W 0714 issue web by Autobody News

Western Edition California Nevada Arizona Utah

YEARS

www.autobodynews.com ww ww.autobodynews.com

Aftermarket Parts Sellers Hear from Congressional Candidate With Ties To The Industry

by John Yoswick

PartsTrader proposed state limits on use of non-OEM parts, and challenging the automakers’ patent designs on crash parts were all being discussed when non-OEM parts manufacturers and distributors met recently in Austin, Texas. The Automotive Body Parts Association (ABPA) allowed only members in the room during discussion at its convention of the association’s pending lawsuit challenging the validity of six of Ford’s design patents on collision repair parts. But proposed

federal legislation that would reduce how long automakers can use design patents to prevent other companies from producing replacement crash parts was among the topics discussed at the event by Louisiana tax Cassie Felder Cassie lawyer Felder, who is running for Congress. Felder, a Republican who believes in tax reform and repealing the Affordable Care Act, told attenSee Aftermarket Parts Sellers, Page 16

Wanted Fugitive Shot and Killed After SWAT Standoff at West Haven, Utah, Shop A wanted fugitive who barricaded himself inside a West Haven auto body shop was shot and killed the afternoon

of June 4th when he pointed a gun at SWAT officers after negotiations broke down, the Weber County Sheriff’s Office reported.

Kristopher Chase Simmons, 35, was shot by two Ogden Metro SWAT officers after over four hours of negotiations broke down and died after being transported to Ogden Regional Medical Center, said sheriff’s Sgt. Lane Findlay. “They exhausted pretty much everything they can to try to get him to give himself up — negotiating with him, talking with him,” Findlay said. “I believe there was some contact with family in this. They did everything they could possibly do to try to get him to put the gun down.”

VOL. 32 ISSUE 7 JULY 2014

Advocates Say Job Training, Including Collision Repair, Provides Path from Prison When Warden Jerome Price (pictured right) first worked at Deuel Vocational Institution in 1987, the state prison had vibrant vocational training programs for prisoners, according to Michael Ellis Langley writing for the Tracy Press. By the time Price was appointed warden at DVI, 23500 Kasson Rd., in December 2012, those programs were long gone and the prisoners were unprepared to get jobs after their sentences were served. “These inmates are coming back out in the community, and you want them to be viable citizens,” Price said in an interview Friday. “You want them to be able to work so that they’re not looking at you when you go to work and go in your house and take all your property.” Almost immediately after

Price took over DVI, the California Department of Corrections and Rehabilitation asked wardens around the state if they were interested in job training programs at their prisons. Price said he volunteered DVI to See Path out of Prison, Page 26

OH’s Three-C Body Shops Has Filed Over 100 Lawsuits Against State Farm Alleging Systematic Shortpays by Chasidy Rae Sisk

Three-C Body Shops, a four-facility, multi-shop operation in the Columbus OH, area, has filed multiple lawsuits against State Farm Insurance Company in an effort to recover alleged shortpay losses. Since November 2012, Three-C has filed 104 suits

See Wanted Fugitive, Page 13

Three-C is Suing State Farm, Alleging Repeated Estimate Discrepancies on Total Losses

against the insurer, all of which accuse State Farm of engaging in “repeated underpayments for services generally rendered and charged to their cus-

tomers when their vehicles have been deemed total losses.” Currently, owner Bob Juniper is seeking $405,000 in recovery, including legal fees and court costs, of which State Farm previously agreed to pay $31,565.03. Juniper notes that he rarely has problems with insurers refusing to pay the full cost of repairs because “we negotiate with them pretty well. We spend a little time with their adjusters and can generally get to where we need to be. We may not always get the full amount of our estimate, but we get close by compromising until we come to terms we can both agree on.” In fact, Juniper hasn’t experienced difficulty from State Farm in paying for repairs either. Three-C’s shortpay lawsuits are associated with costs related to vehicles that are deemed total losses which the insurer objects to paying. Juniper provides the following example: if the shop writes See Three-C Body Shops, Page 12

