2 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
Contents
NATIONAL 2 Fiat Chrysler Dealerships, Closed After Years of Bankruptcy Litigation, Are Reopening . . . . . . . . . . . . . . . . . . . . . . 55 3M™ Introduces Impact Resistant Structural Adhesive . . . . . . . . . . . . . . . 35 ALLDATA President Discusses Importance of Trade Shows, Future Plans. . . . . . . . 26 American Honda is Among Industry Leaders with Eight Honda and Acura Vehicles Earning a 2016 TOP SAFETY PICK+ Rating from the IIIHS—New Crash Protection and Technology Requirements Factored into the Ratings . . . . . . . . . . . 47 Auto Safety Ratings to Include Collision Prevention . . . . . . . . . . . . . . . . . . . . . . 12 Axalta Enhances Nap-Guard®, Announces Role in North American International Auto Shop Charity Preview. . . . . . . . . . 39 BASF Hires Tim Dawe as New Sales Director . . . . . . . . . . . . . . . . . . . . . . . . 50 Cadillac to Launch Aluminum Repair Network. . . . . . . . . . . . . . . . . . . . . . . . 54 California to Sue Car Donation Charities . . . 1 Chinese Carmaker Cowin Pioneers Crowdsourcing . . . . . . . . . . . . . . . . . . 50 Customer finds his ‘Totaled’ Car for Sale at Dealership . . . . . . . . . . . . . . . . . . . . . 9 DOT Recommends Updated Safety Rating System . . . . . . . . . . . . . . . . . . 31 Driven Brands Acquires CARSTAR Canada and Announces Senior Leadership Changes at CARSTAR US. . . . . . . . . . . 40 El Paso Body Shop Owner Says Lesson Learned in ‘Operation Paint Job’ Sting . . 10 Electronic Paintless Dent Reduction Device introduced at SEMA . . . . . . . . . . . . . . . 11 EMM’s Colad Optimus & Colad Advanced
rampant misinformation that is being distributed, regardless of the intent of the source. Also, we’re well aware that regulatory authorities such as California’s BAR are not only featured in Autobody News, but that they’re active readers. Numerous actions have been taken as a result of articles like this in our publications. The individual featured in the story has been reported to the local authorities—not by us, but by local readers, who are the greatest stakeholders in the matter. This is the reasoning that went into last month’s story, but in doing so we have a dilemna. Not only can our intent be misunderstood by some readers as happened here, but outside publications will be naturally wary of granting permission if they think we’re just criticizing their stories. That would quickly cause our sources to dry up. The solution, we believe, is to mark such stories with a coded box (such as this one) and trust that our readers continue to understand that we do not editorialize except in columns by our regular editors and writers, and that we support all legitimate stakeholders by trying to report accurate and timely information whatever the source. There are plenty of opinions in this industry and we don’t feel the need to contribute our own. In short, if there’s a story you don’t agree with, let us know, but first look outside the lines.
Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Assistant Editor: Stacey Phillips Online Editor: Victoria Antonelli Contributing Writers: Tom Franklin, John Yoswick, Janet Chaney, Toby Chess, David Brown, Rich Evans, Ed Attanasio, Chasidy Sisk, David Luehr Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Sales/Research Associate: Cass Heckel Art Director: Rodolfo Garcia
Serving Florida, Georgia, Alabama, Mississippi, Virginia, Tennessee, North Carolina, South Carolina and adjacent metro areas. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2016 Adamantine Media LLC.
Abaris Training Resources, Inc. . . . 14 Allstate Insurance Company. . . . . . 24 Audi Wholesale Parts Dealers . . . . 55 Axalta Coating Services . . . . . . . . . . 2 BMW Wholesale Parts Dealers . . . . 51 Car-Part.com . . . . . . . . . . . . . . . . . . 21 CarcoonAmerica Airflow Systems . 34 Certified Automotive Parts Association (CAPA). . . . . . . . . . . 37 Classifieds. . . . . . . . . . . . . . . . . . . . 54 Coggin Deland Honda . . . . . . . . . . 32 Crown Automotive Group . . . . . . . . 23 Dale Earnhardt Jr. Chevrolet. . . . . . 38 Eco Repair Systems of North America, LLC. . . . . . . . . . . . . . . . 12 EMM . . . . . . . . . . . . . . . . . . . . . . . . 56 Equalizer Industries, Inc . . . . . . . . . 30 Eurovac, Inc. . . . . . . . . . . . . . . . . . . . 6 Ford Wholesale Parts Dealers . . . . 47 GM Wholesale Parts Dealers . . . . . 45 Gus Machado Ford . . . . . . . . . . . . . 38 H & S Autoshot Mfg. Co . . . . . . . . . 21 Hendrick Automotive Group . . . . . . 15 Hendrick BMW/MINI . . . . . . . . . . . . 39 Hendrick Dodge . . . . . . . . . . . . . . . . 8 Hendrick Honda Bradenton . . . . . . 16 Herkules Equipment Corporation. . 10 Honda-Acura Wholesale Parts Dealers. . . . . . . . . . . . . . . 27, 28-29 Hyundai Wholesale Parts Dealers. . 48 Jon Hall Chevrolet . . . . . . . . . . . . . 42 Kernersville Chrysler-DodgeJeep-Ram . . . . . . . . . . . . . . . . . . 19
Kia Motors Wholesale Parts Dealers. 53 Larson Electronics, LLC.. . . . . . . . . 18 Lexus Wholesale Parts Dealers . . . 52 Mercedes-Benz . . . . . . . . . . . . . . . . 11 Mercedes-Benz Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 43 MINI Wholesale Parts Dealers . . . . 51 MOPAR Wholesale Parts Dealers . . 33 Nalley BMW. . . . . . . . . . . . . . . . . . . 26 Nissan of Richmond . . . . . . . . . . . . 36 O’Brien Hyundai-Subaru-Mazda . . 31 Porsche Wholesale Parts Dealers . 50 Radley Chevrolet. . . . . . . . . . . . . . . 22 Rick Case Automotive Group . . . . . 41 Rick Hendrick Chevrolet Naples. . . . 4 Rick Hendrick Dodge-ChryslerJeep-Ram. . . . . . . . . . . . . . . . . . . 20 Riverside Ford-Lincoln . . . . . . . . . . 44 Safety Regulation Strategies . . . . . 40 SATA Spray Equipment . . . . . . . . . . 5 Sherwin-Williams Automotive Finishes . . . . . . . . . . . . . . . . . 16, 17 Subaru of Gwinnett . . . . . . . . . . . . . 35 Subaru Wholesale Parts Dealers . . 49 Tameron Hyundai . . . . . . . . . . . . . . 46 Unicure Spraybooths . . . . . . . . . . . . 9 U-POL . . . . . . . . . . . . . . . . . . . . . . . 13 Urethane Supply Company . . . . . . 25 Valspar Automotive . . . . . . . . . . . . . . 7 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 55
Southeast
COLUMNISTS Attanasio - 5 Smart Marketing Moves to Make in 2016 . . . . . . . . . . . . . . . . . 34 Attanasio - It’s a Doggone Good Life for a Body Tech and His Best Friend . . . . . . . 30 Luehr - The Happy, Well Informed Customer . . . . . . . . . . . . . . . . . . . . . . 32
Cut Introduced . . . . . . . . . . . . . . . . . . . 38 Fiat Chrysler to Pay $70 M U.S. Auto Safety Fine. . . . . . . . . . . . . . . . . . . . . . 25 First Autonomous Buses Will Hit the Road In Spring 2016, Swiss Company Says it Can Control Fleets. . . . . . . . . . . . . . . 54 Freer Auto Body’s Cookies and Cocoa Event Held in IL to Help Others Have a Nice Holiday . . . . . . . . . . . . . . . . . . . 43 GFS Breaks Ground on $6 Million Center For Excellence in Wisconsin . . . . . . . . . 52 GM Approves Spanesi Benches & Jig System for GM Vehicles. . . . . . . . . . . . 46 Google Compare Sells Insurance Comparisons Only . . . . . . . . . . . . . . . . 48 Hyundai-Kia Involved in OIN Patent Non-Agression. . . . . . . . . . . . . . . . . . . 48 I-CAR® Announced 2015 Recipients of Jeff Silver and Russ Verona Awards at SEMA . . . . . . . . . . . . . . . . . 52 ICBC Selects Mitchell International as Strategic Material Damage Solution Provider. . . . . . . . . . . . . . . . . . . . . . . . 46 Integration Between PartsTrader and Axalta’s ProfitNet Said to Simplify Tasks for Body Shops . . . . . . . . . . . . . 52 Melissa Miller, CARSTAR’s New VP of Operations, Discusses New Role and WIN Participation . . . . . . . . . . . . . 50 Midwest Auto Body Trade Show Will “Focus On The Future” . . . . . . . . . . . . 24 National Auto Body Council Elects 2016 Board & Officers . . . . . . . . . . . . . . . . . 38 Nebraska Auto Body Assn (NABA) Closes End of 2015 Meeting with Elections . . . 48 New Battery Can Store 10 Times the Energy of The Next Best Device According to Science/AAAS . . . . . . . . . . . . . . . . . . . . 6 New Year Brings the Collision Industry Some ‘Unfinished Business’ from 2015 . . 1 OpenbayASP App Monitors Repairs from Phone . . . . . . . . . . . . . . . . . . . . . . . . . 14 PA Body Shop Owner Addresses Markup Fees with Insurance Companies . . . . . . 44 Phillips - Nebraska MSO Owner Says the Only Constant in Industry is Change. . . 36 PPG Announces Sponsorship of Women’s Industry Network . . . . . . . . . . . . . . . . . 50 PPG Launches DITZLER® Satin Clear Kit . . 8 Prospray® Automotive Finishes Introduces Bold New Packaging . . . . . . . . . . . . . . 42 Quality Parts Coalition Says Consumers Have Saved $363M By Using Aftermarket Parts . . . . . . . . . . . . . . . . 55 Sherwin-Williams 2016 First Quarter Training Schedule . . . . . . . . . . . . . . . . 17 Single Source Adds New Member to Advisory Board . . . . . . . . . . . . . . . . . . 39 Strategies and Tips for Shops Interested in Becoming a DRP . . . . . . . . . . . . . . . 18 Texas Vehicle Crashes and Fatalities Continue to Rise According to Insurance Council . . . . . . . . . . . . . . . . 14 Toyota, Honda Models Top Insurance Institute’s Safest-Car List; VW is 3rd . . 10 UK Insurers: Luxury Car Drivers Have More Accidents . . . . . . . . . . . . . . . . . . 25 Vehicles 14 Years & Up Soar . . . . . . . . . . 25 Zara’s Collision Center in Illinois Gives Away Olds Alero as Part of Benevolence Program . . . . . . . . . . . . . 51
Indexof Advertisers
REGIONAL AAA Southeast Fall & Winter 2015 Updates . 4 ASA Announces Regional Training Programs . . . . . . . . . . . . . . . . . . . . . . 12 Caliber Collision Teams Up With Insurance Partners to Donate Record 30 Recycled Rides™ in 2015. . . . . . . . . . . . . . . . . . . 6 FOCUS Investment Banking Represents B&R Body Shop In Acquisition by Caliber Collision Centers . . . . . . . . . . . . 6 Infiniti Dealer Opened in Orange Park, FL . . 4 Kia Racing Champion Jason Wolfe Shares his Success Behind the Wheel . . . . . . . 42 Phillips - Body Shop Vice President in GA Says Be Prepared for the Unexpected. . 16 Service King Continues Charlotte, NC Expansion . . . . . . . . . . . . . . . . . . . . 4 Shops in Louisiana and Around Country See ‘Adjusted’ Labor Rates After State Farm Rezones Markets . . . . . . . . . 1 Thompson Collision Repair in VA Announces Opening. . . . . . . . . . . . . . . . 4 Wiregrass Georgia Technical College Helps VFD with Vehicle Repair . . . . . . . . . . . . . 8
A Note about Stories Sourced from Mainstream Media
A number of readers called and/or wrote to us last month about a particular story we ran in our December issues featuring a detailer in Mesa, Arizona who—they complained, was spraying solvent in open air, and also talking disparagingly about the industry, body shops, and insurers. The story was written by a local media source who was kind enough to give us permission to reprint the story. Whenever reprints like this occur in any publication, permission is obtained and given contingent on no edits or changes being made by us to the original story. Those are the circumstances under which we agree to reprint the article. In addition we agree that we will not ‘sidebar’ or editorialize on their content. The readers pointed out that by publishing this article we were “promoting” illegal activity and that the story was written by someone with no real knowledge of the industry. That, of course, we knew when we decided to print it. Many years ago we had a regular column called “Mainstream Media,” which was designed to show our readers what was being said in non-trade publications about body shops. Many of these stories were naive about the industry and some were absolutely off base. We ran them under that headline in order to remind shop owners that they need to be vigilant about what consumers are reading about the industry. This makes sense to us given the
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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 3
AAA Southeast Fall & Winter 2015 Updates by Chasidy Rae Sisk
The Automotive Aftermarket Association Southeast (AAAS) recently published their Fall newsletter which provides many important updates for members. These updates included workman’s comp dividends, employee benefit fund rates and benefit options, education foundation announcements, and upcoming events. Steve Kampwerth, Chairman of the AAAS Employee Benefit Funds Board of Trustees, announced the addition of a new health savings account qualified benefit plan, a new vision plan, and minimal rate increases on existing plans in 2016. The annual enrollment period will run from December 1-31. AAAS also proudly announced that AL members participating in the Automotive Aftermarket Work Comp Fund will enjoy an average 22 percent dividend in 2016, the Fund’s sixth consecutive dividend. Members from FL, GA and MS who participate in AAAS’s Meadowbrook workman’s comp program will receive a 10 percent dividend. Additionally, members who participate in one of the association’s eligible workman’s comp programs, as well as the AAAS Employee Benefit Fund Blue Cross program, are eligible for a 2 percent discount on their health insurance. The AAAS Education Founda-
tion is now accepting scholarship applications for the 2016/2017 school year. Applications must be submitted online by March 31, 2016. AAAS also reminded members that the Affordable Care Act forms are due to employees by January 31. The newsletter provided vital information on how to file this paperwork. Additional articles addressed the problem of distracted driving, how to conquer your local market by being listed, independent Bay share growth, and OSHA’s release of their all-inone training resource for employers. AAAS also announced their support of the Auto Care Association’s newly-designed website at www.auto carecareers.org which was designed to help job seekers connect with hiring shops. AAAS supported a FL Be Car Care Aware event on November 7 at Calderon Automotive Repair where vehicles received a 40-point inspection. Next, AAAS is gearing up for their 2016 Capitol Days to promote the aftermarket industry’s interests. The MS Capitol Day will be held January 13, FL members will gather at their Capitol on February 2-3, and AL’s Capitol Day will take place on February 24. Due to legislative schedules, GA will not hold a Capitol Day until 2017.
Thompson Collision Repair in VA Announces Opening
Ralph Thompson and Kyle Hoyt announced the opening of their new shop: Thompson Collision Repair in Roanoke, VA. Thompson Collision offers collision repair services, utilizing a state-of-the-art computerized paint system by Sikkens Paint. In addition, Thompson Collision offers restoration of vintage vehicles. Thompson has been involved for decades in the Roanoke area as a body tech, working for various body shops, and he has been known for his excellent work and attention to detail. Hoyt has vast experience in the managerial side of the automotive business, estimating and overseeing vehicles during the repair process to ensure the quality of the repair and that its completion is performed on schedule. Thompson Collision Repair is located at 6450A Merriman Road in Roanoke. For more information, call 540-512-9304.
Infiniti Dealer Opened in Orange Park, FL
Infiniti of Orange Park had a grand opening celebration December 10, 2015. Despite the recently finished construction, the dealer has been open and selling cars. In 2013, The Hanania Automotive Group bought Subaru of Orange Park and divided the Blanding Boulevard property into two lots. On one, it built a new dealership for Subaru, which opened in 2014, reported Jacksonville.com. The other half was transformed into a new $2.4 million Infiniti dealership. The dealership had 160 cars on the lot, but expected to have more than 300 by the start of 2016, reported Jacksonville.com. Led by Jack Hanania, The Hanania Automotive Group now has 11 dealerships, all but one in the Jacksonville area. Earlier in 2015, the group broke ground on its 12th dealership, Coconut Point Honda, located south of Fort Myers in Bonita Springs.
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Service King Continues Charlotte, NC Expansion
Service King Collision Repair Centers on December 7, 2015 announced the organization has officially reached an agreement to acquire The Body Shop Collision Center in Charlotte, NC. Representatives from Service King and The Body Shop Collision Center mutually agreed upon terms of the acquisition on Dec. 4. The Body Shop Collision Center is located at 5016 North Tryon St. in Charlotte. “This is a very proud moment for The Body Shop Collision Center, our community and our teammates,” said Carl L. Patterson II, owner of The Body Shop Collision Center. “The Body Shop Collision Center prides itself on our commitment to the community, our customers and our teammates. We’re confident this partnership honors that as we continue to enhance the premier service our customers and insurance partners have come to expect. We’re extremely proud of our reputation for providing excellent service and are just as confident it will grow through working alongside Service King.” Service King now operates a total of seven locations in the market—six of which have opened in 2015 alone. The organization now
provides customers with 276 collision repair centers in 23 states across the U.S. “We couldn’t be more excited about the growth of Service King in the Charlotte area,” said Scott Ward, Service King’s vice president for the Southeast Region. “The Body Shop Collision Center, along with its excellent staff and reputation for operating as a family business, align seamlessly with Service King’s priority of superior service and serving the community. This partnership ensures a very bright future for our customers and teammates.” The Body Shop Collision Center has served Charlotte customers since 1986 and is certified I-CAR Gold Class—representing the highest rating in the industry for safety and training. The location has more than tripled its business volume in 29 years. Its body shop boasts a capacity of repairing 125 vehicles per month. For more information on Service King and to view a complete list of locations and services, visit www .ServiceKing.com.
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4 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 5
New Battery Can Store 10 Times the Energy of The Next Best Device According to Science/AAAS Industrial-scale batteries, known as flow batteries, could one day usher in widespread use of renewable energy—but only if the devices can store large amounts of energy cheaply and feed it to the grid when the sun isn’t shining and the winds are calm. That’s something conventional flow batteries can’t do. Now, researchers report that they’ve created a novel type of flow battery that uses lithium ion technology—the sort used to power laptops—to store about 10 times as much energy as the most common flow batteries on the market. With a few improvements, the new batteries could make a major impact on the way we store and deliver energy. Flow batteries aren’t much different from the rechargeables we’re all used to, aside from their massive size. In conventional rechargeables, electrical charges are stored in an electrode called an anode. When discharged, electrons are pulled off the anode, fed through an external circuit where they do work, and returned to a second electrode called a cathode. Liquid electrolytes between the electrodes ferry ions through the battery to balance the charges. The batteries
can be recharged by plugging them in, which forces the charges—and the ions—to flow in reverse. But in flow batteries, the charges are stored in liquid electrolytes that sit in external tanks. The charge-carrying electrolytes are then pumped through an electrode assembly, known as a stack, containing two electrodes separated by an ion-conducting membrane. This setup allows large volumes of the electrolytes to be stored in the tanks. Because those tanks have no size limit, the storage capacity of a flow battery can be scaled up as needed. That makes them ideal for storing large amounts of power for the grid. Today, the most advanced flow batteries are known as vanadium redox batteries (VRBs), which store charges in electrolytes that contain vanadium ions dissolved in a waterbased solution. Vanadium’s advantage is that its ions are stable and can be cycled through the battery over and over without undergoing unwanted side reactions. But vanadium is costly, and VRBs have a relatively low energy density. This means that the external tanks must be quite large to hold enough power to be useful.
