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Quick Lube FST _October 2006_.qxp

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Quick Lube FST _October 2006_.qxp Powered By Docstoc
					                                              FIELD SALES TOOLS SERIES



                                                 QUICK LUBE
                                                 Table of Contents
Target Market Synopsis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 2
Gain a Competitive Edge . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 3
Dispelling the Myth of Other “Extended Drain Interval” Oils . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 3
Market Challenges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 3-5
Industry Concerns . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 5-9
      Price Points . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 5-6
      Extended Drain Intervals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 6-7
      Competition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 7
      Declining Car Counts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 7-8
Quick Lube for the Truck Market . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page8-9
Cost Savings for Fleet Customers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 9
Target Market Business Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 10
The Power of Promotion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 10
The Sales Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 11-13
Long Term Profitability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 13
Demystifying the Female Motorist . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 14
Checklist for Success . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 14
Products and Applications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 15-16
Miscellaneous Convenience Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 16
Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 17
Appendix . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 18-26
      A View from the Field . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 18-19
      More Money in Ten Seconds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 19
      Looking to Save Time and Money? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 20
      Can My Business Make More Money in Ten Seconds? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 21
      Top Ten Reasons to Use AMSOIL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 22
      AMSOIL Dealer Quick Lube Questionnaire . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 23
      Month-by-Month Oil Change Profit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 24
      AMSOIL vs. Petroleum Oil Price Differences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Page 25-26
Sales Tip: Generally                                         Target Market Synopsis
speaking, larger Quick
Lube operations are            There are two main markets within                  Within the Quick Lube market,
corporately owned,             the oil change industry:                           there are two distinct operations:
whereas the smaller,
independent operations         DIY Market (Do-it-for-Yourself):                   Franchise Operations:
are many times owner           • These are the people who change the oil          • There are companies that operate
operated. AMSOIL is not        in their vehicles themselves.                      franchise operations with hundreds of stores
discouraging Dealers from      • This market has continually gotten smaller       (i.e. Jiffy Lube).
calling on corporately         and smaller over the last few years.               • For the purpose of this FST, operations
owned Quick Lube                                                                  with those over 30 stores will be considered
operations, but has found      DIFM Market (Do-it-for-Me):                        larger or franchised businesses.
the independent operation      (This is the market that will be focused on in
to be a much more likely       this Field Sales Tool (FST).)                      Independent Operations:
AMSOIL customer. The            • In order to put together the most               • There are smaller, or independent,
owner/operator can make        comprehensive Quick Lube FST possible,             operations where one owner will own and
a buying decision quickly      each of AMSOIL’s Regional Sales Mangers            operate a small number of stores.
when it comes to carrying      spent a full day working at a Quick Lube           • For the purpose of this FST, operations
AMSOIL products, while         operation. From getting down in the pits,          with less than 30 stores will be considered
the corporately owned          washing windshields, to asking questions of        smaller operations.
operation usually has a        Quick Lube customers, the research
much longer decision           performed by the RSM’s was done to best            There are some minor differences as to
making process.                serve you, the AMSOIL Dealer.                      these two operations and Dealers need to
Furthermore, the corporate     • AMSOIL Dealers have already                      be aware of the type of operation that is
operation may frown on         established thousands of DIFM accounts,            being approached. Here is an example of
the use of competitor’s        and there are tens of thousands left to            one difference between the two types of
products in their              establish.                                         Quick Lube operations. Consider that a
corporately operated                                                              smaller operation averages $27.36 for a
locations.                     The DIFM market has continually grown              full-service lube, oil and filter change with a
                               over the last number years. For example,           multipoint inspection. That same service
                               the number of quarts of oil purchased by           from a larger operation averages $29.44.
                               DIFM’s in 1996 was 43.4 %. In 2000, that           The average cost of goods for the smaller
                               number had risen to 50.4% and it continues         operation is $9.13. The franchise owned
                               to grow. There are many reasons for this           operations cost of goods is only $6.82, so
                               shift. First, the population as a whole is         as you can see, the smaller operator works
Educational Note: In           getting older and the aging population is          on a smaller profit margin, which is very
the real world, many           more inclined to be DIFM’s and second,             important for you to know. As an AMSOIL
drivers operate their          there is the issue of convenience. Someone         Dealer, you should have at least one Quick
automobiles under what is      is more likely to have this service performed      Lube operation as a customer so you can
often called "severe driving   for them as leisure time becomes scarce for        send your clients to this location to have
conditions."                   most people. An offshoot to convenience is         their oil changed to AMSOIL.
                               the difficulty for individuals to dispose of the
                               waste oil and filter, not to mention the fact
                               that there is some complexity and difficulty       Severe Service Definition:
                               for individuals to get to the filters, get under   • For gasoline engines, severe service is
                               cars, etc. People today are much more              defined as turbo/supercharged engines,
                               conscious and active in keeping the                commercial or fleet vehicles, excessive
                               environment clean. Through extended oil            engine idling, first and subsequent use of
                               drains and advanced filtration, Quick Lubes        AMSOIL engine oil in vehicles with 100,000
                               customers generate less waste and thus             miles or greater, daily short trip driving less
                               have a positive impact on the environment,         than 10 miles (16km), frequent towing,
                               which plays well for AMSOIL Dealers and            plowing or hauling heavy loads and frequent
                               the Quick Lubes. A strong economy also             driving in dusty conditions.
                               decreases the number of people who will            • For diesel engines, severe service is
                               perform this task and increases the amount         defined as commercial or fleet vehicles,
                               of DIFM’s. Because of this, the Quick Lube         extensive engine idling, daily short trips
                               industry has, and for the foreseeable future       driving les than 10 miles (16km) frequent
                               will continue, to grow.                            towing, plowing, or hauling heavy loads and
                                                                                  frequent driving in dusty conditions.Now
                                                                                  more than ever, is a great time for AMSOIL
Quick Lube                                              Page 2                                                             11/06
                                           Gain a Competitive Edge
             Dealers to target the Quick Lube Market,            legitimized the extended drain interval
             and product consolidation may be the best           claims that AMSOIL has been touting since
             way to gain the edge over the competition.          1972.
             As more and more Quick Lube operators               Quick Lube Operators now have more
             and consumers are educated about the                synthetic choices, but that doesn’t
             benefits of synthetics and buy into extended        necessarily mean the owner/operators of
             drain intervals, the more AMSOIL Dealers            these Quick Lubes will stock several
             should be able to effectively sell the wide         different brands of oil. Competing
             array of AMSOIL products to Quick Lube              companies do not offer the overall product
             operations.                                         line that AMSOIL can.
             Since the introduction of extended                  With the AMSOIL lines of gear lubes,
             performance oils by some of the world’s             transmission fluids, greases, filters, and car
             major oil companies in early 2005, much             products in addition to the first in synthetic
             more attention has been focused on                  motor oils, Dealers can offer Quick Lube
             synthetics. The marketing blitz by                  Operators the opportunity to keep things
             companies like ExxonMobil and Pennzoil              simple and profitable.

                 Dispelling the Myth of Other “Extended Drain Interval” Oils
             As mentioned above, ExxonMobil                      AMSOIL can be used with confidence. Make
             announced a new line of motor oils in early         sure to highlight the AMSOIL warranty when
             2005 recommended for extended oil drain             discussing this issue with the quick lube
             intervals. A close look at ExxonMobil’s new         owner or manager.
             long drain motor oil line reveals that two are
             petroleum based, one is a synthetic blend           Pennzoil also has an extended drain interval
             and the only one, Mobil 1 Extended                  oil, but in order to participate in their
             Performance, is a full synthetic. The               extended warranty program, it would be
             petroleum-based products are                        necessary to keep every oil change receipt,
             recommended for 5000-mile drains, the               and even if using synthetic motor oil, the oils
             synthetic blend for 7,500-mile drains, and          would need to be drained every four months
             the Extended Performance for 15,000-mile            or four thousand miles.
             drains. However, a look at the fine print           If Quick Lube owners/managers want to use
             reveals that ExxonMobil is still                    a product that stands apart from the
             recommending drivers follow the oil drain           competition, they will use AMSOIL. AMSOIL
             recommendations listed in their owners              has always formulated products to be the
             manual during the warranty period. This             absolute best, continually researching ways
             means that Quick Lube owners and their              to make the already outstanding products
             staff must know if all of their client’s vehicles   even better. Other oil companies formulate
             are under warranty.                                 their oils down to a price, rather than
                                                                 formulating them to be the best. AMSOIL
              Quick Lube owners or managers do not               will beat the competition not only in
             have to worry about the warranty of their           performance, but in overall value as well.
             customer’s vehicles with AMSOIL.                    Also, make sure that you offer to send
             Owners/managers can be assured that                 customers to his/her location. What other oil
             AMSOIL will work for all vehicles, whether it       company offers this service?
             has 100-miles or 100,000-miles, and

                                                Market Challenges
             There are many market challenges for Quick          The market challenges faced by the Quick
             Lube operations. The following are some of          Lube industry will vary depending on
             the challenges that most Quick Lube                 whether the customer is a small operation
             operators have the most concern with:               or franchised, location but one thing is
                                                                 certain: Business is tougher than ever for
             •   Crowded Marketplace                             operations in this industry as there is more
             •   Employee Retention                              competition than ever, costs are rising and
             •   Average Ticket Sale                             market-selling prices are staying the same.
             •   Consumer Perception                             The U.S. Quick Lube industry is already
                                                                 known as a crowded market and it is
Quick Lube                             Page 3                                                            11/06
                                         Market Challenges (cont.)
             inflating even further with the addition of a    advertising, and other expenses that can not
             new group of participants, that being car        be attributed to a particular item for sale.
             dealers with stand-alone oil change              • Subtracting the cost of goods sold from
             centers. A growing number of auto                the sales revenue (amount billed when
             manufacturers have developed programs            selling the good) produces the gross profit
             intended to put oil change facilities on their   on the good.
             own lots; and while oil changes may not be       • The net profit, what most people
             what car dealers are focusing on, that           understand as the business' income or
             service may be offered as a way to gain          profit, is determined one of two ways:
             other business. That doesn’t change the fact     • By subtracting the cost of goods sold and
             that with car dealers providing this amenity,    the indirect expenses from the sales
             there is more competition for existing Quick     revenue.
             Lube operators.                                  • By deducting the indirect expenses from
                                                              the gross profit on the sale to generate the
             One of the biggest challenges faced by the       net profit.
             Quick Lube industry is employee retention,
             which is something Dealers must be aware         Consider the following example:
             of when approaching this potential
             customer. Employee retention is critical to      Sales Revenue                     +$100,000
             any business as the process of retraining
             new employees is expense and causes              Net Cost of Goods Sold            -$70,000
             gaps in consistent customer service. For
             smaller operations, the average length of           Inventory Cost 01/01/_         -$5,000
             employment for managers is 4.8 years and            Purchases                      -$45,000
             for smaller operations it is 3.6 years. For         Direct Labor Costs             -$30,000
             lube technicians, smaller operations report         Less Inventory Gain12/31/      +$10,000
             the average employment time of 2.1 years
             while franchise operations only keep             Gross Profit on Sales             +$30,000
             technicians an average of 1.1 years. A
             Dealer can show the operator of either of           Indirect Expenses              -$2,500
             these operations how to be more profitable,
             and in turn be able to compensate their          Net Gain / Loss (i.e. profit) +$27,500
             employees, and themselves, better. This will
             help keep employees around for a longer          If the cost of goods sold is too high, gross
             period of time as well as show an                profit will not support the indirect expenses
             understanding of the Quick Lube industry         and will result in a net loss for the
             and are not just looking for the “quick sale.”   accounting period.

