Midwestern January 2016 Issue

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2 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com


COLUMNISTS Attanasio - 5 Smart Marketing Moves to Make in 2016 . . . . . . . . . . . . . . . . . . . . . . 38 Attanasio - It’s a Doggone Good Life for a Body Tech and His Best Friend . . . . . . . . . 34 Luehr - The Happy, Well Informed Customer . 36 Phillips - Body Shop Vice President in GA Says Be Prepared for the Unexpected . . . . 26

NATIONAL 2 Fiat Chrysler Dealerships, Closed After Years of Bankruptcy Litigation, Are Reopening . . . . . . . . . . . . . . . . . . . . . . . . 63 3M™ Introduces Impact Resistant Structural Adhesive . . . . . . . . . . . . . . . . . . . . . . . . . 47 ALLDATA President Discusses Importance of Trade Shows, Future Plans . . . . . . . . . . 50 American Honda is Among Industry Leaders with Eight Honda and Acura Vehicles Earning a 2016 TOP SAFETY PICK+ Rating from the IIIHS—New Crash Protection and Technology Requirements Factored into the Ratings . . 61 ARA Works on Important Issues for 2016. . . 52 Auto Safety Ratings to Include Collision Prevention . . . . . . . . . . . . . . . . . . . . . . . . 46 Axalta Enhances Nap-Guard®, Announces Role in North American International Auto Shop Charity Preview . . . . . . . . . . . . . . . . 51 BASF Hires Tim Dawe as New Sales Director . . 60 Behind-The-Scenes Tour of CAPA Parts Certification Vehicle Test Fit/VTF Process . . 28 Cadillac to Launch Aluminum Repair Network . 62 Caliber Collision Teams Up With Insurance Partners to Donate Record 30 Recycled Rides™ in 2015 . . . . . . . . . . . . . . . . . . . . 55 California to Sue Car Donation Charities . . . . 21 Car-O-Liner Approved by GM for Structural Repairs on CT6 . . . . . . . . . . . . . . . . . . . . 47

CARSTAR Chicago Business Group Shows Continued Support of Local Fisher House. . 12 Chinese Carmaker Cowin Pioneers Crowdsourcing. . . . . . . . . . . . . . . . . . . . . 63 Chinese-Backed Electric Carmaker Picks Nevada for $1 Billion Plant to Be Built Near Las Vegas . . . . . . . . . . . . . . . . . . . . 46 Customer finds his ‘Totaled’ Car for Sale at Dealership . . . . . . . . . . . . . . . . . . . . . . 30 DOT Recommends Updated Safety Rating System . . . . . . . . . . . . . . . . . . . . . 48 Driven Brands Acquires CARSTAR Canada and Announces Senior Leadership Changes at CARSTAR US . . . . . . . . . . . . . . . . . . . . . . 54 Electronic Paintless Dent Reduction Device introduced at SEMA . . . . . . . . . . . . . . . . . 13 EMM’s Colad Optimus & Colad Advanced Cut Introduced . . . . . . . . . . . . . . . . . . . . . 60 Fiat Chrysler to Pay $70 M U.S. Auto Safety Fine . . . . . . . . . . . . . . . . . . . . . . . . 48 First Autonomous Buses Will Hit the Road In Spring 2016, Swiss Company Says it Can Control Fleets . . . . . . . . . . . . . . . . . . . . . . 62 GM Approves Spanesi Benches & Jig System for GM Vehicles . . . . . . . . . . . . . . . . . . . . 47 Google Compare Sells Insurance Comparisons Only . . . . . . . . . . . . . . . . . . 59 Houston Digital Corporation Releases Q-Scheduler . . . . . . . . . . . . . . . . . . . . . . . 47 Hyundai-Kia Involved in OIN Patent Non-Aggression . . . . . . . . . . . . . . . . . . . . 59 ICBC Selects Mitchell International as Strategic Material Damage Solution Provider . . . . . . 44 Integration Between PartsTrader and Axalta’s ProfitNet Said to Simplify Tasks for Body Shops . . . . . . . . . . . . . . . . . . . . . . . . 4 Melissa Miller, CARSTAR’s New VP of Operations, Discusses New Role and WIN Participation . . . . . . . . . . . . . . . . . . . 60 Most Influential Women Award to Be Announced in May . . . . . . . . . . . . . . . . . 18 National Auto Body Council Elects 2016 Board & Officers . . . . . . . . . . . . . . . . . . . 60 New Year Brings the Collision Industry Some ‘Unfinished Business’ from 2015 . . . . . . . . 1 November News for ASA-AZ. . . . . . . . . . . . . 18 OpenbayASP App Monitors Repairs from Phone . . . . . . . . . . . . . . . . . . . . . . . 22 PA Body Shop Owner Addresses Markup Fees with Insurance Companies . . . . . . . . 56 Photo Damage Bill Passes PA House Despite PCTG Opposition, Association to Oppose in Senate . . . . . . . . . . . . . . . . . . . . . . . . . 58 PPG Announces Sponsorship of Women’s Industry Network . . . . . . . . . . . . . . . . . . . 63 PPG Launches DITZLER® Satin Clear Kit . . . 25 Property Damage Appraisers’ Virtual Estimating Tool Earns High Marks . . . . . . . . . . . . . . . 52 Prospray® Automotive Finishes Introduces Bold New Packaging. . . . . . . . . . . . . . . . . 44 Quality Parts Coalition Says Consumers Have Saved $363M By Using Aftermarket Parts . . 63 Recent Texas Ice Storm Impacts Local Businesses . . . . . . . . . . . . . . . . . . . . . . . 61 Service King Hosts Hire a Veteran Development Day . . . . . . . . . . . . . . . . . . 51 Shops in Louisiana and Elsewhere See ‘Adjusted’ Labor Rates After State Farm Rezones Markets . . . . . . . . . . . . . . . . . . . 43 Single Source Adds New Member to Advisory Board. . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Steps to CAPA Certification . . . . . . . . . . . . . 29 Strategies and Tips for Shops Interested in Becoming a DRP . . . . . . . . . . . . . . . . . . . 40 Texas Vehicle Crashes and Fatalities Continue to Rise According to Insurance Council. . . 22 UK Insurers: Luxury Car Drivers Have More Accidents. . . . . . . . . . . . . . . . . . . . . . . . . 44 Vehicles 14 Years & Up Soar . . . . . . . . . . . . 44 Wind Storm Leaves WA Auto Body Shops Booked Through Mid-Jan . . . . . . . . . . . . . 52

rampant misinformation that is being distributed, regardless of the intent of the source. Also, we’re well aware that regulatory authorities such as California’s BAR are not only featured in Autobody News, but that they’re active readers. Numerous actions have been taken as a result of articles like this in our publications. The individual featured in the story has been reported to the local authorities—not by us, but by local readers, who are the greatest stakeholders in the matter. This is the reasoning that went into last month’s story, but in doing so we have a dilemna. Not only can our intent be misunderstood by some readers as happened here, but outside publications will be naturally wary of granting permission if they think we’re just criticizing their stories. That would quickly cause our sources to dry up. The solution, we believe, is to mark such stories with a coded box (such as this one) and trust that our readers continue to understand that we do not editorialize except in columns by our regular editors and writers, and that we support all legitimate stakeholders by trying to report accurate and timely information whatever the source. There are plenty of opinions in this industry and we don’t feel the need to contribute our own. In short, if there’s a story you don’t agree with, let us know, but first look outside the lines.

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Assistant Editor: Stacey Phillips Online Editor: Victoria Antonelli Contributing Writers: Tom Franklin, John Yoswick, Janet Chaney, Toby Chess, David Brown, Rich Evans, Ed Attanasio, Chasidy Sisk, David Luehr Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Sales/Research Associate: Cass Heckel Art Director: Rodolfo Garcia

Abaris Training Resources, Inc. . . . . 4 Allstate Insurance Company. . . . . . 12 Audi Wholesale Parts Dealers . . . . 54 Axalta Coating Systems . . . . . . . . . . 2 Blue Springs Ford . . . . . . . . . . . . . . 39 BMW Wholesale Parts Dealers . . . . 59 Bob Hook Chevrolet . . . . . . . . . . . . 25 Car-Part.com . . . . . . . . . . . . . . . . . . 16 CarcoonAmerica Airflow Systems . 34 Certified Automotive Parts Association (CAPA). . . . . . . . . . . 31 Charles Gabus Ford . . . . . . . . . . . . 23 Classic Chevrolet . . . . . . . . . . . . . . 27 Classifieds. . . . . . . . . . . . . . . . . . . . 62 Courtesy Subaru. . . . . . . . . . . . . . . 43 Dent Magic Tools . . . . . . . . . . . . . . 14 Eco Repair Systems of North America, LLC . . . . . . . . . . 13 EMM . . . . . . . . . . . . . . . . . . . . . . . . 64 Equalizer Industries, Inc. . . . . . . . . . 8 Erhard BMW of Bloomfield Hills . . . 28 Erhard BMW of Farmington Hills . . 28 Eurovac, Inc. . . . . . . . . . . . . . . . . . . . 6 Ganley Westside Hyundai . . . . . . . 22 Ganley Westside Subaru . . . . . . . . 19 GM Wholesale Parts Dealers . . . . . 57 Graham Auto Mall . . . . . . . . . . . . . . 51 H & S Autoshot Mfg. Co. . . . . . . . . 21 Hall Volkswagen-Mazda . . . . . . . . . 24 Hendrick Automotive Group . . . . . . 15 Herkules Equipment Corporation. . 10 Honda-Acura Wholesale Parts Dealers . . . . . . . . . . . . . . . . . 32, 33 Hyundai Wholesale Parts Dealers . 58 Isringhausen Imports . . . . . . . . . . . 45

Serving Illinois, Iowa, Indiana, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, Wisconsin and adjacent metro areas. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2016 Adamantine Media LLC. Autobody News Box 1516, Carlsbad, CA 92018; (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com

Midwest

REGIONAL AASP-MN Annual Meeting & Leadership Conference . . . . . . . . . . . . . . . . . . . . . . . . 8 AkzoNobel Opens $10M Research Facility in OH . 6 ASA Co-Hosts Second Annual Vehicle Safety Inspection Forum . . . . . . . . . . . . . . . . . . . . 6 ASA Testifies Before Michigan Senate Committee . . . . . . . . . . . . . . . . . . . . . . . . . 1 Auto Body Shop Certified by Assured Performance . . . . . . . . . . . . . . . . . . . . . . . 6 Church Brothers Collision Repair Car Show raises $15,000 for Scholarship Foundation . 10 Ford is First Automaker to Test Autonomous Vehicles at Mcity at U of M. . . . . . . . . . . . . . 10 Freer Auto Body’s Cookies and Cocoa Event Held in IL to Help Others Have a Nice Holiday . . 16 GFS Breaks Ground on $6 Million Center For Excellence in Wisconsin . . . . . . . . . . . . 4 Kia Racing Champion Jason Wolfe Shares his Success Behind the Wheel . . . . . . . . . 24 Midwest Auto Body Trade Show Will “Focus On The Future” . . . . . . . . . . . . . . . . . . . . . 1 MW ASA-CO Partners with NAPA and BG to Offer Service Advisor Training . . . . . . . 48 Nagy’s Collision Centers Announces New OH Location & Helps Promote Alzheimer’s Research . . . . . . . . . . . . . . . . . . . . . . . . . 10 Nebraska Auto Body Assn (NABA) Closes End of 2015 Meeting with Elections . . . . . . 8 New East-County, MO Body Shop Caters On Give Tuesday, Vietnam Vet and VA Volunteer Receives Recycled Rideto Farmers . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Paint Booth Filtration Companies A.J. Dralle, Inc. and Volz Luftfilter Form Strategic Partnership . . . . . . . . . . . . . . . . . . . . . . . 42 Phillips - Nebraska MSO Owner Says the Only Constant in Industry is Change . . . . . 14 WI Governor Signs Bill to Allow Repairs at Any Facility. . . . . . . . . . . . . . . . . . . . . . . . 12 Zara’s Collision Center in Illinois Gives Away Olds Alero as Part of Benevolence Program . 9

A Note about Stories Sourced from Mainstream Media

A number of readers called and/or wrote to us last month about a particular story we ran in our December issues featuring a detailer in Mesa, Arizona who—they complained, was spraying solvent in open air, and also talking disparagingly about the industry, body shops, and insurers. The story was written by a local media source who was kind enough to give us permission to reprint the story. Whenever reprints like this occur in any publication, permission is obtained and given contingent on no edits or changes being made by us to the original story. Those are the circumstances under which we agree to reprint the article. In addition we agree that we will not ‘sidebar’ or editorialize on their content. The readers pointed out that by publishing this article we were “promoting” illegal activity and that the story was written by someone with no real knowledge of the industry. That, of course, we knew when we decided to print it. Many years ago we had a regular column called “Mainstream Media,” which was designed to show our readers what was being said in non-trade publications about body shops. Many of these stories were naive about the industry and some were absolutely off base. We ran them under that headline in order to remind shop owners that they need to be vigilant about what consumers are reading about the industry. This makes sense to us given the

Indexof Advertisers

Contents

Jake Sweeney Chevrolet . . . . . . . . 48 Kelly BMW . . . . . . . . . . . . . . . . . . . . 50 Kia of Des Moines . . . . . . . . . . . . . . 23 Kia Wholesale Parts Dealers. . . . . . 53 Larson Electronics, LLC.. . . . . . . . . 18 Laurel Auto Group of Westmont . . . 49 Luther Hopkins Honda . . . . . . . . . . 30 Maplewood Toyota-Scion . . . . . . . . 38 Mazda Wholesale Parts Dealers . . . 61 Mercedes-Benz . . . . . . . . . . . . . . . . 11 Mitsubishi Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 63 MOPAR Wholesale Parts Dealers . . 37 Morrison’s Auto Parts . . . . . . . . . . . 44 Nissan of South Holland . . . . . . . . . 46 Palmen Buick GMC Cadillac. . . . . . 42 Patrick BMW-MINI . . . . . . . . . . . . . . 41 Richfield-Bloomington Honda . . . . 26 Russ Darrow Automotive Group. . . 29 SATA Spray Equipment . . . . . . . . . . 7 Sherwin-Williams Automotive Finishes . . . . . . . . . . . . . . . . . 16, 17 Subaru Wholesale Parts Dealers . . 52 The Hail Team, LLC. . . . . . . . . . . . . 40 The Sharp Collection of Automobiles . . . . . . . . . . . . . . . . 35 Toyota of Des Moines . . . . . . . . . . . 23 Toyota of Grand Rapids . . . . . . . . . 36 Toyota Wholesale Parts Dealers . . . 56 U-POL . . . . . . . . . . . . . . . . . . . . . . . . 9 Urethane Supply Company . . . . . . 20 Valspar Automotive . . . . . . . . . . . . . . 5 VanDevere Kia-GM . . . . . . . . . . . . . 47 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 55

www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 3


Integration Between PartsTrader and Axalta’s ProfitNet Said to Simplify Tasks for Body Shops

PartsTrader has announced an integration between the PartsTrader platform and the ProfitNet™ Management System. ProfitNet is a product from Axalta Coating Systems, the leading global manufacturer of liquid and powder coatings. The new ProfitNet™ Collision Shop Management System (CSMS) interface is a two-way electronic interface between the ProfitNet Management System and PartsTrader that helps eliminate redundant tasks between the two systems. Key information needed for parts procurement and order status can now seamlessly be transferred between parts vendors and collision shops using the ProfitNet Management System. The ProfitNet CSMS is a software program is designed to measure and manage all aspects of the collision repair business. The program provides collision shop owners with detailed operational and financial information needed to make decisions regarding the productivity and profitability of their businesses. “By partnering with Axalta, PartsTrader continues in its commitment to streamlining the parts procurement process with this integration between two industry leading platforms,” said Dale Sailer, PartsTrader’s Vice President

of Business Development. “Collision repairers who use both PartsTrader and the ProfitNet CSMS are positioned to achieve additional savings. The improved margins that PartsTrader can help collision repair shops achieve, combined with the reduced administration costs by using the ProfitNet CSMS, are designed to result in bottom line profits for our mutual customers.” “Currently, PartsTrader software is widely used by Axalta customers via their estimating platforms,” stated Tom McGarry, Axalta’s North American Information Technology Services Manager. “Now they can easily use much of the PartsTrader functionality from within the ProfitNet CSMS, thereby saving time and eliminating potential errors from double entries. Axalta is dedicated to enhancing the ProfitNet CSMS with the latest technology to help lower shops’ administrative costs by providing a management solution that is affordable, easy to use and communicates with all industry software partners including parts procurement software, Customer Satisfaction Index services, dealership management software, paint software, auto rental services and accounting software.”

On Give Tuesday, Vietnam Vet and VA Volunteer Receives Recycled Ride Ever since his car broke down and couldn’t be repaired, Recycled Rides recipient Willie B. Pargo had been taking the bus over an hour each way to continue his volunteer work at the Minneapolis VA. Now he has a reliable vehicle thanks to LaMettry’s Collision, American Family Insurance, NABC’s Recycled Rides program, and local vendor partners.

Recycled Rides recipient Willie B Pargo inside his new 2012 Chevrolet Malibu

The military and volunteer service of Pargo was recognized in December at the Recycled Rides event on “Give Tuesday,” when he was presented the keys to a 2012 Chevrolet Malibu by LaMettry’s VP JR LaMettry. Speakers at the event included LaMettry’s President of Operations Darrell Amberson, Chairman of the Board of Directors for the River Heights Chamber of Commerce Kelton Glewwe, and Dakota County Sheriff Tim Leslie. Sheriff Leslie reminded everyone, “This is give

Tuesday, [but] we can do something every day to help our veterans. Say ‘thank you’ to them, donate, fly the flag, visit a VA hospital or home, and when you talk to them, ask how they are doing and stop to listen.” Last to speak at the ceremony was Commander Glenn Boche of The Military Order of the Purple Heart Minnesota Department. He shared background on the Purple Heart award with the crowd. “Willie and I are both Vietnam Veterans. Willie and I are the survivors. The Purple Heart is not an award that anyone who joins the service wants to achieve, for obvious reasons, because there are only two categories of people that get this award; those that are wounded and survive, which Willie and I were very lucky to, and those that were killed.” Boche concluded, “I’ve known Willie for at least four or five years as a volunteer myself out at the VA Hospital. I can’t think of a more deserving person. He is out there at the VA hospital every day of the week, Monday through Friday, doing his thing out there. Sometimes he’s hard to catch up to because he’s moving so fast. Thank you Willie for what you’ve done, thank you for your service, thank you for all you do out at the hospital!” This is the sixth vehicle LaMettry’s has repaired and donated through the NABC’s Recycled Rides Program.

4 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

GFS Breaks Ground on $6M Center for Excellence in Wisconsin Global Finishing Solutions (GFS) broke ground on its new Center for Excellence. The company said the 80,000 square-foot facility will house a state-of-the-art training and product R&D center with additional space for expansion. Construction will be completed by August 2016. “Our new building will truly showcase our latest advanced paint booth technologies, including our REVO Accelerated Curing Systems, in order to demonstrate for our distributors and customers how our newest products dramatically improve body shop repair efficiency and quality. The new R&D area accommodates our growing product line and faster pace for introducing revolutionary new products to the industry,” noted Global Finishing Solutions President Jim Faragher. The Center for Excellence will allow GFS employees, distributors and customers to continuously improve support, service and understanding of the latest GFS products. GFS designed the facility with full preparation and paint areas to closely mirror a working body shop. The comprehensive design gives GFS engineers new capabilities to develop, field test, modify and then re-test new technology to deliver products to

market faster. Training will be offered in a dualbay downdraft GFS Ultra XR CTOF paint booth integrated with the REVO Rapid OR2 curing system. Configured for single stall repair, this new equipment combination will allow users to see how REVO Systems significantly reduce cycle time and allow shop technicians to complete each stage of an auto body repair in one spot, without having to move the vehicle. Additionally, GFS will install an Ultra XR downdraft paint booth integrated with the REVO Speed for hands-on practice. Two Ultra XD paint mix rooms will complete the Training Center floor plan. Faragher added, “Creating the Center for Excellence with cuttingedge body shop processes and equipment fully aligns with our strategy of continuously improving our service to the market.” GFS is currently scheduling distributor training sessions to begin summer 2016.

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ASA Co-Hosts Second Annual Vehicle Safety Inspection Forum

On Dec. 2, 2015, the Automotive Service Association (ASA), ASA-Midwest and the Missouri Alliance of Automotive Service Providers (AASP-MO), held the Second Annual Vehicle Safety Inspection Forum. Attendees heard presentations from a number of automotive safety experts, shared their own experiences with safety inspections and collaborated on strategies to improve public awareness of the importance of preventative maintenance. Forum participants included:

One of the major issues raised during the forum was the lack of data comparing the numbers of automotive accidents, injuries and deaths in states with safety inspection programs to

● Doug Woolverton, Hunter Engineering ● Paul Meyer, Missouri State Highway Patrol ● JoJo Heselmeyer, Texas Department of Public Safety ● Lester Elder, Missouri State Highway Patrol ● Paul Rehbein, Missouri State Highway Patrol ● Jade Winfree, U.S. Government Accountability Office (GAO) ● Steve Hoskins, Motor Vehicle Bureau, Missouri Department of Revenue ● Ben Steinman, ASA-Midwest ● Mike Moehlenkamp, AASP-Missouri ● Joe Battista, Parsons Engineering

As part of the 2nd Annual Vehicle Safety Inspection Forum held in St. Louis, Mo., Dec. 2, there was a panel discussion moderated by Tony Molla, ASA vice president. Participating on the Motor Vehicle Administrators’ Panel from l-r are: JoJo Heselmeyer, state of Texas senior manager of compliance and enforcement service; Capt. Lester Elder, director, Motor Vehicle Inspection Division for the Missouri State Hwy. Patrol; Jade Winfree, Government Accountability Office researcher; Steve Hoskins, administrator, Motor Vehicle Bureau, Missouri Dept. of Revenue; and Paul Rehbein, senior chief Motor Vehicle Inspection inspector, MVI Division, Missouri State Highway Patrol

Auto Body Shop Certified by Assured Performance

AkzoNobel Opens $10M Research Facility in OH

Woodman Collision Center has been certified by Assured Performance, a nonprofit consumer advocacy organization. In achieving their certification, the business is now part of an auto body repair network and is officially recognized by GM, Fiat-Chrysler Automotive, Ford, Nissan and Hyundai. To become certified, Woodman Collision Center passed the certification process. Less than five percent of body shops across the nation are able to meet the requirements. The certification criteria are based on auto manufacturer requirements. These are critical to ensure the vehicle fit, finish, durability, value and safety after an accident. As new model vehicles are being introduced that use lightweight, high-strength materials and advanced technology, a proper repair according to manufacturer specification is even more important than ever to ensure the passenger safety and proper performance of the vehicle. Auto manufacturers want to ensure that consumers have the option of certified collision repair.

AkzoNobel opened a new research, development and innovation (RD&I) center in Strongsville, Ohio. The $10 million facility will support several of the company’s Performance Coatings businesses, including coil, extrusion and packaging coatings. Featuring full testing, scale-up and analytical capabilities, it will house more than 120 staff. AB Ghosh, managing director of AkzoNobel's Metal Coatings business, said, “By expanding our facility in Strongsville, we are providing a central, state-of-the-art technical resource for our businesses in North America, creating the critical mass for effective RD&I to more efficiently support our customers.” Performance Coatings RD&I Director, Klaas Kruithof, added, “This is a significant investment which underlines our focus on technology and product innovation, as well as our commitment to the North American market.” The company recently announced that it is investing around $3.4 million to expand its RD&I capabilities in Houston, Texas.

