Know Your Brands: Tailoring Maintenance
       Service by Vehicle Brand

Know YourAnalysis Tailoring Maintenance Maintenan...
Research Objectives


    The primary objective of this research was to assess United States (U.S.) vehicle owners’ behavi...
Method Details/Respondent Demographic Profile

Methodology
A web-based survey methodology was utilized.                   ...
Vehicle Demographic Profile vs. Vehicles in Operation

        The vehicle manufacturers/brands listed below represent the...
Demand for Routine Services have Also Declined. Demand Dropped an
   Average of 37% for Routine Services Other than Engine...
Vehicle Brand had Very Little Influence on Service “Take Rates”

                  Percentage of Vehicle Owners by Brand W...
Frequency of Minor Maintenance

                  Key Take Away: Overall, vehicle owners adhere to their vehicle’s minor m...
Locations of Minor Maintenance Work

             Key Take Away: The largest proportion of vehicle owners depend on their ...
General Motors Vehicle Owner Minor Maintenance Services by
   Channel
Among GM Owners
  Key Take Away: The largest proport...
Honda Vehicle Owner Minor Maintenance Services by Channel

Among Honda Owners
 Key Take Away: The largest proportion of Ho...
Dealership Loyalty for Minor Maintenance by Vehicle Manufacturer
   Brand
  Key Take Away: Significantly more Honda owners...
Features that Drive Dealership Loyalty for Oil Change


                         Important Features Contributing to Select...
Influencing Factors for Selecting Dealership for Engine Oil Change

   Key Take Away: Past behavior tends to indicate futu...
Other Maintenance Services Recently Performed

                         Key Take Away: Brake service or inspection is the ...
Dealers and Independents Capture Majority of Other Maintenance
   Service Work

                                          ...
Ford Vehicle Owner Location Choice for Other Maintenance Service

Among Ford Owners
  Key Take Away: For brake service or ...
General Motors Vehicle Owner Locations for Other Maintenance Work

Among GM Owners
                             Key Take A...
Other Asian Vehicle Owner Locations for Other Maintenance Work

Among Owners of Other Asian Makes
  Key Take Away: For all...
Across Vehicle Brands, Owners have Similar Attitudes Towards
   Scheduled Vehicle Maintenance
    Key Take Away: The major...
Across Vehicle Brands, Owners Have Similar Attitudes and Behavior
   Responses to Challenges Put Forth by the Economy

   ...
Across Vehicle Brands, Owners Have Similar Attitudes and Behavior
   Responses to Challenges Put Forth by the Economy
    ...
All Owners Demonstrate Strong Preference for OE Replacement Parts

 Key Take Away: The largest proportion of vehicle owner...
Strategic Conclusions



   • When  it comes to service “take rates” and general attitudes and behaviors toward
     maint...
Recommendations



     •    All brand owners showed an increased tendency to increase the interval
          between main...
Next Steps



   Request a proposal for a Growth Partnership Service to support you and
     your team to accelerate the g...
Your Feedback is Important to Us


             What would you like to see from Frost & Sullivan?

   Growth Forecasts?

 ...
For Additional Information




    Jake Wengroff                                              Mary-Beth Kellenberger
    G...
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Know Your Brands: Tailoring Maintenance Service by Vehicle Brand

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An analysis of vehicle owners's maintenance and repair attitudes and behaviors by vehicle brand.

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Know Your Brands: Tailoring Maintenance Service by Vehicle Brand

