For those of you that use service advisors to promote top packages to customers, how much are you giving a service advisor for selling a top package? How do you determine how much you are giving the service advisor for each item you are asking them to promote - top package, express wax, leather conditioning, etc.? Is there a specific formula you use - a percentage of the price?
Commission For Service Advisors
- Thread starter hkim310
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robert roman
Bob Roman
Cost of living varies greatly by region so it’s difficult to suggest specific formula. However, there is process that can be followed.
First, determine how much the CSA position is worth. Say line worker makes $20,000 (2,000 hrs X $10/hr) and manager makes $52,000 plus bonus (based on gross, labor, damage, etc.).
For sale of argument, peg value of CSA position at $30,000 or $15/hour. Next, determine how CSA should earn this money.
For example, one plan is to pay CSA a low hourly wage like table server ($3.50/hr.) plus a percentage of sales with a cap.
First, determine how much the CSA position is worth. Say line worker makes $20,000 (2,000 hrs X $10/hr) and manager makes $52,000 plus bonus (based on gross, labor, damage, etc.).
For sale of argument, peg value of CSA position at $30,000 or $15/hour. Next, determine how CSA should earn this money.
For example, one plan is to pay CSA a low hourly wage like table server ($3.50/hr.) plus a percentage of sales with a cap.
Earl Weiss
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Why a cap? Seems like a dis incentive to put in effort when a level is reached.
robert roman
Bob Roman
It helps prevent morale problems.
What might happen if a new car sales person made more money than the dealership’s general manager?
For example, the cap might be $40,000 annually. This is more than $30,000 position value but less than the manager’s base.
What might happen if a new car sales person made more money than the dealership’s general manager?
For example, the cap might be $40,000 annually. This is more than $30,000 position value but less than the manager’s base.
robert roman
Bob Roman
Although I dislike answering a question with a question, how much is the position worth to you?
For example, I would consider a CSA that can sell $20,000 or more in express detail services per month or generate extra sales per car of $4.00 or more a valuable commodity.
How much would this person be worth at your store?
When I operated carwash, I used to find out much other CSA’s got paid when trying to hire talent away from other stores.
For example, I would consider a CSA that can sell $20,000 or more in express detail services per month or generate extra sales per car of $4.00 or more a valuable commodity.
How much would this person be worth at your store?
When I operated carwash, I used to find out much other CSA’s got paid when trying to hire talent away from other stores.
We actually have a CSA here that does exactly that! That CSA is making roughly $40,000 - $45,000 / year here at our wash. When you operated your wash, how much did you start your CSA's at in terms of hourly pay and commission rates Robert?
Depending on your volume and what type of detail/wash services you provide, a flat percent on details for example: 5% commission on all express and detail sales and $0.30 for the best package washes sold.
There is no "perfect way" , you have to see what works with your car wash and employee.
There is no "perfect way" , you have to see what works with your car wash and employee.
robert roman
Bob Roman
“How much did you start your CSA's at in terms of hourly pay and commission rates Robert?”
That was nearly 20 years ago.
Different strategies and tactics are required today because the market and industry has changed a lot since then.
For example, self-pay terminals can be used to eliminate or minimize CSA as well as sales commissions without compromising revenue and profitability.
Likewise, if I operated a full-serve wash today, I would convert to flex-serve format to cut labor and management expenses. There is no need to make everyone come out of the car.
That was nearly 20 years ago.
Different strategies and tactics are required today because the market and industry has changed a lot since then.
For example, self-pay terminals can be used to eliminate or minimize CSA as well as sales commissions without compromising revenue and profitability.
Likewise, if I operated a full-serve wash today, I would convert to flex-serve format to cut labor and management expenses. There is no need to make everyone come out of the car.
