Prestigious business publication includes iconic American auto repair franchise on annual Franchise 500 list
AAMCO has once again been named to Entrepreneur magazine’s prestigious Franchise 500 list of top opportunities.
The Franchise 500 is a significant repeat achievement for the iconic auto repair franchise because the Entrepreneur list is the national media’s most comprehensive franchise ranking system. Nearly 1,000 brands registered for ranking in 2016. Of those, only 500 brands were determined to be in the top tier. Entrepreneur compiles a wide range of data in determining which brands make the cut; the metrics used to determine the list are those that determine which brands have staying power and proven business models and are poised for nationwide growth.
“All companies are judged by the same criteria: objective, quantifiable measures of a franchise operation,” Entrepreneur states. “The most important factors include financial strength and stability, growth rate and size of the system. We also consider the number of years a company has been in business and the length of time it's been franchising, startup costs, litigation, percentage of terminations and whether the company provides financing. Financial data is analyzed by an independent CPA."
The metrics used to determine Entrepreneur’s “Franchise 500” list reflect AAMCO to the letter. The AAMCO franchise brand has been a dynamic part of American car culture for half a century.
“We’re very honored to have been named a Top Franchise Opportunity by Entrepreneur,” says Brett Ponton, CEO of AAMCO. “Our principal job as a franchisor is to provide a business model that is financially viable and successful for franchisees. We need engaged owner-operators who are excited and passionate about this business … very customer-focused owner operators who love to build teams and are passionate about our great national brand. Our auto repair franchise owners find success in making our national brand feel very local as they serve the communities around their stores.”
What makes AAMCO a Top Franchise Opportunity?
With nearly 700 auto repair locations across the country, AAMCO is the rare, time-tested legacy brand that remains committed to innovation and trusted in the eyes of the American consumer. Why are we so successful? Because AAMCO continually invests in the franchisee experience and network infrastructure to ensure that our auto repair franchise owners know every aspect of their business and have the tools to maximize their profitability.
This commitment to our franchisees stems from the fact that several of the AAMCO corporate team were franchisees themselves. Before joining us, AAMCO CEO and President Brett Ponton was CEO of Heartland Automotive, the largest Jiffy Lube franchisee in North America, operating nearly 575 units.
“We create value for franchisees primarily by doing two things: 1) Helping them improve bottom-line results, and 2) Helping them create long-term enterprise value in their businesses and the investment our franchisees made in our brand,” Brett says. “We wrap ourselves around the franchisees: we’re talking about operational support, marketing support, administrative support, recruitment help — because our mission in life is pretty clear. We need to support the people on the front lines of our business: the auto repair franchise owners who are operating the business every day, who have the pleasure and the fortune of serving the millions of consumers AAMCO has the pleasure to take care of year in and year out.”
A bright future for a worthy brand
One of the biggest positives in partnering with a nationally known brand with a 50-year history of customer trust is that the groundwork is already laid. We have spent decades establishing ourselves as a preeminent brand, and franchisees benefit from that legacy the day they open their doors.
The American public trusts the AAMCO brand, and that is especially important when angling to win customers for life. AAMCO calculations, based on information from Consumer Reports, HIS Automotive, R.L. Polk & Co. and the Pew Research Center, find that the average automobile customer will spend $54,036 on repair during the time they own and operate a car. If that customer has two vehicles — and most households have two vehicles or more — that amount doubles. Even though the average transmission rebuild has a significant price tag, total spending on transmission work is a small fraction of car care spending. Most people only consider replacing a transmission on a vehicle once. They get oil changes, brake work and tune-ups time and time again — the bulk of that $54,000-per-customer lifetime spending goes for those other repair services.
“At AAMCO, we believe we are very well-positioned to win the automotive aftermarket,” Brett says. “Our brand is very well known for transmission expertise that typically has a large ticket value associated with it. Our goal going forward is to maintain our leadership position for transmissions, while focusing on building lifetime relationships with our customers through providing expert service in all automotive areas. As a result, we will build long-term business value for our franchisees.”
Want to learn more about AAMCO?
Entrepreneurs who join the AAMCO auto repair franchise family become part of an iconic brand with staying power in the automotive industry. To learn more and to start a conversation, click below.