Change Service Requested

P.O. BOX 1516, CARLSBAD, CA 92018

Presorted Standard US Postage PAID San Bernardino, CA Permit #2244

2 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Contents ‘No’ to Sick Leave Proposal Says Shop Owner

in Oregon . . . . . . . . . . . . . . . . . . . . . . . . . . 17

Alpine Auto Body sold to Kadel’s. . . . . . . . . . . . . 4 Attanasiio - Tech Turned Tool Designer

Headlines EB-CAA May Meeting . . . . . . . . . . 6

Bob Leone Appointed to CAWA Advisory

Crashes Cost Almost $1T in Costs,

Loss of Life, Pain . . . . . . . . . . . . . . . . . . . . 50

Farmers Drops Climate Change Lawsuits

in Chicago . . . . . . . . . . . . . . . . . . . . . . . . . 25

Fix Auto Acquires Alaska Shops . . . . . . . . . . . . 44 I-CAR Gold Class and ASE-Certified Shops

Rewarded at NACE | CARS . . . . . . . . . . . . 52

Council . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

I-CAR® Adds New OEM Segment Development

Golf Tournament. . . . . . . . . . . . . . . . . . . . . . 9

I-CAR® Conference on Future of Collision Repair

North Carolina . . . . . . . . . . . . . . . . . . . . . . . 4

IL Shop Owner Posts 20-min Video of

Collision Center MSO . . . . . . . . . . . . . . . . . . 4

Interactive Advanced Steering and Suspension

87th in California . . . . . . . . . . . . . . . . . . . . . . 4

John Borek Takes Aggressive Action,

Caliber Acquires MSOs in Los Angeles and Caliber Collision Adds 4 Shops in Classic Caliber Opens New Location in Sunnyvale,

Cerritos College Hosts Japanese Tech Students . 4 Cottonwood Family of Fallen Firefighter to

Receive Car . . . . . . . . . . . . . . . . . . . . . . . . . 4

Evan Wilson, Math Teacher Come Auto

Body Shop Owner Come Math Teacher,

Director, John Bosin . . . . . . . . . . . . . . . . . . 43

and Automotive Industry, July 30 In Detroit. . 51 FPB for Panel Fixes. . . . . . . . . . . . . . . . . . . 32 Systems Damage Analysis Course . . . . . . . 43 Files Trespassing Complaints Against

Argumentative Appraisers. . . . . . . . . . . . . . 18

Letter to the Editor - Why Should Insurers Get Free Estimates When They’re

Not Using Adjusters . . . . . . . . . . . . . . . . . . . 3

Retires in Mesquite, NV . . . . . . . . . . . . . . . 39

MERA Joins the Excitement at

Chapters Meeting June 2, 2014 . . . . . . . . . . 10

NACE 2014: In its 32nd Year, It’s Still a

for Scry. of State . . . . . . . . . . . . . . . . . . . . 17

New Study Says More Than 75% of All Pickup

Franklin - CAA Glendale-Foothill And Valley-Ventura Indicted Senator Leland Yee in 3rd place

Mitchell Awards Oregon Shop Trip Worth $3,000 . 4 Nissan and Assured Performance Partner for

Certification and Consumer Referrals . . . . . 51

COLUMNS

Attanasio - How to Market to Millennials . . . . . 34

Franklin - Ding Day–A Marketing Tactic . . . . . . 42 Luehr - Using an Outside Expert to Improve

your Competitive Position . . . . . . . . . . . . . . . 46

NATIONAL

Aftermarket Parts Sellers Hear from Congressional

Candidate With Ties To The Industry . . . . . . . 1

AMI to Honor New Managers . . . . . . . . . . . . . 44

ASA-CO to Host Pinnacol Safety Meeting

July 9 in Denver . . . . . . . . . . . . . . . . . . . . . 38

Attorney and AASP-MN Lobbyist Kevin Walli

is Minnesota’s Shop Champion . . . . . . . . . 30

AudaExplore Pledges $150K to SkillsUSA

in Tool Grants . . . . . . . . . . . . . . . . . . . . . . 50

CARS This Year Is All New, ASA Promises

NACE | CARS 2014 . . . . . . . . . . . . . . . . . . 52 World Collision Repair Event . . . . . . . . . . . . 40 Trucks will be Aluminum-Bodied by 2025 . . 53

