Report Shows Repair Shops Keeping Pace with Changing Consumer Needs



Source: http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=ind_focus.story&STORY=/www/story/07-30-2009/0005068945

PRnewswire.com - July 31, 2009

Situation
Frost & Sullivan releases report based on talks w/ repair shops
Says 240.9M light vehicles on road in 2007, repair industry sold $70B in parts
Repair shop owners on front line of changing consumer behavior
Significant Points
Owners must monitor customer base to adjust to changes in brands
Owners consider OE parts far superior to aftermarket
Will promote OE parts and their higher cost, even in tough economic times
Some owners worry about shop's reputation if use inferior parts
But independent shops need to offer low-cost service
Goal to gain access to quality aftermarket parts, especially for import brands
Says
"Despite the popularity of private label products in the aftermarket, shop owners delivered scathing reviews to aftermarket private label brands and their products." -- Mary-Beth Kellenberger, program manager, Frost & Sullivan

"Complaints of poor quality, variable quality between part numbers within the line, and fit issues indicate that shop owners are unwilling participants in the growth of private label brands." -- Kellenberger

"Gaining access to quality aftermarket import brand parts is extremely important as independents position themselves as a value alternative to dealers." -- Kellenberger

"Winning the job at a price that supports each enterprise's financial structure is as crucial to the survival of the industry as smart management to prevent cost cutting that undermines repair quality and industry profitability." -- Kellenberger