February 2023 Southeast Edition

Romans Group Releases 2021 Profile of the Collision Repair Marketplace

The Romans Group announced its 16th annual white paper, A 2021 Profile of the Evolving U.S. and Canadian Collision Repair Marketplace, is now available.

The pinnacle year for the collision repair industry was 2019, with an alltime high total addressable market (TAM) of $38.3 billion. Repair facilities were flush with repairable vehicles and had the manpower and parts to service the demand.

The recovery years of 2021 and 2022 were and continue to be awkward and choppy, as the collision repair industry attempts to bounce back within the constructs of numerous macro industry challenges and opportunities, U.S. economic and geo-political headwinds despite the many post-pandemic recovery advances within the collision repair

industry and throughout the broader interconnected auto physical damage landscape.

In 2021, despite a continued reduction in repairable claims, the industry’s TAM recovered to $38.6 billion despite fewer repairable claims, which were primarily supported by an offset increase in higher severity.

Collision Repair Industry

Our near-term future view sees a coalescing of several trends that portend industry growth with both risks and opportunities.

From the beginning of the pandemic in 2020 and continuing throughout 2022, demand for collision repair services exceeded technician capacity for most of the l CONTINUED ON PAGE 4

GA Legislative Study Committee Endorses Pilot Mileage Tax Program

By T.A. DeFeo The Center Square

The Joint Study Committee on the Electrification of Transportation has endorsed the Georgia Department of Transportation’s pilot program taxing motorists based on vehicle miles traveled.

Charging a mileage tax would recoup what state leaders see as a potential loss in revenue via the gas tax. Gov. Brian Kemp, a Republican, suspended the gas tax to help Georgians counter rising inflation.

So far, the state hasn’t seen much of an impact from not collecting the gas tax, which typically totals about $170 million per month. The state has seen its other revenues increase and

has turned to federal handouts for various initiatives, such as grants to increase broadband across the state.

In the report, the committee said it supports enforcing a “fair methodology to replace the loss in revenue from motor fuel taxes” and recommends legislative action

l CONTINUED ON PAGE 16

Independent Adjusters Charge Florida Insurers With Doctoring Damage Estimates

By William Rabb Insurance Journal

Do some Florida property insurance companies hire independent adjusters to inspect property claims, then routinely alter their inspection reports to reduce estimated losses?

Yes, and it’s a widespread and fraudulent practice, according to three adjusters who spoke Dec. 13 at a Florida House of Representatives committee hearing.

l CONTINUED ON PAGE 34

INSIDE THIS ISSUE

Mark Vinson at the House committee meeting Dec. 13. Credit: House Commerce Committee/The Florida Channel

“The market for electric vehicles continues to expand both across the state and nation,”

RICK JASPERSE STATE REPRESENTATIVE

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Romans Group

larger MLO consolidators in the U.S. and Canadian markets, which resulted in high levels of work-in process. We see this extending into 2023 due to the continuing labor shortage. It is not a matter of demand, but a supply side lack of labor availability.

Labor shortages and technician skill deficiencies are creating competition to acquire those who are interested in receiving training to improve their skill levels. This situation is consequently increasing technician acquisition, retention and benefit costs.

Insurance carriers have taken additional steps to increase premiums to cover their rising costs. Historically, repairers had a difficult time pursuing labor rates with insurers. Today, the collision repair industry is aggressively pursuing labor rate increases and is hopeful that insurer premium increases will allow for their labor rate increases.

Insurance carriers, which continue to account for a significant volume of claims to repairers, tend to favor MSOs that offer largely predictive and standardized outcomes.

We do see a nascent movement by several MLOs to move away from DRP relationships while opting into a predominantly OEM certification preference model.

MLO scale remains a competitive advantage.

The groundswell of support and adoption of OEM repair standards continues to emerge as the preferred norm. However, the degree of influence and control by the OEMs in directing business remains limited. There is a better near-term chance for ROI with premium and luxury brands today due to their more active involvement and adherence to program standards and processes influencing where cars are repaired.

Vehicle telematics will become a more influential factor in the future control of the claims process.

Electric vehicle sales are trending upward toward 10% of new car sales by YE 2022. We expect EV sales to increase to between 30% and 40% of sales by 2030.

Despite the expectation of the onslaught of EVs, range anxiety will need to be addressed and overcome through increasing battery range capability coupled with growing the number of charging stations nationally.

Full digitalization of the estimating process for qualified repairable claims starts with less complex

repairs and eventually migrates to more complex damaged vehicles. The journey starts with photos and evolves to telematics, reliance on artificial intelligence coupled with insurer-driven rules and integration of supplier network connections. This throughput connected process will automatically initiate and populate the line-item detail necessary for predictive and actionable estimates.

Continued evolution of business segmentation strategies will have the largest consolidators marketing their “one national shop model/ platform” to insurers, boosting a large marketplace network of available collision repair locations throughout the U.S.

This one-national-shop model is further segmented within markets by various clusters of collision repair locations that can provide a broad range of segmented capabilities able to satisfy a wide range of repair types including glass installation, express same or next-day service, non-drivable/total-loss processing and disposition, OEM standards and luxury model certification, advanced material repair, mechanical repair, diagnostic services including pre- and post-repair scanning and calibration, and partnering and operating dealership collision repair centers.

Private equity continues to be highly committed to the collision repair industry. MLOs will continue to aggressively acquire and merge. Consolidation is active within all auto physical damage segments. There remains much opportunity for further consolidation and continued private equity investment.

Despite the growing market share of the larger platforms and segments we track and analyze, there is still a long tail of smaller independent repairer fragmentation in the market which will be the basis for the next wave of industry contraction and consolidation.

Multiple Location Operator (MLO) Consolidation

Within the broader automotive aftermarket landscape, private equity and institutional capital continue to invest in most of the satellite segments surrounding the collision repair industry such as parts, paint, body and equipment (PBE), tire outlets, carwashes, dealerships and technology.

Comparing the first six months of 2022 to the same period in 2021, we saw an unusually slow period for MLO collision repair acquisitions by most consolidators, with Crash Champions and Classic Collision being the exceptions. Both Crash

Champions and Classic Collision will most likely advance in the ranking at year end 2022.

While Caliber and Gerber did acquire some MLOs during this time period, much of their expansion was through single-location acquisitions, brownfields and greenfields.

The most significant acquisition event of 2022 came in July, when Crash Champions announced its transaction with Service King with its new private equity partner Clearlake Capital.

There are a number of secular trends that exist today that will continue to have a material impact and influence on the collision repair industry and within the broader auto physical damage industry segments.

Insurtech claims processing operating models reinforce insurers’ preferred business economics, which frequently is at odds with the OEM repair model.

Vehicle damage estimation with photos evolving to vehicle telematics, relying on artificial intelligence coupled with insurer-driven rules with integration of supplier network connections.

U.S.-Canada trans-border market entrance as reflected by companies such as Collision Solutions Network, which merged in mid 2020 with 1Collision in the U.S with its continued

onboarding of new members; Fix Auto with ProColor entering the U.S. in early 2021 with its expanding franchise network in 2021 and 2022; and Lithia Dealership Group entering Canada with the acquisition of Pflaff Automotive Dealer Group.

OEM certification programs’ continued evolution, importance and involvement in collision repair. Our five-year forecast to 2026 has the $20 million segment and the top three consolidators aggressively growing their businesses while maintaining their significant market share lead over the franchise networks and the $10 million to $19 million MLO segments. We expect that by 2026, the top three consolidators will grow from their 2021 market share of 18.4% to between 24% and 28%.

Our annual report, A 2021 Profile of the Evolving U.S. and Canada Collision Repair Marketplace, is now available. The report contains the complete results of our research and analysis for 2021, including over 90 charts and graphs throughout more than 130 pages with historical trends and a future view.

The report can be purchased by contacting Mary Jane Kurowski of The Romans Group LLC at maryjane@ romans-group.com.

Source: The Romans Group LLC

“The

“The ability to … track and, more importantly, provide an invoice and receive reporting based on that specific repair in regard to materials used is critical to the profitability of body shops.”

Mike Anderson, President and Owner of Collision Advice Group

main reason for implementing 3M™ RepairStack™ was to become profitable with my paint material and that happened right away. It’s cut my bill in half!”

Adan Ibarra, Owner of Leading Edge Collision

Family Relinquishes Emmitt’s Auto Repair in FL, But Wheels Will Keep Turning At Shop

By Lee Wardlaw Clay Today

The sign outside Emmitt’s Auto Repair on U.S. Highway 17 in Green Cove Springs, FL, told motorists the shop was on vacation. The iconic automobile repair shop specializing in brakes, steering and suspension was set to reopen Jan. 3.

But for the first time in 50 years—22 of them north of city limits—it will be in the hands of a new owner.

During a more than half-century run in Duval and Clay counties, Emmitt’s saw a blessed time of business and family-friendly service to customers at the shop, with the Rigsby family establishing a business model like no other during their time in North Florida.

With Teresa Rigsby heading into retirement, she decided to turn the business over to somebody else. Leaving a legacy that took generations to build, however, won’t be easy.

Following the passing of her husband, Matthew Rigsby, Teresa not only had to run the store’s finances, but she was thrust into a general manager’s role as well.

She now will wade through a day-by-day healing process while continuing to spend valuable time with her grandchildren.

“One day at a time, and my grandkids,” she said.

It will be up to the new owner to maintain a standard that took decades to build.

The reputation that founder Emmitt Rigsby, who then passed the torch to his son, Matthew, established was that of hard work, toughness and a belief in getting the job done at all costs.

When mechanic Matthew died on Aug. 3, 2020, the county not only lost a great mechanic but a larger-thanlife figure in the community whose memory will forever be remembered.

He served as the lifeblood of the auto repair shop; his personality shone through at all moments. He was good at fixing a vehicle, and regardless of the circumstances, he

inside the doors of the auto shop. One of the longtime customers has been the Clay County Sheriff’s Office, which gets all of its regularly-scheduled alignments completed there.

Customers came from all over Florida and out of state, Teresa said. Emmitt drew such a cult following, one resident who moved to Louisiana would make the trip back to have his car serviced at Emmitt’s.

“Matt was very knowledgeable. He knew everything going on in that shop. He touched every vehicle and made sure it was right when it went out of the driveway,” she said. “(The community) believed in him.”

Residents have trusted in Rigsby’s auto advice, but it was a phenomenon that went much deeper than having a clean set of wheels on the road.

“My husband was tough, and he ran a tight ship. But everyone came to him for advice, and everything that he said was like liquid gold,”

stood, and they liked it.”

New ownership will have the benefit of keeping two of Emmitt’s top mechanics. Lead technician Rick Santillo and mechanic John Holmes will be retained as the company moves into a new era of providing fast, friendly and loyal customer service. Between the two, they have worked for more than 37 years at Emmitt’s.

Teresa said one of the conditions of the sale was each of her full-time employees would be retained.

“I made sure that my guys were guaranteed jobs. And I guarantee you the (new owner) wanted them,” Teresa said. “I want all of my people to know that Rick and John will still be there. They have that level of trust in those guys.”

Teresa had a final message for her family’s loyal customers.

“I just want to thank you on behalf of my father-in-law, husband and

The National Auto Body Council® (NABC) announced Jan. 11 it has named Deborah Robinson as the executive director for the organization.

Robinson, who has served the NABC as head of marketing and public relations as president of Victory Management Group

since 2017, was selected in a unanimous decision by the NABC Board of Directors and Executive Committee for the role after an extensive search process.

“I am honored to continue serving the National Auto Body Council and its members in a new role as the executive director,” said Robinson. “I admire the members and the work they do in giving back to their communities, and look forward to continuing

NABC Announces Deborah Robinson Executive Director

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Crash Champions Acquires 4-Location Capitol Body Shop in Mississippi

Crash Champions, LLC, on Dec. 22 announced it has grown its presence in Mississippi through the acquisition of Capitol Body Shop.

Magnolia State, complementing the company’s national footprint of more than 590 repair centers across 36 states.

The only founder-led national MSO in the industry, Crash Champions experienced a banner year for growth in 2022, rapidly expanding its network of highquality collision repair centers by 240% by adding more than 420 locations to the organization. This historic growth includes the transformational acquisition of Service King Collision in July.

As an established and highly reputable MSO, the addition of Capitol Body Shop to the Crash Champions team continues the streak of strategic growth for the company to close out the year.

“We look forward to continuing the important work of providing customers with the highest quality repairs and engaging with our neighbors in the community.”

Capitol Body’s four I-CAR Gold Class-certified repair centers boast nearly 450,000 square feet of combined production space, staffed by ASE-certified technicians. Its facilities also hold a wide range of luxury and EV certifications.

CARFAX Warns Odometer Rollbacks on the Rise

Alarming new numbers from CARFAX show odometer rollbacks are on the rise nationwide.

More than 1.9 million vehicles on the road have had their odometer rolled back—a 7% increase from the previous year.

Consumers lose an average of $4,000 in value from unknowingly buying a rolled back car, and that doesn’t include unexpected maintenance costs.

One of the largest and most respected auto body repair organizations in Mississippi, Capitol Body serves customers at four locations in the Jackson metro area.

With the addition of Capitol Body, Crash Champions now provides customers access to collision repair service at seven locations in the

“The White family has grown Capitol Body into one of the most recognized and technically advanced auto body repair organizations in the south, and I am thrilled that Crash Champions’ footprint in Mississippi now includes these talented team members and sophisticated facilities,” said Matt Ebert, founder and CEO of Crash Champions.

Pump Prices Creep Higher Amid January Doldrums

By Andrew Gross AAA

The short days and messy weather of January are combining to keep people off the roads, lowering gasoline demand. But the price of oil rose as fears of a global economic recession eased.

The national average for a gallon of gas rose by five cents over the previous week to $3.32 as of Jan. 17.

“Gasoline demand is usually lackluster this time of year,” said Andrew Gross, AAA spokesperson, “and it likely won’t start to tick up until spring break draws near. So the primary factor in this latest increase is the higher cost of oil, which accounts for more than half of what you pay at the pump.”

According to data from the Energy Information Administration, gas demand barely budged over the same week, rising slightly from 7.51 million b/d to 7.56 b/d. Meanwhile,

total domestic gasoline stocks rose from 222.7 million bbl to 226.8 million bbl. Flat gasoline demand and increased supply are contributing to limited pump price increases.

The Jan. 17 national average of $3.32 is 17 cents more than a month ago and a penny more than a year ago.

The nation’s top 10 largest weekly increases: Colorado (+32 cents), Georgia (+30 cents), Indiana (+17 cents), Nebraska (+13 cents), Wyoming (+12 cents), Illinois (+10 cents), New Mexico (+10 cents), Texas (+9 cents), Washington, D.C. (+7 cents) and Utah (+7 cents).

The nation’s top 10 most expensive markets: Hawaii ($4.98), California ($4.42), Washington ($4.00), Nevada ($3.94), Alaska ($3.71), Oregon ($3.68), Pennsylvania ($3.64), Washington, D.C. ($3.53), Illinois ($3.52) and New York ($3.44).

Source: AAA

“As a family-owned business, we have always prioritized honesty, integrity, quality work and customer service,” said Doug White, owner of Capitol Body Shop. “Before ultimately deciding to sell, we wanted to make sure that our customers and our staffs were going to be taken care of. After getting to know Matt and the Crash Champions’ management team, I can rest easy knowing that our customers will continue to work with the employees they have come to know and trust, and that continued involvement in the community will remain top priorities going forward.”

Source: Crash Champions

“Many people think odometer fraud disappeared with the invention of digital odometers,” said Emilie Voss, public relations director for CARFAX. “But that couldn’t be further from the truth. We’re still seeing the number of vehicles on the road with a rolled back odometer rise year-over-year. It takes con artists a matter of minutes to wipe thousands and thousands of miles off a vehicle’s odometer, and unfortunately these swindlers likely see this unprecedented used car market as a way to make quick buck.”

CARFAX offers a free Odometer Fraud Check tool and tips to protect yourself at www.carfax.com/odo.

Source: CARFAX

“The White family has grown Capitol Body into one of the most recognized and technically advanced auto body repair organizations in the south, and I am thrilled that Crash Champions’ footprint in Mississippi now includes these talented team members and sophisticated facilities,”

MATT EBERT

FOUNDER AND CEO OF CRASH CHAMPIONS

Auto Body Shops Struggle To Control Access To, Use of Estimate Data

By John Yoswick Autobody News

Denise Koukal, chief information officer for the LaMettry’s Collision chain in Minnesota, said her company, like others, has had a customer upset his vehicle repair generated an entry on a vehicle history report.