             Simply put, the average ticket price is the      The key here, when talking to a Quick Lube
             average sale a particular Quick Lube makes       operator who is using Cost of Goods Sold
             from a single customer. Quick Lubes and          as a business metric, is to focus on the fact
             other business use this “average sale” as a      that while using AMOSIL will increase their
             basic method for tracking profitability.         Cost of Goods Sold, it will also increases
             Recently, Quick Lube owners have begun to        direct sales revenue because a higher
             focus on another part of the financial           amount can be charged to each AMSOIL
             equation – “Cost of Goods Sold”.                 customer for the benefits of longer oil life
                                                              and less engine wear.
             Cost of Goods Sold is:
                                                              Quick Lube operators would have to figure
             • In accounting, the cost of goods sold          in 2.5 oil changes, as to Cost of Goods
             describes the direct expenses incurred in        Sold, when comparing the Cost of Goods
             producing a particular good for sale,            Sold for a petroleum product against the
             including the actual cost of materials that      AMSOIL XL product line. This is due to the
             comprise the good and direct labor               fact that a customer would need to change
             expenses in putting the good in salable          a petroleum-based product 2.5 times to
             condition. Cost of goods sold does not           equal the mileage obtained when using the
             include indirect expenses such as office         XL AMSOIL product line. The Quick Lube
             expenses, accounting, shipping department,       operation should make as much, if not
Quick Lube                            Page 4                                                          11/06
Sales Tip: Keep in mind                                  Market Challenges (cont.)
this important fact: Small
operations need to service    more, profit on one AMSOIL oil change then       bottom-line. For most AMSOIL Dealers,
24.0 cars a day to break      would be made on two (2) petroleum oil           Quick Lube operations are a good industry
even, where franchise type    changes. AMSOIL products are priced so           to focus on.
operations need to hit 26.1   that the sales revenue of a Quick Lube will
cars per day serviced to      increase more than Cost of Goods Sold,           Another challenge in the Quick Lube
reach that same break         resulting in a positive impact to the            Industry is the perception that the oil in the
even point.                   bottom-line. Conversely, when a petroleum        oil change is “free.” Historically, oil has
                              company increases their price, Quick Lubes       always been sold as a loss leader, meaning
                              can’t charge customers a higher price            that the message communicated to
                              without potentially losing them as a             consumers is that it has no value. The result
                              customer because there is no additional          of this kind of pricing model is that in the
                              benefit, just a higher price for the same old    Quick Lube business, people think the only
                              service. The core message is that using          thing they are paying for is the service,
                              AMSOIL will result in higher gross sales         which is not the case.
                              revenue and add positive dollars to their

                                                                Industry Concerns
                              The most common concerns for a Quick Lube operator are:

                              •   Price points
                              •   Extended Drain Intervals
                              •   Competition
                              •   Declining Car Counts

                                                                    Price Points
                              Pricing is a concern in any industry and the     The average ticket sale is another
                              Quick Lube market is no different. Many of       issue Dealers need to discuss with the
                              these operations will advertise an oil change    operator of a Quick Lube. It is more
                              for as little as $13.99. The profit margin a     important than ever for these operations to
                              Quick Lube operation realizes with this type     have a healthy ticket average, as it obviously
                              of pricing for this service is very small. A     makes the difference as to whether or not
                              successful AMSOIL Dealer should have a           they will have a positive or negative bottom
                              goal to show the Quick Lube owner how            line. Dealers can be of assistance in helping
                              they can increase their profit margins by uti-   them to a healthy bottom line by providing
                              lizing AMSOIL products, even though the          the full AMSOIL product line, from
                              price point may be higher.                       lubrication to appearance products. The
                                                                               average ticket for smaller operators (less
                              This is accomplished by using the same           than 30 locations) is $40.36 and $50.49 for
                              principles as discussed in the previous          franchise type operations.
                              section on “Average ticket” and “Cost of
                              Goods Sold”. Quick Lubes can generate            Add on sales is a very important part of
                              more bottom-line profit on customers who         increasing the average ticket sale. Filters
                              purchase AMSOIL oil changes. These               (air, oil, and fuel filters), automatic
                              customers are also more likely to be             transmission fluid replacement, gear lube,
                              long-term customers because of the               windshield wiper replacements, fuel injector
                              benefits the Quick Lube provides them by         cleaning, and chemical engine flushes are
                              using AMSOIL:                                    services most Quick Lube operations offer,
                                                                               and AMSOIL has the products to fit their
                              • Longer Oil and Filter Life – Saves             needs. Again, this information is very
                                Time and Money                                 important, as Dealers want to be able to
                              • Less Wear and Tear on the Engine –             discuss the average ticket sale with the
                                Saves Time and Money                           operator of a Quick Lube and convince them
                              • Less Oil and Filter Pollution –                that they can increase their average ticket
                                Imparts Feeling of Helping the                 sale by utilizing AMSOIL products.
                                Environment


Quick Lube                                             Page 5                                                         11/06
                                                                Price Points (cont.)
                               The limited funds mind set is a state of mind    certain products like oil and filters, benefit or
                               that any business owner can get themselves       least harm to the environment. AMSOIL is a
                               into very easily. Getting them out of this       perfect product to appeal to these emotional
                               mind set can be difficult. Limited funds         factors. Customers will pay more if the Quick
                               suggests that customers have only X dollars      Lube staff can create a high-perceived value
                               to spend on your product or service and no       for the product or service. Remind them of
                               more. This mind set is very debilitating to a    the three key benefits (listed above) of using
                               business because it places an artificial limit   AMSOIL. If prepared and armed with this
                               on the prices (revenues) a business can          type of information, Dealers can talk about
                               achieve. Consumers purchase on emotion           price points, as well as how to increase the
                               and use logic to justify their purchase.         average ticket price for the operation. By
                               Emotional decisions are based on perceived       discussing and sharing this information,
                               value to the purchaser and, in the case of       AMSOIL Dealers can and will sell more oil.


                                                           Extended Drain Intervals
Sales Tip:                     Some industry experts will have Dealers          Today, motorists are bombarded with
Ask the operator “If you       and your Quick Lube owner/operators              propaganda from the major oil companies
have a customer coming to      believe that extended drain intervals, past      promoting 3,000-mile oil changes. However,
you every 5,000 miles, do      what the Original Equipment Manufacturer         the industry is slowly but surely coming
you want to make $10.00        (OEM) recommends, is the single greatest         around to where vehicle manufacturers
dollars or $25.00 dollars?”    threat facing the quick lube industry today.     typically suggest 5,000 to 7,500-mile
The key is to sell the value   The real message is that extended oil drains     intervals in their owners manuals, and many
of AMSOIL Synthetic Oil        are here to stay and Quick Lube owners will      manufacturers have also started
and extended drain             seek to maximize their profits by embracing      incorporating oil life monitors into their
intervals.                     the change. Ignoring synthetics as a viable      vehicles, allowing motorists to safely extend
                               long-term business model leads to                drain intervals by monitoring oil life and
                               bankruptcy. Yes, extended drains may mean        alerting drivers when the oil needs
                               a reduction in the frequency of visits from      changing. This is one reason that the
                               some customers, but the profit margins are       AMSOIL XL product line is perfect for Quick
                               higher with AMSOIL and later it will be          Lube operations. Competing oil companies
                               discussed exactly how this can                   have also begun marketing their own
                               demonstrated this to Quick Lube                  synthetics, some claiming service lives
                               owners/managers. (See addendum)                  extending beyond 3,000 miles. In fact, Mobil
                                                                                recently announced that they have
                               Instead of becoming more like other auto         developed oils designed for 5,000, 7,500
                               service facilities, which are fighting the       and 15,00-mile oil drains. They also spent
                               extended drain revolution, encourage the         somewhere between 45 to 55 million dollars
                               Quick Lube operator to distinguish               in advertising these new oils. Dealers can
                               themselves from their competition by             use this advertising as an advantage-- that
                               embracing synthetic oil and extended             even the major oil companies are now com-
                               drains. In addition, these operators need to     ing around to the fact that oil drains can be
                               create a service experience that their           safely extended, something that AMSOIL
                               customers cannot get elsewhere. This can         has been promoting for over 30 years. It can
                               include many things; customer service            also be shown that Quick Lube owners can
                               oriented employees, prompt service, clean        profit more by carrying AMSOIL.
                               stores and a high quality product that will
                               allow for extended drain intervals. They have    Lubes-n-Greases Automotive Editor David
                               customers who are looking for a product          McFall, once with the American Petroleum
                               that provides the protection they demand for     Institute, tackled the issue of extended drain
                               their vehicle (and the convenience of fewer      intervals in a recent column, criticizing the
                               trips to have their oil changed) and that        standard 3,000-mile oil change and referring
                               product is AMSOIL. Remind the owner that         to the American motor oil market as
                               most people don’t bring their vehicles in        "shackled."
                               right at 3,000 miles. In fact it is usually      "In Europe the average engine oil drain
                               closer to 4,000-5,000 miles.                     interval for current gasoline-fueled cars is
                                                                                about 10,000 miles," explains McFall. "In the
                                                                                United States, indicates the Automotive Oil
Quick Lube                                             Page 6                                                            11/06
Sales Tip: Use some of                               Extended Drain Intervals (cont.)
the included information in
sales presentations to        Change Association, the average drain              The successful AMSOIL Dealer never tries
answer objections before      interval followed by most drivers is               to convince a Quick Lube owner to extend
they are even brought up      somewhat less than 5,000 miles—one-half            oil drains past their comfort level.
by prospective clients        of Europe's.”
regarding extended drain      "Every year in the United States, this
intervals.                    too-short drain interval results in the
                              unneeded production of 300 million to 400
                              million gallons of engine oil; excess
                              consumer expenditures of around $1.5
                              billion; and tens of millions of unnecessary
                              oil changes."


