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 as well as the ‘backyarders’ creating shrinking margins and putting many auto repair independents out of economic.
The global problem may 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 kind 100,000 mile warranty which means that the independent will get little chance to handle that car for the first 5-10 years it is owned.
As new car sales margins go 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 have been adding other useful benefits such as the loaner car while repairs are being made. Independents are usually now being forced to give courtesy rides to customers in a feat to keep plan 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 as well as competitive pricing naturally worrying the independents.
The battle for skilled labor may also be won by the dealers: the dealers have always competed for skilled labor and already have become even more aggressive. With fewer folks entering significantly repair profession and opting instead for careers regarding example health and technology, overall talent pool of physical exercise skilled auto technicians is shrinking.
Increasingly is certainly becoming harder for independents to rent and retain these competent employees. Being an automotive technician, would you rather are employed by Audi or Joe’s Rummage?
The dealers are taking the best ‘mechanics’ or as yet known today, ‘technicians.’ An increased end dealer technician earns $100,000 a year with benefits while a self-employed shop owner would ought to gross a lot more $1,000,000 1 yr to make that and get to afford their own benefits and social safe practices.
Because the hands down 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 distinct disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related crises.
Additionally, each time a diagnosis is intended and a portion needs replacing the dealer will are in stock, not only verifying diagnosing but greatly speeding increase the repair and also increasing client satisfaction. Big advantage Cadillac and Rolls royce.
But it is not just a skilled employee showdown. Techs cannot fix cars without information and there’s a long and ongoing dispute amongst the dealers/manufacturers and independents over technical information access and diagnostic equipment.
The manufacturers claim their technical data is proprietary in terms of independents claim the information should accumulate to anyone who owns or fixes help to make of motor.
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