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ACDelco Launches ‘Ride, Race, Rewards’ Sweepstakes For Technicians And DIY’ers
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By Counterman
Meet “the Marble family.” Mrs. Marble drives a two-year-old BMW, which she takes to the dealership for all maintenance and repairs. Since the pandemic hit, she’s been working from home entirely, saving her vehicle from the wear and tear of a 30-mile daily commute.
Traditionally, Mrs. Marble hasn’t supported the independent automotive aftermarket at all. But, she picked up a new hobby during the pandemic: car detailing. And her husband, who drives a 10-year-old Ford F-150, has decided not to purchase a new truck due to inventory shortages and skyrocketing prices on the showroom floor. Instead, Mr. Marble has been tackling delayed maintenance needs such as new brakes and a coolant flush. On top of that, the Marble family bought a new camper, which they’ve taken on 20 road trips since the pandemic started.
Then there’s “Hailey.” Although she’s been working from home and driving less during the pandemic, the extra time at home inspired her to restore her 1966 Mustang that’s been sitting in the garage. Meanwhile, “Charles,” who lives in New York City (and previously didn’t own a vehicle), bought a car during the pandemic, because he can’t stand the prospect of using mass transit due to fears of being exposed to COVID.
Nathan Shipley, executive director, industry analyst, for The NPD Group, used these fictional but “very real” examples to show how the pandemic has spurred major changes in consumer behavior – many of which have benefited the automotive aftermarket in a big way. During a presentation at AAPEX 2021 in Las Vegas, Shipley shared NPD Group data showing that the automotive aftermarket gained nearly 4 million new retail buyers in 2020.
“That’s a big number,” Shipley said. “Those are folks who had not bought anything on the DIY side of the aftermarket prior to 2020, and all of a sudden magically appeared and were engaged with us as an industry.”
Looking back, the whys behind the boom in DIY sales have become crystal clear: more time at home; a windfall of discretionary cash from stimulus checks, child-tax credits and (for some) extended unemployment benefits; an aversion to airplanes and public transportation; and cabin fever, which drove sales of RVs and boats to record levels.
As Shipley discussed The NPD Group’s 2022 outlook for front-room retail sales in the automotive aftermarket, he noted a number of “mixed signals” on the horizon. On the positive side, the job market remains strong in the aftermath of the 2020 recession; COVID-inspired activities such as camping, boating and road trips are showing no signs of slowing down; and the new- and used-car marketplace is pushing consumers to keep their older vehicles on the road longer than planned.
“There are more cars on the road now than ever,” Shipley added. “Scrappage rates are down. VIO is up. The average [vehicle] age is trending older because of what’s happening with new cars. Those are all nice tailwinds for the aftermarket.”
However, there are a number of pandemic-era tailwinds that could become headwinds for the aftermarket in 2022 – notably the absence of stimulus payments and the expiration of the eviction moratorium, expanded unemployment benefits and student-loan forbearance. Shipley believes that many consumers likely will be surprised by a smaller-than-usual tax refund, because “they just don’t understand the mechanics” of the child-tax-credit payments that showed up in consumers’ bank accounts in 2021.
And, while Shipley said he expects miles driven to return to 2019 levels this year, rising gasoline prices remain the ultimate wild card. At press time (Jan. 7), the average price of gasoline was $3.303 per gallon nationwide, according to AAA.
“We can go back years … and there’s a direct correlation between gasoline prices and miles driven, notably when we get to gasoline-price thresholds of $3.50 a gallon, $4 a gallon,” Shipley added. “That’s when we start to really see – at least historically – major behavior changes as it relates to driving. So this has crept back into the conversation.”
NPD’s data modeling for 2022 calls for U.S. aftermarket retail sales to pull back 5.7% from 2021 – a year in which sales were up nearly 8% compared to 2020. However, the 2022 forecast anticipates that aftermarket retail sales will be 8.5% higher this year than they were in 2019.
“This is a bullish forecast,” Shipley said. “This is suggesting that 2021 was the peak, and things are going to keep trucking right along,” assuming there are no new sales-triggering events such as additional stimulus packages.
He added: “I think the big takeaway is that the fundamentals of this industry are very, very strong. We should feel very, very good about where we’re at as an industry. But, overall, we expect things to settle in just below where they were in 2021.”
The post NPD Group Bullish On Retail Aftermarket For 2022 appeared first on Counterman Magazine.
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By Counterman
I get “flop sweats” when I panic. One of my worst cases was when working the front counter at a tire dealer. We had just inspected a Ford Taurus with a broken passenger-side spring and about 75,000 miles on the clock. The customer dropped off the car in the morning complaining of a knocking noise and notchy steering.
I was on the phone with the customer at 9:30, getting approval on the recommended work. The estimate I wrote was for four struts, two springs and front upper strut mounts. I spent extra time finding parts, looking up labor times and calculating the out-the-door price.
Then the customer asked, “Is there a less expensive option?” That’s when the flop sweats started. It got worse after he asked, “Can I get away with just replacing the fronts?”
I quickly pulled out my calculator and rewrote the estimate on the fly for just the front struts, springs and upper mounts. After giving him the price, he asked if it would be half that price if he did only one side. My manager could see the sweat on my face and tapped me on the shoulder. “Tell the customer you will call him back in 10 minutes with an accurate estimate because you need to talk to the technician.”