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states without safety programs. Jade Winfree, a senior researcher involved with the recent GAO safety inspections report, said that although the majority of automotive administrators in states with safety inspections were confident about the benefits of the programs, an increase in federal guidance, collaboration and information sharing could improve their overall quality. Capt. Lester Elder echoed Winfree’s remarks about the need for this data at the state level. Both Hunter Engineering’s Doug Woolverton and Texas Department of Safety’s JoJo Heselmeyer stressed the common-sense element of preventative maintenance and also the difficulty of capturing data. Audience members and panelists offered strategies to improve access to this data, including greater information sharing among vehicle inspection stakeholders, from accident teams to state administrators to shop owners. Tony Molla, ASA vice president, who moderated the auto administrators’ panel during the forum said: “There is a universal consensus among today’s participants when it comes to the high value of safety inspections. The challenge we face now is educating the public, consumers and policymakers about

what we know to be true. We’ve seen the safety issues that can occur in cars, even within a year’s time. These programs allow repairers to identify and fix these problems before the accident.” For those unable to attend, a video recording of the complete program will be available soon. Next year’s automotive safety inspection forum will be held in Texas. Donny Seyfer, ASA chairman, who moderated the second panel discussion during the event, said the forum’s success was due in large measure to Hunter Engineering. “ASA would like to express its sincere appreciation and offer our thanks to Hunter Engineering for its excellent facility and first-rate hospitality, along with that of ASA-Midwest and AASPMO for their support for this event,” said Seyfer. The Automotive Service Association is the largest not-for-profit trade association of its kind dedicated to and governed by independent automotive service and repair professionals. ASA serves an international membership base that includes numerous affiliate, state and chapter groups from both the mechanical and collision repair segments of the automotive service industry.


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AASP-MN Annual Meeting & Leadership Conference

The Alliance of Automotive Service Providers of Minnesota (AASP-MN) announced its annual meeting and leadership conference will be held April 14 at the Ramada Plaza Hotel, 1330 Industrial Blvd., Minneapolis. This year’s event, with a theme to “Lead the Way,” offers a line-up of seminars that are specifically geared for mechanical and collision repair shop owners and managers and are presented by some of the industry’s top trainers. In addition to the robust agenda of educational programming, there will be ample opportunity for attendees to network and socialize with their peers and industry vendors as they showcase new products and services during happy hour.

Here’s what’s in store: 8:00 – 10:00 a.m.: Mastering the 5 Skills for Effective Leadership, Richard Flint, Richard Flint International 10:15 – 11:15 a.m.: Help - My Industry is Consolidating!, Brad Mewes, Supplement! 11:30 am – 1:15 p.m.: AASP-MN Membership Meeting &Keynote Address: “No More Excuses, It’s NonNegotiable,” Sam Silverstein, Sam

Silverstein, Inc. 1:30 – 2:15 p.m.: Building Your Accountable Organization, Sam Silverstein, Sam Silverstein, Inc. 1:30 – 3:30 p.m.: Increase Your Diagnostic Labor Sales, Kelly Bennett, Business Training International 1:30 – 3:30 p.m.: Collision Workflow: Better Scheduling = Greater Success, Kent Carlson, Collision Resources, Inc. 2:30 – 3:30 p.m.: Authentic Persuasion: Communication That Moves Others to Action, Josh Dye, Convene, LLC 3:45 – 4:45 p.m.: Networking Roundtable 4:45 – 6:00 p.m.: Social Hour & Vendor Showcase 6:30 – 9:00 p.m.: Group Outing

More information will be released as it becomes available on the AASP-MN website, www.aaspmn.org or by calling the AASP-MN office at 612-623-1110. AASP-MN is an association of independently-owned automotive service businesses and industry suppliers dedicated to improving Minnesota’s automotive service industry and the success of its over 750 members. For more information, visit www.aaspmn.org.

8 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

Nebraska Auto Body Assn (NABA) Closes End of 2015 Meeting with Elections

The 2016 roster has another Mike Anderson seminar next March. The Nebraska Auto Body AssociaElections were held this year and tion (NABA) wrapped up 2015 with the NABA welcomes a new slate of a successful meeting in Grand Is- officers. President Trevor Emahizer, Collision Repair Center GM at Plaza Buick-GMC, Omaha; Vice-President, Dave Yard, The Collision Center, Ashland; SecretaryTreasurer, Scott Meints, Joe’s Body Shop, Lincoln; Past-President , Troy Kimble, Heckman Body and Repair, Wisner; Director, Tom Tracy, Tracy’s Body Shop, Lincoln; Doug (l to r) Past-NABA President, Troy Kimble; Director, Keller, Eustis Body Shop, Tom Tracy; Past Treasurer, Chris Hunke; Secretary, Eustis; and Todd Barnard, Scott Meints; Vice-President, Dave Yard; Mike AnImperial Auto Renewal, derson; President Trevor Emahizer Imperial. land, Nebraska, November 14th. The The current Board thanked the second year of this revitalized asso- past Directors for their strong support ciation has continued to build a through thick and thin: Mel Hunke, strong infrastructure. Dennis Mitchell and Chris Hunke. In its new two-year history, the The Board also recognized, with deep NABA meetings have covered the respect and appreciation, the memfollowing topics: Parts Trader, Mike bers and sponsors of the Nebraska Anderson Estimating Seminar, GM Auto Body Association. Everyone is My Price Link Webinar, Collision Di- looking forward to a great inter-inagnostic Seminar and much more. dustry strong 2016. by Janet Chaney


Zara’s Collision Center in Illinois Gives Away Olds Alero as Part of Benevolence Program Mahogony Wilson, a single mother trying to coordinate a work schedule and daycare without a vehicle, will now have one of her primary goals met thanks to Zara’s Collision Center’s Benevolence Program. Wilson, a front desk clerk at Courtyard by Marriott, and her three-year-old daughter Aniya were presented a refur-

care without relying on cabs … and giving us more money because we won’t be paying for cab rides. It means I won’t need to depend on public transportation when I get off work at 11 at night. Next year, I plan to start my own business and return to school. Having a vehicle means that can really happen now. We’re so excited!” Zara’s was originally alerted to Wilson’s need for a vehicle by the staff of Contact Ministries who were impressed by her self-direction, work ethic, and devotion to being a role model and building a stable environment for her daughter. “The determination to make a better life for herself and her daughter was already part of who Mahogony is,” said Julie Zara, co-owner of Brad Zara, Mahogony Wilson, daughter Aniya, and Zara’s Collision Center. Julie Zara “What’s truly exciting for us bished 1999 Olds Alero. The vehicle was at Zara’s is that something so taken for unwrapped on December 9 during a granted as a vehicle by most of us is such luncheon ceremony of 150 attendees at a tremendous springboard for the future Zara’s Collision Center in Springfield, dreams of Mahogony.” IL. It is the 17th year that Zara’s has “I returned to Springfield this past purchased at least one vehicle, restored year from Ohio to give my daughter a it to pristine condition, and then donated better life,” said Wilson. “A vehicle the vehicle to an individual in need. means I can pick up Aniya from day- Over the course of those years, Zara’s

has given away nearly 30 vehicles. A comprehensive maintenance check is done to verify the vehicle’s safety and reliability. Typically, a lot of time is spent searching for the vehicles, then purchasing them from the owners or salvage yards. Many times vehicles are provided by people in the commu-

Nearly 70 donors contributed to the program this year for items such as vehicle repair, paint material, mechanical work, gift cards, and monetary gifts exceeding $7,600. “Many of our team here at Zara’s have contributed everything from time and talents to purchasing toys and gifts for the family,” said Zara. Zara’s Collision Center is one of the original Akzo Nobel Acoat® Selected shops refurbishing and then giving away vehicles to deserving individuals. That founding program has inspired other national organizations to start similar programs collectively donating nearly 200 vehicles in 2015. “The focus of the program is individuals who are workMahogony Wilson and daughter Aniya in the totally ing to help themselves,” said refurbished 1999 Olds Alero Zara. “To be eligible, a pernity who have heard about Zara’s son must have a valid driver’s license, Benevolence Program. In the case of a good driving record, and a verified the Olds Alero refurbished for Wilson, need for a vehicle.” The certifications that follow assure it was damaged in an accident and Zara’s purchased the vehicle from the that Zara’s possesses the proper tools, owner with the intent to refurbish it for equipment, facilities, and trained staff required to repair the vehicle brands to the the Benevolence Program. Zara’s vendors, employees, precise specifications to ensure the fit, friends, family and insurance agents finish, durability, value, and safety of the also actively support the program. vehicles.

www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 9


Church Brothers Collision Repair Car Show raises $15,000 for Scholarship Foundation The Gary Dudley Memorial Scholarship Foundation received a $15,000 contribution from Church Brothers Collision Repair—the final tally of dollars raised by the 2nd annual Church Brothers Collision Repair Car Show in IN.

Accepting the ceremonial check from Church Brothers Collision Repair, co-owners Dan and Rhonda Hall (left) and company president Ted McClintic (second from right) are Dudley Foundation treasurer Kenny Davis (center), and Indiana State Police Captain Dave Bursten (right), a Dudley Foundation board member

Nearly 170 vehicles representing a wide range of makes, models and years participated in the event in August 2015 at the Church Brothers’ Shadeland Avenue shop on Indianapolis’ eastside. All car show proceeds were matched by Church Brothers Collision Repair to bring the total to

$15,000. The Gary Dudley Memorial Scholarship Foundation honors the late Gary Dudley, an Indiana State Police lieutenant. Dudley was killed in August 2006 while participating in a charity bicycle ride for the Indiana Chapter of Concerns of Police Survivors (COPS). The foundation, established by his widow, Carolyn, awards college scholarships to children of Indiana law enforcement officers killed in the line of duty. To date, nearly $200,000 has been awarded. In addition to receiving this year’s contribution, the Dudley Foundation has been named the permanent beneficiary of future Church Brothers’ car shows. The 3rd annual Church Brothers Collision Repair Car Show is expected to take place in early June 2016, again at the Shadeland Avenue shop. Information about the event will be posted at www.church-brothers.com and on the Church Brothers’ Facebook page as details become available. Church Brothers Collision Repair, founded in Indianapolis in 1929, is family-owned and operated. It currently has six shops in the metro Indianapolis area.

Nagy’s Collision Centers Announces New OH Location & Helps Promote Alzheimer’s Research

Nagy’s Collision Centers expanded into Medina County with a new location at 7966 Wadsworth Rd. Wadsworth, OH. Managing that location will be Chris Deifendorf who has over 10 years experience in the Automotive & Collision Repair Industry.

Ron & Dan Nagy were presented the opportunity by previous Owner Willie White, as he was looking to retire and sell his business, the former White’s Autobody & Refinishing. Nagy’s Collision Centers operates 10 locations and offers services such as Autowatch, an online viewing of repairs being completed and e-Estimates so customers can get an estimate without leaving the home or office. Nagy’s Collision Centers’ mission is to repair vehicles back to preloss condition efficiently, effectively and with the highest quality, while maintaining a strong moral integrity. Nagy’s Collision Centers recently

donated $800 to the Alzheimer’s Association. The collision repair business donated $10 for every deer-damaged vehicle repaired throughout the month of November to the Alzheimer’s Association, Greater East Ohio Area Chapter-Canton location in honor of Bill Jones and all those affected by Alzheimer’s. Nagy’s 2015 deer hit campaign ‘Hit a Buck, Donate some Doe’ ran from September through December, with donations focusing on a different charity each month. Each customer who had their vehicle damaged in a deer hit and had it repaired at any of Nagy’s locations received a t-shirt for being part of the donation. For five years, Nagy’s has had a deer hit contest where the customers were tracked and put in a lottery for prizes. Donations for December will be given to the Wounded Warrior Project. For more information about Nagy’s Collision Centers, visit www .nagys.com or call (330) 642-1010.

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10 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

Ford is First Automaker to Test Autonomous Vehicles at Mcity at U of M

Ford Motor Co. has started testing autonomous vehicles at Mcity, a full-scale simulated real-world urban environment at the University of Michigan. Ford became the first automaker to test autonomous vehicles at the facility. Ford said it intends to offer next-level connectivity and ensure improved customer experience. Ford has been testing autonomous vehicles over the past decade. The automaker is now expanding the testing of autonomous vehicles to various roads and neighborhoods of Mcity near the North Campus Research Complex. This will help in accelerating the research of advanced sensing technologies. Ford offers a wide range of semi-autonomous technologies in different vehicles globally. These technologies facilitate convenient daily driving for users. The Ford Fusion Hybrid Autonomous Research Vehicle comes with driver-assist technologies, including front-facing cameras, radar and ultrasonic sensors, with the addition of four LiDAR sensors to help generate a real-time 3D map of the vehicle’s surrounding environment. These features enhance the performance of the vehicle. Mcity, which is spread across 32 acres of land, is part of Michigan University’s Mobility Transformation Center. The facility was inaugurated in July

2015. It provides a full-scale urban environment scenario, including street lights, crosswalks, lane delineators, curb cuts, bike lanes, trees, hydrants, sidewalks, signs, traffic control devices and construction barriers.

The University of Michigan opened Mcity in June 2015. It is the first controlled environment specifically designed to test the potential of connected and automated vehicle technologies

At Mcity, the Ford Fusion Hybrid Autonomous Research Vehicle is tested over a range of surfaces, including concrete, asphalt, simulated brick and dirt. It maneuvers two-, three- and four-lane roads, along with ramps, roundabouts and tunnels. Ford unveiled the Fusion Hybrid Autonomous Research Vehicle in 2013 in an attempt to integrate these technologies into its next-generation vehicles. Ford’s semi-autonomous technology is available in four vehicle segments in the U.S., including large light-duty pickup F-150, midsize SUVs Edge and Explorer, midsize car Fusion, and large car Taurus.


www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 11


CARSTAR Chicago Business Group Shows Continued Support of Local Fisher House

A friendly wager between the CARSTAR store owners in Chicago and St. Louis turned in a great benefit for the Hines Fisher House in Chicago when the Cubs beat the Cardinals in the playoffs. CARSTAR store owners from the CARSTAR Chicagoland Business Group gathered on Veterans Day to present the check to Hines Fisher House. This donation adds to the five years of giving from the CARSTAR Chicago Business Group. CARSTAR was recognized for its contributions at the recent Fisher House Ambassador

Breakfast on Nov. 20. “We’ve had a relationship with the Hines Fisher House from the beginning,” said Teresa Kostick, owner of CARSTAR All Line in Bolingbrook. “The whole objective is to help the military families. We want to show our appreciation for the sacrifice of not only the men and women who serve, but also the fami- (l to r) Paul Licitra - CARSTAR Friendly of Roselle, Dan Bailey – CARSTAR All Line, Teresa Kostick – CARSTAR lies that support them.” All Line, Brian Gore - CARSTAR North Aurora, Jim Since the Hines Fisher Irmen - CARSTAR Ideal of Arlington Heights, Eric House opened in Schmit - CARSTAR Friendly of Roselle, Justin Fisher, 2010, the 16 shops CARSTAR Yorkville, Adam Esposito - CARSTAR Westthat make up the Hill of Hillside, Rob Irmen - CARSTAR Ideal of Arlington CARSTAR Chicago Hts., Tony Scola, CARSTAR Scola’s Business Group have come together for various It is a temporary residence and is not a fundraising efforts to raise treatment facility, hospice or counselboth money and hard goods ing center. By law, there is no charge for any family to stay at a Fisher House for the charity. Hines Fisher House opened operated by the Department of Veterans its doors on March 1, 2010 Affairs. and has provided accommodations to more than 3,000 guests. A Fisher House is “a (l to r) Lou Scola - CARSTAR Scola’s , Holly Wright SEARCH FOR US ON home away from home” for Fisher House Manager, Nancy Hewlitt - Fisher House family members, caregivers or National Ambassador, James Wieskopf - Vice - Presi: loved ones of patients receivdent of the Fisher House Foundation , Betty Stamaitis President Friends of Fisher House IL., Bernard Coffey ing medical care at major milGulf War Veteran itary and VA medical centers.

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WI Governor Signs Bill to Allows Repairs at Any Facility

Wisconsin Governor Scott Walker signed Senate Bill 93 on November 11. The bill prohibits an insurer that issues motor vehicle insurance policies that covers repairs to a motor vehicle from requiring that repairs be made by a particular contractor or repair facility as a condition of that coverage or failing to initiate and include, with due dispatch, an investigation of a claim for repairs on the basis of whether the repair will be made by a particular contractor or repair facility. This bill requires insurance companies to cover automobile repairs at any facility the consumer chooses, not exclusively at contracted or preferred repair facilities. Authored by Senator Howard Marklein (R – Spring Green) and Representative Edward Brooks (R – Reedsburg), the bill passed the Senate on a voice vote and was concurred by the Assembly on a voice vote. It is Act 93.

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Electronic Paintless Dent Reduction Device introduced at SEMA

Eco Repair Systems of North America LLC and its importing partner, Robaina Direct LLC, recently introduced the 3650A T-Hotbox. The device made its debut at the SEMA show in Las Vegas, Nevada in November 2015 and Bryan Robaina, President of Robaina Direct, said it sold out in the first 1.5 days.

Electronic T-Hotbox Launched at SEMA

Q: Congratulations on the launch of the 3650A T-Hotbox Bryan. Can you tell us more about the device?

A: First, it’s described as an electronic soft dent reduction device. In the hands of an expert, one can reduce and or possibly eliminate the ‘soft dents’ on flat or

convex-shaped exterior steel body panels that exist on most vehicles. The second option, that’s either equally or more important to body shops and collision repair centers, is the ‘push to paint’ function. This is what shrinks and tightens metal in those ‘small medium sharp’ (stretch dents). These dents are classified as slightly more aggressive small door dings or dents, especially where the paint has been broken. This ‘push to paint’ method is commonly used when damage is included in the repair order. As for the ‘dent reduction’ ability of the tool, it’s most commonly used in select paintless dent type repairs or to quickly reduce the size of the dent in blend areas. Either way, the body shop, repair center, dealership or PDR technician can, with practice, dramatically improve their repair cycle time on this type of ‘small dent repair.’ Most vehicles have a combination of small and medium dent damage when they arrive at the collision repair center.

Q: What are some of the other ways the product can be used?

A: The next way to increase and expand on the opportunity of use with this device is in combination with what’s known as a ‘tapping down’ technique of high spots (ridges), crowns or blending and ‘shal-

lowing out’ the slight impressions in the center of the dent. This technique requires using the included ‘plastic punch tool.’ In doing so, the technician has a good possi-

T-Hotbox VS pen

bility of achieving results in a matter of minutes that either would have taken much longer before or that you had to subcontract out (to PDR technicians). Like all other true professional panel repair tools, the 3650A T-Hotbox requires a basic working knowledge of panel repair metal working or PDR ‘know-how’ to reduce the learning curve. It doesn’t mean that an apprentice can’t learn though; after all it is a ‘push button’ tool. Q: Can you describe the three main principals that the product utilizes?

A: The 3650A T-Hotbox works on 3 main principals: heat, magnetism and vibration. For clarification purposes, the magnetic component is not the primary characteristic and is only activated when the button is depressed. The elements of heat and vibration are the bigger players in the tool’s function. This is a unique one-of-a-kind, three-part technology that’s based on the original patented device that started as a 230 volt-only version back in 1999. Now the 3650A T-Hotbox, that’s exclusively sold here in the U.S., operates on 110-120 volt 60 hertz power. Its compact size and design make it easy to use in facility repairs as well as for mobile use in PDR services. The “kit” includes a main power unit with pre-attached power and second cable that comes assembled with the hand piece known as the “VS pen.” Q: What are some of the functions on the unit?

A: The main unit has a rocker switch for the on and off functions. Next, it has a main dial that can be rotated to the left to limit the effective pulse time (of heat, vibration and magnetism). Turning the dial to the right allows the user to control the percentage and sets limits on the amount of power, while the VS pen controls the See Electronic Paintless, Page 18

www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 13


Shop Strategies Nebraska MSO Owner Says the Only Constant in Industry is Change with Stacey Phillips - ASSISTANT EDITOR

Doug Keller turned his childhood passion for cars into a thriving MSO in central Nebraska. He opened the Eustis Body Shop in Eustis in 1979 and has expanded to five other locations including: Lexington, Grand Island, Kearney and Cozad. The latest addition to the corporation is a mechanic shop in Eustis as well, which works hand-in-hand with the body shops.

Q:

With your experience running five shops with more than 50 employees, what is your advice to others who are thinking about opening more than one shop?

I think before you can consider taking on another location, you A: must have the people in place who can

run your current location, and the people in training to manage your new location. Your attention needs to be focused on making all of the pieces fit and work together.

Eustis Body Shop is one of five locations in Nebraska owned by Doug Keller, president

Another thing that most people do not consider, beyond the cost of the land, equipment and building, is working capital. That is the money needed to pay for all the inventory and labor to produce a finished product before you get paid for that job. This can amount to a considerable amount of money in the beginning until you are able to earn cash flow. The amount depends on your anticipated sales and your cycle time. The faster you can turn your inventory, the less you will need in working capital. You also need a very good bookkeeping system, and an accountant who can guide you through the process.

What are some of the benefits of an MSO? Q: running of multi-locations A: areThethebenefits economics of scale. With

more volume, you will be able to negotiate better discounts from paint and parts vendors. Also, most DRPs like to deal with MSOs because they have consistency in quality, cycle time and price. They also like dealing with one person that represents all of the locations.

Q:

As vehicles have become more complex, how have you addressed this in your shops in terms of training and equipment?

We have the equipment required A: to repair damage to most late model vehicles including 3D measur-

ing, welders, specialized aluminum tools, and down draft-bake paint booths. The key to making all of this equipment work is our technicians. We are constantly training our employees and always working on our I-CAR gold status.

Can you tell us about your emQ: ployees? We are so blessed to live and A: work in an area that has such a great work ethic. Many of our techni-

cians have some farm background or have had other jobs that allowed them to become very good at figuring out how to repair things. Most of our technicians have gone to tech school but some we have hired and trained right out of high school. We are also fortunate in the fact we have very little turnover. Most of our employees have been with us for many years. You’ve said in the past that you strive to have the most progressive auto body repair center in Nebraska. How are your shops progressive and what does that investment do for a body shop?

Q:

We offer free loaner vehicles and A: each shop has from five to eight loaner vans. Every shop has towing

equipment and are on 24-hour call. We are now “dealer certified” for GM, Chrysler, Nissan, Hyundai and are “aluminum certified” for the new Ford F150. We are involved with DRPs for State Farm, Farm Bureau, Shelter, and Progressive. We also have a strong

14 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

working relations with all the nonDRPs in our area.

What are some of the benefits of being part of a DRP and what Q: would you say to shops that are not part

of one now?

A: The benefit of being involved with a DRP is consistency. It is more of a partnership. Normally, there is an operating agreement that works for both parties. Terms are laid out for rates, mark-ups and, most importantly, payments are reliable. There have been a couple of DRPs that we backed away from because of the great working relationship we had established with the local adjusters, and the DRP requirements for that particular company were too restrictive.

Is there additional information Q: you would like to share with body shops?

I have been in business for 36 A: years and have found that the one thing that is a constant is change. This is what keeps this business exciting as a challenge and sometimes frustrating. My involvement in Axalta’s group 20s has had a very positive impact on our overall strategic plan for growth. Since becoming involved six years ago we have increased our cycle time, our CSI and after a lack luster sale growth of only four percent have achieve seven percent growth over the last five years. Also, I have found that all my employees, who make our company so successful, want to win, and my job is to help them understand the rules and how to play the game to win! Doug Keller can be reached at 308-486-5515. If you know of a shop that would like to share shop strategies, contact Stacey Phillips at sphillips@autobody news.com.


