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 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 at least one 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 go down, VW, Chevrolet, Toyota and other manufacturers are seeking to their service departments to make in the difference.
Additionally many dealers such as Porsche and Saab are adding other value added benefits such to be a loaner car while repairs are being made. Independents are now being forced to give courtesy rides to customers in hard work 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 for you to independent repair shop prices.
But it’s simply competitive pricing that is worrying the independents.
The battle for skilled labor is also being won through dealers: the dealers often competed for skilled labor and already have got become even more aggressive. With fewer conserve entering business repair profession and opting instead for careers such as health and technology, overall talent pool of the most skilled auto technicians is shrinking.
Increasingly around the globe becoming tougher for independents to rent and retain these competent employees. A great automotive technician, would you rather appeal to Audi or Joe’s Rummage?
The dealers are collecting the best ‘mechanics’ or as they may be known today, ‘technicians.’ A premier end dealer technician may well $100,000 one year with benefits while a private shop owner would ought to gross a lot more $1,000,000 twelve months to make that and have to afford their own benefits and social safe practices.
Because of these economic realities many independent owners are now closing their shops all night to work for GM, Nissan and other dealers.
This puts the independent auto repair shop at a definite disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related problems.
Additionally, each time a diagnosis created from and a fraction needs replacing the dealer will are in stock, not only verifying diagnosing but greatly speeding inside the repair period and increasing client satisfaction. Big advantage Cadillac and Rolls royce.
But it isn’t just a skilled employee struggle. Techs cannot fix cars without information and there’s a long and ongoing dispute amongst the dealers/manufacturers and independents over technical information access and diagnostic tools.
The manufacturers claim that the technical details are proprietary in terms of independents claim the information should be available to anyone that owns or fixes help to make of motor.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777