FOCUS Investment Banking Represents B&R Body Shop In Acquisition by Caliber Collision Centers
FOCUS Investment Banking, a national middle market investment banking firm providing merger, acquisition, divestiture and corporate finance services announced in December that B&R Body Shop has been acquired by Caliber Collision Centers. FOCUS represented B&R Body Shop in the transaction. B&R Body Shop has served the Metro Charlotte, North Carolina area for more than 75 years with six locations in and around Charlotte, as well as a location in Rock Hills, South Carolina. Caliber Collision Centers is the largest collision repair company in America with 339 I-CAR Gold Class Professional certified collision repair centers in Arizona, California, Colorado, the District of Columbia, Florida, Georgia, Maryland, Nevada, New Mexico, North Carolina, Oklahoma, South Carolina, Texas and Virginia. Caliber is consistently ranked among the highest customer satisfaction scores in the industry and backs all repair work with a written, lifetime warranty. “It’s exciting to take the next step for the B&R organization. We’ve done a lot over the past three years
and we are looking forward to having even more opportunities to grow with Caliber,” said Brandon Hawkins, general manager of B&R. He will be joining the Caliber Collision team as the director of Charlotte operations. Mark Sanders, Caliber Collision president and chief operating officer, added, “Our acquisition of B&R Body Shop increases Caliber’s total number of locations to 339 as we continue to restore each and every customer to the rhythm of their lives.” David Roberts, group leader of the Automotive Services practice at FOCUS and managing director, added, “It was a pleasure working with the team at B&R and helping them find the best home for their business. As the largest collision repair company in the U.S., Caliber is building a solid footprint in the Charlotte market. This is a win for both parties.”
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Caliber Collision Teams Up With Insurance Partners to Donate Record 30 Recycled Rides™ in 2015
Caliber Collision’s continuing growth and expansion in the collision industry is also marked by increased community service efforts as the company wraps up 2015 by repairing and donating a record 30 vehicles through the National Auto Body Council’s Recycled Rides™ program.
Veteran Crystal Rashad received a vehicle from Caliber Collision-Decatur in Georgia as part of Progressive’s Keys to Progress
Caliber Collision teamed up with its insurance partners to provide lifechanging transportation to active duty service members and veterans, families transitioning from homelessness into independent living, single parents, and nonprofit support service organizations. Caliber Collision’s insurance partners for its Recycled Rides pro-
gram in 2015 include Allstate, Auto Club of Southern California, Esurance, Farmers, GEICO, State Farm and Travelers. The company also purchased vehicles through its Caliber Foundation to repair and donate. “Recycled Rides reflects our highest purpose which is to restore our customers and the communities we serve to the rhythm of their lives,” said Steve Grimshaw, Caliber Collision Chief Executive Officer. “As we continue to grow and expand, our teammates across the country are equally committed to restoring hope to individuals and families by removing barriers due to a lack of transportation.” months into his retirement. Over the past three and a half years, Caliber Collision has donated more than 75 vehicles across the U.S. amounting to more than $750,000 to in support of those in need. Of these vehicles, Caliber has gifted more than seven out of every 10 vehicles to active military and veteran families in need. “We thank our insurance partners and many others in our industry whose collaboration enables us to collectively make a positive impact in our communities,” said Grimshaw.
www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 7
Wiregrass Georgia Technical College Helps VFD with Vehicle Repair by Joe Adgie, Valdosta Daily Times
Students improved their skills while improving their community during a recent project teaming the Valdosta Fire Department with the automotive collision repair program at Wiregrass Georgia Technical College. The Wiregrass students repaired three VFD vehicles. During one semester, students repaired two Ford Crown Victorias and one Ford F-350 Super Duty, according to reports. Officials said the process saved taxpayers about $10,000. “We saw we had a need when (VFD Battalion Chief Ronald Skrine) got a hold of me for doing some repairs on their vehicles, and it fit right in line with what we’re teaching,” said Mark Whitson, ACR program director. Skrine said the repair program presented a positive outcome for both VFD and Wiregrass. “We had a few vehicles that looked a little rough,” Skrine said. “They still ran good, but they looked a little rough, so I was looking for ways to get them to look better and revamp them. There’s no doubt about it, Wiregrass saved us thousands of dollars, and we also provided vehicles for them to work on and get experience.”
Whitson said the repair process, which involved fixing dents and getting the bodies ready for paint, was a task that took 15 weeks to complete. “We have to take all the cars and make them red, which is not a real easy process,” Whitson said. “Red’s a real expensive paint, but you have to make
A Ford F-350 was repaired by Wiregrass Georgia Technical College’s Automotive Collision Repair program students. Credit: Joe Adgie/The Valdosta Daily Times
sure you have the right kind of sealer down to cover these things and do the right kind of work.” Whitson said the red paint is more expensive as more pigments are required to make a red paint. Whitson said one of the Crown Victorias had paint peeling off the body. “We’re having to strip it down al-
8 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
most to the metal to get all the bad paint off it,” Whitson said. The other Crown Victoria and the Ford F-350 did not present those problems, but the F-350 presented a different problem — its immense size. “This one was really big,” Whitson said. “The bigger they are, the harder they are to make them look good.” Whitson said on top of the repair work, students gave back to the community and developed a sense of pride from their work. “They see the cars going down the street, and it’s their cars,” Whitson said. “They worked on them, they can show people what they’ve done, and a lot of these guys are taking pictures of them to put in their portfolio to show people when they get a job.” One of the students in the program, Marvin Martin, said he felt a sense of pride in the project. “Although this project is the biggest I’ve done and is testing my skills, I feel good giving back to the community in this way,” Martin said. “It’s also nice working on something that will actually be used, not just parts and pieces that will never see the road again. When I see this vehicle on the road, I can say, ‘I did that.’” We would like to thank Valdosta Daily Times for reprint permission.
PPG Launches DITZLER® Satin Clear Kit
PPG’s lineup of VIBRANCE COLLECTION® custom paint finishes has been expanded with the launch of DSC5250 DITZLER® Satin Clear Kit. The new kit includes a quart of VC5250 Ditzler Satin Clear and a half pint of VH7250 Ditzler Satin
Clear Hardener. With the addition of the appropriate PPG urethane reducer—based on VOC compliance— and a simple mix, it’s ready for spraying. The company said Ditzler Satin Clear provides a smooth and silky low-gloss finish and gives custom car builders more choices and possibilities in their designs and paint schemes.
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State Farm Adjusts
this injustice. I’m afraid a lot of shops will be hurt if the insurer gets away with this.” Hanks has received emails from multiple shop owners seeking advice. One non-DRP shop owner in Lafayette, LA, said, “State Farm has decided to increase the geographical scope of our market area. The result of this change has allowed them to decrease our market area’s material rate. After having paid a higher rate since July, State Farm will now reduce material rates on each estimate and deny any subsequent supplemental increase requests. We told said appraiser this will result in out-ofpocket expenses for their policy holders to which he responded, rather unsympathetically, that this was State Farm’s new policy and nothing could be done about it.” Another non-DRP shop owner, from Deridder, emailed Hanks that “State Farm lowered our [labor rate] last week from $55 to $50—and they have also stated they are not paying for any items that break during an R/I operation. Unbelievable that they can
do this...” A DRP shop owner from Jennings, LA, also reached out to Hanks after receiving word from a State Farm representative that their rates had been lowered by $2 per hour. “I was shocked to learn that rates could be lowered. Our rates had just risen at the beginning of the year by $1... This decrease in rates greatly affects my overall budget, especially my payroll budget. I fear the short-term effects of this will cause me to lose employees.” In contrast, Hanks has also heard from some shops that have not been impacted by State Farm’s market rezoning, and one shop even reported receiving a slight increase. Unfortunately, this issue is not isolated to LA. Tony Ferraiolo, owner of A & R Body in CT and President of the Auto Body Association of CT (ABAC), has also seen decreases in his area. He noted, “There is no one to hold the insurance industry accountable, so why not get even more greedy and lower rates until someone stands up and forces them to establish shops’ true costs of labor rates?” In her email to LaCIA members, Hanks stated, “I wish there was a magic word I could give you all to
make this problem go away; all I can tell you is we are working very hard to fight this, but we need your help. We need you to be proactive in your stance against these charges. We need you to share with us what is going on.” Hanks encouraged LA shops to file complaints about this issue with the Department of Insurance at www .ldi.la.gov/contact-us or by emailing Assistant Attorney General Stacie deBlieux at deblieuxs@ag.state.la.us. Hanks urged, “We need you to reach out to the other shops in your area and make a stand not only for your shop but the whole industry. But more importantly, call the other shops in your neighborhood. I’m very certain there is another owner/manager sitting there with the same problems as you have, wondering if they really are ‘the only ones.’ You are not the only one, and you are not alone in this!”
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Customer finds his ‘Totaled’ Car for Sale at Dealership by Meagan O’Halloran, fox17.com
Chances are vehicles with a car accident history could end up on local used car lots. Antioch resident Adam Coats got into a car wreck and began his insurance claim. According to Coats the insurance company deemed his 2007 Nissan Titan totaled saying the damage was more than 75 percent of the value of his vehicle. Coats got an insurance payout of almost $14,000 and bought a new truck. Coats said his old truck was entirely paid off and was hoping it would be repaired, but instead he’s now making monthly payments. A couple of months later, Coats found his old truck repaired and for sale at a local dealership. FOX 17 verified the VIN with the owner. The owner says he bought the damaged truck at auction for $6,000 and it only took him $1,000 to repair the vehicle to good working condition. Coats says he would have paid $1,000 to repair his vehicle and it would be much more affordable than having to buy a new truck. The auto body shop that assessed the damage was not available for an interview but the general manager is addressing the issue with corporate and has agreed to meet at a later date. Thank you to Fox 17 News for permission to reprint this article.
www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 9
El Paso Body Shop Owner Says Lesson Learned in 'Operation Paint Job' Sting by Jamel E Valencia & Ryan Hill, KFOX14
The El Paso Police Department’s Auto Theft Task Force, along with the Federal Bureau of Investigation, Texas Department of Public Safety, Homeland Security Investigations and others, conducted “Operation Paint Job,” a sting operation which looked into body shops suspected of committing insurance fraud. Authorities were reportedly looking for suspects employed by Big V’s Body Shop, C&M Body Shop, Gordo’s Body Shop and Rigo’s Body Shop. “It was kind of a surprise when they came in and told me they were looking for (Christopher Enriquez),” said Victor Rivera, the owner of Big V’s Body Shop. Big V’s Body Shop was one of four businesses that were being investigated for allegedly intentionally damaging vehicles to make false insurance claims. Rivera claims he did not have knowledge insurance fraud being committed at his auto body shop. He said Enriquez was a hard worker who would show up on time, and his arrest came as a shock. “This individual, he’s been gone. He’s no longer be with Big V’s for about two months now,” said Rivera. “So I haven’t had no contact with this individual and so it was a surprise. He was a really good worker. He was always here on time. He always worked to the limit.” Ten employees have been arrested on suspicion of insurance fraud from the following businesses: Gordo’s Body Shop at 3625 Gateway Boulevard West,
Rigo’s Body Shop at 167 N. Copia Street, Big V’s Body Shop at 4400 Dyer Street and C&M Body Shop at 4034 Harrison Avenue. The 22-month investigation revealed employees at some body shops were intentionally damaging vehicles
Operation Paint Job arrests. Credit: kfoxtv.com
to file insurance claims. In some instances accidents were staged, the news release stated. Big V’s wasn’t the only one to get a not-so-subtle knock at the door. Matthew Olivas, the owner of Gordo’s body shop, also received a visit from the authorities. Olivas said, “I really have nothing to hide, like, I really don’t. Yesterday, I was just as confused as I am today. They didn’t tell us anything. [The police] just said, ‘Insurance fraud! You’re under arrest.’” Rivera said authorities pulled up to his body shop, dressed head to toe in tactical gear. They rushed through the front door and into the shop. He said he’s learned a lot from their investigation. “One of the [investigators] left me a list for all of the paper work for all of the cars. It’s kind of list a hand receipt type of thing. So I’ll be prepared for next time,” said Rivera. Rivera says police came through
Toyota, Honda Models Top IIHS Safest-Car List
Toyota Motor Corp., Honda Motor Co. and Volkswagen AG had the most models rated among the safest U.S. vehicles in a year-end review by the IIHS. Toyota led with nine models on the institute’s list, followed by Honda with eight and VW with seven. Fiat Chrysler Automobiles had the only U.S.-made car on the list, the Chrysler 200 midsize sedan. A total of 48 car and SUVs got the institute’s safest car designation of “top safety pick plus.” Toyota’s vehicles on the list ranged from the $16,000 Scion iA to the Lexus RC, a large luxury car which retails for more than $40,000. Honda models included the Accord sedan and Acura RDX luxury SUV. Among
Volkswagen vehicles were the Jetta, Passat and Audi A3. Recommendations from the safety group, which is funded by the insurance industry, are followed by car shoppers and automakers alike. They also provide a glimpse of the future as the criteria include elements that U.S. safety regulators announced this week they want to add to their ratings. Vehicles have to perform well in a tough offset frontal crash test in which a small part of a vehicle’s front end strikes a fixed barrier at 40 miles per hour, in an effort to reduce fatalities and injuries in crashes like those involving a off-road tree or utility pole. Insurance data showed this was a particularly deadly type of crash.
10 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
the doors of his shop to make sure every piece of paper work and VIN number was legit. And even though police cleared all of Rivera’s cars, he just hopes this doesn’t change peoples’ perception of his shop. “I have a good relationship with the community. I just want the customers know I got their cars here,” he said. “ Everything is back to standard, everything is okay and being worked on and we’re good to go.” Warrants were executed that resulted in several arrests. The task force is working with the district attorney’s office for prosecution.
Gordo’s Body Shop: Matthew Nathaniel Olivas, 28, insurance fraud of $1,500 to $20,000, with bail set at $2,500.
Rigo’s Body Shop: Juan Francisco Apodaca, 33, two counts engaging in organized criminal activity/insurance fraud, with bail totaling $40,000; Rigoberto Martinez Leanos, 45, two counts of engaging in organized criminal activity/insurance fraud with bail totaling $45,000;
Cid Romero, 43, insurance fraud of $1,500 to $20,000, with bail set at $7,500; Christian Rodriguez, 23, insurance fraud of $1,500 to $20,000, with $7,500 bail; Daniel Martinez Salas, 23, insurance fraud of $1,500 to $20,000, with $7,500 bail; Julio Mota, 24, insurance fraud of $1,500 to $20,000, with $7,500 bail. Big V’s Body Shop: Christopher Adam Enriquez, 28, insurance fraud of $1,500 to $20,000, with $1,500 bail.
C&M Body Shop: Miguel Angel Garcia, 50, insurance fraud of $1,500 to $20,000, with $2,500 bail; Michael Christopher Crowe, 27, insurance fraud, with $10,000 bail. We thank kfoxtv.com for reprint permission. As always, suspects are innocent until admission of guilt or proven guilty in a court of law.
www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 11
Electronic Paintless Dent Reduction Device introduced at SEMA
Eco Repair Systems of North America LLC and its importing partner, Robaina Direct LLC, recently introduced the 3650A T-Hotbox. The device made its debut at the SEMA show in Las Vegas, Nevada in November 2015 and Bryan Robaina, President of Robaina Direct, said it sold out in the first 1.5 days.
Electronic T-Hotbox Launched at SEMA
Q: Congratulations on the launch of the 3650A T-Hotbox Bryan. Can you tell us more about the device?
A: First, it’s described as an electronic soft dent reduction device. In the hands of an expert, one can reduce and or possibly eliminate the ‘soft dents’ on flat or
convex-shaped exterior steel body panels that exist on most vehicles. The second option, that’s either equally or more important to body shops and collision repair centers, is the ‘push to paint’ function. This is what shrinks and tightens metal in those ‘small medium sharp’ (stretch dents). These dents are classified as slightly more aggressive small door dings or dents, especially where the paint has been broken. This ‘push to paint’ method is commonly used when damage is included in the repair order. As for the ‘dent reduction’ ability of the tool, it’s most commonly used in select paintless dent type repairs or to quickly reduce the size of the dent in blend areas. Either way, the body shop, repair center, dealership or PDR technician can, with practice, dramatically improve their repair cycle time on this type of ‘small dent repair.’ Most vehicles have a combination of small and medium dent damage when they arrive at the collision repair center.
Q: What are some of the other ways the product can be used?
A: The next way to increase and expand on the opportunity of use with this device is in combination with what’s known as a ‘tapping down’ technique of high spots (ridges), crowns or blending and ‘shal-
12 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
lowing out’ the slight impressions in the center of the dent. This technique requires using the included ‘plastic punch tool.’ In doing so, the technician has a good possi-
T-Hotbox VS pen
bility of achieving results in a matter of minutes that either would have taken much longer before or that you had to subcontract out (to PDR technicians). Like all other true professional panel repair tools, the 3650A T-Hotbox requires a basic working knowledge of panel repair metal working or PDR ‘know-how’ to reduce the learning curve. It doesn’t mean that an apprentice can’t learn though; after all it is a ‘push button’ tool. Q: Can you describe the three main principals that the product utilizes?
A: The 3650A T-Hotbox works on 3 main principals: heat, magnetism and vibration. For clarification purposes, the magnetic component is not the primary characteristic and is only activated when the button is depressed. The elements of heat and vibration are the bigger players in the tool’s function. This is a unique one-of-a-kind, three-part technology that’s based on the original patented device that started as a 230 volt-only version back in 1999. Now the 3650A T-Hotbox, that’s exclusively sold here in the U.S., operates on 110-120 volt 60 hertz power. Its compact size and design make it easy to use in facility repairs as well as for mobile use in PDR services. The “kit” includes a main power unit with pre-attached power and second cable that comes assembled with the hand piece known as the “VS pen.” Q: What are some of the functions on the unit?
A: The main unit has a rocker switch for the on and off functions. Next, it has a main dial that can be rotated to the left to limit the effective pulse time (of heat, vibration and magnetism). Turning the dial to the right allows the user to control the percentage and sets limits on the amount of power, while the VS pen controls the See Electronic Paintless, Page 18
Auto Safety Ratings to Include Collision Prevention
On Dec. 8 the government announced plans to update its safety rating system for new cars and trucks to include whether the vehicle has technology to avoid crashes, in addition to how well it protects occupants in accidents, according to reports in the LA Times. The 5-star rating system now uses crash tests to assess how well people inside are shielded from injury or death in front, side and rollover crashes. While that will remain a big factor in the ratings, they also will take into account whether the vehicle has nine technologies that can help prevent or lessen the severity of crashes. Those technologies include sensors that can detect an imminent frontal collision and apply the brakes, or warn drivers about vehicles in their blind spots or that they're drifting into another lane. Some technologies automatically switch headlight high beams to low beams when another vehicle is approaching, help prevent rollovers, and employ amber rear turn signal lights that drivers are quicker to identify as indicating a turn rather than braking. In addition, the ratings will include a new type crash test designed to simulate cars that collide at an angle. Crash tests will also use improved crash-test dummies that better repre-
sent how accidents impact the human body. And the rating system will reward cars designed to protect pedestrians who are struck by them. One of the government's aims in updating the rating system is to put pressure on automakers to include crash prevention technologies in all vehicles, not just more expensive luxury models, said Transportation Secretary Anthony Foxx. In the past, automakers have voluntarily included more safety technology in vehicles in an effort to earn more stars, but many of the nine technologies proposed for the rating system are primarily available in a limited number of higher end vehicles. "We're going to raise the bar when it comes to protecting vehicle occupants," Foxx said. The department's goal, Foxx said, is to ultimately prevent crashes altogether. He said he's hopeful that will happen in his lifetime. The rating system posts a rating of one to five stars on the window stickers of new cars to help shoppers identify the safest vehicles. The new system will also include half stars as well as full stars to get at nuances in safety features, said Mark Rosekind, head of the National Highway Traffic Safety Administration, which administers the ratings system.