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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 15


Freer Auto Body’s Cookies and Cocoa Event Held in IL to Help Others Have a Nice Holiday Freer Auto Body’s 8th annual Cookies and Cocoa for Community Christmas event was held in December at their Godfrey location in Illinois. “It was a wonderfully successful event,” said Margaret Freer. “We collected $2,800 in cash, a lot of gift cards, 38 bikes and tons and tons of toys, coats, boots, etc.”

Taylor and Lily Freer received awards for their volunteer efforts during Freer Auto Body’s Cookies and Cocoa event in December

Cookies and Cocoa was started in December 2008 in memory of Margaret’s son, David, who died in an automobile accident September 11, 2008. Her granddaughters, Taylor and Lily, came up with the idea with their grandmother and were presented with the 2015 Outstanding Community Christmas Volunteer and Fundraiser Award at the event. The two girls raised $24,500

at their “Sloppy Joe Christmas in July Sale” held earlier in the year. “Many many families will have a nice Christmas due to our efforts,” said Margaret. “We have supported Community Christmas since we opened in 1991 and it was our son David’s favorite community project.” She said he would go after Christmas to local stores finding bargains and save until the next Community Christmas. The Freers and their friends bake homemade cookies and make cocoa for those who come by with donations. Freer Auto Body, run by Margaret’s son Tim, is the largest supporter of the event, which is sponsored by the United Way and the Telegraph. The agencies benefitting from the event include: Boys and Girls Club of Alton, Catholic Charities of Madison County, Catholic Childrens Home, WellSpring Resources, Charity Works, Childrens Home and Aid, Crisis Food Center, Illinois Center for Autism, Lutheran Child and Family Services, Oasis Women’s Center, Operation Blessings, Riverbend Community Food Pantry, Riverbend Family Ministries, Riverbend HeadStart & Family Services, Salvation Army, Villlage of Royal Lakes Concerned Citizens and Chriastian Social Services. Margaret said the United Way will

use the money her granddaughters raised in July to buy additional items and grocery gift cards. “We have seen tragedy in our lives but we realized

The Freers collected toys, coats, boots and other gifts during the Cookies and Cocoa event at Freer Auto Body

God has blessed us also,” she said. “We have the very best family, customers and friends….very best ever. Our community has made us what we are today and we try to give back and make it a better place. If everyone would keep the Christmas spirit of giving, love and kindness in their hearts all year it would be a wonderful world. When you are blessed you need to pay it forward.”

Single Source Adds New Member to Advisory Board

Single Source, Inc. announced a new member to its advisory board, Christopher Northup. Northup has experience and knowledge from over 32 years of involvement in the collision repair and refinish industry. His industry tenure includes consulting with new and established companies focused on business growth, brand development, financial community exposure and business process improvement. He has been frequently asked to participate on panels or speak at industry events including SEMA and the Collision Industry Conference. He is also the former chairman of the Collision Repair Education Foundation. “Bringing Chris on as a trusted advisor brings great value to Single Source. As we grow from a company of this generation to the next, Chris’s expertise will bring forth innovation and collaboration needed in the industry, an opportunity to revolutionize the way we serve our customers,” said Dean Worley, president of Single Source, Inc. Northup said, “It is humbling to be asked to help the team at Single Source. They are a very focused and driven organization with a customer first approach to everything they do.”

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For more information about Sherwin-Williams Automotive Finishes courses, visit its training section at: http://www.sherwin-automotive.com/collision-repair/training-support or call 1-800-SWULTRA (1-800-798-5872). 16 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

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3 3 3 1 1 3


this type of industry gathering,” says Christy Jones, RJones Collision 1, Des Moines, “joining I-CAR and the Iowa Collision Repair Association for the opportunity for technicians, ownthis evening is a win-win.” ers, reps, and spouses alike to mingle A strong educational venue is in and enjoy the good will that this indusplace for this show. Friday, the protry creates. gram seminar will be a Mike Anderson Estimating Seminar. Saturday morning, there will be 4 break out sessions—technical, estimating and management. The Trade Show features 70 display booths featuring more training and product displays. A cornerstone of the MidChief Global Training Manager Ken Boylan talks about west Auto Body Trade Show aluminum repair with technicians at 2015 show is the popular, “There is No “Prairie Meadows is such a beauFree Lunch.” Mike Anderson will open tiful facility, it is the perfect place for this session bringing Industry Trends Continued from Cover

Midwest Trade Show

and more to the audience. ICRA Lobbyist Scott Weiser will bring the industry up to date on Iowa legislation relating to the collision industry and an overview of the association legislative activities. Weiser will then introduce Iowa Insurance Commissioner Nick Gerhart. “This critical information is something our colleagues will only receive in this forum,” John Arnold of Arnold’s Body Shop in Davenport, Iowa, Legislative Liaison of the ICRA, “There is tremendous value in what is happening here.” The Midwest Auto Body Trade Show is very excited to host the second Iowa Community College Refinish Competition. In 2015, seven community colleges competed. Booths were furnished to the colleges to show off

their refinish projects. “This is a fantastic addition to this show,” said ICRA President, Dick Merron. “We need to reach out and welcome these young people into our industry and show them what great opportunities are here for them.”

ICRA Lobbyist Scott Weiser (L) introduces Iowa Senator Brad Zaun at the Trade Show Luncheon

ICRA Board Member, Mike Gardner, Keystone Industries, is managing the 2016 Community College Refinish Competition. He added, “We support this 200%, and I am honored to be working with the schools to make this happen.” The colleges have received their hoods for the 2016 show and we look forward to their skills and creativity being represented February 6th. The trade show floor opens directly after “There Is No Free Lunch” to over 70 vendor display booths. Show specials, gift certificates, special show discounts and door prizes will be offered during the show, along with a display of new car models. The 6th Annual Midwest Auto Body Trade Show is a free inter-industry event, inviting collision repairers, insurers, manufacturers, vendors, recyclers, OEMs and students from the Midwest to participate. “This is the largest and best Midwest show yet,” said trade show chairman, Dick Merron of Iowa Auto Rebuilders in Waterloo, Iowa. “Our industry is changing so fast, there are so many new challenges for repairers. We are bringing real time information to use to ‘Focus On The Future.’” “The ICRA has expanded this event to a Friday and Saturday to make it possible for technicians to participate in the event,” said Iowa Collision Repair Association Executive Director, Janet Chaney. “The date has also been moved forward to February to avoid more scheduling conflicts. “If Iowa has a big snow storm – we recommend everyone have 4 wheel drive and snow tires(or snowshoes) – we know you can make it!” For more information, visit www .iowacra.com or call Janet Chaney at 480-720-2565.

www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 17


November News for ASA-AZ by Chasidy Rae Sisk

ASA-AZ continued with their round of chapter meetings and events in November as the year wound down and the association began preparing for 2016. On November 3, the Yuma Chapter held their monthly roundtable at Chretin’s Restaurant. The chapter’s roundtables are held on the first Tuesday of each month.

of an association!” Continuing its roundtable rotation, the Phoenix Chapter met at Tech 1 Auto in Peoria on November 5. In attendance was Ian Bingham of the AZ Department of Environmental Quality (ADEQ) who invited shops to apply for the Voluntary Environmental Stewardship Program (VESP). In addition to complementing existing programs

(l to r) Andreas Stylianous (We Fix It Auto Repair), Luz Rubio (ASA of AZ), Frank Leutz (Desert Car Care), Dave Riccio (TriCity Transmission), Lee Miller (Lee’s Auto Repair)

Luz Rubio, Executive Director of ASA-AZ, noted, “This roundtable is fairly new, and attendance is growing slowly, but we invite shops in the area to contact Jeff McCloud, Yuma Chapter President, at 928-305-0767. Join us for dinner and open discussion on local industry issues. Come and discover the value of being a member Continued from Page 13

Electronic Paintless

pulse time. This side of the dial is for ‘experts.’ In terms of where to first set the device, it is strongly recommended one begins by using the 0.5 setting. This limits the burst of power to half a second at the full 100% power. This is paint safe for paintless dent reduction repair processes. The 1.0 second setting is the upper limit of this “safe zone” but requires monitoring of the surface temperature. For ‘push to paint” type body shop repairs of small dents, the technician would select the 100 percent setting. With this function, one is able to dramatically tighten metal and lift small dents that will be later refinished. The key with both methods of use is to get familiar with the “footprint” of the affective zone on the “VS Pen” (the part that touches the vehicle). The VS Pen has a “V” type design groove at the bottom of it. That V is where the center of elliptical shape lift occurs and where you’ll want to have the center of the small soft dent aligned during the final dent reduction stages. On the “How To” page of www.hotboxPDR.com, you’ll find a diagram showing examples of patterns of use. Q: What advice do you have for shops

with new tools and strategies to protect people and the environment, ADEQ strives to recognize opportunities for reducing cost and encouraging technological innovation. The VESP identifies and rewards organizations with a good history of compliance that go above and beyond legal requirements. Rubio recounted, “Organizations

learning how to use the 3650A T-Hotbox?

A: The old adage ‘practice makes perfect’ holds true. There are those who wield tools quickly, as if they have 75 years of experience, and there are those who have to go back to reading the manual again. But the tool never fails… it delivers a set amount of heat, magnetism and vibration. When used properly for the type of soft shallow dent it’s designed to reduce and or repair, the technician can cut repair times down by as much as 60 percent. As mentioned previously, we also include a plastic punch (knockdown tool) in the kit that is required to be used on medium sharp dents or dents that have a pronounced ring, crown or slight crease. Once the operator is proficient, dents can be reduced and or eliminated in just a few minutes for paintless repair operations. In push to paint repairs, the cycle time is potentially faster in comparison. Vehicle manufacturer part stamping divisions, body in white assembly areas, dealerships, body shops and select PDR technicians are avid users and owners of the 3650A T-Hotbox. We’re changing the face of PDR with the touch of one button! For more information and to see our how to videos, visit: www.hotbox PDR.com.

18 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

and businesses are invited to join VESP to work together on environmental quality issues and support ADEQ’s mission – to protect and enhance public health and the environment in AZ. Membership incentives for joining VESP include recognition, reduced inspection frequency, conferences, early notice of enforcement rulings, advance inspection notice, reduced reporting requirements, and coordination of multiple on-site inspections. Members will be invited to participate in discussions about incentives that might be added to the program.” For more information on VESP, visit www.azdeq.gov/vesp.html. The Central Phoenix and East Valley Chapters also held open discussion roundtables in November, and both plan to host Bingham early in 2016 for members to learn about VESP. On November 11, the Tucson Chapter held their dinner meeting with guest speaker Frank Leutz, President of the Phoenix Chapter. According to Rubio, “Frank shared the benefits he has received from being an active member of the association. He also facilitated a great discussion regarding benefits and participation in our affiliate. A great exchange of resources and information followed Frank’s presentation.”

Most Influential Women Award to Be Announced in May

The Women’s Industry Network announced nominations for the prestigious Most Influential Women Awards opened on Monday, November 2, 2015. The deadline for all nominations was Thursday, December 31, 2015. The winners will be recognized at a Most Influential Women gala held during the 2016 WIN Educational Conference, May 2-4, 2016 at the Hilton Tampa Downtown in Tampa, FL. Nominations of women working in any segment of the collision repair industry across the United States and Canada were welcomed, and WIN membership is not a requirement. Established in 1999 by AkzoNobel, the Most Influential Women program has recognized 85 women who have enriched the collision repair industry with their leadership, vision, and commitment to excellence. WIN acquired stewardship of the Most Influential Women program in 2013. The award recognizes women for their leadership in four areas: industry influence; professional accomplishments; mentoring and support for others in the collision repair industry; and for going beyond the requirements of their professional lives to give back to their communities.


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Continued from Cover

Unfinished Business

“That does not reflect well on plaintiffs’ council.” Many observers say the outlook doesn’t appear promising for the other shops’ lawsuits. All of them were consolidated into Presnell’s court in Florida, and all have been dismissed at one point, although he has given them opportunity to refile amended complaints. But little in Presnell’s rulings indicate he has much sympathy for the arguments put forth by the shops’ attorneys. In one dismissal, for example, Presnell addressed the shops’ argument that they were misled by insurers as to what the true “prevailing rate” is by pointing out that the lawsuit states the insurers named in the suit collectively make up 70 percent of the auto insurance market. “One would expect to find that the rates paid by (at least) 70 percent of those in the market are, in fact, the prevailing rates,” Presnell wrote. Whether any of the suits will remain in-process into 2017 will likely become clear fairly early in 2016.

“This doesn’t mean that the result that might come up at the end would be something that CIC would completely condone, but I think it behooves us to at least be involved in what might be something that we’re going to have to deal with.” – Pat O’Neill of the Collision Industry Conference (CIC) Insurer-Repairer Relations Committee.

O’Neill’s committee has over the last several years examined the challenges posed by the wide-ranging formulas some insurance companies use (or require direct repair shops to use) to determine length of rental, some of which set unrealistic expectations for consumers as to how quickly their vehicles will be repaired. At the CIC meeting this past November, O’Neill some insurance companies were planning to work on a new formula, so the committee “felt it would be very important that as an industry we had input into that and were able to participate in whatever that outcome may be.” O’Neill said the goal would be to develop an alternative formula by the end of 2016 that could be tried by some insurers.

20 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

“We’re going to bounce up against some regulators.” – Clint Marlow, one of two national auto claims directors at Allstate

As automaker shop certification programs proliferate, and as collision repair processes continue to become evermore vehicle-specific and complex, the days of every shop and technician being able to fix every car seem to fading. Speaking at NACE last summer, Marlow and other insurer representatives were asked what they will do if they know that a customer’s chosen shop is not equipped or certified to properly repair the type of vehicle or damage involved in a claim. Will they, for example, push that customer to choose Clint Marlow a different shop? Marlow said he thinks they should though he admitted that may lead to some friction with regulators over antisteering regulations. Marlow said that type of situation, in which the chosen shop may not even have access to purchase the structural parts needed (because of automaker restrictions), becomes a

“moral dilemma” for insurers trying to honor customer choice and follow antisteering regulations. “At the same time, you’re thinking, ‘I’m really not feeling great about this repair facility’s ability to fix this Cadillac CT6 or this Ford F-150,’” Marlow said. He said Allstate hasn’t “worked the details out yet,” but will “take the high ground” by “educating the consumer” in such cases. “So we’re not going to go as far as saying, ‘You need to take your car to [a particular shop],’ but we are going to have a discussion around the uniqueness of their vehicle, some special repair techniques that may apply, and some questions that we feel strongly they need to ask their repair facility,” he said. How Allstate and other insurers respond to these situations will be something to watch in 2016. “We can’t put our heads in the sand and say, ‘Gee, we wish this was 1965 again when we just had to have a good sound system and a convertible and everyone was happy,.’ We need to completely rethink our business model, really redefine ourselves from a car and truck company to a mobility company.”


– Bill Ford, executive chairman of Ford Motor Company

Okay, so Ford isn’t going to get out the business of selling cars in 2016, but the comment back in November by the great-grandson of Henry Ford is indicative of the shakeup that everyone in the industry – from car-makers to car-repairers – is going to be feeling in the coming months, years and decades. Accident Tim Nixon avoidance technology, car-sharing and autonomous vehicles appear poised to play havoc with a lot of business models. “I think [the OEMs] are still looking at these trends and really trying to figure out how to participate in them,” Tim Nixon, former chief technology officer for OnStar, said at last fall’s

“Telematics West,” a 2-day conference focused on “connected car” technology and trends. “I think it’s going to take them a while to figure it out, but they can’t take too much time. These alternative disruptors are starting to accelerate. It’s not like [the automakers] can wait until 2025, because it will be game-over by then. A lot of this is going to happen before then.” As Nixon suggests, savvy business-owners in any part of the automotive industry won’t let 2016 pass without starting to think about the future.

John Yoswick, a freelance writer based in Portland, Oregon, who has been writing about the automotive industry since 1988, is also the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). He can be contacted by email at jyoswick@Spirit One.com.

California Sues Car Donation Charities by Truman Lewis, Consumer Affairs

Donating your old car to charity sounds good—you get a tax deduction and your favorite charity gets the money. But it often doesn’t work out that way, as a lawsuit against two California car-donation organizations illustrates. California Attorney General Kamala Harris and local prosecutors sued People’s Choice Charities and Cars 4 Causes, saying they misrepresent their programs and improperly profit from what are supposed to be charitable activities. “These charities exploited the goodwill of generous donors by misrepresenting their charitable programs, misappropriating donations and accruing excessive administrative costs,” Harris said. “These lawsuits hold People’s Choice Charities and Cars 4 Causes accountable for breaking the law and give California consumers greater confidence that their donations go toward the intended charitable cause.”

Tax breaks broken? An even bigger problem for many consumers is that the actual tax benefit from donating a car can turn out to be quite small. Until the tax laws changed a few years ago, you could deduct the fair-market value of your car. Now you can only deduct the net proceeds that the charity receives

when your car is sold. For example, if the charity ends up selling your donated car, with a fair market value of $2,000, for $800 then $800 is what you can deduct from your income at tax time. But how much is that going to mean at tax refund time? Not very much. Let’s assume you are in the 28% tax bracket—an $800 deduction will give you $224 back. If you are in the 10% bracket, it only yields $80.

People’s Choice Los Angeles-based People’s Choice Charities (PCC) claimed that 100% of the net proceeds from the sale of donated cars would go to the donors’ chosen charities. But Harris’ lawsuit alleges that 97% of the donations were spent on administrative costs, such as towing, car repairs, and advertising. PCC claimed that towing was free and that it employs experienced staff to repair and sell the cars at minimal cost. In reality, PCC charges the charities for towing expenses and has no repair staff; instead they pay outside vendors hundreds of thousands of dollars to do this work, Harris charged. After PCC deducts its numerous and undisclosed expenses, only a tiny fraction of the vehicle’s sale price is forwarded to the donor’s chosen nonprofit, the suit alleges. According to audits conducted See Donation Charities, Page 30

www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 21


Texas Vehicle Crashes and Fatalities Continue to Rise According to Insurance Council For the fourth year in a row, the numbers of vehicle crashes in Texas involving both injuries and fatalities have risen. Both numbers began rising dramatically in 2012, when Texas highway speed limits were raised.

slowly began to increase in 2011. In 2012, when higher speed limits were posted across the state, injury traffic collisions increased 8.3%, while statewide traffic fatalities increased 9.1%. Both numbers continued to increase in 2013 and 2014. (See charts) The Insurance Institute for Highway Safety (IIHS) says the improving economy is likely a significant factor in the increase, but higher speed limits may also be contributing. “Our research has shown that the higher the posted speed limits, the faster drivers Statewide Reportable Motor Vehicle Traffic Fatal Crashes go and more crash deaths occur as a result,” said Anne McCartt, senior vice president of the IIHS. “The economic recovery is probably the main reason that fatalities are increasing in many states, but the trend toward higher speed limits is troubling. A large body of research suggests these higher limits will inevitably result in more crashes and fatalities.” (See IIHS charts) Hanna said traveling at Statewide Reportable Motor Vehicle Traffic Injury Crashes higher speeds during danger“With new safety features on veous driving conditions such as around hicles and the 55 mile per hour speed construction zones, hazardous weather limit, traffic fatalities had gone down every year,” said Mark Hanna, a spokesman for the Insurance Council of Texas. “As soon as the speed limits began rising on Texas highways, so did the number of traffic injuries and fatalities.” Traffic fatalities bottomed out in 2010 and then

and at night with poor lighting, will greatly increase your chances of having a serious accident. “There are times when despite the posted speed limit, drivers should slow down and use caution. Just because the speed limit says

75, doesn’t mean that’s how fast you must drive,” Hanna said. “Distracted driving has also played a contributing factor in the state’s auto injury and fatality count.” Auto insurance rates in Texas have also risen during this time reflecting the costs of auto repairs and increased medical costs. The National Association of Insurance Commissioner’s (NAIC) most recent report lists Texas as 14th among states in auto insurance premiums. The Insurance Council of Texas is the largest state insurance trade association in the country consisting of approximately 500 property and casualty insurers writing business in Texas. For more information click on www.insurancecouncil.org or follow us on Facebook at ICT On Facebook and Twitter@Ins CouncilTx and @VoiceForTexas for other up to date news and information.

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OpenbayASP App Monitors Repairs from Phone

Openbay is an online marketplace that allows customers to locate, schedule, and purchase auto repair services in their area. The company’s new OpenbayASP app builds off an already established community of service professionals by allowing them to communicate with car owners via text, pictures, video and more. With OpenbayASP, the wall between mechanic and driver has been broken down. “This mobile platform positions shops to efficiently acquire and communicate with in-market consumers,” said Rob Infantino, CEO of Openbay. “Openbay customers benefit too— OpenbayASP brings

transparency to auto repair, enabling shops to share video and photo of vehicle issues, so customers are better informed about the need for repair and maintenance.” The app is available exclusively for Apple devices for the time being, and also helps shop owners review incoming service requests, respond with quotes, schedule appointments, and process payment. Openbay announced another smartphone app called OpenbayConnect. The program expands on the company’s online services by adding an OBDII plugin, which opens a line of communication between your car and your phone.

22 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

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Kia Racing Champion Jason Wolfe Shares his Success Behind the Wheel by Stacey Phillips, Assistant Editor

The launch of the Kia Forte Koup in 2010 signaled a change at Kia Motors America. That same year the company partnered with Kinetic Motorsports’ racing organization in Georgia. “Kia got involved in racing with the Forte

the U.S., Kia Motors America and Kinetic Motorsports won seven championships. In 2014, every Kia model that raced won a national title, from the Rio five-door in SCCA B-Spec to the Forte Koup and Optima turbo in the Pirelli World Challenge (PWC). “Kia is proud of our team and

support Kinetic’s championship-winning privateer program in the Touring Car A class. “With exciting, new, rearwheel drive product in our pipeline, we’re also looking forward to a return to the track in the near future,” the company added. Autobody News asked racing champion Jason Wolfe about his involvement with the Kia racing team. Wolfe has driven Kia’s Forte Koup in TCA for the past two years and brought home two championships.

Congratulations on your racing Q: successes. How did you get your start in racing?

Koup to help change the perception of the Kia brand in the United States and to showcase the Forte Koup’s durability, reliability and performance,” said Mike Ofiara, product communications, Motorsports, for Kia Motors America. During six years of road racing in

drivers for their outstanding achievements and we thank them for their hard work and dedication to the brand,” said Kia Motors America. The company will be stepping back from the factory-supported PQC Grand Touring Sport effort in the United States in 2016 but will continue to

After watching the movie, A: “Catch That Kid,” based off of kids robbing a bank using go karts for

get-away vehicles, my dad and I decided to check out the local kart track. From there we were totally hooked.

ing career is learning what it takes to be the best I can be. Whether it is from a driving perspective, set up perspective, physical perspective or just socializing, there is always so much to learn and there is always an area in which you can better yourself.

We’ve heard that that your racQ: ing hero is Tommy Byrne. What do you admire most about him?

First off, he is the kind of guy A: who tells it like it is no matter what, and I think that is what has

helped me the most. Drivers who are coming up through the ranks need to know when they have made a mistake and when Tommy was my coach, I sure knew when I did something wrong, yet he was also one of the first to congratulate me when doing well. Also, the fact he more or less hustled his way into Formula 1 and the story behind it is just more to be in awe over.

do you enjoy most about Q: theWhatsport? You’ve said in the past that After watching the movie, What Q: Mid-Ohio is your favorite A: I have enjoyed most in my rac- track. Can you please tell us why?

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I chose Mid-Ohio as my faA: vorite track because of how technical it is and how hard it is to pass

because of that. It really separates the men from the boys. Also, it’s only 40 minutes from home – can’t beat that!

