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Nationwide Study Highlights Post-Pandemic Insights for the Automotive Aftermarket While automotive aftermarket companies, suppliers, distributors and industry professionals all try to discern their path forward in a quickly evolving landscape, a newly released study shows U.S. adults plan to drive more overall post-pandemic. “Post-pandemic” for this study is described as when vaccines are widely distributed. This could mean significant industry growth in the near future. The nationwide study, published by global market research firm The Martec Group, documents on average a 17% increase in overall vehicle

miles traveled (VMT) post-pandemic. Across all categories―household and business―respondents expect to drive more post-pandemic than before the COVID-19 pandemic. Reasons for the increase include pent-up demand for travel and activities; additionally, many people moved during the pandemic, with more than one-third moving farther away from work. “As we’ve seen through our own research and in multiple other studies, the shift to remote work is See Nationwide Study, Page 22

SEMA Intensifies Advocacy Efforts, Connects with Congressional Reps from Washington, D.C. by Juan Torres

SEMA representatives escalated their advocacy efforts by taking part in nearly 100 meetings with Republican and Democratic lawmakers from Capitol Hill during June and July. As part of the virtual 2021 SEMA Washington Rally, more than 60 SEMA-member companies joined SEMA staff in a record-high number of meetings with officials from the U.S. House of Representatives and Senate. Discussions focused on top industry issues, chal-

lenges and concerns, chief among them passage of the Recognizing the Protection of Motorsports (RPM) Act. SEMA members also spoke with federal lawmakers in opposition to electric vehicle mandates while voicing support for increased federal investments in roads and bridges, protecting motorized offroad recreational access, tax credits for businesses participating in trade shows and ensuring aftermarket businesses can market products that are interoperable with vehicles that See SEMA Intensifies Advocacy, Page 8

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AUTOBODYNEWS.COM Vol. 10 / Issue 11 / August 2021

GM Promises to Leave No One Behind as it Moves to an All-Electric Future by Jamie L. LaReau, Detroit Free Press

General Motors says it wants to make sure all of its customers and its employees are included in its transition to an all-electric car company. On June 29, GM CEO Mary Barra made several promises to achieve that goal, including announcing the creation of a $25 million Climate Equity Fund. By equity, that means no one is left behind as GM transforms the company. The idea is that all people have access to electrification regardless of socioeconomic status, race or

other situations. It means that electrification will benefit society, said Jessica James, a GM spokeswoman. “Climate change does not impact every community equally,” Barra said at the Aspen Ideas Festival. “As we move to an all-electric, zero-emissions future, it is on us to lead positive change and implement inclusive solutions that bring everyone along, especially our employees and communities.” The new fund will be used to support programs that help people See All-Electric Future, Page 20

Predicting What the Collision Repair Industry Will Look Like in 2035 by John Yoswick

Where will the collision repair industry be in 2035? That daunting question was tackled this spring by the Future Disruptions Committee at the Collision Industry Conference (CIC). As the panel discussion began, Sean Carey of SCG Management Consultants pointed to a weakness in the exercise itself. “Rather than take yourself forward 14 years, take yourself back 14 years,” Carey suggested. Think about comparing a 14-year-old Honda Accord to a current Honda Accord, he said: the differences in the vehicle itself, in the repair procedures used, in how estimating is done and how the entire claim is settled. “It was vastly different from where we are today, and in 14 years it will be vastly different again,” Carey said. “It’s not always easy to conceive what’s going to happen in the future. We’re guessing at best.” With that preface, Carey said

he foresees “mass consolidation” in the industry, with the formation of at least one cross-functional entity that includes an insurance company, technology companies and a large repairer group―its “own ecosystem.” “From a moment that vehicle is in an incident, this organization, under one single ownership, takes care of everything,” Carey said. “Data is going to make that very, very possible.” Direct repair and OEM certified shop networks will give way to licensed shops, each “capable of repairing only particular types of vehicles,” he said. “This mainstream, ‘bring it all in on Monday, we’ll ship it all out by Friday,’ will be a thing of the past. [Vehicles] will not be allowed to go to an unlicensed shop.” There will be far fewer vehicle repairs, but what there are will be very costly, he predicted. “Severity will climb through the roof,” he said. “Severity today will seem laughable. Think tens of thouSee Look Like in 2035, Page 25

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CONTENTS

FREE 4x Monthly E-Newsletter. Subscribe Today! AUTOBODY

Crash Champions Donates Restored Vehicle as

to Collision Repairers ��8 Chrysler Top Ranked for EV Car-Shopping

Part of NABC Recycled Rides Program ��10

Experience ��35

Glaser’s Collision Centers Celebrates 35 Years ��16

CIECA Committees Seeking Volunteers ��24

Illinois Community College’s Collision Repair

Curry Elected President of UAW ��6

Program Receives Highest Level of ASE

EV Battery Supplier to Go Public ��24

Accreditation ��6

Ford F-150 Lightning Details Reveal Surprising

Indiana Subaru Dealer Presents Local Charity with $24,208 Check ��6 Ohio Man Sentenced to Prison in Chop Shop Conspiracy ��16 Ozarks Auto Shops Seeing Uptick in Customers Amid Increased Travel and Car Part Shortages ��17 Toyota Mobility Foundation, Energy Systems Network, May Mobility Inaugurate Free Autonomous Shuttle Service in Indianapolis ��14 Woodward Dream Cruise Returns, Ford Announces 4th Year as Sponsor ��10

Premium Over Tesla Cybertruck ��4 Ford Names Croley Chief Policy Officer ��8 GM Promises to Leave No One Behind as it Moves to an All-Electric Future ��1 GM Recalls 410,000 Trucks with Dangerous Airbag Inflators ��43 Help Wanted: U.S. Automobile Dealers Struggle to Hire Employees While Business Booms ��4

INDEX OF ADVERTISERS

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Audi Wholesale Parts Dealers �� 47

Luther Bloomington Acura-Subaru �� 37

AutoNation Collision Parts �� 7

Luther Kia of Bloomington �� 32

Axalta Coating Systems �� 5

McGrath City Hyundai �� 34

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Certified Automotive Parts Association �� 10

Mercedes-Benz Wholesale Parts Dealers �� 44

Classic BMW MINI �� 20

Midwest Parts Group ��12-13

Classic Chevrolet �� 29

MINI Wholesale Parts Dealers �� 42

Classifieds �� 50

MOPAR Wholesale Parts Dealers ��30-31

Columbia Hyundai �� 28

Nissan/Infiniti Wholesale Parts Dealers �� 49

Eagle Abrasives, Inc. �� 52

Patrick Hyundai �� 36

Equalizer Industries, Inc �� 6

PPG �� 9

Ford Wholesale Parts Dealers �� 40

Pro Spot International �� 15

Gandrud Parts Center �� 23

SATA Dan-Am Company �� 11

Ganley Westside Subaru �� 17

Sears Imported Autos, Inc �� 22

GM Wholesale Parts Dealers �� 45

Shaheen Chevrolet Parts Warehouse �� 25

Hawkinson Kia �� 16

Sherwin-Williams Automotive Finishes �� 2

Honda-Acura Wholesale Parts Dealers ��26-27

Spanesi Americas �� 21

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Kia of Lansing �� 35

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The Sharpe Collection of Automobiles �� 39

Autobody News P.O. Box 1516 Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com editor@autobodynews.com

June CIECAST Explores Future of AI in the Collision Repair Industry ��34 LKQ Corporation’s Elitek® Vehicle Services Expands into Remote Automotive Diagnostics

COLUMNISTS Anderson - Use Tech to Kick ‘Timesuckers’ Out of Your Collision Repair Shop ��28 Yoswick - GM Scales Back Post-Crash Inspections Requirement for Collision Repair Shops ��36

and Programming ��46 Nationwide Study Highlights Post-Pandemic Insights for the Automotive Aftermarket ��1 NHTSA Launches Interactive, Searchable Recall Dashboard ��22 Predicting What the Collision Repair Industry Will Look Like in 2035 ��1

NATIONAL ‘Who Pays for What?’ Survey: Auto Body Shops Increasingly Billing, Being Paid for Seat Belt Inspections ��50 16 State Attorneys General Asks EPA to Hold All States to Emissions Rules ��49 AAPEX 2021 Opens Nominations ��46 Americans Cut Driving Nearly in Half in Early Stage of COVID Crisis ��40 Art, Innovation and Car Design Collide in the Life of Michael Santoro ��38 ASE.com Launches Spanish Language Option ��40 Audi Selects Mobileum ��50 Automotive Recyclers Applaud Executive ��47 Broadly Launches into Collision Repair ��16 Cadillac SRX, Saab 9-4X Recalled Again for Toe Links ��44 Carmakers in North America Worst Hit by Semiconductor Shortage ��48 CCC ONE Estimating-IQ Brings Proven AI

Segments of Specialty-Equipment Industry See Growth During Pandemic ��51 SEMA Intensifies Advocacy Efforts, Connects with Congressional Reps from Washington, D.C. ��1 Signature Collision Centers Joins Forces with Crash Champions ��49 State Farm, Ford Program Leads to Discounts ��17 Strategies to Help Auto Body Shops Navigate the Semiconductor Microchip Shortage ��42 Tesla Wanted $16,000 for a Simple $700 Model 3 Repair ��47 Tesla, Volvo Among 5 Carmakers Under NHTSA Investigation for ADAS Crashes ��32 Tradiebot: New Collision Repair Training Software ��32 Used Vehicle Prices Expected to Climb to Record Highs as New Vehicle Prices Stay Steady in Q2: Edmunds ��51

Laurel Auto Group of Westmont �� 33

autobodynews.com / AUGUST 2021 AUTOBODY NEWS 3

Help Wanted: U.S. Automobile Dealers Struggle to Hire Employees While Business Booms The U.S. economy is showing signs of returning to pre-pandemic levels, and the auto business is booming. Like many industries, U.S. automotive retail is struggling to find enough employees for dealerships to be fully staffed, much less meet their 2021 growth goals. In the 2021 Cox Automotive Dealership Staffing Study published June 21, 72% of franchised auto dealers surveyed say finding and hiring the right employees is currently a challenge. A majority of dealership leaders—approximately 65%—report that they plan to increase the total number of employees in the dealership this year, while abotu 34% said they plan to maintain their staffing level. Expanding the number of service technicians is the highest priority for dealership leaders, with 60% planning to increase the number of service technicians this year, followed by new-vehicle sales associates (54%) and used-vehicle sales associates (48%). Dealers’ desire to grow their

operations comes at a time when business is strong. According to the Q2 Cox Automotive Dealer Sentiment Index, sentiment related to the current market reached a record high in Q2 for both franchised and independent dealers, and the profit index set a record high as well. The three-month market outlook index reading is an increase from last quarter and, importantly, equal to Q1 2020, the final preCOVID-19 reading. “While the outlook for dealerships has never been better, dealers state that finding employees is a challenge due to people not returning to their positions or the workforce post-pandemic,” said Angela Drake, senior industry intelligence manager, Cox Automotive. “The traditional lack of interest in working at dealerships is exacerbated this year by pandemic-related stimulus money and enhanced unemployment benefits. “The good news is that our study found overall interest in working at dealerships is growing, and a growing number of employees in non-automotive jobs view

their skill sets as transferable to the dealership.” Job Seekers May Have Skills Dealers Desire, And Not Know It When asking potential job seekers why they would not want to work at a dealership, 32% indicate they did not have the necessary skills. However, the 2021 Dealership Staffing Study finds Heavy Digital Dealers, those dealers that significantly invest in digital retailing tools, say the right employee doesn’t need automotive experience. Instead, they are looking for the following characteristics: • Willing to go above and beyond their specific job responsibilities • Good communicators across all communication channels (verbal, written, video, etc.) • Can easily adapt to a quickly changing work environment • Tech-savvy and comfortable with learning new technology “As pandemic unemployment assistance winds down, dealers have

the opportunity to promote their job openings to a new group of job seekers who may not have considered working in a dealership,” said Bob Kostkan, senior director at Cox Automotive University. “Job seekers with restaurant and retail experience usually have the mindset, potential and skills to be successful at a dealership but may not realize that automotive experience isn’t a prerequisite for many of the open positions. “The most successful dealers offer employees onboarding and comprehensive career development training beyond what their OEMs offer to enhance engagement and retention. In fact, the top two most popular training enhancements indicated in the Dealership Staffing Study for now and into the future are online/digital tools and communication skills.” Source: Cox Automotive

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Ford F-150 Lightning Details Reveal Surprising Premium Over Tesla Cybertruck by Simon Alvarez, Teslarati

The Ford F-150 Lightning is arguably one of the most impressive all-electric pickups on the market today. Starting at a very aggressive price and designed for the F-150’s classic buyers, the Lightning seemed like a great shoo-in as the electric truck market’s next best-seller. Ford, however, has been reserved about the Lightning’s full pricing details, at least until now. And if the recent information about the F-150 Lightning proves accurate, it would appear Ford’s electric pickup will command a pretty steep premium over the Tesla Cybertruck. Users at the Ford enthusiast forum F150Gen14 recently shared a questionnaire reportedly sent by the veteran automaker. The questionnaire, which seemed designed to determine which features are preferred by consumers, featured a list of available F-150 Lightning variants and their respective options and prices. This

included every trim of the Lightning, from the Pro base model to the top-tier Lightning Platinum series.

Credit: Ford Motor Company

Based on the information from the carmaker, non-commercial buyers of the Ford F-150 Lightning could expect to shell out about $53,000 for the XLT trim, but that’s a truck with a conservative 230 miles of estimated range. Customers who prefer an XLT Lightning with longer range could expect to pay an additional $7,000 for its 300-mile battery

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pack. This is true for the XLT + Premium Package and Lariat variants as well. The Ford F-150 Lightning Lariat was already listed with a starting price of $67,474, or close to the starting price of the 500-mile tri-motor Tesla Cybertruck, which starts at $69,990. That’s pricey for a vehicle that still starts with only 230 miles of range. Fortunately, Ford’s 300-mile battery becomes standard with the F-150 Lightning Lariat + Premium Package, but that starts at $79,474. The Ford F-150 Lightning Lariat + Premium Package not only comes with the company’s 300-mile range battery. It also comes with a twin-panel moonroof, the company’s BlueCruise driver-assist system and Phoneas-a-Key features. These specs are comparable to the middle-tier Tesla Cybertruck Dual Motor AWD, ex-

pected to have a range of 300-plus miles, as well as standard features like a full glass roof, basic Autopilot and Phone Key functions. The notable difference between the Ford F-150 Lightning Lariat + Premium Package and the Tesla Cybertruck Dual Motor AWD, of course, would be their price. Based on the information reportedly sent by Ford to its customers, the F-150 Lightning Lariat + Premium Package starts at $79,474, while the Cybertruck Dual Motor AWD starts at $49,990 before options. That’s a premium of nearly $30,000 for the F-150 Lightning. With such a price gap in mind, Ford may have to rely on its reputation and pedigree as a truck-maker to ensure the Lightning becomes successful like its internal combustion-powered predecessors.

