Vehicle Repairs Cost an Average 34% More at New Car Dealerships Than Independent Shop
03-11-09, 10:16 AM
#1
Super Moderator
Thread Starter
Vehicle Repairs Cost an Average 34% More at New Car Dealerships Than Independent Shop
Vehicle Repairs Cost an Average 34% More at New Car Dealerships Than Independent Repair Shops
New AAIA Study Reveals Dramatic Differences
BETHESDA, Md., March 11 /PRNewswire-USNewswire/ -- Vehicle repairs cost an average 34 percent more at new car dealerships than at independent repair shops, resulting in $11.7 billion in excess costs annually to consumers, according to a first-of-its-kind study just released by the Automotive Aftermarket Industry Association (AAIA).
The study reveals dramatic differences in the costs of parts and labor between domestic and import vehicle nameplates and from city to city. Consumers in Los Angeles pay as much as 46.8 percent more at dealerships than independent repair shops for repairs. The cost to consumers of specific repairs also varies widely. For example, the average cost for radiator repair for a foreign nameplate vehicle, including parts and labor, is $325.99 higher at a dealer than at an independent shop; and the cost to purchase and install front brake pads on a foreign nameplate vehicle is $138.92 more at a dealer than at an independent shop.
AAIA's Vehicle Repair Cost Analysis: Comparing New Car Dealerships vs. Independents looks at the parts and labor costs of 10 vehicle repair jobs for domestic and foreign nameplate vehicles in six cities across the country, including Boston, Newark, Atlanta, St. Louis, Los Angeles and Seattle.
"In response to repeated requests by congressional leaders studying the merits of the Motor Vehicle Owners' Right to Repair legislation, AAIA commissioned a study to once and for all provide a comprehensive analysis that validated the contention that it costs consumers more to repair their vehicle at new car dealerships than at independent repair shops," said Kathleen Schmatz, AAIA president and CEO.
Highlights of the study include:
Vehicle repairs for parts and labor averaged 34.3 percent more at new car dealers than at independent repair shops.
Foreign nameplate repairs performed at dealers averaged 36.8 percent more than at independent repair shops while repairs performed on domestic nameplates averaged 31.5 percent more at dealerships than at independent repair shops.
Total 2008 cost difference for consumers having repair work performed at car dealers rather than independent repair shops for the 10 jobs equaled 11.7 billion.
Copies of the study are available free to AAIA members. The cost to non-AAIA members is $400. To obtain a copy, contact Member Services at 301-654-6664 or e-mail aaia@aftermarket.org or visit the association online commerce center at www.aftermarket.org.
About AAIA
AAIA is a Bethesda, Md.-based association whose more than 23,000 members and affiliates manufacture, distribute and sell motor vehicle parts, accessories, service, tool, equipment, materials and supplies. Through its membership, AAIA represents more than 100,000 repair shops, parts stores and distribution outlets.
SOURCE Automotive Aftermarket Industry Association
New AAIA Study Reveals Dramatic Differences
BETHESDA, Md., March 11 /PRNewswire-USNewswire/ -- Vehicle repairs cost an average 34 percent more at new car dealerships than at independent repair shops, resulting in $11.7 billion in excess costs annually to consumers, according to a first-of-its-kind study just released by the Automotive Aftermarket Industry Association (AAIA).
The study reveals dramatic differences in the costs of parts and labor between domestic and import vehicle nameplates and from city to city. Consumers in Los Angeles pay as much as 46.8 percent more at dealerships than independent repair shops for repairs. The cost to consumers of specific repairs also varies widely. For example, the average cost for radiator repair for a foreign nameplate vehicle, including parts and labor, is $325.99 higher at a dealer than at an independent shop; and the cost to purchase and install front brake pads on a foreign nameplate vehicle is $138.92 more at a dealer than at an independent shop.
AAIA's Vehicle Repair Cost Analysis: Comparing New Car Dealerships vs. Independents looks at the parts and labor costs of 10 vehicle repair jobs for domestic and foreign nameplate vehicles in six cities across the country, including Boston, Newark, Atlanta, St. Louis, Los Angeles and Seattle.
"In response to repeated requests by congressional leaders studying the merits of the Motor Vehicle Owners' Right to Repair legislation, AAIA commissioned a study to once and for all provide a comprehensive analysis that validated the contention that it costs consumers more to repair their vehicle at new car dealerships than at independent repair shops," said Kathleen Schmatz, AAIA president and CEO.
Highlights of the study include:
Vehicle repairs for parts and labor averaged 34.3 percent more at new car dealers than at independent repair shops.