  1. 1. Know Your Brands: Tailoring Maintenance Service by Vehicle Brand Know YourAnalysis Tailoring Maintenance Maintenance An Brands: of Vehicle Owners’ Service by Vehicle Brand and Repair Attitudes and Behaviors by Vehicle An Analysis of Vehicle Brand Maintenance and Owners’ Repair Attitudes and Behaviors by Vehicle Brand Mary-Beth Kellenberger Global Program Manager, Automotive Aftermarket Rolando Barrera Research Analyst, Customer Research September 23, 2009 N69D-18 N69D-18 August 2009 1
  2. 2. Research Objectives The primary objective of this research was to assess United States (U.S.) vehicle owners’ behaviors and attitudes regarding the routine maintenance of their primary vehicles at a vehicle brand level. Supporting this primary objective, this research was designed to determine if significant variances exist between vehicle brands for: • Minor and other maintenance service “take rates” • Attitudes and beliefs towards minor maintenance and other maintenance services • Service location choice • Do-It-Yourself maintenance • Oil change and fuel purchase behaviors • Replacement part choices (OE vs. Aftermarket vs. remanufactured vs. salvage) • Ownership and usage patterns for roadside assistance • Understanding changes in attitudes and purchase behaviors toward minor maintenance and other maintenance services resulting from economic or social changes N69D-18 2
  3. 3. Method Details/Respondent Demographic Profile Methodology A web-based survey methodology was utilized. Age of Respondents (N=1085) Sample • Frost & Sullivan partnered with a trusted web-panel based 17-25 Years 3% supplier to achieve the targeted number of responses. 26-35 Years 16% • Targeted 1,085 U.S. vehicle owners who have had general vehicle maintenance performed on their primary vehicle within 36-45 Years 23% the past 12 months. 46-60 Years 40% • Respondents had to own or lease the vehicle and be primarily or jointly responsible for vehicle maintenance and repair Over 60 Years 17% • Responses were for primary household vehicle • All vehicle brands were invited to participate 0% 15% 30% 45% • Vehicles were limited to model years 1998 or less, to maximize Employment Status responses from vehicles in peak repair years (N=1085) • Data was collected in April 2009. Full-time 45% Gender Part-time 11% (N=1085) Homemaker 13% Male Female Student 1% Retired 18% 42% Unemployed 6% 58% Self Employed 6% 0% 15% 30% 45% 60% Source: Frost & Sullivan N69D-18 3
  4. 4. Vehicle Demographic Profile vs. Vehicles in Operation The vehicle manufacturers/brands listed below represent the research perspective throughout this document. Vehicle Population: Percentage of Vehicles in Operation (VIO) by Brand (United States), 2009-2015 Vehicle Manufacturers/Makes 100% (N=1085) 90% 80% % of VIO Population GM 28% 70% 60% Ford 20% 50% 40% Chrysler 15% 30% 20% 10% Toyota 11% 0% 2009 2010 2011 2012 2013 2014 2015 Other Asian Makes 10% GM Ford Chrysler Toyota Honda Nissan Other Honda 8% • VIO population of survey respondents is Nissan 5% consistent with overall U.S. VIO population • By 2015 domestic brands GM, Ford, and European Makes 4% Chrysler are expected to lose 2.9% of share dropping from 63.1% to 60.2% 0% 20% 40% • Toyota, Honda and Nissan are expected to gain up to 7.5% share, capturing if from domestic brands as well as European and other Asian brands. Source: Frost & Sullivan N69D-18 4
  5. 5. Demand for Routine Services have Also Declined. Demand Dropped an Average of 37% for Routine Services Other than Engine Oil Change Key Take Away: Overall, vehicle owners adhere to their vehicle’s minor maintenance schedules – with oil changes performed more frequently compared to other types of minor maintenance. Most Recent Minor Maintenance Performed 2009 (N=1085) 2008 2006 (N=526) 95% Engine Oil Change 100% 48% Air Filter Change 94% 42% Tire Rotation 76% 26% Tire Balance 59% 8% Other 0% 20% 40% 60% 80% 100% Note: Multiple mention question. Q1: Considering the most recent minor scheduled maintenance that was performed on your vehicle, which of the following types of maintenance were performed? “Source: Frost & Sullivan" N69D-18 5