                                                                     Competition
                              As with many industries, the competition           people is currently at approximately 4,350
                              keeps coming from all sides within the Quick       miles)
                              Lube market. The Quick Lube owner that
                              adjusts to the competition will remain in          Competition is tough. There are more
                              business for years to come, and the ones           threats today then there were 12 months
                              that don’t run the risk of being out of            ago, but this also presents opportunities for
                              business.                                          those Quick Lube operations that
                                                                                 differentiate themselves from their
                              If a customer is a straight oil change             competition. The Quick Lube industry is also
                              location, they could be encouraged to              stronger than it was 12 months ago and its
                              partner with, not fight amongst, related           position in the marketplace has
                              businesses like independent repair or tire         strengthened. There are trends that are
                              shops. The automotive repair industry is           aiding the industry, as well as more people
                              concentrating more and more on the                 falling into the “do-it-for-me” market, which
                              maintenance segment of the industry. Again,        will allow the industry to gain energy in the
                              many industry “experts” are encouraging the        future. The added value Dealers can provide
                              Quick Lube owner/operator to fight this trend      for Quick Lube customers is showing them
                              and continue to educate customers on               how they can differentiate themselves from
                              having their oil changed every 3,000 miles.        the competition, so their customers come
                              (Note: The average oil change by most              back to them time and time again.

                                                              Declining Car Counts
                              A very large industry concern is that Quick        If a customer is looking for ways to increase
                              Lube operations cannot be profitable as car        profits, even in light of declining car counts,
                              counts decline by extending drain intervals,       they should be informed about per car profit.
                              and this is false. In the addendum of this         When Quick Lubes are new or in a period of
                              FST a document called “Can My Business             declining car counts, per car profitability is
                              Make More Money in Ten Seconds,” can be            extremely important--they need to make
Sales Tip: Ask the Quick      found. This quick questionnaire and                every customer count to the bottom line.
Lube owner: “How would        worksheet will allow you to show your              Quick Lube owners can do this by educating
business be if your profits   customer exactly how they will make more           and “selling” their customers on the fact that
were 2.5 times higher?        money using AMSOIL, and extending                  they should switch to synthetics. This helps
Would you be interested in    drains, than they currently do with petroleum      because AMSOIL synthetic oils are priced
finding out how AMSOIL        motor oil. Go over this sheet carefully before     so that Quick Lubes can make as much as
can help you achieve          you use it in a sales situation. Put together a    2.5 times the profit as they would by using
that?”.                       mock up of this work sheet before you              petroleum products.
                              attempt to work these numbers out in front
                              of a customer. If you fill this out for the very   Another suggestion is that that they broaden
                              first time in front of the customer, it will       their outlook on the services they are
                              show, and it will come across very clearly in      providing. For example, one Quick Lube
                              your demonstration. Don’t make this                operation recognized a special niche that
                              mistake.                                           was, in their region, mostly an untapped
                                                                                 market by recognizing the need for express
Quick Lube                                             Page 7                                                            11/06
Sales Tip: The more you                                  Declining Car Counts (cont.)
are in front of qualified
prospects, the better off     services for all classes of vehicles, not just     because their family operates a home
you’ll be… and the secret     passenger cars and trucks. This company            remodeling business. Some carry greeting
is to ask the right           modified its facilities to handle commercial       cards for which female customers are
questions of the right        vehicles and motor coaches in addition to          especially appreciative. Most offer a free cup
people, the people with the   passenger vehicles. They also added the            of coffee in their lounge or waiting area, but
power to purchase, related    ability to detail vehicles to their skill sets.    that does not mean that charging for the
to how they like to buy,      Remember, many people who travel in an             donut or muffin that someone might like with
what they buy, when they      RV often have a passenger vehicle in tow.          that coffee is out of the question. The
buy and under what            So, they not only need lubrication for their       waiting area is also a great place for
conditions they will buy,     RV, but for their passenger vehicle as well.       displaying AMSOIL posters, banners and
and then make certain that                                                       brochures to additionally promote business.
your product                  Some of the newest Quick Lube operations
recommendation meets          have added other amenities to their                All of these types of ideas will keep
those exact standards.        locations in an attempt to broaden the             customers coming back, and it can’t hurt
                              outlook on services that are provided. An          when Dealers are trying to get new people
                              example is a quick lube location that              to come to a customers Quick Lube
                              connected a sit down coffee shop, complete         operation. It is important to bring ideas to
                              with drive-up window, to their facility. There     customers that will increase their car counts.
                              are others that have gone so far as turning
                              the waiting room into a model kitchen,
                                                      Quick Lube for the Truck Market
                              Strong growth is expected from Quick Lubes         centers use substantial amounts of AMSOIL
                              being built at truck stops hoping to generate      Synthetic Diesel Oil, but they can also utilize
                              business from truck fleets. Quick Lubes are        AMSOIL Synthetic Gear Lubes, Diesel Fuel
                              aggressively marketing to fleets offering          Additives, Synthetic Transmission Fluids,
                              value added services, such as on-site oil          Synthetic Greases, oil filters and the Dual
                              analysis and other popular services not            Gard By-Pass Oil Filtration System. AMSOIL
                              often found at truck stops. Quick Lube             appearance products are also ideal for this
                              centers are also offering the ability to quickly   market and should be suggested to Quick
                              communicate truck maintenance information          Lube owners/managers.
                              back to the trucking fleets, which most
                              shops feel is critical to attracting new fleet     It’s important that a Quick Lube customer be
                              business. Many trucking fleets are                 able to convey to his customer (the trucking
                              outsourcing oil changes to Quick Lubes             fleet) the advantages of not only switching
                              during slower business periods, which              oil changes over to the Quick Lube, but the
                              allows the cutting of overhead at existing         benefits of using AMSOIL as well. The cost
                              facilities or the closing of maintenance           saving to a fleet customer is significant if
                              facilities completely. It’s also a big plus when   they can avoid hiring just one additional
                              business is good, allowing trucking fleets to      mechanic. This can provide a serious boost
                              avoid the major expense of adding                  to the fleet businesses bottom line.
                              additional mechanic’s to accommodate new
                              business growth.                                   Example of the cost involved in
                                                                                 hiring that new mechanic:
                              Concerns with the quality of the service
                              offered by truck stops and Quick Lube              • Mechanic Salary:                $20.00/hour
                              centers are being addressed as major               • Annual Hours Worked:            2080
                              OEM’s get involved with service centers. For       • Annual Salary:                  $41,600.00
                              example, Volvo Trucks of North America is a
                              minority owner in Petro Truck Stops, and TA        Often times the additional cost of an
                              has a similar arrangement with Freightliner.       employee is not considered. For example,
                              These OEM alliances offer credibility to           insurance, social security, and other benefits
                              service centers and quick lubes.                   could push the cost of that new hire to over
                                                                                 $50,000. This gives Dealers the opportunity
                              This shift to Quick Lubes by truck fleets          to show Quick Lube accounts how they can
                              presents a huge opportunity for AMSOIL             present significant cost savings to their fleet
                              Dealers. Not only will Quick Lube truck            customers by using AMSOIL and taking full
Quick Lube                                              Page 8                                                           11/06
                              Quick Lube for the Truck Market (cont.)
             advantage of AMSOIL extended drain                 to the Quick Lube customer the
             intervals. All the truck fleet owner needs to      environmental benefits of using AMSOIL.
             do is utilize a Dealers customer’s Quick           Even if it’s a fleet customer that is using a
             Lube and make the switch to AMSOIL.                Quick Lube to perform oil changes,
                                                                environmental concerns have become a
             When showing a prospect the advantages             major issue for today’s industrial customers.
             of AMSOIL, Dealers should be prepared to
             demonstrate, with paper and pen, how               Another important selling tool to use is oil
             money can be saved by using AMSOIL.                analysis. Dealers should make a
             Basic information should be obtained before        recommendation to the Quick Lube owner
             the sales call; information such as the size       for the use of oil analysis for determining oil
             of the fleet, mileage or hours between drain       change intervals in their fleet customers
             intervals, and working the math should all         vehicles. Oil analysis will provide fleet
             be done prior to the presentation. Dealers         customers with accurate information as to
             should also know that by using AMSOIL, a           when they should change oil based on
             customer can save money and receive the            need, and not just miles or hours. The
             benefits of better engine protection, better       Dual-Gard By-Pass Filter, along with oil
             low temperature performance, and better            analysis, would be very cost effective for
             gas mileage. Dealers should also point out         fleet operations.


