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Consumers Trust Independent Shops Over Dealerships for Car Repairs: Pricing is Key Issue, According to New Survey

Consumers Trust Independent Shops Over Dealerships for Car Repairs: Pricing is
                      Key Issue, According to New Survey

AutoMD.com survey reveals consumers who shop for quotes report lower estimates
at independent repair shops; four in five would not have chosen the dealership
for repairs if vehicle was not under warranty/recall

PR Newswire

CARSON, Calif., Jan. 23, 2013

CARSON, Calif., Jan. 23, 2013 /PRNewswire/ --A recent online survey on auto
repair conducted by AutoMD.com* showed that while consumers are generally
satisfied with their dealership experience, they trust independent repair
shops over dealerships for auto repairs by two to one. Better prices and
mechanic relationships are the keys for independent repair shop preference,
with 80% surveyed reporting they felt they had been overcharged for a repair
at a dealership, and over 90% believing they can save at least 10% by visiting
an independent shop. Meanwhile, most report choosing the dealership service
center instead of an independent repair shop because their vehicle was under
warranty/recall.

(Photo: http://photos.prnewswire.com/prnh/20130123/LA46699)

But is this notion that dealerships are more expensive just a perception? Not
according to the majority of respondents who say they have actually
comparison-shopped repair job quotes: a whopping 87% reported that independent
shop quotes were more affordable than dealership quotes.

"It is no secret that consumers are holding onto their vehicles for record
lengths of time, meaning more and more visits to the repair shop or dealer
service center," said Brian Hafer, VP of Marketing for AutoMD.com."We
conducted this snapshot survey to provide a window into how today's car owners
feel about their repair shop/dealership service center options, and found that
price and relationships are making consumers push the independent trigger -
unless their vehicle is under a dealership warranty. But, with so many aging
cars now falling outside the warranty, this survey indicates that consumers
are going to compare repair quotes - and then go where they believe the price
is right."

Survey Highlights

Car Owners Trust Independent Repair Shops More/Over-charging Perception
Undermines Dealership Satisfaction

Sixty-seven percent of respondents said that they trust an independent repair
shop more than a dealership to repair their vehicle.

Who do you trust more to repair your car:

An independent repair shop or a dealership?
Independent Repair Shop         67%
Dealership                      33%

When asked why they preferred the independent repair shop, the top two reasons
were: 1) a relationship with their local mechanic (40%) and 2) better pricing
(at nearly 30%).

Why do you trust an independent repair shop more than a dealership?
I have a relationship with my local mechanic; I always take my car there   40%
I know I'll get a better price for repairs at an independent repair shop   29%
Even though I could have them install more expensive automaker parts, they 9%
don't dictate that I have to use them
Their mechanics are knowledgeable; they fix all types of vehicle brands    8%
and I trust that they can fix mine
They offer the best guarantee (parts/labor)                                2%
Other                                                                      12%

Furthermore, the survey revealed that over 80% of respondents reported they
had felt overcharged at the dealership, with 59% claiming that the overcharge
was at least $200 and nearly 20% claiming over $500.Plus 47% said paying a
premium or paying for unnecessary repairs / service is the worst part of the
dealership experience.

But it is not all bad news for dealerships: 47% of those who utilize
dealership service centers said they were either satisfied or very satisfied
with their experience, with 23% feeling neutral. However, of those who were
dissatisfied with their dealership experience (30%), the belief that they had
been overcharged was the number one driver of dissatisfaction. And of the 33%
who say they trust the dealership more than the independent shop for repairs,
60% cited the dealership mechanic's knowledge of and familiarity with their
particular model as the reason for their preference.

Dealership Visits Driven by Warranties/Recalls

But it would appear that of those who go to the dealership for repairs, the
vast majority are only doing so because their vehicle is under warranty or
recall: 83% report that they would not have chosen the dealership if their
vehicle hadn't been under warranty/recall. The top reason? Repairs at the
dealership are more expensive than at the independent repair shop (51%).

Car Owners Believe They Can Save at Independent Repair Shops - and Price
Quotes Prove Them Right

Nearly two-thirds of respondents believe they can save over 20% on repairs by
choosing an independent repair shop over a dealership, and 72% say a savings
of just 10% would make them opt for the repair shop over the dealership.

This is not just perception or speculation, it's an educated opinion.
Consumers are looking for comparison quotes: 78% say they have compared repair
job quotes between the dealership and independent repair shop. The results
overwhelmingly show that independent repair shop quotes are more affordable
(87%).

Savings appears to be a key driver of consumers being proactive in getting
repair quotes: 78% said that if they knew it would save them 10% or more, they
would compare repair job price quotes.

^*The AutoMD.com survey was conducted online among over 3,000 car owners from
November 2 – December 12, 2012.

About AutoMD.com
AutoMD.com™ (www.automd.com), a wholly-owned subsidiary of US Auto Parts
Network, Inc., (Nasdaq: PRTS), is the most comprehensive and unbiased free
online automotive repair resource designed to empower car owners with the best
way to repair their vehicles. Backed by a team of automotive data specialists
and certified auto mechanics who are advocates for the car owner, AutoMD.com
allows both car owners and DIYers to 1. Troubleshoot car problems, 2. Know how
much auto repairs should cost, 3. Understand the steps needed and the time it
should take with How-to Auto Repair guides, 4. Find the right local auto
repair shop at the right price for their issue, and 5. Get auto repair
questions answered by the AutoMD.com community. AutoMD.com was named Best
Automotive Website in the 8^th annual American Business Awards, also known as
the Stevie^® Awards. AutoMD Mobile is available for the iPhone at iTunes.

Contact:
Media Relations
Crystal Hartwell, mWEBB Communications, (714) 987-1016, crystal@mwebbcom.com

SOURCE AutoMD.com

Website: http://www.automd.com