REV UP YOUR ENGINE

Industry giant Meineke is adding franchisees whose average sales top $500,000 a year.

Some franchisors would be excited to have five inquiries a month from prospective franchisees – and absolutely giddy to have 50. Meineke Car Care Centers, Inc., recently had 500 inquiries in one month.

“Sometimes in a down economy, automotive and franchising go really well together,” said Dave Schaefers, senior vice president of business development for Driven Brands, Inc., Meineke’s parent company.

Staying ahead of the pack is nothing new for Meineke, which since 1972 has expanded its menu of product offerings to meet the demands of a changing marketplace. Today, Meineke is a full-service automotive maintenance and repair franchise specializing in brakes, maintenance services and general repair.

Already with more than 900 franchised domestic and international service centers, Meineke is maintaining its steady growth, projecting to add 60 to 70 new franchises in each of the next three years. For the third consecutive year, in 2009, Meineke increased the number of franchises sold over the previous year.

“Meineke is definitely in expansion mode,” Schaefers said. “Any time there is a high percentage of unemployment, people are looking for business opportunities. We are finding many highly qualified candidates.”

Known as pioneers of their respective industries, Meineke along with Maaco – the market leader in franchised auto body repair and painting – headline Driven Brands’ portfolio of franchised automotive brands that includes Econo Lube N’ Tune (automotive repair/quick-lube services), Aero Colours (automotive paint repair), AutoQual (vehicle reconditioning, protection and appearance maintenance services) and Drive N Style (aftermarket installation services), as well as Tortal.net, a training company that specializes in developing interactive online training solutions.

“Meineke has done a good job of transitioning from being known as a discount muffler provider to being recognized as a complete car care center,” Schaefers said. “Plus the fact that we own other companies such as Maaco and Econo Lube N’ Tune provides synergies and knowledge that other companies would never be able to offer.”

Owning multiple brands allows franchisees convenient and affordable co-branding opportunities. Meineke has found considerable success opening co-branded facilities that include Econo Lube N’ Tune, whose locations were primarily in the Southwest and West when the chain was acquired by Driven Brands in 2006. Today, there are about 100 Meineke/Econo Lube N’ Tune co-branded centers in 11 states and South Korea.
“It’s a fantastic business model because Econo Lube N’ Tune drives car counts with its convenience and Meineke drives dollars because it provides such a different set of needed services,” Schaefers said.

Meineke franchisees come from a wide variety of backgrounds and automotive experience is not required, thanks to Meineke’s comprehensive four-week training program at Meineke University and ongoing support. Average annual sales at a six-bay center are $556,000.

“We want franchisees who are active and passionate within their stores,” Schaefers said. “That being said, if there are potential franchisees who have the financial capability to operate on a multi-unit basis and can create the proper management structure, it is a program we support quite strongly. We have a significant three-store discount program and we encourage our existing franchisees to grow by also offering them attractive discounts.”

Ten years ago, muffler/exhaust work represented a huge part of Meineke’s sales, but that is no longer the case today, as overall sales have increased because of the wide variety of services offered.

“Consumers are keeping their cars longer, oftentimes purely for financial reasons because of the bad economy,” Schaefers said. “If you are going to buy a business, there has to be a demand for it and our customers have a need. Whether the economy is doing well or struggling, they are conscientious about maintaining their cars. We see it in our Meineke locations every day.”

One of Meineke’s strongest draws is its powerful brand identity. It should come as no surprise that Meineke is recognized by 95 percent of the U.S. adult population, a result of having George Foreman as its national spokesperson for the last 16 years and being the nation’s 12th-largest yellow page advertiser.
In addition, Driven Brands sponsors two college football bowl games, the Meineke Car Care Bowl in Charlotte, North Carolina, and the Maaco Bowl in Las Vegas. Combining aggressive marketing and a proven business system attracts and keep customers. “Our recognition and reputation definitely help to play a part in the success of our franchisees.”

For more information, contact Meineke Car Care Centers, Inc. at 128 S. Tryon St., Suite 900 Charlotte, NC 28202

Phone: 704-644-8194/800-275-5200. The website is www.meineke.com •

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