“We got a phone call as he was preparing to sell his vehicle at an auction and noticed that this had been reported to a third-party vehicle history report,” Koukal said during a data access and privacy discussion at the Collision Industry Conference

history report,” she said. “This customer was a repeat customer for us. We had done five repairs for him. We have done none since.”

Start of Estimate Enough to Send Out Data

Another panelist, New Mexico shop owner Scott Benavidez, said he has been working since 2016 to track down how some estimate data from his shop has made it to vehicle history reports He shared a flowchart similar to Koukal’s, but the estimate it tracks was not a customer-pay job but one involving an insurance company.

“As repairers know, we get information every day that says, ‘Add this vendor, add this vendor,’ so that they can continually look for the least expensive part,” Benavidez said. “That absolutely opens it up to people that I didn’t even invite….as a vendor, but now are in my platform because of the insurer relationship.”

Koukal agreed, noting insurer and automaker programs can similarly require the use of different customer satisfaction indexing services, “exposing that data to many more places.”

“It’s really hard to say how frequently it happens because we don’t usually hear about it until a customer goes to sell or trade in their vehicle,” Koukal said. “There’s probably been about 10 times that we’ve been called about it, so we

difference,” she said. “But the reality is [the agreements] are more of a punitive thing—only if we find out that something has happened—than something on the front-end that stops the data from going out.”

Koukal said her company falls between Benavidez’s and Caliber in terms of size, and has EULAs with some of its vendors but not others. She agrees with Denison’s view that such agreements have limited value.

(CIC) in November. “I’m sure many of you have had the conversation about ‘Why did you report my repair? Now it’s going to financially impact me with the sale of my vehicle.’ We didn’t report it, but we don’t know who did either. So it’s a very difficult conversation to have with a customer.”

Koukal shared a flowchart tracing everywhere data related to that repair—a customer-pay job—went from the shop, including to three different parts procurements systems that each searched for parts from multiple vendors; thirdparty scheduling and customer service indexing services; OEM repair procedure sources; an aftermarket scan tool system; a materials invoicing system; and an aftermarket clips and fasteners tracking system.

Koukal said other common places the data is sent—though not for this particular repair—include a rental management system, sublet sources and an online estimating program.

There was no way of knowing, Koukal said, how in all that data flow the repair made it to the vehicle history report. She said both her company and the customer asked to have it removed from the report for the vehicle.

“To my knowledge, the accident was never removed from the vehicle

Benavidez said once last year, he had entered about the first 20 lines of an estimate before he got called away to do other things.

“I came back to that estimate about an hour or two later,” he said.

“As I went through my emails, I had received one from Wheels America that said, ‘Hey, we have your wheel’ for that particular vehicle. I hadn’t locked the estimate. I had never done anything with that estimate other than start it. Wheels America is someone I’ve never done business

know it’s happened. But there’s probably a lot we don’t know about.”

Ashley Denison, chief information officer for the Caliber Collision chain, agreed, noting the company’s CEO even came to her about tracking down the issue because the repair of his own daughter’s car made it onto the vehicle’s CARFAX report.

Denison said Caliber has resources to try to address the issue, but she sees the need for an industry solution because if it happens to any shop, “it happens to all of us, it’s a knock on the industry.”

She said listening to what Benavidez as the owner of a single shop has done trying to track the problem down, she was “blown away by how much as an operator he had to know about all this,” when he should be focused on the quality repairs and customer service everyone wants from shops.

“So how do we as an industry begin to flip that,” Denison asked rhetorically.

Putting Things in Writing

Benavidez said he worked with the Automotive Service Association years ago to create an “end-user licensing agreement” (EULA) shops could require vendors to sign related to their use of the shop’s data.

“In order to do anything about them, you have to know where that data was shared and who shared that data,” Koukal said. “You’d also need to take it to a court of law in order to have anything done with it. I don’t think everyone is in a position to do that, nor do they want to do that. So I don’t know how much value [the EULAs] have.”

The panel was asked if some sort of government regulation, similar to those designed to protect patient information in the medical field, was the answer. Denison said that certainly would create compliance,

with. They were put in there by the insurance company. And I had no idea it was going to them.”

The panelists all agreed it’s difficult to know how often a shop’s data related to a repair somehow makes its way onto a vehicle history report.

“But I have yet to get one company to sign that,” Benavidez said. “I think the reason for that is even they don’t always know where [the data] is going. I’ve brought it up numerous times, but I’ve had zero response in getting anybody to sign that EULA.”

Denison said Caliber does have EULAs in place with its vendors.

“I think this is where size and scale makes a little bit of a

“But I absolutely believe that as an industry we can solve the problem without the government getting involved.”

In the meantime, Koukal and Denison each said their companies added verbiage to their repair authorization indicating the customer allows the shop to access and share vehicle data with third-parties as relevant to the repair of the vehicle.

“My concern is: Do they read it and understand what that actually means,” Denison said, acknowledging that if she knew little about the industry and was getting her car repaired, she would just check the boxes as necessary and sign the form.

Benavidez said his similar concern led him to create a second authorization related to the use of their vehicle data from scans.

“It’s really helped us with the consumer to gain their trust,” Benavidez said.

Denise Koukal, chief information officer for LaMettry’s Collision, said they recently lost a repeat customer after estimate data somehow made its way to a vehicle history report

Ashley Denison, chief information officer for Caliber Collision, said the company has agreements in place with its vendors related to use of estimate data

Credit: Shutterstock

“It’s really hard to say how frequently it happens because we don’t usually hear about it until a customer goes to sell or trade in their vehicle.”

DENISE KOUKAL CHIEF INFORMATION OFFICER, LAMETTRY’S COLLISION

By Ed Attanasio Autobody News

Chris Slack manages a parts department at Ivan Gandrud Chevrolet in Green Bay, WI, that employs 30 people, including eight counter people and three service technicians.

part of Michigan with a fleet of 18 trucks.

Gandrud has been exhibiting at SEMA for the past four years, after attending it the four years before that. Autobody News asked him about the show and its impact on his business.

Q: What were the central issues that shops and parts suppliers were dealing with in 2022?

performance and collision customers at the show so that is nice also.

Q: How has SEMA changed since your first show?

A:I think there will be fewer collision shops and also fewer wholesale parts dealers.

The department carries an inventory of approximately $5.5 million, consisting of mechanical, collision and performance parts, and is an authorized Mopar dealer that sells genuine Mopar parts online. With 30-plus years of experience under his belt, Slack is succeeding in a very competitive marketplace. He’s well-known for being one of GM’s largest parts operations in the country, serving all of Wisconsin and

A: We have been dealing with a bunch of issues but the biggest is backordered parts. So many parts are unavailable from the manufacturer. We have been trying to make it seamless by buying parts for our customers from other dealers across the country. We have bought more parts from other dealers than ever before, but if that’s what it takes to get a car finished and out of our customer’s shop, then that’s what we have to do.

Q: Do you see value in a show like SEMA for dealer parts suppliers?

A: SEMA is a great show for us because we have a large Chevrolet Performance parts business. We see a lot of our

A: I think SEMA has changed from a performance show to a more complete automotive show. Now even the service manager and the collision shop manager should attend and visit all the vendors and attend training.

Q: Do you think parts availability will improve significantly in 2023?

A: No, maybe by the end of 2023, availability is improving but very, very slowly.

Those are definitely the three top concerns. We need a bigger facility because we need more inventory which means more people and more delivery drivers. We have had to cut back on our delivery area because we don’t have time to deliver to all our customers.

Q: What will your sector look like in 2025?

The parts dealers are under a lot of pressure right now. Our discounts from the manufacturers have dropped because of availability— many parts can no longer be ordered at a truckload discount but instead we have to special order it one at a time to get the part at a much lower discount. Delivery expenses have gone up, personal costs have gone up.

But as the large MSOs buy up all the collision shops, they are demanding bigger discounts. That’s a business model that doesn’t work. The collision shops should instead work on getting a higher labor rate from the businesses that control that.

Q:If a young person was going to enter this industry, what would you tell them?

A:Now is a great time to get into the parts and collision business. Demand for qualified people has never been higher. Every collision shop and wholesale parts department in the state is hiring right now.

Chris Slack manages the parts department at Ivan Gandrud Chevrolet in Green Bay, WI.

Over $600K in Muscle Cars Stolen From North Carolina Dealer

By Steven Symes Motorious

In the wee morning hours of Dec. 9, in the Raleigh, NC, area, a group of thieves were busy cleaning out a local dealership. Within a mere 15 minutes, the group drove off in $600,000 worth of muscle

dealership’s operations manager said everything looked “almost like it was rehearsed” with everyone seemingly knowing exactly where to go.

One threw a brick through the dealership’s glass doors, then used a crowbar to get inside the key lock box. That made swiping the vehicles a breeze. Instead of targeting mid-level models, the thieves went straight for Hellcats, a TRX, Durango, Corvette and other highperformance vehicles. In total, 12 cars were stolen.

Ford F-Series Is Best-Selling Truck For 46th Consecutive Year

Ford F-Series will surpass 640,000 trucks in 2022, making it America’s bestselling truck for 46 consecutive years and America’s bestselling vehicle for 41 years after selling an average of at least one F-Series Truck every 49 seconds in 2022.

From F-150 to F-550 chassis cab, entry level XL to well-equipped Limited, EcoBoost to the all-electric F-150 Lightning, lined bumper to bumper, all of the Ford F-Series trucks sold last year would stretch approximately 2,400 miles, or further than the driving distance from Los Angeles to Detroit.

us achieve this milestone for more than four decades.”

cars in what appears to be quite the coordinated effort caught on surveillance cameras.

The whole thing started at the dealership in Lillington, just south of Raleigh, when a U-Haul truck pulled up near Heister Chrysler Dodge Ram Jeep and several people jumped out. The

More than a few thieves have targeted dealerships in the middle of the night over the past few years, when it’s likely no one will show up.

The operations manager said a similar heist went down at a dealership in Winston-Salem, leading them to believe this was pulled off by a car theft ring.

“The Ford truck team’s ability to anticipate customer needs, continuously innovate and provide best-in-class levels of capability and performance has helped make F-Series the sales leader time and time again,” said Kumar Galhotra , president, Ford Blue. “We’re honored and humbled that our customers have helped

F-Series celebrates its 75th anniversary in 2023 and continues to set the tone for innovation, leading the industry with the allelectric F-150 Lightning, which began sales in 2022 and immediately became the best-selling EV pickup on the market. Furthermore, the allnew F-Series Super Duty, with ground-breaking capability and features, has racked up an incredible 150,000 orders, further cementing F-Series as the truck of choice for heavy-duty truck buyers. First deliveries start early this year.

With Maverick, Ranger, F-150, Super Duty, all the way up to F-750, Ford offers America’s broadest lineup of trucks to best deliver on the needs of customers and is the only one that is Built Ford Tough.

S ource: Ford

Alignments Too Critical for Collision Repair Shops to Not Do Them

In-House

During a recent meeting I had with my SPARTAN 300 20 Group, we reviewed some vehicle crash test videos posted by the Insurance Institute for Highway Safety, like one showing a side crash test of a 2022 Toyota Corolla.

A preventative maintenance alignment what people were talking about years ago when they said, “Set the toe and let it go” are the typical $89 alignments to make sure the vehicle handles properly and the tires don’t wear unevenly.

trying to avoid that by putting some weight in the vehicle instead: Stop it! Follow the OEM procedures. I have seen only two automakers that give you procedures for how to do that instead of filling.

We may also have to do some advanced diagnosis. The subframe could be misaligned, for example. If you let the subframe bolts loose and it jumps, that tells you it’s got some pressure on it. You may also have to adjust a cross-member for torque steer.

There’s just a lot more that we have to do.

37% of shops said they were paid “always” or “most of the time” for a pre-diagnostic alignment by the eight largest national insurers. That was up to 45% in last year’s survey.

“We

In the video, if you watch the tires on the vehicle as it gets pushed sideways by the sled, you can see they leave black marks on the floor just as they would if they scraped against the pavement in a real collision.

Watching this, the question came up: Could that create flat spots on the tires?

One of our group’s members checked the run-out on tires on collision damaged vehicles in their shop using the Hunter Road Force Elite, and found more than 27% of the tires they checked did have flat spots.

That led us to a discussion about alignments. We know more and more vehicle system calibrations require an alignment prior to the calibrations. And more and more alignments require a calibration of some system after the alignment. It won’t take you long looking through automaker repair procedures to know more and more automakers are saying an alignment is necessary any time a vehicle has been in an accident. Electronic stability systems are just one of the systems that rely on the vehicle being properly aligned.

Given all this, I believe in today’s collision world, you really need to be able to do alignments in-house.

I know some of you will say: But the bill-payer only wants to pay me $89 for an in-house alignment. But let’s remember there are at least four different types of alignments.

But there are also “symptom alignments,” where the customer comes in to say their car is pulling or they’re experiencing a shudder or shimmy. There are also “performance alignments” for someone who wants their alignment to a certain spec ahead of going to the racetrack.

But what we’re doing in our industry are “collision alignments,” which are very different than these other types of alignments. The work involved in these alignments starts during intake of the vehicle. At that point, we need more information about the accident. We need to ask what the weather conditions were; the tires on a vehicle hit on dry pavement are going to grip the road more, more likely resulting in a flat spot.

We need to understand if the vehicle left the road, vertically or horizontally. Did it hit a curb? How many occupants were in the vehicle? How fast was the vehicle moving? Were the brakes applied at the time of impact? Is the steering wheel offcenter? All of these things can impact the repair and alignment of the vehicle.

It’s also important to understand all we have to do as part of a collision alignment that is not included in those $89 alignments. We may need to do a steering angle sensor reset. We may have to empty unnecessary customer cargo. We may have to ensure the gas tank is full, and all the other fluid levels are full.

By the way, for those of you

Being able to do alignments inhouse is also important because I believe that in order to write an accurate damage analysis, a prealignment check is necessary. I’ve been heartened to see in our “Who Pays for What?” surveys over the years that more shops are reporting regularly being paid for this procedure. Back in 2015, only

Still, about two in five shops acknowledge never having sought to be paid for this important process. I’d like to think those shops are doing the pre-alignment check and just not billing for the labor involved, but I’m also concerned some of them are not taking vehicle alignment into account early in the process as they should be.

The black marks left on the floor of a crash test facility are an indication that accidents can result in tires having flat spots, something collision repairers need to be aware of.

know that more and more vehicle system calibrations require an alignment prior to the calibrations.”

MIKE ANDERSON COLLISION ADVICE

$1.5B Georgia Rivian EV Plant Incentive As Worst Deal of the Year

By T.A. DeFeo The Center Square

A nonprofit has named Georgia’s decision to give $1.5 billion in incentives for a Rivian Automotive electric vehicle assembly plant 2022’s “Worst Economic Development Deal of the Year.”

The Michigan-based Center for Economic Accountability bestows the honor to a government subsidy of a private company that best illustrates the “massive wastefulness and ineffectiveness of government economic development subsidy programs.”

In December 2021, state officials announced Rivian planned to build a manufacturing facility—its second U.S. plant—in Georgia. Earlier this year, the Georgia Department of Economic Development and the Joint Development Authority of Jasper, Morgan, Newton and Walton counties announced $1.5 billion in incentives to Rivian.

In July, Georgia officials filed a petition to validate $15 billion in taxable revenue bonds, which economic development officials planned to use to finance the Rivian

l CONTINUED FROM COVER

Mileage Tax Program

requiring the Georgia Department of Transportation to determine a “fair road usage charge for all EVs operating in Georgia.”

“The Study Committee recommends that any legislative action taken to recoup the shortfall in the collection of the gas tax be carefully constructed so that emerging technology and fuel sources can easily be incorporated into a formula or process,” the committee wrote in its final report.

Fees “such as road usage charges or vehicle miles traveled should be comparable to the fuel tax paid by an equivalent conventional vehicle,” the committee concluded.

In a statement, state Sen. Steve Gooch, R-Dahlonega, said the “report will be used as a reference for potential legislation to be introduced in the future and grant the General Assembly the knowledge it needs to make informed decisions on the

project. Seven Morgan County residents filed a motion to intervene, and a judge subsequently ruled against validating the bonds; the state is appealing the ruling.

“In the worst year ever for giant state and local corporate welfare deals across the country, Georgia’s $1.5 billion Rivian subsidy still managed to stand out for the way that bureaucrats and elected officials completely failed in their responsibilities to the state’s residents and taxpayers,” CEA President John C. Mozena said in an announcement. “They made a massive, speculative investment of taxpayer money in an early-stage company in a highly competitive and government policy-dependent industry without doing basic due diligence.