What are some of your past Q: achievements and what are your upcoming race plans?

My most notable and recent A: past achievements have been with Kinetic Motorsport/ Kia Racing

when we brought home two consecutive championships; Rookie of the Year; and the guys brought home Crew of the Year for those two years also. Best two years of my racing life. We worked very well together and I definitely learned a lot while under their wing. Unfortunately my 2016 plans are still up in the air but we’re looking into a few different options, just trying to find the right fit!

Is there anything else you would Q: like to share with readers/ fans in the collision repair industry?

A:

PPG Launches DITZLER® Satin Clear Kit

PPG’s lineup of VIBRANCE COLLECTION® custom paint finishes has been expanded with the launch of DSC5250 DITZLER® Satin Clear Kit. The new kit includes a quart of VC5250 Ditzler Satin Clear and a half pint of VH7250 Ditzler Satin

Clear Hardener. With the addition of the appropriate PPG urethane reducer—based on VOC compliance— and a simple mix, it’s ready for spraying. The company said Ditzler Satin Clear provides a smooth and silky low-gloss finish and gives custom car builders more choices and possibilities in their designs and paint schemes.

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ASA Announces Regional Training Programs The Automotive Service Association (ASA) has announced a new initiative designed to bring management and technical training to several regions of the United States in 2016. First, ASA has scheduled a training event for February in Orlando, FL. This event will be held in conjunction with ASA’s newest affiliate: ASA-Florida. Program details, including date, speakers and topics for discussion, will be announced soon. A few months later, a similar event has been scheduled in Illinois in cooperation with ASA-Illinois. Details of this program also will come later. ASA developed the concept for these regional training events based on demands of the marketplace and the needs of ASA members. Typically, service repair shop owners and managers do not have the ability to close down their operations for several days during the week without adversely impacting their businesses. Tony Molla, ASA vice president, said, “We understand the value of a shop’s time, but we also understand its need for ongoing training if it’s going to remain viable and profitable.” ASA plans to deliver this training in a two-day format, with management training on Friday and technical

training on Saturday. The schedule is intended to create a learning environment that is least disruptive to a shop’s business and revenue. Shop owners and managers attending the training sessions will receive credit from the Automotive Management Institute (AMI) toward earning their Automotive Accredited Manager (AAM) designation. Jeff Peevy, AMI president, said, “AMI has quickly re-established its presence in the industry as the only nationally recognized degree for automotive managers for the collision and service repair industries. This is an ideal opportunity for shop owners and managers to earn credits toward their AAM in a single weekend.” Dan Risley, president of ASA, said, “ASA and its board of directors will continue to seek opportunities to help our members grow their respective businesses through our national trade show, NACE | CARS, membership benefit programs and these regional training events.” ASA Chairman Donny Seyfer, AAM, added, “ASA remains committed to giving back to the industry and to independent collision and service repair businesses in the United States. We support and give back to those who support us.”

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Shop Strategies Body Shop Vice President in GA Says Be Prepared for the Unexpected with Stacey Phillips - ASSISTANT EDITOR

Cherokee Collision Center in Georgia celebrated the grand opening of its second shop in December. Gene Sweeney founded Cherokee Collision in Marietta in 1993. Gene’s son R.J. will be running the new Canton location. Autobody News asked R.J. about the new shop and growing up in a family business.

Our advice to anybody opening a new shop would be develop a business plan and make sure you have REALLY thought it through. Today’s ‘collision centers’ aren’t like the ‘body shops’ of the past and the cost to open a new facility (even in a modified ex-

What prompted you to open Q: the new collision center and what did it entail to set up?

Our decision to have a facility A: in Canton, GA was due to the demand of our customers and com-

munity members who wanted our services closer to their home. We started looking for land back in January 2013 and struggled to find a good location for a couple of years. In March of this year we stumbled across an abandoned mechanical shop that was located in the heart of downtown Canton that we felt would be a perfect location. Our first efforts were directed to cleaning the facility shop and make the necessary reconfigurations and modifications for use as a collision repair facility. With permits and constant changes in requirements it became a significant, daunting and costly undertaking but we believe it will be well worth it in the years ahead. We had begun purchasing the needed equipment for the new location long before we found the location so we were ready when the time came.

Q:

What were some of the challenges and what is your advice to others considering opening a new shop?

The challenges included findA: ing a location close to a high traffic area to have the exposure to

drivers as well as easy to find. Added challenges were dealing with zoning, the fire marshal and permitting to get the old facility compliant with current mandates and restrictions. These caused additional challenges and costs that we hadn’t fully anticipated and/or prepared for, which caused considerable delays.

Cherokee Collision Center in Georgia opened its second location in Canton

isting building) is costly. Be prepared for the unexpected and the costs that may follow. Be sure you have thought it out and are fully prepared for the task at hand and the frustrations that one may be faced with.

What are some of the things Q: you have incorporated into the new shop?

sion repairs while providing exceptional customer service.

sider expanding to new markets.

to our customer base within our market areas. Unless an insurer is motivated by high-quality repairs, which restores the consumer’s vehicle properly and thoroughly in fit, finish and function and not merely price alone, our business model may not fit their needs. We see the vehicle owner as our customer and while we work “with” all insurance companies, once our customer’s vehicle is placed in our trust, we work for them. This philosophy has served our company well over the years and provided us the success and profitability to enable us to con-

porter back when I was in the 9th grade working during the summer and have done everything from washing cars to body work to parts management, to estimating. After graduating with my major in business administration, I decided to join my dad and have been managing the shop since May 2007. My dad has taught and encouraged me and several years ago he engaged the services of Barrett Smith of Auto Damage Experts (ADE) for coaching/consulting services, which

What have you learned over Q: the years growing up in a family business and how has that shaped

Q: your philosophies running the shop? Our Marietta location particiA: pates in State Farm’s Select A: business I have been around our family Service program. We focus more on and the industry my branding and marketing our message whole life. I started off as a shop Are you part of a DRP program?

See Be Prepared, Page 39

Our new location is approxiA: mately 8,900 square feet, including office and production space.

As in our existing facility in Marietta, we have designed this shop around “lean methodology.” Once the vehicle enters production, it does not leave production until the vehicle is finished. Our goal when designing this facility was to “do more production in the least amount of space” by maximizing efficiency and productivity. We will have a state-of-the-art side loading GFS paint booth, two GFS prep decks, one in-ground Car-o-liner Bench repair rack, one drive on Caro-liner rack, and one lift. Our employees will consist of one global team that works together to get each vehicle repaired properly and thoroughly. We will be using Summit Management System and utilize their “scoreboard” so that our team of technicians can track the amount of labor hours they generate on a consistent basis. These efforts enable Cherokee Collision Center(s) to meet our mission statement and commitment to our customers. Our mission is to provide the most efficient, high-quality colli-

26 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

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Behind-The-Scenes Tour of CAPA Parts Certification Vehicle Test Fit/VTF Process CAPA urges industry to visit CAPA test facilities and learn benefits of CAPA certified aftermarket parts by Autobody News Staff

Autobody News recently had the opportunity to learn how the Certified Automotive Parts Association (CAPA) certifies parts. This included visiting the 14,000-square-foot facility in Irvine, CA where automotive technicians conduct Vehicle Test Fits, a key CAPA cer-

CAPA developed the Vehicle Test Fit (VTF) in the mid-1990s to confirm the fit quality of the parts it certifies

tification requirement aftermarket parts must pass before they are introduced to the market as CAPA certified. Referred to as a “Test Fit Center,” the laboratory is operated by Intertek, CAPA’s thirdparty validator. “As CAPA’s validator, Intertek

evaluates the parts that manufacturers submit to CAPA for certification to confirm, or validate, that the parts comply with CAPA’s standards,” said Matt Philbin, Intertek Irvine’s department manager. “CAPA developed the Vehicle Test Fit (VTF) in the mid-1990s to confirm the fit quality of the parts it certifies,” said Debbie Klouser, director of operations for CAPA, based in Washington D.C. “The VTF has played the single most critical role in the industry’s acceptance of CAPA certified parts.” As a testing laboratory, Intertek is accredited to ISO/IEC 17025 standards by the American Association for Laboratory Accreditation (A2LA). Philbin said it is the international standard by which a laboratory’s commitment to quality is evaluated. “Intertek achieved this accreditation by demonstrating technical competence for testing with the operation and effectiveness of its laboratories,” he said. Three Intertek facilities currently perform CAPA program operations. In addition to the Irvine, CA location opened in June 2012, Intertek operates

a 22,000-square-foot Test Fit Center, located in Grand Rapids, MI. A third location, in Taipei, Taiwan, is primarily involved with factory and part inspections.

The VTF process is a key CAPA certification requirement aftermarket parts must pass before they are introduced to the market as CAPA certified

With its global headquarters in London, England, Intertek employs more than 38,000 people located in 1,000 laboratories and offices in more than 100 countries. In addition to automotive testing and services, Intertek also serves other industries including aerospace & defense, marine, chemicals, construction & engineering, energy & commodities, food &

healthcare, government & trade, and products & retail industries. Established in 1987, CAPA was the first and only independent certification program for replacement parts in the United States. Klouser said its formation was a result of collision repairers telling insurers that they were no longer satisfied with the quality of aftermarket parts that they had been using for insurance-based collision repairs. “The insurance industry responded by creating CAPA to develop standards for aftermarket parts in 1987,” she said. Currently, CAPA has standards for metal and plastic exterior crash parts, lighting, foam rubber, bumper parts, and radiators – CAPA’s latest standard issued in July 2015. “The foundation of CAPA’s standards is demonstrated comparability to the OEM service counterparts,” explained Klouser. “If the materials and construction techniques used to produce a CAPA-candidate part can be demonstrated to be comparable to those of the OEM service part, then the CAPA-candidate part will perform in a comparable manner to the OEM service part.”

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CAPA has four main components to the certification process: 1) Manufacturer Approval: The process that a potential manufacturer must complete prior to submitting parts. It includes an audit of the factory by Intertek to find out if the manufacturer has a system that meets CAPA’s requirements, and confirm that system is followed. If approval is granted, a participant may produce and submit parts for certification.

2) Parts Certification: This includes material testing, Vehicle Test Fit, (VTF), fixture approval and Dimensional Inspection. For lighting parts, photometric testing is a CAPA certification requirement (see sidebar article). While CAPA certification is based on demonstrated comparability to the OEM service counterpart, a lighting part must also meet the requirements identified in Federal Motor Vehicle Safety Standard (FMVSS) 108.

3) In-Factory Inspection: Once a part is certified, CAPA inspectors visit the manufacturers’ factories to confirm that they are complying with CAPA requirements. See Behind-The-Scenes, Page 30

Steps to CAPA Certification

Material Testing Before an aftermarket manufacturer begins making a part, they have to buy the OEM service part and reverse engineer it, meaning they take it apart to see how it was made/how it works in order to produce it. “Automotive manufacturers don’t need or use CAPA to do this,” said Klouser. “However, if a manufacturer wants to CAPA certify a part, CAPA standards identify the requirements for comparability to the OEM service part.” For material testing, this includes requirements for: ● Chemical Composition ● Thickness ● Mechanical Properties including tensile and yield strength ● Welds ● Adhesives ● Fasteners and Hardware

● Electrodeposition Primer (EDP) Performance – performance requirements include adhesion, brittleness, cure and humidity tests.

acceptance for the independent aftermarket – if the aftermarket part doesn’t fit properly, it won’t become CAPA certified until it does.”

Vehicle Test Fit CAPA made the Vehicle Test Fit (VTF) a certification requirement in 1999. First, the manufacturer sends CAPA-candidate parts to CAPA’s third party validator, Intertek. VTF technicians then test fit the aftermarket parts as well as the corresponding OEM service part to evaluate how well they fit on the car. CAPA noted that this is the sole test where the aftermarket part can actually be better than the OEM service part. “If the OEM doesn’t fit the vehicle, the aftermarket part is still required to pass the test,” said Klouser. “While a body shop may accept a poor fitting OEM part, there is typically not the same amount of

Photometric Testing of Lighting Parts All applicable CAPA parts sold in the United States must be compliant with US Federal Motor Vehicle Safety Standard 108, which requires that photometric testing must be performed with the lamp held in the in-vehicle position. CAPA initiated the Vehicle Dimensional Inspection (VDI) requirement to obtain the proper orientation of the lamp in the vehicle to assist CAPA manufacturers. When the VDI is completed by CAPA’s validator the manufacturer is provided with metrology data and CAD drawings so they can design and build their photometric fixture.

www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 29


Continued from Page 29

Behind-The-Scenes

4) Marketplace Surveillance: This includes the CAPA Complaint Program and Marketplace Monitoring.

Process of Complaint Program CAPA encourages consumers, auto body shops, part distributors and insurers to provide input concerning the quality of CAPA parts. If a user of a CAPA part believes it may not meet CAPA’s standards, they may report it to CAPA online at www.CAPAcertified .org or by calling toll free 1-800-505CAPA(2272) 24/7.

Step 1 – Initiate Upon receipt of the complaint, CAPA contacts the complainant to review the complaint and potentially secure the part. Step 2 – Investigate If the complaint part undergoes what is referred to as a “COM VTF,” the complainant is sent a letter advising them of the VTF outcome.

Step 3 – Resolve

Continued from Page 21

Donation Charities

by the attorney general’s office, from 2007 to 2012, PCC reported that it had donated over $700,000 to other nonprofits, while actually only donating $174,000. To increase their inventory, PCC also developed a “cash back” program whereby vehicle donors could receive money in return for their “donation,” effectively transforming a charitable organization into an unlicensed used car dealership in violation of state law, Harris said.

Cars 4 Causes Ventura-based Cars 4 Causes claimed it “worked smarter” to “get the most money for charity.” In reality, the state’s lawsuit alleges, C4C used 87% of its donations to pay for items such as advertising and administrative costs, including staff salaries, while only 13% was directed to actual charities. From 2009-2014, C4C reported that $15.9 million was donated to charity. In reality, C4C only gave $5.4 million to charity—and many of the charities designated by donors re-

After the COM VTF is performed, regardless of the outcome, CAPA provides the manufacturer of the complaint part with a full report. Klouser said if a defect were observed, the manufacturer must identify and correct the problem that caused the defect. Potential results of the investigation include decertification of the part or part lot.

Process of Marketplace Monitoring This entails a quality check of CAPA parts in the marketplace. Any CAPA certified part may be selected for a Marketplace Monitoring (MM) VTF. The CAPA validator purchases new CAPA parts from parts distributors. The part then undergoes the MM VTF to confirm whether or not it passes, just as it had to when it originally achieved certification.

Future of CAPA Standards Klouser said since 1987, industry stakeholders have relied on CAPA’s standards and CAPA certification to identify high-quality alternatives to OEM service parts. “For many years, CAPA certification was only available for exterior sheet metal and plastic parts, but that began to change in 2002, when the CAPA lighting standard was released,” ceived nothing at all, the suit charged. During this time, C4C denied many requests from individuals in need seeking a car, including single mothers, college students, and seniors, all while paying thousands towards staff salaries and millions to advertisers. C4C took money from the very charities it promised donors that it would support, Harris said. According to C4C’s own accountings, it misappropriated about $2 million from thousands of charities, including over $600,000 that should have been given to charities serving the sick and providing medical research, $250,000 to children’s and education charities, $100,000 to veterans’ organizations, $230,000 to religious organizations, and $200,000 to charities serving the poor, among others. We thank Consumer Affairs for reprint permission.

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she said. Since that time, CAPA has responded to industry requests for quality standards for bumpers and radiators. “In addition to developing standards for new part types, the CAPA Technical

Customer finds his ‘Totaled’ Car for Sale at Dealership by Meagan O’Halloran, fox17.com

Chances are vehicles with a car accident history could end up on local used car lots. Antioch resident Adam Coats got into a car wreck and began his insurance claim. According to Coats the insurance company deemed his 2007 Nissan Titan totaled saying the damage was more than 75 percent of the value of his vehicle. Coats got an insurance payout of almost $14,000 and bought a new truck. Coats said his old truck was entirely paid off and was hoping it would be repaired, but instead he’s now making monthly payments. A couple of months later, Coats found his old truck repaired and for sale at a local dealership. FOX 17 verified the VIN with the owner. The owner says he bought the damaged truck at auction for $6,000 and it only took him $1,000 to repair the vehicle to good working condition. Coats says he would have paid $1,000 to repair his vehicle and it would be much more affordable than having to buy a new truck. The auto body shop that assessed the damage was not available for an interview but the general manager is addressing the issue with corporate and has agreed to meet at a later date. Thank you to Fox 17 News for permission to reprint this article.

Intertek's 14,000-square-foot facility in Irvine, CA where automotive technicians conduct ‘Vehicle Test Fits’

Committee is also charged with reviewing existing CAPA standards to assure the continued quality of CAPA certified parts,” said Klouser. CAPA encourages body shops, insurers and distributors to reach out to them to tour the CAPA test labs facilities and learn more about CAPA certification. All CAPA standards are available to the public on request via the CAPA website http://www.capacertified.org/ For more information about Intertek, visit www.intertek.com.

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Day Job/Night Job It’s a Doggone Good Life for a Body Tech and His Best Friend with Ed Attanasio

Chris Mashburn is a body technician at Dean’s Collision Center in Rome, GA. He does all of the vehicle restora-

The team has competed in 35 events since Mindy went professional in 2013 and were recently featured on ESPN. Credit: Beth Padgett Mitchell

tions for the shop, working primarily on muscle cars and trucks built in the ‘60s and ‘70s. He said that he loves restoring peoples’ dreams one car at a time, but he also has another passion that keeps him busy when he’s not on the clock. Her name is Mindy and she is not Mashburn’s significant other, but rather his three-and-a-half-year-old border collie who is a professionallytrained competitive Frisbee dog and currently ranked 14th in the world. It all started when Mashburn bought a little 10-week-old bundle of fur and named it Mindy. “She is the first dog I’ve ever owned, because I was a cat person for many years, to be honest. I knew I wanted to get a dog that could become a professional Frisbee dog, so that was my goal when I got her.” Mindy comes to work at the shop with Mashburn every day, letting her chill in an area that is away from the shop floor. During lunch, they practice their routines and then it’s back to

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

work until closing time. The competition season can take Mashburn out of the shop for extended periods, but fortunately, Mashburn has a very understanding boss, he explained. “Billy Dean is the owner and he likes dogs too and he knows that this is something I really enjoy, so he lets me go to all of the competitions. We plan it all in advance, to make sure that it does not impact the production schedule here at Dean’s.” The duo has developed a strong bond and that’s why Mashburn and Mindy are improving all the time and finishing high in all of their most recent competitions, he said. “Mindy picks up on my emotions and feeds off me when I’m excited or anxious; it’s pretty amazing. I get amped when the routine is going well and she can feel it too. When it comes off perfectly and we’re happy with the performance, it’s a rush for both of us.” The Frisbee training process re-

quires that both dog and master be dedicated to becoming world-class performers together. At 14 weeks, Mindy went through a series of obedience classes and then slowly the

When he isn’t training Mindy or taking her to competitions. Mashburn restores classic muscle cars at Dean’s Collision Center in Rome, GA.

disc was introduced to the mix. At the age of 18 months, Mindy was ready to compete at the highest level, although not every Frisbee dog is ready at the same time, according to Mashburn.

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“You have to make sure that they’re mature enough physically to do the routines,” he said. “At 18 months, the plates in their backs and the muscles in the shoulders are probably developed enough to start entering competitions, so we made certain that Mindy was 100% ready before we did anything strenuous with her. She was ready to go when the time came and her enthusiasm for this sport has grown tremendously. It’s like she was born to do this!” When they entered their very first regional competition in 2013, both Mashburn and Mindy were nervous and at first a little overwhelmed. But once they got out there and started the routine, everything fell into place. “There were 18 dogs entered and some of them were really good and since we had zero experience, we thought if we finished in the top 10 we’d be delighted,” Mashburn said. “We over-trained actually and I guess it paid off, because we finished 5th overall. It was a pleasant surprise and at that moment I realized that Mindy could possibly become a world-class Frisbee dog.” After competing in eight different events last year, Mindy and Mash-

“There were teams there from China, Japan, Russia, Colombia and the Czech Republic and they were all good. It’s an international sport now.” After fixing cars for many years, Mashburn now enjoys old classic vehicles. “I did insurance work for awhile and the money is better, but I love doing restorations. There are no cycle times or super-tight deadlines to worry about when it comes to doing restorations and I’m in this for the long-run, because I get a lot of satisfaction out of it.” After competing in 35 events in seven states, Mashburn and Mindy are ready to hopefully break into the top 10, possibly even next year, but time is on their side, because Mindy hasn’t even entered her prime yet. “She is getting better and so am I,” he said. “I’ll be working with Mindy until I’m 60 years old, so who knows what the future holds? But right now I am focusing on working with her every day and watching her as she becomes a better Frisbee dog.” Does that mean Mashburn is now a dog guy? “Yes, I do still like cats, but Mindy has changed my mind, of course, and now dogs (especially one particular dog) have found a special place in my life.”

burn were ready for the big time when they traveled to Tennessee for the Skyhoundz Classic World Canine Disc Championship in Chattanooga, TN.

Body Tech Chris Mashburn and Mindy, his Frisbee dog, are currently ranked #14 in the world after their performance at last year’s Skyhoundz Classic World Canine Disc Championship in Chattanooga, TN. Credit: Jackie Rodeffer Scheetz

“It’s definitely one of the largest competitions in the world, so both of us were pretty excited,” Mashburn said.

Continued from Cover

ASA Testifies

nesses and local communities. Following the hearing, Risley said, “Insurance companies should not be mandating the use of a specific software, technology or vendor for purchasing parts. Independent collision repairers should be able to choose the vendors with whom they would like to do business. Collision repairers have a vested interest in buying the highest quality part at a competitive price, choosing a vendor that can provide timely and efficient service and one that stands behind their product. That vested interest is the vehicle owner, their customer.” Fisher commented at the conclusion of the hearing, “This bill is common sense legislation and, when passed, will be a great victory for Michigan consumers as well as the automotive repair community at large. This situation is not unique to my state, and it is my hope that Michigan can serve as a model for repairers in other states facing this issue.” To view ASA’s testimony for the hearing, and send a support letter for S.B. 430, please visit ASA’s legislative website at www.TakingTheHill.com.

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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 35


Lean Operations

The Happy, Well-Informed Customer with David Luehr

Even though most collision repair shops understand the importance of creating a positive customer experience, many continue to unknowingly place themselves and their customers in the uncomfortable situations that poor communication commonly creates. I don’t know how many times I have witnessed this scenario; a customer shows up on Friday afternoon to pick up their repaired vehicle and upon being presented with the bill, exclaims, “I didn’t know I had a $500 deductible!” Invariably, these awkward situations always seem to occur with an office full of other customers! It’s far too easy and irresponsible in my eyes to blame the customers for these situations. I feel that since we deal with this stuff every day we have the right and responsibility to help our customers through the process. Many of the best in class collision repair shops have standardized processes in place to eliminate these unnecessary problems and make the experience for the shop, the customer, and the waiting room full of customers a pleasant and positively memorable one. Here are a few of my suggestions.

The Appointment Reminder Call The appointment reminder call serves several purposes besides just to remind the customer of their upcoming repair appointment. This is a wonderful opportunity to get great communication underway early and begin to cut-off some of the potential problems that commonly occur. Discuss the following with the customer: * Verify drop-off date and time * Early bird drop-off procedures (if applicable) * Rental car or transportation needs (if applicable) * Remove all personal belongings from their vehicle (Trunk, interior, and box/cargo area) * Insurance check has been received

Free

David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry. David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com

(if applicable) * That we will need the key fob for their vehicle * Provide us keys for wheel locks, ski or bike racks, toppers, or tool boxes * Removing sunglasses, garage door openers, parking permits etc.