NSF International’s Bob Frayer Earns Prestigious

ASQ Quality Leader Award . . . . . . . . . . . . . 36

OH’s Three-C Body Shops Has Filed Over 100 Lawsuits Against State Farm Alleging

Systematic Shortpays . . . . . . . . . . . . . . . . . 1

PartsTrader Integrates Hollander Interchange

Codes . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36

Philadelphia Shop Accused of Staging Car

Accidents as ‘Fictitious Deer Crashes’ . . . . 49

Quality Parts Coalition Says Five-Year Price Comparison Report Shows Certified

Aftermarket Parts Saved Consumers

$80 Million Since 2009 . . . . . . . . . . . . . . . 39

Rhode Island Bills Under Consideration Affect Airbags, Two-tiered Body

Shops, Aftermarket Parts . . . . . . . . . . . . . . 22

SCRS Open Board Meeting on July 28th in Detroit . 50

Service King Collision Repair Centers Finalizes

Sterling Collision Centers Acquisition . . . . . . . 26

Sisk - ASA-NW’s Automotive Training Expo 2014 . 48

It Will Be The Best Show Ever . . . . . . . . . . . 38

Sisk - LaCIA Hosted Louisiana Attorney General

Expansion of HQ in Leawood, KS . . . . . . . . . 32

Sisk - New Auto Body Association of Texas

CARSTAR Sees Record Revenue in 2013, Plans CAWA Reports on Status of California

Legislation Impacting Industry . . . . . . . . . . . 8

CCAR and ShipMate Launch Improved

HazmatU website . . . . . . . . . . . . . . . . . . . . 32

Chrysler Airbag Recall Being Probed by

Regulators . . . . . . . . . . . . . . . . . . . . . . . . . 36

at May 22 Meeting . . . . . . . . . . . . . . . . . . . 24

Launches June 18, PartsTrader Provides

Impetus, Statewide Members Invited to Join. . 20

Women’s Industry Network Celebrates Excellence

In Leadership and the Formal Transition of the

‘Most Influential Women’ Program to WIN. . 44

Young Technician’s Program to Debut at CARS . 50

they want us to write the estimate and send up pictures for free! Why do they think my time is worth nothing? My partner and I share the office work and are out in the shop working all day. Our time is valuable. When we are in the office our production time suffers. The insurance companies tell me “Well, you write free estimates don’t you?” My answer is ‘yes, to a prospective customer that I don’t know, or my regular customers,’ but when I have a customer that drops his car off I know I have that job already. The person has picked my shop. Why is it the insurance company feels that I should prepare the estimate for them on my dime? They are saving money by not paying an adjuster, but I feel they should at least pay me some fee for my time and not take advantage of me. Small shops cannot take that kind of abuse and I think it’s taking an extreme advantage of shops and the proprietors. I would like your [readers’] thoughts on how we can combat this abuse. Thanks, Pete Gutierrez, Pete <1redcatz@comcast.net>

Letters to the Editor can be sent to editor@autobodynews.com. They may be edited for length and clarity. See Facebook/autobodynews to respond via comment.