“They went to great lengths to get around the fact that Georgia has no law that gives them the authority to hand out property tax breaks,” Mozena added. “They didn’t do their homework on the downsides of this project for the communities where the plant would be built, they kept the people who would be impacted the most in the dark until the deal

future of electric vehicles in our state.”

The report includes several proposed EV charging, permitting, training, and planning recommendations.

“The market for electric vehicles continues to expand both across the state and nation,” state Rep. Rick Jasperse, R-Jasper, said in a statement. “In order for Georgia to capitalize on the potential electric transportation can bring to our freight and logistics industry, we need to ensure we have the proper infrastructure in place to support expected demand.”

GDOT officials said the agency would continue to work with stakeholders and the Eastern Transportation Coalition, a partnership of 17 states and the District of Columbia, on a mileagebased user fee pilot program.

“GDOT respects the report of the Committee and will work with the House and Senate as they consider any legislative implementation,” the agency told The Center Square in a statement.

was almost done and then they went to great lengths to keep local leaders from having a say in what happens to their communities.”

In announcing the deal, state and company officials said the Rivian plant would begin production in 2024 and the project would create 7,500 jobs with an average wage of $56,000. Despite the bond validation ruling, site grading for the $5 billion plant at Stanton Springs North along Interstate 20 near Social Circle began in the early fall.

According to court records, economic development officials did not consider Rivian’s billions in losses when plowing ahead with the deal. While state officials expressed reservations about how the company would pay for its part, their tune changed following Rivian’s IPO in the fall of 2021.

The ruling revealed the JDA did not tap a third party to assess Rivian’s financial viability, and the state did not analyze the plant’s impact on local governments and their expenses.

“One of the big things that stands out about this deal is that a judge got agency bureaucrats on the

record effectively admitting that they did about the same amount of due diligence into a speculative investment with a billion and a half of taxpayer dollars as we’d expect from some diamond-hands meme stock trader on Reddit,” Mozena said.

“It’s worth noting that virtually everything we know about this deal is thanks to a judge doing her job and making sure that government agencies had to answer hard questions under oath,” Mozena added. “In a year where there were four times as many multi-billion dollar subsidy deals than ever before, we have to ask just what we’d discover elsewhere around the country if we had the same kind of transparency into every deal.”

A spokesman for Georgia Gov. Brian Kemp, a Republican, passed on the opportunity to comment on the award, and representatives for GDEcD did not respond to a request for comment.

Maaco Celebrates 50th Anniversary Milestone At 2022 Convention

By Abby Andrews Autobody News

Maaco looked back at 50 years in business—and forward to its next 50—at its 2022 convention, held Nov. 15-18 in Carlsbad, CA.

The second day of the gathering, Nov. 16, featured messages from Maaco’s senior leadership team, a message from keynote speaker Mike Anderson of Collision Advice and several breakout sessions for attendees. The recipient of the Tony Martino Hall of Fame and Vendor Partner of the Year awards were also announced.

The convention ran through the evening of Nov. 18, featuring a charity golf tournament, vendor trade show, fall festival and a gala.

“Let me be clear—we are proud to be celebrating the achievements of the past, but it is equally important to stay hungry, ensuring many more achievements for the future,” said Chris Dawson, president of paint and collision for Driven Brands.

Tony Martino Hall of Fame Award

The award was presented by Maaco founder Tony Martino’s son, Mark Martino, who shared memories of how his dad got the franchise started, opening the pilot location in Wilmington, DE, in 1972.

“I remember saying to Dad, ‘Are you sure anyone would want to do this for a living?’” Martino said. “He hesitated for a minute and then said emphatically, ‘Yes, I’m sure someday we are going to have hundreds of these Maaco centers all over the country.’

“His prophecy proved true and

here we sit, 50 years later, celebrating his foresight and dedication,” Martino said.

The Hall of Fame award named for Tony Martino is given to an owner who personifies Maaco’s founding values of providing quality service at a fair price.

This year, it was presented to Jay Patel, who owns 11 Maaco stores in four states and, over his 30+ years with the franchise, has gotten much of his extended family involved in the business.

“I am so grateful for this honor, and I give all the credit to Tony Martino,” said Patel. “He taught me so much that I have applied to my business to be successful. The most important thing was taking care of the customer. His saying was ‘paint a car, make a friend,’ and my goal and my team’s philosophy is to treat them like family, and the goal is always to make a customer for life, whatever it takes.

“I believe in the Maaco system,” added Patel. “Maaco has the successful formula, and all I have done is applied it. I don’t try to reinvent the wheel—they already invented it, and it works.”

Keynote Message

Mike Anderson of Collision Advice spoke about how franchisees should grow their teams to grow their business.

“Everybody on the collision side in the U.S. has a five- to eight-week backlog of work,” Anderson said. “What everyone does not have is people.”

To grow a team, owners have to either help existing staff get better at what they do, or bring on new hires. And to do that, owners must create an environment where people don’t love their jobs—they love the organization.

“You want them to love working for YOU,” he said. “Culture is your commodity, the goose that lays the golden egg every single day.”

Anderson said the industry has a whole does not have a staffing shortage—it has a “we don’t pay enough” problem.

“We have got to offer better compensation,” he said.

Another key is to lay out a career path for employees, so they see how they can advance.

The lines between collision work and what Maaco does are becoming more blurred, Anderson said, thanks to increased ADAS features on cars

that make recalibration necessary to complete what was once a simple paint job on a front bumper. Improper recalibrations can cause accidents, leading to liability issues.

“This is not a message of doom and gloom; it’s an area of opportunity,” Anderson said, noting Maaco owners might be able to expand their services to include ADAS calibrations for other area shops.

Anderson said Maaco owners also need to make sure their customer service is modern, not antiquated, offering conveniences like concierge service, email receipts and a 24/7 digital presence, so customers feel like they can start the repair process even outside of normal business hours.

Maaco’s Online Estimating Tool, launched pre-pandemic in 2019 and now on its fourth version, is a great way to do that, Anderson said.

“It’s difficult if not impossible to write an estimate based on a photo, but look at it as a marketing strategy to capture a hot lead outside of business hours,” when most crashes occur, he said.

Shops like Maaco also have to dominate online reviews, as voiceactivated searches for things like “best auto paint repair shop near me” only return the top result.

To do that, shops need “social proof,” like online reviews, to vouch for their ability to fix a car.

who have both partners for more than a decade.

Media Roundtable

Executives, including Dawson, Maaco COO Daryl Hurst, Porcelli and Driven Brands Senior Vice President of Marketing Hannah Whitesides, participated in a media roundtable.

Dawson opened the roundtable by saying 2021 was a stellar year, as Maaco assembled an incredible leadership team, listened to franchisees and leveraged data for the first time to look at what was happening and what needed attention within the franchise.

Shops like Maaco also need to regularly communicate with vehicle owners during the repair process, even if it’s a “no update” update.

“Keeping them informed drives the customer experience,” he said. “Let them know you’re still working on it, you haven’t forgotten them.”

Vendor

Partner

of the Year

Senior Vice President of Strategy and Franchise Administration Chris Porcelli presented the Vendor Partner of the Year award to cowinners Sherwin-Williams and 3M,

“Most importantly, we listened to consumers, started using research to find out what they were asking from us and putting together a plan, and the results are beginning to show,” Dawson said.

Porcelli said Maaco, as part of Driven Brands, is using scale to support its partners.

Whitesides talked about some of the ways Maaco has acknowledged its 50th year, including celebrating a shop-level employee every week and partnerships with other companies, like one with Ray Ban to give away 50 pairs of golden sunglasses.

Going forward, Hurst said Maaco will “stay true to our core, look at the evolution of vehicles and what the consumers need, and leverage data to help franchisees to do business in the future.”

In 2023, Porcelli said, Maaco will be focused on growth, specifically strengthening fleet partnerships.

“We just went through one of the most trying times as a nation,” Dawson said. “We didn’t just thrive, but Maaco was there for franchisees every step of the way. We came out in a better place. Existing franchisees want to open more stores, and we couldn’t be more excited for that growth.”

Pictured, left to right, are Driven Brands Collision and Paint President Chris Dawson; Mark Martino, son of Maaco founder Tony Martino; Maaco COO Darryl Hurst; franchisee Jay Patel, winner of the Tony Martino Hall of Fame Award; Maaco Vice President of Operations Bryan Jones; Driven Brands Senior Vice President of Marketing Hannah Whitesides; Maaco Senior Vice President of Strategy and Franchise Administration Chris Porcelli; and Maaco Vice President of Franchise Services Dave Gross

Sherwin-Williams was a co-winner of the Vendor of the Year Award

3M was a co-winner of the Vendor of the Year Award

Alabama Gov. Approves $40M in Highway Projects

By Steve Wilson The Center Square

Alabama Gov. Kay Ivey announced Jan. 12 $40 million in road and bridge construction projects for cities and counties.

The 33 projects are funded by the Alabama Transportation Rehabilitation and Improvement Program-II, a program created by the Rebuild Alabama Act.

“I am proud to announce the largest round of local funding since the passage of the Rebuild Alabama Act as I close out my first term and gear up to begin the next four years,” Ivey said in a news release. “Our decision to address Alabama’s infrastructure challenges is paying major dividends in several vital areas, and I am thrilled to continue building on this momentum by moving forward this year’s projects.”

According to a news release, the state has awarded $140 million in highway funds since the Rebuild Alabama Act was signed into law by Ivey in 2019. This act

increased the state’s gasoline tax by 10 cents to 28 cents per gallon. The state’s gas tax will also be indexed to the National Highway Construction Cost Index starting in July and can increase by up to 1 cent per gallon every other year.

Holidays Bring Gift of Falling Gas Prices

By Andrew Gross AAA

Holiday shoppers may have a little more jingle in their pockets this year thanks to plummeting gas prices.

The national average pump price slid 12 cents over the previous week to $3.14 as of Dec. 19. There are now about 20 states with averages below $3 per gallon.

to shorter days and more lousy weather.

Meanwhile, total domestic gasoline stocks rose significantly by 4.5 million bbl to 223.6 million bbl. Increasing supply and lower gasoline demand are pushing pump prices lower.

The Dec. 19 national average of $3.14 is 54 cents less than a month ago and 16 cents less than a year ago.

The 33 projects were selected by a committee created by the Rebuild Alabama Act and must be started within two years of the award of funding. Eighteen of the approved projects will have $7 million in matching funds from cities or counties, which isn’t required under the law.

U.S. EV Sales Grow by 65% in 2022 Despite Overall Auto Market Decline

By Joey Klender Teslarati

Sales of electric vehicles in the U.S. grew by 65% in 2022, despite a decline in total new vehicle sales for the first time since 2011, new data from Kelley Blue Book showed.

According to Kelley Blue Book, for the first time in just over a decade, Americans bought fewer new cars than the year before. However, EV sales grew year over year by a significant margin.

EV sales topped 800,000 units and will likely continue to rise for years to come. Cox Automotive suggested 2023 will be the first year EV sales will beat 1 million units.

Boosted by government incentives like President Joe Biden’s Inflation Reduction Act (IRA), which intends to push consumers toward EVs, 2023 could be the year of the electric car. Many manufacturers are planning to roll out exciting and competitive models this year.

Despite a slight decrease in market share from 70% in Q1 to 58.3% in Q4, Tesla still dominates the U.S. EV market. Over the past few years, many companies have come with competitive and more affordable options, but car buyers are still tending to stick with Tesla based on EV tech, charging infrastructure and performance.

Tesla is off to a hot start in 2023. After cutting prices in the U.S. market by as much as $13,000, demand seems to have increased as the company’s inventory is dwindling.

The Model 3 and Model Y were the automaker’s best sellers.

More positive news: the average cost of an electric vehicle fell 5.5% in December to $61,448.

“The cost of oil, gasoline’s main ingredient, has been hovering in the low-to-mid $70s per barrel, and that’s $50 less than the peak last Spring,” said Andrew Gross, AAA spokesperson. “Combined with low seasonal demand, gas prices could slide a bit more before leveling off.”

According to data from the Energy Information Administration (EIA), gas demand decreased slightly from 8.36 to 8.26 million b/d the same week. This coincides with the arrival of the winter driving season, when fewer people hit the roads due

The nation’s top 10 largest weekly decreases: Nevada (-20 cents), Indiana (-19 cents), Michigan (-17 cents), Arizona (-17 cents), Ohio (-16 cents), Washington (-16 cents), Delaware (-16 cents), Illinois (-15 cents), California (-15 cents) and Oregon (-15 cents).

The nation’s top 10 least expensive markets: Texas ($2.62), Oklahoma ($2.64), Arkansas ($2.69), Missouri ($2.71), Mississippi ($2.74), Tennessee ($2.75), Wisconsin ($2.75), Louisiana ($2.76), Georgia ($2.77) and Kansas ($2.78).

Source: AAA

A new 1.5-mile section of road between Lott Road SR-217 and Schillinger Road near Semmes, AL.  Credit: Facebook/ALDOT Southwest Region.

Nonprofit Continues Mission To Connect Aspiring Collision Repair Students To Scholarships

By Abby Andrews Autobody News

Over the years, the University of the Aftermarket Foundation (UAF) has awarded millions of dollars in scholarships to high school and college students looking for a career in the automotive aftermarket and commercial vehicle industry, by making it easy for them to be considered for scholarships from more than 40 organizations by filling out just one application.

In 2022 alone, UAF awarded 461 scholarships totaling $731,350. This year, that single application is due March 31, and can be completed on UAF’s website, automotivescholarships. com/apply-online.

Full-time students at an accredited U.S. college or university, or an ASE/ NATEF-certified post-secondary automotive, heavy duty or collision repair school, as well as graduating high school seniors planning to attend any of the above full time are eligible for the scholarships. There is no GPA requirement.

Priority in awarding scholarships is given to those pursuing a career in the automotive aftermarket, and sons and daughters of aftermarket industry families.

Students who receive a UAF scholarship are eligible for a second grant upon graduation from their program and after completing six months of employment as a technician in the automotive or heavy-duty industries.

said.

Later, in 2001, the Global Automotive Aftermarket Symposium (GAAS) was formed, Pavey said, also to raise money for and distribute scholarships.

In 2016, GAAS became a part of UAF. Between the two organizations’ histories, both separately and since they combined, more than 5,000 scholarships have been awarded.

“We have scholarships today for every different part of the industry,” Pavey said. “We promote scholarships to anyone who has any kind of aftermarket interest, and work with different suppliers and distributors to make sure we are addressing the entire marketplace.”

about our industry when you see the quality of people trying to get involved.”

Pavey said he thinks little by little, the automotive aftermarket industry is being seen as a viable career option, as vehicle technology becomes more sophisticated, but he thinks it could still be better promoted.

“The need for techs has never been bigger; the shortfall is the largest it’s ever been,” Pavey said. “The average age of [existing] techs is getting higher. Certainly the numbers are still such that we need a lot more technicians.”

Scholarship recipients for the 202324 school year will be announced in June.

Larry Pavey, vice chairman of the UAF Board of Trustees and CEO of Automotive Parts Services Group, said UAF, originally known as the Automotive Warehouse Distributors Association (AWDA) University Foundation, was established in 1986.

“It brought together distributors and manufacturers who wanted to promote education and participation in the automotive aftermarket, with the feeling we were beginning to lose people coming into industry,” Pavey

Pavey said the UAF gets a few thousand applicants every year.

Teams of 10 volunteers review 100 or 150 applications each. Pavey said he has been managing one of the teams for the last 12 or 15 years, and has seen how the applications have changed over time.

More women are applying for the scholarships, and the educational credentials of the applicants has only increased.

“It’s a tremendously better group of students,” Pavey said. “Once you’ve spent a long weekend reviewing 150 scholarships, you feel really good

Pavey said the advantage to filling out a single UAF scholarship application means students might win a scholarship they didn’t even realize they qualified for.

“The cool thing about our process is there’s over 40 organizations offering scholarships, and they’re all different,” he said. “A student can be focused on collision, but could also get [a scholarship from] Women in Auto Care. If they’re from Kentucky, they could get one from KIAWA. We’re kind of a one-stop shop for the automotive aftermarket.”

UAF funds the scholarships through a combination of donations and fundraising events. For more information on how to donate, visit uofa-foundation.org.

The Univeristy of the Aftermarket Foundation’s Executive Committee.