The Vehicle Check-in Shops are often paying the price for not going over the vehicle during drop-off. I recommend using a standardized form with reminder check boxes. The vehicle check in process promotes both quality and great customer service. Here are a few suggested topics to cover as you walk around the vehicle with the customer: * What is to be repaired? * What is prior damage? (do they want it fixed too?) * Malfunction indicator lights on dash (Was this check engine light on prior to the accident?) * Are there any freebies or special requests? (Touch-ups, wants an estimate for missing light etc.) * Do we have the keys, wheel locks, etc.? * Does the customer have their garage door opener, parking permits, baby seats etc.? * Do we have a signed authorization? * Is the customer fully informed and how much money they will be expected to pay and what forms of payment are acceptable when they come to pick up the vehicle? * What is the best way to reach the customer during the repair process? (Cell phone, text, etc.) * What they can expect in terms of communication frequency from the shop.

In Process I recommend that customers be communicated with at least every two days, unless they have requested otherwise. There are also various points

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that customers should be informed: * Blueprint - After the vehicle has been blueprinted to establish the updated price, and delivery promise date expectations. * Supplements - Any other supplements along the way. (This shouldn’t happen if it was blueprinted correctly) * Paint - When the car goes to paint. (Let them know if completion date is still on target) * Morning of expected delivery day. (This will highly increase your chances they will pick it up that day!)

Completion Call the customer once repairs have been completed and a final quality control inspection has occurred. During this call you will want to go over: * When they can arrive to pick the vehicle up * Rental cars and transportation * What they will owe you and what forms of payment are acceptable (I

know we already discussed this earlier but it’s pretty important, right?) If you are thinking that this looks like an excess of communication, you may be right to a certain extent. I have never seen a shop get a bad CSI Score for communicating too well, but I have seen far too many of the reverse. I would challenge you to consider the amount of time shops spend dealing with incoming calls from people checking on their repair status, dealing with missed damage and embarrassing unfulfilled promises with touch-ups, and much, much more. If you take back control of your time and invest it wisely in being a proactive communicator, everyone wins.

For more advice on how you can improve customer communication at your collision repair business, feel free to contact me directly at david.luehr @elitebodyshopsolutions.com or visit www.elitebodyshopsolitions.com

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Media and Publicity for Shops 5 Smart Marketing Moves to Make in 2016 with Ed Attanasio

Last year around this same time, I wrote an article about 5 marketing-related things to do in 2015 and I stand by everything I listed there. In order, they were: 1. Get Closer to Your DRPS 2. Get Closer to Your Community 3. Get More Social 4. Update Your Web Site and 5. Get a Blog!

So, this year I’m offering you five new suggestions that you’ll hopefully be able to integrate into your existing marketing strategy. When it comes to marketing, you don’t get to rest and take a deep breath, because marketing does not start and stop. Whether you’re in a small town or a huge city, it’s likely that your competitors are constantly looking for another way for getting your cars into their shops. If they could land a few of your better DRPs and possibly get a better foot hold in your market, I’m

sure they would not hesitate for a millisecond to do so. So, here are my new five things to do to take you to the next level. For shops that are already “all in” when it comes to marketing, this is old news. But, for those others who want to change the way they’re doing business and haven’t really made marketing a priority until now, this might be a great time to pursue a few of these.

1. Enter the Video Age Actually, the video age began in earnest more than a decade ago, but now it’s by far the most explosive media in the world and one of the most affordable and effective forms body shops can use. Just look at the statistics—YouTube has over a billion users–almost a third of all the people on the Internet. The number of hours that people spend watching videos on YouTube has increased by 60% within the last two years. People don’t read as much as they

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

used to, because acquiring books (even e-books) can be clumsy when compared to just sitting down and watching a short video. The word “short” is important, because studies show that videos longer than two minutes lose considerable viewership, so the suggested length of any video is no longer than 90 seconds. To enter the video age, devise a video schedule so that you have a new one to show to your customers, employees, vendors or business partners every quarter. And remember, you don’t have to spend a lot of money to produce a series of attention-getting videos, because the technology is more affordable than ever and you don’t have to be Alfred Hitchcock to make brief, informative and even humorous videos.

2. SEO is More Important than Ever Last Year, shops all over the country learned that Search Engine Optimization (SEO) isn’t an “in house” or “do-it-

yourself” project. To move up Google’s rankings, you need an expert who can manipulate your keywords and stay on it 24/7, 365 days a year. Many shops say, “Hey-I’m #1 in my area on Google, so why am I still paying for SEO?” The answer is because your competitors are probably also now in the SEO game in a big way and likely taking shots at your top position on search engines right now. So, if you don’t have a good SEO person, ask around and no matter what, stay on the course when it comes to online rankings, because stats show us that more and more people find body shops by performing simple searches online.

3. Don’t Stop Believing in Blogging After Google’s re-working of their search algorithm, naming it Hummingbird and unveiling it two years ago, bloggers and web developers have been buzzing about it ever since, because it made blogs instantly relevant.

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Hummingbird is all about “fresh content”, because it is now able to judge context - thereby determining the intent of a person carrying out a search, to establish what they are trying to find out. What that means to you is that posting new things on your web site is a great way to help you on search engines and the best way to do that is by establishing a blog and vigilantly maintaining it. That’s the key, because too many shops started doing blogs, but then quickly abandoned them for whatever reason and now they’ve noticed that they are no longer #1 on Google. If you have a blog but you aren’t posting articles, photos and/or videos on it regularly—my advice is pull it off-line, because there is nothing worse than a ghost blog and it makes you look well, behind the times.

4. Cable TV vs. Radio-Who Wins? I used to say that radio was a viable way for shops to participate in the broadcast game, but now I am pulling that piece of knowledge off the table, because it no longer applies. Radio is not going away and it might be okay for a large MSO, but for smaller shops, radio does not have the targeting feature cable TV does.

Cable TV is trumping radio right now, because companies like Sirius and Pandora and taking some of terrestrial radio’s customer base. Also, if you purchase time on Comcast, for example, you can handpick what zip codes you want to reach. That way, you’re not wasting a lot of money advertising to people who are not in your region. For independent shops or small MSOs, cable TV is more precise and more affordable overall.

5. Yelp and Angie’s List are Losing Credibility More and more shops and their customers are beginning to see that Yelp and Angie’s List are not what they claim to be, because people can’t gauge the authenticity of the reviews. One shop wrote me an email last year

saying that several members of a competing shop gave him 1-star reviews and of course, they never brought their cars there. He contacted Yelp at least a dozen times to get them removed without success. His business is negatively impacted, even though he does good, honest work and is known for being excessively fair. Also, Angie’s List seems to work fine with home improvement companies and landscapers, but shops don’t seem to want to pay for a site that doesn’t bring cars into their shops. There are a lot of review sites out there that will only post customer reviews that are verified, so gravitate toward those and don’t spend money with any site that can’t guarantee full transparency and complete accountability.

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Be Prepared

has allowed me, what I believe to be a different perspective than most shop managers/owners. This has enabled me to develop new and more effective ways to manage our customers and assist them. The systems taught by Barrett differ from conventional “body shop” management philosophies and as such have allowed us greater profits and customer satisfaction, retention and their ongoing referrals. We will be using these same philosophies in our new location as well. R.J. Sweeney can be reached at (678) 388-7000. If you know of a shop that would like to share shop strategies, contact Stacey Phillips at sphillips@autobo dynews.com

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Strategies and Tips for Shops Interested in Becoming a DRP Becoming a Direct Repair Provider (DRP) is great way for auto body shops to grow their business. That’s the advice Michelle Nelson, founder and president of B2B Automotive, shared during her SCRS 2015 Repairer Driven Education seminar at this year’s SEMA Show. “Auto repair shops can work toMichelle Nelson, founder and ward becoming a president of B2B DRP through marAutomotive keting their services to automotive insurance providers,” explained Nelson. “This is a key marketing initiative to grow the volume and reputation of your business.” Nelson said shops interested in becoming DRP certified should follow a step-by-step process: ■ Create unique marketing aimed at insurance companies ■ Gather applicable information, package the data/photography and submit the DRP application ■ Prepare for the coordinator visit ■ Deliver the application and discuss the contract ■ Review the contract and do the deal.

Building a DRP résumé is a great place to start, she notes. It will help your business stand out from the competition and make your shop an easily accessible, recognizable brand. When creating an easily read DRP résumé, Nelson notes it’s important to include: ■ A cover that uses up-to-date, clear photos that best showcase every part of your shop, from paint booths to waiting room ■ Information about who are you and why your business should be on the insurance’s DRP list ■ Specific details about what offerings help you stand out from competitors, such as the latest equipment and certifications ■ A map to your location(s) or a link to Google Maps if your résumé is electronic to make your shop easy to find ■ The best means to contact you or a shop representative, along with a photos of staff that agents will be speaking with to personalize interactions, and links to your website and

social media avenues. ■ Branding representations such as your shop’s logo in a large, clear format and any taglines used You can provide a full-color printed DRP résumé or an electronic PDF version.

Follow up the creation of your DRP résumé by developing a DRP spreadsheet that lists the following: ■ Insurance provider ■ Contact name ■ Phone number ■ Email ■ DRP URLs to website applications on site ■ Notes

“When you do receive that phone call or email from the insurance company, be sure the shop is in its best presentable manner,” she said. “Next, coordinate a visit, where an insurance rep will tour your shop. Lastly, deliver the application and discuss a potential contract.” Nelson stresses the importance of keeping your bathroom just as cleanly and as the rest of your shop. “Believe it or not, your bathroom has a huge impact on first impressions, not only with your customers but insurance agents too,” she explained. To get other areas of your shop ready for agents’ visits, review each of the following items and ask yourself the questions that follow:

Waiting rooms ■ Is it comfortable? ■ Are their amenities (a variety of magazines, refreshments such as water and coffee, etc.)? ■ Do you offer Wi-Fi?

First appearances ■ Is your shop clean and orderly? ■ Are your employees prepared to welcome visitors and present a friendly, upbeat and professional atmosphere when someone goes through the shop? ■ Are certifications hung where customers and insurance agents can see them clearly? Are they up to date? ■ Are you following safety hazard procedures? If your shop isn’t taking advantage of social media to market your business to insurance agents and customers, it should be. Nelson says it will be time well spent. Social media allows shop owners

40 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

to ask people what they think and to reply to their experiences, to tap into consumers’ real needs by reading reviews and ratings, and to drive traffic to your shop. Available social media outlets continue to grow, but don’t let that scare you. Begin with a few of the established sites like Yelp, Facebook and Twitter and grow into others.

Yelp Businesses new to the world of social media should begin by establishing an account on Yelp. Insurance companies and the public use the site to see what others have to say about businesses and make purchase decisions based on what they learn. It is important, however, to monitor the site and respond to reviews. Nothing will harm your business quicker than a host of negative reviews, particularly if they go unanswered. According to Nelson, shops can use Yelp’s tools/enhanced portfolio galleria to drive page clicks and enrich viewer interest. Ultimately, a good Yelp site will generate revenue.

Facebook

Most people use Facebook to connect with friends and family. For a business, it is an excellent referral source and a good way for customers to contact you. Using Facebook allows shops to build a “like” database; share upcoming events, stories and monthly news. It also allows a business to advertise and build a “like” database.

Twitter Business owners can share quick information about important dates & events. They can connect with other industries and build a following by sharing quick business-related tips that aren’t directly connected to a sales pitch. That suggests you as a source expert when the consumer has a need. Join the #Hashtag craze!

Google+ This is another important site to track for reviews of a shop’s services. A business owner should claim their business. Authorship keeps your unique and original content valuable and accredited to your business. It influences your search rankings. See Strategies and Tips, Page 42

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Continued from Page 40

Strategies and Tips

■ Circles – Add circles with interest in your company or with the same automotive interests ■ Reviews – Keep up to date on the good and bad ■ Share content or set up Google AdWords ■ Encourage coworkers to set up their own Google Plus pages and share content ■ Google Search enhancement with SEO

YouTube This is the second largest search engine and is linked with Google search results. Be sure to associate your YouTube with your shop name. This site allows you to share videos of your shop, video review and industry videos on your page and throughout social media. Consumers will embed and share videos associated with your domain. An easy way to manage content marketing using this social media channel is to re-purpose content you have already created as you can reach an audience that will love that particular type of content. YouTube also allows you to build an email list with subscriber software.

LinkedIn As the business owner, set up a personal account and add a business page to your account. Through this site, you’ll be able to post job openings at your shop; upload your resume, contact information and certifications; gain referrals, recommendations, and add other people or businesses to your groups; gain visibility with your shop and utilize advertisements; maintain relationships with other vendors, shops, and customers; and stay on top of news and notifications with groups and connections in the industry.

Pinterest Set up a portfolio of your shop and talk about it. Be creative. Make it personal because this is another way to brand your shop. You can gain thousands of followers in the industry. All you need to do is set up boards with industry tips, shop news, and events to make your business relevant. It allows you to drive traffic to your business by linking back to the source through PINS and that will help when it comes to search engines.

Foursquare This social media tool allows you to be easily found and see what people are saying about your shop so claim your listing. Stay in tune with reviews and respond to good and bad because cus-

tomers and potential customers are watching. You can use Foursquare’s advertising solutions and offer specials too. That will help you grab local traffic to your shop, as will using local updates to engage with customers who’ve checked into your business. Let people know what you provide and use it to show people you’re invested in the local area. According to Nelson, all social media should be linking back to your website, the most important aspect of your online presence. Insurance companies, customers and fellow industry members will be viewing your website on a regular basis.

What makes a good website? ■ Use of a prominent header with your shop’s phone number, logo and icons of your top 3 social media links ■ A consistent design throughout the site ■ Minimal copy with a good balance of imagery ■ Bullets and other features such as accordion style options to hide content for pages that are copy heavy ■ A balanced footer with social media links, ©copyright info, sitemap and possible RSS feeds from other so-

tive manufacturers. It was crucial for us to partner with a company capable of servicing and meeting the demands of such organisations.” Founded in 1966 in Boblingen, Germany, Volz Luftfilter products and filter media are widely used throughout Europe for HVAC, automotive paint booth applications, and gas turbines. Volz employs more than 500 people and has manufacturing facilities in Germany, Slovakia and the U.K. Founded in 1976 in Lemont, Illinois, A.J. Dralle, Inc. manufactures and distributes air filters to a large customer base, including clientele in the aerospace, auto body, food service, health care, and manufacturing industries. A.J. Dralle has an extensive distributor network serving the U.S., Mexico, Canada and Great Britain. For more information on the A.J.Dralle, Inc. and Volz Luftfilter partnership, contact James Dralle at 815-730-0505 or James1830@ajdralle .net. To explore the products our companies offer, please visit www.ajdrallefilters.com and www.volzfilters.com.

42 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

According to a HubSpot survey, 60 percent of businesses that blog acquire more customers. It creates a twoway conversation and feedback. Blogs are cost-effective marketing investments. Every post you publish is a long-term asset that helps build brand awareness and promotes your expertise, products and services. A blog keeps you focused on your content marketing strategy. You must create a schedule and stick to it to continuously deliver purposeful content. A blog builds confidence, relationships and sales. Customers will look to you as a reliable resource for information on your industry; then come to you as a business consumer. It also enhances your rankings among search engines. If you have marketing questions and an interest in seeing how B2B Automotive can help get your business into the fast lane, contact Michelle Nelson at 888-222-5128 or 314-9201147. You can also check out their website at btobautomotive.com. Toll Free:

877-865-3629

Paint Booth Filtration Companies A.J. Dralle, Inc. and Volz Luftfilter Form Strategic Partnership

A.J. Dralle, Inc. and Volz Luftfilter Gmb announced their alliance to deliver the air filtration products to the U.S., Canada and Mexico. They have more than 80 years combined experience. As principal partners, A.J. Dralle and Volz merged American and European trends in air filtration manufacturing and product development. “This strategic alliance makes available world-class products to North America. As an agent and distributor of Volz automotive filter media and systems, we can provide products previously unavailable in North America. Additionally, by assembling A.J. Dralle automotive filtration systems in the U.S. with Volz ceiling diffusion media, we maintain excellent quality control,” said James Dralle, president and CEO of A.J. Dralle, Inc. Rainer Volz stated, “As one of Europe’s largest independent HVAC and Automotive Air Filter Manufacturers, Volz Luftfilter is delighted to have formed a strategic alliance with A.J. Dralle. Volz is a principal and preferred supplier to many of the world’s leading automo-

cial media sites. ■ FAQs on your page that give the user a quick answer ■ Google map and locations page ■ A lively blog.

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Shops in Louisiana and Elsewhere See ‘Adjusted’ Labor Rates After State Farm Rezones Markets by Chasidy Rae Sisk

In July 2015, State Farm announced that it would be making “market refinements to its repair facility survey,” which included “refining market boundaries used to determine prevailing competitive prices (PCP) to serve our customers and to better align with government defined market areas,” according to State Farm spokesman Justin Tomczak. State Farm also warned that these updates could result in PCP adjustments and “periodic changes in PCP relating to updated repairer pricing and capacity information.” Since then, both DRP and nonDRP shops in various markets have seen labor rate reductions by as much as $5 per hour. Shops in LA are among the first to voice their complaints, and Alysia Hanks, executive director of the Louisiana Collision Industry Association (LaCIA), noted, “Shops were already hurting, and now with even more decreases, shops are having to let employees go because they can’t afford it. The attorney general and the Department of Insurance in LA are aware of these issues, but we need to

give them an avenue to take. Shops have to take action and refuse this injustice. I’m afraid a lot of shops will be hurt if the insurer gets away with this.” Hanks has received emails from multiple shop owners seeking advice. One non-DRP shop owner in Lafayette, LA, said, “State Farm has decided to increase the geographical scope of our market area. The result of this change has allowed them to decrease our market area’s material rate. After having paid a higher rate since July, State Farm will now reduce material rates on each estimate and deny any subsequent supplemental increase requests. We told said appraiser this will result in out-ofpocket expenses for their policy holders to which he responded, rather unsympathetically, that this was State Farm’s new policy and nothing could be done about it.” Another non-DRP shop owner, from Deridder, emailed Hanks that “State Farm lowered our [labor rate] last week from $55 to $50—and they have also stated they are not paying for any items that break during an R/I operation. Unbelievable that they can

do this...” A DRP shop owner from Jennings, LA, also reached out to Hanks after receiving word from a State Farm representative that their rates had been lowered by $2 per hour. “I was shocked to learn that rates could be lowered. Our rates had just risen at the beginning of the year by $1... This decrease in rates greatly affects my overall budget, especially my payroll budget. I fear the short-term effects of this will cause me to lose employees.” In contrast, Hanks has also heard from some shops that have not been impacted by State Farm’s market rezoning, and one shop even reported receiving a slight increase. Unfortunately, this issue is not isolated to LA. Tony Ferraiolo, owner of A & R Body in CT and President of the Auto Body Association of CT (ABAC), has also seen decreases in his area. He noted, “There is no one to hold the insurance industry accountable, so why not get even more greedy and lower rates until someone stands up and forces them to establish shops’ true costs of labor rates?” In her email to LaCIA members,

Hanks stated, “I wish there was a magic word I could give you all to make this problem go away; all I can tell you is we are working very hard to fight this, but we need your help. We need you to be proactive in your stance against these charges. We need you to share with us what is going on.” Hanks encouraged LA shops to file complaints about this issue with the Department of Insurance at www .ldi.la.gov/contact-us or by emailing Assistant Attorney General Stacie deBlieux at deblieuxs@ag.state.la.us. Hanks urged, “We need you to reach out to the other shops in your area and make a stand not only for your shop but the whole industry. But more importantly, call the other shops in your neighborhood. I’m very certain there is another owner/manager sitting there with the same problems as you have, wondering if they really are ‘the only ones.’ You are not the only one, and you are not alone in this!”

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ICBC Selects Mitchell International as Strategic Material Damage Solution Provider

Mitchell International announced on December 2 that it has entered into a long-term agreement with Insurance Company of British Columbia (ICBC) to serve as their new material damage solution provider. Due to Mitchell and Guidewire Software’s strategic partnership, ICBC will have the advantage of leveraging the pre-built, advanced integrations between the Mitchell WorkCenter™ solution and Guidewire ClaimCenter® designed to achieve quicker implementation and lower overall total cost of ownership. “Mitchell is proud to partner with ICBC, one of the largest insurance providers in Canada,” said Alex Sun, president and CEO at Mitchell International. “Our industry leading estimating and workflow platform will enhance ICBC’s material damage solution, providing complete estimating tools built to streamline and optimize the claims process for insurers, collision repair shops, and other vendors.” Mitchell’s suite of solutions enables ICBC certified Express Repair facilities and claims personnel to better manage their customers and expedite service with a system that includes: ● Single workspace environment for ad-

justers to manage key claim activities; ● Automated estimating with integrated alternate part search capabilities; ● Comprehensive shop communication solution that facilitates the seamless transfer of documents including estimates, invoices, photos and reports; ● Repair status module to enable repair facilities to communicate the repair status and provide email and text notifications to customers ● A Total Loss solution that delivers verifiable total loss values

“After a rigorous strategic sourcing process, ICBC selected Mitchell as result of Mitchell having a comprehensive suite of solutions and their strong commitment to being a leading provider in Canada,” said Brian Jarvis, VP of claims at ICBC. “ICBC and Mitchell are excited to deliver an improved experience to our customers, business partners and employees through the implementation of Mitchell’s material damage solution. We also look forward to the opportunities of further integration of Guidewire ClaimCenter and Mitchell’s expert solutions, which will drive more efficiency and better user experiences.” For more information, visit http:// www.mitchell.com/WorkCenter

UK Insurers: Luxury Car Drivers Have More Accidents

A UK study says that Smart car drivers are the nation’s safest, with luxury brands like Lexus faring poorly in accident rankings. New data reveals that Smart drivers have the lowest “at fault” insurance claim rate out of any car make. Between July 2014 and June 2015, Mercedes Benz-manufactured Smart cars only registered 78.6 at fault claims per 1,000 drivers. By comparison, Lexus owners proved to be the worst offenders, with 111 at fault claims per 1,000 drivers. The statistics reveal outdated driver stereotypes. Despite a reputation as a ‘boy racer’ favorite, Subaru slotted into third with just 79.7 at fault claims per 1,000 drivers. By comparison, luxury brands Land Rover and Audi joined Lexus in the bottom five, clocking 110.1 and 105.2 at fault claims respectively. Comparison site MoneySuperMarket analysed over 11.3 million car insurance quotes run on the site over 12 months. Mercedes and BMW do not make the list because their claims data falls somewhere in the middle. Premiums are then based upon the statistical likelihood that a car will be involved in an accident based on those parameters. The driver’s past record of accidents and claims will be taken into consideration too.

Vehicles 14 Years & Up Soar

According to Lang Marketing cars and light trucks 14 years and older will be the fastest growing vehicle age group in the U.S. between now and 2020. Lang Marketing projects more than a 16% surge in light vehicles at least 14 years old during a time when the total light vehicle population will increase less than one-third this amount. Lang Marketing projects approximately 15 million additional vehicles 14 years and up on U.S. roads by 2020, changing the mix of aftermarket products installed on cars and light trucks in the U.S. and infusing the light vehicle aftermarket with much of its growth. Ten years ago (2005) cars and light trucks 14 years and older comprised less than 21% of light vehicles on U.S. roads. With the unprecedented downturn in new car and light truck sales across the U.S. beginning in 2008, the age profile of vehicles in operation (VIO) began to rapidly shift. As new vehicle sales in the U.S. plunged between 2008 and 2011, Americans held on to their vehicles, rather than replacing them. As a result, the population of vehicles 5 years and younger imploded as the older vehicle population surged. Between 2007 and 2013, the number of cars and light trucks 5 years and younger fell more than 17 million.

