Hello everyone, I am Hanche in the car, a senior professional automobile manager born in the 1970s who will reveal to you the different connotations in the automobile industry. The topic I will talk to you about today is why the automobile aftermarket is so difficult to do now, and what should I do?
According to statistics from the Ministry of Public Security, there will be 336 million cars in the country in 2023, and the average number of maintenance visits per year will be 3.2, which means that there will be an average of 1.0752 billion maintenance visits per year.
From different data sources, the number of maintenance companies currently operating in my country is as follows:
1. According to data from the enterprise big data website, as of June 2022, there are nearly 900,000 automobile maintenance companies in my country.
2. According to Qichacha data, as of June 2023, only counting companies whose names, product names, and business scopes include automobile maintenance, there are more than 680,000 automobile maintenance-related enterprises in my country.
3. According to statistics from the transportation management department, there are 440,000 automobile repair shops in my country, divided into categories I, II, and III. Category 1 repair shops include 4S stores authorized by car brands and some larger auto repair shops, accounting for 15%-20% of the total number of repair shop
Hello everyone, I am Hanche in the car, a senior professional automobile manager born in the 1970s who will reveal to you the different connotations in the automobile industry. The topic I will talk to you about today is why the automobile aftermarket is so difficult to do now, and what should I do?
According to statistics from the Ministry of Public Security, there will be 336 million cars in the country in 2023, and the average number of maintenance visits per year will be 3.2, which means that there will be an average of 1.0752 billion maintenance visits per year.
From different data sources, the number of maintenance companies currently operating in my country is as follows:
1. According to data from the enterprise big data website, as of June 2022, there are nearly 900,000 automobile maintenance companies in my country.
2. According to Qichacha data, as of June 2023, only counting companies whose names, product names, and business scopes include automobile maintenance, there are more than 680,000 automobile maintenance-related enterprises in my country.
3. According to statistics from the transportation management department, there are 440,000 automobile repair shops in my country, divided into categories I, II, and III. Category 1 repair shops include 4S stores authorized by car brands and some larger auto repair shops, accounting for 15%-20% of the total number of repair shops. Category II repair shops include maintenance service outlets established by some 4S stores, as well as repair shops with a certain scale and technical level, accounting for 25%-30% of the total. Category III maintenance shops are maintenance shops with smaller scale and lower technical level, accounting for more than 50% of the total.
Among the above three sets of data, the source of the third set of data is the road transportation management department, which is the number of companies that have obtained formal maintenance qualifications. Even if calculated based on this data, the first-class maintenance factories account for 17%, and the second-class maintenance factories account for 17%. Maintenance shops account for 27%, and the rest are type three maintenance factory; if their daily maintenance capabilities are 40 units, 25 units, and 10 units respectively, and the annual working days are 300 days, the total annual maintenance capacity of the society is 2.5278 billion units, which means that nearly 60% of the society’s annual maintenance capacity is 2.5278 billion units. Total maintenance capacity is surplus.
In fact, there are many companies engaged in automobile maintenance without obtaining qualification certification from the road transportation management department, which means that the total annual maintenance capacity surplus of the society is greater than 60%. Interested fans can do their own calculations and see what the result would be if this data were calculated based on the proportion of 900,000 car repair companies.
This is the most fundamental reason why it is becoming more and more difficult to do business in the automotive aftermarket - there is too much to offer. what to do? ! In my article titled "Who benefits from the formal cooperation between OEMs and automobile service chains?" Who suffers? "In the article, there is this sentence: The only condition for a company to survive is to continue to provide irreplaceable social value. This is the starting point and the end point of corporate competition.
I don’t have a trick that’s popular all over the world, and I don’t agree with spending tomorrow’s profits in advance as prizes to increase today’s new customers or tie up existing old customers, because the threshold for marketing tips is low and easy to be imitated. , the users "bought" by bloodletting will be attracted by more bloodletting, which is not a long-term solution. At this time, I think it is better to return to the essence of the industry, fight against the iron stronghold, and cope with the changes by staying the same.