  6. 6. Vehicle Brand had Very Little Influence on Service “Take Rates” Percentage of Vehicle Owners by Brand Who Completed Service in Last 12 months (United States), 2009 100.0% 90.0% GM 80.0% Ford 70.0% Chrysler 60.0% Toyota 50.0% Honda 40.0% 30.0% Nissan 20.0% European 10.0% Other Asian 0.0% Engine Oil Air Filter Tire Tire Other Rotation Balance • Generally, the service demand sequence for these minor services is similar across vehicle brands • There are very similar “take rates” for engine oil but as well for air filters and tire rotation services across brands • Honda owners and European brand vehicle owners have stronger association between engine oil change and air filter change N69D-18 6
  7. 7. Frequency of Minor Maintenance Key Take Away: Overall, vehicle owners adhere to their vehicle’s minor maintenance schedules – with oil changes performed more frequently compared to other types of minor maintenance. Frequency of Minor Maintenance Performed Within Past 12 Months (N=1085) 0-2 Times 3-4 Times More than 4 times 6% Engine Oil Change 78% 16% 73% Air Filter Change 24% 3% 76% Tire Rotation 21% 3% 84% Tire Balance 14% 2% 0% 20% 40% 60% 80% 100% S7: Within the past 12 months, approximately how many times did you have the following types of minor maintenance performed on you vehicle? Source: Frost & Sullivan N69D-18 7
  8. 8. Locations of Minor Maintenance Work Key Take Away: The largest proportion of vehicle owners depend on their dealerships to perform minor maintenance. Location of Most Recent Minor Maintenance Work Engine Oil Change (N=1028) Air Filter Change (N=524) Tire Rotation (N=458) Tire Balance (N=277) 40 Percent of Frequencies 30 31 30 27 24 25 21 19 19 19 20 16 17 12 13 10 10 6 6 6 6 6 7 6 6 4 4 4 4 4 4 3 3 4 2 0 My Vehicle An Gas Station Mass Automotive Service Tire Company Did It Myself Dealer Independent Service Merchant Retailer With Center that Chain (DIYers) or Franchise Center Retailer or Service Bays Specializes in Repair Shop Department Lube, Oil, Store Chain and Filter Changes Q2: Where did you have your most recent (minor maintenance) performed? Source: Frost & Sullivan N69D-18 8
  9. 9. General Motors Vehicle Owner Minor Maintenance Services by Channel Among GM Owners Key Take Away: The largest proportion of GM owners trust tire company chains to perform tire-related maintenance over other and/or their own dealers. Locations for Minor Maintenance Work - GM (N=303) Engine Oil Change Air Filter Change Tire Rotation Tire Balance 40 Percent of Frequencies 29 30 27 25 23 23 23 21 21 18 17 19 20 16 14 10 9 10 7 8 7 7 6 8 4 4 3 3 5 5 3 2 3 3 2 0 My Vehicle Independent Gas Station Mass Automotive Service Tire Company Did it Myself Dealer or Franchise Service Merchant Retailer with Center that Chain Repair Shop Center Retailer or Service Bays Specializes in Departement Lube, Oil, Store Chain and Filter Changes Q2: Where did you have your most recent minor maintenance performed? Source: Frost & Sullivan N69D-18 9
  10. 10. Honda Vehicle Owner Minor Maintenance Services by Channel Among Honda Owners Key Take Away: The largest proportion of Honda owners trust their dealers to perform the surveyed minor vehicle maintenance work. Locations for Minor Maintenance Work - Honda (N=84) Engine Oil Change Air Filter Change Tire Rotation Tire Balance 60 51 Percent of Frequencies 42 42 42 40 21 19 19 20 14 13 7 9 8 9 7 8 4 6 4 4 2 2 2 4 0 1 4 4 4 1 2 4 4 0 My Vehicle Independent Gas Station Mass Automotive Service Tire Company Did it Myself Dealer or Franchise Service Merchant Retailer with Center that Chain Repair Shop Center Retailer or Service Bays Specializes in Departement Lube, Oil, and Store Chain Filter Changes Q2: Where did you have your most recent minor maintenance performed? Source: Frost & Sullivan N69D-18 10