Prospray® Automotive Finishes Introduces Bold New Packaging

Saluting their European heritage, Prospray®, a premium, global, refinish brand of Valspar® Automotive, has introduced a new, clean, bold, and distinctly European look to the labeling of all of its Prospray products. The redesigned packaging features the new

Prospray logo, category colour coding, instruction panels, GHS (the global standard for chemical identification) compliance information as well as Prospray’s signature Colour Intelligence™ icon, a visual graphic that aids in tinting mixed colours. “When our customers look at the new packaging, they will feel a sense of pride and ownership because they significantly influenced the design,” said Director of Marketing, Laura

Yerkey. “We collaborated extensively with sales representatives, distribution, and body shop customers regarding the packaging because we know how passionate they are about the products they use. Much of the label content, colour-coding and the Colour Intelligence™ icon concept came from suggestions they made.” The package redesign encompasses all Prospray marketing materials including YouTube, Facebook, websites, literature, trade shows, and sales communications collateral. Prospray is a Valspar Automotive brand. Valspar Automotive has been making automotive coatings for more than a century, and is one of the leading automotive coatings manufacturers worldwide. Among its major brands are DeBeer Refinish, Valspar Refinish, Matrix, Prospray, House of Kolor, and US Chemical. For additional information about Valspar Automotive, visit: www. ValsparAuto.com and follow Valspar Automotive on LinkedIn, Facebook, and Twitter.

44 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

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New East-County, MO Body Shop Caters to Farmers by Tony Brown, Maryville Daily Forum

Northwest Missouri Enterprise Facilitation, a regional non-profit organization that provides resources and coaching for entrepreneurs and existing small business owners, has announced the opening of a new NWMEF-sponsored enterprise, Big Ed’s Body Shop near Ravenwood. According to an Enterprise Facilitation release, Big Ed’s

Ed Wiederholt, owner-operator of the newly established Big Ed’s Body Shop northwest of Ravenwood is pictured with his wife, Tiffany, center, and Keli Morris of Northwest Missouri Enterprise Facilitation. Credit: www.maryville dailyforum.com

owner, Ed Wiederholt, has 20 years of experience as a body repair technician and is offering a variety of services, including tractor restoration and sandblasting. Prior to opening his own shop, Wiederholt spent 10 years as a partner at Wiederholt Auto Body in Maryville, which he operated along with brother Ron, who now heads up the collision repair program at North-

west Technical School. Now on his own running a one-man shop, Wiederholt said his goal is to provide convenient service and quick turnover for customers across the area, especially farmers, with an emphasis on quality and individualized service. He said he heard about Northwest Missouri Enterprise Facilitation from a friend, and that the organization provided assistance in getting the new business organized, especially with regard to advertising and marketing. Though the business is brand new, Wiederholt is already anticipating opportunities for growth. “I will build a strong foundation, and then use that to push towards gaining a bigger customer base,” he said. As for taking the plunge into self-employment, Wiederholt said the key is doing something you enjoy. “Have a passion for what you do,” he said. “You will have the best luck if you work for yourself. Follow your dreams. Work hard for what you want.” Big Ed’s Body Shop is located at 21457 Mahogany Road. To reach the business from Highway 136, turn north on Route E west of Ravenwood and continue four miles to 220th Street. Turn left on 220th and then right on Mahogany. The release stated that Northwest Missouri Enterprise Facilitation plans to host a grand-opening event at the body shop this spring We would like to thank Maryville Daily Forum for reprint permission.

Auto Safety Ratings to Include Collision Prevention On Dec. 8 the government announced plans to update its safety rating system for new cars and trucks to include whether the vehicle has technology to avoid crashes, in addition to how well it protects occupants in accidents, according to reports in the LA Times. The 5-star rating system now uses crash tests to assess how well people inside are shielded from injury or death in front, side and rollover crashes. While that will remain a big factor in the ratings, they also will take into account whether the vehicle has nine technologies that can help prevent or lessen the severity of crashes. Those technologies include sensors that can detect an imminent frontal collision and apply the brakes, or warn drivers about vehicles in their blind spots or that they're drifting into another lane. Some technologies automatically switch headlight high beams to low beams when another vehicle is approaching, help prevent rollovers, and employ amber rear turn signal lights that drivers are quicker to identify as indicating a turn rather than braking. In addition, the ratings will include a new type crash test designed to simulate cars that collide at an angle. Crash tests will also use improved crash-test dummies that better repre-

sent how accidents impact the human body. And the rating system will reward cars designed to protect pedestrians who are struck by them. One of the government's aims in updating the rating system is to put pressure on automakers to include crash prevention technologies in all vehicles, not just more expensive luxury models, said Transportation Secretary Anthony Foxx. In the past, automakers have voluntarily included more safety technology in vehicles in an effort to earn more stars, but many of the nine technologies proposed for the rating system are primarily available in a limited number of higher end vehicles. "We're going to raise the bar when it comes to protecting vehicle occupants," Foxx said. The department's goal, Foxx said, is to ultimately prevent crashes altogether. He said he's hopeful that will happen in his lifetime. The rating system posts a rating of one to five stars on the window stickers of new cars to help shoppers identify the safest vehicles. The new system will also include half stars as well as full stars to get at nuances in safety features, said Mark Rosekind, head of the National Highway Traffic Safety Administration, which administers the ratings system.

Chinese-Backed Electric Carmaker Picks Nevada for $1 Billion Plant to Be Built Near Las Vegas

A Chinese-backed electric car company with visions of revolutionizing transportation—but no product to show yet—announced plans on Dec. 9 to build a $1 billion plant near Las Vegas, NV, marking the second time in just over a year that Nevada has landed a coveted project from the budding industry. California-based automaker Faraday Future’s choice of Nevada over three other states is contingent on state lawmakers’ approval of tax incentives that haven’t been publicly described. The company’s announcement, in a letter to Nevada legislators that was obtained by The Associated Press, also came with the revelation that it’s backed by a Chinese billionaire investor who styles himself after Apple’s late Steve Jobs. “We plan to revolutionize the automobile industry by creating an integrated, intelligent mobility system that protects the earth and improves the living environment of mankind,” wrote Jia Yueting (ZHAW’YOO’weh-ting), the founder and CEO of the holding company LeTV. Faraday has offered few details on its product so far, but has said it hopes to bring a vehicle to market as early as 2017 and plans to unveil a concept car

in January ahead of the Consumer Electronics Show in Las Vegas. One automotive industry analyst noted that Faraday was starting behind Tesla and traditional auto makers that are already developing technology to provide vehicle Internet access and over-the-air updates to electronic controls. “I'm not saying they can’t succeed, but they’re not going to be first,'” said Stephanie Brinley, senior analyst with IHS Automotive in Southfield, Michigan. Economics Professor Edward Leamer, director of the Anderson Forecast at the University of California, Los Angeles, said an upstart company might find it hard to sell enough vehicles to break even. “It could be tough going,'” he said. “That whole electric vehicle marketplace is tough, with oil prices low.” Nevada topped finalists California, Georgia and Louisiana in the race to land the 2.5-million-square-foot plant. It’s expected to sit on 600 acres in North Las Vegas’s Apex Industrial Park and bring 4,500 jobs to Nevada. Company spokeswoman Stacy Morris added that Faraday will share its manufacturing plans very soon.

46 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

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Houston Digital Corporation Releases Q-Scheduler

Q-Scheduler is a production scheduling tool for collision repair shops. According to Kreg Jetsel, president of Houston Digital Corporation, the new scheduling tool is “revolutionary.” “For years the collision repair industry has been in need of ‘Tetris’ -style scheduling to enable collision repair facilities to effectively schedule their work by class or job size. Since every job is different we wanted to take the guess work out of production scheduling.” Jetsel said. “With the right mix of work coming into the shop, the flow through the shop can stay more consistent and therefore help reduce bottlenecks and improve cycle times. We’ve seen shops show dramatic increases in throughput using these concepts.” Jetsel also said Q-Scheduler can be up and running in less than 15 minutes and is easy to use. No management system is required and there are no long term contracts. For more information on the Q-Scheduler system, please contact Summit CRS at 208-947-1738 or Q-Scheduler.com.

www.autobodynews.com

Car-O-Liner Approved by GM for Structural Repairs on CT6

Car-O-Liner® has now received approval for structural repairs on the Cadillac CT6. This project represents a partnership between General Motors and Car-O-Liner to develop a comprehensive 3D data sheet as well as a custom adaptor kit for the proper anchoring on Car-O-Liner’s BenchRack frame alignment system. The collaboration began with the sharing of 3D engineered drawings and images. This information was then analyzed to develop proper anchoring points and adaptors. Car-O-Liner has also processed a complete set of data sheets with measurement points and photos. In addition to the CT6 mounting adaptors, Car-O-Liner offers a complete solutions package for aluminum repair. The equipment includes 3D measuring, Benchrack frame alignment, MIG welders, an aluminum repair station, and an isolation bay package. Car-O-Liner also provides collision shop design services. For more information on the GM Dealer Equipment (GMDE) program, visit http://www.gmdesolutions .com/equipment/

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3M™ Introduces Impact Resistant Structural Adhesive

3M Automotive Aftermarket Division introduced 3M™ Impact Resistant Structural Adhesive 07333 / 57333. It is a two-part epoxy adhesive that provides an extended work time, but can be rapidly cured with heat. The company said it has excellent adhesion to a wide variety of properly prepared automotive substrates including steel and aluminum. This adhesive is intended for true structural bonding applications when specified by automotive OEMs, and is recommended for all weld-bonded and rivet-bonded joints. The company said the adhesive can address several of the issues vehicles encounter during collision repairs. “We worked closely with General Motors Service Engineers and Materials Engineering for about three years to develop this adhesive—a solution engineered to meet OEMs performance demands but designed specifically for the collision repair industry,” said Jason Scharton, OEM Business Development Manager for 3M Automotive Aftermarket Division. “We have a long history working with OEMs to develop repair products based on their needs for repair in the aftermarket.”

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ASA-CO Partners with NAPA and BG to Offer Service Advisor Training by Chasidy Rae Sisk

In October and November, ASA-CO partnered with NAPA and BG, as well as the Elite NAPA Business Development Group, to offer training seminars for service writers in the area. Brian Bates, training director of the Elite NAPA Business Development Group, said the goal is to “provide good venues and attract instructors who provide valuable training without being too pricey. We aren’t offering an ongoing series or the same seminar, but there is a lot of available technical training, so we’re trying to provide useful training for local service writers.” In October, ASA-CO and NAPA sponsored a service writers’ seminar at Emily Griffith Technical College in Denver. “Paul Marquet did a great job teaching the two-day class on selling skills, and the partnership with Emily Griffith allowed us to use their facility to provide intensive ongoing education for the 18 service advisers in attendance,” Bates recounted. On November 17, ASA-CO and the business development group partnered with BG to present a seminar on phone skills. Jonnie Wright, president and CEO of The Buyosphere, presented

DOT Recommends Updated Safety Rating System

The U.S. DOT has proposed a series of changes to the NHTSA 5-star Safety Ratings, also known as the New Car Assessment Program. Under the current program, NHTSA crash tests new vehicles and rates their ability to protect occupants in frontal, side and rollover crashes. The measurement can range from one to five stars. The new DOT proposal takes into consideration new and emerging vehicle technologies. The new standards include: ● A new 5-Star Safety Ratings system, to encompass assessment of crashavoidance and advanced technologies as well as pedestrian protection. ● New tests to assess how well vehicles protect pedestrians from head, leg and pelvic injuries that occur when a pedestrian is struck by a vehicle. ● A new frontal oblique crash test that measures how well vehicles protect occupants in an angled frontal crash. ● An improved full frontal barrier crash test to drive safety improvements for rear seat occupants. ● New crash test dummies to provide improved data on the effects a crash will likely have on the human body. ● An assessment of additional crashavoidance and advanced technologies that offer drivers the most potential for avoiding or mitigating crashes.

“What’s Your Kryptonite? Creating Superhero Service Advisers, Managers and Owners” to 52 industry professionals, about 75 percent of which were shop owners. Wright taught attendees how to improve conversion rates, ARO and overall sales while increasing customer referrals and reviews and building greater customer loyalty, brand awareness and employee morale.

be able to upgrade our customer service/retention, along with equipment, knowledge of cars, and so forth.” Randy Pickering of Pickering’s Auto Service, Inc. noted, “I believe the largest benefits will come from reducing the time on the phone by better directing the conversation and significantly reducing wasted time on phone estimates with such low return. Both of these are

Bates said the seminars went really well, and he has received a lot of great feedback from attendees. Three attendees from Cooper’s Automotive indicated that they enjoyed the content and learned “ways to speak to customers on the phone and in person that we hadn’t thought of which is useful since one of the most important parts of our business is customer service and retention. The business we are in is changing so quickly that we need to

time traps that slow down and waste the service adviser’s ability to perform exceptional customer service to the customers at hand. As an owner, I need to be continually listening to the phone conversations and messages we send to our customers and potential customers. We spend a lot of money to get the phone to ring, and we need to be intentional of the message of exceptional service and then match that level in our store.”

“Our goal is to provide training to improve the industry, and increasing attendance allows us to reduce individual cost, plus classes are more energetic when you have more people,” — Brian Bates

Fiat Chrysler to Pay $70 Mln U.S. Auto Safety Fine

Fiat Chrysler Automobiles NV has agreed to pay $70 million in fines to resolve a U.S. investigation that it failed to disclose vehicle crash death and injury reports, people familiar with the matter told Reuters. The settlement is expected to be announced by the NHTSA. Fiat Chrysler in September acknowledged it had failed to disclose an unspecified number of reports that are required to be submitted to regulators under a 2000 law. NHTSA in September called Fiat Chrysler’s reporting omissions a “significant failure.” This is the latest fine imposed by the U.S. auto safety agency after it came under harsh criticism from Congress and in a government audit for not being more aggressive in enforcing safety laws. In a new highway funding law, Congress agreed to give NHTSA more funding if it implements more reforms outlined by the Transportation Department inspector general. Fiat Chrysler told NHTSA earlier this year it had problems with its software for extracting information from a company database to submit to NHTSA, and as a result significantly under-reported death and injury claims. There is no indication that Fiat Chrysler intentionally hid the reports.

48 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

The Elite NAPA Business Development Group that Bates is part of began two and a half years ago with five shops and has since grown to include 42 automotive businesses. The group is loosely connected to ASACO and is supported by NAPA as they promote a better industry. Association members and business development group members receive discounts on training courses to encourage industry professionals to join both groups. Bates explained, “Our goal is to provide training to improve the industry, and increasing attendance allows us to reduce individual cost, plus classes are more energetic when you have more people. Additionally, we are working with the community to funnel quality students to employers by creating ongoing education partnerships with educations such as Emily Griffith. The partnership between ASA-CO, NAPA, BG, Emily Griffith and our business development group also allows us to work together to provide quality training that is affordable.” ASA-CO is currently preparing for their 2016 Independent Automotive Professionals Symposium which will be held on February 12 and 13 at the Denver Marriott West.

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ALLDATA President Discusses Importance of Trade Shows, Future Plans by Victoria Antonelli, Online Editor

Autobody News interviewed ALLDATA President Mitch Major at the 2015 SEMA Show to get the latest on the historically mechanical company’s recent advancement in the collision repair sector.

Q: A:

Since we last spoke at NACE, are there any updates to ALLDATA’s collision repair sector? I wouldn’t say updates as much, in terms of the product itself. We continually add information and updates from the OEMs to the database on a makes/models perspective, so the product itself is stable at this point. I would say the biggest change, which I alluded to a little when we were in Detroit, is that we are having more the conversations with the marketplace about keeping shops up-to-date on OEM repair information. We communicated with insurance carriers and collision parts providers at SEMA about how we could pull it all together. We want to take the OEM information and tie it to the parts to create a higher likelihood that the repair is being done based on the OEM specs. The complexity of the vehicles is advancing so quickly that if shops are not using the OEM information, they risk making an incorrect repair, which could result in injury or death. I think the carriers have always been open to the notion of OEM information being available to the shops, and now it’s becoming something shops expect verses just a good idea for the future. We had meetings all over Las Vegas during SEMA with carriers and parts providers, and with each passing the day, the conversations continue to evolve.

What are the most frequent Q: questions and/or concerns you encounter? Everyone, from parts providers A: to collision repair technicians, is talking about the aluminum bodied

Ford F-150 and how much more complex it is. I was recently discussing the difference between dealing with a damaged quarter panel on a steel Ford versus an aluminum Ford, and I think the main question is, how do we merge this technology, the information, and the vehicles all at the same time? It’s something we need to figure

out soon, especially now that aluminum vehicles are becoming more predominant in the market place. A lot of shops are seeing more aluminum vehicles come in, and when they start to take off the quarter panels, what they see underneath is not something they’re familiar with. So, in some cases, they’re even making phone calls to the carriers, saying, what do we do now? Again, if the players in collision don’t pull all of this together quickly, we will continue to create an environment where technicians are encouraged to do the repair the wrong way, which introduces risk to all parties.

What is the status of ALLQ: We DATA’s Community database? are working with a lot of parties in the automotive space A: to try and populate it with more repair

information. There are many national players that have 20 year databases of repair orders, so we are working to partner with them. Ultimately, we see Community becoming just as viable as the OEM information. It’s a way to help technicians fix the car that’s on the lift or the collision repair that’s in process even faster.

when we can call to discuss the importance of the OEM repair information, the complexity of metals and adhesives, etc., we are going through someone who they feel is a trusted advisor, instead of cold calling. We are then viewed as more than just a person trying to sell something.

Q: A:

What is the most beneficial aspect of coming to these trade shows? We love coming to the trade shows because we get to spend days talking to the customers and asking what they think about us; the good and the bad. We are all about putting customers first and being responsive to suggestions. The trade shows are where we build our product road map; we just come and try to take down as much information as we can. Once we’re back at the office, it takes 30 or so days to really go through everything and have strategic discussions about what we need to change and how this new information will affect our path. We are also working on bringing mobile and car connectivity to the collision repair space, so shops

can be more efficient with tackling issues that arise.

What is your opinion on driQ: Those verless cars? ideas, even when they A: stick, generally take 10–20 years to fully work through the mar-

ket place, so we are monitoring it, but we’re not too worried about it yet. Our main concern is the security risk; we’ve all seen the articles in the last year about someone taking a car over from two states away. The notion that cars can’t collide is awesome, but at the end of the day, cars just talking to each other will not ultimately solve that problem. That doesn’t account for things like snow and other volatile weather conditions. So even though we don’t think that driverless cars will make collisions go away, we certainly think they will impact the industry. We always want to be prepared to serve the market place as it changes, but I think that’s more long term than short term. For more information on ALLDATA, visit their website at www.alldata.com.

for 2016? Q: WeNewwantplansto continue developing A: strategic partnerships around collision, especially integrating with

partners on the software side. We have the largest OEM database of collision repair information, which is an asset for folks who don’t want to build one on their own. We’re spending as much time as we can with the top 10 carriers to talk about, strategically, how can we work together to market, using the OEM repair data, to shops and educate them on the importance of using this information. There are still a lot of shops out there that have been doing it the same way for the past 20 years. The problem with that is, if you start to cut through some of the sections in this day and age, you just can’t put it back together the way you could when it was just a steel frame.

Q: A:

What methods do you use when you communicate with the more “traditional” shops? We partner with carriers who already have a preexisting relationship with these shops. That way,

50 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

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Axalta Enhances Nap-Guard®, Announces Role in North American International Auto Show Charity Preview On November 30, Axalta Coating Systems announced the enrichment of its Nap-Gard® fusion bonded epoxy (FBE) powder coatings. In addition, Axalta announced a new series of product designations with the reorganization of its Nap-Gard FBE powder coatings product line under a newly designated 72500 series. The Nap-Gard 7-2500 series brings industry recognized FBE powder coatings into one group and expands the benefits of its thermosetting epoxy powder for onshore and offshore oil and gas pipelines. Combining Nap-Gard FBE powder coating product numbers 72500, 7-2501, 7-2508FG, 7-2508, and 7-2508LG into one family allows customers to choose the product needed for their application in the color they desire. Nap-Gard 7-2500 series powders are National Sanitation Foundation (NSF) certified and meet ISO 21809-1 and CSA Z245.20.14 requirements. “Axalta’s Nap-Gard FBE powder coatings have been used for more than 50 years to provide corrosion protection on underground and subsea pipelines,” said Meghan Hodge, Axalta Functional Global Product Marketing Manager. “During the past year, Axalta has stream-

lined the manufacturing processes at our Houston manufacturing center. Our facility conversions have enabled Axalta to efficiently and effectively support our customers’ needs and provide enhancements to the Nap-Gard line.” According to an Axalta press release, Nap-Gard series powder coatings are suitable for even the most demanding performance requirements set by industry standards and can be used as a single anti-corrosive layer or as the primer in a dual layer or multilayer system. This family of powders is fast curing, damage resistant, thermosetting and hazardous air pollutant (HAP)-free, and has excellent adhesion to steel with good chemical resistance. To learn more about Nap-Gard 72500 series or other Nap-Gard products, visit Axalta’s website at www.axalta.us /powder On December 14, the automotive paint company announced that it will be the Presenting Sponsor of the Charity Preview at the 2016 North American International Auto Show (NAIAS) at Cobo Center in Detroit, Michigan. The NAIAS Charity Preview, which will take place on January 15, 2016, is

consistently the largest single night fundraiser in the United States. “We are pleased to be a part of NAIAS’s Annual Charity Preview,” said Steven Markevich, Axalta’s Executive Vice President and President of Transportation Coatings and Greater China. “We take pride in being able to support such an exceptional, international event that provides so much to numerous local charities. As a trusted partner in helping automakers develop the appearance and character of their vehicle brands, the Axalta team looks forward to adding a little color to this black-tie affair.” “The Charity Preview is truly a remarkable experience and we’re thrilled to have Axalta involved as our Presenting Sponsor,” said Paul Sabatini, 2016 NAIAS Chairman. “Axalta is worldrenowned for its color expertise and we look forward to seeing what flare they add to our charity celebration.” Axalta will also participate in many festivities during the preview week including the annual EyesOn Design program that benefits the Detroit Institute of Ophthalmology and Axalta will announce its North American Automotive Color of the Year 2016.

Service King Hosts Hire a Veteran Development Day

Service King Collision Repair Centers, in continuation of its long-term Mission 2 Hire initiative, is set to host a comprehensive hiring fair and development day exclusively for DFW-area military veterans and family members. The event is scheduled for Dec. 3 inside Service King’s Regional Support Center located at 808 S. Central Expressway in Richardson, Texas. The event is free to U.S Armed Forces veterans and spouses beginning at 8 a.m., and will feature a variety of career development opportunities including expert leadership panel discussions, breakout workshops on a variety of career-readiness topics, a free networking lunch and more. “This is yet another exciting opportunity for Service King and our very own teammates to reach out and provide tangible career opportunities to our nation’s heroes,” said Chris Abraham, Service King CEO. “The brave men and women who served in the U.S. Armed Forces exemplify the very skillsets, leadership and commitment to excellence that we strive to recruit for our team Service King has recruited and hired 57 U.S. veterans.

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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 51


ARA Works on Important Issues for 2016 by Chasidy Rae Sisk

According to Mike Swift, president of the Automotive Recyclers Association (ARA), ARA is jumping into the new year feet first as they explore some very important issues impacting their industry.

