I've seen it so many times that I can't even fathom how much money has been given to customers who didn?t want it! That's right, manager's often throw money at customers in order to buy their satisfaction, even though that's not what they want or need.

In the same way that a salesperson will give away gross by saying, "ignore the sticker" at the greeting, service managers often give away profits to appease a complaining guest before they ask for it.

When a dealer finally decides that repeat and referral business is critical to long term profitability, the pendulum often swings from saying "no" to saying "yes". That includes situations where all a customer really wants is a listening ear and an apology. So we recommend this simple strategy for saving money and improving the relationship:

1. Listen patiently with an attitude of empathy (show you care).
2. Say: "I can appreciate the way you feel". Then ask: "What can I do to make this right for you?"

While a few (meaning very few) customers will come up with unreasonable demands, the vast majority will provide you with a solution that is less costly than what you may have provided in a "knee jerk" reaction. Listen to customers and they will tell you how to meet their needs.

For more ideas on building repeat and referral business, enroll as a student at Auto University.