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Is the General Auto Repair Shop Model Still Sustainable?

Joe Marconi
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Gerald Martin Rookie

Gerald Martin

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Great questions Joe.  In my opinion, the future is bright for independent repair shops that embrace emerging technologies and invest in training.  See you all at Vision 2024 in Kansas City!

However, I can see the possibility that we no longer expect that every tech has the knowledge or training for every job that comes through the shop, as may have been expected in the past.  There may be alignment and ADAS techs, diesel repair techs, driveability diag techs, etc.  Oh, and high tech immobilizer and key programming work that requires locksmith level training.  A certain amount of specialization is inevitable, isn't it?

Wouldn't it make sense to have a goal of having two technicians in the shop that have competency for services offered by the company?

Gerald

 

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willydmax Apprentice

willydmax

Posted
Posted

I completely agree with Gerald. You have to keep up with technology. I’m a general repair shop that started in 2014. I’ve been by myself until last summer I hired a kid part time. I think it depends quite a bit on your location. I’m in the Midwest in a small hick town and I have absolutely no issues being profitable or busy. I work on most makes but am not afraid of telling a customer that I’m not interested in working on their European car, older carbureted vehicle etc. I do a fair bit of transmission and engine replacements along with quite a lot of diesel repairs. If you’re straight forward, honest and have a caring attitude, most people will respect you for your boundaries and if they don’t then you don’t want to work for them anyway. I’m the only shop for miles around besides the dealer that can program/update most brands. The tooling costs a lot but most of my customers are very happy to not have to go to the dealer. I don’t have any customers with hybrids yet, even though I’ve taken some training on them. This year will be my 7th year going to Vision and it’s interesting how many of my classes are on management instead of technical. Vision is a huge highlight of the year and I wouldn’t miss it for anything. Just my $.02

  • Like 1
willydmax Apprentice

willydmax

Posted
Posted

Some more thoughts, I love efficiency and the challenge of book time. I think if you’re reasonably competent and have great tools that book time can easily be beat. Most of the time I work by myself and keep close track of my time via my shop management system. I typically arrive around 7:30 and leave around 5:10 Monday through Friday. Most of the time I bill an average of 40 hours or more per week. You can train yourself to look at what needs taken apart and visualize what it takes for tools to make it happen. I’m allergic to turning anything out by hand and will spend money to make that happen with tools. A rolling tool cart should be sitting right beside you with the main items on or in it so you don’t waste time walking. Shop-Ware is what I use and it has helped me immensely to be more organized and efficient. 

  • Like 1
  • 5 months later...
Mark Adam Newbie

Mark Adam

Posted
Posted

Yes, the general auto repair shop model is still sustainable, but it requires adaptation to modern trends and technologies. With the rise of electric and hybrid vehicles, shops must invest in training and equipment to handle these new systems. Additionally, the increasing complexity of automotive technology means that repair shops must stay updated with the latest diagnostic tools and software. By offering specialized services, maintaining high-quality customer service, and keeping pace with industry changes, general auto repair shops can remain viable and competitive in the evolving automotive landscape. Adaptability and continuous improvement are key to their sustainability.

  • Like 1
  • 2 months later...
pfseeley442 Explorer

pfseeley442

Posted
Posted

As a shop owner I understand the need for growth and keeping up with new technologies. My biggest struggle is getting employees that have the capabilities to meet these challenges. I am finding that techs seem to be staying put , the last one that I spoke with told me that he feels secure in his current job and did not want to take a chance right now in moving jobs with the current economy. I have a young crew that relies to much on me for diagnostic issues. I have been in looking for the right employee but have been unable to fill to void. 

So that makes me put the brakes on incorporating new tech here and adding services such as EV work. I really want to invest in these areas, but afraid that there will be no ROI with out the right team in place. Maybe putting the cart before the horse will be the way to go.

  • 3 weeks later...
Zoya Shah Newbie

Zoya Shah

Posted
Posted

After a year of job costing data, I would shift my non-specific marketing/advertising to only the most profitable type of jobs.  Even my signage on both the building and non-attached signage would only advertise my most profitable services.  Another variable to consider in addition to the profitability is the risk factor.  Let's face it, some jobs are inherently more risky than others.
 

pfseeley442 Explorer

pfseeley442

Posted
Posted

I have to tell you this last year has been tough, never in my life did I think that I would have to pay a state inspector so much. never mind technicians. I have been thinking about this topic and we may have to specialize just to stay in business. The lack of skilled help avaliable is unnerving. I think the days of a technician being able to do it all are coming to a close. I had a technician working for me for six years, I had a shop owner steal him away by talking to him through one of his freinds, he promised him the world. My pointt to saying that is that is whet we have become.  We will need to find technicians with the skill sets we need to perform work that is profitable and may be very specialized. The problem occurs when you are lacking in work for that tech and only have work that they cannot do.  so proffits will drop. Small shops will end up with the biggest challenges in this area. No easy answers, no easy solutions. 

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  • Have you checked out Joe's Latest Blog?

    • Joe Marconi
      The Toolbox is Last to Leave, First is the Heart
      By Joe Marconi in Joe's Blog
         0 comments
      It always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
      While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
      Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
      One last thing; the cost of technician turnover can be financially devastating. It also affects shop morale. Do all you can to create a workplace where technicians feel they are respected, recognized, and know that their work contributes to the overall success of the company. This will lead to improved morale and team spirit. Remember, when you see a technician’s toolbox rolling out of the bay on its way to another shop, the heart was most likely gone long before that.

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