Indexof Advertisers

CAA San Diego Holds 19th Annual

I would like your opinion on something I’m seeing becoming a trend. I am seeing more and more insurance companies making the body shop do the original estimate and send up pictures. We will have one of our customers bring a car to our shop and they want US to do the work. They call their insurance company up and let them know the car is at our shop. Normally, they would send out a insurance adjuster to do the estimate because for years now if we did one it was not good enough for them. They would not want it. They would do their own and in turn we would go over it and make adjustments or add to it from there. They may argue and haggle if repair times were unacceptable. Now, Nugent online uploading of pictures and estimates is available. I’m finding more and more insurance companies telling us to go ahead and use Nugent, upload and send pictures. All of a sudden now our estimates are good enough for them ! Of course they are saving money by not sending out an adjuster! This is what I’m upset about. Before we weren’t good enough to write a estimates now

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Online Editor: Alicia Basteri Contributing Writers: Tom Franklin, David Brown, John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, David Petro (800) 699-8251 Sales Assistant: Louise Tedesco Art Director: Rodolfo Garcia

AAPEX Trade Show . . . . . . . . . . . . . . . .16 Audi Wholesale Parts Dealers . . . . . . . .50 Automotive ID . . . . . . . . . . . . . . . . . . . .14 AutoNation Chrysler-Jeep-DodgeRam of North Phoenix . . . . . . . . . . . .21 Axalta Coating Systems . . . . . . . . . . . . . .5 Bill Luke Dealerships . . . . . . . . . . . . . . .15 BMW MINI of Escondido . . . . . . . . . . . .30 BMW Wholesale Parts Dealers . . . . . . .45 Bob Smith BMW . . . . . . . . . . . . . . . . . .22 Bob Smith MINI . . . . . . . . . . . . . . . . . . .22 Capitol Subaru . . . . . . . . . . . . . . . . . . . .56 Certified Automotive Parts Association (CAPA) . . . . . . . . . . . . . .23 Chapman Scottsdale Autoplex . . . . . . .12 Chief Automotive . . . . . . . . . . . . . . .24, 25 Classifieds . . . . . . . . . . . . . . . . . . . . . . .54 Colortone Automotive Paints . . . . . . . . .24 Completes Plus . . . . . . . . . . . . . . . . . . .18 DCH Chrysler-Jeep-Dodge-Ram . . . . . . .8 DCH Kia of Temecula . . . . . . . . . . . . . . . .8 Downtown Motors of LA (Audi, VW, Porsche) . . . . . . . . . . . . . .27 Drew Hyundai . . . . . . . . . . . . . . . . . . . .47 East Bay BMW-MINI . . . . . . . . . . . . . . . .38 Elk Grove Toyota . . . . . . . . . . . . . . . . . .26 Enterprise Rent-A-Car . . . . . . . . . . . . . .40 Ford Wholesale Parts Dealers AZ, CA, NV & UT . . . . . . . . . . . . . . . .37 Galpin Motors . . . . . . . . . . . . . . . . . . . .20 Glenn E. Thomas Dodge-Chrysler-Jeep .11 Glenn E. Thomas FIAT . . . . . . . . . . . . . .11 GM Wholesale Parts Dealers . . . . . . . . .53 Honda-Acura Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . .28-29

Serving California, Nevada, Arizona and Utah. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2014 Adamantine Media LLC. Autobody News P.O. Box 1516, Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com

Western

REGIONAL

Letter to the Editor: Why Should Insurers Get Free Estimates When They’re Not Using Adjusters