Foreign nameplate repairs performed at dealers averaged 36.8 percent more than at independent repair shops while repairs performed on domestic nameplates averaged 31.5 percent more at dealerships than at independent repair shops.
Total 2008 cost difference for consumers having repair work performed at car dealers rather than independent repair shops for the 10 jobs equaled 11.7 billion.
Copies of the study are available free to AAIA members. The cost to non-AAIA members is $400. To obtain a copy, contact Member Services at 301-654-6664 or e-mail aaia@aftermarket.org or visit the association online commerce center at www.aftermarket.org.
About AAIA
AAIA is a Bethesda, Md.-based association whose more than 23,000 members and affiliates manufacture, distribute and sell motor vehicle parts, accessories, service, tool, equipment, materials and supplies. Through its membership, AAIA represents more than 100,000 repair shops, parts stores and distribution outlets.
SOURCE Automotive Aftermarket Industry Association
03-11-09, 10:21 PM
#4
Lexus Fanatic
yeah but I have to go back to have something set right at the non dealer shops 200% more frequently. I would prefer to never have anyone touch my car for repairs that was not certified to work on my cars. The electronics alone are to complicated for most mechanics as it is. To each his own, but I will pay the extra to get it done right AND most of all to get a nice Lexus loaner car
Trending Topics
03-11-09, 11:39 PM
#8
yeah but I have to go back to have something set right at the non dealer shops 200% more frequently. I would prefer to never have anyone touch my car for repairs that was not certified to work on my cars. The electronics alone are to complicated for most mechanics as it is. To each his own, but I will pay the extra to get it done right AND most of all to get a nice Lexus loaner car
200% sounds a lot though. You're saying for every time you go to a dealer for repair you had to go back 4 times to the independent for the same type of repair? You really must have junk independent shops in your area.
03-12-09, 06:24 AM
#9
Lexus Fanatic
There are good independent shops out there, and I wouldn't want to suggest otherwise, but in general, dealer repair facilities generally impress me with the quality of their shops more than the independents. They may charge a little more, but, if you bought a car there and are on their mailing list, you often get discount coupons in the mail, can qualify for VIP programs that lower prices further (I, for example, get free safety and emission inspections for the life of my car). If you know the service people and managers well, refer customers to them, and treat them well, they often do the same for you in return, and toss in some free or reduced-price service that normally they could charge for. Dealerships usually have more capital to invest and work with, have more and better service/diagnostic equipment, and more factory-trained technicians (they must meet the standards of the auto manufacturer to qualify to open a shop in the fitst place). Dealership technicians must not only meet ASE certification like those in independent shops (most shops, especially reputable ones, won't hire someone who is not ASE-certified), but also receives factory training courses....and certification......as well.
While a car is under warranty, if you don't do the work yourself, it's probably best to have it serviced by a dealer....that way, you are likely to have fewer problems with a warranty claim if you need it. (I myself can do minor work and service, like oil changes, filters, some battery replacements, etc...depending on the design of the car, but not major stuff. That's why, on car reviews, I always note the ease of service and component accessability under the hood).
Once the warranty is up, if you like your local independent shop, and they do good work at reasonable prices, then, fine, use them if you want. If you decide to use them during the warranty period, make sure to save receipts and paperwork for proof-of-service (it's always a good idea to do that anyway).
And, last, remember that dealerships generally use factory parts, specifically designed for the car. Independent shops use parts that may or may not meet factory-specs. And, many of the young guys working in tire and wheel shops don't impress me. They aren't careful taking tires on and off rims with the mounting machines (this is critical with alloy wheels) and while using the wheel-balance machines. They also often don't make sure the tires are rolling even, with no runout or out-of-roundness that can cause vibrations and shimmies, and don't set the machines correctly for a good balance. Many vibration problems arise from that.
While a car is under warranty, if you don't do the work yourself, it's probably best to have it serviced by a dealer....that way, you are likely to have fewer problems with a warranty claim if you need it. (I myself can do minor work and service, like oil changes, filters, some battery replacements, etc...depending on the design of the car, but not major stuff. That's why, on car reviews, I always note the ease of service and component accessability under the hood).
Once the warranty is up, if you like your local independent shop, and they do good work at reasonable prices, then, fine, use them if you want. If you decide to use them during the warranty period, make sure to save receipts and paperwork for proof-of-service (it's always a good idea to do that anyway).
