Independent dealers are seeing costs, especially for reconditioning increase.
According to data compiled by the National Independent Automobile Dealers Association, the average recon cost in 2022 rose to $1,160. Those cost have already increased in 2023. According to NIADA Vice President of Dealer Services Jeremy Beck those costs have increased to north of $1,300 in the first quarter of 2023.
But with inventories remaining tight, dealers must take on the costs to get vehicles to the front lot for customers.
During Accelerate 2023 at the Wynn in Las Vegas, one of the 63 education sessions at the largest convention and expo for the independent dealer will focus on helping dealers control costs during reconditioning. The “Recon for Profit” session is scheduled for 3:15 p.m. Wednesday, June 21.
Presenter Billy Darr of Collision Center Rehab said he will tackle the constraints keeping dealers from getting cars to the front line in a timely fashion.
“This is a fixed operations course that is designed to give you some information about how to better improve the service department,” Darr said.
“We’re going to into touch time for the technicians. How production efficiency actually affects your profitability throughout the shop.”
He will also look at the key performance indicators for the shop.
Early-bird registration remains open for Accelerate 2023 through May 15 at niada.com/convention/.