Because recalls are so prevalent with an estimated 100 million recalls in the last year and a half, ARA is putting a lot of research and effort into acquiring recall data, OEM data and bulk VIN data. Swift noted, “These are the keys that all automotive recyclers need in order to identify recalled parts in their inventories. The National Highway Traffic and Safety Administration (NHTSA) wants 100% remedy rates with recalls since all recalls are related to safety, but NHTSA cannot

achieve this goal without the help of professional automotive recyclers.” The association will also be monitoring airbag litigation in 2016. “With the Takata airbag recalls, we as auto recyclers can help with the remedy rate and make sure that these bags don’t get back into the repair steam, but if our inventories are diminished, who is going to compensate us for our loss? All automotive recyclers want to do the right thing, but even that comes at a cost. Swift is also overseeing efforts to update ARA’s website set to launch early in 2016, and in so doing, he hopes to build on the association’s presence on social media. In 2016, ARA will also be adding more members to its committees so that “ARA is covering all that needs to be covered to become a better association and create better automotive recyclers around the country,” Swift stated.

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Wind Storm Leaves WA Auto Body Shops Booked Through Mid-Jan by Kaitlin Loukides, KREM.com

The record-setting wind storm that knocked out power to thousands and downed hundreds of trees did significant damage to vehicles as well. While roofers are backlogged with repairs, auto body shops are as well. River City Body Shop is just one of many in Spokane that are slammed with storm damage calls. Brianne Rasmussen, the shop manager at River City, said they are booked through mid-January. “Because of that windstorm auto body shops around town are what you could honestly consider to be the ER of cars,” Rasmussen said, “and now because of the slick roads and the snow, it’s only getting busier.” Countless tow trucks, and hundreds of cars still in the pipeline, she said body shops are only getting busier. “Trees are now just starting to get off cars, so they’re just starting to bring them in,” she said. “And then the slick roads we’ve gotten because of the freezing rain, we’re writing estimates nonstop.” She said she is seeing a large number of cars that suffered damage from

roof shingles. Trees have totaled more cars than Rasmussen said she has ever seen. “We had a dodge come in that was completely caved in,” she said. Rasmussen’s advice is if you car is still driveable to consider yourself lucky.

Auto body shops in Spokane are backlogged trying to fix cars damaged by Nov. 17 wind storm. Credit: KREM

“Just get the estimate, get the ball rolling, and wait till you get in because everybody’s busy.” The November 17 wind storm was one of the worst the Inland Northwest had seen. Two people died from the storm and many were without power, internet and other services through the Thanksgiving holiday. We would like to thank KREM .com for reprint permission.

Property Damage Appraisers’ Virtual Estimating Tool Earns High Marks

One year after the launch of Property Damage Appraisers’ (PDA) virtual estimating tool PDA Xpress, the results are in. Although nearly 50 percent of PDA Xpress estimates are completed in 45 minutes or less, the company said the tool is performing so well that PDA has committed to reducing the promised cycle time from three hours to two-and-a-half hours. “We’re continuing to set the bar for the claims industry resulting in cycle time reduction, increased accuracy and improvement in satisfaction,” said Tom Slimak, chief business development Officer, PDA. “The fact that we’re able to beat industry norms for cycle time is great. When estimates are completed accurately, this translates into better results across the board.”

Low Supplement Ratio: 9 Percent In the insurance industry, a low supplement ratio is the result of accurate, quality estimates and expert appraisers. On a granular level, it’s an indicator of the percentage of estimates that require an additional review because the original estimate was not accurate or complete. PDA Xpress’ supplement ratio is extremely low at nine percent.

High Net Promoter Score: 94 Percent PDA also earned high marks on the Net Promoter Score® (NPS). NPS asks how likely a customer would be to recommend a company to a peer. PDA Xpress customers’ NPS is 94 percent. Extensive research has shown that an NPS acts as a leading indicator of growth. One Source for the Entire Claims Process PDA Xpress is a Web-based tool instead of a downloadable app that would only be used occasionally, so it doesn’t take up valuable space on a customer’s phone. When photos aren’t sufficient to complete an estimate, or a supplement requires a field visit during the claims process, companies with virtual estimating tools that aren’t backed by a national network of appraisers have to turn the claim back over to the insurance company or adjuster to complete the process. With a network of more than 650 appraisers throughout the country PDA can handle claims all the way through to completion. To learn more about PDA and PDA Xpress, visit www.pdacorporation .com/pdaversus.php.

52 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 53


Driven Brands Acquires CARSTAR Canada and Announces Senior Leadership Changes at CARSTAR US by Stacey Phillips, Assistant Editor

When Autobody News spoke to Jose Costa, group president of Driven Brands, shortly after acquiring CARSTAR in November, he said growth is an important part of the company’s strategy. “The company is committed to Jose Costa achieve its ‘Dream Big’ agenda, which is to double system sales and increase franchisee profitability through better innovation and increased purchasing power,” he said. He added that significant acquisitions were planned. One recent acquisition was of CARSTAR Canada, which has 23 locations in 10 provinces, this December. “CARSTAR has a long and established history in Canada and I’m proud to have this iconic brand join the Driven Brands family,” said Jonathan Fitzpatrick, president and chief executive officer of Driven Brands. “CARSTAR not only strengthens our product offering and expertise, but builds upon our established footprint in Canada.” With this acquisition, the combined CARSTAR business accounts for more than 450 locations and $700 million of annual system sales. He said this makes CARSTAR the largest brand in both system sales and locations in the automotive collision repair industry. CARSTAR Canada marks the third acquisition for Driven Brands since it was acquired by Roark Capital earlier in 2015, expanding the brands’ footprint to more than 2,200 franchise locations in the U.S. and Canada. Driven Brands’ paint and collision division is comprised of CARSTAR in both the United States and Canada, Maaco and Drive N Style.

CARSTAR Leadership Changes in U.S. When CARSTAR employees learned about senior leadership changes being made at the company last November, Costa said it was bittersweet. “A lot of the management team had been there

Free

for a long time,” Costa told Autobody News. “Everyone was expecting changes as we assess the business. I think they were a little surprised and a little saddened because people were leaving.” He said there was also excitement for those who were promoted. The changes included CARSTAR CEO David Byers leaving the organization and Dan Young, the SVP of Insurance, being promoted to brand president. “David played a critical role in helping CARSTAR become the great company it is today and we are very thankful for all of his hard work and dedication,” said Costa, in an email that was distributed to employees. After a month-long assessment looking at every aspect of the business, Costa said, “We felt that we had to change some positions in the leadership team and have someone like Dan Young with his experience in the insurance industry lead the brand.” Dan Young Young will report directly to Costa. “Dan has been with the company for more than 12 years and has exponentially grown CARSTAR’s insurance business,” said Costa. “We are confident that Dan will continue to drive incremental profitability and growth for our franchisees, and that CARSTAR will continue with this great momentum under his leadership.” Costa said the plan is to double the size of the company over the next few years. “One of the ways to do that is by securing more insurance business,” he explained. Employees learned of the leadership changes through email and conference calls. He encouraged employees to reach out with any questions or concerns. “I understand that change isn’t always easy but progress is impossible without it,” said Costa. “I am confident that these adjustments will ultimately benefit the brand and position us for growth.”

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Other key changes at CARSTAR included: ● Dean Fisher, vice president of operations, was promoted to Chief Operations Officer and will report directly to Young. Fisher developed the EDGE Performance Platform, which is a five-stage process that trains, develops and coaches franchise owners. Fisher will continue to spearhead Dean Fisher the evolution of the operational platform, to evaluate where shops are from a lean standpoint and a production standpoint. ● Scott Robertson, vice president of development, will report to Young. His main focus will be to continue growing unit count as well as to pursue new markets and acquisitions.

Scott Robertson

● Melissa Miller was promoted to vice president of operations, reporting to Fisher.

See next story.

● Cacey Lavin, recently promoted to controller, will report to Driven Brands’ VP of accounting and finance, Ed Moore. Lavin will lead CARSTAR’s accounting and finance departments. ● Kim Carrington was promoted to training and development manager and will report to Fisher. “Independent body shop owners have few options when it comes to succession planning. It’s either selling to their manager, joining a network like CARSTAR or selling to the large consolidators,” said Costa. “[Joining CARSTAR] gives them a very good opportunity to leverage their Melissa Miller buying power, get access to more DRP business and the Edge platform and training. We see it as a win win both for the independent shop and for CARSTAR.” For more info. visit www.driven brands.com and www.carstar.com.

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Caliber Collision Teams Up With Insurance Partners to Donate Record 30 Recycled Rides™ in 2015

Caliber Collision’s continuing growth and expansion in the collision industry is also marked by increased community service efforts as the company wraps up 2015 by repairing and donating a record 30 vehicles through the National Auto Body Council’s Recycled Rides™ program.

changing transportation to active duty service members and veterans, families transitioning from homelessness into independent living, single parents, and nonprofit support service organizations. Caliber Collision’s insurance partners for its Recycled Rides program in 2015 include Allstate, Auto Club of Southern California, Esurance, Farmers, GEICO, State Farm and Travelers. The company also purchased vehicles through its Caliber Foundation to repair and donate. “Recycled Rides reflects our highest purpose which is to restore our customers and the communities we serve to the rhythm of their lives,” said Steve Grimshaw, Caliber Collision Chief Executive Officer. “As we continue to grow and Huntington Beach (CA) Police Officer John Baggs (far expand, our teammates across left) responded to what he thought was a routine car ac- the country are equally comcident. The driver, Candida Torres (3rd from left) was mitted to restoring hope to indistraught because her wrecked vehicle had belonged to dividuals and families by her son who had died in service in Iraq. Thanks to Offiremoving barriers due to a lack cer Baggs, Caliber Collision-Ladera Heights and the Auto of transportation.” Club of southern California surprised Mrs. Torres with Some of Caliber Colliher son’s restored Nissan Rogue in a special Recycled sion’s recent Recycled Rides Rides presentation include: Caliber Collision teamed up with • A unique Recycled Rides in which its insurance partners to provide life- a Gold Star mother whose son died

while serving in Iraq, was presented with her son’s completely restored vehicle in a surprise presentation. A Huntington Beach, California police officer who had responded to the accident, initiated efforts to restore the vehicle with the help of AAA and Caliber Collision.

10-year-old boy, one of the youngest ALS patients in the country, on the set of the popular TV show. • Caliber teamed up with Traveler’s Insurance to present a vehicle to a 24year career National Guardsman who lost everything – his home, all vehicles, family belongings – in the 2013 Austin, Texas floods, just months into his retirement. Over the past 3-1/2 years, Caliber Collision has donated more than 75 vehicles across the U.S. amounting to more than $750,000 to in support of those in need. Of these vehicles, Caliber has gifted more than 7 out of every 10 vehicles to active military and veteran families in need. Caliber Collision in Sterling, VA and GEICO jump start the “We thank our insurance holiday season gifting a vehicle to a wounded warrior partners and many others in recovering at Ft. Belvoir from injuries suffered while on our industry whose collaboraactive duty in Afghanistan tion enables us to collectively • Five vehicles to veterans in Sacra- make a positive impact in our commento, Dallas, Denver, Marietta and munities,” said Grimshaw. “We look Atlanta as part of Progressive’s nation- forward to setting even higher goals wide Keys To Progress vehicle give- for Recycled Rides donations in 2016 away on Veterans Day. and look forward to working with the • Auto Club of Southern Califor- National Auto Body Council and our nia, Caliber Collision and West Coast collision industry colleagues to give Customs collaborated to present a spe- back to our veterans and those in need cially equipped handicapped van to a of transportation.”

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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 55


PA Body Shop Owner Addresses Markup Fees with Insurance Companies by Stacey Phillips, Assistant Editor

After resolving a lawsuit with Travelers Insurance in March, a Pennsylvania body shop owner said he could have never predicted he would be involved in a similar lawsuit with GEICO a few months later. Both cases involved the reimbursement of markup fees charged for the administration of ordering, receiving, warehousing and dispatching of parts used on vehicles. “Far more people need to be proactive and stand up for themselves and not be afraid to ask for what they are owed,” said Tim Kilkeary, owner of Kilkeary’s Auto Body in Eighty Four, PA. “Nobody is getting rich in this business anyway and to do it and not make a profit, it’s just insane.” In the first case, Kilkeary’s Auto Body repaired a 2006 Dodge Ram truck in February 2013. The body shop originally wrote the estimate using OEM parts; however, the Travelers’ estimate reflected using an aftermarket front bumper. Kilkeary said the usual protocol at his shop is to contact the customer to let him or her know the cost difference between the parts. “We will install those parts if the customer gives us permission to, but at the same time we make it perfectly clear to the customer that it’s not our policy, it’s not our decision and it’s not what we would recommend,” he said. After 35 years running his shop, Kilkeary has found that in most cases the customer will opt to pay the difference to install OEM parts on their vehicle, which can equate to approximately a 20 percent increase in cost. Kilkeary called the owner of the vehicle and told him that he would use the aftermarket parts on the truck but if anything went awry, the customer would need to address it with the insurance company. “I’m not going to be held responsible for a decision that someone else made,” said Kilkeary. His customer decided to go ahead and have the car repaired with the aftermarket part. After it was installed, the techs found it did not fit like the factory Dodge bumper. When Kilkeary told Travelers that his customer wouldn’t accept the aftermarket bumper, the insurance company sent an appraiser back to the body shop. Kilkeary was told to put a factory bumper on the truck and he would be paid for the labor to replace the part as

well as the cost difference between the OEM part and the aftermarket part. However, he said he was not reimbursed for the markup on the part, which was $156.88 including tax. He filed a civil case in March 2013 for the markup fee and received a favorable settlement in March 2015.

Tim Kilkeary, owner of Kilkeary Auto Body in Eighty Four, PA

“The bottom line is if you’re doing something that they insist you do, you have to be diligent about getting paid for whatever it is,” said Kilkeary. “I don’t think any collision repair shop owner should allow any insurance company to come in and dictate to them how to run their business.” A few months later after receiving the settlement, Kilkeary’s shop was involved in a similar situation. GEICO wrote an estimate on a 2007 Mazda 6 that included aftermarket headlights. The shop notified the customer and he decided not to use the OEM parts. Kilkeary said there were some internal issues with the headlight and it wouldn’t aim properly. After contacting the appraiser, Kilkeary was told to replace it with a used headlight. When the part arrived, the shop found it was damaged. “By this time the car was held up for four days so we put a factory headlight on the car,” he said. GEICO paid the difference between the list price of the parts as well as the labor to repair the vehicle. “The issue on the Mazda repair became who is going to pay us the markup money on the aftermarket light and the used light — both of which they insisted we use,” said Kilkeary. “We submitted a supplement to them with the markup money on it and they refused to pay it.” Kilkeary sued GEICO for $266.06 plus court costs and was awarded the full amount. “Moving forward, we’ll have the ability to pursue an insurance carrier who chooses not to pay the same money for bad faith. We’ve now set

56 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

precedence and it has been established that they in fact owe the money,” said Kilkeary. “That markup money is the body shop’s, regardless of whether the parts get put on the car or not.” “Each of the cases is similar in the sense that they involve aftermarket parts,” said Tom Vreeland, Kilkeary’s lawyer. “I think Tim wants other shops to know that the expenses they incur for these kinds of requests by the insurance company should be compensated,” he said. “When they say, ‘install an aftermarket part,’ and it doesn’t fit, why is the burden on the mechanic to absorb that overhead expense?” Vreeland advises shops to document their personnel costs for doing inventory and office paperwork. “They need to be able to document what their expenses are,” said Vreeland. “Some people might think $100 doesn’t seem like much, but it adds up. Multiply that times the number of situations that you have on an annual basis and that could be substantial money for some shops.” “With all of the money I spent to win these lawsuits the only saving grace will be that I can get some infor-

mation to the rest of the industry that says, ‘Listen, the insurance companies knew they owned me that money,” said Kilkeary. “If they paid me, they will pay anyone else. You have to ask for it.” Travelers Insurance and GEICO both declined to be interviewed for this article. Autobody News talked to Michael Barry from the Insurance Information Institute about who bears the cost of markup fees. “U.S. auto insurers cumulatively pay the nation’s auto body repair shops billions of dollars a year to repair their policyholders’ vehicles,” said Michael Barry, vice president, media relations, Insurance Information Institute. “Those monies are used to pay auto body repair shops for the parts they purchase as well as their legitimate labor costs. Auto body repair shop markup fees are not an expense auto insurers should be absorbing.”

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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 57


Photo Damage Bill Passes PA House Despite PCTG Opposition, Association to Oppose in Senate by Chasidy Rae Sisk

On Monday, December 7, Pennsylvania’s House of Representatives passed House Bill 1638 by a vote of 116-79, despite efforts by the Pennsylvania Collision Trade Guild (PCTG) to rally opponents. HB1638 must still pass the Senate and be signed by the governor to become law. If the bill is passed, it would repeal the 1972 Pennsylvania Motor Vehicle Physical Damage Appraiser Act (MVPDA) which requires insurance appraisers to be physically present for an estimate inspection. Instead, HB1638 would allow insurance estimates to be written based on a physical inspection or on photographs taken by the consumer and submitted to the insurer. Steve Behrndt, Director of PCTG, pointed out, “It’s a simple word change, but eliminating the physical inspection means so much!” The Pennsylvania Federation of Insurance sponsored HB1638 which was introduced to the House on October 20, and by a stroke of luck, PCTG representatives learned of this bill just two days later and entered their opposition because they feel it’s detrimental to consumers. Behrndt noted, “We’re opposed to HB1638, and we started lobbying against it as soon as we heard about it. We asked for a public hearing but were told there was not time because the bill was on the fast track. In fact, a motion to hold public hearings by Rep Tom Murt was voted down just prior to the passage of HB 1638 which creates a genuine concern for consumers as the House would not allow industry stakeholders the opportunity to communicate their concerns.” Behrndt continued, “We stopped it on November 6 when the bill was tabled for three weeks, but this just gave the insurance industry time to lobby, and the House felt obligated to the insurance industry to move forward, passing HB1638 on December 7. The average law takes 1-2 years, or even up to 10 years, to pass; yet, this passed through the House in just 1.5 months! It seems obvious that the government is working for special interest groups.” After being tabled, the bill was put back into play on December 4, and supporters tried to sneak a vote through on Saturday, December 6 while key opponent Steven Barrar, R-Chester County/ Delaware County, was away at a funeral, but Behrndt reached Barrar who was able to delay

the vote until Monday, December 7. That day, Rep Tom Murt, R-Montgomery County/Philadelphia County, was away attending a Pearl Harbor-related event, but he drove two hours to attend the late afternoon vote at the Capitol after learning about the rescheduling for the bill. PCTG’s urged opponents to rally against HB1638 proved futile, and in a mass email on behalf of PCTG, Behrndt noted, “We realize Monday mornings are ALWAYS hectic for small businesses, and the insurance industry realizes this too!” No companion bill to HB1638 exists in the PA Senate, but PCTG Executive Director Ross DiBono pointed out that such bills often aren’t drafted in PA until the sister legislation clears the other chamber of the Legislature. PCTG and other opponents of HB1638 have released documentation about the dangers of this being signed into law. The MVPDA was created to protect consumers because “safety is paramount,” Behrndt stressed, but HB1638 could create all sorts of complications and unsafe conditions. “Car owners do not have the expertise necessary to photograph damage, especially with today’s high-tech cars. Based on a photo, an insurance company may choose to cut a check for $800 without being aware that there are $3000 or more in damages. A consumer may choose not to have their vehicle repaired because they think the damage is just cosmetic and they do not realize that there are technical aspects in need of repair that makes their vehicle unsafe. This is also going to reduce the return on their investment if they trade it in. Without a proper inspection, this process it not going to indemnify the policy holder. HB1638 offers no benefit to consumers or collision repair facilities; it only benefits the insurance companies who will be able to underpay on claims.” Proponents of HB1638 claim that it would reduce steering and that supplements would be accepted if the collision repair facility found more damage during the repair process, but Behrndt believes photo estimates create more opportunities for insurers to practice steering. He also observed, “It’s a pretty interested claim since steering is illegal in PA anyway. Now, bill sponsors are claiming HB1638 will eliminate steering, thus admitting that steering exists when they’ve never confessed to this before. Insurers can’t

58 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

require consumers to go to a specific shop for repairs, so how will this bill’s passage improve a situation that isn’t supposed to exist in the first place?!” As far as the ability for shops to submit supplements, insurance companies have historically been adverse to this additional paperwork, and Behrndt doesn’t see that changing. Although proponents of HB1638 claim that 45 other states are satisfied with photo estimates, he has found no data to support these claims. In fact, Massachusetts repealed their photo estimate bill within a year because 90 percent of claims had to be rewritten, and the repeal was necessary “to protect the state’s motoring public from unsafe and improperly estimated vehicles,” according to the document PCTG submitted on the Myth that 45 Other State are Satisfied with Photo Estimating. The same document also notes that “Rhode Island did not have an Appraisal Photo Law prior to 2014 when the insurance industry offered photo estimating to the public for the purpose of estimating damaged vehicles. Within a year, the state introduced legislation requiring physical inspections

on vehicles with damages estimated over $2,500.00 due to inaccurate and unsafe estimating of vehicles through the use of photo estimating.” PCTG does not have the data from other states that have allow photo estimating to confirm whether they are truly satisfied as proponents of HB1638 claim, but Behrndt noted, “They don’t all have physical inspection laws like Pennsylvania does, so they don’t necessarily know better.” Although HB1638 will surely benefit insurance companies, it will likely be detrimental to their appraisers. Without the requirement for physical inspections, many insurance damage appraisers will not be needed and could ultimately find themselves unemployed. Currently, PCTG is working hard with SCRS and other entities that oppose HB1638 to lobby and educate Senators on the facts and potential dangers related to HB1638. Behrndt encourages collision repair industry advocates to contact their Senators and educate them about the importance of physical damage inspections being performed by state licensed appraisers to protect consumer interests and safety.

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Hyundai-Kia Involved in OIN Patent Non-Agression

Open Invention Network (OIN), the largest patent non-aggression community in history, announced today that Hyundai Motor Company and Kia Motors Corporation are joining OIN as community members. Recognized as leaders in quality and innovation, Hyundai and Kia are the first global automobile brands to join OIN. Their industry leadership and participation in OIN will pioneer open source innovation and patent non-aggression in the rapidly evolving automotive and Internet-of-Things platforms. “The pace of adoption of Linux and open source technologies in the intelligent vehicle and Internet-of-Things industries is unprecedented. While automotive and consumer device manufacturers have historically designed and built proprietary platforms from the ground-up, these communities are benefiting from the innovation and collaboration inherent in open technologies that speed new features, drive quality, power interoperability and lower costs,” said Keith Bergelt, CEO of Open Invention Network. “We greatly appreciate Hyundai-Kia Motors’ automotive industry leadership in joining OIN and supporting patent non-aggression. Hyundai and Kia are demonstrating their commitment to

open source software and the associated development efforts that benefit the automotive market, consumer device industries and ultimately consumers.” “We believe Linux and open source technologies are increasingly important in today’s intelligent vehicles,” said Eon Youl Shin, Director of Intellectual Property Development Group at Hyundai Motor Company. “Hyundai-Kia Motors are both committed to offering the highestquality, intelligent vehicle platforms that leverage Linux and open source technologies. By joining the Open Invention Network, we will use the opportunity to further develop its infotainment platform. Moreover, we will help to ensure the ongoing development of open solutions that stimulate growth in the automotive industry.” OIN’s community practices patent non-aggression in core Linux and adjacent open source technologies by cross-licensing Linux System patents to one another on a royalty-free basis. Patents owned by Open Invention Network are similarly licensed royalty-free to any organization that agrees not to assert its patents against the Linux System. The OIN license can be signed online at http://www.j-oin.com/.