And, last, remember that dealerships generally use factory parts, specifically designed for the car. Independent shops use parts that may or may not meet factory-specs. And, many of the young guys working in tire and wheel shops don't impress me. They aren't careful taking tires on and off rims with the mounting machines (this is critical with alloy wheels) and while using the wheel-balance machines. They also often don't make sure the tires are rolling even, with no runout or out-of-roundness that can cause vibrations and shimmies, and don't set the machines correctly for a good balance. Many vibration problems arise from that.
03-12-09, 08:18 AM
#10
Lead Lap
Join Date: Jun 2006
Location: MD
Posts: 4,518
Likes: 0
Received 0 Likes
on
0 Posts
I stopped going to the Subaru dealer where I bought 2 of my Subarus because they would reccomend so many unecessary repairs. They wanted $240 to replace the light in the A/C control. An independent Subaru specialist did it for $40. After that, I became car savy.
Toyota just reccomended a bunch repairs ($3000ish), including brake stem replacement, for my bro's Prius. Like I said, I'm car savy, I did a search for brake stem and I have no idea what that is. Can anyone educate me on this?
Toyota just reccomended a bunch repairs ($3000ish), including brake stem replacement, for my bro's Prius. Like I said, I'm car savy, I did a search for brake stem and I have no idea what that is. Can anyone educate me on this?
03-12-09, 01:44 PM
#11
Lexus Fanatic
http://www.patentstorm.us/patents/53...scription.html\
Priuses, BTW, sometimes to have a problem stopping in rainy or wet conditions (there has been a lot of chat about this in forums). A number of owners report that the brakes either don't work at all or suddenly grab up at low speeds.
Last edited by mmarshall; 03-12-09 at 01:47 PM.
03-13-09, 05:50 AM
#12
Lexus Champion
well it makes sense.....dealer techs work on 1 brand all day every day. they get sent to factory training to keep up to date on the newest technology. all the equipment is top of the line. it costs a lot of money to make sure that customers cars are diagnosed and repaired properly the first time.
independent techs cna't focus on one brand all day. they have to work on almost everything, so how good can anyone be on any particular brand when they don't see them all day every day? what kind of training do they get on the new electronic systems in cars?
as a dealer tech in a high end dealer for the past 6 years, i can't tell you guys how many times we've had cars come in from indepent shops that were completely ****ed up because their guys dont' know how to deal with high end cars like audi, lexus and jaguar.
i have nothing against those guys, they do the best they can, but there's no way they can compete with me on any of those brands because that's all i've worked on for the past 6 years. cars like ours are very detail intensive, the electronics are very sensitive and complicated. if you dno't have factory training, you'll almost never figure it out.
also, and this is the manufacturer's fault, dealers charge more per hour than independents because of the way warranty jobs are paid. dealers get reimbursed a percentage of their standard hourly rate for all warranty jobs. so... the higher a dealers rate is, the more they get paid by the mfr. so it's to their advantage to charge as much as possible.
independent techs cna't focus on one brand all day. they have to work on almost everything, so how good can anyone be on any particular brand when they don't see them all day every day? what kind of training do they get on the new electronic systems in cars?
as a dealer tech in a high end dealer for the past 6 years, i can't tell you guys how many times we've had cars come in from indepent shops that were completely ****ed up because their guys dont' know how to deal with high end cars like audi, lexus and jaguar.
i have nothing against those guys, they do the best they can, but there's no way they can compete with me on any of those brands because that's all i've worked on for the past 6 years. cars like ours are very detail intensive, the electronics are very sensitive and complicated. if you dno't have factory training, you'll almost never figure it out.
also, and this is the manufacturer's fault, dealers charge more per hour than independents because of the way warranty jobs are paid. dealers get reimbursed a percentage of their standard hourly rate for all warranty jobs. so... the higher a dealers rate is, the more they get paid by the mfr. so it's to their advantage to charge as much as possible.
03-13-09, 06:03 AM
#14
Lexus Champion
03-13-09, 09:10 AM
#15
Lead Lap
Join Date: Jun 2006
Location: MD
Posts: 4,518
Likes: 0
Received 0 Likes
on
0 Posts
As I understand it, it is an anti-theft device in the brake system. This explains it in detail:
http://www.patentstorm.us/patents/53...scription.html\
Priuses, BTW, sometimes to have a problem stopping in rainy or wet conditions (there has been a lot of chat about this in forums). A number of owners report that the brakes either don't work at all or suddenly grab up at low speeds.
http://www.patentstorm.us/patents/53...scription.html\
Priuses, BTW, sometimes to have a problem stopping in rainy or wet conditions (there has been a lot of chat about this in forums). A number of owners report that the brakes either don't work at all or suddenly grab up at low speeds.