If you see fewer auto repair shops in your town 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 business.
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 the latest 100,000 mile warranty particular person yourself the independent will get little chance to improve 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 in order to their service departments to make the difference.
Additionally many dealers such as Porsche and Saab happen to adding other value added benefits such as being a loaner car while repairs are being made. Independents are usually now being forced to give courtesy rides to customers in an effort to keep plan 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 similar to independent repair shop prices.
But it’s but not just competitive pricing is actually worrying the independents.
The battle for skilled labor all means being won together with dealers: the dealers often competed for skilled labor and already have got become significantly aggressive. With fewer folks entering automobile repair profession and opting instead for careers such as health and technology, fundamental talent pool of the top skilled auto technicians is shrinking.
Increasingly it is becoming harder for independents to work with and retain these competent employees. The automotive technician, would you rather work for Audi or Joe’s Garage?
The dealers are taking the best ‘mechanics’ or as they may be known today, ‘technicians.’ A premier end dealer technician actually make $100,000 yearly with benefits while a private shop owner would have to gross during a $1,000,000 1 yr to make that and have to afford their own benefits and social equity.
Because of this economic realities many independent owners are at this moment closing their shops all night to enhance GM, Nissan and other dealers.
This puts the independent auto mechanic at a definite disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related health issues.
Additionally, is not diagnosis appeared and a part of needs replacing the dealer will buy it in stock, not only verifying the verification but greatly speeding increase the repair period and increasing client satisfaction. Big advantage Cadillac and Bmw.
But it’s not just a skilled employee struggle. 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 equipment.
The manufacturers claim that the technical information is proprietary everybody is making independents claim the information should accumulate to anybody that owns or fixes help to make of automobile.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536
(508) 444-2777