Hyundai Wholesale Parts Dealers . . . . .48 Innovative Tools & Technology, Inc. . . . .9 Kearny Mesa Subaru-Hyundai . . . . . . .39 Kia Motors Wholesale Parts Dealers . . .41 LKQ . . . . . . . . . . . . . . . . . . . . . . . . . . . .55 Los Gatos Luxury Cars . . . . . . . . . . . . .34 Maita Subaru . . . . . . . . . . . . . . . . . . . . .13 Malco . . . . . . . . . . . . . . . . . . . . . . . . . . .13 Mark Kia-Mitsubishi . . . . . . . . . . . . . . . . .4 Martech Services Company . . . . . . . . .18 Matrix System Automotive Finishes . . . .2 Mazda Wholesale Parts Dealers . . . . . .52 MINI Wholesale Parts Dealers . . . . . . . .44 Minute Man Wheel Lifts . . . . . . . . . . . . .10 Mitsubishi Wholesale Parts Dealers . . .48 MOPAR Wholesale Parts Dealers . . . . .33 Moss Brothers Chrysler-Jeep-Dodge . . .7 Mossy BMW of Vista . . . . . . . . . . . . . . .42 Nissan/Infiniti Wholesale Parts Dealers . .46 PDR Nation . . . . . . . . . . . . . . . . . . . . . . .6 Replica Plastics . . . . . . . . . . . . . . . . . . .32 Riverside Metro VW-Honda-HyundaiNissan-Mazda . . . . . . . . . . . . . . . . . .31 SATA Spray Equipment . . . . . . . . . . . . .17 Shingle Springs Nissan-Subaru . . . . . .43 Sierra Chevrolet-Honda-Mazda-Subaru .35 Sonnen BMW . . . . . . . . . . . . . . . . . . . . .32 South Bay Volkswagen . . . . . . . . . . . . .26 Subaru Wholesale Parts Dealers . . . . . .49 Toyota Wholesale Parts Dealers . . . . . .50 Valspar Automotive . . . . . . . . . . . . . . . .19 Volkswagen Wholesale Parts Dealers . .51 Volvo Wholesale Parts Dealers . . . . . . .52 Weatherford BMW . . . . . . . . . . . . . . . . .36

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 3

Caliber Collision Adds 4 Shops in Classic Collision Center MSO

Caliber has acquired Classic Collision Center, Inc. Recognized as one of the premier collision repair companies in Southern California, Classic Collision Center, Inc. has four locations in and around the Los Angeles market. “Our acquisition of Classic Collision Center, Inc. increases the total number of Caliber Collisions locations to 172,” added Mark Sanders, Caliber Collision Centers’ President and Chief Operating Officer.

Caliber Opens New Location in Sunnyvale, 87th in California

Caliber Collision Centers continues its expansion across the California market with the acquisition of Fenders Collision Center, Inc. in the Silicon Valley region. “The opening of our newest location at 438 West Maude Avenue in Sunnyvale, increases our total locations in California to 87,” said Steve Grimshaw, Caliber Collision Centers’ Chief Executive Officer. “We are committed to acquiring centers across every Caliber market to provide industry-leading convenience and CSI metrics.”

Cottonwood Family of Fallen Firefighter to Receive Car

The family of Mark Ratledge, a Cottonwood fire captain who was killed more than two years ago while assisting the California Highway Patrol, is scheduled to receive a restored car Friday in the Bay Area thanks to Mercury Insurance. The family, selected by Police and Fire: The Fallen Heroes, will receive a 2013 Hyundai Sonata, which was refurbished by Car West Auto Body. Ratledge, a nine-year veteran of the Cottonwood Fire Department, is survived by his fiancée, Jennifer, and three children. The donated vehicle will help Jennifer get to and from her job, become more self-sufficient and provide the children with safe, reliable transportation. Police and Fire: The Fallen Heroes is a nonprofit organization that supports families of California peace officers and fire service personnel who were killed in the line of duty. Mercury is an auto and home insurance provider in California. Car West Auto Body is a collision repair shop that has helped Northern Californians for nearly 25 years. The presentation was at 11:30 a.m. June 6 at Callippe Preserve Golf Course, 8500 Clubhouse Drive, Pleasanton.

