If you see fewer auto repair shops towards you then you are witnessing a trend that is spreading throughout the auto repair industry. The small independent auto repair shop is getting squeezed by both the dealers along with the ‘backyarders’ creating shrinking margins and putting many auto repair independents out of business.
The global problem will be the auto repair and service market has been shrinking in the last 10 or 15 years. Technology has made cars much more reliable with fewer breakdowns, repairs and scheduled maintenances.
Many manufacturers offer the latest 100,000 mile warranty meaning that the independent will get little chance to operate that car for site to website 5-10 years it is owned.
As new car sales margins have gone down, VW, Chevrolet, Toyota and other manufacturers are seeking to their service departments to make along the difference.
Additionally many dealers such as Porsche and Saab happen to adding other useful benefits such to be a loaner car while repairs are being made. Independents think you are forced to give courtesy rides to customers in trying to keep on top of the dealers since customers now expect this service.
Furthermore dealers regarding example Mercedes and Ford are now directly offering specials on services making their dealer prices comparable to independent repair shop prices.
But it’s and not just competitive pricing naturally worrying the independents.
The battle for skilled labor may also be won together with dealers: the dealers have always competed for skilled labor and already have got become even more aggressive. With fewer individuals entering the auto repair profession and opting instead for careers like health and technology, fundamental talent pool of the top skilled auto technicians is shrinking.
Increasingly around the globe becoming harder for independents to utilize and retain these competent employees. The automotive technician, would you rather work in Audi or Joe’s Rummage?
The dealers are collecting the best ‘mechanics’ or as yet known today, ‘technicians.’ An increased end dealer technician can make $100,000 one year with benefits while an unbiased shop owner would must gross within the $1,000,000 twelve months to make that and have absolutely to afford their own benefits and social safe practices.
Because of these economic realities many independent owners are at this moment closing their shops all night to be suitable for GM, Nissan and other dealers.
This puts the independent auto mechanic shop at a definite disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related crises.
Additionally, any time a diagnosis is made and a part of needs replacing the dealer will are in stock, not only verifying diagnosing but greatly speeding up the repair and also increasing customer satisfaction. Big advantage Cadillac and Bmw.
But it’s not only a skilled employee conflict. Techs cannot fix cars without information and there’s a long and ongoing dispute from the dealers/manufacturers and independents over technical information access and diagnostic applications.
The manufacturers claim that the technical facts are proprietary while independents claim the information should be for sale to anybody that owns or fixes create of car.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777
https://g.page/excel-auto-repair-sales
Posted on:
August 24, 2019