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Right Size Your Shop To Stay Ahead of Tariffs with Joe Castelino
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In this dynamic ASOTU CON 2025 session, Austin Conroy sits down with Joe Castelino of American Motors Group to unpack a bold and strategic approach to rethinking service operations in response to changing market forces—including tariffs, EV adoption, and used car surges. Joe outlines how his team is right-sizing their fixed ops strategy by looking at every process from technician dispatching to digital parts ordering, and from internship-based technician development to a dedicated EV service center. The session dives into much more than technician hiring—this is about systemic efficiency and positioning dealerships for long-term resiliency.
Joe shares how American Motors Group is anticipating and preparing for the influx of used car sales, doubling down on reconditioning capacity, optimizing parts logistics, and even launching e-commerce for DIYers. Most striking is the group’s commitment to the future of EV servicing, including the radical move of converting an entire dealership into a 20-bay EV-only facility. This episode offers a masterclass in operational foresight and shows how innovation in fixed ops can be both proactive and profitable.
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⏱️ Timestamped Takeaways
0:00 Intro
0:11 Joe Castelino joins to discuss optimizing service for tariff-era challenges
0:37 Used car growth drives massive reconditioning demands
1:16 Oil change efficiency improvements enhance overall shop capacity
2:29 Parts e-commerce targets DIYers and off-dealer service customers
2:36 Strategy goes beyond hiring—includes BDC and extended hours
3:20 Planning begins with reaction but quickly moves to proactive design
4:20 Data-driven parts stocking boosts reconditioning speed
5:01 Recon center includes fully siloed team and processes
5:53 Intern program turns part-time students into full-time techs
7:33 Radical move: launching a 20-bay dedicated EV service center
8:23 EV service needs are real, even if limited
9:00 Strategic service positioning is key amid evolving market conditions
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