  11. 11. Dealership Loyalty for Minor Maintenance by Vehicle Manufacturer Brand Key Take Away: Significantly more Honda owners return to their dealership for minor maintenance compared to other vehicle owners. Conversely, only 38 percent of Toyota owners have returned to their dealership. Minor Maintenance Performed At Vehicle Dealer Since Purchase of Vehicle (N=1085) 80% 67% 60% 55% 54% 50% 49% 45% 43% 40% 38% 20% 0% Honda European Ford Nissan "Other" Chrysler GM Toyota Makes Asian Makes Q3: From the time you acquired your vehicle, did you ever have minor scheduled maintenance performed at your vehicle dealership? Source: Frost & Sullivan N69D-18 11
  12. 12. Features that Drive Dealership Loyalty for Oil Change Important Features Contributing to Selection of Engine Oil Change at Dealership: Percent Extremely/Somewhat Important Ford GM Chrysler Toyota Honda Nissan European Makes Other Asian Makes 100% 100% 100% 100% 100% 100% 100% 93% 93% 89% 89% 88% 88% 88% 86% 85% 86% 86% 85% 80% 80% 82% 80% 80% 80% 78% 78% 80% 80% 67% 60% 60% 60% 50% 50% 40% 20% 10% 10% 10% 0% It is conveniently Its hours of operation fit It offers very competitive It offers the best value The service personnel located my schedule rates for money explain things to me in terms I can understand Q2A. Please indicate how important each of the following is as to why you selected to have your most recent engine oil change performed at your dealership. Source: Frost & Sullivan N69D-18 12
  13. 13. Influencing Factors for Selecting Dealership for Engine Oil Change Key Take Away: Past behavior tends to indicate future behavior. Thus, if a customer has a good experience with an engine oil change at their dealership, that experience will likely influence their decision to return to the dealership. Influencing Factor for Why Dealership Was Selected for Most Recent Engine Oil Change Ford (N=214) GM (N=303) Chrysler (N=167) Toyota (N=117) Honda (N=84) Nissan (N=50) European Makes (N=44#) Other Asian Makes (N=106) 100% 82% 80% 73% 75% 71% 65% 63% Secondary point: More GM owners are 62% influenced by their previous dealer 60% 55% experience to return to the dealership, compare to other vehicle owners. 40% 23% 18% 18% 16% 20% 13% 12% 12% 10% 11% 6% 8%8% 9% 9% 7% 9% 8% 7% 6%9% 3%3% 4% 3% 3% 3%3%3% 4% 5% 3% 0% 0% 0% 0% 0%0% 0% 0%0% 0% Previous Experience Perception About the Friend Internet Telephone Other Advertising Location Recommendation/Word of Mouth Q2A1: How did you choose the dealership for your most recent engine oil change? Source: Frost & Sullivan N69D-18 13
  14. 14. Other Maintenance Services Recently Performed Key Take Away: Brake service or inspection is the most performed other maintenance. Other Types of Maintenance Performed Within the Past 12 Months (N=1085) Brake Service or 49% Inspection Transmission Maintenance 29% Engine Cooling System 23% Maintenance Air Conditioning System 20% Maintenance Fuel Injection Service 17% Suspension System 17% Maintenance Muffler and Exhaust 15% Service 0% 20% 40% 60% Q4: Thinking about other scheduled maintenance or mechanical repairs you have had performed on your vehicle, which of the following types of other scheduled maintenance or repairs were performed within the past 12 months? Source: Frost & Sullivan N69D-18 14
