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 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 kind 100,000 mile warranty particular person yourself the independent will get little chance to work on that car for the most important 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 useful benefits such as a loaner car while repairs are being made. Independents think you are forced to give courtesy rides to customers in hard work to keep on top of 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 but not just competitive pricing is actually worrying the independents.
The battle for skilled labor all means being won through dealers: the dealers generally competed for skilled labor and already have become significantly more aggressive. With fewer individuals entering automobile repair profession and opting instead for careers such as health and technology, overall talent pool of the most skilled auto technicians is shrinking.
Increasingly it is becoming more difficult for independents to work with and retain these competent employees. The automotive technician, would you rather work in Audi or Joe’s Rummage?
The dealers are picking up the best ‘mechanics’ or as they may be known today, ‘technicians.’ A premier end dealer technician actually make $100,000 twelve months with benefits while wages shop owner would have to gross a lot more $1,000,000 twelve months to make that as well as have to pay for their own benefits and social protective measures.
Because the hands down economic realities many independent owners are usually closing their shops and going to enhance GM, Nissan and other dealers.
This puts the independent auto repair shop at a distinct disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related rrssues.
Additionally, each time a diagnosis is intended and an area needs replacing the dealer will achieve it in stock, not only verifying the diagnosis but greatly speeding increase the repair and also increasing client satisfaction. Big advantage Cadillac and Rolls royce.
But the goal wasn’t a skilled employee conflict. 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 solutions.
The manufacturers claim that their technical results are proprietary individuals independents claim the information should accumulate to anyone that owns or fixes build of automobile.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777