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 as well as 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 10 or 15 years. Technology has made cars much more reliable with fewer breakdowns, repairs and scheduled maintenances.
Many manufacturers offer getting 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 in order to their service departments to make up the difference.
Additionally many dealers such as Porsche and Saab in order to adding other value added benefits such being a loaner car while repairs are being made. Independents think you are forced to give courtesy rides to customers in an effort to keep up with 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 similar to independent repair shop prices.
But it’s but not just competitive pricing that’s the worrying the independents.
The battle for skilled labor is also being won through dealers: the dealers generally competed for skilled labor and now have become significantly aggressive. With fewer individuals entering effect on repair profession and opting instead for careers such as health and technology, fundamental talent pool of the superior skilled auto technicians is shrinking.
Increasingly appeared becoming harder for independents to utilize and retain these competent employees. A great automotive technician, would you rather are employed by Audi or Joe’s House?
The dealers are selecting the best ‘mechanics’ or as they are known today, ‘technicians.’ Top-notch end dealer technician actually make $100,000 twelve months with benefits while an unbiased shop owner would ought to gross within a $1,000,000 1 yr to make that and still have to afford their own benefits and social basic safety.
Because of these economic realities many independent owners are at this moment closing their shops and going to be employed by 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, is not diagnosis is comprised and an area needs replacing the dealer will are in stock, not only verifying the diagnosis but greatly speeding increase the repair period and increasing client satisfaction. Big advantage Cadillac and Mercedes.
But it is not just a skilled employee war. Techs cannot fix cars without information and love a long and ongoing dispute among the dealers/manufacturers and independents over technical information access and diagnostic solutions.
The manufacturers claim that their technical results are proprietary everybody is making independents claim the information should be for sale 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