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 and 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 at least one 100,000 mile warranty relating to this the independent will get little chance to operate that car for one 5-10 years it is owned.
As new car sales margins go down, VW, Chevrolet, Toyota and other manufacturers are seeking to their service departments to make up the difference.
Additionally many dealers such as Porsche and Saab happen to adding other useful benefits such to be a loaner car while repairs are being made. Independents are forced to give courtesy rides to customers in a feat to keep on top of 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 for you to independent repair shop prices.
But it’s as well as competitive pricing is actually not worrying the independents.
The battle for skilled labor is also being won using the dealers: the dealers have always competed for skilled labor and will have become a lot aggressive. With fewer individuals entering significantly repair profession and opting instead for careers like health and technology, overall talent pool of methods to use skilled auto technicians is shrinking.
Increasingly is certainly becoming tougher for independents to rent and retain these highly skilled employees. Regarding automotive technician, would you rather work in Audi or Joe’s Rummage?
The dealers are selecting the best ‘mechanics’ or as yet known today, ‘technicians.’ A premier end dealer technician may well $100,000 twelve months with benefits while a self-employed shop owner would must gross a lot more $1,000,000 a year to make that as well as have to reimburse their own benefits and social safe practices.
Because in the economic realities many independent owners are currently closing their shops on and on to work for GM, Nissan and other dealers.
This puts the independent auto repair center at a distinct disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related rrssues.
Additionally, each time a diagnosis is comprised and an area needs replacing the dealer will achieve it in stock, not only verifying diagnosing but greatly speeding within the repair and also increasing customer care. Big advantage Cadillac and Rolls royce.
But the goal wasn’t a skilled employee showdown. Techs cannot fix cars without information and you’ll find a long and ongoing dispute amongst the dealers/manufacturers and independents over technical information access and diagnostic applications.
The manufacturers claim their technical facts are proprietary in terms of independents claim the information should be for sale to anyone who owns or fixes that make of car.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777