It seems that the death knell is ringing on the small independent autobody shop. In 2021 alone, 327 independent shops were acquired by owners of multiple shops, according to Focus Advisors, a mergers and acquisition advisory firm that tracks the industry.
With significantly fewer places to get your car fixed in the US than there were just five years ago. One industry publication found that for every active service bay inside US auto shops there were 225 cars and trucks on the road in 2016. Now there are 246 vehicles per bay. Pandemic supply-chain jams for computer chips and auto parts, and a nationwide labor shortage of car technicians, have worsened the problem. Cars took an average of 2.1 days longer to repair in 2021 than in 2019, according to CCC Intelligent Solutions, which sells software to automotive and insurance agencies, nearly 11 days in all.
Industry experts say the problem will only get worse. “In 10 years, I see a lot fewer shops, and I see a lot more people looking for shops,” says Rick White, who coaches auto repair shop owners through his company, 180biz. An industry survey taken late last year found 96 percent of shops reporting delays, with an average scheduling backlog of 3.4 weeks, compared to 1.7 weeks in late 2019.
So the situation will worsen, I have seen my local shop wait times increase, but that has been because of the deaths or the mechanics who had the skills to move more quickly from vehicle to vehicle.