                                   Cost Savings for Fleet Customers
             The approach to a fleet customer is much           AMSOIL Maintenance Schedule:
             different than that of someone driving a           Oil Change interval @ 25,000 miles
             personal vehicle, although a Dealer should
             still be able to show the Quick Lube               • Oil Change Cost (5-quarts of AMO) $99.95
             operator examples of how they will benefit         • Number of oil changes per year – 1
             by switching from petroleum-based oil to           • Total Annual Cost: $99.95
             AMSOIL synthetic oils. When making a
             sales call, Dealers need to be prepared to               Annual Savings of $108.05
             show the customer the numbers (make sure
             to do the math during the presentation) right      Not only will the fleet owner save money by
             in front of them. When the customer                switching to AMSOIL, but they will also see
             observes the Dealer illustrating the cost          better engine protection, better low
             savings and sees the numbers, it makes it          temperature performance, and better gas
             extremely difficult to refute the facts. It also   mileage, as well as the environmental
             shows exactly how he should show these             benefits of using AMSOIL. The customer
             numbers to customers and establishes               and the fleet owner will appreciate the
             Dealer credibility when it’s time to close the     positive environmental impact we’d see in
             sale.                                              the United States if every business would
                                                                reduce their oil changes down to one per
             Here is an example: These numbers are              vehicle, per year, using AMSOIL’S synthetic
             fictitious, so Dealers should obtain the           oil.
             correct information from each prospect, and
             then work the formula using those specific         It is vitally important for Dealers to study
             numbers. Assume a customer is putting              and work the above formula until
             24,000 miles on their vehicle in a 12-month        comfortable presenting it to fleet prospects
             period.                                            as presenting in a smooth and confident
                                                                manner reflects well on the presentation as
             Current Maintenance Schedule:                      a whole.
             Oil Change Interval @ 3,000 miles

             • Oil Change Cost
              (5 quarts of oil and filter)-$26.00
             • Number of oil changes per year- 8
             • Total Cost- $208.00


Quick Lube                            Page 9                                                             11/06
Sales Tip: Remember,                                    Target Market Business Plan
the average ticket of a
smaller operation is $40.36   It is necessary for Dealers to study the           competition. When deciding to approach a
and $50.49 for franchise      Quick Lube market whenever possible, as            Quick Lube, a Dealer needs to make sure to
type operations. Speak in     well as possibly subscribe to magazines            know whether it is an independently or
terms of increasing their     specific to this industry, find information on     corporately owned operation and what
ticket and they will know     the Internet, etc. to stay up-to-date on           product they are “pushing” in their particular
that you have done some       industry knowledge. It is also important for       operation.
research as to their          Dealers to know the AMSOIL products and
industry.                     the Quick Lube program, and be very                Bring some ideas as to how they can
                              knowledgeable about the Retail-on-the-Shelf        increase their business over and above the
                              Program (G-1001) and the Commercial and            use of AMSOIL. A Dealer should make
                              Retail Marketing Procedures (G-1097).              certain to add value to the visit by providing
                                                                                 assistance in an area that may not have
                              A driven Dealer should learn the name of           anything to do with his product or service;
                              the manager and/or owner of the Quick              this will help to instill trust and confidence in
                              Lube, find out how long they have been in          a prospect.
                              business and locate their nearest significant

                                                            The Power of Promotion
                              If a Dealer wants business to grow and             they organized the gathering. If there
                              thrive, it is essential to promote it and since    seems to be someone who does not appear
                              Dealers are their own business, it is a must       to be involved in a discussion, and is
                              to promote themselves. For many people,            perhaps a little shy, it helps to engage him
                              this is not an easy thing to do. The tips          or her in conversation and ask about his or
                              found below are ideas, in addition to the          her profession. This will help everyone feel
                              Selling AMSOIL FST, that should be useful.         more comfortable and leave a feeling of
                                                                                 appreciation amongst potential customers.
                              It can be particularly difficult or stressful to
                              praise one’s own capabilities, as it is always     Write a sales piece about your
                              easier to speak of others in that sense, but       business
                              promoting your business, and yourself, is a        This is a great exercise, even if never shown
                              necessary part of doing business. Below are        to anyone. Compose this sales piece as if it
                              just a few ways of promoting business.             were being written by another person
                                                                                 looking at your business, and make sure to
                                                                                 include flattering descriptions. How can a
                              Inform all contacts and associates                 person or business benefit from using
                              about your new AMSOIL business                     AMSOIL? How great are the services
                              Successful people know that the secret to          offered? How good is the training? How long
                              being in the right place at the right time is to   have you been in the business? What is
                              be everywhere all the time. Dealers should         your background? After a number of drafts
                              talk with many people to let them know             have been completed, confidence should
                              exactly what their business is, what it is all     rise as to promoting your business and
                              about and how it will lead to great                other people will pick up on this fact. When
                              successes. The biggest mistake that most           a Dealer is confident about their business,
                              people make is assuming that other people          others will be confident about doing
                              are not interested in AMSOIL when in reali-        business with them.
                              ty, everybody is interested in protecting one
                              of the biggest investments of they will ever       Contact Radio & TV Stations, as
                              make.                                              well as a local paper, and offer to
                                                                                 write a free "advice or tips" column
                              Learn to network                                   While this is quite a commitment, it is an
                              When at an event, Dealers should make              activity that most Dealers do not think
                              sure to carry business cards and also to put       about. This could be a great way to get your
                              AMSOIL business cards in one pocket, and           name out into the community as well as
                              those collected from others in a separate          setting yourself up as the professional in
                              pocket as there is nothing more                    lubrication in your community and
                              embarrassing then pulling out a business           surrounding geographic area. (Not
                              card of a competitor when attempting to            necessarily recommend for a new or
                              reach for your own. A Dealer can act as if         inexperienced Dealer.)
Quick Lube                                            Page 10                                                              11/06
When setting this                                                The Sales Process
appointment, you
may want to say                Set the Appointment                                Asking Questions
something like:                Set an appointment with the owner or               Asking the right questions will assist in
                               manager. Make sure to set the appointment          getting to the customers main concerns. The
                               with the decision maker as to bringing in          main purpose of questioning is to determine
“Hello Bob, my name is
                               new product lines. Let’s imagine that you are      or unearth the strongest benefit that a
John Doe. I am an
                               approaching an independently owned quick           prospective client would gain by doing
Independent AMSOIL
                               lube operation, someone who competes               business with you. The great thing about this
Dealer with a
                               with the national quick lube chains. (See          fact is that the answer is already known.
demonstrated track record
                               optional sales call script in left margin.)        Unfortunately, the prospective client might
of increasing the profit
                                                                                  not always see the light and realize the
margins of Quick Lube
                               The Sales Call                                     benefit of offering AMSOIL to customers.
operations just like yours.
                               After the appointment is set, a successful         Good questions will help to build a trusting
AMSOIL is the leader in
                               salesperson knows that business people are         relationship with the client. As was stated
synthetic lubricants for the
                               busy people. By agreeing to meet, the              earlier, no one will buy from you until they
automotive quick lube
                               prospect is making an investment of his or         know your interests go further than the next
market and I know that you
                               her time. The business owner will expect to        sale. Use open-ended questions-- who,
probably operate on
                               get something out of this meeting. If a            what, where, when and how--to make sure
smaller profit margins than
                               structured sales process is followed,              the prospective client provides as much
most corporately owned
                               everyone involved will get exactly what was        information about their operation as
operations. Would you
                               expected.                                          possible. When you ask a question, remain
meet with me for 15
                                                                                  silent until the prospective customer has
minutes over a cup of
                               Introducing Yourself                               answered. The prospect should be doing
coffee and see how you
                               Successful AMSOIL Dealers should be sure           80-90% of the talking in this phase of the
can make some decisions
                               to smile when greeting the prospective             sales process. If the Dealer is doing most of
that will increase your
                               customer. It is important to be very               the talking, the right types of questions are
profit margins even while
                               professional and carry a great deal of             not being asked.
performing fewer oil
                               self-confidence into this meeting, if you are
changes? Of course, if you                                                        Sales Tip:
                               well prepared. Make sure that introductions
continue to perform the                                                           If you think of a question to ask during this
                               are clear, stating first and last name, and
same number of daily oil                                                          phase of the sales process, be sure to write
                               then set the scene by explaining the exact
changes, your profits will                                                        it down so it can be asked later in the
                               purpose of the appointment, which should
increase. Your time will                                                          process. If you don’t write it down, you will
                               center on the client. (See optional
NOT be wasted –because                                                            forget.
                               introduction below) Ask if it is all right to
your day-to-day challenges
                               take notes, which shows politeness and that
are very important. Would
                               it is understood that some business                Presentation
you please meet with me
                               information discussed may be sensitive. The        The presentation should focus on the
under these conditions?”
                               next step at this point is to sell yourself. The   benefit a client will receive once they begin
                               perspective client will not buy until they trust   carrying the AMSOIL product line and the
Sales Tip:
                               you and understand that their best business        service that a Dealer will render. It is
By taking this approach, a
                               interests are at heart. After completing this      important to focus on matching the benefits
Dealer is informing this
                               step, it is time to start asking questions.        of AMSOIL with the needs of the prospect
manager/owner that their
                                                                                  that were identified in the questioning
time is valuable and that      Try this introduction:                             phase. This phase of the sales process
you know a little bit about    “Good morning! My name is Bob Smith and            must meet the needs of the prospect or they
his business. They will        I want to thank you for the opportunity to         will not think about buying. A Dealer should
appreciate being               introduce you to AMSOIL synthetic lubri-
                                                                                  steer clear of simply discussing the
approached in this manner.     cants. As we discussed over the phone, your
                               profit margins are probably a little smaller       technical aspects of AMSOIL products
                               than those of a corporately owned opera-           without connecting the benefit for the
                               tion, so I want to show you how to increase        prospect. Decision makers will buy when
                               your average ticket price and increase your        they are satisfied that their decision will
                               profits. Do you mind if I take notes during        either make them money and/or decrease
                               our discussion so I make sure not to miss          the amount of labor time currently being
                               anything? Thank you. Just so you know,             expended.
                               AMSOIL has been the “First in Synthetics”
                               since 1972, so you will be dealing with a          A Dealer must remain in control of the
                               company that has a proven track record of          presentation, but make sure to do so in a
                               helping operations just like yours for over 30
                                                                                  stress-free way. If the answer to a question
                               years.”
                                                                                  is unknown, admit that you don’t know and
Quick Lube                                             Page 11                                                           11/06
Sales Tip: Never knock                                       The Sales Process (cont.)
the competition. If you do,
it will damage your              promise to get back to them at a later time,     techniques” that are used in order to finalize
credibility and integrity. So,   then be sure you keep that promise. Invite       a sale. Many of these closes, such as, “Do
whatever you do, don’t           questions at the end of the presentation, or     you want to use your pen or mine to sign
imply anything disparaging       anytime during the presentation, whichever       the order?” or "I have found that only
about the competition.           is preferable. If presenting to a person who     people who appreciate the best quality buy
                                 is not particularly friendly, be sure to stay    AMSOIL-how do you feel about using the
                                 relaxed and let the benefits of AMSOIL           best quality product available?” are used on
                                 products win them over.                          a regular basis. Dealers need to be careful
                                                                                  not to make clients feel like they are “being
                                 Following this step with putting a pencil to     sold.”
                                 the paper and show prospective clients how
                                 they can make more money by suggesting           Good•Better•Best Examples
                                 to customers that they use AMSOIL.               Give examples of other automotive products
                                                                                  that have a “good, better, best” approach.
                                 Overcoming Objections and Closing                For example:
                                 the Sale
Sales Tip: Make sure             This is where selling really begins. The first   Car batteries:
that you pass up any             thing that should be done is to qualify the
chance of getting into an        objection by asking questions. Establish         Price Range: Good         Better Best
argument with your               what the objection is by asking, “Why do                      $39.90       $54.99 $69.99
prospective client. Even if      you feel that way?” or “Why do you say
you win the argument, you        that?” It will probably be necessary to          Naturally, there are differences in these car
will probably lose the sale.     explore further with the prospective client in   batteries. If the good battery is purchased, it
You will want to keep the        order to find the real issue. Some objections    will come with a sixty-five (65) month
discussion cooperative so        come from misunderstandings and some             warranty and if it fails in the first twelve
you can work with your           are simply used to disguise other issues         months, it will be replaced. The better
prospective client to find       that need to be uncovered. Sometimes an          battery provides a little more power than the
an answer to the question        objection simply means that they are looking     good battery as well a seventy-two (72)
at hand.                         for more information. A Dealer will want to      month warranty and replacement at
                                 stay away from responding with a re-selling      eighteen (18) months in the event of failure.
                                 of the product. Ask a question such as, “ I      The best battery provides the most power
                                 can see how that might be an issue, so can       and an eighty-four (84) month warranty and
                                 you tell me why and what is important for        if it fails, a twenty-four month replacement
                                 you in this situation?” Avoid using the word     policy.
                                 “but” as it is naturally a word that is
                                 challenging.                                     Below, the same size tire, but from three
                                                                                  different manufacturers, are compared.
                                 In this case as well, it is important to keep
                                 notes on the objections raised. This way, the    Car Tires:
                                 objections can simply be crossed off the list
                                 as they are answered.                            Good        Better      Best
                                                                                  BF Goodrich Bridgestone Pirella P6000
                                 The objective of a prepared presentation is      $100.10     $128.25     $201.40
                                 to guide the prospective client through the
                                 selling process so well that there are very      There are differences between tires, just as
                                 few objections. When this process is             there were in batteries, and maybe labeling
                                 followed, the client won’t feel like they were   the above tires as good, better, best is not
                                 sold, but they will feel like they were helped   entirely fair. The best tire for any vehicle will
                                 to buy. After the objections have been           be determined by many different factors, but
                                 answered (there only should be a few) a          as always, there are differences in quality,
                                 Dealer can ask for the sale by saying,           construction and warranties. In the above
                                 “Would you like to go ahead and place your       examples, the good tire has a warranty that
                                 first order?” Many times the prospect will       covers manufacturing defects and materials.
                                 “close” the transaction themselves, which is     The better tire has an 80,000 mile limited
                                 what Dealers are striving for. This indicates    treadware warranty and road hazard
                                 that the presentation was well thought out       protection and the best tire has a lifetime
                                 and professional.                                road hazard protection warranty. The bottom
                                 There are a great deal of “closing               line is that there are different levels of
Quick Lube                                              Page 12                                                             11/06
Sales Tip: Whether the                                   The Sales Process (cont.)
prospect buys or not, make
sure that to ask two         quality when it comes to tires, batteries and     number of administrative duties are carried
questions. One, ask why      engine oil.                                       out.
they did or did not buy
from you. This is very       Dealers should point out to Quick Lube            All paperwork must be filled out, in detail, in
important. Also, ask them    owners that just like other products, there       order to complete the sales process. Make
for a referral, again,       are different levels of quality of engine oils,   sure to follow-up with AMSOIL Corporate to
whether they have            and, if he points these differences out to his    make sure paperwork has been received
purchased from you or not.   customers, both in the passenger and fleet        and that the account has been created by
                             vehicle markets, he can increase his profit       checking in the Dealer Zone or waiting for
                             margin by using AMSOIL. In fact, if they sell     the new customer report to come in the
                             batteries, ask the quick lube owner, “What is     mail. Dealers should also make follow-up
                             the best battery that you sell?” to which they    contact with clients to verify that they are
                             will most likely give a very definitive answer.   happy with the process to this point.
                             Now, ask the same question as to oil, “What
                             is the best oil that you sell?” The answer,       Dealers should be keeping track of sales,
                             more than likely, will not be as near as          not only dollar wise, but also success wise.
                             decisive. Obviously, the answer to this           Keep track of successes and why specific
Sales Tip: Customers         question is AMSOIL.                               customers bought from you. This will be
will hold you accountable                                                      very helpful to other locations that run
for what happens after the   Follow-up                                         similar operations. Also, keep track of total
sale is made, and diligent   There is a good deal of work to accomplish        sales in dollars and compare this to where it
follow-up will usually be    after the sales process is complete. Actually,    fits in with professional goals.
rewarded with referrals to   it could successfully be argued that the
other clients.               sales process is not complete until a