MINIMIZE LOSS

Labor

Waste Theft Warranty

Re-work Indifference

Our team and systems work to minimize each

/

MATERIALS

Hundreds of supplier relationships

Industrial Finishes has experts on staff

Careful inspection, monitoring, measurement and reporting

Rising Auto Loan Interest Rates Drive Share

Financing a new or used vehicle is growing more expensive than ever for consumers, according to the car shopping experts at Edmunds. New data from Edmunds reveals: Interest rates are continuing to rise. The average annual percentage rate (APR) on new financed vehicles climbed to 6.5% in Q4 2022 compared to 5.7% in Q3 2022 and 4.1% in Q4 2021. The APR on used financed vehicles climbed to 10% in Q4 2022 compared to 9% in Q3 2022 and 7.4% in Q4 2021.

A greater share of consumers are committing to monthly payments of $1,000 or more. 15.7% of consumers who financed a new vehicle in Q4 2022 committed to a monthly payment of $1,000 or more—the highest it’s ever been— compared to 10.5% in Q4 2021 and 6.7% in Q4 2020. 5.4% of consumers who financed a used vehicle in Q4 2022 committed to a $1,000+ monthly payment—also a record high—compared to 3.9% in Q4 2021 and 1.5% in Q4 2020. Consumers are putting more money down on their purchases to offset rising costs. The average

down payment for new and used vehicles hit record highs in Q4 2022, climbing to $6,780 and $3,921, respectively.

A growing share of luxury shoppers are turning their backs on leasing and choosing to

Monthly Payments To Record Levels

--which is the vast majority of car shoppers,” said Ivan Drury, Edmunds’ director of insights. “Although the last quarter of the year typically skews toward luxury vehicle purchases, this near-record percentage of vehicles that are being purchased rather than leased reflect tougher market conditions far more than affluent consumers shelling out a bit more than usual to treat themselves over the holiday season.”

2021 and $5,059 in Q4 2020.

purchase instead. Edmunds data reveals that new-vehicle lease penetration dropped to 16% in Q4 2022, compared to 29% in Q4 2019. Luxury new-vehicle lease penetration dropped to 26% in Q4 2022, compared to 53% in Q4 2019.

“Just as new and used car prices finally started to cool off in Q4, rapidly rising interest rates created an even greater barrier to entry for consumers who rely on financing-

Automotive Supplier To Build $205M Plant in GA, Incentives Remain Unknown

By T.A. DeFeo The Center Square

An automotive parts manufacturer plans to spend $205 million on a new manufacturing facility.

Ecoplastic Corp., a South Korean company, said it would create 456 new jobs as part of the new facility near Statesboro, GA, in Bulloch County. Ecoplastic manufactures plastic interior and exterior components and supplies Hyundai Motor Group and Kia.

“The project is still active,” a Georgia Department of Economic Development communications representative told The Center Square. The designation allows state officials to decline to release details about tax incentives the state offered to entice a company to locate or expand in Georgia.

Georgia officials have targeted electric vehicle manufacturers and associated companies. According to state officials, companies have announced more than 30 EVrelated projects in Georgia since 2020.

Last May, Hyundai Motor

Group announced it had selected Georgia for Hyundai Motor Group Metaplant America, its “first dedicated EV plant in the U.S.” The company said it plans to invest more than $5.5 billion to build the facility.

“By increasing new jobs within the area and providing a stable supply of high quality products to our client, HMGMA, we look forward to contributing to the economic development of the State of Georgia and Bulloch County,” Han Shang, president and CEO of Ecoplastic, said in an announcement.

However, not all projects have been lauded.

In December, the Michiganbased Center for Economic Accountability named Georgia’s decision to give $1.5 billion in incentives for a Rivian Automotive electric vehicle assembly plant 2022’s “Worst Economic Development Deal of the Year.” State economic development officials have not responded to requests for comment on the recognition.

Edmunds analysts caution the combination of costlier vehicle financing and cooling used car values could spell trouble for some consumers down the road if they do not budget or plan accordingly. Edmunds experts conducted a deeper dive into the share of new vehicle sales with a trade-in that had negative equity in Q4 2022, which reveals:

17.4% of new vehicle sales with a trade-in had negative equity in Q4 2022, compared to 14.9% in Q4 2021 and 31.5% in Q4 2020.

The average amount owed on upside-down loans was $5,341 in Q4 2022 compared to $4,141 in Q4

“Vehicle equity is really a tale of two gears for consumers over the past few years,” said Drury. “At the onset of the pandemic, consumers benefited from low interest rates and elevated tradein values, helping shield even the more questionable financing decisions from resulting in negative equity. This unique confluence of market forces resulted in some vehicle owners being able to take advantage of positive equity on their loans and even their leases. But as we shifted toward an environment with diminished used car values and rising interest rates over the past few months, consumers have become less insulated from those riskier loan decisions, and we are only seeing the tip of the negative equity iceberg.”

As a 2023 resolution, consumers may benefit from resolving to more closely monitor their vehicles’ values so they are not shocked to find out later about potential significant negative equity.

Source: Edmunds

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Vann York Automall High Point

336-841-6200

Dept Hours: M-F 7:30-6; Sat 8-3

Breakaway Honda Greenville

800-849-5056

864-234-6481

Dept� Hours: M-F 8-6; Sat 8-5 fmarshall@breakawayhonda com

Piedmont Honda Anderson

800-849-5057

864-375-2082

Dept Hours: M-F 7:30-6; Sat 8-5 swhite@piedmontcars�com

ACURA

Please contact these dealers for your Honda or Acura Genuine parts needs. FLORIDA

FLORIDA

Acura of Orange Park Jacksonville

888-941-7278

904-777-1008

Dept� Hours: M-F 7-8; Sat 7-5; Sun 9-3 msweeney@acuraoforangepark com

Duval Acura Jacksonville

800-352-2872

904-725-1149

Dept Hours: M-F 7-7; Sat 8-5 Cecil adams@duvalacura com

Rick Case Acura

Fort Lauderdale

800-876-1150

954-377-7688

Dept Hours: M-F 7:30-6; Sat 8-5 rubenramos@rickcase com

Jackson Acura Roswell

877-622-2871

678-259-9500

Dept Hours: M-F 7-6; Sat 7:30-6 kmcmillan@jacksonacura com

Nalley Acura Marietta

800-899-7278

770-422-3138

Dept Hours: M-F 7-7; Sat 7-5 byoung@nalleycars com

Flow Acura

Winston-Salem

800-489-3534

336-761-3682

Dept Hours: M-F 7:30-6; Sat 8-1

www flowacura com

Leith Acura Cary

800-868-0082

919-657-0460

Dept Hours: M-F 7-6; Sat 8-4:30

Jason Mangels@leithcars com

Karen Radley Acura Woodbridge

800-355-2818

703-550-0205

Dept Hours: M-F 7:30-5:30; Sat 8-3 coreythompson@radleyautogroup com

TENNESSEE VIRGINIA

Airport Honda Alcoa

800-264-4721

865-970-7792

Dept Hours: M-F 7:30-6:30; Sat 7:30-5 parts@airporthonda com

AutoNation Honda West Knoxville Knoxville

800-824-1301

865-218-5461

Dept Hours: M-F 7:30-6 rossd1@autonation com

Wolfchase Honda

Bartlett

800-982-7290

901-255-3780

Dept Hours: M-F 7-7 ekerr@wolfchasehonda com

Checkered Flag Honda Norfolk

800-277-2122

757-687-3453

Dept Hours: M-Sat 7:30-6 honda checkeredflag com

Hall Honda Virginia Beach

800-482-9606

757-431-4329

Dept Hours: M-F 8-7; Sat 8-5 fox@hallauto com

Valley Honda Staunton

800-277-0598

540-213-9016

Dept Hours: M-F 7:30-5:30; Sat 9-5 bwimer@myvalleyhonda com

West Broad Honda Richmond

800-446-0160

804-672-8811

Dept Hours: M-Fri 7:30-6:30; Sat 8-5 wbhonda@aol com

VIRGINIA

Auto Care Alliance Partners With Elite

Auto Care Alliance has partnered with Elite to offer online sales training for service advisors. Elite is offering a benefits package valued at more than $300 to ACA member shops who are new to the program.

Each ACA member that signs on with Elite’s Sales Master University will receive a full year of access to 16 lessons taught by Ratchet & Wrench All-Star Award winner Jen Monclus, including quizzes and activities to improve retention and accountability, and quality content developed by America’s top shop owners and service advisors with real-world applications that can be implemented immediately, ensuring consistent and profitable sales cycles.

Elite and Hamilton will host a 30-minute webinar on this benefit to member shops at 1 p.m. CT Jan. 24.

More information on the program and upcoming webinar can be found at autocarealliance. org/elite

Source: Auto Care Alliance

Auto Manufacturer Websites Becoming More Important To Vehicle Shoppers

As auto manufacturer websites become increasingly important to shoppers, overall satisfaction for manufacturer websites is also growing, up 11 points on a 1,000-point scale for the premium segment to 722 and 3 points for the mass market segment to 708, according to the J.D. Power 2023 U.S. Manufacturer Website Evaluation Study—Winter, released Jan. 9.

When shoppers use certain tools, specifically the build and price, vehicle compare, 360° viewer and payment/lease calculator, the likelihood of the shopper to consider the brand increases by 11 percentage points.

“In today’s shopping environment, manufacturer websites must have a robust set of tools for shoppers to use,” said  Jon Sundberg, director of digital solutions at J.D. Power.

“Not only is it important to have the tools, they also need to be easily discoverable, well-designed and intuitive to use to significantly

Diesel Fuel Theft Ring Busted in Tennessee

By Steven Symes Motorious

Police in Hendersonville, TN, blew the cover off a surprisingly sophisticated diesel theft ring.

According to a local report, authorities believe the group has stolen tens of thousands in diesel from local gas stations. One news station is calling the group Diesel Gang, suspected of stealing from gas stations all over the Mid South.

Investigators got their break Nov. 13 at a Thorntons gas station in Hendersonville. Surveillance footage captured a Chevy Silverado and U-Haul van pull up next to each other to pump diesel. While the footage didn’t look like much, authorities realized the drivers were working together to pump thousands of gallons of diesel for only a couple of dollars.

The Silverado had been modified to hold about 200 gallons of diesel in tanks sitting in the bed. A pump helped the process go faster so nobody would suspect a thing. In addition, the crew drilled open the gas

pumps, somehow without being noticed, and installed a fuel manipulator device, fooling the computer into thinking less fuel was being distributed and at a cheaper rate per gallon.

The crew would return with multiple vehicles, getting as much diesel as they could, and dumping the extra in a tank elsewhere before selling it. Since they were using prepaid gas cards, there was no way to trace the transaction once a station realized what happened.

Watching for the crew to strike again, on Dec. 2, a Hendersonville city LPR camera captured the modified Chevy Silverado on the road. Police immediately found the suspect, 25-year-old Rolando Javier Rodriguez-Denis of Florida, at a gas station. Rodriguez was arrested and charged with theft over $10,000 and vandalism over $1,000.

However, investigators think there are many more people in the operation to catch, so they’re digging through evidence and getting ready to make another move.

drive brand consideration.”

The J.D. Power U.S. Manufacturer Website Evaluation Study is a semiannual study that measures customer satisfaction of automotive manufacturer

premium manufacturer websites with a score of 749. BMW (742) ranks second and Infiniti (740) ranks third.

Jeep ranks highest among mass market manufacturer websites with a score of 727. Dodge (725) and Nissan (725) rank second in a tie. GMC (719) and Mazda (719) rank fourth in a tie.

websites during the process of shopping for a new vehicle by examining four key measures, in order of importance: information/ content, visual appeal, navigation and speed.

Study Rankings

Land Rover ranks highest among

The U.S. Manufacturer Website Evaluation Study, initially released in 1999, is based on responses from 10,487 new-vehicle shoppers who indicate they will be in the market for a new vehicle within the next 24 months. The study was fielded in October-November 2022.

For more information about the U.S. Manufacturer Website Evaluation Study, visit www. jdpower.com/business/resource/ us-manufacturer-websiteevaluation-study

Source: J.D. Power

Credit: Shutterstock

Event For Large Collision Repair Businesses Focuses on Labor Shortage, State of Consolidation

by John Yoswick Autobody News

During consultant Vince Romans’ annual presentation on the state of consolidation within the collision repair industry at the MSO Symposium in November, he noted there were currently 19 private equity firms or other investor groups backing 14 multi-shop operations.

Those MSOs have combined annual revenues of about $13 billion. That represents about 34% of the industry’s total revenues of $38.6 billion in 2021, according to Romans’ data.

“That’s not going to stop,” Romans said. “I get calls from private equity firms every week, looking to know about this industry, looking to know where they should invest. And that will continue.”

When the additional MSOs with $10 million or more in annual revenues are added in, multi-shop operators accounted for about 43.6% market share, he said, meaning more than half—about 56%—of total industry revenues are still captured “by individual or smaller operators.”

But that is going to flip in the coming years, Romans predicted. As he does most years at the annual symposium, he shared two five-year forecasts: A “more likely” scenario in which MSOs control 55% of the total collision repair market revenue in 2026, and what he call his “more aggressive” forecast, “based on dynamics that we don’t have a lot of control over,” showing MSOs capturing more than two-thirds (67.7%) of the market.

In either case, he doesn’t foresee any short-term end of business for smaller operators.

“Just like in other industries, it will take a couple more decades to get to scale where the smaller shops no longer exist,” Romans said.

By Romans’ count, there are more than 100 MSOs with annual sales of $20 million or more, and they are certainly most interested in the more than 400 with revenues above $10 million.

“That’s where consolidation will happen, just like in the hardware industry, just the like in the drug industry, which took decades to consolidate,” Romans said. “The collision repair industry will also take decades, but it will happen. So for those who decide to stay in it, you have to decide how you can be successful while deciding whether there’s an exit plan for yourself in the future.”

What’s Driving the Labor Shortage

Another speaker at the MSO Symposium, Andy Challenger, pointed to three key factors creating the current labor shortage in the U.S. Challenger, senior vice president of a Chicago-based firm that companies hire to help their laid-off employees find new positions, said the participation rate—the number of Americans age 16 or older either working or looking for work as a percentage of the population—has been declining over the past 20 years. At 62.3% currently, that’s down from 63.4% just prior to the pandemic, which equates to “about 3 [million] to 4 million people missing from the workforce.”

Because his firm, Challenger, Gray & Christmas, works to find new positions for laid-off workers, Challenger said he has regular data on what people most want from their employer. He said the ranking of employees’ priorities shifts. Last fall, for example, his company’s survey found “flexibility” remains the top priority, but “empathetic leadership” has risen to the No. 2 spot, higher than in the past.

Gerber Collision, said the “E” section of that company’s first ESG report, published earlier this year, outlines how Boyd is mitigating its impact on the environment. Its “Repair First” program, for example, was created “to repair more plastic parts to keep them from entering landfills,” and the company is committed to using waterborne paints in both its existing and newly-acquired shops.

The “social” aspect of ESG encompasses such thing as wages, employee and community engagement, and supply chain relationships. Boyd’s report, for example, highlights its talent development program started in 2018, which has provided a 12- to 18-month training program attributed with developing more than 100 new technicians, with a goal of doubling that number next year.

Challenger said three trends contribute to that. First, more Baby Boomers are retiring, and early retirements accelerated in 2020.

Second, while immigration numbers are back to pre-pandemic numbers, “what we haven’t made up for yet is the decrease we saw in 2020 and 2021, when we saw a real dip during the depths of the pandemic.” There are currently 1.7 million fewer new immigrants in the country than there would have been if the numbers had stayed on the trendline in 2019, he said.

Third, challenges and costs associated with care for children and the elderly have led more households to decide to get by with only one parent working.

The tight labor market could change if there’s a recession, and Challenger said his company’s surveys of employers last fall indicated about one-third say they were currently preparing for a recession.

“It’s not an extremely alarming number, but it’s more than nothing,” he said. “I think almost certainly it will be a cooler job market a year from now.”

“That wasn’t even on the list when we started taking this survey two years ago,” Challenger said. “But this is something that employers are hearing from workers constantly, that they want to feel listened to, they want to feel like people, and they want to feel cared about.”

Discussion about “wage inflation— and increases in the cost of living— have helped bump “higher wage” up from sixth on the list to the No. 3 spot, he said. And “upward career trajectory” remained the fourth highest priority.

“Employees today are saying they really want a path forward in the organization,” Challenger said. “Employers that are able to provide that are going to be rewarded in this strong labor market.”

‘ESG’ Concept Entering the Collision Repair Market

Although most collision repair organizations likely are not familiar with the term “ESG practices,” it’s something they may be increasingly asked about by insurance companies—or from larger MSOs looking at valuing and acquiring new locations.

ESG stands for environmental, social and governance practices. During a panel discussion on the topic at the MSO Symposium, Diane Kappas of PPG said ESG is a term created by the investment community to talk about a corporation’s non-financial impacts, risks and opportunities.