ASA Announces Regional Training Programs The Automotive Service Association (ASA) has announced a new initiative designed to bring management and technical training to several regions of the United States in 2016. First, ASA has scheduled a training event for February in Orlando, FL. This event will be held in conjunction with ASA’s newest affiliate: ASA-Florida. Program details, including date, speakers and topics for discussion, will be announced soon. A few months later, a similar event has been scheduled in Illinois in cooperation with ASA-Illinois. Details of this program also will come later. ASA developed the concept for these regional training events based on demands of the marketplace and the needs of ASA members. Typically, service repair shop owners and managers do not have the ability to close down their operations for several days during the week without adversely impacting their businesses. Tony Molla, ASA vice president, said, “We understand the value of a shop’s time, but we also understand its need for ongoing training if it’s going to remain viable and profitable.” ASA plans to deliver this training in a two-day format, with management training on Friday and technical
training on Saturday. The schedule is intended to create a learning environment that is least disruptive to a shop’s business and revenue. Shop owners and managers attending the training sessions will receive credit from the Automotive Management Institute (AMI) toward earning their Automotive Accredited Manager (AAM) designation. Jeff Peevy, AMI president, said, “AMI has quickly re-established its presence in the industry as the only nationally recognized degree for automotive managers for the collision and service repair industries. This is an ideal opportunity for shop owners and managers to earn credits toward their AAM in a single weekend.” Dan Risley, president of ASA, said, “ASA and its board of directors will continue to seek opportunities to help our members grow their respective businesses through our national trade show, NACE | CARS, membership benefit programs and these regional training events.” ASA Chairman Donny Seyfer, AAM, added, “ASA remains committed to giving back to the industry and to independent collision and service repair businesses in the United States. We support and give back to those who support us.”
www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 13
Texas Vehicle Crashes and Fatalities Continue to Rise According to Insurance Council For the fourth year in a row, the numbers of vehicle crashes in Texas involving both injuries and fatalities have risen. Both numbers began rising dramatically in 2012, when Texas highway speed limits were raised.
slowly began to increase in 2011. In 2012, when higher speed limits were posted across the state, injury traffic collisions increased 8.3%, while statewide traffic fatalities increased 9.1%. Both numbers continued to increase in 2013 and 2014. (See charts) The Insurance Institute for Highway Safety (IIHS) says the improving economy is likely a significant factor in the increase, but higher speed limits may also be contributing. “Our research has shown that the higher the posted speed limits, the faster drivers Statewide Reportable Motor Vehicle Traffic Fatal Crashes go and more crash deaths occur as a result,” said Anne McCartt, senior vice president of the IIHS. “The economic recovery is probably the main reason that fatalities are increasing in many states, but the trend toward higher speed limits is troubling. A large body of research suggests these higher limits will inevitably result in more crashes and fatalities.” (See IIHS charts) Hanna said traveling at Statewide Reportable Motor Vehicle Traffic Injury Crashes higher speeds during danger“With new safety features on veous driving conditions such as around hicles and the 55 mile per hour speed construction zones, hazardous weather limit, traffic fatalities had gone down every year,” said Mark Hanna, a spokesman for the Insurance Council of Texas. “As soon as the speed limits began rising on Texas highways, so did the number of traffic injuries and fatalities.” Traffic fatalities bottomed out in 2010 and then
OpenbayASP App Monitors Repairs from Phone
Openbay is an online marketplace that allows customers to locate, schedule, and purchase auto repair services in their area. The company’s new OpenbayASP app builds off an already established community of service professionals by allowing them to communicate with car owners via text, pictures, video and more. With OpenbayASP, the wall between mechanic and driver has been broken down. “This mobile platform positions shops to efficiently acquire and communicate with in-market consumers,” said Rob Infantino, CEO of Openbay. “Openbay customers benefit too— OpenbayASP brings
transparency to auto repair, enabling shops to share video and photo of vehicle issues, so customers are better informed about the need for repair and maintenance.” The app is available exclusively for Apple devices for the time being, and also helps shop owners review incoming service requests, respond with quotes, schedule appointments, and process payment. Openbay announced another smartphone app called OpenbayConnect. The program expands on the company’s online services by adding an OBDII plugin, which opens a line of communication between your car and your phone.
14 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
and at night with poor lighting, will greatly increase your chances of having a serious accident. “There are times when despite the posted speed limit, drivers should slow down and use caution. Just because the speed limit says
75, doesn’t mean that’s how fast you must drive,” Hanna said. “Distracted driving has also played a contributing factor in the state’s auto injury and fatality count.” Auto insurance rates in Texas have also risen during this time reflecting the costs of auto repairs and increased medical costs. The National Association of Insurance Commissioner’s (NAIC) most recent report lists Texas as 14th among states in auto insurance premiums. The Insurance Council of Texas is the largest state insurance trade association in the country consisting of approximately 500 property and casualty insurers writing business in Texas. For more information click on www.insurancecouncil.org or follow us on Facebook at ICT On Facebook and Twitter@Ins CouncilTx and @VoiceForTexas for other up to date news and information.
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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 15
Shop Strategies Body Shop Vice President in GA Says Be Prepared for the Unexpected with Stacey Phillips - ASSISTANT EDITOR
Cherokee Collision Center in Georgia celebrated the grand opening of its second shop in December. Gene Sweeney founded Cherokee Collision in Marietta in 1993. Gene’s son R.J. will be running the new Canton location. Autobody News asked R.J. about the new shop and growing up in a family business.
Q:
town Canton that we felt would be a perfect location. Our first efforts were directed to cleaning the facility shop and make the necessary reconfigurations and modifications for use as a collision repair facility. With permits and constant changes in requirements it became a
What prompted you to open the new collision center and what did it entail to set up?
Our decision to have a facility A: in Canton, GA was due to the demand of our customers and com-
munity members who wanted our services closer to their home. We started looking for land back in January 2013 and struggled to find a good location for a couple of years. In March of this year we stumbled across an abandoned mechanical shop that was located in the heart of down-
Cherokee Collision Center in Georgia opened its second location in Canton
significant, daunting and costly undertaking but we believe it will be well worth it in the years ahead. We had begun purchasing the needed equipment for the new location long before we found the location so we were ready when the time came.
What were some of the chalQ: lenges and what is your advice to others considering opening a new shop?
The challenges included finding What are some of the things you A: a location close to a high traffic Q: have incorporated into the new area to have the exposure to drivers as shop?
well as easy to find. Added challenges were dealing with zoning, the fire marshal and permitting to get the old facility compliant with current mandates and restrictions. These caused additional challenges and costs that we hadn’t fully anticipated and/or prepared for, which caused considerable delays. Our advice to anybody opening a new shop would be develop a business plan and make sure you have REALLY thought it through. Today’s ‘collision centers’ aren’t like the ‘body shops’ of the past and the cost to open a new facility (even in a modified existing building) is costly. Be prepared for the unexpected and the costs that may fol-
in our existing facility in Marietta, we have designed this shop around “lean methodology.” Once the vehicle enters production, it does not leave production until the vehicle is finished. Our goal when designing this facility was to “do more production in the least amount of space” by maximizing efficiency and productivity. We will have a state-ofthe-art side loading GFS paint booth, two GFS prep decks, one in-ground Car-o-liner Bench repair rack, one drive on Car-o-liner rack, and one lift. Our
2016 First Quarter Training Schedule
All Sherwin-Williams Automotive Finishes training centers feature state-of-the-art teaching tools, such as iPads, to enhance the learning experience for today’s collision repair professionals. Explore our robust training programs in a variety of areas designed to improve productivity and profitability. Training Center
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Our new location is approxiA: mately 8,900 square feet, including office and production space. As
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low. Be sure you have thought it out and are fully prepared for the task at hand and the frustrations that one may be faced with.
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Number of Days
For more information about Sherwin-Williams Automotive Finishes courses, visit its training section at: http://www.sherwin-automotive.com/collision-repair/training-support or call 1-800-SWULTRA (1-800-798-5872).
employees will consist of one global team that works together to get each vehicle repaired properly and thoroughly. We will be using Summit Management System and utilize their “scoreboard” so that our team of technicians can track the amount of labor hours they generate on a consistent basis. These efforts enable Cherokee Collision Center(s) to meet our mission statement and commitment to our customers. Our mission is to provide the most efficient, highquality collision repairs while providing exceptional customer service.
Service program. We focus more on branding and marketing our message to our customer base within our market areas. Unless an insurer is motivated by high-quality repairs, which restores the consumer’s vehicle properly and thoroughly in fit, finish and function and not merely price alone, our business model may not fit their needs. We see the vehicle owner as our customer and while we work “with” all insurance companies, once our customer’s vehicle is placed in our trust, we work for them. This philosophy has served our company well over the years and provided us the success and profitability to enable us to consider expanding to new markets. What have you learned over the years growing up in a fam-
Are you part of a DRP proQ: gram? Our Marietta location particiA: pates in State Farm’s Select Q:
ily business and how has that shaped your philosophies running the shop?
I have been around our family A: business and the industry my whole life. I started off as a shop porter
back when I was in the 9th grade working during the summer and have done everything from washing cars to body work to parts management, to estimating. After graduating with my major in business administration, I decided to join my dad and have been managing the shop since May 2007. My dad has taught and encouraged me and several years ago he engaged the services of Barrett Smith of Auto Damage Experts (ADE) for coaching/consulting services, which has allowed me, what I believe to be a
different perspective than most shop managers/owners. This has enabled me to develop new and more effective ways to manage our customers and assist them. The systems taught by Barrett differ from conventional “body shop” management philosophies and as such have allowed us greater profits and customer satisfaction, retention and their ongoing referrals. We will be using these same philosophies in our new location as well. R.J. Sweeney can be reached at (678) 388-7000. If you know of a shop that would like to share shop strategies, contact Stacey Phillips at sphillips@autobodynews.com
www.autobodynews.com
Sherwin-Williams 2016 First Quarter Training Schedule C
Sherwin-Williams Automotive Finishes announced its latest first quarter 2016 collision repair industry courses taking place at training sites from January 5 through March 14, 2016. Participants will learn through a combination of classroom, digital, and hands-on settings at various metropolitan Sherwin-Williams Automotive Finishes training centers nationwide. “In addition to the important, practical application process training with our innovative refinish products, the Sherwin-Williams philosophy of lean operations is common to all our classes,” says Rod Habel, director of training operations, Sherwin-Williams Automotive Finishes. “We’re always seeking to introduce concepts that support sustainable practices, increase productivity and minimize or even eliminate waste—all factors that are necessary for the success of a collision center.” Sherwin-Williams Automotive Finishes 2016 first quarter training schedule includes three-day courses in Atlanta, GA on February 23 (Painter Certification) and March 7 (Color Adjustment and Blending). For more information about Sherwin-Williams Automotive Finishes courses, visit its training section at: http://www.sherwin-automotive .com/collision-repair/training-support/ or call 1-800-SWULTRA (1-800-7985872).
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Autobody News www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 17
Strategies and Tips for Shops Interested in Becoming a DRP by Victoria Antonelli, Online Editor
Becoming a Direct Repair Provider (DRP) is great way for auto body shops to grow their business. That’s the advice Michelle Nelson, founder and president of B2B Automotive, shared during her SCRS 2015 Repairer Driven Education seminar at this year’s SEMA Show. “Auto repair shops can work toward becoming a Michelle Nelson, DRP through marfounder and president of B2B keting their services Automotive to automotive insurance providers,” explained Nelson. “This is a key marketing initiative to grow the volume and reputation of your business.” Nelson said shops interested in becoming DRP certified should follow a step-by-step process: ■ Create unique marketing aimed at insurance companies ■ Gather applicable information, package the data/photography and submit the DRP application Continued from Page 12
Electronic Paintless
pulse time. This side of the dial is for ‘experts.’ In terms of where to first set the device, it is strongly recommended one begins by using the 0.5 setting. This limits the burst of power to half a second at the full 100% power. This is paint safe for paintless dent reduction repair processes. The 1.0 second setting is the upper limit of this “safe zone” but requires monitoring of the surface temperature. For ‘push to paint” type body shop repairs of small dents, the technician would select the 100 percent setting. With this function, one is able to dramatically tighten metal and lift small dents that will be later refinished. The key with both methods of use is to get familiar with the “footprint” of the affective zone on the “VS Pen” (the part that touches the vehicle). The VS Pen has a “V” type design groove at the bottom of it. That V is where the center of elliptical shape lift occurs and where you’ll want to have the center of the small soft dent aligned during the final dent reduction stages. On the “How To” page of www.hotboxPDR.com, you’ll find a diagram showing examples of patterns of use. Q: What advice do you have for shops
■ Prepare for the coordinator visit ■ Deliver the application and discuss the contract ■ Review the contract and do the deal.
Building a DRP résumé is a great place to start, she notes. It will help your business stand out from the competition and make your shop an easily accessible, recognizable brand. When creating an easily read DRP résumé, Nelson notes it’s important to include: ■ A cover that uses up-to-date, clear photos that best showcase every part of your shop, from paint booths to waiting room ■ Information about who are you and why your business should be on the insurance’s DRP list ■ Specific details about what offerings help you stand out from competitors, such as the latest equipment and certifications ■ A map to your location(s) or a link to Google Maps if your résumé is electronic to make your shop easy to find ■ The best means to contact you or a shop representative, along with a photos of staff that agents will be speaking learning how to use the 3650A T-Hotbox?
A: The old adage ‘practice makes perfect’ holds true. There are those who wield tools quickly, as if they have 75 years of experience, and there are those who have to go back to reading the manual again. But the tool never fails… it delivers a set amount of heat, magnetism and vibration. When used properly for the type of soft shallow dent it’s designed to reduce and or repair, the technician can cut repair times down by as much as 60 percent. As mentioned previously, we also include a plastic punch (knockdown tool) in the kit that is required to be used on medium sharp dents or dents that have a pronounced ring, crown or slight crease. Once the operator is proficient, dents can be reduced and or eliminated in just a few minutes for paintless repair operations. In push to paint repairs, the cycle time is potentially faster in comparison. Vehicle manufacturer part stamping divisions, body in white assembly areas, dealerships, body shops and select PDR technicians are avid users and owners of the 3650A T-Hotbox. We’re changing the face of PDR with the touch of one button! For more information and to see our how to videos, visit: www.hotbox PDR.com.
18 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
with to personalize interactions, and links to your website and social media avenues. ■ Branding representations such as your shop’s logo in a large, clear format and any taglines used You can provide a full-color printed DRP résumé or an electronic PDF version.
Follow up the creation of your DRP résumé by developing a DRP spreadsheet that lists the following: ■ Insurance provider ■ Contact name ■ Phone number ■ Email ■ DRP URLs to website applications on site ■ Notes
“When you do receive that phone call or email from the insurance company, be sure the shop is in its best presentable manner,” she said. “Next, coordinate a visit, where an insurance rep will tour your shop. Lastly, deliver the application and discuss a potential contract.” Nelson stresses the importance of
keeping your bathroom just as cleanly and as the rest of your shop. “Believe it or not, your bathroom has a huge impact on first impressions, not only with your customers but insurance agents too,” she explained. To get other areas of your shop ready for agents’ visits, review each of the following items and ask yourself the questions that follow:
Waiting rooms ■ Is it comfortable? ■ Are their amenities (a variety of magazines, refreshments such as water and coffee, etc.)? ■ Do you offer Wi-Fi?
First appearances ■ Is your shop clean and orderly? ■ Are your employees prepared to welcome visitors and present a friendly, upbeat and professional atmosphere when someone goes through the shop? ■ Are certifications hung where customers and insurance agents can see them clearly? Are they up to date? ■ Are you following safety hazard procedures? See Strategies and Tips, Page 22
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Continued from Cover
Unfinished Business
“That does not reflect well on plaintiffs’ council.” Many observers say the outlook doesn’t appear promising for the other shops’ lawsuits. All of them were consolidated into Presnell’s court in Florida, and all have been dismissed at one point, although he has given them opportunity to refile amended complaints. But little in Presnell’s rulings indicate he has much sympathy for the arguments put forth by the shops’ attorneys. In one dismissal, for example, Presnell addressed the shops’ argument that they were misled by insurers as to what the true “prevailing rate” is by pointing out that the lawsuit states the insurers named in the suit collectively make up 70 percent of the auto insurance market. “One would expect to find that the rates paid by (at least) 70 percent of those in the market are, in fact, the prevailing rates,” Presnell wrote. Whether any of the suits will remain in-process into 2017 will likely become clear fairly early in 2016.
“This doesn’t mean that the result that might come up at the end would be something that CIC would completely condone, but I think it behooves us to at least be involved in what might be something that we’re going to have to deal with.” – Pat O’Neill of the Collision Industry Conference (CIC) Insurer-Repairer Relations Committee.
O’Neill’s committee has over the last several years examined the challenges posed by the wide-ranging formulas some insurance companies use (or require direct repair shops to use) to determine length of rental, some of which set unrealistic expectations for consumers as to how quickly their vehicles will be repaired. At the CIC meeting this past November, O’Neill some insurance companies were planning to work on a new formula, so the committee “felt it would be very important that as an industry we had input into that and were able to participate in whatever that outcome may be.” O’Neill said the goal would be to develop an alternative formula by the end of 2016 that could be tried by some insurers.
20 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
“We’re going to bounce up against some regulators.” – Clint Marlow, one of two national auto claims directors at Allstate
As automaker shop certification programs proliferate, and as collision repair processes continue to become evermore vehicle-specific and complex, the days of every shop and technician being able to fix every car seem to fading. Speaking at NACE last summer, Marlow and other insurer representatives were asked what they will do if they know that a customer’s chosen shop is not equipped or certified to properly repair the type of vehicle or damage involved in a claim. Will they, for example, push that customer to choose Clint Marlow a different shop? Marlow said he thinks they should though he admitted that may lead to some friction with regulators over antisteering regulations. Marlow said that type of situation, in which the chosen shop may not even have access to purchase the structural parts needed (because of automaker restrictions), becomes a
“moral dilemma” for insurers trying to honor customer choice and follow antisteering regulations. “At the same time, you’re thinking, ‘I’m really not feeling great about this repair facility’s ability to fix this Cadillac CT6 or this Ford F-150,’” Marlow said. He said Allstate hasn’t “worked the details out yet,” but will “take the high ground” by “educating the consumer” in such cases. “So we’re not going to go as far as saying, ‘You need to take your car to [a particular shop],’ but we are going to have a discussion around the uniqueness of their vehicle, some special repair techniques that may apply, and some questions that we feel strongly they need to ask their repair facility,” he said. How Allstate and other insurers respond to these situations will be something to watch in 2016. “We can’t put our heads in the sand and say, ‘Gee, we wish this was 1965 again when we just had to have a good sound system and a convertible and everyone was happy,.’ We need to completely rethink our business model, really redefine ourselves from a car and truck company to a mobility company.”
– Bill Ford, executive chairman of Ford Motor Company
Okay, so Ford isn’t going to get out the business of selling cars in 2016, but the comment back in November by the great-grandson of Henry Ford is indicative of the shakeup that everyone in the industry – from car-makers to car-repairers – is going to be feeling in the coming months, years and decades. Accident Tim Nixon avoidance technology, car-sharing and autonomous vehicles appear poised to play havoc with a lot of business models. “I think [the OEMs] are still looking at these trends and really trying to figure out how to participate in them,” Tim Nixon, former chief technology officer for OnStar, said at last fall’s
“Telematics West,” a 2-day conference focused on “connected car” technology and trends. “I think it’s going to take them a while to figure it out, but they can’t take too much time. These alternative disruptors are starting to accelerate. It’s not like [the automakers] can wait until 2025, because it will be game-over by then. A lot of this is going to happen before then.” As Nixon suggests, savvy business-owners in any part of the automotive industry won’t let 2016 pass without starting to think about the future.
John Yoswick, a freelance writer based in Portland, Oregon, who has been writing about the automotive industry since 1988, is also the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). He can be contacted by email at jyoswick@Spirit One.com.
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Continued from Page 18
Strategies and Tips
If your shop isn’t taking advantage of social media to market your business to insurance agents and customers, it should be. Nelson says it will be time well spent. Social media allows shop owners to ask people what they think and to reply to their experiences, to tap into consumers’ real needs by reading reviews and ratings, and to drive traffic to your shop. Available social media outlets continue to grow, but don’t let that scare you. Begin with a few of the established sites like Yelp, Facebook and Twitter and grow into others.
Yelp Businesses new to the world of social media should begin by establishing an account on Yelp. Insurance companies and the public use the site to see what others have to say about businesses and make purchase decisions based on what they learn. It is important, however, to monitor the site and respond to reviews. Nothing will harm your business quicker than a host of negative reviews, particularly if they go unanswered. According to Nelson, shops can use Yelp’s tools/enhanced portfolio galleria to drive page clicks and enrich viewer interest. Ultimately, a good Yelp site will generate revenue.