                                                           Long Term Profitability
                             Some oil change center operators worry            Lube still makes as much as they would IF
                             that over time, they will lose money if they      all the customers changed their
                             offer extended drain AMSOIL XL Synthetic          conventional oil every 3,000 miles. They will
                             Oils. However, AMSOIL XL Synthetic Motor          still see their customers twice a year for
                             Oil changes are priced to protect oil change      add-on sales AND free up their bays for
                             centers from losing money on extended             more profitable services or more oil
                             drain intervals.                                  changes. Ask the Quick Lube owner if they
                                                                               would like to earn the same money for
                             Example                                           changing oil in 20 cars tomorrow as they
                                                                               earn for changing oil in 50 cars today. Now,
                             Let’s say all the customers of the Quick          imagine if 50 cars a day came to your Quick
                             Lube change their oil every 3,000 miles, and      Lube customer for an AMSOIL XL Synthetic
                             50 customers a day visit the oil change           Motor Oil change.
                             center to buy a conventional oil change
                             (profit: $8.90).                                  Daily Profit: 50 x $25.10 = $1255.00

                             Daily Profit: 50 x $8.90 = $445.00                Profits would increase $810.00 per day.
                                                                               ($1255.00 -$445.00 = $810.00)
                             If ALL the Quick Lube customers switch to
                             AMSOIL XL Synthetic Motor Oil, and come             Can you afford NOT to offer the
                             in for service every 7,500 miles, the Quick                     AMSOIL
                             Lube can service ALL of them by seeing 20          7,500-Mile Oil Change Program™?
                             customers a day. Now 20 customers a day
                             buy an AMSOIL XL-7500 Synthetic Motor
                             Oil change (profit $25.10)

                             Daily Profit: 20 x $25.00 = $502.00

                             If ALL the Quick Lube customers switch to
                             AMSOIL XL Synthetic Motor Oils and
                             7,500-mile oil drain intervals, the Quick
Quick Lube                                          Page 13                                                             11/06
                                 Demystifying the Female Motorist
             One of the most important market segments      more than price, and as studies have shown
             for the automotive services industry is a      that trust is the most important factor among
             female motorist. A recent study shows          female motorists. This factor was cited by 70
             nearly nine out of ten women are at least      percent of the women in the survey.
             somewhat involved in the decision making
             process of their household’s vehicle           The female motorist is an important
             maintenance and repair.                        segment to consider when developing
                                                            marketing strategies. Service of a family
             The Automotive Aftermarket Industry            vehicle is no longer the principal
             Association (AAIA) recently completed a        responsibility of men. Getting in touch with
             study that found while roughly 78 percent of   female motorists through education is the
             women feel that following the recommended      solution to developing relationships with this
             maintenance schedule is important, 68          key demographic. Helping the female
             percent claimed to actually follow the         motorist in understanding the importance of
             schedule closely. Do-it-for-me female          proper maintenance, and why it is so
             customers believe that independent             beneficial to them and the longevity of their
             facilities, such as quick lubes, are           vehicle, will help build trust. Again, trust is
             trustworthy, offer a high level of customer    the number one reason a female motorist
             service and have technical qualifications.     chooses a particular service provider.
             These factors seem to drive their choice

                                          Checklist for Success
             As with any sales call, a Dealer should bring a number of promotional material items to
             back up statements. The list of material, found below, is very helpful for Dealers when
             making a sales call on a Quick Lube owner. Dealers need to make sure to know this
             material well, as it will give an advantage when speaking with prospective customers as
             well as project professionalism.