Susie Frausto of The Boyd Group, the Canadian parent company of

Governance, Frausto said, focuses on such things as how a company’s leadership is aligned in providing transparency in its ESG practices.

Eddie Hightower

Collision said one reason more collision repairers may want to focus on ESG is insurance companies’ interest in partnering with companies that do. Three years ago, he said, insurers would ask questions about Caliber’s focus on sustainability, for example, but Hightower said it seemed largely about checking a box.

“The last couple of years, they started to get more intense,” he said. “They’re asking many more questions. ‘Do you really have a program really thinking about this?’ That’s because if you have a well-thought-out sustainability program, you’re thinking about risk. If you’re thinking about risk, you’re a good risk for the insurers. So looking ahead, if you want to have access to insurance markets, you’re really going to have to think about sustainability. It really does have an impact on your bottom line.”

of Caliber

Eddie Hightower of Caliber Collision said insurance companies are increasingly interested in a collision repair business’ focus on sustainability.

“But this is something that employers are hearing from workers constantly, that they want to feel listened to, they want to feel like people, and they want to feel cared about.”

ANDY CHALLENGER SENIOR VICE PRESIDENT, CHALLENGER, GRAY & CHRISTMAS

Outplacing consultant Andy Challenger said the labor shortage is based on there being “about 3 [million] to 4 million people missing from the workforce,” compared to pre-pandemic.

Jaguar Land Rover Joins I-CAR Program

I-CAR on Dec. 15 announced Jaguar Land Rover has joined I-CAR’s Sustaining Partner Program, designed to fund the various initiatives that drive I-CAR’s vision that every person in the collision repair industry has the information, knowledge and skills required to perform complete, safe and quality repairs for the ultimate benefit of the consumer.

The move builds upon Jaguar Land Rover’s longstanding training partnership with I-CAR, which provides customized training programs to Jaguar Land Rover’s Authorized Repair Network facilities throughout North America.

Since the program’s founding in 2017, I-CAR Sustaining Partners has helped fund I-CAR curriculum and student fees in career and technical schools, which have become I-CAR fixed training sites; that funding exceeds $3 million. Sustaining Partners has also funded all Industry Training Alliance training credit fees for individuals who train with curriculum from approved Industry Training Alliance partners.

Source: I-CAR

Ford Super Duty Lawsuit Alleges Roofs Crush in Rollover Crashes

By David A. Wood CarComplaints.com

A Ford Super Duty truck roof lawsuit alleges occupants are injured and killed in rollover crashes because the truck roofs are weak and dangerous.

The class action lawsuit includes 1999-2016 Ford F-250, F-350, F-450 and F-550 Super Duty trucks that allegedly have roofs that cannot handle the weight of the trucks in rollover incidents.

Even if the crash impact leaves truck occupants unscathed, the roofs allegedly collapse onto the occupants as the trucks roll over.

Ford truck roof-crush class action lawsuits began being filed following a Georgia court case where the jury awarded $1.7 billion to the family of two 2002 Ford F-250 Super Duty truck occupants.

The crash was allegedly caused by a Pep Boys service shop that installed the wrong size tire on the Ford F-250, which caused the tire to blow out. The truck rolled, which caused the roof to collapse.

The class action alleges the Ford Super Duty trucks are built

Highway Fatalities Decline in Alabama in 2022

By Brent Addleman The Center Square

Highway traffic fatalities declined in Alabama last year.

The Alabama Law Enforcement Agency announced Jan. 5 there were 19 fewer highway fatalities in 2022 than the previous year. In 2022, Alabama had 586 highway fatalities.

However, there were 14 traffic deaths investigated by Highway Patrol Division officers over the nine-day holiday period at the end of the year.

“We would like to thank the motoring public for their diligence and continuous efforts in assisting law enforcement, which enabled ALEA troopers to reduce the number of traffic crashes, injuries and fatalities, ultimately making Alabama roadways safer,” ALEA Secretary Hal Taylor said in a release.

“However, this extended holiday travel period still reminds us that we need to remain constant in our resolve to create an environment of safety on our state’s roadways. Unfortunately, this year there were 14 lives tragically lost.”

In 2022, a total of 31,990 traffic crashes were investigation by troopers, featuring 10,914 injuries on top of the 586 deaths. However, crashes were also on the decline in 2022 with 2,185, which is down 646 crashes from 2021.

Over the holiday season, from Dec. 24 through Jan. 1, officers responded to fatal crashes in Baldwin, Chambers, Chilton, Dallas, DeKalb, Elmore, Jefferson, Limestone, Marshall, Monroe and Tuscaloosa counties. In the crashes, 11 drivers were killed and three passengers. Four people were using seat belts and one is unknown.

around steel frames which should maintain the form and structure of the trucks to keep occupants safe.

But the plaintiffs assert the Super Duty steel frames aren’t strong enough to support the weight of the trucks, which causes the roofs to collapse onto occupants in rollover crashes.

“The Roof Defect has caused serious injury, paralysis and death to vehicle drivers and occupants. Ford has repeatedly been found liable for injuries and deaths resulting from the Roof Defect in the over 160 wrongful death and personal injury lawsuits that have been filed against it regarding the Defect,” according to the lawsuit.

The lawsuit further alleges that with more than 5 million Super Duty trucks equipped with defective weak roofs, Ford has allegedly admitted more than “80 incidents of roof crush resulting from the Defect.”

According to the plaintiffs, the allegedly weak defective roofs also affect safety features such as the Safety Canopy System, which is advertised as a way to increase safety in rollover crashes.

Those plaintiffs also claim

their 1999-2016 Ford Super Duty trucks have lost their resale values because of the roofs.

According to the Super Duty roof class action lawsuit, “Ford must buy back these dangerous Vehicles or reimburse Plaintiffs and Vehicle Owners and Lessees for the serious risk inherent in continuing to drive them.”

The Ford Super Duty truck roof lawsuit was filed by these plaintiffs: Curtis Bright, Washington, 2000 Ford Super Duty Extended Cab

William P. Griffitt, Oklahoma, 2000 Ford F-250 Lariat Super Duty Desmond Rains, Oregon, 1999 Ford F-350 Super Duty

Ivan Tellez, California, 2016 Ford F-350 Super Duty

Kevin Thomas, Kentucky, 2002 Ford F-250 Super Duty

The Ford Super Duty roof class action lawsuit was filed in the U.S. District Court for the Northern District of California (San Francisco Division): Bright, et al., v. Ford Motor Company.

The plaintiffs are represented by Keller Rohrback L.L.P.

Marketing Expert Sees a Future Without DRPs

By Ed Attanasio Autobody News

Direct Repair Programs (DRPs) were designed in 1963 for an era where all cars were pretty much built and repaired the same way. Lower rates meant the insurance companies would be satisfied, and everyone thought it was a good idea for a while.

Industry veterans say things changed when insurance companies began cutting costs by sacrificing quality. Many body shops were willing to jump through a few hoops to get the volume. When it became more competitive, shops were willing to use more aftermarket, used and reconditioned parts, and became more willing to negotiate on every repair.

Thomas Zoebelein, owner of Stratosphere Studio, recently discussed the future of DRPs in the collision repair industry. He said some compelling things that should interest any body shop owner in the country.

Initially, DRPs worked well because shops that wanted them had to step up their games.

“The DRP forced, or allowed, shops and insurers to focus not

on customer acquisition but production,” Zoebelein said. “Every shop tool, business method, marketing tactic and class was centered on production and how to make body shops more efficient.”

That road reached a dead end when vehicle construction moved from mild steel to ultra-high-strength steel a decade ago.

body shops out there scared to work without DRPs.

“The fear of dumping your DRPs is that if you jump out of a plane every day without your DRP golden parachute, you will crash and die,” Zoebelein said. “The work will dry up, and you will be out of business. The pandemic proved everyone wrong because the cars stopped coming for a while, but the non-DRP shops stayed open.”

Stratosphere Studio has developed a marketing plan, Capture the Keys’ “Dump the DRP” program, and forward-thinking shops are embracing it.

Zoebelein is not promising he can help collision repairers replace the volume of a DRP contract.

“That’s when the repair process changed, and OEM procedures became more and more necessary,” he said. “Now the big dilemma for shops is how to get off the DRPs and get paid more.”

The problem is there are a lot of

“So how do you dump a DRP and replace it with a system to get your shop in the hands of customers who need collision repair and keep cars coming into the shop?” Zoebelein said. “What’s the most efficient way to reach a person who you know has a collision repair need, where they are buying, when they are buying

but just before they make a final decision?

“Geofencing allows you to get in front of that customer, when they are shopping for collision repair, even if it’s at just one location,” he said. “We don’t care how they got there—DRP referral, family referral, convenient location, marketing, etc. We just need them to be there, and then geofencing will find them, collect their data and offer them a second opinion.

“I believe that the future of collision repair is fewer cars, more money, more profit,” Zoebelein said. “It’s a fact that vehicles will be getting into fewer accidents. The same ADAS systems that shops are currently repairing will be in more and more cars, so shops need to start rethinking tomorrow’s volume.

“Autobrake will reduce crashes. And every new vehicle sold now has it, and soon it’s going to be federally mandated,” he said. “The times have changed, and it’s time for shops to reconsider where the industry is right now. On top of everything, these issues with labor rates, supply chain issues and technician shortages is the proverbial straw that is breaking the camel’s back.”

Tom Zoebelein thinks DRPs will be extinct faster than many people believe

Ram 1500 Revolution EV Concept Unveiled

The Ram Truck brand introduced a visionary road map Jan. 5 at CES 2023 with its Ram 1500 Revolution Battery-electric Vehicle (BEV) Concept, which provides a glimpse into the future and demonstrates how the industry’s leading truck brand will once again redefine the pickup truck segment.

The leading-edge Ram 1500 Revolution BEV Concept showcased a truckload of innovative features that will be seen in future Ram trucks and in particular on Ram’s electrification journey.

Ram will differentiate itself by offering a portfolio of fully electrified solutions to better meet customer needs, including a segment-redefining Ram 1500 BEV in 2024. The entire Ram lineup will offer electrified solutions with leading-edge advanced technology in the years to come. The Ram 1500 Revolution BEV Concept establishes how Ram will push past competitors’ future EV offerings.

“The Ram 1500 Revolution

At CES 2023

BEV Concept is our clearest signal yet that we’re on the precipice of something extraordinary at Ram and points directly to where we’re going on our electrified journey,” said Mike Koval Jr., Ram brand

Classic Collision Acquires Shops in Las Vegas, Texas

CEO-Stellantis. “At Ram, we’ve redefined what pickup trucks can be, and we will do so again by pushing past what competitors are offering by delivering the best electric pickups on the market.”

The Ram 1500 Revolution BEV Concept is part of Ram’s significant contribution to Stellantis’ Dare Forward 2030 strategic plan to lead the way the world moves by delivering innovative, clean, safe and affordable mobility solutions.

“The Ram Revolution

represents several important things to the Ram brand,” Koval added. “Of course, it’s our new Ram 1500 Revolution BEV Concept that serves as a roadmap to our electrified future. Yet Ram Revolution is also our philosophy as we redefine the pickup segment, with a steady drumbeat of announcements and initiatives as we embark on our electrified journey.”

Ram will once again redefine the pickup truck segment with its revolutionary Ram 1500 BEV production model in 2024. It will be the leader in a combination of areas customers care about the most: range, towing, payload and charge time. More news on the production version will be available in the coming months.

Source: Ram

Classic Collision announced new acquisitions in Las Vegas and suburban Houston, bringing its total number of locations to 209 in 15 states.

Las Vegas Collision Center is now the third Classic Collision location in Las Vegas, while Dennis Collision Center in Conroe, TX, expands the company’s footprint in the Lone Star State.

Las Vegas Collision Center opened in 2000.

“Our system of operation is streamlined to make it as convenient as possible for our customers and know that Classic Collision will operate in that exact manner,” said Anna Daniellyan, former owner of Las Vegas Collision.

Dennis Collision Center opened in 2002 approximately 40 miles north of Houston.

“We have always provided turnkey jobs—from start to finish, knowing it will be professional and right and believe Classic Collision will too,” said Dennis Gorrell, former owner of Dennis Collision Center.

Source: Classic Collision

Auto Painter Invents Linear Blocking Tools While Looking For a Better Paint Job

By Ed Attanasio Autobody News

Autobody News runs into great stories like this one all the time, in which collision repairers invent things to do a better job.

Colten Davidson, a painter and now the owner of his own restoration shop in Birnamwood, WI, created Linear Blocking Tools, a sanding block system that can create a perfectly flat surface easily and consistently. His system is also designed to alleviate the wear and tear on the human body caused by hours of sanding.

Q: How did you get the idea for Linear Blocking Tools?

A: One day a few years ago, I was trying to get the clear to be literally like a mirror where there’s no ripple, no chop—nothing in it. And we were using a lot of foam blocks and different other types of blocks. Then I came up with a rough draft and made them.

I used them for a while and then I had a couple other people who said they wanted them. Then a distributor in Australia saw these on Facebook, and asked me how much would it cost for 10,000. I couldn’t even make that many, I thought. So, I got the ball rolling a little bit more and have applied for patents, and now we have a manufacturer in Minneapolis that makes them for us.

In September, we moved into a new building that contains two shops—one shop is like the clean shop; we’ve got the hoist and the paint booth on that side. And then we’ve got a dirty side that’s basically for sanding and welding. We’ve got everything under one roof. I am running the shop and my wife is running the product side, and it is working well.

I have two people working with me in the shop and my wife Brittany has some part-time help.

Q: How did you get where you are today?

A: Right out of high school, I went to tech school for auto body, where I completed a oneyear program. And then from there I started working at a Ford dealership doing mostly collision and some light restoration stuff. I worked there for about five years and then I worked for a shop that did both restoration, collision and some dealer work. We did a little bit everything and it was a great learning experience.

Then I had a great opportunity to work for a top shop here in Wisconsin, where I could work on high-end restorations. And that’s where I really progressed into knowing what I know now by pushing the envelope. I was the body guy and the painter there and I did probably 90% of the body work and all the painting, and then early last year I started my own

Q:You have created a whole universe around your tools, with online courses and an upcoming series of in-person classes. Tell us about those.

A:Yes, on June 22-25, I am hosting a four-day hands-on restoration class with Ryan Evans and world-renowned paint correction specialist Jason Kilmer. It will take attendees through everything from stripping old finishes, metal work, filler work, all the paint and cut/buff. We will be “restoring” a few different front clips from Auto Metal Direct, taking you through all the fine details, like perfecting gaps and panel-to-panel along the way.

Day one will cover stripping old finishes, metal work, perfecting gaps, prepping metal work for panel-topanel blocking, proper metal prep using the DX metal prep system, applying epoxy to bare steel and types of DTM primers. Day two will cover prepping epoxy for filler work, proper understanding of use

and types of body fillers, panel-topanel blocking, blocking techniques, proper application and types of primers over filler work and priming over filler work. Day three will cover proper blocking techniques of primer, paint prep, masking, painting, laying stripes, spraying candies and

hand really well. More importantly, they are hard but flexible and very flat. They’re made of polycarbonate, which is very flexible and extremely durable. You can drop them or even throw them at the wall and they won’t break. There are a few companies out there that make acrylic blocks, and if you drop them, they’ll shatter like glass. Our blocks are warrantied for life, much stronger and more flexible.

custom tri coats. Finally, day four will cover sanding and polishing finishes, curing clear before buffing, sanding techniques, buffing techniques and processes, with Kilmer. These classes will be held at Linear World Headquarters in Birnamwood, WI.

Q:Why are your Linear Blocking Tools so popular with painters worldwide?

A:One of the major benefits of using them is that they fit your

Linear blocks have slits in them that distribute the pressure from your hand to the entire block evenly. They create something like a slinky effect. In addition, all our blocks don’t have sharp edges. They cost a little more because there’s a lot of machine time going into them, but you get what you pay for, like anything else.

We did over $1 million in sales in our first year, which was pretty good. We have a distributor in the U.S. and Australia, and are currently working with a few in Sweden, Germany and from other parts of Europe. We have been getting awesome feedback from painters all over the world, so we are excited about more international distribution.

For more information, visit linearblockingtools.com.

Colten Davidson invented Liner Blocking Tools to make his job easier every day, and now they’re a hit

“One of the major benefits of using them is that they fit your hand really well. More importantly, they are hard but flexible and very flat.”

COLTEN DAVIDSON CREATOR OF LINEAR BLOCKING TOOLS

“The insurance companies were directing file reviewers to change my estimates to repair the roofs rather than replace a totaled roof,” said Ben Mandell, a licensed all-lines adjuster. “However, the insurer was leaving my name on the estimates in a fraudulent effort to make it appear that I had written this bogus estimate.” The scheme was repeated over and over again, he said.