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autobodynews.com / AUGUST 2021 AUTOBODY NEWS 5

Indiana Subaru Dealer Presents Local Charity with $24,208 Check Zeigler Subaru of Merrillville, IN, on June 10 presented local charity Chasing Dreams, Inc. with a $24,208 check. The check presentation took place at the dealership's showroom with Denise Babjak, Chasing Dreams' founder, and several leaders and beneficiaries accepting the donation. “It was a very heartfelt experience presenting the check to Denise and her team. We're humbled by the opportunity to support Chasing Dreams, Inc. and honored to be able to give back to such a great cause,”said Kyle Faiman, Zeigler Subaru of Merrillville's general manager. The donation was made possible by the Subaru Share the Love Event sponsored by Subaru of America, Inc. During the promotional event the automaker donates $250 for every Subaru vehicle purchased or leased. The dealer, in turn, donates an additional $50. The customer purchasing or leasing the vehicle then gets to choose where the money goes, with the majority of Zeigler Suba-

ru of Merrillville customers choosing Chasing Dreams, Inc., a local charity committed to to providing integrated and vital programs for individuals with special needs and their families, that facilitate an environment of growth, learning and independence. Mark Artibey, Zeigler of Merrillville's new car director, nominated Chasing Dreams, Inc. during the Share The Love Event as the store's choice after the issue of lack of support for people with disabilities hit close to home. He was surprised to learn about the lack of funding for people with Down syndrome at a federal and state level from a close friend who had a child with Down syndrome. “I really started getting more involved when my friend Denise Babjak, who has a child with Down syndrome and autism, started the nonprofit organization Chasing Dreams, Inc.," Artibey said. "They basically take anyone at any age, with any disability, and help with education, life skills and anything else they may need without charging the family for anything.

Illinois Community College’s Collision Repair Program Receives Highest Level of ASE Accreditation The automotive collision repair program at Richland Community College in Decatur, IL, was recently recognized by the National Institute for Automotive Service Excellence (ASE) for receiving Master accreditation—the highest level of program accreditation recognized by the ASE. The program received the accredidation in damage analysis/estimating/customer service, painting and refinishing, non-structural analysis/damage repair, structural analysis/damage repair and mechanical and electrical components. “Richland now offers the only ASE-certified collision repair program in Central Illinois,” said Andy Hynds, dean of mathematics, science and business. “Courses are hands-on and are taught in the state-of-the-art Workforce Development Institute. Certificates can be earned in as little as five months, with degree options to enhance one’s skills.” The Decatur area has seen growth in job openings in this field, added Hynds. “The collision repair industry is a clear path to a rewarding career,” Hynds said. “In recent

years, there have been an average of 25 job openings annually in Decatur and surrounding counties. A specialist in the field can expect to earn an average of $20 per hour, with plenty of opportunities for work.” Kent Mears, assistant professor for the program, has been working in the collision industry for more than 43 years and has been at Richland for eight. He feels the program has been a success because of its emphasis on training students for long-term careers. “I ask my students the first day if they want a job or career where you can receive benefits and take great pride in your work,” Mears said. “This program opens the door for you to find positions that are open all over the United States. You can even be done with your training in just one year or less.” Registration for fall classes is currently underway. Visit richland.edu/registration to find out more or call (217) 875-7211, ext. 6267 to talk about this program and many more. Classes begin Aug. 12. Source: Richland Community College

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It's 100% free!” He also noted it was heartwarming to see more and more people choosing to donate to the local charity, where the community could see and feel the impact right here at home. As for what the nonprofit plans to do with the donation, the founder says there are plans to expand Chasing Dreams' education programs because she feels education is the basis for everything the organization provides. “We are beyond grateful to Zeigler Subaru for sharing so much love with us," said Babjak. "We have never felt so loved before. This will make a huge impact in providing educational programs to the community.” She also said the organization is always looking for volunteers for those wanting to contribute within the community. Zeigler Subaru of Merrillville also announced it will be once again supporting Chasing Dreams Inc. during the upcoming Share The Love Event. Source: Zeigler Auto Group

Curry Elected President of UAW The UAW International Executive Board (IEB) on June 28 unanimously elected Secretary-Treasurer Ray Curry to serve as UAW president upon the retirement of Rory L. Gamble for the remainder of the current term, which ends in June 2022 at the 38th Constitutional Convention. Curry, 55, will officially assume the office of president July 1. The UAW implemented comprehensive top-to-bottom financial ethics reforms while Curry served as secretary-treasurer, the union’s CFO. Within his bargaining sector assignments, the members of UAW-Heavy Truck and UAW-General Dynamics sectors have enjoyed financial gains and increased job security provisions, while the members of the Agricultural Implement sector have continued to enforce current contractual terms along with health and safety provisions. Source: UAW

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Continued from Cover

SEMA Intensifies Advocacy are equipped with Advanced Driver Assistance Systems (ADAS). The bipartisan RPM Act is a top priority for SEMA, and will protect the motorsports industry against overreach from the U.S.

ed race cars. “We must continue to communicate with and educate elected officials about the issues that are important to the industry,” said Daniel Ingber, SEMA vice president of government and legal affairs. “We value the opportunity to meet with lawmakers and will continue to push for the rights of the aftermarket industry.”

including a number of lawmakers who signed on after meeting with SEMA-member business representatives and staff. SEMA urges racers and race fans to continue to reach out to lawmakers and demand that the RPM Act be passed into law. “We cannot let up on our efforts to push for the RPM Act,” said Ingber. “As the EPA attacks the motorsports industry, we must protect

“We must continue to communicate with and educate elected officials about the issues that are important to the industry,” — Daniel Ingber SEMA staff and representatives have connected with lawmakers this year to discuss key initiatives, including passage of the RPM Act. John Hotchkis, far right, of Hotchkis Performance, met with Rep. Ted Budd, center, to talk about top industry issues, challenges and concerns

Environmental Protection Agency (EPA). The bill clarifies the motorsports-parts industry’s ability to sell products that enable racers to compete and protects Americans’ right to convert street vehicles into dedicat-

Ford Names Croley Chief Policy Officer Ford has selected former U.S. federal lawyer Steven Croley to become its chief policy officer and general counsel. Croley, 55, who joined Ford on July 12, will help the company further leverage and build on its strengths in government relations, sustainability, safety, legal and privacy. The new policy leadership role was anticipated last October when Jim Farley became CEO and announced organizational changes to help the company fulfill its customer-first Ford+ plan for growth and value creation. Croley will report to Farley and work closely with Jon Huntsman, a member of the Ford board of directors who in April was appointed vice chair, policy, an internal senior advisory role to Farley and Executive Chair Bill Ford. John Mellen, who postponed his planned retirement from Ford a year ago to take on the role of general counsel, will conclude his exceptional career with the company Sept. 1, following transition of his legal responsibilities to Croley. Source: Ford

The RPM Act was first introduced in 2016, after the EPA began interpreting the 50-year-old Federal Clean Air Act (CAA) to include race car conversions. SEMA has led the fight to advocate for passage of the bill, which was introduced earlier this year in the House of Representatives after enthusiasts sent more than 1.3 million letters to lawmakers urging them to pass the RPM Act. The bill currently has Congressional support from 82 co-sponsors,

our rights to modify vehicles. The RPM Act will clarify that it is legal to modify street vehicles into dedicated race cars and give the industry the assurance it needs to continue to legally compete.” With strong bipartisan support and engagement from the industry, the RPM Act is well positioned for passage in the current Congressional year. Committees have reviewed the bill in previous years and are prepared to expedite the bill.

“It was great to meet with lawmakers who seriously considered the RPM Act, which allows street vehicles to be converted into racing vehicles,” said Braden Liberg, director of compliance and calibration engineering of the Edelbrock Group. “Without the RPM Act there is a threat to the motorsports industry. Many lawmakers are unaware of the challenges facing our industry, and it’s imperative that we work with them to ensure that motorsports businesses can continue to operate.” Racers, race fans and related businesses are encouraged to continue to contact their legislators to pass the bill and #saveourracecars by visiting www.saveourracecars.com. Source: SEMA

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CCC ONE Estimating-IQ Brings Proven AI to Collision Repairers CCC Intelligent Solutions Inc. announced its plan to further enhance CCC ONE®, the collision repair industry’s leading estimating platform, incorporating advanced AI into its estimating application later this quarter. The new feature, CCC ONE® Estimating–IQ, will provide collision repair facilities a jump start on estimating, applying machine learning to pre-populate estimates with parts and labor operations based on photos of vehicle damage and configurations by the repair facility. The upgrade will put advanced AI at the fingertips of estimators across the industry, informing and speeding the repair process and improving the repair experience for their customers. “Collision repairers have helped inform CCC’s industry-leading AI models writing more than 150 million estimates on CCC ONE. CCC is now applying that knowledge to accelerate estimating for collision repairers,” said Mark Fincher, vice president of market solutions, CCC Intelligent Solutions. “CCC is excited to make AI-driven estimating available to tens of thousands of repair facilities nation-

8 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

wide using CCC ONE. “Incorporating our proven AI, CCC ONE Estimating-IQ will streamline routine tasks and give collision estimators more time to focus on high impact activities.” The incorporation of AI into CCC ONE follows a recent modernization of the CCC ONE Estimating interface. The intuitively designed interface delivers mobility and functionality that makes writing estimates at the vehicle quick and easy, including real-time tips and reminders, improved in-line editing capabilities and an enhanced shopping cart for parts ordering at the time of estimate. CCC ONE Estimating-IQ can accept photos of vehicle damage shared from insurers with repair partners when appointments are booked after an accident. Photos shared include CCC’s AI heat map technology, giving repairers more visibility to incoming vehicle damage, speeding repair planning. “The improved CCC ONE experience underscores CCC’s commitment to providing collision repairers with trusted technology,”

said Arlo Johnson, SVP of insurance at Driven Brands. “As vehicles get more complex and connectivity with partners becomes more important to reducing cycle time, collision repairers need to have real-time access to information and advanced insights. CCC ONE helps us keep pace with and drive improvements across our business.” CCC ONE Estimating–IQ will be made available to all repair facilities who license CCC ONE Estimating. Insurer-provided photos of vehicle damage are available to repairers using the CCC® Engage customer experience platform. CCC ONE Estimating-IQ is compatible with any full-screen, web-enabled device and incorporates online updates, providing repair facilities with new levels of versatility and a strong foundation for ongoing innovation. Learn more about CCC ONE Estimating-IQ at https://cccis.com/ collision-repairers/ccc-one/estimating /iq/ Source: CCC Intelligent Solutions Inc.

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Woodward Dream Cruise Returns, Ford Announces 4th Year as Sponsor Auto enthusiasts, get ready to restart those engines. The 26th annual Woodward Dream Cruise presented by Ford is back on for this summer. With the original 1966 Ford Bronco starring as the featured heritage vehicle, this year’s celebration of automotive culture and driving fun is set to kick off Aug. 21. “Woodward is our hometown celebration, commemorating the best of what we do and what we assemble—right here in the Motor City,” said Rob Johnston, Ford Performance marketing manager. “It’s fitting that this year’s Dream Cruise honors the original Bronco at a time when the all-new, Michigan-built Bronco is rolling off the line.” The first-generation Ford Bronco, America’s original SUV, was built from 1966 to 1977. The first ever Bronco wore the Ford codename of G.O.A.T. for its “goes over all terrain” capability. It debuted as an agile, sports-oriented off-road 4x4 on Aug. 11, 1965, and was dubbed “a completely new line of sports-utility vehicles”—the first reference to an SUV by an American manufacturer. Now, nearly 25 years to the day

since the last Bronco rolled off the line, Michigan Assembly Plant is once again turning out Bronco twoand four-door models, expanding on the nameplate’s 55-year history. The

Bronco model depicted on the logo of the 2021 Woodward Dream Cruise celebrates the hardworking women and men who assemble the Motor City’s iconic SUV and the innovative spirit it embodies. Ford’s Woodward Dream Cruise presenting sponsorship provides the company with an authentic plat-

form to honor its heritage and showcase how Ford is capitalizing on its strengths in its mainstream and iconic vehicles—including many of which are proudly assembled in the Motor City. In addition to Bronco models old and new, Ford will also display some of the automotive industry’s most recent and exciting vehicle debuts, including the allnew 2021 Mustang Mach-E GT all-electric SUV, the all-electric 2022 Ford F-150 Lighting and the recently revealed Ford Maverick compact pickup truck, the first standard full-hybrid pickup in America. As the largest employer of American autoworkers in the Motor City and across the country, Ford Motor Company’s presenting sponsorship of America’s largest automotive gathering is a perfect match. Every year, the Woodward Dream Cruise attracts more than 1.5 million people and more than 40,000 cars from all over the world. This year marks the fourth straight that

Ford will sponsor the event. “Once again, Ford Motor Company is stepping up to lead Woodward Dream Cruise, and we look forward to returning and elevating our annual tradition that puts Metro Detroit’s automotive scene and culture in the international spotlight,” said Tony Michaels, executive director, Woodward Dream Cruise. “Ford has consistently helped to make the cruise stronger, more engaging, more culturally relevant and more valuable to the Detroit region, and we are incredibly grateful for that.” Ford Motor Company and Detroit’s main artery share a long history that dates back to the formative years of both. At his Ford Piquette Avenue Plant, Henry Ford developed and produced the first Model T’s a few hundred feet from Woodward Avenue, which made history when it became the first paved road in America. Henry Ford knew mobility meant freedom and prosperity, and he made it his mission to open highways for all mankind starting right in the heart of Detroit. Source: Ford Motor Company

Crash Champions Donates Restored Vehicle as Part of NABC Recycled Rides Program Crash Champions, a leading independent collision repair company, announced June 29 it has restored and donated a 2012 Hyundai Tucson to a local Chicagoland family in need as part of the National Auto Body Council’s (NABC) Recycled Rides program. The vehicle was refurbished by Crash technicians after being donated by GEICO, with additional financial support from Enterprise. It was presented to Gilberto and Paulita Flores on June 24 at the company’s Elgin, IL, location. This is the second time Crash Champions participated in NABC’s Recycled Rides program this year. “At Crash Champions, we strive to be active members of the communities in which we operate, and helping to ensure that our neighbors have access to reliable transportation is an important part of that commitment,” said Matt Ebert, founder and CEO of Crash Champions. “As a commercial and residential painter, Gilberto’s ability to earn a living was severely limited by a lack of transportation, and we

hope that this vehicle will provide greater stability and peace of mind for the entire Flores family. “It is a thrill to see our entire team unite around the shared goal of improving the quality of life for our neighbors, and we look forward to continuing our active participation in the NABC Recycle Rides program.” NABC Recycled Rides is a unique program in which businesses representing all facets of the collision repair industry team up to repair and donate vehicles to individuals and families in need of reliable transportation. Since the inception of the NABC Recycled Rides program in 2007, members of the NABC have donated more than 2,500 vehicles valued at more than $36 million. For more information about NABC Recycled Rides, visit www. NationalautoBodyCouncil.org. For more information about Crash Champions, visit www. crashchampions.com. Source: Crash Champions

10 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

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Toyota Mobility Foundation, Energy Systems Network, May Mobility Inaugurate Free Autonomous Shuttle Service in Indianapolis The Toyota Mobility Foundation (TMF), Energy Systems Network (ESN) and the Indiana Economic Development Corporation (IEDC) have joined with May Mobility, a leader in autonomous vehicle (AV) technology and shuttle operations, to launch a free autonomous shuttle service in Central Indiana. The free service, a part of TMF’s Together in Motion Indiana, began June 1, and serves the downtown Indianapolis and Indiana University–Purdue University Indianapolis (IUPUI) communities. Together in Motion is an initiative bringing stakeholders together to test the interoperability of mobility innovations and facilitate the efficient movement of people and goods. The autonomous shuttle service supports the United Nations’ Sustainable Development Goals (SDGs) Sustainable Cities and Communities goal (No. 11) and Toyota’s commitment to providing Mobility for All. “At May Mobility, our mission is to bring safe, accessible and reliable mobility solutions to communities around the world,” said Edwin Olson, co-founder and CEO of May Mobility. “We’re excited to bring AV technology to Central Indiana through our partnership with the Toyota Mobility Foundation, Energy Systems Network and IndyGo.” The Together in Motion AV shuttle service runs through Nov. 19 and operates 7 a.m. to 7 p.m. Monday through Friday. The service is available to the public and features five Lexus RX 450h vehicles and one wheelchair-accessible Polaris GEM shuttle equipped with May Mobility’s autonomous technology. There are nine designated stops in Indianapolis, each identifiable by a sign providing route information and a scannable QR code leading to the Together in Motion Indiana website. Through the QR code, riders can learn more about May Mobility technology and the shuttle route. Shuttles arrive in 10- to 15-minute intervals on a rotating loop. The route was designed to increase mo-

bility options by providing a connection from the Vermont Station— along IndyGo’s Red Line—to areas west of downtown. Additionally, the route circles the IU Health University Hospital and the Riley Hospital for Children campuses. Riders can plan their trips on Google Maps and see live updates of a shuttle’s location.

