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 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 at least one 100,000 mile warranty particular person yourself the independent will get little chance to work with 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 the difference.
Additionally many dealers such as Porsche and Saab already been adding other value added benefits such as the loaner car while repairs are being made. Independents think you are forced to give courtesy rides to customers in a shot to keep plan the dealers since customers now expect this service.
Furthermore dealers regarding example Mercedes and Ford are now directly offering specials on services making their dealer prices similar to independent repair shop prices.
But it’s and not just competitive pricing that’s the worrying the independents.
The battle for skilled labor all means being won using the dealers: the dealers have been competed for skilled labor and already have got become even more aggressive. With fewer folks entering automobile repair profession and opting instead for careers like health and technology, fundamental talent pool of the superior skilled auto technicians is shrinking.
Increasingly around the globe becoming tougher for independents to work with and retain these highly skilled employees. Being an automotive technician, would you rather improve Audi or Joe’s Shed?
The dealers are selecting the best ‘mechanics’ or as yet known today, ‘technicians.’ A premier end dealer technician earns $100,000 a whole year with benefits while a self-employed shop owner would have to gross within a $1,000,000 one year to make that and have to reimburse their own benefits and social safe practices.
Because from the economic realities many independent owners are at this moment closing their shops and going to work for 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 injuries.
Additionally, is not diagnosis created from and an area needs replacing the dealer will are in stock, not only verifying the identification but greatly speeding inside the repair time and increasing customer satisfaction. Big advantage Cadillac and Rolls royce.
But it isn’t just a skilled employee world war. Techs cannot fix cars without information and you will find a long and ongoing dispute from the dealers/manufacturers and independents over technical information access and diagnostic equipment.
The manufacturers claim that the technical data is proprietary in terms of independents claim the information should accumulate to anyone that owns or fixes build of motor.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777