Facebook Most people use Facebook to connect with friends and family. For a business, it is an excellent referral source and a good way for customers to contact you. Using Facebook allows shops to build a “like” database; share upcoming events, stories and monthly news. It also allows a business to advertise and build a “like” database.
Twitter Business owners can share quick information about important dates & events. They can connect with other industries and build a following by sharing quick business-related tips that aren’t directly connected to a sales pitch. That suggests you as a source expert when the consumer has a need. Join the #Hashtag craze!
Google+ This is another important site to track for reviews of a shop’s services. A business owner should claim their business. Authorship keeps your unique and original content valuable and accred-
ited to your business. It influences your search rankings. ■ Circles – Add circles with interest in your company or with the same automotive interests ■ Reviews – Keep up to date on the good and bad ■ Share content or set up Google AdWords ■ Encourage coworkers to set up their own Google Plus pages and share content ■ Google Search enhancement with SEO
YouTube This is the second largest search engine and is linked with Google search results. Be sure to associate your YouTube with your shop name. This site allows you to share videos of your shop, video review and industry videos on your page and throughout social media. Consumers will embed and share videos associated with your domain. An easy way to manage content marketing using this social media channel is to re-purpose content you have already created as you can reach an audience that will love that particular type of content. YouTube also allows you to build an email list with subscriber software.
LinkedIn As the business owner, set up a personal account and add a business page to your account. Through this site, you’ll be able to post job openings at your shop; upload your resume, contact information and certifications; gain referrals, recommendations, and add other people or businesses to your groups; gain visibility with your shop and utilize advertisements; maintain relationships with other vendors, shops, and customers; and stay on top of news and notifications with groups and connections in the industry.
Pinterest Set up a portfolio of your shop and talk about it. Be creative. Make it personal because this is another way to brand your shop. You can gain thousands of followers in the industry. All you need to do is set up boards with industry tips, shop news, and events to make your business relevant. It allows you to drive traffic to your business by linking back to the source through PINS and that will help when it comes to search engines. Foursquare This social media tool allows you to be easily found and see what people are saying about your shop so claim your
22 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
listing. Stay in tune with reviews and respond to good and bad because customers and potential customers are watching. You can use Foursquare’s advertising solutions and offer specials too. That will help you grab local traffic to your shop, as will using local updates to engage with customers who’ve checked into your business. Let people know what you provide and use it to show people you’re invested in the local area. According to Nelson, all social media should be linking back to your website, the most important aspect of your online presence. Insurance companies, customers and fellow industry members will be viewing your website on a regular basis.
What makes a good website? ■ Use of a prominent header with your shop’s phone number, logo and icons of your top 3 social media links ■ A consistent design throughout the site ■ Minimal copy with a good balance of imagery ■ Bullets and other features such as accordion style options to hide content for pages that are copy heavy ■ A balanced footer with social media links, ©copyright info, sitemap
and possible RSS feeds from other social media sites. ■ FAQs on your page that give the user a quick answer ■ Google map and locations page ■ A lively blog.
According to a HubSpot survey, 60 percent of businesses that blog acquire more customers. It creates a two-way conversation and feedback. Blogs are cost-effective marketing investments. Every post you publish is a long-term asset that helps build brand awareness and promotes your expertise, products and services. A blog keeps you focused on your content marketing strategy. You must create a schedule and stick to it to continuously deliver purposeful content. A blog builds confidence, relationships and sales. Customers will look to you as a reliable resource for information on your industry; then come to you as a business consumer. It also enhances your rankings among search engines. If you have marketing questions and an interest in seeing how B2B Automotive can help get your business into the fast lane, contact Michelle Nelson at 888-222-5128 or 314-9201147. You can also check out their website at btobautomotive.com.
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Crown Ford of Fayetteville 256 Swain St. Fayetteville, NC 28303 Parts: (800) 682-5092 www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 23
Midwest Auto Body Trade Show Will “Focus On The Future,” with “There is No Free Lunch” technicians, owners, reps, and spouses alike to mingle and enjoy the good will The 6th Midwest Auto Body Trade that this industry creates. Show will be held February 5 and 6th at “Prairie Meadows is such a beauPrairie Meadows Conference Center in tiful facility, it is the perfect place for Altoona, Iowa. The timely message of this type of industry gathering,” says this educational event is to “Focus On Christy Jones, RJones Collision 1, Des Moines, “joining I-CAR and the The Future.” Mike Anderson of Collision Advice is the Keynote Speaker for Iowa Collision Repair Association for this year’s Midwest Show. Iowa Insurthis evening is a win-win.” ance Commissioner, Nick Gebhart, A strong educational venue is in will speak at Saturday’s luncheon. place for this show. Friday, the proFriday night hosts a Welcome Regram seminar will be a Mike Anderson ception in conjunction with the Iowa I- Estimating Seminar. Saturday mornCAR Committee featuring a Silent ing, there will be 4 break out sesAuction with proceeds going to student sions—technical, estimating and education. This is the opportunity for management. The Trade Show features 70 display booths featuring more training and product displays. A cornerstone of the Midwest Auto Body Trade Show is the popular, “There is No Free Lunch.” Mike Anderson will open this session bringing Industry Trends and more to the audience. ICRA Lobbyist Scott Weiser will bring the inDes Moines Area Community College won the Community dustry up to date on Iowa legCollege Refinish Program last year at the Midwest Auto Body Trade Show islation relating to the by Janet Chaney
24 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
collision industry and an overview of the association legislative activities. Weiser will then introduce Iowa Insurance Commissioner Nick Gerhart.
Chief Global Training Manager Ken Boylan talks about aluminum repair with technicians at 2015 show
“This critical information is something our colleagues will only receive in this forum,” John Arnold of Arnold’s Body Shop in Davenport, Iowa, Legislative Liaison of the ICRA, “There is tremendous value in what is happening here.” The Midwest Auto Body Trade Show is very excited to host the second Iowa Community College Refinish Competition. In 2015, seven community colleges competed. Booths were furnished to the colleges to show off their refinish projects. “This is a fantastic addition to this show,” said ICRA President, Dick
Merron. “We need to reach out and welcome these young people into our industry and show them what great opportunities are here for them.” ICRA Board Member, Mike Gardner, Keystone Industries, is managing the 2016 Community College Refinish Competition. He added, “We support this 200%, and I am honored to be working with the schools to make this happen.” The colleges have received their hoods for the 2016 show and we look forward to their skills and creativity being represented February 6th. The trade show floor opens directly after “There Is No Free Lunch” to over 70 vendor display booths. Show specials, gift certificates, special show discounts and door prizes will be offered during the show, along with a display of new car models. The 6th Annual Midwest Auto Body Trade Show is a free inter-industry event, inviting collision repairers, insurers, manufacturers, vendors, recyclers, OEMs and students from the Midwest to participate. “This is the largest and best Midwest show yet,” said trade show chair-
man, Dick Merron of Iowa Auto Rebuilders in Waterloo, Iowa. “Our industry is changing so fast, there are so many new challenges for repairers. We are bringing real time information to use to ‘Focus On The Future.’” “The ICRA has expanded this event to a Friday and Saturday to make it possible for technicians to participate in the event,” said Iowa Collision Repair Association Executive Director, Janet Chaney. “The date has also been moved forward to February to avoid more scheduling conflicts.
ICRA Lobbyist Scott Weiser (L) introduces Iowa Senator Brad Zaun at the Trade Show Luncheon
“If Iowa has a big snow storm – we recommend everyone have 4 wheel drive and snow tires(or snowshoes) – we know you can make it!” For more information, visit www .iowacra.com or call Janet Chaney at 480-720-2565.
UK Insurers: Luxury Car Drivers Have More Accidents
A UK study says that Smart car drivers are the nation’s safest, with luxury brands like Lexus faring poorly in accident rankings. New data reveals that Smart drivers have the lowest “at fault” insurance claim rate out of any car make. Between July 2014 and June 2015, Mercedes Benz-manufactured Smart cars only registered 78.6 at fault claims per 1,000 drivers. By comparison, Lexus owners proved to be the worst offenders, with 111 at fault claims per 1,000 drivers. The statistics reveal outdated driver stereotypes. Despite a reputation as a ‘boy racer’ favorite, Subaru slotted into third with just 79.7 at fault claims per 1,000 drivers. By comparison, luxury brands Land Rover and Audi joined Lexus in the bottom five, clocking 110.1 and 105.2 at fault claims respectively. Comparison site MoneySuperMarket analysed over 11.3 million car insurance quotes run on the site over 12 months. Mercedes and BMW do not make the list because their claims data falls somewhere in the middle. Premiums are then based upon the statistical likelihood that a car will be involved in an accident based on those parameters. The driver’s past record of accidents and claims will be taken into consideration too.
Vehicles 14 Years & Up Soar
According to Lang Marketing cars and light trucks 14 years and older will be the fastest growing vehicle age group in the U.S. between now and 2020. Lang Marketing projects more than a 16% surge in light vehicles at least 14 years old during a time when the total light vehicle population will increase less than one-third this amount. Lang Marketing projects approximately 15 million additional vehicles 14 years and up on U.S. roads by 2020, changing the mix of aftermarket products installed on cars and light trucks in the U.S. and infusing the light vehicle aftermarket with much of its growth. Ten years ago (2005) cars and light trucks 14 years and older comprised less than 21% of light vehicles on U.S. roads. With the unprecedented downturn in new car and light truck sales across the U.S. beginning in 2008, the age profile of vehicles in operation (VIO) began to rapidly shift. As new vehicle sales in the U.S. plunged between 2008 and 2011, Americans held on to their vehicles, rather than replacing them. As a result, the population of vehicles 5 years and younger imploded as the older vehicle population surged. Between 2007 and 2013, the number of cars and light trucks 5 years and younger fell more than 17 million.
Fiat Chrysler to Pay $70 Mln U.S. Auto Safety Fine
Fiat Chrysler Automobiles NV has agreed to pay $70 million in fines to resolve a U.S. investigation that it failed to disclose vehicle crash death and injury reports, people familiar with the matter told Reuters. The settlement is expected to be announced by the NHTSA. Fiat Chrysler in September acknowledged it had failed to disclose an unspecified number of reports that are required to be submitted to regulators under a 2000 law. NHTSA in September called Fiat Chrysler's reporting omissions a "significant failure." This is the latest fine imposed by the U.S. auto safety agency after it came under harsh criticism from Congress and in a government audit for not being more aggressive in enforcing safety laws. In a new highway funding law, Congress agreed to give NHTSA more funding if it implements more reforms outlined by the Transportation Department inspector general. Fiat Chrysler told NHTSA earlier this year it had problems with its software for extracting information from a company database to submit to NHTSA, and as a result significantly under-reported death and injury claims. There is no indication that Fiat Chrysler intentionally hid the reports.
www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 25
ALLDATA President Discusses Importance of Trade Shows, Future Plans by Victoria Antonelli, Online Editor
Autobody News interviewed ALLDATA President Mitch Major at the 2015 SEMA Show to get the latest on the historically mechanical company’s recent advancement in the collision repair sector.
Q: A:
Since we last spoke at NACE, are there any updates to ALLDATA’s collision repair sector? I wouldn’t say updates as much, in terms of the product itself. We continually add information and updates from the OEMs to the database on a makes/models perspective, so the product itself is stable at this point. I would say the biggest change, which I alluded to a little when we were in Detroit, is that we are having more the conversations with the marketplace about keeping shops up-to-date on OEM repair information. We communicated with insurance carriers and collision parts providers at SEMA about how we could pull it all together. We want to take the OEM information and tie it to the parts to create a higher likelihood that the repair is being done based on the OEM specs. The complexity of the vehicles is advancing so quickly that if shops are not using the OEM information, they risk making an incorrect repair, which could result in injury or death. I think the carriers have always been open to the notion of OEM information being available to the shops, and now it’s becoming something shops expect verses just a good idea for the future. We had meetings all over Las Vegas during SEMA with carriers and parts providers, and with each passing the day, the conversations continue to evolve.
What are the most frequent Q: questions and/or concerns you encounter? Everyone, from parts providers A: to collision repair technicians, is talking about the aluminum bodied
Ford F-150 and how much more complex it is. I was recently discussing the difference between dealing with a damaged quarter panel on a steel Ford versus an aluminum Ford, and I think the main question is, how do we merge this technology, the information, and the vehicles all at the same time? It’s something we need to figure
out soon, especially now that aluminum vehicles are becoming more predominant in the market place. A lot of shops are seeing more aluminum vehicles come in, and when they start to take off the quarter panels, what they see underneath is not something they’re familiar with. So, in some cases, they’re even making phone calls to the carriers, saying, what do we do now? Again, if the players in collision don’t pull all of this together quickly, we will continue to create an environment where technicians are encouraged to do the repair the wrong way, which introduces risk to all parties.
What is the status of ALLQ: We DATA’s Community database? are working with a lot of parties in the automotive space A: to try and populate it with more repair
information. There are many national players that have 20 year databases of repair orders, so we are working to partner with them. Ultimately, we see Community becoming just as viable as the OEM information. It’s a way to help technicians fix the car that’s on the lift or the collision repair that’s in process even faster.
for 2016? Q: WeNewwantplansto continue developing A: strategic partnerships around collision, especially integrating with
partners on the software side. We have the largest OEM database of collision repair information, which is an asset for folks who don’t want to build one on their own. We’re spending as much time as we can with the top 10 carriers to talk about, strategically, how can we work together to market, using the OEM repair data, to shops and educate them on the importance of using this information. There are still a lot of shops out there that have been doing it the same way for the past 20 years. The problem with that is, if you start to cut through some of the sections in this day and age, you just can’t put it back together the way you could when it was just a steel frame.
What methods do you use Q: when you communicate with the more “traditional” shops? We partner with carriers who A: already have a preexisting relationship with these shops. That way,
26 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
when we can call to discuss the importance of the OEM repair information, the complexity of metals and adhesives, etc., we are going through someone who they feel is a trusted advisor, instead of cold calling. We are then viewed as more than just a person trying to sell something.
can be more efficient with tackling issues that arise.
What is your opinion on driQ: Those verless cars? ideas, even when they A: stick, generally take 10–20 years to fully work through the mar-
Q: A:
ket place, so we are monitoring it, but we’re not too worried about it yet. Our main concern is the security risk; we’ve all seen the articles in the last year about someone taking a car over from two states away. The notion that cars can’t collide is awesome, but at the end of the day, cars just talking to each other will not ultimately solve that problem. That doesn’t account for things like snow and other volatile weather conditions. So even though we don’t think that driverless cars will make collisions go away, we certainly think they will impact the industry. We always want to be prepared to serve the market place as it changes, but I think that’s more long term than short term.
What is the most beneficial aspect of coming to these trade shows? We love coming to the trade shows because we get to spend days talking to the customers and asking what they think about us; the good and the bad. We are all about putting customers first and being responsive to suggestions. The trade shows are where we build our product road map; we just come and try to take down as much information as we can. Once we’re back at the office, it takes 30 or so days to really go through everything and have strategic discussions about what we need to change and how this new information will affect our path. We are also working on bringing mobile and car connectivity to the collision repair space, so shops
For more information on ALLDATA, visit their website at www.alldata.com.
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GEOR GIA
Carey Paul Honda S ne ll vi ll e
770-985-1444 Dept. Hours: M-F 7-7; Sat 7-6 gperkins@careypaul.com
Ed Voyles Honda M ar i e tta
800-334-3719 770-933-5870 Direct Dept. Hours: M-F 7-7; Sat 7-6 hondaparts@edvoyles.com
Gerald Jones Honda
866-362-8034 770-306-4646 Dept. Hours: M-F 7:30-7; Sat 8-5 hondawp@nalleycars.com
Southern Motors Honda Savann ah
888-785-8387 912-925-1444 Dept. Hours: M-F 8-6; Sat 8-5 angela@southern-motors.com MI SS IS SI P P I
Patty Peck Honda
A ugus ta
Rid g elan d
800-733-2210 706-228-7040
800-748-8676 601-957-3400
Dept. Hours: M-F 7:30-6; Sat 8-5 tdunn@geraldjoneshonda.com
Dept. Hours: M-F 7:30-6; Sat 8-5 pmartin@pattypeckhonda.com
AC U R A AL AB A MA
FL OR IDA
GEOR GIA
GEO RG I A
Jerry Damson Acura
Duval Acura
Jackson Acura
Hu n ts vi lle
J ack so nv il le
Ro swe l l
Savann ah
800-264-1739 256-533-1345
800-352-2872 904-725-1149
877-622-2871 678-259-9500
800-347-0596 912-232-3222
Dept. Hours: M-F 7-5:30; Sat 8-4 Rkeel@damson.com
Dept. Hours: M-F 7-7; Sat 8-5 cecil.adams@duvalacura.com
Dept. Hours: M-F 7-6; Sat 7:30-6 kmcmillan@jacksonacura.com
Dept. Hours: M-F 7:30-6; Sat 8-2 Tim.johnson@acuraofsavannah.com
Rick Case Acura
Nalley Acura
FL O RI D A
Acura of Orange Park J a cks on v ille
888-941-7278 904-777-1008 Dept. Hours: M-F 7-8; Sat 7-5; Sun 9-3 msweeney@acuraoforangepark.com
F o rt La u de rda l e
M ar i e tta
800-876-1150 954-377-7688
800-899-7278 770-422-3138
Dept. Hours: M-F 7:30-6; Sat 8-5 rubenramos@rickcase.com
Dept. Hours: M-F 7-7; Sat 7-5 byoung@nalleycars.com
28 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
Southern Motors Acura
N O. C AR O LI NA
Flow Acura Win st on -Salem
800-489-3534 336-761-3682 Dept. Hours: M-F 7:30-6; Sat 8-1 www.flowacura.com
NO . CA R O LI N A
NO . CAR OL INA
Apple Tree Honda
Metro Honda
Ash ev ill e
I n di a n Trai l
800-476-9411 828-684-4400
866-882-9542 704-220-1522
Dept. Hours: M-F 8-5; Sat 8-4 appletreeparts@hotmail.com
Dept. Hours: M-F 6:30-6:30; Sat 7-4 www.copytk.com
Burlington Honda
Vann York Automall
B ur l in g t o n
High Point
800-822-5108 336-584-3431
336-841-6200
Dept. Hours: M-F 7:30-6:00; Sat 8-1 parts@burlingtonhonda.com
Crown Honda Southpoint Du r h am
855-893-8866 919-425-4711 Dept. Hours: M-Thu 7-11; Fri 7-6 Sat 7-5; Sun 11-5 www.southpointhonda.com
Hendrick Honda Ch a r lo t t e
800-277-7271 704-552-1149 Dept. Hours: M-F 7-7; Sat 8-5 rob.thomas@hendrickauto.com
Leith Honda R al ei gh
800-868-6970 919-790-8228 Dept. Hours: M-F 7-7; Sat 7:30-5 parts@leithhonda.com
McKenney-Salinas Honda G as to n i a
888-703-7109 704-824-8844 x 624 Dept. Hours: M-F 7:30-5:30 parts@mshonda.com
NO. C AR O L IN A
Hendrick Acura
Dept. Hours: M-F 7:30-6; Sat 8-3 SO . CARO LI NA
Breakaway Honda
TEN NE SS EE
VIR GIN I A
AutoNation Honda West Knoxville K no xvi l le
800-824-1301 865-218-5461 Dept. Hours: M-F 7:30-6 rossd1@autonation.com
Bill Gatton Honda Br is to l
800-868-4118 423-652-9545 Dept. Hours: M-F 7:30-5:30; Sat 8-1 hondaparts@billgattonhonda.com
G ree n vi ll e
800-849-5056 864-234-6481
Wolfchase Honda Ba r tle t t
Dept. Hours: M-F 8-6; Sat 8-5 fmarshall@breakawayhonda.com
800-982-7290 901-255-3780
Midlands Honda
Dept. Hours: M-F 7-7 ekerr@wolfchasehonda.com
C o l u m bi a
877-273-4442 803-691-8585 Dept. Hours: M-F 7-7; Sat 7-4 www.copytk.com
Piedmont Honda
Colonial Honda C he ste r
800-564-9836 804-414-1960 Dept. Hours: M-F 8-7; Sat 8-4 rreese@i95honda.com
800-849-5057 864-375-2082
Duncan’s Hokie Honda
TE NNES SEE
Airport Honda Alcoa
800-482-9606 757-431-4329 Dept. Hours: M-F 8-7; Sat 8-5 fox@hallauto.com
Hendrick Honda Woodbridge Woodb ridg e
703-690-7777 Dept. Hours: M-Fri 7-6 Sat 8-5; Sun 10-4
Valley Honda Stau n ton
800-277-0598 540-213-9016 Dept. Hours: M-F 7:30-5:30; Sat 9-5 bwimer@myvalleyhonda.com
West Broad Honda Rich m ond
VIRGINIA
A n de r so n
Dept. Hours: M-F 7:30-6; Sat 8-5 swhite@piedmontcars.com
Hall Honda V irg inia B each
800-446-0160 804-672-8811 Dept. Hours: M-Thu 7:30-6:30; Fri 7:30-6; Sat 8-3; Sun 11-3 wbhonda@aol.com
C hr ist ia nb urg
800-979-9110 540-381-3200 Dept. Hours: Mon-Fri 7:30-5:30 Sat 8:00-5:00 rthompson@duncanauto.net
800-264-4721 865-970-7792 Dept. Hours: M-F 7:30-6:30; Sat 7:30-5 parts@airporthonda.com
VI RG INIA
Karen Radley Acura
Ch ar lo tt e
Woo d br i d ge
800-768-6824 704-566-2288
800-355-2818 703-550-0205
Dept. Hours: M-F 7:30-6; Sat 8-5 justin.taylor@hendrickauto.com
Dept. Hours: M-F 7:30-5:30; Sat 8-3 coreythompson@radleyautogroup.com
Leith Acura
Radley Acura
Ca r y
F a l l s C hu rch
800-868-0082 919-657-0460
800-550-5035 703-824-5785
Dept. Hours: M-F 8-6; Sat 8-4:30 parts@leithacura.com
Dept. Hours: M-F 7:30-6:00; Sat 8-6; Sun 10-5 jimgraf@radleyauto.com www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 29
Day Job/Night Job It’s a Doggone Good Life for a Body Tech and His Best Friend with Ed Attanasio
Chris Mashburn is a body technician at Dean’s Collision Center in Rome, GA. He does all of the vehicle restora-
The team has competed in 35 events since Mindy went professional in 2013 and were recently featured on ESPN. Credit: Beth Padgett Mitchell
tions for the shop, working primarily on muscle cars and trucks built in the ‘60s and ‘70s. He said that he loves restoring peoples’ dreams one car at a time, but he also has another passion that keeps him busy when he’s not on the clock. Her name is Mindy and she is not Mashburn’s significant other, but rather his three-and-a-half-year-old border collie who is a professionallytrained competitive Frisbee dog and currently ranked 14th in the world. It all started when Mashburn bought a little 10-week-old bundle of fur and named it Mindy. “She is the first dog I’ve ever owned, because I was a cat person for many years, to be honest. I knew I wanted to get a dog that could become a professional Frisbee dog, so that was my goal when I got her.” Mindy comes to work at the shop with Mashburn every day, letting her chill in an area that is away from the shop floor. During lunch, they practice their routines and then it’s back to
30 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
work until closing time. The competition season can take Mashburn out of the shop for extended periods, but fortunately, Mashburn has a very understanding boss, he explained. “Billy Dean is the owner and he likes dogs too and he knows that this is something I really enjoy, so he lets me go to all of the competitions. We plan it all in advance, to make sure that it does not impact the production schedule here at Dean’s.” The duo has developed a strong bond and that’s why Mashburn and Mindy are improving all the time and finishing high in all of their most recent competitions, he said. “Mindy picks up on my emotions and feeds off me when I’m excited or anxious; it’s pretty amazing. I get amped when the routine is going well and she can feel it too. When it comes off perfectly and we’re happy with the performance, it’s a rush for both of us.” The Frisbee training process re-
quires that both dog and master be dedicated to becoming world-class performers together. At 14 weeks, Mindy went through a series of obedience classes and then slowly the
When he isn’t training Mindy or taking her to competitions. Mashburn restores classic muscle cars at Dean’s Collision Center in Rome, GA.