Caliber Acquires MSOs in Los Angeles and North Carolina

Caliber has acquired two multiple collision repair shop operators with a total of nine locations—four in Los Angeles and five in Raleigh, NC. The North Carolina acquisition is the first location for Caliber in the eastern U.S. Caliber Collision Centers announced that it acquired Classic Collision Center, Inc., with four locations in greater Los Angeles: (Los Angeles, Pasadena, Tujunga, and La Crescenta), and Haddock Collision, a dominant repairer with five locations in the Raleigh, North Carolina market (Raleigh, Wakefield, Cary-Crossroads, Cary-Maynard, and Fuquay-Varina.) Classic Collision was founded in 1980 and Haddock in 1972. Caliber Collision CentersSteve Grimshaw, Caliber Collision Chief Executive Officer commented, “Our acquisition of Classic Collision Center, Inc. continues to offer more customer choices in the Southern California market. After spending time with Classic Collision’s management team, it was obvious that Classic Collision aligns perfectly with Caliber by delivering industry-leading customer satisfaction across all four Los Angeles locations.” “We are proud that Classic Collision Center is now a part of the na-

tion’s leading collision repair provider,” said Majic Berenji, Classic Collision President. “This combination will allow the company to continue to grow, while providing Classic Collision’s customers with even higher standards of quality and personal service that has become our trademark. It will also provide Classic Collision’s staff and their families’ new advancement opportunities and a secure future in the dynamic collision repair industry.” “Our acquisition of Haddock Collision Centers in North Carolina represents our first of many acquisitions to come in the eastern U.S. I am very excited to have Todd McGowan, and the entire Haddock Collision organization, join forces with Caliber,” said Grimshaw. With these acquisitions Caliber now operates 177 collision repair facilities in Arizona, California, Colorado, Nevada, New Mexico, North Carolina, Oklahoma, and Texas.

Cerritos College Hosts Japanese Tech Students

In a goodwill trade agreement between Cerritos College and Japan, students from Japan ecently received training through the campus’s automotive program. More than 200 students from the Nissan Automotive Technical College on May 12-13 visited three automotive mechanical repair and automotive collision repair classes and participated in a hands-on body painting demonstration. “We were able to give them a little bit of automotive history and technological information that they wouldn’t be exposed to in their own country,” said Leonard Glick, assistant professor of automotive mechanical repair. “It’s just a great opportunity for us to show off our programs, our school, our facilities and our country.” The Nissan Automotive Technical College has five campuses in Japan. The recent tour of Cerritos College—and a local Infiniti dealership—was planned by the college and Nissan Motor Co. with sponsorship by Nissan Corp. in Japan. The partnership began about 12 years ago, according to Ron Toyota of Meitetsu Travel, who coordinated the visit. The automotive training program at Cerritos College has run strong for 30 years.

Alpine Auto Body sold to Kadel’s

Rod Cook, founder of collision repair chain Alpine Auto Body, has sold the company for an undisclosed price to Tigard, OR-based Kadel’s Auto Body, according to Don Braden, president and CEO of Kadel’s. Alpine Auto Body was founded in 1975 by Cook, then 19, who sold his muscle car to bankroll the startup. The business grew to three collision shops, with one on Fourth Plain Road, one in the Cascade Park area, and a Hazel Dell site. Kadel’s Auto Body already operated one Vancouver location at 2600 E. 33rd St. The company was founded in Tigard in 1954 and has expanded by purchasing small chains and single, mom-and-pop operations.

Mitchell Awards Oregon Shop Trip Worth $3,000

Mitchell announced that Advanced Collision Repair of Seaside, Oregon has been selected as the winner of its annual marketing campaign that awards one shop a trip worth $3,000. The shop was chosen among 11,000 repair shops in the U.S., and emphasizes its commitment to customer service and technology investments that have helped keep the shop a pillar in the Seaside community.

Mark Kia 1100 N. Scottsdale Rd. Scottsdale, AZ 85257

Parts Center Hours Mon - Fri: 7:30am - 5:30pm

FAX 480-947-3009

• Genuine Kia OEM Parts • Fast & Free Delivery

480-425-5335

• Efficient Service on All Orders • Parts Specialists On Call

Parts You Need. People You Trust. Genuine Mitsubishi Parts are close at hand.

Exceptional customer service, wide selection of in-stock parts and the experience necessary to ensure your repairs proceed smoothly and efficiently.

@autobodynews Accept no Substitutes!

