TickerMine surveyed 50 Macco auto body shops across the U.S and 50 oil and transmission stations like
Jiffy Lube
and Pep Boys. The well documented fall in new car sales in might
suggest that business would be increasing for the auto maintenance and
repair market.
TickerMine found that 50% of
Maaco locations
contacted reporting that business was down over the past few months,
while 44% business had remained steady. Only 6% reported an increase in
business levels. 56% of respondents reported that customers were now
more likely to pay for major body work at a Maaco location as customers
were trying to maintain resale values for their vehicles and wanted to
forestall purchasing a new vehicle as long as possible. In another tip
to the economic difficulties facing Maaco clients, it appears that more
customers are opting to use insurance for repairs, despite the hit they
are likely to take on future insurance premiums which rise as claims
are made for damage to cars.
At the big oil change locations like Jiffy Lube,
Pep Boys
and PitStop TickerMine found that while business had slowed somewhat
the incidence of minor repairs appears to be increasing. 62% of
respondents reported seeing an increasing in minor repairs as consumers
look to keep their cars running as well and for as long as possible
without incurring major expenses. 76% of oil change locations reported
seeing increased usage of coupons or promotions for oil changes and
other routine maintenance services. This statistic is supported by our
Maaco survey where 66% of those respondents were seeing increased usage
of coupons and promotions.
While business appears to be steady or
slowing for the automotive care and repair service stations our surveys
suggest that as cars are stretched further into their useful lives that
the flow of drivers seeking minor repairs and even major repairs to
postpone the purchase of a new vehicle is likely to increase.
TickerMine will be repeating this survey in July and August to track
the changes in car owner behavior as the summer and economic malaise
continue.
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