disc was introduced to the mix. At the age of 18 months, Mindy was ready to compete at the highest level, although not every Frisbee dog is ready at the same time, according to Mashburn.
“You have to make sure that they’re mature enough physically to do the routines,” he said. “At 18 months, the plates in their backs and the muscles in the shoulders are probably developed enough to start entering competitions, so we made certain that Mindy was 100% ready before we did anything strenuous with her. She was ready to go when the time came and her enthusiasm for this sport has grown tremendously. It’s like she was born to do this!” When they entered their very first regional competition in 2013, both Mashburn and Mindy were nervous and at first a little overwhelmed. But once they got out there and started the routine, everything fell into place. “There were 18 dogs entered and some of them were really good and since we had zero experience, we thought if we finished in the top 10 we’d be delighted,” Mashburn said. “We over-trained actually and I guess it paid off, because we finished 5th overall. It was a pleasant surprise and at that moment I realized that Mindy could possibly become a world-class Frisbee dog.” After competing in eight different events last year, Mindy and Mash-
burn were ready for the big time when they traveled to Tennessee for the Skyhoundz Classic World Canine Disc Championship in Chattanooga, TN.
Body Tech Chris Mashburn and Mindy, his Frisbee dog, are currently ranked #14 in the world after their performance at last year’s Skyhoundz Classic World Canine Disc Championship in Chattanooga, TN. Credit: Jackie Rodeffer Scheetz
“It’s definitely one of the largest competitions in the world, so both of us were pretty excited,” Mashburn said.
“There were teams there from China, Japan, Russia, Colombia and the Czech Republic and they were all good. It’s an international sport now.” After fixing cars for many years, Mashburn now enjoys old classic vehicles. “I did insurance work for awhile and the money is better, but I love doing restorations. There are no cycle times or super-tight deadlines to worry about when it comes to doing restorations and I’m in this for the long-run, because I get a lot of satisfaction out of it.” After competing in 35 events in seven states, Mashburn and Mindy are ready to hopefully break into the top 10, possibly even next year, but time is on their side, because Mindy hasn’t even entered her prime yet. “She is getting better and so am I,” he said. “I’ll be working with Mindy until I’m 60 years old, so who knows what the future holds? But right now I am focusing on working with her every day and watching her as she becomes a better Frisbee dog.” Does that mean Mashburn is now a dog guy? “Yes, I do still like cats, but Mindy has changed my mind, of course, and now dogs (especially one particular dog) have found a special place in my life.”
DOT Recommends Updated Safety Rating System
The U.S. DOT has proposed a series of changes to the NHTSA 5-star Safety Ratings, also known as the New Car Assessment Program. Under the current program, NHTSA crash tests new vehicles and rates their ability to protect occupants in frontal, side and rollover crashes. The measurement can range from one to five stars. The new DOT proposal takes into consideration new and emerging vehicle technologies. The new standards include: ● A new 5-Star Safety Ratings system, to encompass assessment of crashavoidance and advanced technologies as well as pedestrian protection. ● New tests to assess how well vehicles protect pedestrians from head, leg and pelvic injuries that occur when a pedestrian is struck by a vehicle. ● A new frontal oblique crash test that measures how well vehicles protect occupants in an angled frontal crash. ● An improved full frontal barrier crash test to drive safety improvements for rear seat occupants. ● New crash test dummies to provide improved data on the effects a crash will likely have on the human body. ● An assessment of additional crashavoidance and advanced technologies that offer drivers the most potential for avoiding or mitigating crashes.
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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 31
Lean Operations
The Happy, Well-Informed Customer with David Luehr
Even though most collision repair shops understand the importance of creating a positive customer experience, many continue to unknowingly place themselves and their customers in the uncomfortable situations that poor communication commonly creates. I don’t know how many times I have witnessed this scenario; a customer shows up on Friday afternoon to pick up their repaired vehicle and upon being presented with the bill, exclaims, “I didn’t know I had a $500 deductible!” Invariably, these awkward situations always seem to occur with an office full of other customers! It’s far too easy and irresponsible in my eyes to blame the customers for these situations. I feel that since we deal with this stuff every day we have the right and responsibility to help our customers through the process. Many of the best in class collision repair shops have standardized processes in place to eliminate these unnecessary problems and make the experience for the shop, the customer, and the waiting room full of customers a pleasant and positively memorable one. Here are a few of my suggestions.
The Appointment Reminder Call The appointment reminder call serves several purposes besides just to remind the customer of their upcoming repair appointment. This is a wonderful opportunity to get great communication underway early and begin to cut-off some of the potential problems that commonly occur. Discuss the following with the customer: * Verify drop-off date and time * Early bird drop-off procedures (if applicable) * Rental car or transportation needs (if applicable) * Remove all personal belongings from their vehicle (Trunk, interior, and box/cargo area) * Insurance check has been received
Free
David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry. David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com
(if applicable) * That we will need the key fob for their vehicle * Provide us keys for wheel locks, ski or bike racks, toppers, or tool boxes * Removing sunglasses, garage door openers, parking permits etc.
The Vehicle Check-in Shops are often paying the price for not going over the vehicle during drop-off. I recommend using a standardized form with reminder check boxes. The vehicle check in process promotes both quality and great customer service. Here are a few suggested topics to cover as you walk around the vehicle with the customer: * What is to be repaired? * What is prior damage? (do they want it fixed too?) * Malfunction indicator lights on dash (Was this check engine light on prior to the accident?) * Are there any freebies or special requests? (Touch-ups, wants an estimate for missing light etc.) * Do we have the keys, wheel locks, etc.? * Does the customer have their garage door opener, parking permits, baby seats etc.? * Do we have a signed authorization? * Is the customer fully informed and how much money they will be expected to pay and what forms of payment are acceptable when they come to pick up the vehicle? * What is the best way to reach the customer during the repair process? (Cell phone, text, etc.) * What they can expect in terms of communication frequency from the shop.
In Process I recommend that customers be communicated with at least every two days, unless they have requested otherwise. There are also various points
know we already discussed this earlier but it’s pretty important, right?) If you are thinking that this looks like an excess of communication, you may be right to a certain extent. I have never seen a shop get a bad CSI Score for communicating too well, but I have seen far too many of the reverse. I would challenge you to consider the amount of time shops spend dealing with incoming calls from people checking on their repair status, dealing with missed damage and embarrassing unfulfilled promises with touch-ups, and much, much more. If you take back control of your time and invest it wisely in being a proactive communicator, everyone wins.
that customers should be informed: * Blueprint - After the vehicle has been blueprinted to establish the updated price, and delivery promise date expectations. * Supplements - Any other supplements along the way. (This shouldn’t happen if it was blueprinted correctly) * Paint - When the car goes to paint. (Let them know if completion date is still on target) * Morning of expected delivery day. (This will highly increase your chances they will pick it up that day!)
Completion Call the customer once repairs have been completed and a final quality control inspection has occurred. During this call you will want to go over: * When they can arrive to pick the vehicle up * Rental cars and transportation * What they will owe you and what forms of payment are acceptable (I
For more advice on how you can improve customer communication at your collision repair business, feel free to contact me directly at david.luehr @elitebodyshopsolutions.com or visit www.elitebodyshopsolitions.com
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Media and Publicity for Shops 5 Smart Marketing Moves to Make in 2016 with Ed Attanasio
Last year around this same time, I wrote an article about 5 marketing-related things to do in 2015 and I stand by everything I listed there. In order, they were: 1. Get Closer to Your DRPS 2. Get Closer to Your Community 3. Get More Social 4. Update Your Web Site and 5. Get a Blog!
So, this year I’m offering you five new suggestions that you’ll hopefully be able to integrate into your existing marketing strategy. When it comes to marketing, you don’t get to rest and take a deep breath, because marketing does not start and stop. Whether you’re in a small town or a huge city, it’s likely that your competitors are constantly looking for another way for getting your cars into their shops. If they could land a few of your better DRPs and possibly get a better foot hold in your market, I’m
sure they would not hesitate for a millisecond to do so. So, here are my new five things to do to take you to the next level. For shops that are already “all in” when it comes to marketing, this is old news. But, for those others who want to change the way they’re doing business and haven’t really made marketing a priority until now, this might be a great time to pursue a few of these.
1. Enter the Video Age Actually, the video age began in earnest more than a decade ago, but now it’s by far the most explosive media in the world and one of the most affordable and effective forms body shops can use. Just look at the statistics—YouTube has over a billion users–almost a third of all the people on the Internet. The number of hours that people spend watching videos on YouTube has increased by 60% within the last two years. People don’t read as much as they
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
used to, because acquiring books (even e-books) can be clumsy when compared to just sitting down and watching a short video. The word “short” is important, because studies show that videos longer than two minutes lose considerable viewership, so the suggested length of any video is no longer than 90 seconds. To enter the video age, devise a video schedule so that you have a new one to show to your customers, employees, vendors or business partners every quarter. And remember, you don’t have to spend a lot of money to produce a series of attention-getting videos, because the technology is more affordable than ever and you don’t have to be Alfred Hitchcock to make brief, informative and even humorous videos.
2. SEO is More Important than Ever Last Year, shops all over the country learned that Search Engine Optimization (SEO) isn’t an “in house” or “do-it-
yourself” project. To move up Google’s rankings, you need an expert who can manipulate your keywords and stay on it 24/7, 365 days a year. Many shops say, “Hey-I’m #1 in my area on Google, so why am I still paying for SEO?” The answer is because your competitors are probably also now in the SEO game in a big way and likely taking shots at your top position on search engines right now. So, if you don’t have a good SEO person, ask around and no matter what, stay on the course when it comes to online rankings, because stats show us that more and more people find body shops by performing simple searches online.
3. Don’t Stop Believing in Blogging After Google’s re-working of their search algorithm, naming it Hummingbird and unveiling it two years ago, bloggers and web developers have been buzzing about it ever since, because it made blogs instantly relevant.
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• A massive 179 square feet of filtration area. • Two huge input filters (over 36sf ) clean the air going through the Workstation.
• Four Paint Arrest Filters (140+ square feet) and two Activated • Charcoal Filters ensure the air going back into the environment is clean and EPA compliant.
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• 60’x16’x12’5” tall—Full size RVs, boats, large trucks, etc. Lighting: LLighting: Ligh ghtiing g:
• Four large clear windows provide ample lighting. • Additional stand lights can be placed outside the booth.
34 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
A Smart Solution. The The Carcoon Car arco co oon on America Am A meric rica Workstation Wo orksta atio on works work wo orks ks the the he same sam sa me and and just ju ust as effectively eff ffecctivvely as as a cross-flow ccrros rosss--fl flow flo fl w paint paiint booth. ootth The Th T he Carcoon Ca C Carrco oon America oo Am me erricca Workstation Work W Work kstation kst ation n is is EPA E A Certified. Cer fi C fie ed Ideal Ideall for fo or the the busy bus b sy body b dy bod dy shop-mobile sh p-m mob bile technician/smaller techn tech hn nician/smaller nici ian n/sma aller shop sh hop ho p with w th limited lim l mited facilities. fa facil cilliti ities. es
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Hummingbird is all about “fresh content”, because it is now able to judge context - thereby determining the intent of a person carrying out a search, to establish what they are trying to find out. What that means to you is that posting new things on your web site is a great way to help you on search engines and the best way to do that is by establishing a blog and vigilantly maintaining it. That’s the key, because too many shops started doing blogs, but then quickly abandoned them for whatever reason and now they’ve noticed that they are no longer #1 on Google. If you have a blog but you aren’t posting articles, photos and/or videos on it regularly—my advice is pull it off-line, because there is nothing worse than a ghost blog and it makes you look well, behind the times.
4. Cable TV vs. Radio-Who Wins? I used to say that radio was a viable way for shops to participate in the broadcast game, but now I am pulling that piece of knowledge off the table, because it no longer applies. Radio is not going away and it might be okay for a large MSO, but for smaller shops, radio does not have the targeting feature cable TV does.
Cable TV is trumping radio right now, because companies like Sirius and Pandora and taking some of terrestrial radio’s customer base. Also, if you purchase time on Comcast, for example, you can handpick what zip codes you want to reach. That way, you’re not wasting a lot of money advertising to people who are not in your region. For independent shops or small MSOs, cable TV is more precise and more affordable overall.
5. Yelp and Angie’s List are Losing Credibility More and more shops and their customers are beginning to see that Yelp and Angie’s List are not what they claim to be, because people can’t gauge the authenticity of the reviews. One shop wrote me an email last year
saying that several members of a competing shop gave him 1-star reviews and of course, they never brought their cars there. He contacted Yelp at least a dozen times to get them removed without success. His business is negatively impacted, even though he does good, honest work and is known for being excessively fair. Also, Angie’s List seems to work fine with home improvement companies and landscapers, but shops don’t seem to want to pay for a site that doesn’t bring cars into their shops. There are a lot of review sites out there that will only post customer reviews that are verified, so gravitate toward those and don’t spend money with any site that can’t guarantee full transparency and complete accountability.
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3M™ Introduces Impact Resistant Structural Adhesive
3M Automotive Aftermarket Division introduced 3M™ Impact Resistant Structural Adhesive 07333 / 57333. It is a two-part epoxy adhesive that provides an extended work time, but can be rapidly cured with heat. The company said it has excellent adhesion to a wide variety of properly prepared automotive substrates including steel and aluminum. This adhesive is intended for true structural bonding applications when specified by automotive OEMs, and is recommended for all weld-bonded and rivet-bonded joints. The company said the adhesive can address several of the issues vehicles encounter during collision repairs. “We worked closely with General Motors Service Engineers and Materials Engineering for about three years to develop this adhesive—a solution engineered to meet OEMs performance demands but designed specifically for the collision repair industry,” said Jason Scharton, OEM Business Development Manager for 3M Automotive Aftermarket Division. “We have a long history working with OEMs to develop repair products based on their needs for repair in the aftermarket.”
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Shop Strategies Nebraska MSO Owner Says the Only Constant in Industry is Change with Stacey Phillips - ASSISTANT EDITOR
Doug Keller turned his childhood passion for cars into a thriving MSO in central Nebraska. He opened the Eustis Body Shop in Eustis in 1979 and has expanded to five other locations including: Lexington, Grand Island, Kearney and Cozad. The latest addition to the corporation is a mechanic shop in Eustis as well, which works hand-in-hand with the body shops.
Q:
With your experience running five shops with more than 50 employees, what is your advice to others who are thinking about opening more than one shop?
I think before you can consider taking on another location, you A: must have the people in place who can
run your current location, and the people in training to manage your new location. Your attention needs to be focused on making all of the pieces fit and work together.
Eustis Body Shop is one of five locations in Nebraska owned by Doug Keller, president
Another thing that most people do not consider, beyond the cost of the land, equipment and building, is working capital. That is the money needed to pay for all the inventory and labor to produce a finished product before you get paid for that job. This can amount to a considerable amount of money in the beginning until you are able to earn cash flow. The amount depends on your anticipated sales and your cycle time. The faster you can turn your inventory, the less you will need in working capital. You also need a very good bookkeeping system, and an accountant who can guide you through the process.
Q: of multi-locations A: areThethebenefits economics of scale. With What are some of the benefits of running an MSO?
more volume, you will be able to negotiate better discounts from paint and parts vendors. Also, most DRPs like to deal with MSOs because they have consistency in quality, cycle time and price. They also like dealing with one person that represents all of the locations.
Q:
As vehicles have become more complex, how have you addressed this in your shops in terms of training and equipment?
We have the equipment required A: to repair damage to most late model vehicles including 3D measur-
ing, welders, specialized aluminum tools, and down draft-bake paint booths. The key to making all of this equipment work is our technicians. We are constantly training our employees and always working on our I-CAR gold status.