             Mandatory Sales Literature:
             • Increased Profits for Oil Change
               Specialists brochure (G-1401)
             • The XL Price Sheet (G-1402)
             • The XL Data Sheet (G-1404)
             • Can My Business Make Money
               Worksheet (G-1386)
             • The Right Environmental Choice Brochure
               (G-1059)
             • Product Catalog (G-290)
             • Save Time and Money Counter Top
               Brochure (G-1406)

             Miscellaneous Literature:
             • Triple Length API Sequence IIIF Testing
               Brochure (G-1916)
             • Gear Oil Testing Brochure (G-1903)

             Product Samples:
             • MP
             • MPHD
             • GVC Lithium Complex Grease
             • Saber Professional 2-Cycle Oil
             • Octane Boost




Quick Lube                         Page 14                                                          11/06
                                        Products and Applications
             The AMSOIL XL-7500 Series is the perfect        operations, AMSOIL SAE XL Synthetic
             product to suggest when speaking with           Motor Oils provide clean, dependable
             Quick Lube owner/operators as this product      lubrication and protection.
             is specifically designed for this market.
                                                             Low Temperature Performance
             AMSOIL XL Series Motor Oils
                                                             Wax-free synthetic stocks ensure the rapid
             AMSOIL SAE XL Synthetic Motor Oils are          flow of motor oil throughout the engine after
             specially formulated to provide outstanding     startup, protecting engines from wear.
             wear protection, power, fuel economy and        AMSOIL SAE XL Synthetic Motor Oils low
             performance for up to 7,500 miles or six        temperature fluidity also helps engines start
             month drain intervals, or longer, where         dependably year-round and significantly
             stated by vehicle manufacturers or indicated    improves cold temperature fuel economy.
             by electronic oil life monitoring systems.
             With AMSOIL XL Synthetic Motor Oil,             Fuel Economy and Power
             motorists driving 15,000 miles a year need
             only change their oil twice annually. AMSOIL    AMSOIL SAE XL Synthetic Motor Oils
             XL Synthetic Motor Oil offers a high degree     enhance fuel economy and powerful
             of convenience and savings through its          performance. A low coefficient of friction
             ability to perform and protect engines for      ensures the maximum delivery of engine
             extended periods. The AMSOIL XL Motor           power with minimal frictional losses.
             Oils are available in 5W-20, 5W-30, 10W-30,
             and 10W-40.                                     Corrosion, Rust and Foam Control

             Thermal and Oxidative Stability                 AMSOIL SAE XL Synthetic Motor Oils seal
                                                             out rust, neutralize acids and resist foaming.
             AMSOIL SAE XL Synthetic Motor Oils              Rust inhibition is an especially important
             eliminate the need for frequent oil changes.    feature for engines subject to frequent
             Outstanding thermal and oxidative stability     short-trip operations or for stored engines.
             ensures long-term physical and chemical         Acid neutralization protects engines from
             integrity of the oil after exposure to engine   damage caused by corrosive by-products of
             operating temperatures.                         combustion. Foam resistance ensures
                                                             protection against metal-to-metal contact
             Low Volatility                                  and wear.

             Low volatility makes AMSOIL SAE XL              Additive Durability
             Synthetic Motor Oils highly resistant to oil
             consumption. The oil continues to lubricate,    AMSOIL SAE XL Synthetic Motor Oils
             maintain fuel economy, and reduces exhaust      contains top-quality additives designed for
             emissions for an extended drain interval.       long-term performance. AMSOIL SAE XL
                                                             Synthetic Motor Oils protect engines from
             Shear Stability                                 wear, corrosion, deposit accumulation and
                                                             sludge buildup. The long-life additives in
             Superior shear stability ensures AMSOIL         AMSOIL SAE XL Synthetic Motor Oils are
             SAE XL Synthetic Motor Oils maintain            designed to keep engines clean and
             protective viscosity throughout extended        protected for 7,500 miles or six months, or
             service life. The oil continues to protect      longer with oil life monitoring systems.
             engine components from metal-to-metal
             contact and wear, especially in high            Mixing AMSOIL
             temperatures.
                                                             AMSOIL SAE XL Synthetic Motor Oils are
             High Temperature Performance                    compatible with conventional petroleum oils.
                                                             However, AMSOIL does not recommend
             AMSOIL SAE XL Synthetic Motor Oils offer        using a mixture of XL oil and conventional
             outstanding high-temperature engine             oils for 7,500-mile or six-month drain
             protection and performance. Engines             intervals. Engine oil additives are not
             operate in optimal temperature range in         recommended for use with AMSOIL XL oils.
             high-stress conditions. In high-temperature     It should also be clarified that you can use
Quick Lube                          Page 15                                                         11/06
                                  Products and Applications (cont.)
             the AMSOIL XL product line for extending        or six-month intervals, or longer with oil
             oil drains using conventional (non-AMSOIL)      change monitoring systems. Change
             oil and air filters.                            aftermarket or OEM full flow oil filters with
                                                             every oil change.
             Service Life

             In gasoline-fueled passenger vehicles in
             normal or severe service, change AMSOIL
             SAE XL Synthetic Motor Oils at 7,500-mile

                               Miscellaneous Convenience Products
             BriteSide Heavy Duty Scrub Hand                 AMSOIL Engine Flush
             Cleaner with Pumice
                                                             AMSOIL Fast Acting Engine Flush is made
             Heavy Duty SCRUB Hand Cleaner with              from a carefully selected blend of solvents
             Pumice is a totally new formula and has         and special cleaning agents that dissolve
             been engineered with the added cleaning         and disperse harmful deposits formed in the
             power of pumice to cut through grease, oil      crankcase, cylinder walls, pistons and rings
             and dirt with normal wiping motions. SCRUB      of an internal combustion engine. When
             with Pumice comes in a specially designed       used as directed, it cleans and restores
             container that is self-dispensing. By simply    operating efficiency to valves, valve lifters,
             pressing on the top of the container, SCRUB     rocker arms, and pistons for improved
             is dispensed upward and into hands. The         horsepower, fuel economy, and
             pumice formula effectively cleans hands         performance. Use before changing oil.
             with out the need for water. However, it also
             works just as effectively with water as a       AMSOIL Anti-Freeze
             rinsing agent.SCRUB With Pumice utilizes a
             gentle lemon fragrance, not a harsh             AMSOIL Antifreeze & Coolant is newly
             chemical smell like many other pumice-          formulated to provide benefits far beyond
             based hand cleaners. The competitive            those found in today's conventional
             pricing and large container size make           antifreeze and coolant products. This
             SCRUB with Pumice an excellent choice for       revolutionary formulation provides maximum
             workshops, repair centers and garages           antifreeze and cooling protection in the most
             where large quantities of hand cleaner are      extreme temperatures and operating
             used.                                           conditions. And unlike conventional ethylene
             *All Quick Lube clients should be using this    glycol based products, which are highly
             product.                                        toxic and even fatal, AMSOIL Antifreeze &
                                                             Coolant is formulated with propylene glycol.
                                                             It is biodegradable and requires no special
             Pro Formula BriteSide Whitewall                 disposal costs or procedures in most areas.
             Tire Cleaner                                    Above all, its low toxicity presents no threat
                                                             to children, pets or wildlife.
             Concentrated chemical cleaner penetrates
             deep to clean and brighten whitewall tires
             without the need for abrasive scrubbers or
             harmful bleaching agents. Also cleans
             fireplaces, tennis shoes, grills, boat
             bumpers, floor mats, exhaust soot and other
             heavily soiled surfaces. Great for
             ring-around-the-collar, too!

             Rain Clear Windshield Protectant
             Maximize visibility in all kinds of weather.
             Rain, snow and sleet are repelled off glass.
             Wind action of driving forces moisture off
             the windshield, giving a clear view of the
             road ahead.
Quick Lube                         Page 16                                                            11/06
                                                   Conclusion
             All AMSOIL Dealers should be concentrating on The Quick Lube Market. As was stated
             earlier, Dealers should have a least one Quick Lube as a client to which people can be
             referred to when they ask where they can get their oil changed over to AMSOIL.

             Dealers need to make sure that their approach is one that focuses on the needs of the
             Quick Lube operator. Show this person how their profits can be increased on a per ticket
             basis and they will do business with you. Show them how they can be a step (or two) ahead
             of their competition by providing the finest in lubrication technology for their clients.

             Suggest to the Quick Lube customer that they should approach fleets in a little
             different manner than the personal vehicle market and offer assistance to the Quick Lube
             owner/manager in selling AMSOIL to fleets. The needs of a fleet are different and so the
             approach to this type of client should show an understanding of their needs and challenges.

             In conclusion, study the Quick Lube market, put together a plan for approaching
             owner/operators and practice the presentation that was put together. By following the steps
             outlined in this FST, an AMSOIL Dealer will find success.




                                                    APPENDIX

             In the appendix you will find important sales tips and educational notes for Dealers who are
              serious about entering the Quick Lube market as well as examples of promotional material
                              that you can make available to your Quick Lube customer.