“IndyGo exists to connect our community to economic and cultural opportunities through safe, reliable and accessible mobility experiences,” said Lesley Gordon, vice president of communications and marketing at IndyGo. “We will continue to lend our knowledge and expertise with the team at May Mobility and to work alongside these industry leaders as they seek to improve Central Indiana’s mobility ecosystem.” To ensure riders’ health and safety, masks are currently required for all passengers and fleet attendants. Shuttles will carry only one household per ride, and all shuttles are equipped with partitions and UVC disinfectant lights that will clean the shuttle interior between rides. The AV shuttle service is part of the Together in Motion Indiana initiative announced earlier this year by TMF and ESN. It aims to foster innovation through industry partnerships and propel research and development in advanced mobility technologies in Indiana. The initiative supports the deployments of various mobility solutions to better serve the transportation needs of the local communities, to understand the changing ecosystems surrounding these needs, to potentially expand such initiatives into other communities and to establish networks for the sharing and

14 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

leveraging of key learnings. As each mobility solution is developed with local community input, this human-centered approach facilitates the implementation of valued activities and the commercialization of an array of cooperative options. “Indiana is the ideal location to launch the first Together in Motion initiative because of the strong local partnerships with Energy Systems Network and the local communities,” said Ryan Klem, director of programs, Toyota Mobility Foundation. “They have facilitated May Mobility’s integration into the local transportation offerings, and we look forward to learning about local use and impact so we can transfer and scale this knowledge to other locations.” Prior to opening the shuttle service to the public, May Mobility provided Indianapolis residents and Indy 500 race week guests free 10-minute-long rides along a special demonstration route near the Indiana Statehouse. More than

60 attendees experienced the AV shuttle service in a Lexus RX 450h equipped with May Mobility’s autonomous technology. “Bringing innovative mobility solutions to Indiana with partners steeped in advancing autonomous technology positions the state as a leader in this in-demand and growing sector,” said Dave Roberts, chief innovation officer, Indiana Economic Development Corporation. “Engaging with ESN, Toyota Mobility Foundation and May Mobility to assist in this effort shows the commitment to finding the best technology partners to provide additional transportation resources to residents throughout the state.” In the next phase of the initiative, May Mobility will operate an AV shuttle route in Fishers, IN. This service is slated to begin in November. Source: Toyota Mobility Foundation, Energy Systems Network, May Mobility

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Broadly Launches into Collision Repair Broadly, Inc. an award-winning provider of software solutions for local businesses, announced June 17 its official launch into the auto collision repair sector. Broadly’s reputation management and communication tools are already helping thousands of auto body shop owners boost their online presence, attract new customers, engage with the modern consumer and make payment processing simple and contactless. Since launching in 2014, Broadly has helped thousands of local business owners grow successful businesses through a variety of high impact features— including web chat, text messaging, automated review requests and contactless payments—all aimed at increasing revenue and efficiency while delivering meaningful customer experiences. For more info about how Broadly can help grow collision businesses, connect at https:// broadly.com/schedule-demo/ Source: Broadly

Ohio Man Sentenced to Prison in Chop Shop Conspiracy A Columbus, Ohio, man was sentenced in U.S. District Court to 12 months and one day in prison for his role in a conspiracy to steal at least 35 vehicles to dismantle and sell their parts, causing more than $300,000 in loss. Mike Silva, 31, pleaded guilty in October 2020 to one count of conspiring to operate a chop shop and violate the Clean Air Act. Silva operated an auto body shop that served as the chop shop where stolen vehicles were dismantled. As part of his sentence, Silva is ordered to pay approximately $301,000 in restitution. Conspiracy leader James A. Imes, 51, of Columbus, was sentenced in July 2019 to 120 months in prison. His wife, Tina Imes, 41, was sentenced in September 2020 to 36 months in prison. The couple was ordered to pay approximately $550,000 in restitution. Co-defendant Scottie Johnson was sentenced to three years of probation and ordered to pay approximately $263,000 in restitution.

According to court documents, from January 2013 until April 2014, defendants stole at least 35 vehicles to dismantle them and sell their parts throughout the Midwest, earning $10,000 to $15,000 per week. Co-conspirators operated chop shops in three locations on the West side of Columbus to traffic the car parts.

Most of the vehicles were sold as parts or scrap to salvage yards. More valuable parts were sold on Craigslist through posts advertised in cities across Ohio, Indiana, Kentucky, Pennsylvania, Michigan and West Virginia. During the destruction of the vehicles, HCFC refrigerant chemicals were released into the

atmosphere when vehicle air conditioning tubes were cut. Vipal J. Patel, acting U.S. Attorney for the Southern District of Ohio; Ohio Attorney General Dave Yost; Ohio EPA Director Laurie A. Stevenson; and Franklin County Prosecutor Gary Tyack announced the sentence handed down by Senior U.S. District Judge James L. Graham. Assistant U.S. Attorney Jonathan J.C. Grey and Special Assistant U.S. Attorneys J. Michael Marous, Christopher N. St.Pierre and Heather Robinson are representing the U.S. in this case. The case was investigated by the Ohio Bureau of Criminal Investigation (BCI) and Ohio EPA Special Investigations Unit, as well as the assistance from the Franklin County Sheriff’s Office, Columbus Division of Police Auto Theft Unit and Ohio State Highway Patrol Theft and Fraud Unit. Source: U.S. Attorney’s Office Southern District of Ohio

Glaser’s Collision Centers Celebrates 35 Years Family-owned and locally operated Glaser’s Collision Centers is celebrating 35 years in the collision repair business in Louisville, KY. After starting in a 900-square foot building, it now operates four locations across the area. Gene and Susan Glaser started Glaser’s Auto Services in 1986 as a full-service automotive repair shop. Gene Glaser came from a background of construction workers and Susan Glaser had a background in computers, but they learned how to run the business. The original shop, a 900-square foot building in Buechel, KY, did full mechanical work, body, paint, interior repairs and high performance upgrades. After several years, Glaser’s decided to narrow its focus to collision repair only, in order to provide its customers with the best possible service. In 1990, Glaser’s built and moved to a larger shop in Jeffersontown, which serves as the headquarters. In 1999, it built its second location on Preston Highway. The third location was built in Bullitt County in 2008. In De-

cember 2019, Glaser’s opened its fourth location after purchasing a 40-year-old business, South Louisville Paint and Body. The business is being carried on by second-generation owners Aaron and Heather Glaser. They plan to keep their business family-owned and locally operated. They take great pride in the family-run business and are planning for the future. Recently their son, Connor, started working in the business. “It’s an honor to help continue building what my parents started 35 years ago,” said Aaron Glaser, second-generation owner and COO. “And now to have our son Connor work for the business is pretty exciting. We stand committed to having a family-owned and operated business and look forward to the future.” Glaser’s Collision Centers employs more than 60 people in the area. For more information, visit www.glaserscollision.com. Source: Glaser’s Collision Centers

16 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

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State Farm, Ford Program Leads to Discounts

Ozarks Auto Shops Seeing Uptick in Customers Amid Increased Travel and Car Part Shortages

State Farm and Ford completed a yearlong pilot project in which the companies shared vehicle build data to better understand how certain safety features impact claims. The exchange of information lowered the overall cost of vehicle ownership for many of the companies’ shared customers by better matching price to risk. Insurance rate adjustments were made in the first half of 2021, with savings of up to 20%. Ford’s new Vehicle Build Data product provides State Farm a comprehensive view of a vehicle’s feature content and a better understanding of how ADAS impact the frequency and severity of auto claims. State Farm is also sharing claims data with Ford to help inform them on how specific vehicle features impact auto claims. As the pilot expands, State Farm customers with certain Ford, Lincoln or Mercury products dating back to 2010 can benefit. Source: Ford, State Farm

by Michael Van Schoik, KY3 News

If you have needed work done on your car recently, you may have noticed some delays. Auto shops across the Ozarks in Missouri say they are noticing a boom in business. Shops say this time of year is always busy, but there are a couple additional things they are having to deal with. Those factors include a lack of new vehicles, part shortages and increased travel. An uptick in customers these days comes right along with a rise in travel, something repair shops say has an impact. “There’s definitely a fear of flying and a fear of traveling to other places, so a lot of people are doing what we like to call ‘stay-cations’ or smaller weekend trips locally,” said Tim Fess, Rick’s Automotive general manager. Shops are seeing the usual wear and tear a bit more, especially after a year where many did not travel all that much. “The fact of the matter is, we get busy,” Fess said. “A lot of peo-

ple are going out of town. A lot of people are using their vehicles more so than they did in the last six to eight months. And therefore some of the maintenance that hasn’t been done, we are kind of playing catch up in some ways.” In some cases you could be in the shop in just a few days; other cases, it could be a week or two depending on the job. Parts shortages

verters are quite valuable,” he said. “Fact of the matter is they’re quite expensive to replace on a vehicle. The manufacturers cannot produce them fast enough to offset what is being, well, stolen essentially.” Shops say some drivers might be a bit more hesitant to buy new cars right now too. Regardless, there are parts shortages across the board.

“A lot of people are using their vehicles more so than they did in the last six to eight months.” — Tim Fess are a big issue these days, which is why Rick’s Automotive has stocked up on items like tires. The business also services emergency vehicles, which is why Fess said having spare parts is also a priority. One of the biggest hot ticket items these days is catalytic converters, partly because there has been such an uptick in demand for them. Fess said that could possibly be connected to recent thefts. “The materials in catalytic con-

“We’re not really seeing delays in the aftermarket side of things, the aftermarket being companies that provide for the manufacturers, but the manufacturers themselves,” Fess said. “We have seen some delays on their side of things whether it be a computer control issue or an emissions control issue.” Those shortages could last into the foreseeable future and auto shops are just asking for patience as they try to keep up with demand.

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All-Electric Future and communities that are more likely to disproportionately experience the effects of climate change. “We know 80% of EV owners today charge at home,” said Gerald Johnson, GM’s executive vice president. But, Johnson said, GM also realizes there are many people who don’t have a residence where they can charge a vehicle. Likewise, Johnson said GM supports an EV tax credit incentive that would include used electric cars, “to broaden the access” to EVs for more consumers. “We have an imperative to leave the world a better place than we found it,” Johnson said. Barra said GM wants consumers to be able to choose an electric vehicle as their only vehicle. Therefore, those consumers must have confidence that if they go over the vehicle’s range, which for GM is typically 300 miles, there’s a charging infrastructure to support them. Also, there have to be affordable options to buy EVs. “When we check all those boxes, our research shows that people say they are very interested in an electric vehicle,” Barra said. The philanthropic fund complements GM’s $35 billion investment in research and development of EVs and self-driving cars by 2025. Barra said GM is focused on bringing its current workforce along, while helping to build a diverse pipeline of talent, as GM gets closer to a zero-emissions future. GM will be adding jobs, but James said it is not sharing how many new jobs will be created. Barra said GM strives to be the “most inclusive company” in the world. That means creating an environment where everyone feels valued, comfortable to be themselves and emboldened to do their best work. It also means including them in a transition to EVs, Barra said. “Whether they’re an engineer or a teammate working on the assembly line in one of our plants, they need to know they are a part of our future,” Barra said. “This won’t happen overnight―it will happen over time and that time will allow

us to retrain employees. Our goal is, as we make this transition, we bring everyone along.” GM recently established GM Automotive Manufacturing Electrical College, which allows people to be retrained to work on EVs. As for the workforce of the future, Barra said, people need to have a technology basis. They don’t necessarily have to “be able to code,” but they should know enough about software and technology to be flexible to move to a variety of jobs, she said. GM has said it aspires for all of its light-duty vehicles to be zero emissions by 2035. Barra said GM’s focus on “equitable climate action” centers on four areas: The future of work: GM will prioritize its current salaried and UAW-represented workforce in its shift to EVs. GM publicly reiterated its support for the UAW to organize employees at the Ohio and Tennessee Ultium Cells LLC battery cell manufacturing plants. In May, the UAW told the Free Press it is prepared to battle GM at the new battery cell factories GM is building in Ohio and in Tennessee if the automaker won’t allow a simplified process, called a card check, to organize workers there. But days after the Free Press article, GM and its battery cell partner, LG Energy Solution, publicly expressed support for unions. They also acknowledged workers’ rights to unionize the joint venture called Ultium Cells LLC battery plants. When asked June 29 if GM would support a card check process at the battery cell plants, Johnson said, “We are supportive of the UAW. We are partners with the UAW and have been for decades. It is ultimately the decision of the employee group there, but we fully expect we’ll work together with the UAW moving forward at these plants as we do in our propulsion plants across the U.S.” EV access: GM has said it will bring 30 new EVs to market by mid-decade that offer customers a wide selection across a range of price points. The redesigned 2022 Chevrolet Bolt EV starts at $31,000 and the 2022 GMC Hummer pickup,

20 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

due out later this year, will start at $79,995. GM also announced partnerships that will use its Hydrotec fuel cells for rail and aircraft applications, which could deliver improvement in emissions beyond cars.

go to other EV companies, Johnson said, “This is targeted for grassroot organizations in communities---targeting towards awareness, understanding and engagement in climate change and an EV future.” Barra said GM strives to make mobility safer, more accessible and more environmentally friendly and it will work with community-based stakeholders to identify their needs and find solutions. GM will advocate for inclusive and equitable climate change, renewable energy and transportation-related policies at the federal, state and local levels to help ensure a sustainable mobility future for all, she said. It will help fund organizations that provide equitable access to EVs. “It means that 20 years from now, as we look back at our company and our spending $35 billion to transform the company, we can be proud in how we did it,” James said. “And we’ll know that we didn’t leave anyone behind.”

