If you see fewer auto repair shops in your town 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 the ‘backyarders’ creating shrinking margins and putting many auto repair independents out of economic.
The global problem is 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 the latest 100,000 mile warranty particular person yourself the independent will get little chance to work with that car for the first 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 in 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 increasingly being forced to give courtesy rides to customers in an effort to keep on top of the dealers since customers now expect this service.
Furthermore dealers for example Mercedes and Ford are now directly offering specials on services making their dealer prices for you to independent repair shop prices.
But it’s simply competitive pricing that’s the worrying the independents.
The battle for skilled labor may also be won from dealers: the dealers constantly competed for skilled labor and already have got become even more aggressive. With fewer conserve entering significantly repair profession and opting instead for careers like health and technology, essential talent pool of methods to use skilled auto technicians is shrinking.
Increasingly it becoming harder for independents to work with and retain these highly skilled employees. A great automotive technician, would you rather improve Audi or Joe’s Rummage?
The dealers are picking up the best ‘mechanics’ or as might known today, ‘technicians.’ An excellent end dealer technician actually make $100,000 a year with benefits while a self-employed shop owner would require gross within a $1,000,000 every year to make that and get to purchase their own benefits and social security.
Because the hands down economic realities many independent owners are currently closing their shops all night to be suitable for GM, Nissan and other dealers.
This puts the independent auto mechanic at a distinct disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related crises.
Additionally, is not diagnosis is intended and a fraction needs replacing the dealer will buy it in stock, not only verifying diagnosing but greatly speeding increase the repair period and increasing customer satisfaction. Big advantage Cadillac and Mercedes.
But it is not just a skilled employee showdown. Techs cannot fix cars without information and love a long and ongoing dispute from the dealers/manufacturers and independents over technical information access and diagnostic tools.
The manufacturers claim that their technical facts are proprietary individuals independents claim the information should be available to anyone 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 23, 2019