Can you tell us about your emQ: ployees? We are so blessed to live and A: work in an area that has such a great work ethic. Many of our techni-
cians have some farm background or have had other jobs that allowed them to become very good at figuring out how to repair things. Most of our technicians have gone to tech school but some we have hired and trained right out of high school. We are also fortunate in the fact we have very little turnover. Most of our employees have been with us for many years. You’ve said in the past that you strive to have the most progressive auto body repair center in Nebraska. How are your shops progressive and what does that investment do for a body shop?
working relations with all the nonDRPs in our area.
What are some of the benefits of being part of a DRP and what Q: would you say to shops that are not part
of one now?
A: The benefit of being involved with a DRP is consistency. It is more of a partnership. Normally, there is an operating agreement that works for both parties. Terms are laid out for rates, mark-ups and, most importantly, payments are reliable. There have been a couple of DRPs that we backed away from because of the great working relationship we had established with the local adjusters, and the DRP requirements for that particular company were too restrictive.
Is there additional information Q: you would like to share with body shops?
I have been in business for 36 A: years and have found that the one thing that is a constant is change. This is what keeps this business exciting as a challenge and sometimes frustrating. My involvement in Axalta’s group 20s has had a very positive impact on our overall strategic plan for growth. Since becoming involved six years ago we have increased our cycle time, our CSI and after a lack luster sale growth of only four percent have achieve seven percent growth over the last five years. Also, I have found that all my employees, who make our company so successful, want to win, and my job is to help them understand the rules and how to play the game to win! Doug Keller can be reached at 308-486-5515. If you know of a shop that would like to share shop strategies, contact Stacey Phillips at sphillips@autobody news.com.
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equipment and are on 24-hour call. We are now “dealer certified” for GM, Chrysler, Nissan, Hyundai and are “aluminum certified” for the new Ford F150. We are involved with DRPs for State Farm, Farm Bureau, Shelter, and Progressive. We also have a strong
36 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 37
National Auto Body Council Elects 2016 Board & Officers The National Auto Body Council (NABC) announced new officers and board members for its 2016 Board of Directors. Executive Committee officers elected at NABC’s recent Annual Meeting in Las Vegas include: Domenic Brusco, NABC Chairman (PPG Automotive Refinish)
● Domenic Brusco, Chairman (PPG Automotive Refinish)
● Jeff Peevy, Vice Chair of Community Involvement (Automotive Management Institute)
● Elizabeth Clark, Vice Chair of Industry Relations (State Farm)
● Bill Mayer, Treasurer (Insurance Auto Auctions)
New to the NABC Board are: ● Barry Barbee (The Doan Group)
● Brandon Eckenrode (Collision Repair Education Foundation)
● Darren Huggins (Berkshire Hathaway Automotive). Returning NABC Board members include: ● Joe Amodei (The Collision Centers of New York)
● Taylor Bowes (PPG Automotive Refinish)
● Craig Camacho (3D Auto Body & Collision Centers) ● Greg Clark (Caliber Collision)
● Keith Egan (R.W. Mallon Auto Paint & Equipment) ● Denise Hepler (Hertz Corporation)
● Renee Ricciotti, Secretary (3M Automotive Aftermarket Division)
● Joe Lacy (GEICO)
● Nick Notte, Past Chairman (I-CAR).
● Elizabeth Stein (Assured Performance)
● Michael Jordan, Director-At-Large (Manchester Collision Center)
● Jim Ocampo (Axalta Coating Systems)
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● Rick Tuuri (AudaExplore, a Solera Company)
● Dan Young (CARSTAR). “This is an exciting time in our organization,” said Domenic Brusco, newly elected chairman of the National Auto Body Council. “We are experiencing strong membership growth and have had a record number of participants implementing our signature programs such as Recycled Rides™, First Responder Emergency Extrication (FREE™) and Distracted Driving Initiative in local communities across the country. We also recently adopted a new vision and mission, and I look forward to working with my colleagues to develop, implement and promote community-based initiatives that exemplify the professionalism and integrity of the collision repair industry.” “We are pleased and excited to welcome such a strong roster of industry leaders representing so many different facets of our collision industry,” added Chuck Sulkala, NABC Executive Director. “Each Board member brings passion and dedication to serving our industry which will be invaluable and we thank each for their commitment.”
EMM’s Colad Optimus & Colad Advanced Cut Introduced
EMM recently introduced Colad Optimus and Colad Advanced Cut. The company said Colad Optimus offers a quick and safe abrasive solution to eliminate paint defects and achieve a prepared surface before polishing, resulting in a high-gloss finish and lower polishing times. Using silicon carbide grain, Colad Optimus is an abrasive solution that can be used during wet as well as dry sanding. The pad can be rinsed and reused several times before losing its sanding properties. The velcro back indicates the abrasive grit and makes the pad suitable to use over and over again on velcro as well as hand support pads. The open structure and knitted back of the pad prevent the risk of clogging and make it flexible and suitable for polishing angles and curved surfaces. This eliminates the risk of pressure marks in the paint, caused by uneven pressure during sanding. The company said Colad Advanced Cut removes difficult scratches and paint defects. The solvent- and silicone-free cutting compound does not require masking before being applied. For information, contact sales@ emm.com or your local Colad dealer or visit www.emm.com.
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Axalta Enhances Nap-Guard®, Announces Role in North American International Auto Show Charity Preview On November 30, Axalta Coating Systems announced the enrichment of its Nap-Gard® fusion bonded epoxy (FBE) powder coatings. In addition, Axalta announced a new series of product designations with the reorganization of its Nap-Gard FBE powder coatings product line under a newly designated 72500 series. The Nap-Gard 7-2500 series brings industry recognized FBE powder coatings into one group and expands the benefits of its thermosetting epoxy powder for onshore and offshore oil and gas pipelines. Combining Nap-Gard FBE powder coating product numbers 72500, 7-2501, 7-2508FG, 7-2508, and 7-2508LG into one family allows customers to choose the product needed for their application in the color they desire. Nap-Gard 7-2500 series powders are National Sanitation Foundation (NSF) certified and meet ISO 21809-1 and CSA Z245.20.14 requirements. “Axalta’s Nap-Gard FBE powder coatings have been used for more than 50 years to provide corrosion protection on underground and subsea pipelines,” said Meghan Hodge, Axalta Functional Global Product Marketing Manager. “During the past year, Axalta has stream-
lined the manufacturing processes at our Houston manufacturing center. Our facility conversions have enabled Axalta to efficiently and effectively support our customers’ needs and provide enhancements to the Nap-Gard line.” According to an Axalta press release, Nap-Gard series powder coatings are suitable for even the most demanding performance requirements set by industry standards and can be used as a single anti-corrosive layer or as the primer in a dual layer or multilayer system. This family of powders is fast curing, damage resistant, thermosetting and hazardous air pollutant (HAP)-free, and has excellent adhesion to steel with good chemical resistance. To learn more about Nap-Gard 72500 series or other Nap-Gard products, visit Axalta’s website at www.axalta.us /powder On December 14, the automotive paint company announced that it will be the Presenting Sponsor of the Charity Preview at the 2016 North American International Auto Show (NAIAS) at Cobo Center in Detroit, Michigan. The NAIAS Charity Preview, which will take place on January 15, 2016, is
consistently the largest single night fundraiser in the United States. “We are pleased to be a part of NAIAS’s Annual Charity Preview,” said Steven Markevich, Axalta’s Executive Vice President and President of Transportation Coatings and Greater China. “We take pride in being able to support such an exceptional, international event that provides so much to numerous local charities. As a trusted partner in helping automakers develop the appearance and character of their vehicle brands, the Axalta team looks forward to adding a little color to this black-tie affair.” “The Charity Preview is truly a remarkable experience and we’re thrilled to have Axalta involved as our Presenting Sponsor,” said Paul Sabatini, 2016 NAIAS Chairman. “Axalta is worldrenowned for its color expertise and we look forward to seeing what flare they add to our charity celebration.” Axalta will also participate in many festivities during the preview week including the annual EyesOn Design program that benefits the Detroit Institute of Ophthalmology and Axalta will announce its North American Automotive Color of the Year 2016.
Single Source Adds New Member to Advisory Board
Single Source, Inc. announced a new member to its advisory board, Christopher Northup. Northup has experience and knowledge from over 32 years of involvement in the collision repair and refinish industry. His industry tenure includes consulting with new and established companies focused on business growth, brand development, financial community exposure and business process improvement. He has been frequently asked to participate on panels or speak at industry events including SEMA and the Collision Industry Conference. He is also the former chairman of the Collision Repair Education Foundation. “Bringing Chris on as a trusted advisor brings great value to Single Source. As we grow from a company of this generation to the next, Chris’s expertise will bring forth innovation and collaboration needed in the industry, an opportunity to revolutionize the way we serve our customers,” said Dean Worley, president of Single Source, Inc. Northup said, “It is humbling to be asked to help the team at Single Source. They are a very focused and driven organization with a customer first approach to everything they do.”
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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 39
Driven Brands Acquires CARSTAR Canada and Announces Senior Leadership Changes at CARSTAR US by Stacey Phillips, Assistant Editor
When Autobody News spoke to Jose Costa, group president of Driven Brands, shortly after acquiring CARSTAR in November, he said growth is an important part of the company’s strategy. “The company is committed to Jose Costa achieve its ‘Dream Big’ agenda, which is to double system sales and increase franchisee profitability through better innovation and increased purchasing power,” he said. He added that significant acquisitions were planned. One recent acquisition was of CARSTAR Canada, which has 23 locations in 10 provinces, this December. “CARSTAR has a long and established history in Canada and I’m proud to have this iconic brand join the Driven Brands family,” said Jonathan Fitzpatrick, president and chief executive officer of Driven Brands. “CARSTAR not only strengthens our product offering and expertise, but builds upon our established footprint in Canada.” With this acquisition, the combined CARSTAR business accounts for more than 450 locations and $700 million of annual system sales. He said this makes CARSTAR the largest brand in both system sales and locations in the automotive collision repair industry. CARSTAR Canada marks the third acquisition for Driven Brands since it was acquired by Roark Capital earlier in 2015, expanding the brands’ footprint to more than 2,200 franchise locations in the U.S. and Canada. Driven Brands’ paint and collision division is comprised of CARSTAR in both the United States and Canada, Maaco and Drive N Style.
CARSTAR Leadership Changes in U.S. When CARSTAR employees learned about senior leadership changes being made at the company last November, Costa said it was bittersweet. “A lot of the management team had been there
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for a long time,” Costa told Autobody News. “Everyone was expecting changes as we assess the business. I think they were a little surprised and a little saddened because people were leaving.” He said there was also excitement for those who were promoted. The changes included CARSTAR CEO David Byers leaving the organization and Dan Young, the SVP of Insurance, being promoted to brand president. “David played a critical role in helping CARSTAR become the great company it is today and we are very thankful for all of his hard work and dedication,” said Costa, in an email that was distributed to employees. After a month-long assessment looking at every aspect of the business, Costa said, “We felt that we had to change some positions in the leadership team and have someone like Dan Young with his experience in the insurance industry lead the brand.” Dan Young Young will report directly to Costa. “Dan has been with the company for more than 12 years and has exponentially grown CARSTAR’s insurance business,” said Costa. “We are confident that Dan will continue to drive incremental profitability and growth for our franchisees, and that CARSTAR will continue with this great momentum under his leadership.” Costa said the plan is to double the size of the company over the next few years. “One of the ways to do that is by securing more insurance business,” he explained. Employees learned of the leadership changes through email and conference calls. He encouraged employees to reach out with any questions or concerns. “I understand that change isn’t always easy but progress is impossible without it,” said Costa. “I am confident that these adjustments will ultimately benefit the brand and position us for growth.”
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Other key changes at CARSTAR included: ● Dean Fisher, vice president of operations, was promoted to Chief Operations Officer and will report directly to Young. Fisher developed the EDGE Performance Platform, which is a five-stage process that trains, develops and coaches franchise owners. Fisher will continue to spearhead Dean Fisher the evolution of the operational platform, to evaluate where shops are from a lean standpoint and a production standpoint. ● Scott Robertson, vice president of development, will report to Young. His main focus will be to continue growing unit count as well as to pursue new markets and acquisitions.
Scott Robertson
● Melissa Miller was promoted to vice president of operations, reporting to Fisher.
See next story.
● Cacey Lavin, recently promoted to controller, will report to Driven Brands’ VP of accounting and finance, Ed Moore. Lavin will lead CARSTAR’s accounting and finance departments. ● Kim Carrington was promoted to training and development manager and will report to Fisher. “Independent body shop owners have few options when it comes to succession planning. It’s either selling to their manager, joining a network like CARSTAR or selling to the large consolidators,” said Costa. “[Joining CARSTAR] gives them a very good opportunity to leverage their Melissa Miller buying power, get access to more DRP business and the Edge platform and training. We see it as a win win both for the independent shop and for CARSTAR.” For more info. visit www.driven brands.com and www.carstar.com.
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954-903-5412 www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 41
Kia Racing Champion Jason Wolfe Shares his Success Behind the Wheel by Stacey Phillips, Assistant Editor
The launch of the Kia Forte Koup in 2010 signaled a change at Kia Motors America. That same year the company partnered with Kinetic Motorsports’ racing organization in Georgia. “Kia got involved in racing with the Forte
the U.S., Kia Motors America and Kinetic Motorsports won seven championships. In 2014, every Kia model that raced won a national title, from the Rio five-door in SCCA B-Spec to the Forte Koup and Optima turbo in the Pirelli World Challenge (PWC). “Kia is proud of our team and
support Kinetic’s championship-winning privateer program in the Touring Car A class. “With exciting, new, rearwheel drive product in our pipeline, we’re also looking forward to a return to the track in the near future,” the company added. Autobody News asked racing champion Jason Wolfe about his involvement with the Kia racing team. Wolfe has driven Kia’s Forte Koup in TCA for the past two years and brought home two championships.
Congratulations on your racing Q: successes. How did you get your start in racing?
Koup to help change the perception of the Kia brand in the United States and to showcase the Forte Koup’s durability, reliability and performance,” said Mike Ofiara, product communications, Motorsports, for Kia Motors America. During six years of road racing in
drivers for their outstanding achievements and we thank them for their hard work and dedication to the brand,” said Kia Motors America. The company will be stepping back from the factory-supported PQC Grand Touring Sport effort in the United States in 2016 but will continue to
Prospray® Automotive Finishes Introduces Bold New Packaging
Saluting their European heritage, Prospray®, a premium, global, refinish brand of Valspar® Automotive, has introduced a new, clean, bold, and distinctly European look to the labeling of all of its Prospray products. The redesigned packaging features the new
Prospray logo, category colour coding, instruction panels, GHS (the global standard for chemical identification) compliance information as well as Prospray’s signature Colour Intelligence™ icon, a visual graphic that aids in tinting mixed colours. “When our customers look at the new packaging, they will feel a sense of pride and ownership because they significantly influenced the design,” said Director of Marketing, Laura
Yerkey. “We collaborated extensively with sales representatives, distribution, and body shop customers regarding the packaging because we know how passionate they are about the products they use. Much of the label content, colour-coding and the Colour Intelligence™ icon concept came from suggestions they made.” The package redesign encompasses all Prospray marketing materials including YouTube, Facebook, websites, literature, trade shows, and sales communications collateral. Prospray is a Valspar Automotive brand. Valspar Automotive has been making automotive coatings for more than a century, and is one of the leading automotive coatings manufacturers worldwide. Among its major brands are DeBeer Refinish, Valspar Refinish, Matrix, Prospray, House of Kolor, and US Chemical. For additional information about Valspar Automotive, visit: www. ValsparAuto.com and follow Valspar Automotive on LinkedIn, Facebook, and Twitter.
42 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
After watching the movie, A: “Catch That Kid,” based off of kids robbing a bank using go karts for
get-away vehicles, my dad and I decided to check out the local kart track. From there we were totally hooked.
ing career is learning what it takes to be the best I can be. Whether it is from a driving perspective, set up perspective, physical perspective or just socializing, there is always so much to learn and there is always an area in which you can better yourself.
We’ve heard that that your racQ: ing hero is Tommy Byrne. What do you admire most about him?
First off, he is the kind of guy A: who tells it like it is no matter what, and I think that is what has
helped me the most. Drivers who are coming up through the ranks need to know when they have made a mistake and when Tommy was my coach, I sure knew when I did something wrong, yet he was also one of the first to congratulate me when doing well. Also, the fact he more or less hustled his way into Formula 1 and the story behind it is just more to be in awe over.
do you enjoy most about Q: theWhatsport? You’ve said in the past that After watching the movie, What Q: Mid-Ohio is your favorite A: I have enjoyed most in my rac- track. Can you please tell us why?
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I chose Mid-Ohio as my faA: vorite track because of how technical it is and how hard it is to pass
because of that. It really separates the men from the boys. Also, it’s only 40 minutes from home – can’t beat that!
What are some of your past Q: achievements and what are your upcoming race plans?
My most notable and recent A: past achievements have been with Kinetic Motorsport/ Kia Racing
when we brought home two consecutive championships; Rookie of the Year; and the guys brought home Crew of the Year for those two years also. Best two years of my racing life. We worked very well together and I definitely learned a lot while under their wing. Unfortunately my 2016 plans are still up in the air but we’re looking into a few different options, just trying to find the right fit!
Is there anything else you would Q: like to share with readers/ fans in the collision repair industry? up very close to your nearA: estSetrace track!
Freer Auto Body’s Cookies and Cocoa Event Held in IL to Help Others Have a Nice Holiday Freer Auto Body’s 8th annual Cookies and Cocoa for Community Christmas event was held in December at their Godfrey location in Illinois. “It was a wonderfully successful event,” said Margaret Freer. “We collected $2,800 in cash, a lot of gift cards, 38 bikes and tons and tons of toys, coats, boots, etc.”
Taylor and Lily Freer received awards for their volunteer efforts during Freer Auto Body’s Cookies and Cocoa event in December
Cookies and Cocoa was started in December 2008 in memory of Margaret’s son, David, who died in an automobile accident September 11, 2008. Her granddaughters, Taylor and Lily, came up with the idea with their grandmother and were presented with the 2015 Outstanding Community Christmas Volunteer and Fundraiser Award at the event. The two girls raised $24,500
at their “Sloppy Joe Christmas in July Sale” held earlier in the year. “Many many families will have a nice Christmas due to our efforts,” said Margaret. “We have supported Community Christmas since we opened in 1991 and it was our son David’s favorite community project.” She said he would go after Christmas to local stores finding bargains and save until the next Community Christmas. The Freers and their friends bake homemade cookies and make cocoa for those who come by with donations. Freer Auto Body, run by Margaret’s son Tim, is the largest supporter of the event, which is sponsored by the United Way and the Telegraph. The agencies benefitting from the event include: Boys and Girls Club of Alton, Catholic Charities of Madison County, Catholic Childrens Home, WellSpring Resources, Charity Works, Childrens Home and Aid, Crisis Food Center, Illinois Center for Autism, Lutheran Child and Family Services, Oasis Women’s Center, Operation Blessings, Riverbend Community Food Pantry, Riverbend Family Ministries, Riverbend HeadStart & Family Services, Salvation Army, Villlage of Royal Lakes Concerned Citizens and Chriastian Social Services. Margaret said the United Way will
use the money her granddaughters raised in July to buy additional items and grocery gift cards. “We have seen tragedy in our lives but we realized
The Freers collected toys, coats, boots and other gifts during the Cookies and Cocoa event at Freer Auto Body
God has blessed us also,” she said. “We have the very best family, customers and friends….very best ever. Our community has made us what we are today and we try to give back and make it a better place. If everyone would keep the Christmas spirit of giving, love and kindness in their hearts all year it would be a wonderful world. When you are blessed you need to pay it forward.”