Infrastructure equity: GM is committed to helping bring widespread charging stations and other solutions to address any charging concerns that can hinder EV ownership. Climate equity: GM will help fund organizations that are helping to find solutions to changes that will result due to climate change. GM and these groups will work at the community level looking at the future of work, EV access, EV infrastructure and other issues that arise from climate change. Starting June 29, GM is accepting proposals from outside groups for funding from its new Climate Equity Fund. Potential grantees should submit proposals aligned to GM’s four climate equity social outcomes listed above. The grant proposals will not

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Nationwide Study not going away,” said study author Chuck Bean, Martec partner/CMO. “However, we expect usage and ownership of personal vehicles to increase. In our study, a high percentage of respondents living in urban locations reported being likely to move to a suburban or rural location due to the pandemic.” Shifting population data along with increased VMT insights suggest the automotive aftermarket is about to experience substantial growth. The pandemic also has impacted how people maintain or service their vehicles as well as their buying behaviors for vehicles, services and parts. The pandemic has caused many consumers to delay purchasing or leasing a new vehicle. More than half of these consumers do not expect to do so until the second half of 2021, increasing average vehicle age. In addition, the majority of respondents have deferred vehicle maintenance during the pandemic. As consumers defer maintenance and push off getting newer vehicles, these factors likely will accelerate

demand for parts and services in the aftermarket. Segmentation Analysis The study identified four key segments developed using the Martec Emotion Scores (MES) to understand how consumers feel about maintaining or servicing their vehicles. Below is a snapshot of how each segment feels about servicing their vehicles during the pandemic:

Report Summary This study explores data collected from a November 2020 survey of 1,000 respondents across the U.S. For this survey, Martec intentionally captured vehicle owners and people who are primarily full-time employed. The goal of this survey was to

NHTSA Launches Interactive, Searchable Recall Dashboard The National Highway Traffic Safety Administration (NHTSA) on July 1 unveiled a new cloud-based recall dashboard to make searching for auto safety recall data easy and efficient. The dashboard offers user-friendly and transparent ways to sort, filter, visualize and export recall data. “This new dashboard provides unprecedented transparency into the recall process,” said Dr. Steven Cliff, NHTSA’s acting administrator. “More than 50 years of recall data are now easily available to the media, researchers, safety advocates and anyone interested in learning more about vehicle safety. This initiative is part of the U.S. Department of Transportation’s commitment to safety on our roadways, and it provides increased transparency and accountability to the American people.” The dashboard will be updated daily and is available at https://

datahub.transportation.gov/dataset /NHTSA-Recalls-by-Manufacturer /mu99-t4jn The new dashboard allows users to sort and filter data, search by keyword and export data in CSV, TSV for Excel, XML and other formats. It also presents data in easyto-read charts and graphs. Previously, NHTSA made its recall data available through a bulk download, requiring users to download large data files and import them into a database like Microsoft Access. This has long been available to the public, but this new dashboard makes that information easier to access and analyze. NHTSA encourages everyone to search for open recalls by using NHTSA’s VIN Look-Up Tool and to download the SaferCar app to stay informed on current recalls. Make sure to promptly address any open recalls. Source: NHTSA

22 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

develop foundational insights based on a nationally stratified sample. These results can be compared to the findings developed for specific organizations in order to understand how their customer base differs from the overall environment and what actions should be considered to capitalize on insights. The report provides an in-depth look at consumer expectations and market analysis findings for the

automotive aftermarket industry throughout the COVID-19 pandemic. Martec’s “Auto Aftermarket: Effects of COVID-19” report includes VMT data, vehicle usage details, figures on unperformed maintenance,

aftermarket opportunities and DIY market share trends. The majority of the segments outlined in the report are becoming increasingly DIY-focused―pointing toward a continued rise in retail and e-tail channels and DIY repairs. “Each consumer segment is approaching vehicle care differently,” said study author Emily Bielak, Martec project manager. “To succeed in capturing more market share, aftermarket suppliers and distributors need to take note of DIY [do it yourself] and IIFM [install if for me] trends detailed in our report. Trends like buying parts online versus instore likely will continue. We can examine what that means for specific value chains.” The report is available for purchase from Martec. To view key findings, the table of contents and purchasing options, visit info.martecgroup.com/automotive-aftermarket-report-covid-impacts. This study was sponsored by DRiV and Gates and supported by the Auto Care Association. Source: The Martec Group

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EV Battery Supplier to Go Public The transaction will create the first publicly-traded hybrid Li-Metal battery company that combines the high energy density of Li-Metal with cost effective manufacturability at scale. The transaction is supported by strategic investors and global automakers that include General Motors, Hyundai Motor Company and Kia Corporation, all of which have automotive A-sample joint development agreements with SES, as well as Geely Holding Group, SAIC Motor, LG Technology Ventures and Foxconn, key global automakers and battery cell manufacturers in Asia, the world’s largest EV market. Upon completion of the proposed transaction, the combined company will operate under the SES name and be listed on the New York Stock Exchange under the ticker symbol “SES.” The transaction values the combined company at a pro forma implied equity value of approximately $3.6 billion, inclusive of a $300 million earn-out, with total expected gross proceeds of $476 million, assuming no redemptions by Ivanhoe’s public shareholders. Including expected transaction proceeds and existing cash on SES’s balance sheet, SES is expected to have more than $600 million of cash at transaction close, which will help fund the company’s future growth and transition into its commercialization phase in 2025. Founded in 2012 as a spin-out

company of the Massachusetts Institute of Technology, SES operates two battery-prototyping facilities in the U.S. and China. The company’s hybrid Li-Metal battery is expected to enable the next generation of high-range and affordable EVs. The hybrid Li-Metal approach provides the superior energy density of Li-Metal via the proven manufacturing efficiencies of lithium-ion batteries. SES’s hybrid Li-Metal batteries use a high-energy-density Li-Metal anode, a protective anode coating, a proprietary high-concentration solvent-in-salt liquid electrolyte and artificial intelligence safety features that allow for greater performance and manufacturing efficiencies than today’s all-solid-state Li-Metal batteries. SES entered into its joint development agreement with Hyundai and Kia in May to develop “A-Sample” Li-Metal batteries for Hyundai’s EVs. This followed the March announcing of a joint development agreement with General Motors, a supporter of SES since 2015, to deliver a high-performance “A-Sample” Li-Metal EV battery at a new pre-production manufacturing facility in the Boston area. “We are excited to announce our partnership with Ivanhoe and Robert Friedland, both to debut as a public company and to build a long-term sustainable battery ecosystem for the auto industry,” said

CIECA Committees Seeking Volunteers CIECA’s Repair Order & Repair Status and Process Committees are being reactivated and are looking for volunteers. New chairs Chris Hall and Jim Puskas, both product managers at Entegral, invite all CIECA members to consider joining a monthly committee meeting.

The committees will focus on updating the repair workflows and documentation, determining any pain points in the industry, and working on standards that need to be updated. To be considered, fill out the form available on the homepage at www.cieca.com. Source: CIECA

Dr. Qichao Hu, SES founder and CEO. “SES’s Li-Metal battery performance has been verified by two independent third-party testing facilities and multiple automakers. “Our battery performance is industry-leading under the full range of automotive operating environment and temperature, and is capable of delivering energy density of 400 Wh/kg with fast charge capability up to 80% in less than 15 minutes while meeting cycle life and safety requirements for electric vehicles,” Hu continued. “Our partnerships with world-class automakers like General Motors, Hyundai and Kia will further accelerate the commercialization of our technology, and position our company to emerge as the leading Li-Metal battery supplier to more global automakers starting in 2025.” “We are pleased to partner with SES, and have been extremely impressed by its talented team and its superior technical, academic and manufacturing expertise,” said Robert Friedland, Ivanhoe’s founder,

chairman and CEO. “As part of our diligence, we retained several of the world’s leading battery advisors to assess SES’s approach to Li-Metal batteries as well as commissioning independent third-party testing of the performance of its technology. As a result of our review, we concluded that SES’s approach to Li-Metal batteries has led to it being the most competitive industry player today when measured by performance. “This, together with its overall economics and wide-scale commercialization plan with key automakers, means that SES is the only next generation battery technology company that will be successful in commercializing its batteries by the middle of the decade,” Friedland said. “It provides an incredibly attractive opportunity for the industry and our stakeholders to play a key role in the generation defining electrification revolution now underway.” Source: SES, Ivanhoe Capital Acquisition Corp.

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Continued from Cover

Look Like in 2035 sands, not two or three thousand, and shaving an hour here or a procedure there. These things are going to cost a lot to repair.” Other speakers agreed the repairer-insurer-OEM dynamic will change significantly by 2035.

be eliminated entirely. “Look at how you have Tesla Insurance, or Onstar Insurance from General Motors,” Spears said. “You’ll probably have a vertical that will take care of that customer much, much better than [separate companies] that don’t have the incentives to work together.” Terlep said the added cost of vehicle safety systems will have led

“It’s not always easy to conceive what’s going to happen in the future. We’re guessing at best.” — Sean Carey “One of the things I foresee has been happening outside of our country for many years,” said Frank Terlep, co-chairman of the Future Disruptions Committee. “When you buy a new vehicle in 2035, you will be getting your insurance with the vehicle. That’s going to change the model.” Jimmy Spears, a former executive at USAA who is now with Tractable, agreed the line between automaker and insurer will blur or

to more vehicles being declared total losses, with the repairable vehicle count dropping “as much as 30 or 40%.” “You’re going to have to be a licensed professional to get access to those safety systems,” Terlep added. “A lot of people don’t want to hear that, but I just don’t see the OEMs and the government releasing direct access to all the safety systems.” Committee co-chairman Jake Rodenroth agreed.

“You have to be licensed to cut hair but not to calibrate ADAS or cut panels off cars or work on electric vehicles,” he said. “That’s got to change.” Several speakers agreed by 2035, accessing OEM repair information will be less “clunky” and time consuming, no longer requiring use of multiple websites. “So in 2035, my prediction is the procedures will be living with the vehicle,” Terlep said. “You’ll be looking in the vehicle for those procedures, not on someone else’s website. The repair procedures will be presented to you based on sensors in the vehicle that will know: These areas are damaged.” Rodenroth agreed, noting collision repairers are not the only ones needing easier access to the information. “There are first-responders who need to know where they can cut a vehicle, where they can’t cut one. There are tow truck drivers who need to know how to safely tow a vehicle. They’re all in a race against time,” Rodenroth said. “They don’t have time to flip a book, or go

through an app or even to ask Siri. They need to have it easily accessible and immediate. Maybe it’s a combination of on the vehicle infotainment screen or on a handheld as they walk toward the car. But it’s got to be instant.” Also in the future, Terlep foresees more use of remote technicians, even those in other countries, for diagnosis and electronic work, given the shortage of technicians here. Rodenroth said he recommends the industry start recruiting “the tuner kids,” those who can customize a vehicle “to turbocharge it or create a bigger engine and push more fuel and air.” “They understand how the [vehicle] network works before they change it,” he said. “So when you bring them in, don’t ask them body shop questions. Ask them about how they feel about electronics and wiring diagrams, how immobilizers work and things like that. You’ll see some of them explode. I met one yesterday when I picked up a rental car. This kid was sharp. That’s the future technician right there.”

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From the Desk of Mike Anderson with Mike Anderson

Mike Anderson is the president and owner of Collision Advice, a consulting company for the auto body/collision repair industry. For nearly 25 years, he was the owner of Wagonwork Collision Center, an OEM-certified, full-service auto body repair facility in Alexandria, VA.

Use Tech to Kick ‘Timesuckers’ Out of Your Collision Repair Shop I was writing an email to one of my collision repair clients recently, and used Google to try to find a different term for “waste of time.” One of the results that popped up was “timesucker,” defined as “an activity to which one devotes a lot of time that might be better or more productively spent doing other things.” Spending time on something that doesn’t create value for you. There’s actually a noun for that. Timesucker. Who’da thunk? That got me thinking about some of the things in the collision repair industry that are timesuckers, taking up a lot of time for auto body shops. I was emailing the client because I’d been looking at some changes I’ve found in what the average collision repair business is spending on “SGA wages.” SGA stands for sales and general administration. Those are all the folks in your business who aren’t actually working on cars. Their wages are sometimes referred to as “non-productive employees,” not because they aren’t doing important work, but to separate it from the wages of technicians and those actually producing repairs. I knew from working with my 20 groups and private clients that several years ago, an average collision repair facility’s SGA wages were hovering around 10% of total gross sales, on average. From what I’m seeing now, that average has increased to between 13% and 14%. For example, a shop with $3 million in annual sales had been spending $300,000 in administrative wages, not including benefits; today, that number is closer to $390,000. That is a huge increase. I will admit the sample size I’m using to extract this data isn’t large. But regardless of the actual numbers, it’s no secret administrative costs in the collision repair industry have risen. You’re probably as aware of the reasons for that as I am. Some of it could be because insurance companies have shifted more and more

of their administrative tasks over to shops, both DRP and non-DRP. Another reason: It requires more administrative time just to research OEM repair procedures. And there are more administrative tasks involved in delivering an exceptional

customer service experience. And increases in labor rates generally haven’t kept up, so SGA wages continue to rise as a percentage of gross sales. So what should a shop owner do? Try to reduce SGA staff? It’s very difficult to try to get employees to do more with less. It just leads to stress and burnout for everybody. So what you really need to figure out is where the timesuckers are in your shop. What are things that require time that could be better spent on things that add more value? What is your team doing manually now that could be automated, that could be made easier using technology? A good place to start―I challenge the auto body shops I work with to take a new look at their management system. According to our “Who Pays for What?” surveys, more than 90% of shops are using a management system. But when was the last time you contacted the supplier of your management system and said, “Can I get some update training on this? Can you help me discover how to automate more of the things we do?” For example: Maybe you’re still calling customers to remind them of their appointment the next day. Could your system automatically send those customers a text mes-

28 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

sage reminder about it rather than your staff having to call? Maybe you’re calling potential customers who don’t schedule a repair right after an estimate. Is there a way to automate a text or email follow-up instead? When I work with a collision repair business on SGA wages, I like to start with a big easel pad or white board and ask them to write down everything they do manually so we can start figuring out if there on things on that list their management system will do for them. Ask your system provider: Are there ways I can use your software to do this task? That’s being proactive instead of reactive. Think about your parts processes, for example. Does your management system automatically show you the status of all parts, or do you have to chase this down?