  15. 15. Dealers and Independents Capture Majority of Other Maintenance Service Work Key Take Away: Vehicle dealers are the most popular location for other maintenance work. However, independent or franchise repair shops pose threats to dealers. Locations for Other Maintenance Work Fuel Injection Service (N=182) Transmission Maintenance (N=310) Air Conditioning (N=213) Engine Cooling System Maintenance (N=252) Brake Service or Inspection (N=530) Muffler and Exhaust Service (N=166) Suspension System Maintenance (N=182) 60 Percent of Frequencies 43 40 37 37 35 35 32 32 31 31 29 28 27 25 23 20 10 10 9 8 6 8 6 6 5 5 7 7 8 6 5 4 5 5 5 5 4 3 4 3 2 1 0 0 0 My Vehicle Independent or Did it Myself Automotive Gas Station Mass Merchant Dealer Franchise Repair Retailer with Service Center Retailer or Shop Service Bays Department Store Chain Q5: What type of vehicle maintenance service provider performed your most recent other maintenance or repair? Source: Frost & Sullivan N69D-18 15
  16. 16. Ford Vehicle Owner Location Choice for Other Maintenance Service Among Ford Owners Key Take Away: For brake service or inspection, nearly one-third of Ford vehicle owners trusts independent or franchise repair shops. However, roughly the same proportion trust Ford dealers to perform their muffler/exhaust service/inspection and suspension system service than any other service provider. Locations for Other Maintenance Work - Ford (N=214) Brake Service or Inspection Muffler & Exhaust Service or Inspection Suspension System Service 40 36 34 32 Percent of Frequencies 26 27 20 20 15 11 9 9 5 6 6 5 6 2 0 0 0 My Vehicle Dealer Independent or Gas Station Mass Merchant Automotive Did it Myself Franchise Repair Service Center Retailer or Retailer with Shop Departement Store Service Bays Chain Q5: What type of vehicle maintenance service provider performed your most recent other maintenance service? Source: Frost & Sullivan N69D-18 16
  17. 17. General Motors Vehicle Owner Locations for Other Maintenance Work Among GM Owners Key Take Away: The largest proportion of GM owners selected an independent or franchise repair shop for brake service/inspection, muffler/exhaust service/inspection, and suspension system service. Locations for Other Maintenance Work - GM (N=303) Brake Service or Inspection Muffler & Exhaust Service or Inspection Suspension System Service 40 33 34 33 38 Percent of Frequencies 29 27 20 12 12 10 8 5 5 4 2 2 2 3 0 0 My Vehicle Dealer Independent or Gas Station Mass Merchant Automotive Did it Myself Franchise Repair Service Center Retailer or Retailer with Shop Departement Store Service Bays Chain Q5: What type of vehicle maintenance service provider performed your most recent other maintenance service? Source: Frost & Sullivan N69D-18 17
  18. 18. Other Asian Vehicle Owner Locations for Other Maintenance Work Among Owners of Other Asian Makes Key Take Away: For all other maintenance work shown below, the largest proportion of other Asian make owners trusted their dealers over other repair locations. Locations for Other Maintenance Work - Other Asian Makes (N=106) Fuel Injection Service Transmission Service A/C System Service Engine Cooling System Service 60 52 Percent of Frequencies 40 37 35 33 24 24 21 20 20 12 11 12 6 5 6 6 6 5 6 4 4 4 0 0 0 0 My Vehicle Dealer Independent or Gas Station Mass Merchant Automotive Did it Myself Franchise Repair Service Center Retailer or Retailer with Shop Departement Store Service Bays Chain Q5: What type of vehicle maintenance service provider performed your most recent other maintenance service? Source: Frost & Sullivan N69D-18 18