4 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Mark Mitsubishi 6910 E. McDowell Rd Scottsdale, AZ 85257

FAX 480-663-7503

Parts Center Hours Mon - Fri: 7:30am - 5:30pm

480-663-7553

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 5

Western Associations with Ed Attanasio

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

Tech Turned Tool Designer Headlines EB-CAA May Meeting

Francesco’s Italian Restaurant in Oakland, CA was the place to be on May 20, especially if you were a member of the East Bay Chapter of the California Autobody Association (EB-CAA). It was the association’s spring dinner meeting and featured a program with three speakers discussing three distinct segments of the collision industry. Tim Brusher from Honda’s ProFirst Program discussed the importance of OE certifications in today’s collision industry while reviewing Assured Performance Network’s Certification Program; Karl Kirschenman from Alldata made a presentation entitled “Creating Customers for Life” and Tim Gerhards, a former body tech turned tool designer presented his line of collision repair

Tim Gerhards, a former body tech turned tool designer presented his line of collision repair tools during a presentation at the East Bay Chapter of the California Autobody Association’s May dinner meeting

tools during a presentation he called “Tool Time with Tim.” More than 30 collision professionals attended the meeting as they dined on Italian cuisine and networked with fellow body shop owners, local vendors and prospective EB-CAA members. Gerhards’ story will resonate with anyone looking to make a better mousetrap, or in this case, an improved way of skinning a car door. Many great inventors started out the same way as Gerhards did. In fact, Thomas Edison was a salesman before inventing the phonograph and the light bulb and Henry Ford was a machinist before he founded Ford Motor Co. Both saw a

burning need and found solutions by inventing tools that can make our lives easier. And that’s why Tim Gerhards embarked on a journey that eventually led this collision repair veteran to his first invention and six other tools that he subsequently designed—all of which are currently being used for a wide range of applications worldwide. It all began one day when Gerhards was skinning a door while working at B & J Body Shop in Rancho Cordova, CA back in 2001, he explained. “This procedure normally requires lots of hammering and dollying and walking around the entire door frame and beating this metal over and over until you get what you need. It puts a ton of wear and tear on your hands and it’s time consuming. I kept asking myself ‘how does the factory do this?’ and I just began experimenting with a better way of doing it.” So one day Gerhards picked up a piece of wood and shaped it into a crude tool that would enable him to bend the door’s flange over and flatten it out at the same time. After testing it and tweaking it a little, Gerhards realized that it worked and named it the Skin Zipper. “I realized wow—I need to patent this thing,” he said. “This tool takes a two-hour repair and cuts it down to about 10 minutes with a hammer, so I thought shops are going to love this thing.” After more than 40 months, Gerhards received his patent and jumped into the inventor’s world with both feet. “I immediately joined a local inventors’ group and was advised to market the tool at a trade show. So I went to NACE in 2009 and showed the Skin Zipper to everyone I could find. Steck Manufacturing called me back after NACE was over and showed some interest in manufacturing and distributing the tool. It was a great moment, because all of the work I had done on designing it and developing it were finally paying off.” Since inventing the Skin Zipper, Gerhards and Steck Manufacturing in Dayton, OH started working together on more tools, he explained. “The people at Steck must have been pleased with the Skin Zipper, because they were interested in pursuing patents for anything else I could think of, Ger-

6 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

hards said. “Those products include a MIG Light, Panel Shaper, Workstand Clamp, E-Z II Strip Molding Tool and a Handipull Kit that consists of a series of eyebolts that screw into weldedon nuts to allow for light pulls all around a vehicle. Once I get into that inventor’s mindset, the ideas just kept coming. As a tech, I was encountering difficulties all the time during repairs, so I started asking myself, how can I make a tool to solve these problems?” Gerhards’ success with Steck has inspired him to create his own company, TG Products, to manufacture and market other inventions on his own. TG’s first product is The Rail Saver, a system that repairs damaged side members and frame rails. Last year, Gerhards was able to finally step away from his job as a body tech to pursue his dreams as a tool designer and inventor full-time. He strongly believes that the collision repair industry is primed for new exciting tools, to be made by people who actu-