If you have a designated parts person, there’s a chance he or she is spending up to half of their administrative time inputting parts invoices into the system. Does the system allow you to import a parts invoice from a vendor so you don’t have to enter it yourself? Bingo, you just knocked off 15 to 20 timesucker hours a week. How about rental car updates? Are you doing this manually, or can your management system update the Enterprise Entegral system automatically, for example? It all comes down to working smarter, not harder. In almost every collision repair business, there are timesuckers that could be eliminated using technology.

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Product Innovation

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

with Ed Attanasio

Tradiebot: New Collision Repair Training Software An Australian-based advanced soft- all over the planet, Tradiebot is suc- Simulators won’t replace inware company that develops immer- ceeding by helping people and or- structors and I-CAR probably isn’t sive technology solutions for training ganizations to perform a wide range going to hire robots to teach clasand informationwith delivery in theLedoux auto- of tasks―from applying primer to a ses―yet―but augmented reality is Gary motive and trade sectors has been fender all the way to plastic and me- here to stay because it’s effective getting rave reviews from students tal welding techniques. and easy to integrate into any traiand teachers worldwide. ning program. Tradiebot, founded three years Training on a virtual ago, develops cutting-edge systems system has proven to be using technology like augmented rehighly effective in many inality and virtualwith environments. Thedustries. Today, bus drivers Stacey Phillips can learn their routes via se systems are integrated seamlessly augmented reality systems, with automotive businesses such as so your kids won’t be late auto body shops, car rebuilders/custo school, and doctors now tomizers and large collision repair Students and trainees can learn collision repair techniques practice on virtual patients centers. from their smartphones and other personal devices while in order to improve their The company has partnered with using Tradiebot skills and techniques. some key industry players including with Anderson Beth Rutter, Tradiebot’s di- Tradiebot can provide training universities, schools andMike government bodies to develop industrial innovati- rector of industry and customer en- for anyone who works in an auto on and digital transformation through gagement, North America, can see body shop, but currently its main foits training platforms. a future where schools or training cus is developing virtual reality pro With an enormous need for new facilities rely almost exclusively on grams to train entry-level refinish technicians, as well as augmented talent in the collision repair industry immersive training.

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From the Desk of Mike Anderson

Tesla, Volvo Among 5 Carmakers Under NHTSA Investigation for ADAS Crashes by Joey Klender, Teslarati

Tesla, Volvo, Cadillac, Lexus and Navya are five car companies under investigation by the National Highway Transportation Safety Administration (NHTSA) for crashes that occurred while Advanced Driver Assistance Systems (ADAS) were activated, the agency said. The NHTSA released a list of 36 total accidents that occurred in the U.S., dating back as far as June 2016. Of the 36 accidents, 30 involve Tesla vehicles. Not all of the Teslas listed were using Autopilot, however. Three of the Tesla cases listed are described as “Electric Vehicle-Not in Autopilot,” according to the list the NHTSA provided to Teslarati. Additionally, one incident hasn’t been confirmed as to whether or not a Tesla Model S used Autopilot at the time of its crash. Five accidents are listed as “More Over Law Special Study,” while one is listed as “Heavy Truck Underride.” The NHTSA did not provide a statement.

Tesla’s Autopilot systems, despite being proven through statistics to make vehicles nearly 10 times less likely to be involved in an accident compared to a human driver, are still widely considered controversial by many who have not experienced the system. Autopilot is not fully autonomous, and Tesla has never claimed its vehicles should be operated without the driver paying attention to road conditions or surroundings. However, the company has implemented several safety features to ensure drivers are paying attention during the use of Autopilot or the Full Self-Driving suite. On the list are several notable recent accidents, including the Model S crash in Texas in April that killed two after catching fire. The NHTSA already performed a preliminary investigation on the accident and determined Autosteer could not have be engaged where the accident took place. The NHTSA said: “The vehicle was equipped with Autopilot, Tesla’s advanced driver assistance system. Using

32 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

Autopilot requires both the Traffic-Aware Cruise Control and the Autosteer systems to be engaged. Two NTSB tests of an exemplar car at the crash location showed that Traffic-Aware Cruise Control could be engaged but that Autosteer was not available on that part of the road.” Another accident, listed as “Heavy Truck Underride,” involved a Model Y in Detroit. Despite the local police department stating reckless driving was the likely cause of the crash, the NHTSA is still investigating the accident. Volvo is among the other manufacturers on the list, with a March 2017 and a March 2018 accident involving its XC90. The 2017 accident resulted in minor injuries, while the 2018 incident was fatal to the passenger. The XC90 was using ADAS during both accidents, the NHTSA chart says. The Lexus RH450H, the Cadillac CT6, listed twice, and the Navya Arma were also all listed with ADAS case types, but all of these vehicles had no injuries due to the accidents.

reality technical information systems and a robotic 3D printing headlight Repairbot. As the world enters the age of electric vehicles, Tradiebot is prepared to be on the cutting edge when it comes to all of the associated training that will be required. “We can use virtual training for anything you can imagine, and with all of the processes associated with EVs, our solutions are ideal,” Rutter said. “We can train someone in every aspect of this industry, including auto diagnostics, estimating, aluminum repair, plastic welding and OE repair procedure, in some cases. Our systems work especially well when techs are trained for repetitive tasks.” A 2019 study on the use of virtual reality (VR) training for soft skills by professional services from See Collision Repair Training, Page 44

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June CIECAST Explores Future of AI in the Collision Repair Industry by Chasidy Rae Sisk

Artificial intelligence (AI) isn’t just a vision for the future―it’s here now, and as it becomes more prevalent in the collision repair industry, auto body shops need to prepare to navigate its integration into various technologies, or risk being left behind. During the June CIECAST, “The Future of AI in the Collision Industry,” Driaan du Toit, vice president of business development at Solera, and Evan Davies, Solera’s chief technology officer, shared insights on the ways AI is currently used in the collision repair industry, as well as its future uses. “We all know the world has changed significantly over the past few years, and so have the vehicle and collision industries,” du Toit began. “Innovation is rapid, and consumer needs are requiring and driving rapid changes, including automation in the repair and claims processes.” The COVID-19 pandemic impacted collision repair, even as the industry’s dynamic has been altered by increased vehicle complexity, including ADAS, autonomous vehicles and electric vehicles. All these changes require body shops to have differently qualified staff and calibration equipment and capabilities, du Toit noted. “Body shops and insurers must ensure accurate and safe repairs, according to standards, and these repairs, procedures and standards are increasing as equipment becomes more complex on a day-to-day basis,” he said. Technological advances create a collision repair industry ripe for AI, du Toit believes. The digital experience is convenient and fast for policyholders, resulting in predictable outcomes. For insurers, AI-assisted decisions aid with early determination of severity and accurate, consistent assessments, while shops using AI-assisted tasks increase billable hours and deliver better customer service. “Differentiation is key to survival for body shops,” du Toit said. Consumers are ready to adopt AI in the claims process. According to research conducted by Coleman

Parks and commissioned by Solera, 72% of consumers desire a fully automated AI claims and repair experience, while 83% would trust automotive claims driven by AI. More than three-quarters of consumers

viding appropriate repair procedures and data for verification and guidance. Technology helps make the decisions and allows the technician to focus more on the execution of the repair. The end goal for the body

would favor body shops offering more digital channels to quote, book and track repairs. “The consumer demand is relentless […] Automated and digitized workflows is no longer a wish for the consumer of the industry, but reality and actively being utilized today,” du Toit said. “And this data is a strong indication the market is keen to embrace a modern AI driven claims workflow.” Body shops benefit from digital adoption with faster cycle times, improved productivity and better customer service. According to du Toit, AI-driven processes also “drive efficiency and higher margins. Shops are increasingly pressured to have skills and capabilities to deal with more complex repairs and consumer demands towards automation. “The main benefits body shops can attain through implementing AI-driven technology in their businesses are faster cycle times across the repair process, as well as enhanced customer communications,” du Toit said. “Shops also enjoy productivity improvements because AI guides technicians through the appropriate repair procedures and minimizes the requirement for researching appropriate procedures. It helps employees in a body shop do the right thing without having to spend hours figuring out what that right thing is.” Alluding to the lack of skilled technicians entering the collision industry, du Toit pointed out AI-driven technology “lessens the burden for experience and knowledge by pro-

shop is to repair more vehicles and to be more efficient in doing so. “My guidance to body shops and MSOs is to embrace this technology today, or face the danger of being left behind.” du Toit examined how Computer Vision enables photo estimating in the claims process, providing an opportunity to bring speed and con-

34 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

sistency to the damage estimating process through scalable technology that can be trusted. An automated line-by-line estimate can be generated within a few minutes after photos of the damaged vehicle are submitted. Machine learning detects damages from images, removing subjectivity and increasing consistency. Insurers use AI technology to “enhance the decision making at first notification of loss in terms of triage, ensuring that total losses do not enter the repair workflow,” du Toit said. “The most relevant benefit for a body shop appraiser is the ability to go to the intake yard, take photos and obtain a line-by-line, detailed estimate in less than three minutes, a significant reduction in the time and skills required by a repair shop appraiser to complete and submit an estimate, taking less than 10 minutes on average.” du Toit recommends using AI “to validate and justify the appraisal already received from the insurer to make sure you’re not missing any actions, procedures or labor

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times. This will significantly reduce cost to deliver against the ‘new normal’ whilst driving significantly improved customer experience and customer satisfaction ratings. Body shops want to repair more vehicles, and by implementing this technology, you’ll have that opportunity. “The benefits for body shops and MSOs are vast,” du Toit added, suggesting a digital platform with enhanced automation, which allows for seamless interaction between all parties, is “the holy grail” and leads to accurate, consistent outcomes. “Body shops and MSOs that embrace this in their processes will most certainly lead and probably win this race,” he said. Looking at next-generation AI, Davies explained the objective is “to automate the claims management process as much as we can, and to do so in the appropriate way, by using advanced AI algorithms […] which allow us to enable human-level decision making and provide insights and information that can predict and project the direction of where a claim should go. By doing so, we can increase the efficiency and accuracy of

the claims workflow process.” The meta data collected through Computer Vision flows into the decision-making process of how to best create a dynamic workflow based on consumer needs and behaviors, which can be further augmented with more information about the vehicle itself. “Advanced AI algorithms allow shops and insurers to utilize information obtained during the claim initiation to flow into the decision-making process to create a dynamic workflow,” Davies said. “The outcome of AI across its entire life cycle will result in increased renewals, increased cash out settlements, reduced leakage, improved margins, auto authorization, increased straight through processing and claims auditing.” AI assists shops in determining the way to “best understand how to provide that decision-making for the best outcome of our consumers, our insurers and the body shop in that entire life cycle itself,” Davies said, as he discussed collision repair industry trending towards EVs and AVs, which are “highly specialized vehicles that require special skills and information.”

“Start embracing and implementing this technology,” du Toit said. “Body shops will be allowed to focus more on executing repairs and less on the administration around estimating in the future. There will be less need for skills and experience as many things will be driven by the machine. Insurers will adopt AI driven workflows, and this will be the new normal. “Don’t fight it; embrace it! Humans will always be required to teach the machine and verify its results, but the need will become less as the AI gets smarter. Human interaction will be more focused on the outliers and more complex and sophisticated processes. “The willingness to adopt and implement AI has increased significantly,” du Toit concluded. “The demand is real. The change is real. And it’s here today.” A replay of the June CIECAST is available online.

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Chrysler Top Ranked for EV Car-Shopping Experience Stellantis NV’s Chrysler brand ranked highest in the 2021 Pied Piper Omnichannel PSI® for Electric Vehicles (EVs) Auto Industry Study. The study answered the question, “What happens when EV customers shop for a vehicle by first visiting the brand’s website or a dealership website, and then visiting a dealership in person?” BMW was ranked second of the 21 battery electric or plug-in hybrid EV brands evaluated, followed by BMW’s Mini brand. How customers shop completely changed in the late 2000s with widespread acceptance and use of smartphones. More recently, brands that traditionally relied only on in-person sales have embraced new online digital retail tools. For the auto industry this has meant the appearance of “Buy Now” or “Buy from Home” buttons on brand and dealer websites, along with other online digital retail tools like inventory search, payment calculator, trade-in value estimator, test-drive request and others. Source: Pied Piper Management Company

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Industry Insight with John Yoswick

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

GM Scales Back Post-Crash Inspections Requirement for Collision Repair Shops

Shop Showcase

General Motors recently rolled out be replaced; if not deployed, a via significant overhaul of the vehi- sual inspection of the module cover cle inspections it calls on auto body is sufficient, provided no “deformawith Ed Attanasio shops to perform post-collision, say- tion, distortion or indentations” are ing the changes in no way compro- seen. mise safety. There is also additional infor The automaker previously had mation from GM’s engineers about a long list of such inspections it re- many of the inspections, such as quired “after any collision,” includ- what to look for during visual ining inspection ofwith the steering wheel spections of different components. Ed Attanasio

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SEMA Show Goes On with Ed Attanasio

the needed vehicle repair procedures such as scanning or calibrations. “This is simply talking about what you should be inspecting during the repair process,” he said. “It is only part of the process. It doesn’t replace any of the other requirements we may have.” Eck was also asked about the issue of insurers refusing to pay for the post-crash inspections GM calls for. “It’s a touchy issue for me as an OEM. We’re not the ones paying the bill,” Eck said. “The repairers are the ones doing the work. Our job is to provide all the content and all the information necessary for the repairer to say, ‘This is what I need to do to repair the vehicle properly, safely, and to make sure it’s ready to go back on the road.’ And he should get paid for the work that is necessary for that to happen. But it’s hard for

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General Motors now says most post-crash safety inspections are necessary only after “any collision that exceeds minor outer body panel cosmetic distortion.”

with Ed Attanasio

and column, the instrument panel Given only a seat belt inspecmounting points and brackets and tion is required in the event of colliseat mounting points. sion repairs that involve only “minor It now says most inspections outer body panel cosmetic distorare necessary only after “any colli- tion,” Eck was asked to clarify what sion that exceeds minor outer body types of repairs that might include. panel cosmeticwith distortion.” “If you’re looking at just the StaceyThis Phillips eliminates the need for some “pret- front quarter panel, no mounting ty invasive” steps, said John Eck, brackets or no structural support collision manager for GM, in a we- brackets are damaged,” Eck cited as binar about the changes, like “re- an example. “Or a fascia that might moving the headliner or…dash, or be cracked but the bumper bars armeasuring a steering en’t damaged and there’s no airbag withcolumn, Staceywhen Phillips all you’re doing is replacing a fascia deployment. Or that side mirror that without any structural repair.” comes off backing out of a garage.” One exception: GM wants “ev- A dime-sized dent on a rocker ery seat belt of every [GM] vehicle panel? “A rocker panel is not a cosmetinspected every time” a vehicle is in ic outer body panel,” Eck said, meanfor repairs, “regardless of the [crash] ing safety inspections must be done. with Stacey Phillips severity level or what’s being done” The document applies to all to the vehicle. GM vehicles, though it has been When damage is more than integrated into GM’s online repair “minor outer body panel cosmet- procedures only for 2021 and 2022 ic distortion,” GM has a list of the models so far. Use the search term “unrelated components that could be “inspection” to find the document subject to damage” for Stacey which further in GM’s online system for those with Phillips inspections are needed. vehicles. Until it is integrated with For each of these, the new doc- the repair information for older veument lists different steps necessary hicles, it can be downloaded at the based on whether there has been an www.genuineGMparts.com webairbag or pretensioner deployment. site. If a front airbag has deployed, for Eck emphasized the inspection example, the steering wheel must document in no way replaces any of

us as an OEM to step in the middle of a conversation about a transaction that is happening between the repairer and the insurer.” He said he hopes insurers see the revised post-crash inspections as “a reasonable approach without compromising safety.” He also said vehicles continue to change, and the excuse of “Well, we’ve never paid for that in the past,” shouldn’t apply. “It’s what should we be doing now with what we have and what we know and what these vehicles are expected to do and perform relative to protecting the occupants inside and [pedestrians] outside the vehicle,” Eck said. GM acknowledged last year that among 17 automakers, it and Subaru were the only two that required extensive inspections following any collision, regardless of severity.

