BodyShop Business recently conducted a poll to determine what repairers' outlook is for 2009. Here are the results:
Was your business in 2008 better, equal to or worse than it was in 2007?
Better: 36.6%
Worse: 36.6%
Equal to: 26.7%
Do you expect that your business in 2009 will be better, equal to or worse than it was in 2008?
Equal to: 39.1%
Better: 32.3%
Worse: 28.6%
What do you think will have the biggest impact on your business in 2009?
Paint costs: 50.9%
Energy costs: 50.3%
Steering: 43.5%
Unvalidated labor rates: 36.0%
DRP concessions: 26.1%
P-page disputes: 21.7%
Parts availability/pricing: 21.1%
Lack of adjuster/insurer field staff training: 20.5%
Other: 16.1% (listed below)
Legislation: 14.3%
Third-party desk reviews: 14.3%
Staffing: 12.4%
Changing vehicle technology: 8.1%
Changing repair processes: 6.8%
Other factors as written in by respondents:
Weather
Insurers ramming DRP policies into our shop
Insurance salvage auto sales/totaling for profit
Less people with insurance coverage
Taxes and regulations
The new administration
Closing shops
Desperate shop owners
Customers "cashing out"
What percent sales growth do you foresee for your shop in 2009?
0-5%: 42.9%
5-10%: 20.5%
10-15%: 8.1%
Over 15%: 4.3%
Do you feel your net profit margin in 2009 will be greater than, equal to or lower than what it was in 2008?
Equal to: 41.0%
Lower: 32.9%
Greater: 26.1%
Do you feel the credit crunch or banks' tightening of loan requirements will impact your business in 2009?
Yes: 62.1%
Not sure: 19.9%
No: 18.0%