this is a great time to service them. If employees don’t have much to do, maybe you can offer them use of the shop to perform personal maintenance on their vehicles. That could help keep up morale. You could see if your employees’
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friends and neighbors have cars that need work, and you can offer them discounted rates. This is also a good time to catch up on doing employee reviews. Some shops are looking at deductible financing. If customers don’t have money for a deductible, shops can offer that. There are a lot of companies that offer that, and the customer doesn’t have to pay interest for 90 days and the shops pay something similar to a credit card fee. At the time we’re talking, a lot of places like Lowe’s and Home Depot are open. This is the time you could finally remodel your office and repaint the walls at your shop. If you don’t have a lot of cars right now, take out the ones you do have and pressure wash your facility. We will get through this, and these things will help you when things pick up again.
WAN: Repairers and estimators typically have to deal with customers who are stressed and unhappy anyway, as nobody walks into a body shop on a good day. A lot of shop employees are very skilled in improving customer morale on a regular day. In light of things, how can shops still project that kind of positivity to others? MA: I know of some shops that are trying to support their local restaurants by buying gift cards from them. Then, they’re doing radio ads or ads on social media where they’re doing drawings where customers can receive those gift cards for takeout or delivery. There are a lot of positive things we can do.
WAN: Because your own business model has suddenly changed, what are some ways you’re adapting to where we are as of today?
MA: I’m trying to use this time with my team to develop new content. There’s always new content in my head that I don’t usually have time to develop. I have my team going through and purging their email to make sure we’re all caught up on those. I just went to the Database Enhancement Gateway [degweb.org], downloaded the P-Pages for CCC and Audatex and re-read them again to see all the things that are not included. I’ve been going through industry websites like oem1stop.com and looking at some of the consumer tools they have available. We all have things we want to do but never have the time, so I’m using this time to catch up on these and other things to sharpen my mind. WAN
Mike Anderson is an Accredited Automotive Manager (AAM) and the former owner of Wagonwork Collision Centers, two highly acclaimed shops located in Alexandria, VA. He has served as a member of many industry organizations throughout his career, including the WMABA Board of Directors, the Mitchell Advisory Board, the MOTOR Advisory Board, the ASE Test Review Committee, the National Auto Body Council, the Collision Industry Conference and the Society of Collision Repair Specialists. Additionally, he is a past Virginia SkillsUSA chairman, serves as a facilitator for Axalta Coating Systems’ highly recognized Business Council 20 Groups in both the US and Canada and facilitates numerous courses for Axalta Coating Systems’ Educational Series. He currently offers expert industry consulting via his latest venture, Collision Advice (collisionadvice.com).
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