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Art, Innovation and Car Design Collide in the Life of Michael Santoro Landing a job as a car designer with Chrysler at 21 was unheard of. I think everyone can agree a well-de- As the new kid on the team, Santoro signed car is a piece of art, like a Do- was able to bring a young and fresh natello or a Rodin. perspective to everything he worked While it’s true automobiles on for the carmaker. are created to transport people and “I knew that this was a great opthings, that doesn’t devalue their portunity and a dream job,” he said. design or aesthetic appeal, which is “You have a better chance of playing why some call them “sculpture in in the NFL than you do becoming a motion.” professional car designer in the United States, so I was A vehicle starts out as excited to get a chance.” a series of illustrations that Santoro was able to see eventually become a clay sculpture. Throughout the a car design team in action process, a wide variety of and learned as much as he sometimes conflicting pricould. orities must be considered Michael Santoro “Within a given studio, when creating a car design. of San Diego, CA, is each designer creates his or These include the needs of a former automo- her own proposal. You’re tive designer and the driver and passengers, inventor competing with your cowho now the ability for the design teaches car design workers for the opportunity for your design to go into to be manufactured and the and oversees his hopes and dreams of the de- company MacCase, production.” the creators of the signer who created it. Most production proApple-specific case Michael Santoro of grams are on four-year cymarket San Diego, CA, is a forcles. Once the vehicle is in mer automotive designer who now production, they will normally do teaches car design. He founded and a facelift every two years, at which oversees a company making Apple point they will do things like tweakaccessories, which has met with ing the front and rear fascia or addhuge success, and is also a high- ing new wheel options. ly-respected artist known for paint- For a car’s exterior, designers ings of his favorite Formula One work with industrial sculptors to drivers, including Niki Lauda and create full size models in clay over Ayrton Senna. a wood and foam structure. Once A native of New York City, San- the model is complete, it’s presented toro graduated from the world-re- to upper management, who choose nowned High School of Art & De- from the various proposals presentsign, where he was a member of ed. the first-ever industrial design high In this case, it was Chrysler school program in the country. CEO Lee Iacocca and Vice Chair After graduating from Pratt In- man Bob Lutz, among others. For stitute with a bachelor’s degree in the Cirrus/Stratus program, eight industrial design, Santoro was ac- full-size clay models were done. The cepted as the first-ever post-gradu- board liked Santoro’s design for the ate design intern at Chrysler Corpo- Cirrus and it went into production, ration where, upon completion, he eventually chosen as the 1995 Car of received an offer to join the staff. the Year. Santoro spent six years as an Did Santoro get a bonus when automotive designer at Chrysler, he and his team received the highly where he created the groundbreak- prestigious award? ing cab-forward exterior design “No, but I got to see my design of the 1995 Car of the Year, the made real and put into the world. first-generation Chrysler Cirrus and That’s a happiness no one can ever its sister vehicle, the Dodge Stratus. take away.” Before leaving Chrysler, Santoro When a car is created, a series penned the 1996-2006 Jeep Wran- of safety features are integrated into gler, bringing it back to its iconic the design with a goal of protecting roots while pushing it forward into the inhabitants while still looking cool. the new century. by Ed Attanasio

38 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

“Much of what we made was predicated on how to mass produce it and whether or not it was safe,” he said. “We were always made aware of it and communicated with engineering on a regular basis. “We also had to look at any design from a collision repair perspective. When the car gets in a wreck, how will the technician be able to fix it? Will they have to remove a lot of parts to do the job? What are the replacement costs? These are the things that any design team has to keep in mind all the time.” Fewer parts mean easier and less complex repairs while saving money, Santoro said. “We concentrated on using fewer parts with a focus on things like fit and finish, as well as making everything lighter and more aerodynamic. If a bumper assembly consists

including the Lamborghini Jota show car. They made a grand total of 14 Vectors with 12 still in existence, which means you might see one occasionally at a SEMA Show, for example. In 1999, Santoro took his skills designing cars to create the MacCase, the company that would produce the world’s first Apple-specific case. It was an instant success and lauded for its originality and custom fit. MacCase now features the Premium Leather Collection and ships to Apple users worldwide. Santoro’s painting career began when he was only 17 in New York City. “I did a drawing and took it to a local gallery called l’art et l’automobile and the owner, Jacques Vaucher, encouraged me to do more,” he said. “That piece sold quickly and pretty soon Jacques was asking for more art. It was pretty cool to be a successful artist in New York as a teenager!” Santoro’s career as a car designer has been written about in publications like AutoWeek, Automobile, Road & Track, The Detroit Free Press and Car Styling. Santoro is also well-known for creating amazing exteriors He was also featured in a for race cars New York Times article in of nine parts as opposed to 20, for 1994, “The Designers Who Saved example, the replacement cost will Chrysler.” be lower and the repair logically will Santoro has also been a part of be easier when it goes into the body student design reviews at the Colshop.” lege for Creative Studies in Detroit, After six years with Chrysler, MI, and Art Center College of DeSantoro returned home to New York sign in Pasadena, CA, as well teachCity, where he went from designing ing transportation design at Pratt Inautomobiles to airplanes, as a con- stitute in New York City. sulting designer for Walter Dorwin He currently teaches two coursTeague, America’s oldest design es, Introduction to Automotive Deconsultancy. There he worked on sign, Professional Techniques, Tips, numerous programs including cre- Tricks and Secrets for the Aspiring ating conceptual design interiors for Car Designer and Automotive DeBoeing Aerospace and the produc- sign Level 2, both of which are curtion interior for the Gulfstream G5 rently available on Udemy.com. aircraft. After two years in that position, Santoro returned to automotive design work, as a consultant working SUBSCRIBE TO OUR on the Vector M12 supercar and YOUTUBE CHANNEL: Vector M12 “American Anthem” show car shown at the North AmeriAutobody News can International Auto Show. Additional projects followed,

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Americans Cut Driving Nearly in Half in Early Stage of COVID Crisis The COVID-19 pandemic and associated restrictions in the spring of 2020, such as stay-at-home orders, led to a drastic drop in U.S. road travel and a sharp increase in the number of people who chose to stay home all day. While the dramatic change in traffic patterns was widely noted last year, new research from the AAA Foundation for Traffic Safety’s New American Driving Survey (2020) provides compelling month-by-month data that examines the types of trips and the characteristics of the people who altered their driving habits. According to the research, the average number of all daily personal car trips plunged 45% in April 2020 and 40% for trips by all modes of transportation combined. The dip in travel moderated later in the year but remained below 2019 levels. “The COVID-19 pandemic has had a profound impact on our commute habits and patterns in the United States,” said Dr. David Yang, executive director of the AAA Foundation for Traffic Safety. “Findings based on our survey data provided some contextual information to understand better how this unfortunate event has affected the way we travel.” Daily trips for all modes of transportation fell from an average of 3.7 trips per day in 2019 to 2.2 trips in April 2020, before slightly recovering. After abruptly decreasing in April 2020, daily trips by U.S. residents rebounded somewhat in May and June and then remained at approximately 20% to 25% below their 2019 levels during the second

half of 2020. The survey results show early in the pandemic, reductions in travel were most substantial among teens and young adults (ages 16–24) and among those ages 65 and older. But later in 2020, reductions in travel were more uniform across various age groups. Other key findings: Daily Car trips: (as a driver or passenger) fell from 3.2 pre-pandemic to 1.8 in April 2020, before rebounding slightly to 2.6 trips for the rest of the time period. All travel by any mode: Daily trips in April 2020 by people living in urban areas dropped 42%, versus 25% for their rural counterparts, before leveling off to a 20% to 30% reduction in both groups for the rest of the survey period. Travel by transit, taxi or rideshare: The proportion of people who reported making any trips by transit, taxi or rideshare plummeted from 5.5% pre-pandemic to 1.7% in April of 2020, before leveling off at approximately 2.4% for the remainder of the year. Commuter Travel: Work-related travel by all transportation modes dropped by 40% in April 2020, likely reflecting a mix of layoffs, job losses and telecommuting. Commuting trips made by workers on days when they worked decreased by approximately 22% relative to pre-pandemic levels as well. In the following months,

commuting trips returned to approximately 26% below pre-pandemic levels among the population as a whole, likely due to increases in the proportion of Americans who were working. Commuting remained approximately 25% below pre-pandemic levels among workers on days when they worked, indicative of continued widespread telecommuting. Staying At Home: The percentage of the population who remained in the same place all day fluctuated between 9% and 14% before the pandemic but increased to 26% in April 2020, before stabilizing at levels slightly higher than those before the pandemic for the remainder of the year. The proportion of respondents who stayed in the same place all day quadrupled among those with the highest levels of education (from 5% in the second half of 2019 to 21% in April 2020), whereas it doubled (from 15% to 30%) among those who did not attend college.

The National Institute for Automotive Service Excellence (ASE) has added a new Spanish language option to its ASE.com website. By clicking on “English” in the lower right corner of the homepage, visitors to ASE.com can select “Español” as their preferred language. The Spanish-language option features the same easy navigation and helpful information as the English version, including how to

prepare for, earn and maintain ASE certification. Earlier this year, ASE announced it had expanded the number of test offerings with Spanish-language translations to include all of the auto series certifications tests (A1-A8), as well as the G1 auto maintenance and light repair certification test. Source: ASE

AUTOBODY

40 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

Despite fewer cars on the road and more people staying home, the National Highway Traffic Safety Administration (NHTSA) recently estimated 38,680 people died in motor vehicle traffic crashes in 2020---the largest projected number of fatalities since 2007. It is an increase of about 7.2% over 2019. “It’s counterintuitive to see the rate of traffic deaths spike when so many of us were driving less often,” said Jake Nelson, AAA’s director of traffic safety advocacy. “As the U.S. climbs out of the COVID-19 pandemic, highway safety officials will need to double down on curbing speeding, substance-impaired driving and failure to buckle up.” Source: AAA

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Marital Status: The percentage of married people staying home nearly tripled from 8% in 2019 to 22% in April 2020, versus 12% and 29% for unmarried people. The numbers for both groups remained elevated over pre-pandemic levels for the remainder of the year.

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*Kia Genuine replacement parts sold but not installed by an Authorized Kia Dealer are covered for 12 months from purchase date, regardless of mileage, for the part only, and any labor charge is the consumer’s responsibility. autobodynews.com / AUGUST 2021 AUTOBODY NEWS 41

Strategies to Help Auto Body Shops Navigate the Semiconductor Microchip Shortage by Chasidy Rae Sisk

The global semiconductor microchip shortage has been impacting vehicle manufacturing for the past year, but as the shortage persists, some experts anticipate its effects could be felt by the collision and automotive repair industries in the second half of 2021, potentially causing delays in cycle time as replacement parts become less available. Although collision repairers cannot control disruptions in supply, Jade Terreberry, director of dealer sales analytics at Cox Automotive, offered “7 Strategies for Navigating the Chip Shortage” during a recent educational webinar, presented by Autotrader and Automotive News’ PowerTraining. Moderator Terry Kosdrosky, audience engagement and social media editor for Automotive News, welcomed attendees and introduced Terreberry, who promised to identify “opportunities in areas where you can focus in the coming months to drive strategy, precision and accuracy to meet your goals. We’re going to cover seven very specific strategies, but the message is bigger than that.” Identifying the cause of the microchip shortage as “continued aftershocks of the pandemic,” Terreberry said, “A year ago, we couldn’t say how big this supply and demand imbalance situation would become, but we also know this industry is tough, and it’s gritty, and it’s smart, and we always use technology to change, adjust and really catapult us into the future. “If you think about the disruptions [in the past] that created global supply chain issues, we always make it through,” Terreberry said. “Not only do we make it through--in this industry, disruption is truly the catalyst that helps us change and find better ways to be more efficient and smarter to meet our consumers’ needs in better ways to ensure that we have a multi-pronged revenue stream approach to our businesses[…] We’re going to talk about driving our business into the future.” Before exploring the strategies, Terreberry emphasized the importance of auto body shop owners un-

derstanding the market, where their those and then gives you the ability ent things. If you’re not using that business is today and where they to work quality leads and spend your data to decision make, promote, optime doing quality things is more timize and determine where to spend want to be in the future. Shops only want three things: important than ever.” your time, you’re not using the data to make more money, to sell more Shops that want to make more the right way. But your competition orders and to create loyal, lifetime sales, increase profitability and es- is using it correctly, and that’s how customers, and every action taken tablish a loyal customer base should they’re finding that edge on you, day by the business should be designed “measure everything to be efficient by day.” with your time and your money,” Collision repair facilities, serto drive those direct outcomes. Terreberry said. This means vice shops and dealerships should It’s easy to “get caught “keeping your funnels full, also “be nimble and be aware. Conup in a lot of the minutiae of feeling like we are but using technology to sumers don’t stop wanting or needdoing things to move the your advantage and being ing their cars when there’s a chip needle within our business, laser-focused. For those shortage,” Terreberry said. “Use the but if we can’t measure of you that have used re- full picture of everything at your how it drives those direct porting, whether that’s in fingertips to make decisions. Be laoutcomes, we cannot be your CRM or whether that ser-focused with your time, and plan Jade Terreberry focused on it today,” Terreis in Envision, or within a your work.” berry said. “We have to stay focused third-party data aggregator’s tools to Terreberry offered additional adunderstand what’s working or what vice to dealerships related to streamon our goals.” Acknowledging the disruption not, I want to challenge you to take lining inventory acquisition to disvaries by industry segment, Terre- that one step further, because of the posal strategy, reimagining certified berry insisted each impacted seg- current market conditions. pre-owned segments and extending “And that one step further slow-moving inventory beyond the ment requires a specific strategy. “We have to be efficient with means using the data that exists there immediate market. the dollars we spend, we have to be to look in the rearview mirror, to tell She also discussed the imporextraordinarily careful and we have a performance story or to measure tance of focusing on fixed ops, notto understand what’s working and an ROI equation,” she said. “Today, ing, “Fixed operations [is] the most what’s not,” she said. “Ultimately, you have to look at so many differ- stable segment of revenue that you the market is different by the day, and consumer demand is also different. We know that these supply chain constraints are out of our control, but we have to focus on some of the things that are in our control for us to be able to close the gap and just focus on our market share. Supply chain constraints are out of our control, but how we handle them isn’t.” Terreberry offered several strategies for dealing with the microchip shortage that body shops may find useful. “Not all personalization is creChoose Original MINI Parts. ated equal. You cannot be everywhere all the time. This is quality Michigan Ohio over quantity messaging,” she said. “We believe our clients understand MINI of Grand Rapids Classic MINI data, want to use data and want to be Grand Rapids Willoughby Hills as efficient as they possibly can. So, 888-708-1359 440-585-9990 Parts we really started focusing on grow(616)-452-1101 Fax (440) 347-9723 Fax ing this audience. miniofgrandrapids.com M-F 7-6; Sat 7-3 “Our biggest competitive difclassicmini.com ferentiator is the amount of data we have and our ability to […] be able to translate that into a consumer exThe Dealers Above Are Original perience, and into consumer adverMINI Parts Distributors tising that captures those folks at the right place in the funnel, drives ©2021 MINI USA, a division of BMW of North America, LLC. The MINI name, model names and logo are them back to our experiences, gives registered trademarks. them the ability to navigate through

42 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

can have within your organization today. We all know people just started using their vehicles more. We expect to see more and more people return to the office place, but right now, 43% of consumers are saying that they plan to put more miles on their cars on 2021 than they did in the years before the pandemic, and 41% of consumers have told us that they have summer plans and are planning on using their vehicles to get there, versus other methods of transportation. “And so, we’re seeing this steady increase of consumers visiting [the Kelley Blue Book] Service and Repair Guide. Just this year alone, over 9 million service shoppers have gone to the service and repair experience, indicating that people are not only hitting the roads again, but that they have a different expectation and a different way that they want to interact than they ever had before.” Terreberry recommended businesses set specific goals around each strategy that it chooses to implement, but she also stressed the importance of considering conversion.

