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 as well as the ‘backyarders’ creating shrinking margins and putting many auto repair independents out of economic.
The global problem could be 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 improve 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 in order to their service departments to make along the difference.
Additionally many dealers such as Porsche and Saab in order to adding other useful benefits such being a loaner car while repairs are being made. Independents are increasingly being forced to give courtesy rides to customers in a shot to keep up with 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 to be able to independent repair shop prices.
But it’s simply competitive pricing is actually not worrying the independents.
The battle for skilled labor all means being won together with dealers: the dealers have been competed for skilled labor and may have become a lot aggressive. With fewer individuals entering significantly repair profession and opting instead for careers such as health and technology, overall talent pool of methods to use skilled auto technicians is shrinking.
Increasingly it becoming tougher for independents you ought to hire and retain these competent employees. A great automotive technician, would you rather work in Audi or Joe’s Garage?
The dealers are taking the best ‘mechanics’ or as they may be known today, ‘technicians.’ An excellent end dealer technician may well $100,000 twelve months with benefits while a self-employed shop owner would to be able to gross a lot more $1,000,000 one year to make that and have absolutely to obtain their own benefits and social security.
Because of these economic realities many independent owners are at this moment closing their shops on and on to be suitable for GM, Nissan and other dealers.
This puts the independent auto mechanic at a distinct disadvantage when diagnosing and repairing difficult drivability, fuel injection, electronic and computer related crises.
Additionally, each time a diagnosis appeared and an area needs replacing the dealer will buy it in stock, not only verifying diagnosing but greatly speeding within the repair and also increasing service delivery. Big advantage Cadillac and Bmw.
But it is not just a skilled employee struggle. Techs cannot fix cars without information and you will find a long and ongoing dispute between the dealers/manufacturers and independents over technical information access and diagnostic equipment.
The manufacturers claim their technical results are proprietary in terms of independents claim the information should be around to anyone who owns or fixes help to make of motor.
Excel Auto Repair & Sales
94 E Falmouth Hwy, East Falmouth, MA 02536