If you see fewer auto repair shops in your area 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 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 so that you can 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 in order to their service departments to make in the difference.
Additionally many dealers such as Porsche and Saab in order to adding other value added benefits such as a loaner car while repairs are being made. Independents think you are forced to give courtesy rides to customers in a feat to keep with 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 for you to independent repair shop prices.
But it’s and not just competitive pricing is actually worrying the independents.
The battle for skilled labor all means being won by the dealers: the dealers have been competed for skilled labor and will have become significantly aggressive. With fewer individuals entering automobile repair profession and opting instead for careers such as health and technology, the total talent pool of the most skilled auto technicians is shrinking.
Increasingly it is becoming tougher for independents to utilize and retain these competent employees. A great automotive technician, would you rather work in Audi or Joe’s Rummage?
The dealers are selecting the best ‘mechanics’ or as they are known today, ‘technicians.’ An excellent end dealer technician may well $100,000 one year with benefits while an unbiased shop owner would require gross over a $1,000,000 1 yr to make that and get to purchase their own benefits and social protective measures.
Because in the economic realities many independent owners are usually closing their shops all night to enhance GM, Nissan and other dealers.
This puts the independent auto mechanic at a definite disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related injuries.
Additionally, any time a diagnosis is comprised and a part of needs replacing the dealer will purchase it in stock, not only verifying diagnosing but greatly speeding within the repair along with increasing service delivery. Big advantage Cadillac and Rolls royce.
But it is not just a skilled employee conflict. 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 applications.
The manufacturers claim that their technical results are proprietary while independents claim the information should be available to anyone who owns or fixes build 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