Operational Efficiency KPIs

• Average Repair Order (ARO): Average revenue per customer repair. Tracks service value and ability to upsell.
• Technician Efficiency: Billable hours per technician relative to available hours. Maximizing technician productivity is key.
• Parts Availability: Percentage of parts in stock when needed. Avoids delays and customer frustration.
• Cycle Time: Average time a vehicle spends in the shop from arrival to completion. Shorter times improve customer satisfaction.
• Comebacks: Percentage of repairs that need to be re-done due to issues. High comeback rates indicate quality control problems.

Customer Satisfaction KPIs

• Customer Satisfaction Scores (CSAT): Surveys to gauge satisfaction with the repair process and the outcome.
• Net Promoter Score (NPS): Measures the likelihood of a customer recommending your shop. High NPS reflects strong loyalty.
• Online Reviews: Monitor and address customer feedback on platforms like Google and Yelp.
• Customer Retention Rate: The percentage of customers who return for additional repairs and maintenance. Building customer loyalty is crucial.

Financial KPIs

• Gross Profit Margin: Percentage of revenue remaining after the direct cost of repairs (parts, labor).
• Net Profit Margin: Percentage of revenue remaining after all expenses (overhead, labor, etc.) are accounted for. Measures overall financial health.
• Labor Efficiency Rate: Actual revenue generated per hour of technician time vs. your standard billing rate. Higher rates suggest greater profitability.
• Inventory Turnover: How often parts inventory is sold and replaced. High turnover reduces holding costs.
• Days Receivable Outstanding (DSO): Average time to collect payments. Lower DSO improves cash flow.

Growth & Sales KPIs

• New Customers Acquired: The number of new customers in a given period. Helps track growth.
• Customer Acquisition Cost (CAC): Cost to acquire a new customer through marketing and sales efforts. Monitor this to manage growth expenses.
• Referral Rate: Percentage of customers coming through referrals. Strong referrals indicate positive customer experience.

Additional Considerations

• Technician Specialization: If you have technicians specializing in specific car brands or systems, track performance metrics relevant to their areas.
• Warranty Repairs: Track the volume and cost associated with warranty repair work to understand its impact on profitability.