Another adjuster who works parttime in Louisiana also said he has witnessed the practice numerous times in both states, with insurers redacting whole sections of his reports and leaving out thousands of dollars of needed repairs.

“The problem is, they’re leaving our name on the estimates,” adjuster Mark Vinson told the committee members. “When they send it to the policyholder, they (the policyholders) are under the impression that it’s a legitimate estimate, and it’s not.”

Adjuster Jordan Lee, who also works in Texas, said insurance companies and adjustment firms have manipulated reports and deleted photographs and other key information in order to drastically limit

payouts to policyholders.

The chairman of the House Commerce Committee, which had convened Dec. 13 to review House Bill 1A, an insurance crisis reform bill, said if adjuster reports had been doctored, it could mean fraud, which should be investigated by the state attorney general. Rep. Bob Rommel then met with the adjusters in his office after the hearing. Two of the adjusters said they presented the chairman with evidence—copies of reports they said had been altered by insurance companies.

Later Dec. 13, Mandell told the Insurance Journal several insurers have engaged in the practice in Florida and Louisiana. Vinson said “most carriers” in Florida and several in Louisiana have altered his reports, without his permission. Vinson said Universal Property & Casualty Insurance Co., Florida’s secondlargest carrier, behind the statecreated Citizens Property Insurance Corp., was one of the most frequent perpetrators.

An attorney for Fort Lauderdalebased Universal “categorically” denied that the carrier would allow such a tactic.

“That’s absolutely not the case with Universal,” said attorney Travis Miller. “The company simply has

never in its history had a practice of altering, manipulating or doctoring independent adjusters’ reports for delivery to insureds.”

He suggested the adjusters had confused Universal with United Property & Casualty Insurance, which was the defendant in a lawsuit this year that alleged similar actions by United employees. The adjusters said they were not confused and Vinson said he was not aware of the United suit.

That lawsuit was brought by SFR Services, a south Florida restoration firm, and claimed to have text messages from United desk adjusters and other company personnel that instructed field adjusters to avoid estimating wind damages altogether, to downplay damage estimates in hundreds of claims, or to add false information.

A federal judge in October dismissed the suit, noting federal law leaves it to states to regulate the insurance business. A similar suit is now pending in state court in Martin County.

Mandell and Vinson are now working with Jacksonville plaintiffs’ attorney Steven Bush, who said he plans to file a class-action lawsuit against property insurers over the reportedly altered adjuster reports.

The lawyer said 21 independent adjusters have come to him and are expected to be part of the lawsuit. Criminal charges may also result, the adjusters said.

“This is a rampant problem,” Bush said Dec. 13.

He promised to provide documentation of the practices later that week. Bush also has posted YouTube videos of interviews with adjusters, speaking about the alleged actions by some insurers.

Another longtime independent Florida adjuster told the Insurance Journal that the adjusters’ allegations are no surprise to anyone in the industry.

“It’s extremely widespread,” said Mark Boardman, president of Claims Management Services Inc., based in Maitland, FL. “Can I prove it? No. But I have had a lot of anecdotal conversations with adjusters about it.” Independent adjusters are different from public adjusters, and are often hired by insurance companies to supplement in-house adjustment staff. Until now, many have been reluctant to speak out about the purported practices, fearing they could lose out on insurance company business, Boardman explained.

Mandell and Vinson acknowledged they risk losing lucrative contracts,

but they said they agreed to testify because the problem has grown much worse in recent months. If the adjusters go along with the practice, they, too, could be held culpable, Mandell said.

After the Florida Legislature’s first special session on the insurance crisis, held in May, some insurers appear to be emboldened to scrub the estimates and deny claims, Mandell said.

“Claims just aren’t getting paid now, and it’s not good for consumers or legitimate insurance companies,” he said, adding he’d rather not work for insurers who engage in the measures.

Mandell, of Haines City, FL, has been an adjuster since 2017 but was in construction for years, and said he knows construction costs and building codes. He said he became aware of the alteration issue when he adjusted a claim in Louisiana more than a year ago. The policyholder later called him, complaining his estimate had left out large amounts of damage from a storm. The homeowner sent him a copy of the report from the insurer, and Mandell said he was surprised to see his name on an estimate that was significantly different from the one he had submitted to the insurance company.

“I told them to hire an attorney,” Mandell said.

This year, the tactics seem to have become much more common in Florida, Mandell and Vinson told the Insurance Journal.

In one recent hurricane claim report, Vinson said he noted the entire shingle roof of a home was heavily damaged and needed full replacement. He documented the damage with more than 100 photos. But the altered report, sent by the insurer to the homeowner, had left the roof section out of the report altogether, lowering the repair estimate by some $30,000, he said.

“And that was with photo proof, mind you,” Vinson said.

The adjusters were three of dozens of people who spoke at the House Commerce Committee hearing Dec. 13. Several urged lawmakers to vote against HB 1A. The bill has been hailed by the insurance industry as it aims to end one-way attorney fees and outlaw assignment-of-benefits agreements in order to curb the huge amount of claims litigation in Florida.

Mandell and Vinson agreed Florida’s insurance market is in trouble, but they said insurers have themselves to blame, partly due to altered adjuster reports and lowballed payment offers.

“If they had just paid, as the estimates showed in the first place,

there wouldn’t be all these other problems,” Vinson said.

“It makes things worse for everyone,” said Mandell. “The good insurance companies will be forced to adopt these same fraudulent practices in order to compete.”

Others at the hearing, and at a Senate committee meeting on Dec. 12, testified about other alleged tactics by insurers. Several homeowners and attorneys said some insurers have frustrated policyholders by sending as many as eight adjusters to look at a property after a claim. And carriers have required engineering reports in some claims, but have refused to provide those reports to the policyholders, speakers said at the committee meetings.

Democratic House committee members Dec. 13 offered 12 policyholder-protection type amendments to HB 1A. None of the amendments passed, and the bill was adopted without changes. By a vote of 27-13, the full Senate late Dec. 13 also approved the nearly identical Senate version of the property insurance bill, SB 2A.

The Florida Legislature’s special session on the insurance crisis was expected to conclude late Dec. 14 after the bills were voted on by the full House chamber.

asTech, a Repairify company, on Jan. 11 announced the full deployment of its patented Rules Engine, which presents users with the most accurate and cost-effective diagnostic scan type for the vehicle throughout the blue printing process and repair workflow.

The new feature gives asTech customers access to the most accurate way to identify the diagnostic and calibration scan tools that read all of a car’s OEM modules correctly—versus those that don’t— down to the year, make, model and trim. With the Rules Engine enabled, asTech users, insurance carriers and their customers can be confident with the accuracy and cost of the recommended scan type.

To build the Rules Engine, Repairify’s research and development team scanned tens of thousands of vehicles from different years, makes, models and trim levels with the leading aftermarket tools available, then compared the results to the relevant OEM tool. Researchers used like-for-like tools on the same cars at the same time to ensure accuracy.

Source: AsTech

5 Things Companies Must Do To Stay Engaged With Customers

By Ed Attanasio

They used to call it customer engagement, but now they should call it customer entanglement, because companies are more involved in their customers’ lives than ever.

Today, marketers are staying engaged indefinitely and as seamlessly as possible to keep their customers in the loop. Through social media, direct mail, online advertising, public relations, mobile apps and other channels, companies establish and maintain lifelong relationships with their customers and reap big rewards.

To keep the relationship going strong, businesses of all sizes need to think differently or be left behind. Here are five deliverables that must always be in the mind of any business that wants to attract customers.

Let’s Listen More Closely

Developing effective tools to promote customer engagement is no longer simply a one-time thing, or something a company does quarterly or even monthly. Now you have to be in your customers’ minds all the time.

Let’s Devise a Plan

Simply periodically jumping in and out when it comes to your customer engagement efforts won’t work anymore. You need a well-designed strategy and a definitive plan, and to stick to it.

Every time you engage with your customers, have a clear goal in mind, whether it’s improving your product or adding benefits customers will want. Sixty-eight percent of Americans are willing to spend 13% more with companies providing superior customer service, according to Inc.com. This means all of your customer engagement endeavors must lead directly to some type of offer, decision or action, backed by a strategic approach.

Let’s Embrace More and More Mobility

More people use their personal devices to buy products and services online. Nearly 70% of all adults in the U.S. have a smartphone, and tablet computer ownership has edged up to 45%, according to a survey conducted by the Pew Research Center. If you are not engaging with your customers via their cell phones or tablets on a semi-regular basis, you’re still in medieval times.

To achieve this, marketers have researched and engaged with what their customers are doing, to stay ahead of trends and effectively identify fads, as well as to ride the former and discard the latter until the buzz begins to die down.

Companies always covet peerto-peer, one-on-one relationships. People love to share personal stories about products and services they like, and that’s the sweet spot every marketer wants to tap into.

By learning as much as you can through online reviews and social media, you can learn your customers’ habits quickly and respond promptly. Adapt or perish is the motto when it comes to customer engagement, and listening carefully is a vital part of that.

Let’s Develop 2-Way Relationships

If you truly want to stay engaged with your clients in an effective manner, treat them more like good friends instead of customers. Too many companies milk their customers dry with a different offer every other day. That’s overkill and you won’t won’t remain friends if you do it on a continual basis.

Your overall strategy shouldn’t be all about selling them something aggressively, but rather more about developing good friendships with your client base.

To this end, value all feedback you receive from your customers and

share it with your team. If you’re listening to what your clients are saying about you, you can respond quickly and improve your products, services or processes if needed.

Pivoting is not just for Stephen Curry of the NBA companies must be ready to do it on the drop of a dime.

Let’s Make it Easily Accessible and Visible

There’s a whole big world out there when it comes to all of the different approaches to stay engaged and entangled with your customers for the long run.

In-product messaging, email, mobile, social media and customer care/support are the five leading ways companies can consistently achieve top-tier results. The ones that truly excel at it have figured out how to do it all well.

The role of any smart marketer is to provide its customers with the correct tools to enable easy and natural communication. You should always be easily available and visible, but you should also offer options for varied types of interactions.

If you can offer your clients an intuitive tool, rather than just a platform for communicating with you, they will take the reins and do the rest themselves.

Simply periodically jumping in and out when it comes to your customer engagement efforts won’t work anymore. You need a well-designed strategy and a definitive plan and stick to it.

Credit: Shutterstock

ALABAMA

Benchmark Automotive Birmingham, AL 35210

Toll-Free: (800) 633-4304

Phone: (205) 823-5237

Fax: (888) 815-5238

GEORGIA

Troncalli Chrysler Dodge Jeep Ram 818 Atlanta Road

Cumming, GA 30040

(770) 889-8951

MISSISSIPPI

Mac Haik Chrysler Dodge Jeep Ram

5395 I-55 North Jackson, MS 39206

(601) 500-5576

SOUTH CAROLINA

Spartanburg Chrysler Dodge Jeep Ram 8200 Fairforest Road Spartanburg, SC 29303 (800) 849-3691

Stateline Chrysler Jeep Dodge Ram 800 Gold Hill Road Fort Mill, SC 29745 (800) 533-5844

VIRGINIA

Safford Chrysler Jeep Dodge Ram

10671 Patriot Hwy.

Fredericksburg, VA 22408

Phone: (540) 735-1130

Fax: (540) 891-9685

WEST VIRGINIA

Walker Chrysler Dodge Jeep Ram 102 Orchard Park Road

Hurricane, WV 25526 (800) 888-8264

Auto Insurance Rates Will Rise Across the U.S. in 2023

Car insurance rates are expected to increase by 8.4% across the U.S. in 2023, amid the increase in drivers returning to the road. That’s the biggest jump in car insurance costs in the past six years. The average cost of full coverage car insurance across the U.S. is $1,780 per year.

ValuePenguin used the Quadrant Information Services database to analyze millions of quotes for drivers across the U.S. It also analyzed car insurance rate changes filed by top companies across the country to show the current and historical landscape of the auto insurance industry.

Auto Insurance Cost by State

The average cost of full coverage car insurance for 2023 is $1,780 per year. Auto insurance rates in Michigan average $4,788 a year, the highest in the U.S. and 168% higher than the national average, largely due to the state having the highest minimum insurance requirements.

Florida ($2,856 per year—60% higher than the national average) and Rhode Island ($2,748—53% higher) are the second and third most expensive states for car insurance, thanks to high population density and traffic congestion.

For cheap car insurance, drivers in Vermont ($1,104), Maine ($1,116) and Idaho ($1,188) typically have the most affordable rates across the U.S. Auto insurance in these states is 36% cheaper, on average, than the national average.

Average Car Insurance Rate Changes by State

Drivers are likely to pay substantially more for car insurance in 2023. The average annual rate increase across the U.S. is 8.4%—up from 1.3% in 2022.

Every state is expected to see a rate increase of at least 1% this year except California, D.C., Hawaii, Vermont and Wyoming.

The biggest year-over-year rate increases are in Illinois (17.1%), Arizona (15.6%), Georgia (13.8%) and New Hampshire (13.6%).

The average cost of car insurance has increased 16.5% overall since 2017.

North Carolina has the largest average increase (115%) in full coverage auto insurance rates for drivers with a ticket, accident or DUI on their driving record.

Nebraska auto insurance companies tend to be the most forgiving to drivers with an imperfect driving record, where rates only increase by 35% on average.

A DUI will have the biggest impact on rates, with an average increase of 84% nationwide.

Cost of Car Insurance for Most Popular New Cars

The cheapest new cars to insure tend to be crossover SUVs and sedans, while pickups and larger SUVs cost more to insure. Smaller sedans and

higher amounts for claims across the board.

Severe storms and hurricanes cause a rise in car insurance claims from cars that are flooded, damaged or destroyed. As the U.S. faces more extreme weather over time, car insurance rates will increase to match a higher risk of damage, especially in coastal areas.

The popularity of electric vehicles will only increase as technology improves. However, EVs cost around 28% more to insure than a new gasoline-powered car. Look for vehicle-specific insurance discounts, like electric car and safety feature discounts.

How Drivers Can Save Money in 2023

Switching from full to minimum coverage is a great way to save a significant amount on car insurance premiums if the owners doesn’t have a car loan or an expensive car. Full coverage is 157% more expensive than liability-only coverage. Removing optional coverages like roadside assistance can bring down the bill, too.

Insurance companies in most states evaluate credit as a factor for insurance rates. The difference between a good and poor credit score can change premiums by 80%, as people with poor credit may be more likely to file car insurance claims.

Traffic Violations Increase Car Insurance

Drivers with a traffic violation or accident could see an average car insurance rate increase of 52% in 2023.

Credit: Shutterstock

midsize SUVs like the CR-V and RAV4 are typically cheaper to repair or replace than larger cars, so they’re typically cheaper to insure.

Electric cars are growing in popularity. The Mini Cooper Electric is one of the cheapest EVs to insure, while Teslas are some of the most expensive. The Porsche Taycan is one of the most expensive cars to insure, as it’s both a sports car and an EV.

2023 Car Insurance Trends

Car insurance companies have begun raising rates for 2023 due to an increase in car repair costs and claims. Many drivers can expect to see a higher car insurance bill this year.

Car accidents and claims have increased as more people resume regular travel or return to their daily commute. More people driving means a higher risk of getting in a crash, which means higher car insurance rates.

Cars are becoming more expensive to repair, in part because replacement parts are becoming difficult to find due to supply shortages or more expensive due to inflation. The lack of availability for used and new cars has also increased the typical market value for many cars, which means insurance companies are paying out

The most important part of searching for car insurance is comparing quotes from several companies. Quotes can vary by hundreds of dollars across companies, even for the same driver. Insurance companies offer many discounts to help lower rates. In the wake of increased remote work, many companies offer discounts or lower rates for driving less. Pay-permile car insurance can reduce rates even more for low-mileage drivers.

ValuePenguin has a mission to empower people with information and resources to help them make smarter financial decisions. Car insurance can be a difficult and timeconsuming topic to understand. This report attempts to unmask some of the critical issues.

In crafting the analysis, ValuePenguin reviewed more than 3.6 million quotes for different drivers, adjusting for various factors that affect auto insurance premiums. It gathered rates from 37 top insurance companies across the country since rates can vary widely by company.

Source: ValuePenguin

Nonprofit Launches ‘Virtual Power Plant Partnership’ With Support from GM, Ford

RMI, a nonprofit dedicated to accelerating the global energy transformation, on Jan. 10 announced the formation of the Virtual Power Plant Partnership (VP3).

