If you see fewer auto repair shops near 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 also 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 some sort of 100,000 mile warranty particular person yourself the independent will get little chance to work with that car for their early 5-10 years it is owned.
As new car sales margins go down, VW, Chevrolet, Toyota and other manufacturers are looking to their service departments to make up the difference.
Additionally many dealers such as Porsche and Saab happen to adding other value added benefits such to be a loaner car while repairs are being made. Independents are increasingly being forced to give courtesy rides to customers in a feat to keep lets start work on the dealers since customers now expect this service.
Furthermore dealers for example Mercedes and Ford are now directly offering specials on services making their dealer prices for you to independent repair shop prices.
But it’s not just competitive pricing is actually worrying the independents.
The battle for skilled labor may also be won from dealers: the dealers often competed for skilled labor and now have become even more aggressive. With fewer right now entering automobile repair profession and opting instead for careers regarding example health and technology, essential talent pool of methods to use skilled auto technicians is shrinking.
Increasingly appeared becoming tougher for independents to work with and retain these highly skilled employees. Regarding automotive technician, would you rather improve Audi or Joe’s Shed?
The dealers are selecting the best ‘mechanics’ or as they are known today, ‘technicians.’ A premier end dealer technician actually make $100,000 a year with benefits while an independent shop owner would to be able to gross within a $1,000,000 1 yr to make that and have to afford their own benefits and social security.
Because of this economic realities many independent owners have started closing their shops and going to be employed by GM, Nissan and other dealers.
This puts the independent auto mechanic shop at a distinct disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related crises.
Additionally, is not diagnosis is intended and a portion needs replacing the dealer will achieve it in stock, not only verifying the diagnosis but greatly speeding up the repair along with 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 you will find a long and ongoing dispute among the dealers/manufacturers and independents over technical information access and diagnostic solutions.
The manufacturers claim that the technical data is proprietary individuals independents claim the information should build up to anybody that owns or fixes build of motor.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777