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PA Body Shop Owner Addresses Markup Fees with Insurance Companies by Stacey Phillips, Assistant Editor
After resolving a lawsuit with Travelers Insurance in March, a Pennsylvania body shop owner said he could have never predicted he would be involved in a similar lawsuit with GEICO a few months later. Both cases involved the reimbursement of markup fees charged for the administration of ordering, receiving, warehousing and dispatching of parts used on vehicles. “Far more people need to be proactive and stand up for themselves and not be afraid to ask for what they are owed,” said Tim Kilkeary, owner of Kilkeary’s Auto Body in Eighty Four, PA. “Nobody is getting rich in this business anyway and to do it and not make a profit, it’s just insane.” In the first case, Kilkeary’s Auto Body repaired a 2006 Dodge Ram truck in February 2013. The body shop originally wrote the estimate using OEM parts; however, the Travelers’ estimate reflected using an aftermarket front bumper. Kilkeary said the usual protocol at his shop is to contact the customer to let him or her know the cost difference between the parts. “We will install those parts if the customer gives us permission to, but at the same time we make it perfectly clear to the customer that it’s not our policy, it’s not our decision and it’s not what we would recommend,” he said. After 35 years running his shop, Kilkeary has found that in most cases the customer will opt to pay the difference to install OEM parts on their vehicle, which can equate to approximately a 20 percent increase in cost. Kilkeary called the owner of the vehicle and told him that he would use the aftermarket parts on the truck but if anything went awry, the customer would need to address it with the insurance company. “I’m not going to be held responsible for a decision that someone else made,” said Kilkeary. His customer decided to go ahead and have the car repaired with the aftermarket part. After it was installed, the techs found it did not fit like the factory Dodge bumper. When Kilkeary told Travelers that his customer wouldn’t accept the aftermarket bumper, the insurance company sent an appraiser back to the body shop. Kilkeary was told to put a factory bumper on the truck and he would be paid for the labor to replace the part as
well as the cost difference between the OEM part and the aftermarket part. However, he said he was not reimbursed for the markup on the part, which was $156.88 including tax. He filed a civil case in March 2013 for the markup fee and received a favorable settlement in March 2015.
Tim Kilkeary, owner of Kilkeary Auto Body in Eighty Four, PA
“The bottom line is if you’re doing something that they insist you do, you have to be diligent about getting paid for whatever it is,” said Kilkeary. “I don’t think any collision repair shop owner should allow any insurance company to come in and dictate to them how to run their business.” A few months later after receiving the settlement, Kilkeary’s shop was involved in a similar situation. GEICO wrote an estimate on a 2007 Mazda 6 that included aftermarket headlights. The shop notified the customer and he decided not to use the OEM parts. Kilkeary said there were some internal issues with the headlight and it wouldn’t aim properly. After contacting the appraiser, Kilkeary was told to replace it with a used headlight. When the part arrived, the shop found it was damaged. “By this time the car was held up for four days so we put a factory headlight on the car,” he said. GEICO paid the difference between the list price of the parts as well as the labor to repair the vehicle. “The issue on the Mazda repair became who is going to pay us the markup money on the aftermarket light and the used light — both of which they insisted we use,” said Kilkeary. “We submitted a supplement to them with the markup money on it and they refused to pay it.” Kilkeary sued GEICO for $266.06 plus court costs and was awarded the full amount. “Moving forward, we’ll have the ability to pursue an insurance carrier who chooses not to pay the same money for bad faith. We’ve now set
44 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
precedence and it has been established that they in fact owe the money,” said Kilkeary. “That markup money is the body shop’s, regardless of whether the parts get put on the car or not.” “Each of the cases is similar in the sense that they involve aftermarket parts,” said Tom Vreeland, Kilkeary’s lawyer. “I think Tim wants other shops to know that the expenses they incur for these kinds of requests by the insurance company should be compensated,” he said. “When they say, ‘install an aftermarket part,’ and it doesn’t fit, why is the burden on the mechanic to absorb that overhead expense?” Vreeland advises shops to document their personnel costs for doing inventory and office paperwork. “They need to be able to document what their expenses are,” said Vreeland. “Some people might think $100 doesn’t seem like much, but it adds up. Multiply that times the number of situations that you have on an annual basis and that could be substantial money for some shops.” “With all of the money I spent to win these lawsuits the only saving grace will be that I can get some infor-
mation to the rest of the industry that says, ‘Listen, the insurance companies knew they owned me that money,” said Kilkeary. “If they paid me, they will pay anyone else. You have to ask for it.” Travelers Insurance and GEICO both declined to be interviewed for this article. Autobody News talked to Michael Barry from the Insurance Information Institute about who bears the cost of markup fees. “U.S. auto insurers cumulatively pay the nation’s auto body repair shops billions of dollars a year to repair their policyholders’ vehicles,” said Michael Barry, vice president, media relations, Insurance Information Institute. “Those monies are used to pay auto body repair shops for the parts they purchase as well as their legitimate labor costs. Auto body repair shop markup fees are not an expense auto insurers should be absorbing.”
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Continued from Cover
Donation Charities
car. Now you can only deduct the net proceeds that the charity receives when your car is sold. For example, if the charity ends up selling your donated car, with a fair market value of $2,000, for $800 then $800 is what you can deduct from your income at tax time. But how much is that going to mean at tax refund time? Not very much. Let’s assume you are in the 28% tax bracket—an $800 deduction will give you $224 back. If you are in the 10% bracket, it only yields $80.
People’s Choice Los Angeles-based People’s Choice Charities (PCC) claimed that 100% of the net proceeds from the sale of donated cars would go to the donors’ chosen charities. But Harris’ lawsuit alleges that 97% of the donations were spent on administrative costs, such as towing, car repairs, and advertising. PCC claimed that towing was free and that it employs experienced staff to repair and sell the cars at minimal cost.
In reality, PCC charges the charities for towing expenses and has no repair staff; instead they pay outside vendors hundreds of thousands of dollars to do this work, Harris charged. After PCC deducts its numerous and undisclosed expenses, only a tiny fraction of the vehicle’s sale price is forwarded to the donor’s chosen nonprofit, the suit alleges. According to audits conducted by the attorney general’s office, from 2007 to 2012, PCC reported that it had donated over $700,000 to other nonprofits, while actually only donating $174,000. To increase their inventory, PCC also developed a “cash back” program whereby vehicle donors could receive money in return for their “donation,” effectively transforming a charitable organization into an unlicensed used car dealership in violation of state law, Harris said.
Cars 4 Causes Ventura-based Cars 4 Causes claimed it “worked smarter” to “get the most money for charity.” In reality, the state’s lawsuit alleges, C4C used 87% of its donations to pay for items such as advertising and administrative costs, including staff salaries, while
ICBC Selects Mitchell International as Strategic Material Damage Solution Provider
Mitchell International announced on December 2 that it has entered into a long-term agreement with Insurance Company of British Columbia (ICBC) to serve as their new material damage solution provider. Due to Mitchell and Guidewire Software’s strategic partnership, ICBC will have the advantage of leveraging the pre-built, advanced integrations between the Mitchell WorkCenter™ solution and Guidewire ClaimCenter® designed to achieve quicker implementation and lower overall total cost of ownership. “Mitchell is proud to partner with ICBC, one of the largest insurance providers in Canada,” said Alex Sun, president and CEO at Mitchell International. “Our industry leading estimating and workflow platform will enhance ICBC’s material damage solution, providing complete estimating tools built to streamline and optimize the claims process for insurers, collision repair shops, and other vendors.” Mitchell’s suite of solutions enables ICBC certified Express Repair facilities and claims personnel to better manage their customers and expedite service with a system that includes:
● Single workspace environment for ad-
only 13% was directed to actual charities. From 2009-2014, C4C reported that $15.9 million was donated to charity. In reality, C4C only gave $5.4 million to charity—and many of the charities designated by donors received nothing at all, the suit charged. During this time, C4C denied many requests from individuals in need seeking a car, including single mothers, college students, and seniors, all while paying thousands towards staff salaries and millions to advertisers. C4C took money from the very charities it promised donors that it would support, Harris said. According to C4C’s own accountings, it misappropriated about $2 million from thousands of charities, including over $600,000 that should have been given to charities serving the sick and providing medical research, $250,000 to children’s and education charities, $100,000 to veterans’ organizations, $230,000 to religious organizations, and $200,000 to charities serving the poor, among others. We thank Consumer Affairs for reprint permission.
GM Approves Spanesi Benches & Jig System for GM Vehicles
General Motors has approved Spanesi’s Benches and the Superstar Universal Jig system for structural repairs for the new Cadillac CT6. In addition to GM’s approval for the CT6, GM has approved Spanesi Benches to repair all GM vehicle models throughout the U.S. and Canada. GM requires that all facilities to use an approved holding system, with an approved bench, to repair collision damage on the CT6. Structural repair parts for the CT6 are only being distributed to GM certified shops that have approved tools and equipment. In addition, technicians must attend approved training to qualify for the CT6 certification. “We are proud to be approved by GM for not only the Cadillac CT6, but for use on all GM vehicles,” stated Tim Morgan, managing director of Spanesi-Americas. “Built with aluminum and high-strength steels, the Cadillac CT6 requires the vehicle to be anchored securely using structural or suspension locations instead of the traditional pinch weld locations. Spanesi’s Superstar Universal Jig system easily meets these requirements, without having to purchase new equipment or rent fixtures.” To learn more, contact Spanesi at 224-SPANESI (772-6374), or visit www.spanesi.com.
justers to manage key claim activities; ● Automated estimating with integrated alternate part search capabilities; ● Comprehensive shop communication solution that facilitates the seamless transfer of documents including estimates, invoices, photos and reports; ● Repair status module to enable repair facilities to communicate the repair status and provide email and text notifications to customers ● A Total Loss solution that delivers verifiable total loss values
“After a rigorous strategic sourcing process, ICBC selected Mitchell as result of Mitchell having a comprehensive suite of solutions and their strong commitment to being a leading provider in Canada,” said Brian Jarvis, VP of claims at ICBC. “ICBC and Mitchell are excited to deliver an improved experience to our customers, business partners and employees through the implementation of Mitchell’s material damage solution. We also look forward to the opportunities of further integration of Guidewire ClaimCenter and Mitchell’s expert solutions, which will drive more efficiency and better user experiences.” For more information, visit http:// www.mitchell.com/WorkCenter
46 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
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American Honda is Among Industry Leaders with Eight Honda and Acura Vehicles Earning a 2016 TOP SAFETY PICK+ Rating from the IIIHS—New Crash Protection and Technology Requirements Factored into the Ratings
A total of eight Honda and Acura models have received the highest possible safety rating of TOP SAFETY PICK+ from the Insurance Institute for Highway Safety (IIHS) under its more challenging crash protection and technology requirements implemented for the 2016 model year. For model year 2016, four Honda models have earned a TOP SAFETY PICK+ rating: the Accord Sedan, Accord Coupe, the CR-V sport-utility vehicle and the recently redesigned Honda Pilot SUV. The Odyssey minivan was named a TOP SAFETY PICK. Additionally, four 2016 Acura models, the ILX and RLX sedans and the MDX and RDX luxury SUVs, each have earned a TOP SAFETY PICK+ rating. Further, Honda anticipates that the just released 2016 Honda Civic Sedan will also receive a top rating from the IIHS. “The fundamental notion of vehicle safety is evolving and with technologies like some of those in Honda Sensing and AcuraWatch, we are pursuing our vision to reduce and, ultimately, to eliminate vehicle collisions,” said John Mendel, executive vice president, American Honda Motor Co., Inc. “This is one of our biggest challenges and an essential element of our commitment to making products that im-
prove the lives of people.” The baseline requirements for both IIHS awards are GOOD ratings in the small overlap front, moderate overlap front, side, roof strength and head restraint tests, as well as a standard or optional front crash prevention system. The recipients of the “plus” award have a superior- or advanced-rated front crash prevention system with automatic braking capabilities. These vehicles must stop or slow down without driver intervention before hitting a target in tests at 12 mph, 25 mph or both. Models with a basic-rated front crash prevention system, which typically only issues a warning and doesn’t brake, qualify for TOP SAFETY PICK. Honda and Acura vehicles offer a broad range of active and passive safety features along with leading edge safetyand driver-assistive technologies that can take action to help avoid a collision or mitigate its severity. The AcuraWatch™ suite of technologies is now available across the full Acura lineup, while Honda Sensing™ is available on a growing list of Honda brand vehicles, now including the 2015 and 2016 CR-V, 2016 Pilot, 2016 Accord Sedan and Coupe, and all-new 2016 Civic Sedan. Core AcuraWatch™ and Honda Sensing™
technologies include Forward Collision Warning (FCW), Collision Mitigation Braking System™ (CMBS™), Lane Departure Warning (LDW) and Lane Keeping Assist System (LKAS). Additionally, all new Honda and Acura models come with a multi-angle rearview camera as standard equipment. Standard safety equipment on all Honda and Acura models includes the Advance Compatibility Engineering™ (ACE™) body structure, Vehicle Stability Assist™ (VSA®) with traction control; an Anti-lock Braking System (ABS); side curtain airbags (most vehicles equipped with a rollover sensor as well); dualstage, multiple-threshold front airbags; and front side airbags. American Honda has a long history of leadership in the development and application of advanced technologies designed to enhance the safety of all road users, including automobile occupants, motorcycle riders and pedestrians. The company operates two of the world’s most sophisticated crash test facilities, in Ohio and Japan, and is responsible for numerous pioneering efforts in the areas of crashworthiness, airbag technology, collision compatibility and pedestrian safety. Based in part on advancements to
Honda’s Advanced Compatibility Engineering™ (ACE™) body structure, Honda is a leader in third-party crash test ratings within the industry. The company also is broadly applying advanced safety and driver-assistive technologies such as LaneWatch, Forward Collision Warning and Lane Departure Warning to its product lineup. Also, all Honda and Acura vehicles have applied a rearview camera as standard equipment since the 2015 model year. 2016 American Honda TOP SAFETY PICK+ Vehicles: Honda: Honda Accord Coupe; Honda Accord Sedan; Honda CR-V; Honda Pilot Acura: Acura ILX; Acura MDX; Acura RDX; Acura RLX 2016 American Honda TOP SAFETY PICK Vehicles: Honda: Honda Odyssey
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Hyundai-Kia Involved in OIN Patent Non-Agression
Open Invention Network (OIN), the largest patent non-aggression community in history, announced today that Hyundai Motor Company and Kia Motors Corporation are joining OIN as community members. Recognized as leaders in quality and innovation, Hyundai and Kia are the first global automobile brands to join OIN. Their industry leadership and participation in OIN will pioneer open source innovation and patent non-aggression in the rapidly evolving automotive and Internet-of-Things platforms. “The pace of adoption of Linux and open source technologies in the intelligent vehicle and Internet-of-Things industries is unprecedented. While automotive and consumer device manufacturers have historically designed and built proprietary platforms from the ground-up, these communities are benefiting from the innovation and collaboration inherent in open technologies that speed new features, drive quality, power interoperability and lower costs,” said Keith Bergelt, CEO of Open Invention Network. “We greatly appreciate Hyundai-Kia Motors’ automotive industry leadership in joining OIN and supporting patent non-aggression. Hyundai and Kia are demonstrating their commitment to
open source software and the associated development efforts that benefit the automotive market, consumer device industries and ultimately consumers.” “We believe Linux and open source technologies are increasingly important in today’s intelligent vehicles,” said Eon Youl Shin, Director of Intellectual Property Development Group at Hyundai Motor Company. “Hyundai-Kia Motors are both committed to offering the highestquality, intelligent vehicle platforms that leverage Linux and open source technologies. By joining the Open Invention Network, we will use the opportunity to further develop its infotainment platform. Moreover, we will help to ensure the ongoing development of open solutions that stimulate growth in the automotive industry.” OIN’s community practices patent non-aggression in core Linux and adjacent open source technologies by cross-licensing Linux System patents to one another on a royalty-free basis. Patents owned by Open Invention Network are similarly licensed royalty-free to any organization that agrees not to assert its patents against the Linux System. The OIN license can be signed online at http://www.j-oin.com/.
Google Compare Sells Insurance Comparisons Only
Nicolas Weng Kan, CEO of Google Compare, told an audience of insurance professionals that “Google Compare is not becoming an Auto insurance carrier,” as reported by Rosalie Donlon writing at PropertyCasualty 360.com. Speaking at the Annual Insurance Executive Conference held in New York City, Weng Kan said that Google wants to partner with carriers to make the buying experience better for the consumer while delivering more qualified leads to carriers, agents and brokers. Google’s strength is in its ability to quantify search and analyze data, and the company wants to put that strength to use in a broad array of financial services, from insurance to banking, including credit cards and mortgages. Weng Kan explained that in building Google Compare, his team met with carriers and agents to build question sets to gather basic information from consumers as they began their hunt for Auto insurance. The company also used focus groups to determine what customers want and need. What they heard over and over was that consumers were looking for an easy way to compare prices. “Why isn’t there a Kayak for auto insurance?” one focus group
member said. Google used that same concept to build Compare. “With Compare, we want to give customers accurate prices—not just estimates,” Weng Kan said. The Internet is now the most common channel to get insurance information, and the search is moving rapidly to mobile. “Customers do their research on mobile but actually buy on their computer,” Weng Kan noted. According to Google’s research, in the first quarter of 2014, 41% of people who queried vehicle insurance-related terms did so from their mobile devices (phones and tablet). In the third quarter of 2015 that number jumped 12 percentage points to 53%. Google Compare sees itself as a lead generation program that takes all the marketing risk and transfers qualified leads to the carriers, Weng Kan explained. Consumers are assured that their personal contact info isn’t passed along to the carriers until the consumer initiates the contact. If the customer does contact the insurer, the carrier only pays when the customer converts. “You only pay a flat rate per customer,” he assured the audience. “It’s a negotiated rate, not a pay-perclick structure.”
Nebraska Auto Body Assn (NABA) Closes End of 2015 Meeting with Elections
The 2016 roster has another Mike Anderson seminar next March. The Nebraska Auto Body AssociaElections were held this year and tion (NABA) wrapped up 2015 with the NABA welcomes a new slate of a successful meeting in Grand Is- officers. President Trevor Emahizer, Collision Repair Center GM at Plaza Buick-GMC, Omaha; Vice-President, Dave Yard, The Collision Center, Ashland; SecretaryTreasurer, Scott Meints, Joe’s Body Shop, Lincoln; Past-President , Troy Kimble, Heckman Body and Repair, Wisner; Director, Tom Tracy, Tracy’s Body Shop, Lincoln; Doug (l to r) Past-NABA President, Troy Kimble; Director, Keller, Eustis Body Shop, Tom Tracy; Past Treasurer, Chris Hunke; Secretary, Eustis; and Todd Barnard, Scott Meints; Vice-President, Dave Yard; Mike AnImperial Auto Renewal, derson; President Trevor Emahizer Imperial. land, Nebraska, November 14th. The The current Board thanked the second year of this revitalized asso- past Directors for their strong support ciation has continued to build a through thick and thin: Mel Hunke, strong infrastructure. Dennis Mitchell and Chris Hunke. In its new two-year history, the The Board also recognized, with deep NABA meetings have covered the respect and appreciation, the memfollowing topics: Parts Trader, Mike bers and sponsors of the Nebraska Anderson Estimating Seminar, GM Auto Body Association. Everyone is My Price Link Webinar, Collision Di- looking forward to a great inter-inagnostic Seminar and much more. dustry strong 2016. by Janet Chaney
48 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
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PPG Announces Sponsorship of Women’s Industry Network
PPG has become a gold-level sponsor of the Women’s Industry Network (WIN®). WIN is dedicated to encouraging, developing and cultivating opportunities to attract women to the collision repair industry. The organization offers mentorship programs and educational conferences designed to provide members with the skills required for professional success. WIN also works to promote leadership, recognize excellence and foster a strong network among women who are actively shaping the industry. “PPG is proud to support WIN,” said DeCamp. “WIN’s slogan is ‘She Knows Collision Repair,’ and we at PPG agree. The programs WIN provides help make its members valuable contributors to our industry. WIN, in its advocate role, is making a positive impact on our industry—making it more productive, more professional, more progressive. It is an honor to be a WIN sponsor.” Established in 2006, WIN currently has a membership of more than 400 professionals. The next national WIN meeting will be May 2, 2016–May 4, 2016, at Hilton Tampa Downtown, Tampa, FL. See http:// thewomensindustrynetwork.ning.com
Chinese Carmaker Cowin Pioneers Crowdsourcing
China has become the world's largest market for automobiles, with over 100 million vehicles currently registered. Major auto manufacturers worldwide regard the country as a key market and have been aggressively competing for market share through a combination of directly imported vehicles and those made by joint ventures locally in the country. Models manufactured by joint ventures have led to further reductions in car prices, putting huge pressure on China's homegrown auto brands. As a result, the homegrown brands have been looking at transforming their businesses, in the hope of finding a new path for development. An illustration of that effort can be found at Cowin Auto, a Wuhu-based carmaker established in January 2014. This relatively new entrant into the field has tried out a new idea that is gaining traction: applying the crowdsourcing model to the design of an automobile by outsourcing the work of the design of the vehicle to the public via the Internet. The carmaker asks members of the general public to vote for the most popular model and then follows on the results of the poll to put the winning design into mass production.
