If you see fewer auto repair shops in your community 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 10 or 15 years. Technology has made cars much more reliable with fewer breakdowns, repairs and scheduled maintenances.
Many manufacturers offer getting 100,000 mile warranty relating to this the independent will get little chance to operate that car for their early 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 inside the difference.
Additionally many dealers such as Porsche and Saab already been adding other value added benefits such as being a loaner car while repairs are being made. Independents are usually now being forced to give courtesy rides to customers in an effort to keep up with the dealers since customers now expect this service.
Furthermore dealers with regard to Mercedes and Ford are now directly offering specials on services making their dealer prices to be able to independent repair shop prices.
But it’s and not just competitive pricing is actually worrying the independents.
The battle for skilled labor may also be won by the dealers: the dealers generally competed for skilled labor and already have become a lot aggressive. With fewer conserve entering automobile repair profession and opting instead for careers regarding example health and technology, overall talent pool of methods to use skilled auto technicians is shrinking.
Increasingly is certainly becoming harder for independents you ought to hire and retain these highly skilled employees. As an automotive technician, would you rather improve Audi or Joe’s Rummage?
The dealers are selecting the best ‘mechanics’ or as might known today, ‘technicians.’ Top-notch end dealer technician earns $100,000 twelve months with benefits while an unbiased shop owner would require gross during a $1,000,000 1 yr to make that and have to obtain their own benefits and social safe practices.
Because of this economic realities many independent owners are usually closing their shops all night to work with GM, Nissan and other dealers.
This puts the independent auto mechanic shop at a distinct disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related health issues.
Additionally, is not diagnosis is intended and a part of needs replacing the dealer will buy it in stock, not only verifying diagnosing but greatly speeding within the repair as well as increasing customer support. Big advantage Cadillac and Bmw.
But it’s not only a skilled employee war. Techs cannot fix cars without information and you’ll find a long and ongoing dispute between the dealers/manufacturers and independents over technical information access and diagnostic techniques.
The manufacturers claim their technical results are proprietary individuals independents claim the information should be for sale to anyone that owns or fixes build of automobile.
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 21, 2019