  19. 19. Across Vehicle Brands, Owners have Similar Attitudes Towards Scheduled Vehicle Maintenance Key Take Away: The majority of all vehicle owners agree they would perform other scheduled maintenance because it is recommended in the owner’s manual, especially European make owners. Attitude towards Scheduled Vehicle Maintenance: Percent Stronly Agree/Somewhat Agree Ford (N=94) GM (N=102) Chrysle r (N=78) Toyota (N=46#) Honda (N=35#) Nissan (N=20#) European M ake s (N=27#) Other Asian M akes (N=40#) 100% 86% 89% 85% 80% 80% 73% 70% 63% 64% 60% 50% 43% 42% 45% 42% 39% 41% 40% 35% 35% 37% 40% 33%31% 30%30% 32% 34% 32% 29% 28% 25% 20% 21% 20% 20% 20% 20% 16% 19% 18% 16% 18% 5% 0% I Would Perform Other I Would Not Perform Other I Would Not Perform Other I Would Not Perform Other I Have my Own Ideas Scheduled Maintenance Scheduled Maintenance Scheduled Maintenance Scheduled Maintenance About What the Because it is Until There is a Vehicle Until There is Noticable Until I Have Saved Enough Time/Milage Interval Recommended in the Breakdown Indication of Reduced Money to Cover the Between Scheduled Owner's Manual Provided Performance - Reduced Expenses Maintenance By my Manufacturer Acceleration, Balding Tires, Unpleasant Vehicle Noises or Vibrations etc. Note: Multiple mention question. Q8: Of the following statements, how would you rate your level of agreement? Source: Frost & Sullivan N69D-18 19
  20. 20. Across Vehicle Brands, Owners Have Similar Attitudes and Behavior Responses to Challenges Put Forth by the Economy Attitude Towards Vehicle Maintenance Behaviors: Percent Stronly Agree/Somewhat Agree Ford GM Chrysler Toyota Honda Nissan European M akes Other Asian M akes 80% 74% 69% 67% 68% 67% 66% 64% 61% 61% 63% 61% 62% 61% 58% 60% 59% 60% 56% 57% 56% 56% 56% 55% 56% 53% 54% 52% 52% 54% 52% 52% 50% 49% 50% 51% 51% 46% 41% 41% 38% 40% 31% 20% 0% The Fluctuating Gas I Incre ased the Amount I Have Reduced Othe r The Fluctuating Gas I Conscientiously Have Prices and Tight of Attention I Pay to my Activities (e.g., Eating Prices and Tight Reduced my Spe ed Economy Hav e M ade me Tire Pressure to Out, Going to the Economy Have me Look When Driving to Reduce Look for Ways to Cut Improve Fuel Efficiency M ovie s, Concerts, e tc.) For Ways to Cut Down Fuel Consumption Down on Other Types of on M aintenance Costs Vehicel Re lated Expe nses Q9: We would like you to think about your vehicle maintenance behaviors during the past 2-3 years, and for the following statements, please rate your level of agreement? Source: Frost & Sullivan N69D-18 20
  21. 21. Across Vehicle Brands, Owners Have Similar Attitudes and Behavior Responses to Challenges Put Forth by the Economy Attitude Towards Vehicle Maintenance Behaviors: Percent Stronly Agree/Somewhat Agree Ford GM Chrysler Toyota Honda Nissan European Makes Other Asian Makes 60% 50% 44% 44% 40% 35% 33% 34% 34% 32% 32% 32% 31% 32% 32% 32% 31% 30% 30% 30% 29% 28% 28% 28% 24% 25% 24% 24% 24% 23% 22% 23% 20% 21% 21% 19% 20% 18% 16% 15% 17% 15% 14% 11% 10% 11% 8% 6% 6%5% 0% 0% Wherever it is I Have Used As a Means of Saving I Have Changed my As a Means to Save I Have Recenty Available I Try to Use Chemicals/Additives on Repair Costs, I Work Location or on Costs, I Am More Purchased a More Eco-friendly Fuels for This Vehicle to Have Increased the Activities So I Drive Likely to Buy Fuel Efficient Vehicel Like Ethanol Enhance the Engine Length of Time Less Maintenance (e.g., Hybrid, Diesel, Performance Between Maintenance Consumables Like Scooter, etc.) for Intervals Engine Oil/Filters etc. Commuting in Bulk Note: Multiple mention question. Q9: We would like you to think about your vehicle maintenance behaviors during the past 2-3 years, and for the following statements, please rate your level of agreement? Source: Frost & Sullivan N69D-18 21
