If you see fewer auto repair shops towards you 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 along with 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 some sort of 100,000 mile warranty relating to this 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 go down, VW, Chevrolet, Toyota and other manufacturers are in order to their service departments to make the difference.
Additionally many dealers such as Porsche and Saab have been adding other useful 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 trying to keep with 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 in order to independent repair shop prices.
But it’s simply competitive pricing is actually not worrying the independents.
The battle for skilled labor is also being won using the dealers: the dealers often competed for skilled labor and already have got become a lot aggressive. With fewer folks entering significantly repair profession and opting instead for careers such as health and technology, fundamental talent pool of physical exercise skilled auto technicians is shrinking.
Increasingly is certainly becoming more difficult for independents you ought to hire and retain these highly skilled employees. A great automotive technician, would you rather work in Audi or Joe’s Rummage?
The dealers are selecting the best ‘mechanics’ or as may well known today, ‘technicians.’ A premier end dealer technician may well $100,000 yearly with benefits while an unbiased shop owner would to be able to gross within a $1,000,000 1 yr to make that as well as have to purchase their own benefits and social basic safety.
Because in the economic realities many independent owners have started closing their shops on and on to work for GM, Nissan and other dealers.
This puts the independent auto repair center at a definite disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related health issues.
Additionally, in the event the diagnosis appeared and a portion needs replacing the dealer will buy it in stock, not only verifying the diagnosis but greatly speeding up the repair time and increasing customer satisfaction. Big advantage Cadillac and Rolls royce.
But it’s not only a skilled employee struggle. Techs cannot fix cars without information and you will find a long and ongoing dispute amongst the dealers/manufacturers and independents over technical information access and diagnostic techniques.
The manufacturers claim that the technical information is proprietary while the independents claim the information should accumulate to anyone who owns or fixes help to make of automobile.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777