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 business.
The global problem may 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 getting 100,000 mile warranty particular person yourself the independent will get little chance to handle that car for one 5-10 years it is owned.
As new car sales margins have gone down, VW, Chevrolet, Toyota and other manufacturers are looking to their service departments to make inside the difference.
Additionally many dealers such as Porsche and Saab in order to adding other useful benefits such as being a loaner car while repairs are being made. Independents think you are forced to give courtesy rides to customers in trying to keep with 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 comparable to independent repair shop prices.
But it’s as well as competitive pricing that’s the worrying the independents.
The battle for skilled labor may also be won together with dealers: the dealers have always competed for skilled labor and now have become significantly more aggressive. With fewer folks entering significantly repair profession and opting instead for careers like health and technology, the total talent pool of the superior skilled auto technicians is shrinking.
Increasingly is certainly becoming harder for independents you ought to hire and retain these competent employees. Regarding automotive technician, would you rather improve Audi or Joe’s Drive way?
The dealers are picking up the best ‘mechanics’ or as yet known today, ‘technicians.’ Top-notch end dealer technician can make $100,000 a year with benefits while a self-employed shop owner would must gross within a $1,000,000 every year to make that as well as have to pay for their own benefits and social security.
Because the hands down economic realities many independent owners are currently closing their shops on and on to enhance 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, any time a diagnosis is comprised and an area needs replacing the dealer will purchase it in stock, not only verifying the diagnosis but greatly speeding in the repair time and increasing customer support. Big advantage Cadillac and Bmw.
But it’s not just a skilled employee showdown. Techs cannot fix cars without information and you’ll find a long and ongoing dispute from the dealers/manufacturers and independents over technical information access and diagnostic equipment.
The manufacturers claim that their technical results are proprietary individuals independents claim the information should be around to anybody that owns or fixes that make of automobile.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777