“Are you converting consumers into transactions?” she asked. “Sadly, not everybody is going to succeed, but ultimately, the market share and measurement of your success in today’s environment from a multi-pronged profitability perspective is what is going to help you navigate through […] database decisions that you can make to streamline in those areas and start moving the needle, and to streamline our processes and to train our people on how to meet consumers where they want to meet us with the experience that they want to have, because if you don’t, somebody else will.”

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GM Recalls 410,000 Trucks with Dangerous Airbag Inflators by David A. Wood, CarComplaints.com

More than 410,000 Chevrolet and GMC trucks are recalled because the roof-rail airbag inflators could rupture. Some of the trucks were recalled in December 2020 for the same problem, and this latest recall supersedes the previous recall. Included in the recall are 2015-2016 GMC Sierra 1500, 2500 and 3500 and Chevrolet Silverado 1500, 2500 and 3500 trucks that may have roof-rail airbag inflator end caps that may detach from the inflators. It’s also possible the airbag inflator sidewalls may rupture. The roof-rail airbag inflators are located above the headliners and may contain defects that cause the separations of the inflator end caps or splitting of the inflator sidewalls. The automaker says compressed gas will escape from the inflator, and the end cap or possibly other components can be launched into the vehicle and injure truck occupants.

GM says corrosion inside the inflator may occur from moisture because of how the supplier manufactured the inflators, and the problem can worsen in high temperatures. Three roof-rail inflators ruptured in 2015 Silverado trucks in June, one in Florida and two in Texas. The trucks weren’t occupied when the inflators exploded, and in all three cases the steel inflator sidewalls split open and released gas stored in the chambers. This was enough to convince General Motors to order the truck recall. General Motors dealers will replace both front roof-rail airbag modules. Interim owner recall letters are expected to be mailed Aug. 16, then truck owners will receive second notices when replacement parts are available. GMC Sierra and Chevrolet Silverado owners may contact GMC at 888-988-7267 or Chevrolet at 800-222-1020. GM’s recall reference number is N202324251.

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Continued from Page 32

Collision Repair Training Price Waterhouse Coopers discovered when compared to traditional training methods―self-paced online learning and classroom education― VR simulations helped employees become more confident in their ability to perform their jobs, taught them faster and created a stronger emotional bond to training content. They compared the three main forms of learning―classroom, elearning and VR training―and found people retained the imparted information more effectively using VR. Tradiebot’s smart platforms can fast-track training and hiring, which is more valuable now than ever due to a lack of a skilled and experienced workforce in collision repair, for example. “The global manufacturing industry is undergoing a transformation with how work is to be done. We need to be smarter, faster and more agile to accommodate the rapid changes in market demand,” ac-

cording to a company press release. “Tradiebot is developing the technology to adapt, repair and rebuild. Our systems bring knowledge and mastery of skills to your fingertips with a tap on a touch screen. Design detail and sophisticated machines

They’re able to absorb the data more quickly and remember it longer, as well as practice without experiencing anxiety. “By using our systems, students are able to see it, hear it and do it, and by doing all three, they are able

Making learning fun and less stressful, Tradiebot will hopefully attract new skilled professionals into the body shop world as a result

will take the time and tedium out of even the most complex preparation and repair processes.” By using Tradiebot, job candidates can hit the ground running as opposed to learning on the job.

to retain the information at approximately 90%,” Rutter said. “Since studies claim that people retain 5% of what we see one hour after it’s presented and roughly 30% after reading it, you can see that the in-

Cadillac SRX, Saab 9-4X Recalled Again for Toe Links by David A. Wood, CarComplaints.com

A General Motors rear toe-link recall has been issued a second time for 2010-2016 Cadillac SRX and 2011-2012 Saab 9-4X vehicles. More than 380,000 vehicles are recalled because the rear suspension toe-link adjusters may not have been tightened properly. Owners are warned to not drive their vehicles if they experience any of these warnings: • Service Traction Control message • Service Stabilitrak message • Stabilitrak warning light stays on or flashes intermittently • Service Rear Axle message • Chimes in combination with warning messages • Sway or wander while driving • Loud metallic or other unusual noise from the rear suspension • Off-center steering wheel • Uneven wear between the rear tires A customer who experiences these warnings should have the vehicle towed to a GM dealership. GM recalled 2010-2015 Ca-

dillac SRX and 2011-2012 Saab 9-4x vehicles in September 2014 because the jam nuts in the rear toe-link adjusters may not have been torqued to specification. GM dealers were told to inspect the toe links and increase the torque or replace the toe links if they were loose or damaged.

After the 2014 recall GM received reports of loose toe links in vehicles that had been repaired, so the automaker checked dealer repairs and determined some dealers had failed to follow instructions. GM revised the service procedures and also made them available to independent repair shops. GM further updated the service information in October 2020 to instruct technicians to always

44 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

replace the toe links rather than adjusting them after an alignment or other service. Then in November 2020, the National Highway Traffic Safety Administration (NHTSA) opened an investigation into toe-link problems on 2010-2015 Cadillac SRX SUVs. At least nine SRX owners said the rear toe-link adjusters separated in vehicles that had been repaired during the recall. On June 7, NHTSA informed GM it had received additional toelink complaints and the problem was severe enough to conduct another recall. All the vehicles recalled in 2014 will need to be repaired again. Dealers will replace the adjustable toe links with non-adjustable toe links once owner recall letters are mailed Aug. 9. Cadillac SRX customers may call 800-458-8006 and Saab 9-4X customers may call 800-9559007. GM’s recall reference number is N212340980.

crease in retention is significant with VR.” Another big part of the Tradiebot approach revolves around the fact it’s done everything it can to make all of its training modules fun and engaging in order to create a comfort zone to promote learning. “When the user puts on their gear and jumps into the paint booth, they are intrigued, and once they realize that it’s fun, they are less anxious and more open to learning,” Rutter said. Will Tradiebot help get more young people interested in becoming collision repair professionals by making training easier, more hands-on and fun? “If you look at it, the collision repair industry doesn’t do a lot to attract new talent, by starting them out at minimum wage and in many cases, saddling them with major debt from student loans,” Rutter said. “But, if Tradiebot can get students interested in learning through full immersion and virtual reality, the future for this industry will get a much-needed boost with a fresh and skilled labor force.”

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autobodynews.com / AUGUST 2021 AUTOBODY NEWS 45

AAPEX 2021 Opens Nominations

LKQ Corporation’s Elitek® Vehicle Services Expands into Remote Automotive Diagnostics and Programming

AAPEX is now accepting nominations for the second annual Shop Owner of the Year, Service Advisor of the Year and Technician of the Year awards. The awards recognize and elevate the essential services that auto repair professionals provide to keep the world’s 1.4 billion vehicles on the road. Nominations are due Sept. 1 and should be submitted online at www.aapexshow.com/serviceawards AAPEX 2021 will take place Nov. 2-4 at the Sands Expo and Caesars Forum Conference Center in Las Vegas. An independent panel of shop owners and industry leaders will select the award recipients. AAPEX will announce and honor recipients of the three prestigious awards Nov. 2, during the Keynote Session at this year’s in-person event. The AAPEX Service and Repair Awards were established in 2020. Source: AAPEX

Effective June 22, Elitek Vehicle Services, LKQ’s diagnostic services business, is expanding beyond onsite mobile diagnostics and repair to also include remote automotive diagnostics and remote programming. Repair facilities can now call one company, Elitek, to service all their diagnostic service needs. Since 2019, LKQ’s Elite Electronics and VeTech Automotive Electronics brands, now branded Elitek Vehicle Services, has grown to become the largest independent provider of mobile, on-site vehicle services to automotive collision repairers, mechanical repairers and national fleets in the U.S. With the addition of remote diagnostics, Elitek can provide shops with a seamless, end-to-end process and value proposition. Remote diagnostics: Shop technicians can plug in an OBDII device that remotely connects the vehicle to Elitek’s call center. The technician, with support from a centralized Elitek diagnostician, conducts the diagnostic scan(s), produces a scan report, enables remote programming where applicable and invoices for the

service. Mobile diagnostics: If additional onsite services are required, including ADAS calibration or mechanical, Elitek’s mobile service can be deployed to complete the repair, using an array of OEM software, tools and certified technicians. Increasing vehicle technology leads to more complex repairs, and Elitek is uniquely positioned to partner with the repair community to diagnose, repair and calibrate vehicle electronics, including ADAS systems. The combination of remote and mobile diagnostic services offerings puts Elitek a step ahead of the competition and serves customers better than ever with mechanical, AC service 1234YF, module programming, electrical repairs and an array of diagnostic services. Owning a full range of OEM diagnostic tools and offering these numerous services to automotive repair facilities helps improve a shop’s cycle times, reduces rental terms and improves the customer service experience, for both the repair shop and the vehicle owner.

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“With the formation of Elitek, LKQ now provides the most comprehensive diagnostic services in the repair industry,” said Terry Fortner, LKQ’s North America vice president of sales and marketing. “Elitek is the premier provider of both remote and mobile diagnostic services. This expanded offering allows us to be more responsive to our customers, including those outside of our current mobile servicing locations.” “Our goal is to continue to provide superior customer service,” said Don Smith, director of Elitek’s Remote Division. “With the addition of remote services, we can be more responsive to a broader range of customers. And with LKQ’s Promise of Calibration, customers have the additional peace of mind in knowing that Elitek will stand behind the work performed.” For more information on Elitek’s remote capabilities or to pre-order a remote scanning device, contact Smith at dgsmith@lkqcorp.com, visit the website at https://elitekauto. com or call 888-8-ELITEK. Source: LKQ Corporation

Automotive Recyclers Applaud Executive The Automotive Recyclers Association (ARA) issued a statement July 14 in response an executive order signed by President Joe Biden on July 9 calling on the Federal Trade Commission (FTC) to institute rules to curb anti-competitive restrictions that limit consumers’ repair choices. The executive order includes dozens of specific initiatives, including a requirement the FTC undertake a rulemaking on repair and maintenance. “The ARA has been a member of the national Right to Repair Coalition for several years,” said ARA President Scott Robertson. “Consumers and the general public are supportive of this issue, and I am encouraged by the recognition it has received within our federal government.” ARA has met with the FTC on multiple occasions to discuss attempts by automobile manufacturers to push Recycled Original Equipment (ROE) parts out of the market with misinformation campaigns and barriers to consumer choice. Source: ARA

Tesla Wanted $16,000 for a Simple $700 Model 3 Repair by Ameya Paleja, Interesting Engineering

How much does one pay for minor repairs for a Tesla car? As one Tesla owner found out, almost half of the vehicle price. After hitting some debris on the road that damaged his battery pack, the owner visited a Tesla service center, where he was handed a repair estimate of $16,000. Unable to foot that bill, the owner sought help from a non-authorized garage, which diagnosed and resolved the issue for $700. The standard Model 3 Tesla is rear-wheel drive, with an option to make it all-wheel drive. For users who exercise this option, the company puts a drive unit in the front, next to the battery pack. The cooling system runs through the car and connects to the battery pack through a nipple. For this Tesla owner, the debris resulted in the coolant leaking at the nipple of the battery pack. But since the nipple was molded outside the battery pack, which is not serviceable at a Tesla Service Center, they could only offer

replacement of the entire battery pack. This resulted in the quote shooting up to $16,000. Unfortunately for the owner, his insurance did not cover damages due to road debris, forcing him to look elsewhere.

He found help at Electrified Garage, which diagnosed the problem and found a simpler solution. They cut off the nipple and then threaded it back into the battery pack with a $15 brass fitting that can be found at any hardware store. They were able to fix the leak and charged the owner $700

for labor and their expertise. The real question is whether this is safe. Electrified Garages says, unlike internal combustion engines that generate a lot of heat, electric cars operate at temperatures well below 140 degrees. Most of the heat comes from the lithium-ion batteries, which they tested during the fix. Such instances reiterate the need to allow owners the Right to Repair, whether it be smartphones or smart cars. The increasing usage of technology has allowed companies to force subscriptions or channel after-sale services only through limited outlets, causing inconvenience and larger bills for device owners. This is set to change after President Biden is expected to allow Right to Repair in different sectors, beginning with agriculture. Interesting Engineering reached out to Tesla for their comments but hadn’t received a reply yet.