  22. 22. All Owners Demonstrate Strong Preference for OE Replacement Parts Key Take Away: The largest proportion of vehicle owners selects original equipment replacement parts when performing repairs or maintenance. Replacement Parts Preferences Ford (N=214) GM (N=303) Chrysle r (N=167) Toyota (N=117) Honda (N=84) Nissan (N=50) European M ake s (N=44#) Other Asian Makes (N=106) 60% 48% 44% 45% 40% 40% 38% 37% 34% 29% 21% 20% 17% 18% 18% 15% 16% 14% 16% 15% 16% 13% 14% 12% 13% 14% 14% 13% 14% 11% 10% 9% 9% 8% 7% 7% 6% 5% 5% 3% 4% 2% 4% 0% Original Equipment (OE) I Have Not Purchased Aftermarket National Whateve r the Whatev er is Av ailable Replaceme nt Parts (i.e. Replaceme nt Parts for Brands (i.e . Bosch, Dealership/Installe r Ford, GM, Toyota etc.) my Ve hicle DENSO, TRW, M oog, Use s etc.) Q21: When selecting replacement parts for your vehicle, which of the following do you primarily select? Source: Frost & Sullivan N69D-18 22
  23. 23. Strategic Conclusions • When it comes to service “take rates” and general attitudes and behaviors toward maintenance and repair, vehicle owners are similar across brands. • The changes in the economy did not produce significant differences in how owners of different brands behaved. • Demographics • Job loss • Vehicle type were stronger indicators than brand. • The factors most influenced by brand were service channel and maintenance service types: • The dealer is still the strongest channel across all brands for light maintenance and other repairs • Asian vehicle owners and especially Honda vehicle owners were very loyal to the dealership channel • The strongest threat to GM and Ford dealerships are the independent repairers for both maintenance services and other repairs. Convenience and confidence are the strong draw for that channels • All owners of all vehicle brands were showing use of service specific centers; (LOF for oil changes and tire chains for tire rotation and balancing) but usage was stronger amongst domestic brand vehicle owners N69D-18 23
  24. 24. Recommendations • All brand owners showed an increased tendency to increase the interval between maintenance and repair services. • Declining job counts • Declining value per job • Reduced opportunities for inspection/identification of other issues • Asian brand vehicle owners are still loyalty to the dealership channel because of their confidence in the quality of the service. Asian brand vehicle owners are less motivated by convenience than domestic brands • European brand vehicle owners are showing strong agreement with environmental statements • OE brands are the primary choice for all vehicle brands but domestic vehicle owners as well as “other Asian brand vehicle owners” appear to be more open to other types of parts. Investigate alternatives products for alternative vehicles. • No matter what the vehicle brand, owners are adopting similar methods for dealing with the economic downturn. Cost saving promotions should be directed to all makes/models N69D-18 24
  25. 25. Next Steps Request a proposal for a Growth Partnership Service to support you and your team to accelerate the growth of your company. (myfrost@frost.com) 1-877-GoFrost (1-877-463-7678) Register for the next Chairman’s Series on Growth: The Growth Excellence Model: Competitive Benchmarking & Growth Investing (October 6th) (http://www.frost.com/growth) Register for Frost & Sullivan’s Growth Opportunity Newsletters and keep abreast of innovative growth opportunities. (www.frost.com/news) N69D-18 25
  26. 26. Your Feedback is Important to Us What would you like to see from Frost & Sullivan? Growth Forecasts? Competitive Structure? Emerging Trends? Strategic Recommendations? Other? Please inform us by taking our survey. N69D-18 26
  27. 27. For Additional Information Jake Wengroff Mary-Beth Kellenberger Global Director Global Program Manager Corporate Communications Automotive Aftermarket Tel: 210-247-3806 Tel: 416-490-1997 E-mail: jake.wengroff@frost.com E-mail: mkellenberger@frost.com Rolando Barrera Research Analyst Customer Research Tel: 210-247-2465 E-mail: rolando.barrera@frost.com N69D-18 27

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