Melissa Miller, CARSTAR’s New VP of Operations, Discusses New Role and WIN Participation by Stacey Phillips, Assistant Editor
After Driven Brands acquired CARSTAR in November 2015, the company announced senior leadership changes at CARSTAR. Autobody News spoke to Melissa Miller who was promoted to CARSTAR’s vice president of operations. In her new role, Miller will focus on leading the company’s field team “to ensure that we are meeting the KPIs necessary to lead our franchisees to greatness.” She will report to Dean Fisher, named chief operations officer. Miller said, “I’m really looking forward to continuing this next chapter, gaining more resources for our field team, and figuring out what this looks like together, helping our franchisees become more successful. “We may not always agree. I say if we have 80 percent Melissa Miller agreement and 100 percent commitment, then ultimately we’re going to reach our goal,” said Miller. “At the end of the day, we’re all in it to win and show that when you have an owner at the driver’s seat as our franchises do, we outperform other MSO groups in the country. I feel that we’ve
proven that, especially over the past few years.” Miller got her start in the industry working for her own family business, Randy and Bob’s CARSTAR in Chicora, PA. Originally established by her grandfather, it is run by her father Randy and uncle Bob. This year, the CARSTAR location is celebrating its 40th anniversary and her cousin Nathan will soon be leading the family business. “It’s a complete representation of what CARSTAR is,” said Miller. Miller worked as the company’s bookkeeper in a small office in the back of the shop. Over the years, she was the office manager, marketing manager and helped wherever she was needed while the business grew. In 1999, the shop expanded from 7,000 to 18,000 square feet. She said that she learned a long time ago about working together as a family. “I always really appreciated that you have this family you can count on no matter what, no matter what challenge you are faced with,” she said. “Whatever is the news of the day we figure out a way to talk about it and overcome adversity or challenges in order to really work together. “I believe that is really why I was appointed to [my current] position because I focus on our current and next generation franchisees, continuing to
build our footprint, and try to figure out how we can continue the legacy that those before have built,” said Miller. Miller joined CARSTAR in 2004 as integration manager, working with new stores and helping them navigate through the changes of becoming a CARSTAR store. Later, she was named regional service manager responsible for 35-40 stores and then transitioned to senior regional service manager. Two years ago, Miller became national director of operations before being recently promoted to VP of operations. “What I appreciate most about CARSTAR in general is that we’re a family,” said Miller. “You know that within a family there are always these multifaceted personalities and how we accomplish our goals but at the end of the day we’re all related in some way as far as representing the brand.” In addition to her role at CARSTAR, Miller sits on the board of the Women’s Industry Network as administrative vicechair. She is also the co-chair of the communications committee with Jessica Rob from AkzoNobel. “The career growth I have experienced as being part of WIN has been absolutely fantastic,” said Miller. “I wouldn’t be in this position today without the mentorship and networking I have experienced through this inspiring, supportive organization.”
BASF Hires Tim Dawe as New Sales Director
Timothy P. Dawe joined BASF Automotive Refinish as the new sales director for North America. Previously, Dawe was the managing director for Axalta in China. “Tim’s extensive experience and knowledge of the automotive refinish industry will enable him to immediately start to drive growth for BASF and our distribution partners,” said Paul Whittleston, BASF VP for Automotive Refinish & Industrial Coating Solutions in North America. “This is a new position that will provide additional focus for our commercial team.” Dawe has more than 30 years of experience in Automotive Refinish. He began his career at DuPont Performance Coatings in 1980. In 2011, he was named business director for Axalta in Greater China and managing director in 2013. “Spending time in China emphasized the importance of listening to customers and developing relationships with them. My primary focus at BASF is to work with our sales team and key distribution partners to grow the business,” said Dawe. For information, visit www .basfrefinish.com
50 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com
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Zara’s Collision Center in Illinois Gives Away Olds Alero as Part of Benevolence Program Mahogony Wilson, a single mother trying to coordinate a work schedule and daycare without a vehicle, will now have one of her primary goals met thanks to Zara’s Collision Center’s Benevolence Program. Wilson, a front desk clerk at Courtyard by Marriott, and her three-year-old daughter Aniya were presented a refur-
care without relying on cabs … and giving us more money because we won’t be paying for cab rides. It means I won’t need to depend on public transportation when I get off work at 11 at night. Next year, I plan to start my own business and return to school. Having a vehicle means that can really happen now. We’re so excited!” Zara’s was originally alerted to Wilson’s need for a vehicle by the staff of Contact Ministries who were impressed by her self-direction, work ethic, and devotion to being a role model and building a stable environment for her daughter. “The determination to make a better life for herself and her daughter was already part of who Mahogony is,” said Julie Zara, co-owner of Brad Zara, Mahogony Wilson, daughter Aniya, and Zara’s Collision Center. Julie Zara “What’s truly exciting for us bished 1999 Olds Alero. The vehicle was at Zara’s is that something so taken for unwrapped on December 9 during a granted as a vehicle by most of us is such luncheon ceremony of 150 attendees at a tremendous springboard for the future Zara’s Collision Center in Springfield, dreams of Mahogony.” IL. It is the 17th year that Zara’s has “I returned to Springfield this past purchased at least one vehicle, restored year from Ohio to give my daughter a it to pristine condition, and then donated better life,” said Wilson. “A vehicle the vehicle to an individual in need. means I can pick up Aniya from day- Over the course of those years, Zara’s
has given away nearly 30 vehicles. A comprehensive maintenance check is done to verify the vehicle’s safety and reliability. Typically, a lot of time is spent searching for the vehicles, then purchasing them from the owners or salvage yards. Many times vehicles are provided by people in the commu-
Nearly 70 donors contributed to the program this year for items such as vehicle repair, paint material, mechanical work, gift cards, and monetary gifts exceeding $7,600. “Many of our team here at Zara’s have contributed everything from time and talents to purchasing toys and gifts for the family,” said Zara. Zara’s Collision Center is one of the original Akzo Nobel Acoat® Selected shops refurbishing and then giving away vehicles to deserving individuals. That founding program has inspired other national organizations to start similar programs collectively donating nearly 200 vehicles in 2015. “The focus of the program is individuals who are workMahogony Wilson and daughter Aniya in the totally ing to help themselves,” said refurbished 1999 Olds Alero Zara. “To be eligible, a pernity who have heard about Zara’s son must have a valid driver’s license, Benevolence Program. In the case of a good driving record, and a verified the Olds Alero refurbished for Wilson, need for a vehicle.” The certifications that follow assure it was damaged in an accident and Zara’s purchased the vehicle from the that Zara’s possesses the proper tools, owner with the intent to refurbish it for equipment, facilities, and trained staff required to repair the vehicle brands to the the Benevolence Program. Zara’s vendors, employees, precise specifications to ensure the fit, friends, family and insurance agents finish, durability, value, and safety of the also actively support the program. vehicles. Original BMW Parts
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Charlotte 888-814-1938 704-531-3323 Fax M-F 7:30am-6pm; Sat 9am-5pm www.hendrickbmw.com www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 51
I-CAR® Announced 2015 Recipients of Jeff Silver and Russ Verona Awards at SEMA
I-CAR® has announced the 2015 recipients of two of its industry awards at the 2015 SEMA Show. Among those honored wereJames Losel, recipient of the Jeff Silver Award; and Mike Loy’s Collision, recipient of the Russ Verona Award. The recognized individual and business both respectively exemplify the I-CAR spirit of professionalism, integrity and excellence. “I-CAR awards are a wonderful way to celebrate those industry leaders who have made a big difference in helping us better serve the industry with the critical information and knowledge that contributes to complete, safe and quality repairs for the ultimate benefit of the consumer,” said John Van Alstyne, I-CAR CEO and president. “The response to these awards has been overwhelmingly positive as the industry recognizes exemplary models of what I-CAR stands for—being fiercely committed to reaching every collision repair professional.” I-CAR recognized the significant contributions of the following individuals and businesses during the Collision Industry Conference: ● The Jeff Silver Award was pre-
sented to James Losel who, just like the award’s namesake, embodies a true passion for training and professional growth. Individuals must hold an I-CAR Platinum™ certification for at least five years, promote the Platinum certification and training and bolster the collision industry’s positive image through their work. Losel is an estimator for State Farm® Insurance, holds an I-CAR Platinum designation and is an ASE Master Technician. He is training the next generation of collision repair professionals through his work instructing and serving on the Erie Community College Advisory board. ● Mike Loy’s Collision, recipient of the Russ Verona Award, has been an I-CAR Gold Class® designated shop for 20 years. Owner Mike Loy is an active participant in several charities and I-CAR committees across Ohio and promotes Gold Class through local marketing channels. The award, named in honor of the first business leader whose business earned the Gold Class designation, recognizes businesses that demonstrate dedication and professionalism in the collision repair industry.
Integration Between PartsTrader and Axalta’s ProfitNet Said to Simplify Tasks for Body Shops
PartsTrader has announced an integration between the PartsTrader platform and the ProfitNet™ Management System. ProfitNet is a product from Axalta Coating Systems, the leading global manufacturer of liquid and powder coatings. The new ProfitNet™ Collision Shop Management System (CSMS) interface is a two-way electronic interface between the ProfitNet Management System and PartsTrader that helps eliminate redundant tasks between the two systems. Key information needed for parts procurement and order status can now seamlessly be transferred between parts vendors and collision shops using the ProfitNet Management System. The ProfitNet CSMS is a software program is designed to measure and manage all aspects of the collision repair business. The program provides collision shop owners with detailed operational and financial information needed to make decisions regarding the productivity and profitability of their businesses. “By partnering with Axalta, PartsTrader continues in its commitment to streamlining the parts procurement process with this integration between two industry leading platforms,” said Dale Sailer, PartsTrader’s Vice President
of Business Development. “Collision repairers who use both PartsTrader and the ProfitNet CSMS are positioned to achieve additional savings. The improved margins that PartsTrader can help collision repair shops achieve, combined with the reduced administration costs by using the ProfitNet CSMS, are designed to result in bottom line profits for our mutual customers.” “Currently, PartsTrader software is widely used by Axalta customers via their estimating platforms,” stated Tom McGarry, Axalta’s North American Information Technology Services Manager. “Now they can easily use much of the PartsTrader functionality from within the ProfitNet CSMS, thereby saving time and eliminating potential errors from double entries. Axalta is dedicated to enhancing the ProfitNet CSMS with the latest technology to help lower shops’ administrative costs by providing a management solution that is affordable, easy to use and communicates with all industry software partners including parts procurement software, Customer Satisfaction Index services, dealership management software, paint software, auto rental services and accounting software.”
GFS Breaks Ground on $6M Center for Excellence in Wisconsin
Global Finishing Solutions (GFS) broke ground on its new Center for Excellence. The company said the 80,000 square-foot facility will house a state-of-the-art training and product R&D center with additional space for expansion. Construction will be completed by August 2016. “Our new building will truly showcase our latest advanced paint booth technologies, including our REVO Accelerated Curing Systems, in order to demonstrate for our distributors and customers how our newest products dramatically improve body shop repair efficiency and quality. The new R&D area accommodates our growing product line and faster pace for introducing revolutionary new products to the industry,” noted Global Finishing Solutions President Jim Faragher. The Center for Excellence will allow GFS employees, distributors and customers to continuously improve support, service and understanding of the latest GFS products. GFS designed the facility with full preparation and paint areas to closely mirror a working body shop. The comprehensive design gives GFS engineers new capabilities to develop, field test, modify and then re-test new technology to deliver products to
market faster. Training will be offered in a dualbay downdraft GFS Ultra XR CTOF paint booth integrated with the REVO Rapid OR2 curing system. Configured for single stall repair, this new equipment combination will allow users to see how REVO Systems significantly reduce cycle time and allow shop technicians to complete each stage of an auto body repair in one spot, without having to move the vehicle. Additionally, GFS will install an Ultra XR downdraft paint booth integrated with the REVO Speed for hands-on practice. Two Ultra XD paint mix rooms will complete the Training Center floor plan. Faragher added, “Creating the Center for Excellence with cuttingedge body shop processes and equipment fully aligns with our strategy of continuously improving our service to the market.” GFS is currently scheduling distributor training sessions to begin summer 2016.
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All The Genuine Lexus Parts You Need For That Trouble Free Repair, And Lexus Finish! These Dealers Below Are Genuine Lexus Parts Distributors:
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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 53
Cadillac to Launch Aluminum Repair Network
Cadillac announced on December 2 the creation of the Cadillac Aluminum Repair Network in conjunction with the upcoming production of the Cadillac CT6 at the end of 2015. According to Cadillac, the Cadillac CT6 uses an advanced mixed material approach for its lightweight body structure. The aluminum intensive structure also includes 11 different materials to achieve strength, performance and efficiency thresholds virtually unmatched among the world’s elite luxury performance sedans. The new architecture, materials and joining methods used to create the CT6 will require the collision repair industry to prepare accordingly. The Cadillac Aluminum Repair Network will ensure that authorized collision repair facilities have the required tools, equipment, processing procedures, and training to properly repair the Cadillac CT6 using the new mixed material, aluminum intensive construction. To ensure the authorized collision repair facilities in the network are qualified to repair the Cadillac CT6, all requirements (training, tools, facilities, etc.) will be audited through an extensive verification process. To participate in the Cadillac Alu-
minum Repair Network, authorized dealers and independent body shops will undergo annual audits as part of their continuation in the program. These audits will provide Cadillac with a process to verify the shop’s compliance with the network requirements. It also establishes a level of consistency between all participating shops that allows Cadillac to promote the Cadillac Aluminum Repair Network to Cadillac CT6 owners. Training will be primarily web based and orchestrated through a combined effort between GM and I-CAR. In addition, GM will support the collision repair industry by offering the CT6 collision repair information at no charge. Information on the Cadillac Aluminum Repair Network will be available on www.genuinegmparts.com in the first quarter of 2016 technical documents, service bulletins, paint information, warranty information, VIN, and other information will be available. Axalta Coating Systems, LLC has been selected to provide implementation and ongoing support for the program. Axalta provides extensive industry expertise in the creation and support of collision repair networks.
First Autonomous Buses Will Hit the Road In Spring 2016, Swiss Company Says it Can Control Fleets
As driverless cars continue to undergo testing on the streets, one company is applying the technology to public transportation. Swiss startup BestMile has developed a system to control fleets of autonomous vehicles, which the company compares to the functionality of an airport control tower. The company acquired its first commercial contract by teaming up with PostBus (known as CarPostal to the Swiss French), a major bus operator in Switzerland and France. BestMile was founded in January 2014, and since then the new company and the research university have been working together to develop algorithms for autonomous public transportation. These buses will face traffic, pedestrians, and other obstacles and must deal with them in a safe and efficient manner. The autonomous system must be reliable, flexible, and able to function alongside existing transport systems. BestMile’s software will allow the operators of these vehicles to be able to monitor, control, and optimize their fleet remotely in real time as needed. BestMile cofounder Anne Koymans cites a leading developer of autonomous vehicles as an influence that
led to the company’s first commercial project. “There is a lot of interest for driverless mobility solutions, partly thanks to Google,” Koymans said in an interview with The Local. “Cities are interested but also public transport operators and the interest is increasing.” Koymans points out that while Google aims to put more driverless cars on the road, BestMile is focusing purely on public transportation. There will also be development in what she calls “the last mile,” meaning the leg of a user’s journey between their stop and destination. BestMile has been seeking funding to improve its developing technology. Previous successful projects include CityMobil2, a pilot platform for automated road transport systems. Autonomous buses carrying up to nine passengers will be introduced to the city of Sion, Valais in spring 2016, and will undergo two years of testing. The electricity-powered buses themselves will be manufactured by French manufacturer Nayva.
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Quality Parts Coalition Says Consumers Have Saved $363M By Using Aftermarket Parts On Dec. 2 the Quality Parts Coalition (QPC) has released a new report which it says confirms the significant price gap between OEM and aftermarket collision repair parts. The report revealed that American consumers saved more than $363 million by using aftermarket parts rather than OE parts during the past five years. The report, titled Competition Drives Real Consumer Savings in Collision Repair, examined 100 of the top most commonly sold certified collision repair parts from 2009-2014 using data from the Certified Automotive Parts Association (CAPA). Research showed that the independently-produced certified parts were, on average, 27 percent
less expensive than their car company brand counterparts with a cost difference as large as 68 percent or $502.04. “It’s clear that independent auto parts are driving competition in the auto repair parts market and that consumers are reaping the benefits,” said Ed Salamy, executive director of the QPC. “That’s why it’s important to ensure the industry stays competitive and continues to pass along savings to consumers.” In recent years, the QPC says automakers have increasingly secured design patents on individual collision repair parts to limit the availability of independently-produced counterparts, forcing consumers to pay car compa-
nies more to fix their vehicles. Bipartisan companion legislation which the QPC claims would fix design patent law to safeguard consumers against price gouging has been introduced in the U.S. House of Representative and the Senate. The QPC states that the Promoting Automotive Repair, Trade, and Sales (PARTS) Act of 2015 (H.R. 1057 and S. 560) would preserve consumer choice for auto collision repair parts and protect more than 60 years of competition that has existed in the collision repair parts market. The QPC claims that if the competition for parts were eliminated, insured loss costs could increase by as much as $1.5 billion.
“Consumers save big when there’s a competitive marketplace,” said Jack Gillis, director of public affairs for the Consumer Federation of America. “Major car companies are trying to disrupt the status quo by limiting competition in order to grow their profits at the expense of the average American.” QPC hosted an informational briefing on Dec. 1st for House and Senate staff members on the importance of passing the PARTS Act. To learn more about the QPC and the PARTS Act, download the report at http://www.keepautopartsaffordable.org /sites/all/themes/framework/pdf_resouce/ price_analysis_research_report_11.19.155.pdf.
Two suburban Detroit dealerships have been quietly re-entering the Fiat Chrysler Automobiles US network after more than six years away, now that the U.S. Supreme Court has ended a long legal battle over their reinstatement. Colleen McDonald, president of Livonia Chrysler Jeep, said the dealership reopened about 2½ weeks ago and will host a formal grand opening in January. The location had operated for several years as Livonia Mitsubishi while the battle over her Chrysler dealer fran-
chise license lingered in court. McDonald said the company has finished a remodeling and returned to flying the Chrysler flag earlier this month. Also soon to reopen is Fox Hills Chrysler Jeep in Plymouth Township, which had fought alongside Livonia in litigation over the Chrysler dealer license terminations since 2010. The Fox Hills dealership owned James Schebil has been undergoing its own remodeling and is expected to reopen in January, Township Supervisor Shan-
non Price said. “Every day it gets better. Our neighbors in the area and the city of Livonia have been incredibly welcoming, and have been telling us, ‘We’re so glad you’re back,’” McDonald said of reopening the Livonia dealership. “It’s good to be working with (FCA) again as well. Before now we were only dealing with each other through attorneys. Now the attorneys are gone and we’re interacting again with the business office
again and the company’s been wonderful and very supportive. They just want to sell cars—and so do we.” Some 32 dealers, including five in Michigan, won reinstatement via a federal arbitration process in 2010, but various lawsuits dragged on for years over what those victories actually meant. Chrysler originally terminated 789 dealers as part of its 2009 bankruptcy reorganization, reducing its dealer count at the time to about 2,400.
2 Fiat Chrysler Dealerships, Closed After Years of Bankruptcy Litigation, Are Reopening
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www.autobodynews.com | JANUARY 2016 AUTOBODY NEWS 55
56 JANUARY 2016 AUTOBODY NEWS | www.autobodynews.com