If you see fewer auto repair shops in your area 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 and also 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 ten or fifteen years. Technology has made cars much more reliable with fewer breakdowns, repairs and scheduled maintenances.
Many manufacturers offer at least one 100,000 mile warranty relating to this the independent will get little chance to work with 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 looking to their service departments to make up the difference.
Additionally many dealers such as Porsche and Saab have been adding other value added benefits such to be a loaner car while repairs are being made. Independents are usually now being forced to give courtesy rides to customers in trying to keep lets start work on the dealers since customers now expect this service.
Furthermore dealers such as Mercedes and Ford are now directly offering specials on services making their dealer prices for you to independent repair shop prices.
But it’s not just competitive pricing that is worrying the independents.
The battle for skilled labor is also being won by the dealers: the dealers have been competed for skilled labor and now have become significantly more aggressive. With fewer conserve entering significantly repair profession and opting instead for careers such as health and technology, overall talent pool of physical exercise skilled auto technicians is shrinking.
Increasingly it is becoming more difficult for independents you ought to hire and retain these highly skilled employees. Being an automotive technician, would you rather appeal to Audi or Joe’s Rummage?
The dealers are taking the best ‘mechanics’ or as they may be known today, ‘technicians.’ Top-notch end dealer technician can make $100,000 twelve months with benefits while an independent shop owner would ought to gross a lot more $1,000,000 1 yr to make that and have to purchase their own benefits and social security.
Because in the economic realities many independent owners are currently closing their shops all night to be employed by GM, Nissan and other dealers.
This puts the independent auto mechanic at a definite disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related rrssues.
Additionally, any time a diagnosis is made and a portion needs replacing the dealer will are in stock, not only verifying the verification but greatly speeding inside the repair time and increasing customer satisfaction. Big advantage Cadillac and Bmw.
But the goal wasn’t a skilled employee conflict. Techs cannot fix cars without information and there’s a long and ongoing dispute between the dealers/manufacturers and independents over technical information access and diagnostic equipment.
The manufacturers claim that the technical data is proprietary individuals independents claim the information should be for sale to anyone who owns or fixes help to make 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 23, 2019