He told me that the only way the shop would do the job was to do it the right way. He explained that if we did just the front struts, it would make the vehicle unstable. Replacing only one strut would make the car unsafe and impossible to align. He said the customer would be unsatisfied if we did not do both front and rear struts. He might complain about a steering pull tomorrow, uneven tire wear in a month or that he could not control the vehicle.
“If the customer does not buy something from us today, we will not go out of business. But, if they buy something unsafe, it could put us out of business.”
Looking back, I was more concerned about the customer walking out of the shop without buying anything than doing the job the right way to make the vehicle functional and safe. I was looking for approval for my ego and not approval for a sound repair.
All or Nothing
Shocks, struts and springs do not operate independently. The condition of one corner of the suspension affects all the corners of the vehicle when driving straight or cornering. At low speeds, it might not be as noticeable, but it still happens. At higher speeds and cornering forces, the inability to control the movement of the suspension and body in one corner can change the contact patch for all the corners. During a panic situation, an unbalanced suspension with worn ride control can alter the contact patch to the point where the vehicle oversteers, understeers or can’t stop.
The stability-control system measures the effectiveness of its correction in real time. How effective the correction is depends on the condition of the contact patch of the tires. What influences the health of this contact patch is the tire’s condition (construction, traction and even inflation) and the condition of the chassis components like the struts.
The computer does not assign a value to the condition of the contact patch and there are no parameters (PIDs) in the programming for most systems. The corrections and the effectiveness are measured by the sensors in a high-speed feedback loop.
A stability-control system will never set a malfunction light if the condition of the contact patch crosses a set threshold. But, as the condition of the chassis and tires diminishes, the corrections become less effective and more actions will be needed to bring a vehicle under control.
These stability-control sensors are essentially blind to the condition of the state of the ride control and suspension. The software and sensors can’t diagnose a strut that has lost its gas charge or if a spring is weak. It just sees the results as data coming from the sensors. To the algorithms in the software, it could be a patch of ice or an over-loaded car. But, the reality is that it could be a worn out strut and a spring with a missing coil.
Basically, if the suspension is not up to snuff, the correction by the system will take longer. This results in longer stopping distances or, in some cases, the vehicle ending up on its roof.
For example, the most basic stability and ABS correction is a panic stop in a straight line. When the driver mashes the brake pedal, weight transfers to the front tires, loads the front suspension and causes the springs to compress. How much the springs compress is influenced directly by the condition of the shocks or struts. When the springs compress, the contact patch of the tires changes due to the weight and geometry of the suspension.
The rear suspension is even more interesting. When the weight loads the front tires, the rear spring expands, which makes the contact patch of the rear tire smaller. If the shock or strut is unable to control the rebound of the spring, additional weight is transferred to the front, which nosedives even more.
Applied to the front counter at your shop, it means that you should never sell just one strut, shock or spring. Also, you should be very careful selling just front or rear ride-control units. This approach might get the customer back on the road, but not in a safe vehicle.
So, what did the customer do with his Taurus? After calming down and wiping the sweat from my brow, I explained why we recommended replacing all four struts. He finally understood and decided to replace all four struts and both front springs.
The moral of the story: Stand by your recommendations. You’re not doing your customers any favors by recommending a less expensive part or repair.
The post Don’t Back Down When Recommending Ride Control appeared first on Counterman Magazine.
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By Counterman
AMN/Counterman and Babcox Media are thrilled to kick off the nomination process for our third-annual “Women at the Wheel” celebration!
For our May 2022 cover story, Women at the Wheel, we will be profiling some of today’s top female professionals leading the charge in the automotive aftermarket.
We are looking for candidates from the executive level to the counter pro to the shop owner who make a difference through innovation, business acumen or serving as a role model in the automotive aftermarket.
Click here to nominate a woman in your professional community who creates that spark. We can’t wait to share your stories.
The deadline to submit nominations is Friday, Feb. 4, 2022.
The post Nominations Now Open For 2022 ‘Women At The Wheel’ appeared first on Counterman Magazine.
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By Counterman
BBB Industries has launched the first in a series of Remy brand-awareness videos.
“These videos align with BBB’s commitment to helping its customers by promoting the Remy brand,” said Matt Heater, director of product and marketing management. “Video marketing continues to be a valuable tool for our company to leverage and boost brand awareness. In addition, these videos reinforce the position of Remy as the trusted brand of automotive professionals.”
The first video features a football coach giving an inspirational locker-room speech.
“Alright. So you got a little beat up out there,” the coach says. “They’re saying you’re washed up. They’re saying you’re past your prime. Are you really going to let them think that about you? You’re tougher than that. You’ve still got a lot of fight left in you.”
About halfway into the video, the camera reveals that the coach is addressing Remy remanufactured starters and alternators.
To watch the video, click here.
The post BBB Industries Launches Remy Brand-Awareness Video appeared first on Counterman Magazine.
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By Auto News
SPRINGFIELD, Mo., Jan. 03, 2022 (GLOBE NEWSWIRE) -- O’Reilly Automotive, Inc. (the “Company” or “O’Reilly”) (Nasdaq: ORLY), a leading retailer in the automotive aftermarket industry, announces the release date for its fourth quarter and full-year 2021 results as Wednesday, February 9, 2022, with a conference call to follow on Thursday, February 10, 2022.
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