Quick Lube                          Page 17                                                        11/06
                                                              A View from the Field
Sales Tip: A good way to
get an appointment is take        Tips and educational notes from                products, they will recommend them. Many
your car in for an                 experienced AMSOIL Dealers                    times a customer will ask the owner or
inspection or some work,                                                         technician what products they use and if
complement the owner on         Many times calling on a quick lube is            they answer “AMSOIL,” the customer will be
how good his shop looks,        entering a hostile environment. Dealers          more likely to choose AMSOIL. When
that it is very professional,   need to be aware that this potential exists.     conducting training keep these thoughts in
introduce yourself and get      This is especially important to new dealers      mind. Training normally cannot be done
the conversation turned         who have not made many, if any, calls on         during business hours with the most
around to AMSOIL. Or, tell      retail or commercial establishments. New         common time to perform the training is an
him you are looking for a       Dealers dream of getting the “big one” and       hour or two after closing. Be creative and
facility to send your           figuratively get a bloody nose on one of their   fun, and if possible, order pizza, set up a
customers to have their oil     first calls. Dealers who experience harsh        product display, talk about the product line
changed to AMSOIL, and if       rejection need to keep a positive attitude       and how to offer the products to the
he would be interested in       with an understanding that Quick Lube            customers.
the business if they            owners, like many small business owners,
brought their own oil. Most     are under a great deal of stress and may         A Dealer should make selling synthetics fun
will say they are interested    not be very inviting on the first couple of      and rewarding. Dealers can work with the
in that business.               sales calls.                                     owner to see if they have any established
                                                                                 reward programs to help sell certain
                                The focus of the AMSOIL Dealer should be         products at certain times of the year.
                                on the independently owned Quick Lube            Dealers can help Quick Lube owners
                                operations, garages, etc., not the oil           develop one if they don’t and here are some
                                company owned chains. This does not mean         ideas based off of other success stories:
                                that an AMSOIL Dealer should not call on a
                                chain store, just that independent               • Quick lubes have internal promotional
                                owner/operators have more flexibility as to      programs they offer to their employees. They
                                what products can be carried at their            have a promo card with, say, 100 squares
                                location and are not restricted by a             on it. 10x10. The top prize is $100, or two
                                corporate entity as to acceptable store          prizes of $50, four $25 prizes, or even more.
                                merchandise.                                     Every time an employee sells the product
                                                                                 being promoted, whether it is a transmission
                                Follow-up is one key to signing up a Quick       service or an AMSOIL oil change, they put
                                Lube. Most sales are made after the 5th          their name on a square. The more they sell,
                                call, but most Dealers quit long before they     the more squares in which they can put their
                                get to the 5th call. Dealers need to be          name, improving their chances of winning.
                                realistic that they probably won’t get the       When the card is full, the owner announces
                                account on the first visit and must be           the winning square(s) that were
                                available and prepared when the Quick            predetermined before the card was filled
                                Lube is ready.                                   out. Or, the winner is the tech with his name
                                                                                 in the most squares, or 1st, 2nd and 3rd
                                Dealers need to keep it simple for the Quick     place. Whenever a Quick Lube uses
                                Lube owner. Very seldom are they interested      AMSOIL as the promo product, AMSOIL
                                in becoming an AMSOIL Dealer up front.           moves out the door.
                                Offer the ROTS program, and let them know
                                there are options to obtain commissions on       • Some quick lubes have offered a $5 bill to
                                their purchases “down the road,” if they are     any tech selling an AMSOIL oil change,
                                interested. Too many options up front may        which is big money to a lube tech. However,
                                confuse the owner and as a result the            a Dealer should help train the techs on how
                                owner won’t make a decision.                     to offer the AMSOIL oil change. When a
                                                                                 customer pulls up, after eyeballing that their
                                Once a Dealer has Quick Lube Dealers,            car looks worthy of AMSOIL, the lube tech
                                they should expect to train the owner and        asks the question, “Would you like to
                                their techs on the products and the              upgrade to AMSOIL’s 7,500 mile/6 month oil
                                merchandising of the products if they expect     change?”
                                them to grow into a large account. One of
                                the biggest factors in helping this is
                                convincing the owners and shop technicians
                                on the need to use AMSOIL. If they use the
Quick Lube                                             Page 18                                                          11/06
                                                      A View from the Field (cont.)
                             Help the Quick Lube Sell the Value             charge more than for a synthetic that
                                                                            doesn’t have such tangible benefits.
                             The current pricing structure is too low,      Because of AMSOIL’s tangible benefits,
                             which is probably due to the mind-set that     customers will pay the higher ticket and
                             customers won’t buy an oil change for more     owners will sell more AMSOIL changes than
                             than $25 and that the AMSOIL products          they do other synthetics.
                             aren’t that different from other synthetics.
                             Dealers need to educate the Quick Lubes        Brand extension is another huge benefit for
                             on the added benefits / value AMSOIL has       Quick Lubes. This means selling
                             over other synthetic brands. Quick lubes       complimentary AMSOIL products in addition
                             must sell their other synthetic oil changes    to the oil and filter, such as transmission
                             for around $44.95 or more, whereas the         fluid and gear oil. Keep in mind that a
                             AMSOIL oil change needs to be at least         bumper-to-bumper diesel pickup will
                             $49.95 to $54.95, or even higher. It is        generate about a $400 retail ticket at a
                             justified because they are giving their        Quick Lube when AMSOIL products are
                             customers a tangible benefit – an extended     used.
                             oil change interval – for which they can




                           MORE MONEY IN TEN SECONDS
Oil change centers can make more money in ten seconds by asking customers if they would like to try a top-quality
synthetic motor oil that may be used for 7,500 miles or six months and gives engines better protection than conventional
oils. Experience shows about 25 percent of oil change customers will choose AMSOIL XL-7500 Synthetic Motor Oil if
presented with a choice.

Without AMSOIL XL Synthetic Motor Oil

        •50 customers a day buy a conventional oil change (profit: $8.90) $8.90 x 50 = $445.00

With AMSOIL XL Synthetic Motor Oil at a 25% response rate

        •37 customers a day buy a conventional oil change (profit: $8.90) $8.90 x 37 = $329.30
        •13 customers a day buy an AMSOIL XL Synthetic Motor Oil change (profit: $25.10) $25.10 x 13 = $326.30
        •Profit Grand Total=$655.60

Offering AMSOIL XL Synthetic Motor Oils increases profits $210.60 per day.
                  $655.60 - 445.00 = $210.60


Example:

Conventional                            AMSOIL XL Motor Oil Synthetic Motor Oil
Oil change retail $21.50                $49.95
Oil cost - 5.00                         17.25
Filter cost - 2.00                      2.00
Labor cost - 5.60                       5.60
Profit $8.90                            $25.10




Quick Lube                                         Page 19                                                        11/06
        Looking to Save Time and Money?

                               Switch to




    Ask about the 10,000-Mile Oil Change

      Only
      $69.99        (Five Quarts)
      Each additional quart $9.00


                                              Benefits Include:

                                                    •Improved Cold-Temperature
                                                    Starts
                                                    •Better Engine Protection
                                                    •Reduced Maintenance
                                                    Costs
                                                    •Less Time Spent Waiting for
                                                    Oil Changes
                                                    •Less Dependence on
                                                    Foreign Oil



                                              With other motor oils, the
                                              recommendation is 3,000-mile oil change
                                              intervals. That’s $75.00 and three trips to
                                              the mechanic!




Quick Lube                          Page 20                                                 11/06
                     CAN MY BUSINESS MAKE MORE MONEY IN
                                TEN SECONDS?

Example: Profits Per Oil Change-My Usual AMSOIL XL Oil Change Syn. Motor Oil Change

My   usual   oil change retails for + _________           AMSOIL Syn. XL retails for +       $49.95*
My   usual   oil cost (5 qts) - _________                 AMSOIL Syn. XL oil cost (5 qts) - $17.25**
My   usual   filter cost - _________                              My usual filter cost - ________
My   usual   labor cost - _________                               My usual labor cost - ________
My   usual   profit per oil change _________ (A)          My oil change profit with AMSOIL ________ (B)

How much more do I make on each AMSOIL XL Synthetic Motor Oil change?
                                              (B)_______ - (A)_________ = $ (I)

Example: Profits at a 25% Response Rate to AMSOIL XL Synthetic Motor Oils

My usual daily customer count                                                no. of vehicles ___________(C)

Without AMSOIL XL Synthetic Motor Oil

My daily profits when all my customers buy my usual oil change: (A)______ $ x (C)_____ = $ (D)______

With AMSOIL XL Synthetic Motor Oil
75% of my oil change customers: (C) x .75                   standard customers    ___________(E)
25% of my oil change customers: (C)______ - _______(E)       AMSOIL XL customers       _______ (F)
75% of my customers buy my usual oil change          (A)$______ x ______(E) $__________ (G)
25% of my customers buy an AMSOIL XL Synthetic Motor Oil change
(B)$_______ x ______(F) + $________ (H)
My profit with AMSOIL XL-7500 Synthetic Motor Oil (G+H)     =                $________ (I)
How much more do I make with AMSOIL XL Synthetic Motor Oil?
(I)______ - _______(D)           =        $__________

                                 WHAT ABOUT LONG TERM PROFITABILITY?
Example: My Present Profit Horizon
Let’s say right now, all my customers change their oil every 3,000 miles.
My usual daily profits when all my customers buy my usual oil change.                              $________ (D)

Example: 100% AMSOIL XL Synthetic Motor Oil Profit Horizon with My Present Client Base
Let’s say all my customers switch to AMSOIL XL Synthetic Motor Oil and change their oil every 7,500 miles.
                          (C)________ x .4             = _________(J)
(Calculation: I see the same number of customers in 40% of the time: 3000 ÷ 7500 = .4)

My profits with AMSOIL XL Synthetic Motor Oils will be: (J)______ x ______(B) = $________ (K)
Do my profits change if all my customers switch? (K)_____ - _______(D) = $ ________***

Example: 100% AMSOIL XL Synthetic Motor Oil Profit Horizon with My Present DAILY
CUSTOMER COUNT
Let’s say I service my usual daily customer count with AMSOIL XL Synthetic Motor Oil.
My profits with AMSOIL XL Synthetic Motor Oils will be:      (C)______ x ______(B) = $_______ (L)

How much more do I make by offering AMSOIL XL Synthetic Motor Oil?
                                     (L)______ - _____(D) =$________

*AMSOIL suggests pricing the XL oil change at 2 to 21/2 times the price of your usual oil change.
**AMSOIL XL Synthetic Motor Oil costs $3.45/qt., when purchased in quart containers, to $3.15/qt., when purchased in 55-gal drums. Example shows 5
qts. purchased in qt. containers.
***If your profits are not equal or greater with AMSOIL, you need to price AMSOIL XL Synthetic Motor Oil changes high er. AMSOIL suggests pricing
them at 2 to 21/2 times the price of your usual oil change.                                G-1836
Quick Lube                                                    Page 21                                                                     11/06
Suggest that your Quick Lube customer post the following “Top Ten Reason to Use AMSOIL” poster behind their front
counter. This will make for easy reference when speaking with a customer.



                         Top Ten Reasons to Use




1. Extended Drain Intervals. Using AMSOIL means fewer trips the Quick Lube to get your oil changed.

2. It saves you money. Fewer oil changes and better fuel economy means more money in your pocket.

3. Improved gas mileage and lower emissions. The low viscosity of AMSOIL Synthetic Oil promotes maximum
engine power, increasing fuel economy and reducing emissions.

4. Provides low temperature protection. The exceptional cold temperature properties of AMSOIL Synthetic Oil
provide exceptional cold start lubrication in cold temperatures. Greatly reducing engine wear in sub-zero temperatures, it
flows to all parts of the engine much faster then conventional petroleum oils.

5. Provides high temperature protection. AMSOIL’S outstanding heat-transfer capabilities keep engines
operating at optimal temperatures in high stress conditions.

6. Inhibits rust and corrosion. AMSOIL contains special rust and corrosion inhibitors to protect engine parts.

7. Resists high temperature vaporization. Conventional motor oils “Boil off’ in high temperatures, losing up to
15% of their original weight contributing to excessive emissions and engine wear.

8. Resists oxidation and thermal breakdown. Conventional oils oxidize in high operating temperatures,
producing sludge and deposit build-up that contributes to corrosion, engine wear

9. Up to twice the wear protection of other motor oils. AMSOIL additives protect engines by bonding to
metal surfaces and forming a protective film between moving parts.

10. AMSOIL is the right Environmental Choice. If drivers used AMSOIL in place of conventional oil it would
prevent billions of gallons of oil from being dumped into the environment. AMSOIL Synthetic oil resists chemical break-
down and sludging and helps your engine run cleaner and reduce emissions. AMSOIL also improves engine life and fuel
economy saving the customer money and reducing our use of fossil fuels. Quite simply it means fewer oil changes
means less waste.




