out of whack more. It is also becoming more difficult to attract drivers who can pass various requirements, so getting more productivity from every truck and reducing the number on the road seems like a new focus. RG: The impact of 15ppm and Bioheat ® played a big role in discussion very recently. States where sulphur content has gone down for a couple of years are pointing out a dramatic drop in service calls, including night calls, that have big implications. Should this new reality change your strategy around service plans? Can you go from an annual tune-up to one based on gallons? Can you rethink your tech/customer ratio and get by with fewer techs, or is this an opportunity to increase the time the tech can spend with each customer to generate leads? And if you sell Bioheat®, there’s definitely a need to make sure your additive package is tuned right if the sulphur content is low. EC: Yes, that’s coming up for my groups a lot. We are clearly seeing fundamental changes—fuel quality, shrinking oil base, new consumer habits, etc. However, there are also some head fakes. For instance, there’s been a new wave of fear that the full service base is quickly evaporating, particularly as millennials start buying homes. However, as we look at changes in auto numbers and customer base, there isn’t any shocking drop. A lot of the growth that companies may be seeing in discounts may simply be cannibalizing other, less sophisticated discount brands. Change is coming, for sure, but it is more gradual than some have been saying, and an appropriate response needs to be thoughtfully vetted. ICM: Anything else? RG: Improving sales is a big focus in my group and I think we have a growing awareness that, while we focus a lot on our advertising, websites, direct mail—stuff we can touch and track— fuel companies are often awful at selling. My guys know that one of my favorite things to do with new members is to ask them how calls are handled, especially what happens when someone asks “what’s your price?” We’ll then often hear members say how their guys are really good at asking questions, not quoting price before value, getting info, etc. I then take out my phone, put it on speaker phone, and call them up. EC: That’s very sadistic of you, Richard. RG: I have that streak, yes, but this is really eye opening and we have fun with it after. However, what’s not fun is how often the person handling the sales inquiry completely bluffs it up. It’s a huge hole in the bucket. Every company should focus more on how sales are being handled and how people are paid for new business, etc. ICM: You mentioned earlier that you thought it was important that you have fun. How do you do that? RG: Last week, one of our groups did a New York City experience—we walked the High Line, went to a cool restaurant and then to a Broadway show. We’ve visited wineries, met at members’ homes overlooking lakes and oceans, gone to mountain top retreats. We even sailed around Annapolis on the boat they used in the movie Wedding Crashers. Life is short. We need to evolve and that will take hard work, but there’s no reason we can’t enjoy the ride. ICM 16 ICM May/June 2017
ICM May-June 2017
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