In recognition of the critical work needed to tackle scaling the market for virtual power plants, initial funding of the VP3 effort was made possible by General Motors and Google Nest. As of Jan. 10, VP3 includes founding members Ford, General Motors, Google Nest, OhmConnect, Olivine, SPAN, SunPower, Sunrun, SwitchDin and Virtual Peaker.

VP3 is an initiative based at RMI that works to catalyze industry and transform policy to support scaling VPPs in ways that help advance affordable, reliable electric sector decarbonization by overcoming barriers to VPP market growth.

Virtual power plants are portfolios comprised of hundreds or thousands of households and businesses that offer the latent potential of their EVs, smart thermostats, appliances, batteries, solar arrays and additional energy assets to support the grid.

VP3 follows in the path of successful institutional spinoffs in the electric sector space previously incubated by RMI, including the Clean Energy Buyers Association and the Energy Web Foundation.

“Virtual power plants are poised for explosive growth, and RMI is committed to being at the forefront of their success by launching VP3,” said RMI CEO Jon Creyts. “Our analysis shows that VPPs can reduce peak power demand and improve grid resilience in a world of increasingly extreme climate events. A growing VPP market also means revenue opportunities for hardware, software and energyservice companies in the buildings and automotive industries. For large energy users, VPPs can significantly reduce energy spend while providing new revenue streams.”

“The next 12 to 24 months are critical for policy and program development to seize the potential offered by virtual power plants, and VP3 is here to ensure that the energy transition doesn’t miss a beat,” said Mark Dyson, RMI managing director for carbon-free

electricity. “Policy change, customer and stakeholder education, and unilateral action by individual businesses or organizations all take time and resources. We’re excited to partner in this work with leading businesses in VPP-related sectors including electric vehicles, building controls, residential energy technologies, utility-facing software solutions and more.”

More About VP3’s Goals

With the guidance and support of its members, VP3 is working toward a future where businesses, households and communities are empowered through VPPs which can help to support cost-effective energy, emissions reductions and a more resilient electricity grid. To achieve this, VP3 will work to:

Catalog, research and communicate VPP benefits

Develop industry-wide best practices, standards and roadmaps

Inform and shape policy development

“Virtual power plants present an

exciting opportunity to unlock additional value for homes, businesses and communities, helping to drive greater energy independence and grid decarbonization,” said Mark Bole, GM VP and head of V2X and battery solutions. “This collaboration underscores GM’s commitment to creating a more resilient grid, with EVs and virtual power plants playing a key role in helping to advance our all-electric future.”

“Electric vehicles are introducing entirely new opportunities for consumers and businesses alike, creating a greater need for sustainable energy solutions to responsibly power our connected lifestyles,” said Bill Crider, head of global charging and energy services, Ford Motor Company. “Supporting grid stability through the introduction of technologies like Intelligent Backup Power is central to Ford’s strategy, and collaborating to advance virtual power plants will be another important step to ensure a smooth transition to an EV lifestyle.”

Source: RMI, Ford

ALABAMA

Audi Birmingham

Irondale

205.986.7410

205.986.7438 Fax

M-F 7am-6pm; Sat 8am-4pm daniel.williford@audiofbirmingham.com www.audiofbirmingham.com

FLORIDA

Audi North Miami North Miami Beach

305.952.5960

305.944.4009 Fax

M-Sat 8am-6pm

amartinez@audinorthmiami.com www.audinorthmiami.com

Audi West Palm Beach West Palm Beach

866.441.3309

561.615.4175

561.615.4179 Fax

M-F 7:30am-6pm parts@audiwpb.com

GEORGIA

Audi Gwinnett

Duluth

678.258.2535

770.476.9311 Fax

M-F 7:30am-6pm

parts@audigwinnett.com www.audigwinnett.com

TENNESSEE

Audi Knoxville

Knoxville

800-382-2787

865-691-3742

865-251-3227 Fax

M-F 7:30am-6pm; Sat 8am-2pm www.audiknoxville.com

brianmaillet@harperdealerships.com

Regardless of the age of your customer’s Audi, Audi dealers have access to over 200,000 part numbers and are supported by a nationwide network of distribution centers to help ensure non-stocked parts are delivered the next day.

Order Audi Genuine Parts from these select dealers.

Audi Part Professionals are experts on collision parts, replacement components and mechanical items.

U.S. Auto Sales Expected To Finish 2022 Down 8% Year Over Year

Full-year sales in 2022 are forecast to finish near 13.9 million units---a decrease of 8% from 2021 and the lowest level since 2011, when total new-vehicle sales were recovering from the Great Recession and reached only 12.7 million, according to forecasts released Dec. 28 by Cox Automotive and Kelley Blue Book.

On a monthly basis, newvehicle sales in December are expected to increase nearly 4% compared to the same month last year. Sales volume in December is expected to rise by nearly 11% compared to November, mostly due to two additional selling days in December.

The December 2022 auto sales pace, or seasonally adjusted annual rate (SAAR), however, is expected to finish near 13.2 million, a large decline from November’s 14.1 million pace.

Sales in 2022 are forecast to finish below 2020’s total, when the

in 2020, according to Kelley Blue Book counts, were 14.6 million.

In what started as a year with a supply problem, 2022 is ending with a demand problem. Inventory levels have been increasing since late summer, and those gains have helped support increasing sales.

The supply gains, however, have been uneven, with many Asian bestsellers nearly unavailable, while many of the Detroit Three’s top products have ample supply.

In October, the SAAR reached 15.1 million, the best level since January and likely a result of improving inventory. As inventory improved, the Federal Reserve’s aggressive interest rate increases have driven auto loan costs to levels not seen in more than 20 years, pushing some shoppers out of the market due to vehicle affordability concerns. Since October, the sales pace has declined significantly---by nearly 2 million units.

would have liked,” said Charles Chesbrough, senior economist at Cox Automotive. “Given the large improvement in supply levels, it seems likely that rising interest rates are now constraining demand in the retail auto market. With record-high prices and elevated loan rates, the pool of potential new-vehicle buyers is shrinking.”

As we head into 2023, Cox Automotive is expecting the economy to see weak growth as the Fed tightens monetary conditions and consumers wrestle with high interest rates. New-vehicle sales are forecast to increase modestly versus 2022, supported in part by growing fleet volume. Affordability will continue to be a challenge for vehicle buyers in the year ahead.

Source: Cox Automotive

FREE

4x Monthly E-Newsletter.

www.autobodynews.com

UAF Scholarship Committee Chair Named

Michael C. Buzzard, 20-year veteran of the automotive aftermarket industry, brings his wide range of executive leadership experience to the University of the Aftermarket Foundation (UAF) Scholarship Committee as its new chair.

He will lead the nonprofit program that has awarded millions of dollars in scholarships to students enrolled in four- and two-year colleges as well as ASE/NATEF certified automotive, collision and heavy duty postsecondary schools.

Currently a partner with Schwartz Advisors, Buzzard has held leadership roles in marketing, sales management, corporate development and general management during his time with Auto Plus Auto Parts. Prior to his career at Auto Plus, he was an internal consulting services analyst at JP Morgan.

The deadline to apply for scholarships for the 20232024 academic year is March 31. To learn more, visit www. AutomotiveScholarships.com.

Source: University of the Aftermarket Foundation

GEORGIA NO.

Stivers Decatur Subaru

Decatur

(404) 248-1888

Fax (404) 425-5800

Mon.-Fri. 7:30-6; Sat. 9-5 dway@stiversonline.com www.stiverssubaru.com

Troncalli Subaru

Cumming

(770) 889-8951

Direct (678) 341-4220

Fax (678) 341-4221

www.troncallisubaru.com

Flow Subaru

Winston-Salem

(800) 489-3534

(336) 725-3554 Fax

Mon.-Fri. 8-5; Sat. 8-1 subarupartsws@flowauto.com www.flowsubaru.com

Jim Armstrong Subaru

Hickory

(888) 905-6135

(828) 322-9372 opt 5 Mon.-Fri. 8-5 parts@jimarmstrongsubaru.com www.jimarmstrongsubaru.com

Parkway Subaru Wilmington

(800) 424-9434

(910) 793-8710 Fax Mon.-Fri. 7-6; Sat. 8-2

F-150 Lightning Wins 2023 North American Truck of the Year

The Ford F-150 Lightning is charging into the new year as the North American Truck of the Year™.

This is the latest award in the electric truck’s trophy case and marks the third straight NACTOY Truck of the Year award for Ford. It’s also the fifth NACTOY award for Ford in the past three years.

“Earning North America’s Truck of the Year is huge for the team that has been working so hard to build and deliver as many Lightnings as possible, as quickly as possible,” said Jim Farley, Ford president and CEO. “We’re moving fast to further ramp production to a 150,000 run rate this fall and pushing to improve every aspect of this truck. We’ve started delivering Lightnings from the factory with a fantastic new user interface update to improve the driver experience that we’ll also roll out to all of our Lightning owners over-the-air.”

The F-150 Lightning is the bestselling electric truck in the U.S. since its launch in May 2022, with sales totaling 15,617, helping Ford

in the U.S. in 2022.

“When America’s best-selling vehicle goes electric you know the transition has momentum,” said Karl Brauer, NACTOY juror and freelance journalist for Forbes. “Ford’s effort to create an all-electric F-150 is remarkable because it combines the standard truck’s dimensions, which means it retains massive aftermarket support, with substantial upgrades to areas like storage and mobile power support. It’s really the best of all worlds, giving the F-150 Lightning a wide range of applications for both traditional and new-to-the-segment truck customers.”

To win the North American

new or substantially changed for the year. The jury of 50 professional automotive journalists from across North America choose a winner based on innovation, design, safety, performance, technology, user experience, driver satisfaction and value.

North American Truck of the Year is the latest award in the F-150 Lightning trophy case. Others include Motor Trend Truck of the Year, The Car Connection

Best Car to Buy, Edmunds Top Rated, Detroit Free Press Truck of the Year, Green Car Reports

Best Car to Buy, TIME Top 200 Invention of 2022, 2023 Kelley Blue Book Best Buy Award, 2022 Altair Enlighten Award, Sobre Ruedas 2022 Awards, Wards 10 Best Engines & Propulsion Systems, Internet Brands Best Car to Buy, Victory & Reseda Vehicle of the Year, TopGear.com 2022 American Car of the Year, Autoblog Technology of the Year 2022, Motor1 Star Awards, CarBuzz Save the Planet award and multiple Sabre awards.

Source: Ford

CIF Announces 2023 Board of Trustees

The Collision Industry Foundation (CIF) is excited to announce the Board of Trustees and elected officers for 2023.

The board includes 15 individuals who have volunteered their time and made the commitment to serve the mission and vision of CIF.

The incoming 2023 officers, rounding out the executive leadership, are as follows: President Dan Risley of CCC Intelligent Solutions Inc., Vice President Casey Steffen of Saint-Gobain Abrasives, Treasurer Jim Ocampo of Axalta, Secretary Petra Schroeder, Collisionista, and Immediate Past President Michael Quinn of AirPro Diagnostics.

CIF also welcomes the following newly elected trustees for 2023: Martin Crowell of GEICO, Harry Hall of National Coatings & Supplies | Single Source, Paul Hill of I-CAR, Brenda Hogen of PartsTrader and John Webb of TenPoint Complete.

Trustees continuing their terms to serve CIF are: Yvette Burke of Enterprise, Jordan Hendler of Admin Concepts, Frank LaViola, Scott Walton of Sherwin-Williams and Jeff Wildman of BASF.

Source:

CIF

Speakers Offer Advice on Recruiting, Retaining Auto Body Shop Employees

By John Yoswick Autobody News

Presenters at online events this fall aimed at dealership service departments offered some information and ideas about employee recruitment and retention that could be equally helpful for collision repair businesses.

Meredith Collins of Carlisle & Company, for example, said that company’s research across multiple automakers’ dealerships found those companies lose an average of 29% of technicians annually.

“So almost a third are leaving dealerships each year,” Collins said. “We’re losing a great deal of money when we lose a single tech [let alone] when you extrapolate it to the whole industry.”

communication between service advisors and technicians. They found a significant disconnect on this topic, with the majority of service advisors thinking they communicate properly, but fewer than 30% of technicians saying that was the case from their viewpoint. This impacts performance, Collins said.

“The technicians who strongly disagree that they are communicated with well are much less productive than those who say they are,” she said. “They are turning fewer hours, and earning less money if they think that there’s not good communication.”

Most Employees Want a Clear Career Path

Another speaker, WrenchWay founder Jay Goninen, said the technician turnover at dealerships is even more problematic than it may seem at first glance.

said. “You’ve got to be able to be better as a manager and as a leader to really have their best interests in mind.”

Attracting Entry-Level Workers

A CRASH Network survey earlier this year found one in five collision repair shops had an opening for a detailer, and nearly twice as many were looking to hire a body or paint department apprentice.

Joel Fumo , founder and CEO of Citrin, said all industries are short on this type of hourly, 17- to 24-year-old employee, so collision repair businesses are competing not just with each other for such workers, but also with Target, Costco and Whole Foods.

organization that have moved up from the type of position you are offering them.

“Testimonials from people they can relate to is huge when it comes to attracting people,” he said. Employers also need to move quickly.

“Time to hire is everything,” Fumo said. “Make sure you’re quickly getting them on the phone or in for an in-person interview. Get them earning a paycheck as quickly as possible. We see [clients] having up to a two- or three-week hiring cycle. When it comes to hourly employees, they can’t wait around that long for a paycheck.”

She pointed to several factors driving that turnover. The company’s surveys of technicians found only about a quarter of them expressed satisfaction with their job.

“They overwhelmingly wouldn’t recommend this career, which has implications on our ability to recruit new technicians into this space,” Collins said.

One driver of that dissatisfaction appears to be pay methodologies. She shared a chart showing technicians paid hourly or by salary are more likely to express job satisfaction; those paid flat-rate were the group with the lowest percentage of job satisfaction. She noted those employees pointed to the time they spend at work for which they are not paid.

“What we’ve heard from technicians in the last year is that nearly one third of their time while they are at work is non-compensated time,” she said. “They estimate this is costing them about $17,000 a year on average. So it’s a huge amount of money they see they are leaving on the table.”

But Collins said it’s also not just about the money.

Carlisle & Company also surveys dealership service personnel about their perception of the

“What we’re hearing is that it’s not techs just leaving one dealership to go to another. They’re leaving the industry,” Goninen said. “When we’re already coming from behind, it really puts us in a bad position. They have a perception that all shops are the same, and that they’re going to get treated the same way. Some of them have probably experienced that.”

Employers, he said, need to find ways to portray themselves as a different and better place to work, with a well-designed career path for technicians.

“For the longest time, we pinned it on just Millennials wanting to know what their career path is,” he said. “But think about that 55-year-old tech out

His Ohio-based company specializes in recruiting for such entry-level positions, primarily for dealerships. He said it requires thinking about what these young people want in a job: a flexible schedule, competitive pay and opportunity for career growth.

“Our benchmark for wages is Chick-fil-A,” he said. “We try to be as close [in pay] as we can to Chick-fil-A in any market.”

Show them people within your

Other companies, he said, are converting applications to a new hire in three or four days.

Lastly, he said, your company has to be a place where people want to work.

“Culture is really everything that drives our ability to recruit and retain great people,” he said.

John Yoswick has covered the collision industry since 1988, is the editor of CRASH Network and can be contacted at john@CrashNetwork. com.

there, whose body may not be feeling the best right now. You have another 10 years to work. You probably want to know what your career path is more than anybody.”

Having a genuine interest in your employees’ goals and interests can’t be something you just talk about, he said.

“If you treat people like a number and are surprised when people are leaving, I think that’s on you,” Goninen

“If you treat people like a number and are surprised when people are leaving, I think that’s on you.” JAY GONINEN WRENCHWAY FOUNDER

Hyundai Sets Massive 2023 Sales Growth Target Propelled by New EV Offerings

By William Johnson Teslarati

Hyundai announced it aims to grow auto sales by 10% this year alone.

Over the past two decades, Hyundai Motor Group has become a sizable competitor in the automotive industry. It is now a leader in affordable offerings and electric vehicles, along with the likes of Ford. Following this success, the Korean automotive group has set the ambitious goal of growing its vehicle sales by 10% in 2023.

According to Reuters, Hyundai Motor Group is already a massive seller of vehicles globally, selling 6.85 million in 2022. And while this achievement was off from its 2022 sales goal of 7.16 million vehicle sales, it was still a significant growth year despite numerous poor macroeconomic conditions.

A growth of 10% in sales would equate to roughly 7.54 million

of 685,000 vehicles compared to 2022.