Quick Lube                                          Page 22                                                         11/06
                       AMSOIL Dealer Quick Lube Questionnaire

  Asking the right questions is the goal of every AMSOIL Dealer when approaching prospective clients. The following
              questions should be very helpful in getting the information needed from prospective clients.

      1. What is your average ticket?

      2. What goals have you set to increase that average ticket? If they answer no to having set goals, ask why?

      3. Would you like some help in determining what some goals could be?

      4. What is your daily break-even point as to oil changes?

      5. Do your employees promote ad on sales?       How?

      6. What areas within your dealership have the most potential for additional business?
              •How can AMSOIL help you tap that new business potential?

      7. What is your largest ad on item?

      8. Do your employees know the advantages of synthetic oils vs. petroleum-based oils?

      9.What are your customer’s perceptions of:
             •AMSOIL?
             •Synthetic Oil?
             •The quality of other brand name oils?

      10. Do you have regular scheduled dealership/store training?
              •Would you be receptive to my conducting an AMSOIL training session based upon an agreed upon
              agenda?

      11. How do you market and advertise your business?

      12. Do you market or have fleet vehicles as customers?

      13. Do you know the number of miles your repeat customers average between oil changes?

      14. What would be the most effective way for AMSOIL to assist you in selling more lubrication products to your
          customers?

      15. How are your sales of the OEM synthetic and synthetic blend oils going?
             •Are the OEM’s offering you direct value-added sales and/or marketing support?

      16. What are the most common reasons your current customers do NOT use AMSOIL products?

      17. When your customers bring their vehicles in for service, do your employees recommend AMSOIL or the OEM
          products, and why?
              •If they are not recommending AMSOIL products would you mind if I scheduled a training session with
               the counter service staff so I can answer their questions about AMSOIL lubricants?

      18. What’s your cost/quart of the major oil brand that you carry?
            •Typical minimum OEM Dealer Cost = $5.37 / quart
            •Typical OEM Retail Cost = $8.95 / quart
            •Can you share with me the actual profit per quart you realize when selling AMSOIL vs. the profit per
             quart earned when selling the OEM’s oil?

      19. How does that compare with AMSOIL’s cost?
             •AMSOIL Dealer Cost = $_____ / quart
             •AMSOIL Suggested Retail Cost = $____ /quart
             •Can you share with me the actual profit per quart you realize when selling AMSOIL vs. the profit per
              quart earned when selling the OEM’s oil?

      20. Would you mind posting the “Top Ten Reasons to Use AMSOIL” poster (in this appendix) at your front
          counter to assist your front counter person?



Quick Lube                                        Page 23                                                       11/06
               Month-by-Month Oil Change Profit for Quick Lubes
Below is a spreadsheet that will show Dealers, and Quick Lube customers, exactly how the possible maintenance activity
for their location can be viewed. This will also show customers how they can increase their bottom line by utilizing the use
of AMSOIL products over a year’s time.

This spreadsheet will show Dealers, and Quick Lube customers, how changing from a 3,000-mile petroleum oil change
focus to a 7,500-mile or longer synthetic oil change will increase profitability.

The first block of cells with the calendar shows the number of oil changes per month by oil type. Notice that as we
progress through the year the number petroleum oil changes decreases and the number of synthetic oil changes
increases. The bottom row shows the percent change by month.

The second block of cells calculates the profit a quick lube will see from both petroleum and synthetic oil changes. The
numbers are calculated by multiplying the number of changes shown in the first section by the amount of profit per
change established by the quick lube owner. This value is input near the bottom of this sheet, on the left hand side.
Dealers will want to pay close attention to these cells as they powerfully show the cost benefit of using the AMSOIL oil
change program.

The last block of cells calculates the Net value gained by implementing the AMSOIL synthetic oil change program versus
using 100% petroleum oil changes.

The grey boxes at the bottom left of the spreadsheet (these boxes start on the next page) are the input variables. Dealers
should encourage customers to input their unique business parameters to see exactly how they can benefit from
implementing the AMSOIL synthetic oil change program.

The goal of using this profit calculator is to show customers how they can increase the bottom line is increased, over a
year’s time, by utilizing the AMSOIL synthetic oil change program.


                           Jan        Feb       Mar       Apr      May      June       July      Aug      Sept       Oct       Nov       Dec
Petroleum Changes         1200       1151      1102      1051       999       946       892       836       780      722       663        602
Synthetic Changes             0         61      122       185       250       315       382       450       520      591       663        736
Percent Synthetic             0          5        10        15       20        25        30        35        40        45       50         55
Petroleum Profit        $10,680    $10,247    $9,805    $9,353    $8,891    $8,419   $7,936    $7,443    $6,939    $6,424    $5,899     $5,362
Petroleum Profit              $0    $1,515    $3,060    $4,636    $6,244    $7,883   $9,554   $11,257   $12,994   $14,765   $16,569    $18,409
Gross Profit            $10,680 $11,762 $12,866 $13,989 $15,135 $16,301 $17,490 $18,700 $19,933 $21,189 $22,468 $23,770
Net Profit
Due to Synthetics                     $976    $1,971    $2,986    $4,021    $5,076   $6,153    $7,250    $8,368    $9,508   $10,671 $11,855
Year Gross Profit Combo                                                                                                            $204,283.62
Year Profit from Synthetics                                                                                                          $68,834.49
Petoleum Only Profit                                                                                                                 $135,449.13
Percent Increase Due to Synthetics                                                                                                       51%
ASSUMPTIONS:
Customers
per Day                   40.00      40.40     40.80    41.21     41.62     42.05     42.46     42.89     43.31     43.75    44.18      44.63
Customers
PerMonth                1200.00 1212.00 1224.12 1236.36 1248.72 1248.72 1261.21 1273.82 1286.56 1299.43 1312.42 1338.80
Total Visits per Year                                                                                                                  15,219
Petoleum Oil Change Profit                                                                                                              $8.90
Synthetic Oil Change Profit                                                                                                           $25.00
Percent Customer Growth*                                                                                                               1.0%
                                 * - Growth can be normal growth and/or can be additional customers served in the open slots provided by the synthetic
                                 customers not coming in as often.




Quick Lube                                                        Page 24                                                                         11/06
                       DIFM AMSOIL vs. Petroleum Oil Price Differences
The following examples are of price comparisons for using AMSOIL vs. Quick Lube operations. These comparisons
should be of assistance to Dealers when discussing the use of AMSOIL vs. conventional motor oil with Quick Lube own-
ers or managers.


                  QUICK LUBE INSTALL PRICING COMPARISON
                                  XL-7500 SERIES
                      Quick Lube Comparison--12,000-miles
        Conventional motor oil at 3,000-mile drain intervals (Passenger cars)
  Quick Lube price per 3,000-mile drain intervals                               $24.95
  Amount of oil & filter changes needed                                          4
  Total Expense per 12,000-miles/1-year                                         $99.80



                               AMSOIL at 7,500-mile drain intervals
  Quick Lube price per 7,500-mile drain intervals                                $49.95
  Amount of oil & filter changes needed                                           2
  Total Expense per 12,000-miles/1-year                                         $99.90
                     **Comparison based on driving 12,000-miles/1-year, and a   5-quart oil capacity

                  AMSOIL COSTS $0.10 MORE per 12,000-miles/1-year**

  Keep in mind that even though the above example shows that AMSOIL is .10 cents more per year, the customer
  saves time (which means money), receives better engine protection and will only require two oil changes a year.
  The Quick Lube Operator also benefits because their profit margin is higher on AMSOIL oil changes than with
  petroleum products.


                      Quick Lube Comparison--15,000-miles
        Conventional motor oil at 3,000-mile drain intervals (Passenger cars)
  Quick Lube price per 3,000-mile drain intervals                                $24.95
  Amount of oil & filter changes needed                                          5
  Total Expense per 15,000-miles/1-year                                         $124.75



                                AMSOIL at 7,500-mile drain intervals
  Quick Lube price per 7,500-mile drain intervals                                $49.95
  Amount of oil & filter changes needed                                           2
  Total Expense per 15,000-miles/1-year                                         $99.90
                     **Comparison based on driving 15,000-miles/1-year, and a   5-quart oil capacity

            Monetary Savings with AMSOIL=$24.85 per 15,000-miles/1-year




Quick LubeT                                         Page 25                                                     11/06
                      Quick Lube Comparison--25,000-miles
        Conventional motor oil at 3,000-mile drain intervals (Passenger cars)
  Quick Lube price per 3,000-mile drain intervals                              $24.95
  Amount of oil & filter changes needed                                        9
  Total Expense per 25,000-miles/1-year                                       $224.55



                                AMSOIL at 7,500-mile drain intervals
  Quick Lube price per 7,500-mile drain intervals                              $49.95
  Amount of oil & filter changes needed                                         4
  Total Expense per 25,000-miles/1-year                                      $199.80
                     **Comparison based on driving 25,000-miles/1-year, and a 5-quart oil capacity

                 Monetary Savings with AMSOIL=$24.75 per 25,000-miles


                          DIFM AMSOIL vs. Diesel Oil Price Differences

                        Quick Lube Comparison--Diesel
       Conventional motor oil at 3,000-mile drain intervals (Pickup Trucks)
 Quick Lube price per 3,000-mile drain intervals                              $29.99
 Amount of oil & filter changes needed                                        10
 Total Expense per 30,000-miles/1-year                                       $299.99



                       AMSOIL Diesel Oil at 7,500-mile drain intervals
 Quick Lube price per 7,500-mile drain intervals                              $54.95
 Amount of oil & filter changes needed                                         4
 Total Expense per 30,000-miles/1-year                                      $219.80
                    **Comparison based on driving 30,000-miles/1-year, and a 5-quart oil capacity

                Monetary Savings with AMSOIL=$80.19 per 30,000-miles

 Note: AMSOIL Product Change Interval Guide states Diesel Pickup trucks may go up to 2-times longer than
 manufacturer recommendations for 6-monts unless oil analysis is used.




Quick Lube                                          Page 26                                                11/06

				
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