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autobodynews.com / AUGUST 2021 AUTOBODY NEWS 47

Carmakers in North America Worst Hit by Semiconductor Shortage North American vehicle production has been the worst affected by the shortage in the supply of semiconductors, including for its high-profit, low-inventory vehicles, according to the latest research from AutoForecast Solutions. It comes at a time of very high demand for vehicles in a market rebounding from the Covid lockdown. The question is, how will leading vehicle makers in the region position themselves so that this does not happen again? Kicking off discussions at this week’s Finished Vehicle Logistics North America Live conference, Joe McCabe, president and CEO, AutoForecast Solutions (AFS), said that the impact of the semiconductor shortage on production volumes globally was forecast to equal 4.57m units this year, with 285 plants impacted around the world (as of June 15). In North America, the forecast for vehicle production before the semiconductor crisis came to light was around 15.9m, according to AFS data. That has been revised down to 15.25m by AFS, meaning a significant amount of production has been lost. The production shortfall is being exacerbated by other issues at the moment, including airfreight under-capacity and vessel congestion at the West Coast ports in the US, all of which is impacting critical part supply for the Asian-based OEMs in North America. Impact on segments McCabe said the crossover vehicle (CUV) segment in North America was taking the brunt of the impact, with 48% of production affected by the semiconductor shortage. Crossovers are defined as those SUVs that share a platform with a passen-

ger car rather than a pickup truck. Around 16% of pick-up truck and large SUV production is also affected, which is hitting carmaker bottom lines quite hard as they are the highest profit vehicles, but these are all deemed recoverable in terms of production because vehicle makers do not want to lose such high value sales and will now find any means of getting them on the lots rather than sitting in storage waiting for microchips. That includes building the models with fewer chips. “They are building [pick-up] trucks without features like start/ stop and are going to analogue for the speedometers,” said McCabe. “They are [taking] out stuff that isn’t life-saving and pulling the content out just to get them on the market. You will see much more of that – reconfiguring the product to make sure they have more on the lots because the biggest issue is the sparsity of product on the dealer lots.” That point was backed up with direct input from one of the dealerships in the US. Brion Stapp, dealer principal, at Stapp Interstate Toyota, said that inventory was at its lowest point in decades and that even though vehicle haulers were making multiple calls a week at his dealership, more than 40% of the dealership’s supply for the next three months is presold. “As those trucks roll in on a daily basis we unload them and put them right into the sold inventory for our customers to take delivery,” he said. Whatever it takes, North American vehicle makers are will be getting those higher end vehicles on the lots and recovery in production and sales for this segment is expected

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48 AUGUST 2021 AUTOBODY NEWS / autobodynews.com

by the third quarter of this year, according AFS, while recovery for other segments it not expected until 2022. The passenger vehicles, or sedan, segment has been less affected, though a sizeable 28% of production is delayed. However, recovering passenger car production is not a priority for OEMs in North America. The profit margin is much lower and new sedan sales have been declining for some years. A lot of production in this segment has either been cut completely or moved offshore to markets where they are still selling slightly better. Future proofing supply Now the vehicle makers are looking at what they can do so that this shortage never affects them as badly again. According to McCabe there will be a lot more vertical integration, with carmakers setting up direct partnerships with the semiconductor manufacturers, as Ford did in the past with the aluminium industry to secure its supply base.

There will also be greater investment by smaller-scale semiconductor manufacturers, according to McCabe. “More small-scale chip players will try to scale up and take advantage of government money because it is now an issue of national security,” he said. “They will take the billions and build more plants.” As reported earlier, the Biden Administration in the US has signed in an executive order designed to fortify US supply chains, including those supporting the production of semiconductors. Currently only 12% of global semiconductor manufacturing is in the US. In March Biden said the new administration in the White House would work with industrial leaders to identify solutions to the current shortfall. It is going to cost $37 billion in the short term to install the required capacity to satisfy US demand for semiconductors onshore, something the president said the government would be pushing for through House and Senate.

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Signature Collision Centers Joins Forces with Crash Champions Crash Champions, a leading independent collision repair company, announced June 22 it has entered into an agreement with Signature Collision Centers, one of the largest family-owned, independent collision repair companies on the East Coast, by which Signature will join the Crash platform through a strategic transaction.

Following the transaction, Signature founder and CEO Charles “Chuck” Pipkin will retain an ownership stake in Crash and transition to a new role as an executive board member with the company, where he will work closely with Crash Champions founder and CEO Matt Ebert to continue growing the business at the national level.

“This partnership represents a collaboration between two of the leading names in the U.S. collision repair industry,” — Matt Ebert The newly combined company will operate under the Crash name and banner, creating a nationwide platform with 118 locations strategically located across 12 states and Washington, D.C. Headquartered in Annapolis, MD, Signature operates 24 high-performing locations across states throughout the greater Mid-Atlantic and Southeast, including Pennsylvania, Maryland, North Carolina, Florida and Washington, D.C.

“This partnership represents a collaboration between two of the leading names in the U.S. collision repair industry,” said Ebert. “Our growth strategy is rooted in identifying the right shops and owners who can be true partners and stewards of the Crash brand. This means not only creating near-term value when they join the company through a transaction, but creating long-term value through continued contributions as members of our leadership and own-

ership teams. Chuck and his team are the ideal partners, and we’re excited to welcome them to the Crash family and extend our brand to the East Coast.” “This is a monumental moment for Signature, one that we’ve been working towards for a long time,” said Pipkin. “Since our founding in 2004, we have been committed to building this business with a very specific vision and set of values. As we looked to the future, it became clear that we needed to join forces with like-minded individuals in order to take our business to the next level and achieve the full value of our platform. “Our search for that partner started and ended with Crash Champions, which not only has the team and resources to accelerate our growth, but shares the same operational ethos and commitment to excellence,” Pipkin said. “This is the next logical step for our business, an exciting new chapter and an ideal opportunity to continue building our legacy under a new powerful name and brand.” This will be the 42nd successful transaction Crash Champions has

completed since July 2019. Through these transactions, Crash has transformed itself from a regional player operating eight locations in the greater-Chicago area to one of the fastest growing collision repair companies in America, with what will be 118 locations across 12 states―California, Colorado, Florida, Illinois, Iowa, Kansas, Maryland, Missouri, North Carolina, Pennsylvania, Ohio and Wisconsin, as well as Washington, D.C.―at the closing of this transaction. “We have enjoyed significant growth over the last two years by carefully planning and executing a national M&A strategy, including identifying the right targets, partnering with talented management teams and properly integrating each operation into our platform,” added Ebert. “Our pipeline for quality M&A remains strong, the Crash brand still has significant room to grow, and we look forward to continuing our marketplace expansion.” Terms of the deal were not disclosed. Source: Crash Champions

16 State Attorneys General Asks EPA to Hold All States to Emissions Rules

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The attorneys general of 16 states on July 6 urged the U.S. Environmental Protection Agency to refrain from reinstating California’s waiver under the Clean Air Act which gives that state, and only that state, the authority to regulate which cars the rest of the nation drives. The attorneys general of Ohio, Alabama, Nebraska, Arkansas, Oklahoma, Georgia, Kansas, South Carolina, Indiana, South Dakota, Texas, Kentucky, Utah, Louisiana, West Virginia and Mississippi sent a letter July 6 to EPA Administrator Michael S. Regan urging the agency to continue the policy under the Safer Affordable Fuel-Efficient (SAFE) Vehicles Rule. The letter argues the U.S. Constitution recognizes the states as equals, and does not give California special rights denied to every other state. Under the Clean Air Act, the prior administration created national standards for vehicle carbon emissions for model years 2021 through 2026, treating all states as equal sovereigns subject to one

federal rule. Recently, the Biden Administration proposed California, and no other state, should be given a “waiver” from national carbon emissions standards and allowed to set its own standards. The waiver, designed decades ago to allow California to manage its severe smog problem, has instead been used by California to target fuel efficiency and global warming. The letter sent by the attorneys general makes clear any attempt to restore California’s waiver is unconstitutional and causes harm to non-Californians, needlessly driving up the costs of new vehicles and allowing California to exercise power denied to every other state. “In this great union of sovereign states, the Golden State is not the golden child,” the attorneys general wrote. A copy of the letter to the EPA can be found at https://bit.ly/3wmywrE Source: Kansas Attorney General’s Office

autobodynews.com / AUGUST 2021 AUTOBODY NEWS 49

‘Who Pays for What?’ Survey: Auto Body Shops Increasingly Billing, Being Paid for Seat Belt Inspections General Motors’ recently-revised post-crash inspections continue to call for inspections of seat belts “after any collision,” and “Who Pays for What?” surveys continue to find an increasing percentage of auto body shops are billing—and being paid—for this procedure by the eight largest auto insurers. In 2016, when Collision Advice and CRASH Network first asked about seat belt inspections in their “Who Pays for What?” survey, nearly two-thirds of shops—63%—said they had never billed for it. This year, that has nearly reversed, with 62% of shops reporting they have charged for the labor to inspect seat belts. Among those shops, about one in three—34%, up from 24% in 2016—say they are paid for that procedure “always” or “most of the time,” and nearly an equal percentage say they are paid at least “some of the time.” The trend is good news for shops and consumers. But for this procedure in particular, Mike Anderson of Collision Advice, who

conducts the surveys in conjunction with CRASH Network, is concerned more with just making sure it gets done.

“Every OEM has a very specific procedure for how to inspect seatbelts,” Anderson said. “No matter whether you charge for it or not, we have an obligation to make sure that we’re fixing vehicles safely and properly, and that means following the OEM repair procedures when it comes to seat belts.” The latest quarterly “Who Pays for What?” survey is now

Audi Selects Mobileum Mobileum Inc., a leading global provider of analytics-based roaming and network services, risk management and testing and monitoring solutions, is pleased to announce Audi is deploying Mobileum’s Connected Car Testing solution to test and monitor the end-toend quality of service (QoS) of its connected cars. By implementing Mobileum’s Connected Car Testing solution, Audi ensures its customers will experience the best online infotainment, safety, navigation and communication capabilities while they are in the car. Mobileum’s Connected Car Testing solution allows Audi to remotely test its connected cars from a centralized location, and it provides unparalleled KPIs to monitor and improve the connected car experience. In addition, Mobileum will enable Audi to support important safety features. Source: Mobileum

open through July. It focuses on “not-included” frame and mechanical labor operations. Shops can take the survey at https://www.surveymonkey.com/r/L3H3JQP Survey participants receive a free report with complete survey findings along with analysis and resources to help shops better understand and use the information presented. Anderson said the survey, which will take about 15 to 20 minutes, can be completed by anyone in a shop familiar with the shop’s billing practices and the payment practices of at least some of the largest national insurers. Each shop’s individual responses are held in the strictest confidence; only aggregated data is released. The results of previous surveys are also available online at www.crashnetwork.com/collisionadvice. Source: CRASH Network, Collision Advice

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Segments of Specialty-Equipment Industry See Growth During Pandemic The automotive specialty-equipment industry has largely weathered the pandemic, with many companies reporting sales growth over the past year and anticipating continued growth in the coming months, according to new SEMA Market Research. Findings from the new “SEMA State of the Industry—Spring 2021” report indicate that the majority of businesses saw significant sales growth during the pandemic: 66% of manufacturers, 60% of distributors and 40% of retailers/installers reported increased sales compared to 12 months ago, and nearly threefourths of all manufacturers and distributors expect sales to increase over the coming year. Filled with data on how the pandemic has impacted businesses in the automotive specialty-equipment industry, the 63-page market research report helps companies understand how the market is performing. Key findings from the report include: The specialty-equipment industry saw minimal staffing disruption because of the pandemic,

with most maintaining or growing staffing levels. Additionally, 83% of manufacturers, 77% of distributors and 63% of retailers/installers plan on hiring more staff over the coming year.

Manufacturers saw sales increase across many channels, especially direct-to-consumer through their company website and at independent specialty retailers. The industry saw growth across

Findings from the new “SEMA State of the Industry—Spring 2021” report indicate the majority of businesses in the automotive specialty-equipment industry saw significant sales growth during the pandemic.

Many companies selling in the pickup, sports car and classic segments reported double-digit growth in the past 12 months.

a variety of product categories. Manufacturers and retailers saw significant sales growth in performance categories especially, including in-

take and suspension products. According to the U.S. Census Bureau, retail sales at motor vehicle and parts dealers hit $139.5 billion--its highest level in U.S. history. Despite the pandemic, consumers continue to work on their cars. According to a survey of Americansconducted by Hertz, more than 80% of Americans plan on taking a road trip this summer. This means a lot more driving, and potentially a lot more potential engagement with the specialty-equipment industry. At a time when most countries, like Japan and the European Zone, are experiencing economic contractions, the U.S. is showing strong growth after the disruption from the pandemic. This strong growth is expected to continue through the rest of 2021, as the services part of the economy fully reopens. To learn more about the current state of the specialty-equipment industry and outlook for the future, download the new “SEMA State of the Industry—Spring 2021” report today at www.sema.org/research. Source: SEMA

Used Vehicle Prices Expected to Climb to Record Highs as New Vehicle Prices Stay Steady in Q2: Edmunds Consumers seeking relief from new car prices in the used car market might be a bit dismayed by used car prices as well, according to the car shopping experts at Edmunds. Edmunds data reveals the average transaction price (ATP) for used vehicles climbed to $25,410 in the second quarter of 2021 compared to $22,977 in Q1 and $20,942 in Q2 2020, marking the highest quarterly used ATP Edmunds has on record. “Tighter inventory and fewer discounts in the new car market are pushing shoppers to seek a reprieve in the used market, and this consumer behavior is what’s also driving used car prices to astronomical levels,” said Jessica Caldwell, Edmunds’ executive director of insights. “Car shoppers are used to getting deals, and often far below the sticker price for new, so anyone returning to the car market for the first time in a while is in for some serious sticker shock.” Although used car prices are expected to climb to new levels in Q2, Edmunds data reveals new car prices appear to be leveling off—the ATP for new vehicles hit $40,827 in

Q2 2021, compared to $40,070 in Q1 and $38,895 in Q2 2020. Edmunds experts note this is due to a shift in the mix of vehicles available in the new market: Edmunds data reveals the share of pickup trucks dropped to 17.1% in Q2 2021 compared to 22% in Q2

action price during the pandemic, but the well of inventory has finally run dry,” said Caldwell. “Consumers who can be more flexible are buying more passenger cars and SUVs, and although they’re paying inflated prices for these vehicles, comparatively they command much

“Tighter inventory and fewer discounts in the new car market are pushing shoppers to seek a reprieve in the used market, and this consumer behavior is what’s also driving used car prices to astronomical levels,” — Jessica Caldwell 2020, while the share of SUVs and passenger cars increased. SUVs made up 54.6% of the market in Q2 2021 compared to 51.3% in Q2 2020, and passenger vehicles made up 23.8% of the market in Q2 2021 compared to 23% in Q2 2020. “Pricey, optioned-out pickup trucks have been the darling of consumers and the primary culprit in boosting the industry average trans-

less than their truck counterparts. Other shoppers are forced to sit out of the market until what they want comes back in stock.” Edmunds analysts note the car shoppers who are still making purchases in the current market likely represent a more affluent portion of the population. “This is not a buying environment for people on the fringe of

being able to afford new car ownership,” said Caldwell. “Average loan terms are already quite long and interest rates are relatively low on average, so the consumer really has to make up the difference in price.” Edmunds experts advise consumers who are considering making a purchase over the Fourth of July weekend or later this summer to make a concerted effort to shop around their trade-in, which can be done for free on sites such as Edmunds. According to Edmunds data, the average trade-in value for used vehicles climbed to $21,224 in June, marking a 75.6% increase compared to June 2020. “In these unique market conditions, car shoppers must remember that they have the most negotiating power through their current vehicle,” said Ivan Drury, Edmunds’ senior manager of insights. “Although it’s important to do your research on available incentives, getting competitive quotes for your trade-in will be the smartest way to guarantee the biggest discount on your next vehicle.” Source: Edmunds

autobodynews.com / AUGUST 2021 AUTOBODY NEWS 51

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