ACtion Magazine - May 2013 - (Page 8)

Freeze Frame History and statistics Jacques Gordon I n spite of how Mark Twain felt about statistics (“There I’ve been watching these numbers for a long time, are lies, damn lies and statistics”), a smart business but I just learned about statistics from a new company person knows how to use them like a crystal ball. called IMR Inc. Automotive Research. They report that Here are some statistics you might find useful, compiled the average number of “service events” per vehicle has by Experian Automotive, a division of hovered at roughly 2.35 per year over the same company that generates credit the past six years. That particular reports. statistic got me thinking about what While you’re looking at According to Experian’s research, these numbers might mean to a shop there are about 246 million light-duty where your business has that does A/C work on out-ofvehicles registered in the United States. been, take a look at where warranty vehicles. Look at your records and figure The average vehicle is roughly 10 years out roughly how many repair orders old, and the average owner keeps a the industry is going. you’ve written for each specific vehicle just over 5 years. Sales data over vehicle over the past three years, and see if that number the past decade shows that economic downturns usually is trending up or down. While you’re at it, take a look at depress new-vehicle sales, but the number of vehicles registered has increased each year, even through the Great your average total repair bill. Has it changed over the past three years, and if so, has it gone up or down? If there’s Recession. enough detail in your records, find out how much A/C work you’ve sold over the past few years, how many dollars it generated, and if the dollar-per-A/C repair is trending up or down. While you’re looking at where your business has been, take a look at where the industry is going. Information presented at this year’s MACS Convention shows that the need for refrigerant system service has steadily decreased over the past several years and will probably continue to do so. As federal fuel mileage requirements tighten, OEMs will introduce new A/C technologies to reduce fuel consumption, and at some point they’ll probably switch to R-1234yf to earn emissions credits that can be applied to their CAFE rating. Those systems are tighter and expected to be even more reliable. So there’s been a decline in opportunities for refrigerant system “service events,” but the industry is gradually switching over to clutchless compressors that run all the time, and the compressor is already a ‘missioncritical’ component in most hybrid and electric vehicles. Going forward, there should be enough refrigerant service opportunities to justify your investment in new equipment and training, especially if your competitors decide not to make that investment and cede their R-1234yf business to you. In that case, the secret to getting ahead, according to Mark Twain, is getting started. ❆ You can reach Jacques at Reader Reply 8 ACTION • May 2013

Table of Contents for the Digital Edition of ACtion Magazine - May 2013

Action Magazine - May 2013
Freeze Frame
Virtual View
Under the Southern Cross
Leonard's Law
News & Updates
What Is Happening in the Auto A/C Industry?
New Equipment, Tools and Service Parts for 2013
Striking Customer Service Gold
Asociation News
Quick Check
New Products & Services
Last Watch

ACtion Magazine - May 2013