Hyundai has good reason to be optimistic. While Tesla continues to dominate the EV market in the U.S. and numerous other markets globally, Hyundai Motor Group— which includes Hyundai, Kia and Genesis—has rapidly expanded EV offerings over the past three years and is now a leader in more affordable models. And with new models planned to be coming in the new year, it is poised to continue to find success.

In a statement to Reuters, a corporate spokesperson said, “Hyundai plans to expand market share and operate profitabilityoriented businesses by flexibly responding to market changes, accelerating its transition to electrification, responding to global environmental regulations and optimizing production, logistics and sales by region.”

Hyundai’s ambitious goal faces a couple of hurdles. Foremost, without EV manufacturing

operations in the U.S., none of the company’s EVs are currently eligible for federal EV tax incentives, a significant discount for many buyers.

Secondly, while Hyundai has performed admirably in the past year, tackling supply chain issues, due to the current COVID spike in China, many expect disruptions to continue.

Finally, while the EV market in the U.S. remains fairly sparse, European and Asian markets have become far more competitive over the past year, which could hinder the ambitious company’s growth.

With EVs coming into the mainstream in most major markets, Hyundai Motor Group is in a fantastic position to seize the opportunity, and its ambitious goal is an excellent sign of optimism in a highly uncertain time.

Crash Champions Names Chief HR Officer

Crash Champions on Jan. 9 announced Bill Davidson has joined the senior leadership team as chief human resources officer.

Davidson, a visionary leader with more than 20 years of experience developing talented and engaged teams across multiple industries, joins Crash Champions after serving as senior vice president and chief people officer at Insurance Auto Auctions (IAA). As a senior leader at IAA, Davidson led the organization’s people strategy and played a crucial role in supporting IAA’s overall business plan. He led critical strategic initiatives, including talent, organization and performance management, team member engagement, training, career development, compensation and benefits. He also led the people strategy and change management efforts of IAA’s spin-off to an independent public company.

Davidson earned an MBA from the Krannert School of Management at Purdue University, a master’s certificate in human resources management from Villanova University, and a bachelor’s degree in business administration at Strayer University.

Source: Crash Champions

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No End in Sight: New-Vehicle Transaction Prices End 2022 At Record Highs

The average transaction price (ATP) of a new vehicle in the U.S. hit a record high in December at $49,507, an increase of 1.9% ($927) from November and up 4.9% ($2,297) from year-earlier levels.

New-vehicle inventory levels are increasing from historic lows earlier in 2022, but prices remain elevated, according to data released Jan. 11 by Kelley Blue Book, a Cox Automotive company.

According to Kelley Blue Book calculations, new-vehicle ATPs have been above the average manufacturer’s suggested retail price (MSRP), also known as the sticker price, for more than a year. Sales volumes in December were up year over year by more than 5% but down from November, thanks in part to improved supply. Elevated prices and high loan rates are putting downward pressure on sales.

“The transaction data from December clearly indicates overall prices showed no signs of coming down as we headed into year-end,” said Rebecca Rydzewski, research manager of economic and industry insights for Cox Automotive. “Luxury prices fell slightly in December, but non-luxury transaction prices were up. Truck sales were particularly strong last month, and with many trucks selling for more than $60,000, a new record was all but inevitable.”

According to Cox Automotive estimates, new-vehicle inventory is steadily improving, though some brands have a noticeably larger supply than others.

“Incentives overall are still very low but trending upwards. Electric vehicles and luxury cars had incentives close to 6% of ATP, and both saw ATP decline in December as a result. Plus, with the new tax credits on the way, electric vehicle ATPs will drop lower for qualifying

vehicles,” added Rydzewski.

Average Non-Luxury Car Prices Increase to Record High

The average price paid for a new non-luxury vehicle in December was $45,578—a record high and up $994 month over month. The previous record high was in August 2022.

Truck sales were particularly strong in December, over 270,000 sold for the first time since the spring

much. Luxury cars at all levels were selling below MSRP in December, along with luxury compact and subcompact SUVs.

Mercedes-Benz and Land Rover showed the most price strength in the luxury market, transacting between 2.6% to 6.5% over sticker price last month. Luxury brands Audi, BMW, Infiniti, Lexus, Lincoln and Volvo showed the least price strength, selling 1% or more below MSRP in December.

Electric Vehicle Prices, Led by Tesla, Decreased Notably in December, Were Down from Year Ago

The average price paid for a new EV decreased in December by $3,594, down 5.5% compared to November, and ended the year lower by 0.6%. The average new EV sold for $61,448, according to Kelley Blue Book estimates, still well above the industry average.

The drop in pricing was driven by significant price cuts at Tesla, which commands more than 65% of the electric vehicle segment. Earlier in the year, Tesla was increasing prices, citing supply issues. In December, the company reversed course.

of 2021, and the average price paid for a new truck was over $59,000. The best-selling vehicle in the U.S. is the Ford F-Series pickup truck, and the average price paid for a new F-Series is well into luxury territory at $66,451, according to Kelley Blue Book estimates. In December, Ford sold more than 75,000 F-Series trucks, its best month in 2022.

Most non-luxury brands had stable pricing or declines in December. Honda and Kia showed the most price strength in the non-luxury market, transacting between 5% and 6% over sticker price in December.

Luxury Share Hits Record High, While Average Prices Fall in December

For most of 2022, strong luxury vehicle sales have been a primary reason for overall elevated newvehicle prices. Luxury-vehicle share typically increases in December, which was the case in the last month, jumping to a record 18.6% of total sales in December from 18.2% in November. The high share of luxury sales helps to push the overall industry ATP higher. Five years prior, in December 2018, luxury market share set a record at 16.5%. Every month in 2022, luxury share was higher.

In December 2022, the average luxury buyer paid $66,660 for a new vehicle, down $216 from November. Buyers continue to pay over MSRP for new luxury vehicles, but not by

Auto Incentives Offered by

Low Level but Are Increasing

Incentives increased in December 2022 to 2.7% of the average transaction price, compared to 2.2% in November. In December 2021, incentives averaged 3.8% of ATP. In December 2019, before the pandemic and when inventory was plentiful, the average incentive package was 10.9% of ATP, according to Kelley Blue Book estimates.

Electric vehicles had the highest incentives in December, again influenced by changes at Tesla, at 6.2% of ATP, followed closely by luxury cars at 5.8% of ATP. Meanwhile, vans, minivans and full-size SUVs had the lowest incentives, all less than 1% of ATP.

Source: Kelley Blue Book

Study: 90% of Households Would Save on Energy Costs Switching To EVs

By Scott McClallen The Center Square

A study from the University of Michigan says more than 90% of vehicle-owning households in the U.S. would reduce the percentage of income spent on transportation energy if they switched to electric vehicles.

However, more than half of the lowest-income U.S. households, or about 8.3 million households, would continue to experience high transportation energy burdens, defined as spending more than 4% of household income on filling the tank or charging up.

Study author Joshua Newell from the university’s Center for Sustainable Systems said the results confirm the potential benefits of widespread EV adoption. He called for “policy interventions” to increase EV accessibility for people with low incomes.

“However, EV ownership in the U.S. has thus far been dominated by households with higher incomes and education levels, leaving the most vulnerable populations

behind,” Newell said in a statement.

In 2016, 78% of federal EV tax credits flowed to taxpayers with incomes over $100,000.

In other words, the study says the government needs to subsidize EVs even more. Michigan taxpayers have helped subsidize EVs by $2 billion.

Jason Hayes, director of environmental policy at the Mackinac Center for Public Policy, said the study only accounts for the amount spent on gasoline or charging—not the initial purchase price of the vehicle, which is one of the most significant barriers to EV adoption.

“They can spend less money on transportation energy, but their overall transportation budget would go up,” Hayes said in a phone interview. “So it’s equivocation: you’re playing with words there.”

According to Kelley Blue Book, the average price of an electric car in September 2022 was $65,291. Meanwhile, the average price for a gas-powered vehicle was $48,100. Moreover, many used gas-powered cars cost between $5,000 and

$15,000.

The study says more than 90% of households that replace gaspowered vehicles with EVs would reduce the generation of climatewarming greenhouse gases.

The new study was published online Jan. 11 in Environmental Research Letters, an IOP Publishing journal. It considers the spatial variation of EV energy costs and greenhouse gas emissions nationwide.

EVs currently account for about 1% of the vehicles on American roads. If EVs replaced all vehicles on the road, the transportation energy burdens and associated greenhouse gas emissions would vary widely.

Some households could reduce their annual transportation-energy costs by $600 or more and cut their annual carbon footprint by more than 4.1 metric tons of carbon dioxide equivalents, by buying a new EV.

Very high EV transportation energy burdens, ranging from 10% to 64%, would persist for the lowestincome households and would be concentrated in the Midwest and the two states with the highest electricity prices: Hawaii and Alaska.

Contributing factors to low EV savings include cold winter temperatures that hurt battery performance, electrical grids that rely largely on fossil fuels, or high electricity prices relative to gasoline prices.

The study evaluated three factors associated with the EV transition: transportation energy burden, fuel costs and greenhouse gas emissions. The researchers calculated transportation energy burdens and lifetime greenhouse gas emissions of new EVs and internal-combustion vehicles at the census tract level. Then they compared the energy burdens of the new vehicles to the energy burdens of the current on-road vehicle stock. Finally, they compared the spatial variation and extent of energy burdens and greenhouse gas emissions for EVs and internal-combustion vehicles nationwide.

Transportation accounts for the largest portion of the greenhouse gases emitted in the U.S., with direct emissions from passenger vehicles and light-duty trucks comprising roughly 16% of U.S. emissions.

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2022 U.S. Car Rental Revenue of

Shatters Records

By Auto Rental News Staff

Despite continuing challenges around vehicle supply, staffing shortages, demand shifts and the cloud of a recession, the

Meanwhile, the estimated number of new vehicles sold into rental fleets in 2022 represents less than half the total number of vehicles sold in 2019. However, rental companies are holding their cars in fleets longer to compensate.

The high-pricing, tight fleet environment drove another new record for revenue per unit per month (RPU) of $1,424.

U.S. car rental industry earned an estimated $36.1 billion in revenue for 2022, based on data collected by Bobit.

That yearly total represents a 24.7% growth over 2019’s record year and is likely the highest yearover-year gain in industry history.

“This year’s results are a testimony to the agility of the industry to change with the rapid fluctuations of market conditions and supply and demand,” said Chris Brown, executive editor of Auto Rental News.

“I never would’ve guessed the industry would’ve rebounded this quickly exiting the pandemic to reach record revenues. That said, the environment isn’t one to relax in, as those same pressures will ease only slightly in 2023.”

Adamantine Media LLC.

Credit: Shutterstock

USPS To Deploy 66,000+ EVs by 2028

The United States Postal Service on Dec. 20 announced it expects to acquire at least 66,000 battery electric delivery vehicles as part of its 106,000 vehicle acquisition plan for deliveries between now and 2028.

The vehicles purchased as part of this anticipated plan will begin to replace the Postal Service’s aging delivery fleet of more than 220,000 vehicles.

The Postal Service anticipates at least 60,000 Next Generation Delivery Vehicles (NGDV), of which at least 75% (45,000) will be battery electric. As part of this plan, a total of 21,000 additional commercial off-the-shelf (COTS) vehicles are also expected to be battery electric, depending on market availability and operational feasibility. The Postal Service also anticipates including internal combustion vehicles necessary to meet immediate vehicle replacement needs.

In keeping with the Postal Service’s priority to provide its carriers and communities with safer, more efficient vehicles as

soon as possible, these vehicles will, unlike the vehicles they are replacing, feature air conditioning and advanced safety technology and are more suited to modern day operational requirements. For any COTS vehicles purchased, the Postal Service will include a preference for domestic manufacturing.

The announcement is enabled by the Postal Service’s overall network modernization efforts which allows for a more rapid deployment of EVs, and its improving financial condition which includes $3 billion in congressional funding appropriated under the Inflation Reduction Act (IRA).

The Postal Service will continue to evaluate and procure vehicles over shorter time periods to be more responsive to its evolving operational strategy, technology improvements and changing market conditions, including the expected increased availability of BEV options in the future.

“We have a statutory requirement to deliver mail and packages to 163 million addresses six days per week and to cover our costs in

doing so---that is our mission,” said Postmaster General Louis DeJoy “As I have said in the past, if we can achieve those objectives in a more environmentally responsible way, we will do so.”

Ongoing Commitment to Electrifying America’s Largest and Oldest Federal Fleet

The Postal Service has been steadfastly committed to the fiscally responsible and mission capable roll-out of electric-powered vehicles for America’s largest and oldest federal fleet. The agency has continually assessed its capacity, financial position and vehicle mix over the past year:

February 2022: USPS completed its obligations under the National Environmental Policy Act process and issued a Record of Decision to acquire up to 165,000 NGDV, with a commitment for at least 10% BEV. This decision was expressly designed to provide the Postal Service the flexibility to acquire significantly more BEV NGDV should financial and operational circumstances permit.

March 2022: USPS announced

Dodge Announces Event To Reveal Final ‘Last Call’ Special-Edition Vehicle, Electrified Performance Future

Dodge is honoring the end of an era while celebrating the birth of another with the announcement of a Dodge “Last Call” performance festival, March 20 at Las Vegas Motor Speedway.

The event will play host to the worldwide reveal of the brand’s final 2023 “Last Call” specialedition model while shining a spotlight on the Dodge brand’s future of electrified muscle, the Dodge Charger Daytona SRT Concept.

It will unleash the seventh and final Dodge 2023 “Last Call” commemorative edition model—a last-of-its-kind Dodge specialedition vehicle. Six Dodge “Last Call” models have already been introduced: the Dodge Challenger Shakedown, Dodge Charger Super Bee, Dodge Challenger and Charger Scat Pack Swinger, Dodge Charger King Daytona and Dodge Challenger Black Ghost.

The Dodge “Last Call” vehicles commemorate the Dodge Challenger and Dodge Charger,

which are coming to an end in their current HEMI®-engine-powered forms at the end of 2023.

The Dodge “Last Call” event in Las Vegas will also hail the beginning stages of a new, electrified chapter for the brand— the Dodge Charger Daytona SRT Concept, the brand’s future vision of electrified muscle, will be on display in Las Vegas. The Dodge Charger Daytona SRT Concept represents a giant step forward on the performance brand’s road to an electrified future, offering a concept that reimagines what a muscle car can be.

“The Dodge ‘Last Call’ event will be a celebration of Dodge performance,” said Tim Kuniskis, Dodge brand chief executive officer-Stellantis. “While the ‘Last Call’ special-edition model we will reveal at Las Vegas and the electrified Dodge Charger Daytona SRT Concept represent different performance eras for our brand, both are linked by a commitment to delivering the

Brotherhood of Muscle a vehicle that drives like a Dodge, looks like a Dodge and sounds like a Dodge. No matter the era, Dodge will always be about muscle, attitude and performance, and that’s what this event will celebrate.”

The Dodge brand’s performance festival will also feature drag racing on The Strip at Las Vegas Motor Speedway, Dodge Thrill Rides, a Dodge car show, celebrity appearances, a post-event afterglow and more.

The reveal event will be open to the public, and enthusiasts will also be able to view the event via Livestream at DodgeGarage.com.

Additional details on the Dodge “Last Call” event will be shared at a later date on Dodge.com and DodgeGarage.com.

Source: Dodge

a purchase order of 50,000 NGDV from Oshkosh Defense, including 20% BEVs.

July 2022: USPS announced its intent to conduct a Supplemental Environmental Impact Statement (EIS) that anticipated increasing the NGDV minimum BEV percentage to at least 50% and supplementing the NGDV order with a purchase of 34,500 COTS, so that the combined purchase would be for at least 40% BEV.

By May 2023: USPS will publish for public notice and comment a Draft Supplemental EIS that will assess the potential environmental impacts of vehicle purchase alternatives, likely including those from the Dec. 20 announced plan. New NGDVs are expected to start servicing postal routes in late 2023.

Source: U.S. Postal Service

The winter registration period for the National Institute for Automotive Service Excellence (ASE) for testing and recertification is now open at ASE.com.

Those service professionals registering by March 31 will have 90 days to schedule an appointment to take their tests one of three ways:

1. ASE in-person testing is available throughout the year and is conducted days, nights and weekends at more than 450 test centers.

2. Those with unexpired automobile certifications (A1-A9) can use the ASE renewal app for recertification.

3. ASE now offers ProProctor remote testing as an online recertification solution for all recertification tests, excluding L1 and L2 tests.

To register and select an available option to take selected ASE certification tests, visit ASE.com, click on register and sign in. Once logged in, users can next click on “orders” and then “store” where they can find the tests they want to take, add those tests to the cart, check out and registration is complete.

Source: ASE