As a repair shop, it does not have the high-end image of a 4S shop, nor does it have the publicity of a car chain. Therefore, an eye-catching door is the minimum and most important announcement, and it is the most cost-effective image project. Because generally speaking, the customer acquisition radius of an ordinary repair shop is only about 5 kilometers. Only by allowing potential customers within this range to see you and get to know you will they try to contact you, and then they can use their subsequent customer retention and marketing efforts. The means, of course, are another matter if you have unique skills and mysterious channels. As for the customer acquisition effect of handing out flyers and shooting videos, judging from my friends who run repair shops, it needs to be combined with a large number of "free" gimmick projects over a long period of time, otherwise it will basically become a mere formality or self-pleasure.
5S management is a good thing, including 6S, 7S, 8S, NS, etc., which were later derived on this basis. Based on my practice over the years, from the top ten dealer groups in the country to brands Among the benchmark stores that rank first in the country or even among the top three in the world, none can perfect 5S, let alone other more S stores. Being able to tidy up and clean every day, and check and clean regularly is already high quality. If the requirements are stricter, the investment will suddenly increase, and the store will look very beautiful, but if there are no new employees joining, The improvement of on-site management effect is not so obvious, but a clean and orderly store appearance is always a bonus, so if you feel like you have nothing to do, then do 5S. As long as you can persist, you will have surpassed 90% Repair shop.
Maintain the enthusiasm and ability to learn, but what you learn is very particular. You can’t rush into the walnut sand carbon removal project today when you see that walnut sand carbon removal is good. Tomorrow, when you see the project of changing the oil of automatic transmission equipment to make money, just Purchasing equipment, stocking up on automatic transmission oil, and the intersection of what the market needs and the maintenance projects you are good at are the gold medal projects of the auto repair shop. They are projects that require focused investment and meticulous craftsmanship, and can become a unique skill. . Of course, when you lower your head to pull a car, you also need to raise your head to look at the road. In addition to watching videos, you also need to walk around and take a look at other stores in the surrounding area to grasp the market development trend. If you don't think too long, you will have to worry about the short term. Plan ahead and be quick. Only by taking one step can you seize the opportunity. This requires the least investment and the highest output.
In any business format, standardized work processes always imply professionalism and rigor. The reason why 4S stores charge ceiling-like after-sales maintenance fees, but are still the first choice for most out-of-warranty car users for repair and maintenance, is because 4S stores are very good at car maintenance. Every link involved in the maintenance is relatively rigorous and standardized, which can fully give people a sense of relaxation and reassurance of professionalism. All of this is the perception released by the meticulous and thoughtful work process. The repair shop may not have a dedicated service consultant. If there is no dedicated maintenance reception area or dedicated quality inspectors, the three steps can be done in two steps. What is omitted is only the number of hip swings, but the distance that needs to be moved cannot be omitted. The standard after-sales service process is in the 4S store. It may take several people to do it, and the repair shop may only be able to arrange for two or three people to do it, but every step of the entire process must be done properly. Otherwise, it is not that repairing a car in a repair shop is cheaper than a 4S shop, but that repairing a car in a repair shop is only worth that. price, and also involves huge risks.
The importance of safety cannot be overemphasized. Regardless of any element of people, property, or property, safety must be given top priority. To give the simplest example, when I was managing the store, it was stipulated that the car barrier for maintenance reception should be used as the boundary. Users were not allowed to drive in the area within the factory within the car barrier. Only authorized after-sales personnel were allowed to drive according to regulations; outside the car barrier, users were not allowed to drive. In this area, store personnel are not allowed to drive user vehicles, and can only be driven by the user himself or other non-store personnel with his consent. Just because I adhere to this rule, in my 30-year career, there has not been a single vicious incident in which anyone was injured or killed due to an employee's driving responsibility in the department or 4S store I manage. You can never make more money than the vehicle is worth by repairing a car, but the amount of liability compensation has nothing to do with the type of car repaired, and there is no upper limit.
In this industry that is destined to eliminate half of its production capacity in the future, stores that can still maintain an increase in the number of admissions, operating income and operating profits are undoubtedly the winners and winners. They must have done something right. However, if in the above-mentioned years, If you don't make mistakes or make mistakes in all aspects, you can at least guarantee that you won't be eliminated.
I am Hanche in the car, dedicated to trend research and operation management consulting for the development of multiple formats in the automotive industry. WeChat public account: cheneihanche, Baijia account: Hanche in the car, welcome to follow us for consultation
