Auto service franchises report that auto part quality, not price, is the number 1 need of their customers, according to the Aftermarket Business World 2014 Auto Service Franchise Study.
Thirty-one percent of respondents said quality was the most important requirement of their customers, while 22 percent said part availability, 19 percent said OEM-like form, fit and function, and 18 percent said price. Only 4 percent said that warranty was the customer’s most important need.
Overall, 92 percent of respondents said their sales in 2013 were about the same or better than their sales in 2012. Some 53 percent reported similar sales results while 39 percent improved upon last year’s sales.
They expect their sales in 2014 to either stay the same (51 percent) as last year, or increase (44 percent)
When it comes to gross margins, 52 percent said their margins stayed the same as in 2012, while 43 percent said their gross margins improved in 2013 compared to 2012.
They also are an optimistic lot as 51 percent expect their gross margins to hold steady in 2014, while 47 percent expect to improve their gross margins in 2014 compared to 2013.
Click here to see the study.
METHODOLOGY: The Aftermarket Business World Auto Service Franchise study was fielded to readers of Motor Age magazine via email. Survey results are intended to show general market trends, not statistical certainties.
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