Google Compare Sells Insurance Comparisons Only

Nicolas Weng Kan, CEO of Google Compare, told an audience of insurance professionals that “Google Compare is not becoming an Auto insurance carrier,” as reported by Rosalie Donlon writing at PropertyCasualty 360.com. Speaking at the Annual Insurance Executive Conference held in New York City, Weng Kan said that Google wants to partner with carriers to make the buying experience better for the consumer while delivering more qualified leads to carriers, agents and brokers. Google’s strength is in its ability to quantify search and analyze data, and the company wants to put that strength to use in a broad array of financial services, from insurance to banking, including credit cards and mortgages. Weng Kan explained that in building Google Compare, his team met with carriers and agents to build question sets to gather basic information from consumers as they began their hunt for Auto insurance. The company also used focus groups to determine what customers want and need. What they heard over and over was that consumers were looking for an easy way to compare prices. “Why isn’t there a Kayak for auto insurance?” one focus group

member said. Google used that same concept to build Compare. “With Compare, we want to give customers accurate prices—not just estimates,” Weng Kan said. The Internet is now the most common channel to get insurance information, and the search is moving rapidly to mobile. “Customers do their research on mobile but actually buy on their computer,” Weng Kan noted. According to Google’s research, in the first quarter of 2014, 41% of people who queried vehicle insurance-related terms did so from their mobile devices (phones and tablet). In the third quarter of 2015 that number jumped 12 percentage points to 53%. Google Compare sees itself as a lead generation program that takes all the marketing risk and transfers qualified leads to the carriers, Weng Kan explained. Consumers are assured that their personal contact info isn’t passed along to the carriers until the consumer initiates the contact. If the customer does contact the insurer, the carrier only pays when the customer converts. “You only pay a flat rate per customer,” he assured the audience. “It’s a negotiated rate, not a pay-perclick structure.”

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Melissa Miller, CARSTAR’s New VP of Operations, Discusses New Role and WIN Participation by Stacey Phillips, Assistant Editor

After Driven Brands acquired CARSTAR in November 2015, the company announced senior leadership changes at CARSTAR. Autobody News spoke to Melissa Miller who was promoted to CARSTAR’s vice president of operations. In her new role, Miller will focus on leading the company’s field team “to ensure that we are meeting the KPIs necessary to lead our franchisees to greatness.” She will report to Dean Fisher, named chief operations officer. Miller said, “I’m really looking forward to continuing this next chapter, gaining more resources for our field team, and figuring out what this looks like together, helping our franchisees become more successful. “We may not always agree. I say if we have 80 percent Melissa Miller agreement and 100 percent commitment, then ultimately we’re going to reach our goal,” said Miller. “At the end of the day, we’re all in it to win and show that when you have an owner at the driver’s seat as our franchises do, we outperform other MSO groups in the country. I feel that we’ve

proven that, especially over the past few years.” Miller got her start in the industry working for her own family business, Randy and Bob’s CARSTAR in Chicora, PA. Originally established by her grandfather, it is run by her father Randy and uncle Bob. This year, the CARSTAR location is celebrating its 40th anniversary and her cousin Nathan will soon be leading the family business. “It’s a complete representation of what CARSTAR is,” said Miller. Miller worked as the company’s bookkeeper in a small office in the back of the shop. Over the years, she was the office manager, marketing manager and helped wherever she was needed while the business grew. In 1999, the shop expanded from 7,000 to 18,000 square feet. She said that she learned a long time ago about working together as a family. “I always really appreciated that you have this family you can count on no matter what, no matter what challenge you are faced with,” she said. “Whatever is the news of the day we figure out a way to talk about it and overcome adversity or challenges in order to really work together. “I believe that is really why I was appointed to [my current] position because I focus on our current and next generation franchisees, continuing to

build our footprint, and try to figure out how we can continue the legacy that those before have built,” said Miller. Miller joined CARSTAR in 2004 as integration manager, working with new stores and helping them navigate through the changes of becoming a CARSTAR store. Later, she was named regional service manager responsible for 35-40 stores and then transitioned to senior regional service manager. Two years ago, Miller became national director of operations before being recently promoted to VP of operations. “What I appreciate most about CARSTAR in general is that we’re a family,” said Miller. “You know that within a family there are always these multifaceted personalities and how we accomplish our goals but at the end of the day we’re all related in some way as far as representing the brand.” In addition to her role at CARSTAR, Miller sits on the board of the Women’s Industry Network as administrative vicechair. She is also the co-chair of the communications committee with Jessica Rob from AkzoNobel. “The career growth I have experienced as being part of WIN has been absolutely fantastic,” said Miller. “I wouldn’t be in this position today without the mentorship and networking I have experienced through this inspiring, supportive organization.”

National Auto Body Council Elects 2016 Board & Officers The National Auto Body Council (NABC) announced new officers and board members for its 2016 Board of Directors. Executive Committee officers elected at NABC’s recent Annual Meeting in Las Vegas include: Domenic Brusco, NABC Chairman (PPG Automotive Refinish)

● Domenic Brusco, Chairman (PPG Automotive Refinish)

● Jeff Peevy, Vice Chair of Community Involvement (Automotive Management Institute)

● Elizabeth Clark, Vice Chair of Industry Relations (State Farm)

● Bill Mayer, Treasurer (Insurance Auto Auctions)

● Renee Ricciotti, Secretary (3M Automotive Aftermarket Division) ● Michael Jordan, Director-At-Large (Manchester Collision Center) ● Nick Notte, Past Chairman (I-CAR).

New to the NABC Board are: ● Barry Barbee (The Doan Group)

● Brandon Eckenrode (Collision Repair Education Foundation)

● Darren Huggins (Berkshire Hathaway Automotive). Returning NABC Board members include: ● Joe Amodei (The Collision Centers of New York)

● Taylor Bowes (PPG Automotive Refinish)

● Craig Camacho (3D Auto Body & Collision Centers)

● Greg Clark (Caliber Collision)

● Keith Egan (R.W. Mallon Auto Paint & Equipment)

● Denise Hepler (Hertz Corporation) ● Joe Lacy (GEICO)

● Jim Ocampo (Axalta Coating Systems) ● Elizabeth Stein (Assured Performance)

60 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com

● Rick Tuuri (AudaExplore, a Solera Company)

● Dan Young (CARSTAR). “This is an exciting time in our organization,” said Domenic Brusco, newly elected chairman of the National Auto Body Council. “We are experiencing strong membership growth and have had a record number of participants implementing our signature programs such as Recycled Rides™, First Responder Emergency Extrication (FREE™) and Distracted Driving Initiative in local communities across the country. We also recently adopted a new vision and mission, and I look forward to working with my colleagues to develop, implement and promote community-based initiatives that exemplify the professionalism and integrity of the collision repair industry.” “We are pleased and excited to welcome such a strong roster of industry leaders representing so many different facets of our collision industry,” added Chuck Sulkala, NABC Executive Director. “Each Board member brings passion and dedication to serving our industry which will be invaluable and we thank each for their commitment.”

BASF Hires Tim Dawe as New Sales Director

Timothy P. Dawe joined BASF Automotive Refinish as the new sales director for North America. Previously, Dawe was the managing director for Axalta in China. “Tim’s extensive experience and knowledge of the automotive refinish industry will enable him to immediately start to drive growth for BASF and our distribution partners,” said Paul Whittleston, BASF VP for Automotive Refinish & Industrial Coating Solutions in North America. “This is a new position that will provide additional focus for our commercial team.” Dawe has more than 30 years of experience in Automotive Refinish. He began his career at DuPont Performance Coatings in 1980. In 2011, he was named business director for Axalta in Greater China and managing director in 2013. “Spending time in China emphasized the importance of listening to customers and developing relationships with them. My primary focus at BASF is to work with our sales team and key distribution partners to grow the business,” said Dawe. For information, visit www .basfrefinish.com

EMM’s Colad Optimus & Colad Advanced Cut Introduced

EMM recently introduced Colad Optimus and Colad Advanced Cut. The company said Colad Optimus offers a quick and safe abrasive solution to eliminate paint defects and achieve a prepared surface before polishing, resulting in a high-gloss finish and lower polishing times. Using silicon carbide grain, Colad Optimus is an abrasive solution that can be used during wet as well as dry sanding. The pad can be rinsed and reused several times before losing its sanding properties. The velcro back indicates the abrasive grit and makes the pad suitable to use over and over again on velcro as well as hand support pads. The open structure and knitted back of the pad prevent the risk of clogging and make it flexible and suitable for polishing angles and curved surfaces. This eliminates the risk of pressure marks in the paint, caused by uneven pressure during sanding. The company said Colad Advanced Cut removes difficult scratches and paint defects. The solvent- and silicone-free cutting compound does not require masking before being applied. For information, contact sales@ emm.com or your local Colad dealer or visit www.emm.com.


American Honda is Among Industry Leaders with Eight Honda and Acura Vehicles Earning a 2016 TOP SAFETY PICK+ Rating from the IIIHS—New Crash Protection and Technology Requirements Factored into the Ratings

A total of eight Honda and Acura models have received the highest possible safety rating of TOP SAFETY PICK+ from the Insurance Institute for Highway Safety (IIHS) under its more challenging crash protection and technology requirements implemented for the 2016 model year. For model year 2016, four Honda models have earned a TOP SAFETY PICK+ rating: the Accord Sedan, Accord Coupe, the CR-V sport-utility vehicle and the recently redesigned Honda Pilot SUV. The Odyssey minivan was named a TOP SAFETY PICK. Additionally, four 2016 Acura models, the ILX and RLX sedans and the MDX and RDX luxury SUVs, each have earned a TOP SAFETY PICK+ rating. Further, Honda anticipates that the just released 2016 Honda Civic Sedan will also receive a top rating from the IIHS. “The fundamental notion of vehicle safety is evolving and with technologies like some of those in Honda Sensing and AcuraWatch, we are pursuing our vision to reduce and, ultimately, to eliminate vehicle collisions,” said John Mendel, executive vice president, American Honda Motor Co., Inc. “This is one of our biggest challenges and an essential element of our commitment to making products that im-

prove the lives of people.” The baseline requirements for both IIHS awards are GOOD ratings in the small overlap front, moderate overlap front, side, roof strength and head restraint tests, as well as a standard or optional front crash prevention system. The recipients of the “plus” award have a superior- or advanced-rated front crash prevention system with automatic braking capabilities. These vehicles must stop or slow down without driver intervention before hitting a target in tests at 12 mph, 25 mph or both. Models with a basic-rated front crash prevention system, which typically only issues a warning and doesn’t brake, qualify for TOP SAFETY PICK. Honda and Acura vehicles offer a broad range of active and passive safety features along with leading edge safetyand driver-assistive technologies that can take action to help avoid a collision or mitigate its severity. The AcuraWatch™ suite of technologies is now available across the full Acura lineup, while Honda Sensing™ is available on a growing list of Honda brand vehicles, now including the 2015 and 2016 CR-V, 2016 Pilot, 2016 Accord Sedan and Coupe, and all-new 2016 Civic Sedan. Core AcuraWatch™ and Honda Sensing™

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technologies include Forward Collision Warning (FCW), Collision Mitigation Braking System™ (CMBS™), Lane Departure Warning (LDW) and Lane Keeping Assist System (LKAS). Additionally, all new Honda and Acura models come with a multi-angle rearview camera as standard equipment. Standard safety equipment on all Honda and Acura models includes the Advance Compatibility Engineering™ (ACE™) body structure, Vehicle Stability Assist™ (VSA®) with traction control; an Anti-lock Braking System (ABS); side curtain airbags (most vehicles equipped with a rollover sensor as well); dualstage, multiple-threshold front airbags; and front side airbags. American Honda has a long history of leadership in the development and application of advanced technologies designed to enhance the safety of all road users, including automobile occupants, motorcycle riders and pedestrians. The company operates two of the world’s most sophisticated crash test facilities, in Ohio and Japan, and is responsible for numerous pioneering efforts in the areas of crashworthiness, airbag technology, collision compatibility and pedestrian safety. Based in part on advancements to

Honda’s Advanced Compatibility Engineering™ (ACE™) body structure, Honda is a leader in third-party crash test ratings within the industry. The company also is broadly applying advanced safety and driver-assistive technologies such as LaneWatch, Forward Collision Warning and Lane Departure Warning to its product lineup. Also, all Honda and Acura vehicles have applied a rearview camera as standard equipment since the 2015 model year. 2016 American Honda TOP SAFETY PICK+ Vehicles: Honda: Honda Accord Coupe; Honda Accord Sedan; Honda CR-V; Honda Pilot Acura: Acura ILX; Acura MDX; Acura RDX; Acura RLX 2016 American Honda TOP SAFETY PICK Vehicles: Honda: Honda Odyssey

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Recent Texas Ice Storm Impacts Local Businesses

by Kaylee Merchak, NewsChannel10, KFDA-TV November ice storm affected more than our roads, it impacted our economy. Winter weather can negatively affect the wallets of many, but several local businesses are seeing a profit. Landscapers, body shops, and hotels are just a few places that saw an increase in traffic. Even restaurants like Pizza Hut said they had increased sales and deliveries because of wintry conditions. Since our surrounding areas had over 200 accidents body shops and towing companies such as Jimmy Fincher Body Shop and T Miller Wrecker are seeing increases business from the storm. Jimmy Fincher's said business has picked up and they have had several cars come in from wrecks this weekend with damaged varying from minor or severe. They said one of the more damaged vehicles they were working on was a truck with a caved in bed. Safety Manager of T Miller Wrecker, David Ferril, said storms like this usually have a positive impact on their business. “It always helps the business to get storms come through because we’re so busy and things like that, so I mean we do as a

business benefit from it as will body shops and other businesses that deal with this type of stuff... “He said they were called out to about 80 crashes and worked nonstop from midnight on Friday to about three Sunday morning. T Miller was so busy they had a full staff working over 16 hours a day. However, not all businesses were positively impacted. Several retail stores like those at the Westgate Mall saw a decrease in traffic, even on Black Friday. Brian Giffin, General Manger at Westgate Mall, said they were busy on Thursday from 8 p.m. until midnight, but said business was slow on Friday from midnight until noon. Many businesses would not have been opened if not for the clear roadways. TxDOT worked all weekend clearing roads to keep drivers as safe as possible. TxDOT's Paul Braun said they wanted to keep as many roads clear for drivers and businesses as possible. “Our main goals is to keep roadways open as best and as much as possible, especially I-40,” Braun said. “I-40 is a major economic route for commercial traffic for this country and this area.” We would like to thank News Channel10, KFDA-TV for reprint permission.

www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 61


Cadillac to Launch Aluminum Repair Network

Cadillac announced on December 2 the creation of the Cadillac Aluminum Repair Network in conjunction with the upcoming production of the Cadillac CT6 at the end of 2015. According to Cadillac, the Cadillac CT6 uses an advanced mixed material approach for its lightweight body structure. The aluminum intensive structure also includes 11 different materials to achieve strength, performance and efficiency thresholds virtually unmatched among the world’s elite luxury performance sedans. The new architecture, materials and joining methods used to create the CT6 will require the collision repair industry to prepare accordingly. The Cadillac Aluminum Repair Network will ensure that authorized collision repair facilities have the required tools, equipment, processing procedures, and training to properly repair the Cadillac CT6 using the new mixed material, aluminum intensive construction. To ensure the authorized collision repair facilities in the network are qualified to repair the Cadillac CT6, all requirements (training, tools, facilities, etc.) will be audited through an extensive verification process. To participate in the Cadillac Alu-

minum Repair Network, authorized dealers and independent body shops will undergo annual audits as part of their continuation in the program. These audits will provide Cadillac with a process to verify the shop’s compliance with the network requirements. It also establishes a level of consistency between all participating shops that allows Cadillac to promote the Cadillac Aluminum Repair Network to Cadillac CT6 owners. Training will be primarily web based and orchestrated through a combined effort between GM and I-CAR. In addition, GM will support the collision repair industry by offering the CT6 collision repair information at no charge. Information on the Cadillac Aluminum Repair Network will be available on www.genuinegmparts.com in the first quarter of 2016 technical documents, service bulletins, paint information, warranty information, VIN, and other information will be available. Axalta Coating Systems, LLC has been selected to provide implementation and ongoing support for the program. Axalta provides extensive industry expertise in the creation and support of collision repair networks.

First Autonomous Buses Will Hit the Road In Spring 2016, Swiss Company Says it Can Control Fleets

As driverless cars continue to undergo testing on the streets, one company is applying the technology to public transportation. Swiss startup BestMile has developed a system to control fleets of autonomous vehicles, which the company compares to the functionality of an airport control tower. The company acquired its first commercial contract by teaming up with PostBus (known as CarPostal to the Swiss French), a major bus operator in Switzerland and France. BestMile was founded in January 2014, and since then the new company and the research university have been working together to develop algorithms for autonomous public transportation. These buses will face traffic, pedestrians, and other obstacles and must deal with them in a safe and efficient manner. The autonomous system must be reliable, flexible, and able to function alongside existing transport systems. BestMile’s software will allow the operators of these vehicles to be able to monitor, control, and optimize their fleet remotely in real time as needed. BestMile cofounder Anne Koymans cites a leading developer of autonomous vehicles as an influence that

led to the company’s first commercial project. “There is a lot of interest for driverless mobility solutions, partly thanks to Google,” Koymans said in an interview with The Local. “Cities are interested but also public transport operators and the interest is increasing.” Koymans points out that while Google aims to put more driverless cars on the road, BestMile is focusing purely on public transportation. There will also be development in what she calls “the last mile,” meaning the leg of a user’s journey between their stop and destination. BestMile has been seeking funding to improve its developing technology. Previous successful projects include CityMobil2, a pilot platform for automated road transport systems. Autonomous buses carrying up to nine passengers will be introduced to the city of Sion, Valais in spring 2016, and will undergo two years of testing. The electricity-powered buses themselves will be manufactured by French manufacturer Nayva.

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62 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com


Quality Parts Coalition Says Consumers Have Saved $363M By Using Aftermarket Parts On Dec. 2 the Quality Parts Coalition (QPC) has released a new report which it says confirms the significant price gap between OEM and aftermarket collision repair parts. The report revealed that American consumers saved more than $363 million by using aftermarket parts rather than OE parts during the past five years. The report, titled Competition Drives Real Consumer Savings in Collision Repair, examined 100 of the top most commonly sold certified collision repair parts from 2009-2014 using data from the Certified Automotive Parts Association (CAPA). Research showed that the independently-produced certified parts were, on average, 27 percent

less expensive than their car company brand counterparts with a cost difference as large as 68 percent or $502.04. “It’s clear that independent auto parts are driving competition in the auto repair parts market and that consumers are reaping the benefits,” said Ed Salamy, executive director of the QPC. “That’s why it’s important to ensure the industry stays competitive and continues to pass along savings to consumers.” In recent years, the QPC says automakers have increasingly secured design patents on individual collision repair parts to limit the availability of independently-produced counterparts, forcing consumers to pay car compa-

nies more to fix their vehicles. Bipartisan companion legislation which the QPC claims would fix design patent law to safeguard consumers against price gouging has been introduced in the U.S. House of Representative and the Senate. The QPC states that the Promoting Automotive Repair, Trade, and Sales (PARTS) Act of 2015 (H.R. 1057 and S. 560) would preserve consumer choice for auto collision repair parts and protect more than 60 years of competition that has existed in the collision repair parts market. The QPC claims that if the competition for parts were eliminated, insured loss costs could increase by as much as $1.5 billion.

“Consumers save big when there’s a competitive marketplace,” said Jack Gillis, director of public affairs for the Consumer Federation of America. “Major car companies are trying to disrupt the status quo by limiting competition in order to grow their profits at the expense of the average American.” QPC hosted an informational briefing on Dec. 1st for House and Senate staff members on the importance of passing the PARTS Act. To learn more about the QPC and the PARTS Act, download the report at http://www.keepautopartsaffordable.org /sites/all/themes/framework/pdf_resouce/ price_analysis_research_report_11.19.155.pdf.

Two suburban Detroit dealerships have been quietly re-entering the Fiat Chrysler Automobiles US network after more than six years away, now that the U.S. Supreme Court has ended a long legal battle over their reinstatement. Colleen McDonald, president of Livonia Chrysler Jeep, said the dealership reopened about 2½ weeks ago and will host a formal grand opening in January. The location had operated for several years as Livonia Mitsubishi while the battle over her Chrysler dealer fran-

chise license lingered in court. McDonald said the company has finished a remodeling and returned to flying the Chrysler flag earlier this month. Also soon to reopen is Fox Hills Chrysler Jeep in Plymouth Township, which had fought alongside Livonia in litigation over the Chrysler dealer license terminations since 2010. The Fox Hills dealership owned James Schebil has been undergoing its own remodeling and is expected to reopen in January, Township Supervisor Shan-

non Price said. “Every day it gets better. Our neighbors in the area and the city of Livonia have been incredibly welcoming, and have been telling us, ‘We’re so glad you’re back,’” McDonald said of reopening the Livonia dealership. “It’s good to be working with (FCA) again as well. Before now we were only dealing with each other through attorneys. Now the attorneys are gone and we’re interacting again with the business office

again and the company’s been wonderful and very supportive. They just want to sell cars—and so do we.” Some 32 dealers, including five in Michigan, won reinstatement via a federal arbitration process in 2010, but various lawsuits dragged on for years over what those victories actually meant. Chrysler originally terminated 789 dealers as part of its 2009 bankruptcy reorganization, reducing its dealer count at the time to about 2,400.

2 Fiat Chrysler Dealerships, Closed After Years of Bankruptcy Litigation, Are Reopening

Parts You Need. People You Trust. Genuine Mitsubishi Replacement Crash Parts are close at hand through the following quality dealerships.

MINNESOTA

Richfield-Bloomington Mitsubishi

952-567-7200 (952) 224-5306 Fax M-F 7:30 am - 5:30 pm Sat 8am-4pm 401 W 77th Street Richfield, MN 55423

Chinese Carmaker Cowin Pioneers Crowdsourcing

China has become the world's largest market for automobiles, with over 100 million vehicles currently registered. Major auto manufacturers worldwide regard the country as a key market and have been aggressively competing for market share through a combination of directly imported vehicles and those made by joint ventures locally in the country. Models manufactured by joint ventures have led to further reductions in car prices, putting huge pressure on China's homegrown auto brands. As a result, the homegrown brands have been looking at transforming their businesses, in the hope of finding a new path for development. An illustration of that effort can be found at Cowin Auto, a Wuhu-based carmaker established in January 2014. This relatively new entrant into the field has tried out a new idea that is gaining traction: applying the crowdsourcing model to the design of an automobile by outsourcing the work of the design of the vehicle to the public via the Internet. The carmaker asks members of the general public to vote for the most popular model and then follows on the results of the poll to put the winning design into mass production.

PPG Announces Sponsorship of Women’s Industry Network

PPG has become a gold-level sponsor of the Women’s Industry Network (WIN®). WIN is dedicated to encouraging, developing and cultivating opportunities to attract women to the collision repair industry. The organization offers mentorship programs and educational conferences designed to provide members with the skills required for professional success. WIN also works to promote leadership, recognize excellence and foster a strong network among women who are actively shaping the industry. “PPG is proud to support WIN,” said DeCamp. “WIN’s slogan is ‘She Knows Collision Repair,’ and we at PPG agree. The programs WIN provides help make its members valuable contributors to our industry. WIN, in its advocate role, is making a positive impact on our industry—making it more productive, more professional, more progressive. It is an honor to be a WIN sponsor.” Established in 2006, WIN currently has a membership of more than 400 professionals. The next national WIN meeting will be May 2, 2016–May 4, 2016, at Hilton Tampa Downtown, Tampa, FL. See http:// thewomensindustrynetwork.ning.com

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