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 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 kind 100,000 mile warranty relating to this 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 seeking to their service departments to make inside the difference.
Additionally many dealers such as Porsche and Saab happen to adding other useful benefits such as a loaner car while repairs are being made. Independents are now being forced to give courtesy rides to customers in hard work to keep on top of the dealers since customers now expect this service.
Furthermore dealers such as Mercedes and Ford are now directly offering specials on services making their dealer prices comparable to independent repair shop prices.
But it’s and not just competitive pricing naturally worrying the independents.
The battle for skilled labor all means being won through dealers: the dealers generally competed for skilled labor and now have become even more aggressive. With fewer individuals entering significantly repair profession and opting instead for careers such as health and technology, fundamental talent pool of physical exercise skilled auto technicians is shrinking.
Increasingly it becoming tougher for independents to utilize and retain these highly skilled employees. Regarding automotive technician, would you rather work for Audi or Joe’s Garage?
The dealers are collecting the best ‘mechanics’ or as they may be known today, ‘technicians.’ Top-notch end dealer technician earns $100,000 twelve months with benefits while a self-employed shop owner would ought to gross during a $1,000,000 one year to make that and have to reimburse their own benefits and social safe practices.
Because the hands down economic realities many independent owners are usually closing their shops all night to be suitable for GM, Nissan and other dealers.
This puts the independent auto mechanic shop at a definite disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related injuries.
Additionally, if a diagnosis is comprised and a part of needs replacing the dealer will buy it in stock, not only verifying the verification but greatly speeding up the repair along with 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 there’s a long and ongoing dispute between the dealers/manufacturers and independents over technical information access and diagnostic solutions.
The manufacturers claim that their technical facts are proprietary individuals independents claim the information should be for sale to anyone who owns or fixes help to make of automobile.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777