GREENER PASTURES

REPAIR MORE, RECYCLE MORE, EARN MORE

During the height of the coronavirus pandemic, Dave Flockhart, chief operating officer of BETAG said facilities could significantly boost their productivity and gross profit margins by embracing a ‘repair first’ mindset post-pandemic. 

“More total loss vehicles mean more competition for repairable vehicles,” said Dave Flockhart, suggesting businesses invest in their team’s repairing skillsets. “Take those lower experienced technicians or apprentices and develop them. Upskill and motivate.” 

Dave Luehr, president of Elite Body Shop Solutions, agreed. 

“I’m not suggesting that a repair-first mindset is the only way to drive gross profit and labour margins,” said Flockhart. “But it can yield both early and long-term benefits.” 

Using data from a BETAG case study on nearly 100 independent repair facilities, Flockhart said nearly all facilities saw an increase in repair percentages after embracing a “repair first ethos.” Success factors were based on both communication and effective training. To really reduce the cost of repairs though, many businesses are turning to the use of recycled OEM parts–which is, ironically, part of the reason that auto salvage costs have been able to rise, despite an increase in the actual number of vehicles being sold as salvage. 

While many repairers are not taking advantage of recycled OEM parts, insurers are becoming more and more engaged with the circular economies benefits. This increase has been fueled by a thriving auto dismantling sector, which, in the U.S. saw total sales of $25 billion in 2018, and $32 billion in 2020. 

Of course, as the price of recycled parts increases, so does the value of salvage vehicles. Despite the increase in vehicles marked as total losses, the market for total loss vehicles is heating up. The major players in the auto salvage auction market. 

For stockholders of auto auction businesses, this has meant big returns. Since the beginning of 2018, North America’s largest salvage auctioneer, Copart, has seen its value more than double. Its competitor Adesa has seen its value rise by 26.5 percent in the same period. 

In order to stay ahead in their highly profitable field, each business is working to make their relationship with auto recyclers better than the competition. Among the recent trends in auction digital platforms are ones designed to provide clearer indications of the state a vehicle is in through HD imagery, and even panoramic shots of every car placed on the block. Another, which is particularly beneficial to night owls, is the addition 24-7 auctions and multi-lane bidding. Some auction providers have also moved into 24-hour customer support. 

Now, though, these business techniques- -which have simplified the sale of raw auto salvage–are being repurposed by members of the auto recycling community in its efforts to sell directly to the collision sector. 

Like auto auction sites, recyclers are offering a raft of services—including searchable part grading information—to repairers. 

In this chapter, we look at the tools that are helping auto recyclers extract the most value from their salvaged vehicles, and the tools allowing them to deliver more of those cost-savings directly to the repair community. Read on, and discover why in the circular economy, everyone is a winner!

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"Cars in a Professional Collision Repair Workshop with Technicians Expertly Restoring Vehicles to Pre-Collision Glory"

Unraveling the Essentials: A Comprehensive Guide to Efficient Collision Repair Solutions

In the aftermath of a traffic accident, navigating the maze of collision repair can be a daunting ordeal. Yet, the key to swiftly restoring the harmony between life and the road lies in understanding the essentials of efficient collision repair solutions. This comprehensive guide is designed to unravel these essentials, ensuring that your vehicle receives the care it needs to return to its pre-collision glory.

**1. Initial Assessment and Estimation**

The first step in the collision repair process involves a thorough assessment and estimation. Professionals will examine your vehicle to determine the extent of the damage. Utilizing latest technologies, such as 3D scanning and computerized estimating systems, repair shops can provide accurate and detailed estimates, ensuring transparency and fairness in the repair process. Prioritizing shops that offer free, no-obligation estimates can also be a beneficial practice.

**2. Choosing OEM (Original Equipment Manufacturer) Parts vs. Aftermarket Parts**

A crucial decision in the repair process is the choice between OEM parts and aftermarket parts. OEM parts are produced by the vehicle’s manufacturer and guarantee a perfect fit and optimal performance, maintaining your vehicle’s value and integrity. Meanwhile, aftermarket parts, often less expensive, might not always match the exact specifications of your vehicle, potentially affecting performance and safety. For high-quality repairs, OEM parts are generally recommended, though in some cases, aftermarket parts can serve as a budget-friendly alternative without compromising on safety.

**3. Technological Expertise and Certification**

The complexity of modern vehicles, with their advanced safety systems and computerized components, requires a high level of technological expertise. Choosing a repair shop with certified technicians, who are trained in the latest repair techniques and technologies, is essential. Certifications from organizations like I-CAR (Inter-Industry Conference on Auto Collision Repair) signal a technician’s skills and knowledge in collision repair, offering reassurance that your vehicle is in capable hands.

**4. Paint Matching and Finishing Techniques**

The final appearance of your vehicle, upon completion of repairs, is predominantly determined by the quality of paint matching and finishing techniques. Advanced color matching technology ensures a seamless blend between the repaired areas and the original paintwork, preserving the aesthetic appeal of your vehicle. A high-quality repair shop will use environmentally friendly, water-based paints, and computerized paint mixing systems to achieve an impeccable finish.

**5. Understanding the Warranty**

Before committing to a repair shop, understanding the warranty offered on the repair work is critical. A reputable shop will stand behind its work with a comprehensive warranty that covers both parts and labor. Ensure you are clear about the warranty’s duration and what it entails. A solid warranty is a testament to the confidence a repair shop has in its workmanship and the quality of the parts used.

**6. Communication and Customer Service**

Excellent communication and customer service are the hallmarks of a reputable collision repair shop. The repair process should be transparent, with regular updates on the progress of your vehicle’s repairs. Professional shops will handle the coordination with insurance companies, alleviating one more concern from your list. Selecting a repair facility that values customer service ensures a more manageable and stress-free repair experience.

In conclusion, efficient collision repair solutions hinge on making informed decisions at each step of the process. From the initial assessment to the final touches, understanding the essentials delineated in this guide empowers you as a vehicle owner, ensuring that your collision repair journey culminates in a seamless and satisfactory outcome. Remember, quality repairs are an investment in your vehicle’s future, safeguarding its performance, safety, and resale value.

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