In this engaging discussion, Mike Fritz, host of the Machine Shop Growth podcast and sales strategist for machine shops, highlights the detrimental 'cashier model' that stunts business growth. He emphasizes the importance of proactive customer engagement and shares tactics to understand current, dormant, and new accounts. By diving into customer psychology, Mike reveals how fostering relationships and unlocking existing account value can drive revenue. Tune in for insights on rekindling dormant clients and enhancing sales strategies!
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insights INSIGHT
Cashier Model Limits Growth
The cashier model waits passively for orders instead of actively selling and building relationships.
This model is widely practiced and limits growth by choking the shop's potential.
volunteer_activism ADVICE
Visit Customers To Unlock Growth
Frequently visit current customers and ask how you did, what can improve, and if there are more parts to quote.
These visits are essential and unlock growth by strengthening relationships and uncovering opportunities.
question_answer ANECDOTE
Tours Reveal Hidden Capabilities
Some customers didn't know one shop department's capabilities until a tour showed them the full range.
Tours multiplied business by revealing services customers were unaware the shop offered.
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In this highly acclaimed book, Dr. Robert B. Cialdini explains the psychology behind why people say yes and how to apply these insights ethically. The book outlines six universal principles of influence: Reciprocation, Commitment and Consistency, Social Proof, Liking, Authority, and Scarcity. The new and expanded edition includes a seventh principle, Unity, along with new research, insights, and examples. Cialdini uses memorable stories and relatable examples to make the subject accessible and easy to understand, helping readers become more skilled persuaders and defend themselves against unethical influence attempts.
This might be one of the most important conversations we’ve had in the Machine Shop MBA series—because we’re unpacking a mindset that quietly limits the growth potential of so many shops: the “cashier model.”
We’ve seen it time and time again—shops waiting at the counter for purchase orders to roll in, instead of actively building relationships, solving problems, and driving new revenue. That model might work for a while, but over time it leads to stagnation. That’s why we brought in Mike Fritz, a fellow host and the mind behind Machine Shop Growth, to break down exactly why shops get stuck—and how to break out of it.
Together, we explore the three customer types every shop must understand: current, dormant, and new. We share how we approach each one, the psychology behind why they buy, and the specific tactics we’ve used to unlock more value from the accounts we already have—while building smart pathways to growth.
If you’ve ever looked at your sales numbers and wondered why things aren’t growing the way they should, this episode might explain why—and what to do next.
Segments
(0:00) Getting back into the groove & introducing the sales topic
(0:50) Top Shops 2025 is coming up in Charlotte, NC!
(1:50) Welcoming Mike Fritz back to the show
(5:30) The “cashier model” and how it quietly limits shop growth
(13:38) Why you need to love on your current customers
(21:43) Account management tactics that unlock growth
(27:24) Psychology of current customers and how to earn more work
(32:06) Grow your top and bottom line with CLA
(34:00) Strategies to win new customers in your niche
(42:00) The importance of top-of-mind awareness
(45:30) Hiring for network strength and turning people into growth assets
(47:55) How to leverage a CRM to get in front of customers
(53:09) How to reignite a dormant customer
(1:03:41) Being a sales-driven organization gives you options