The No Frills Business Model

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The No Frills Business Model

The term no frills is used to describe a service were the non-essential features are removed to reduce costs and pass on the saving to the customers.

One of the first companies to operate this business model was the supermarket, two German firms Aldi and Lidl have set the standard across Europe for low cost supermarkets. Regular supermarket shelving is kept to a minimum and replaced by pallets wherever possible, once a pallet is empty a new one is brought in. They tend to only sell private label products and avoid branded goods that sell at lower margins. Plastic bags are only provided at a charge encouraging customers to recycle their old bags.

Perhaps the most common example of a no frills service is the recent introduction of low cost airlines, Easyjet were one of the groundbreaking companies that established the successful business model. No frill airlines operate with a single economy class and save money by not printing tickets instead issuing customers a reference number to use at check in. These type of airlines also tend to use smaller airports just outside large cities, this way they can pay reduced airport fees, for example Easyjet fly to Luton rather than Heathrow. Complimentary drinks are not served on board, instead a paid for trolley service is provided.

There is also a market for no frill holidays by removing services, such as in flight meals, hotel meals, airport transfers and holiday representatives, travel agents can offer customers a cheaper holiday.

Buses operators have followed the no frills example with the introduction of low cost road travel, one such brand offering this service is Meagbus operated by Stagecoach. As with low cost airlines customers buy tickets online and the receive discounts for buying earlier. A reference number is shown to the driver who has a list of all expected passengers, rather than a ticket being printer off.

No frill car hire is a recent development in the low cost market, car rental firm Sixt has introduced a cheaper alternative to expensive car hire in London under the name Sixti. By using smaller cars such as Ford fiestas and Smart cars prices start at just 9 for a days hire.

This is an overview of how the main no frills markets operate, each of these examples prove that is it possible to offer faultless service at a reduced price by removing unnecessary extras.

Next time you are looking to order a product or service why not look for a no frills alternative.

The Most Important Questions That You Should Ask Your Auto Body Repair Shop

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The Most Important Questions That You Should Ask Your Auto Body Repair Shop

When you have been involved in a car accident, you need to get it up and running as fast as possible to prevent your life from being disrupted. However, rushing matters can prove to be costly, not only in terms of money but also in terms of harassment in case the quality of work is unsatisfactory. Some of the most vital questions that you should ask before handing over your car for body repairs:

How Long Will the Car Repairs Take?

This is perhaps the most frequently asked question by car owners, however, the duration that the repairs will take depends on a number of factors like the extent of damage, how busy the repair shop is then, availability of spare parts, the infrastructure, and equipment that the workshop has, not to speak of the number of holidays. According to an industry survey, it can take around 10 days on an average to get your car back. If any of the repairs are outsourced, it could take even longer.

Will A Loaner Car Be Made Available?

You need to find out if your body repair shop will arrange a car either on loan, rental or courtesy while your own car is being repaired. If a car is offered as rental, you should read the agreement carefully, take pictures of the car before taking delivery and when returning it to avoid disputes. Make a note of the odometer as well.

Will the Car Be Insured During the Time It Spends in the Workshop?

It is extremely important that your car remains covered against theft, fire, accidental damage, burglary or even total loss when it is being repaired. Ask the auto body repair in NY shop what insurance policies they have to safeguard your car. Also, ensure that you do not allow your car insurance to lapse while it is under repairs as any lapse in the policy coverage can cost you dearly in penalties. Also, your policy needs to cover any violations by the workshop people when testing your car.

Will the Fresh Paint Match the Rest of The Car?

While earlier proper matching of the paint used to be a major concern, the tension has been taken care of by all modern cars having the paint code somewhere in the vehicle, for example, under the hood, in the door jamb, in the trunk, etc. The paint code specifies the exact shade of paint that has been used by the manufacturer of the car. You just need to make sure that the same paint is used by the body shop. However, the matching of the shades of the fresh paint with the old also requires competent paint finishing and polishing by the workshop.

Conclusion

At the time of taking delivery of your car, you should ask how soon your car can be washed and if it is safe for it to be taken to a car wash using cleansing chemical or friction brushing. Find out what exactly the warranty covers and use your car appropriately.

Author's Bio: 

Barrack Diego is a content writer.