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 economic.
The global problem could 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 particular person yourself 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 are adding other value added benefits such to be a loaner car while repairs are being made. Independents are forced to give courtesy rides to customers in a feat to keep on top of the dealers since customers now expect this service.
Furthermore dealers for Mercedes and Ford are now directly offering specials on services making their dealer prices in order to independent repair shop prices.
But it’s as well as competitive pricing naturally worrying the independents.
The battle for skilled labor may also be won using the dealers: the dealers generally competed for skilled labor and already have got become a lot aggressive. With fewer folks entering business repair profession and opting instead for careers such as health and technology, essential talent pool of the top skilled auto technicians is shrinking.
Increasingly it is becoming tougher for independents you ought to hire and retain these competent employees. Regarding automotive technician, would you rather improve Audi or Joe’s Shed?
The dealers are taking the best ‘mechanics’ or as might known today, ‘technicians.’ An increased end dealer technician actually make $100,000 yearly with benefits while an unbiased shop owner would require gross within a $1,000,000 1 yr to make that and have to afford their own benefits and social safe practices.
Because of these economic realities many independent owners are at this moment closing their shops on and on 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, is not diagnosis created from and an area needs replacing the dealer will achieve it in stock, not only verifying diagnosing but greatly speeding within the repair as well as increasing customer satisfaction. Big advantage Cadillac and Mercedes.
But it’s not only a skilled employee war. 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 results are proprietary individuals independents claim the information should be for sale to anybody that 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 21, 2019