ally make the repairs, just like him. “Many collision repairers have the skill sets to build their own prototypes, because they already know how to weld, shape metal and build prototypes,” he said. “In this business, we’re all constantly encountering situations where there is no tool. So, I know I’m not the first person to ever rig something to get the job done and I surely won’t be the last. One of the biggest problems is that people are reluctant to show their inventions to anyone, because they’re afraid of them getting stolen. Or they think it’s worth more than it really is and think they’re going to be millionaires overnight, which is totally unrealistic.” Gerhards advises aspiring inventors not to go to invention submission companies. Instead, he says they should join a local inventor’s organization at the United Inventors Association or www.uiausa.org. For more information about any of his tools, visit his web site at: www.therailsaver.com.

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 7

CAWA Reports on Status of California Legislation Impacting Industry by imprisonment in a county jail not to exceed 6 months, or by a fine not to exceed $1,000, or by both that fine and imprisonment. Additionally, the bill would require any person who dispenses or distributes nitrous oxide to record each transaction in a written or electronic document and would require the person to make the document available for inspection, upon presentation of a duly authorized search warrant, to the California State Board of Pharmacy or other law enforcement agencies. The bill would require the purchaser to sign the document and provide a governmentissued photo identification and residential address. Status: Currently working with author’s office to craft amendments to remove impact on CAWA members that sell or distribute nitrous oxide.

As the California Legislature comes to the middle of its legislative session, CAWA’s Legislative team reports the status of three legislative proposals impacting the automotive aftermarket industry and CAWA members specifically. CAWA is currently tracking approximately 40 legislative proposals that could have an impact on the aftermarket industry, however the following bills have been the main priority of the association and its government affairs team.

AB 1735 (Hall) – Nitrous Oxide: Dispensing and Distributing CAWA POSITION: OPPOSE UNLESS AMENDED This bill would make it a misdemeanor to dispense or distribute nitrous oxide to a person, knowing or having reason to believe that the person is going to use the nitrous oxide with the intent to breathe, inhale, or ingest for the purpose of causing intoxication, euphoria, dizziness, etc. and that person proximately causes great bodily injury or death to himself, herself, or another person, punishable

SB 916 (Correa) – Biosynthetic Lubricants: Procurement/Sale CAWA POSITION: OPPOSE Effective January 1, 2016, this bill would have required state agencies and state contractors to purchase lubricating oil that meets minimal stan-

www.dchtemecula.com • Genuine Kia OEM Parts • Fast & Free Delivery

• Efficient Service on All Orders • Parts Specialists On Call

951.491.2538

Fax: 951.491.2589

Hours: Mon-Fri 7:00am-6:00pm / Sat 8:00am-4:00pm 26799 Ynez Road • Temecula, CA 92591 8 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

dards and certifications, and bans the sale of lubricating oil in California after January 1, 2017 unless it meets these minimal standards for biosynthetic lubricants. Status: Died in Committee

SB 994 (Monning) – Telematics Legislation CAWA POSITION: NEUTRAL SB 994 would have created the Consumer Car Information and Choice Act by requiring manufacturers that generate or collect vehicle information through telematics technology to make disclosures to the owner about that information, provide the owner with access to the information for transmission to a 3rd party, and would prohibit a manufacturer from limiting or restricting the owner from accessing their vehicle information. Status: Died in Committee

“CAWA is at the forefront of protecting its members from legislation and government regulations that adversely impact the automotive aftermarket industry each year. This California legislative session proves to be a busy

year for us as we are defending the aftermarket from a number of attacks on our ability to provide parts and service to motorists”, stated Rodney K. Pierini, CAWA President & CEO. In addition, CAWA in its effort to promote the National Be Car Care Aware Campaign was successful in securing a California Senate Resolution recognizing April 2014 as “National Car Care Month” in California. The measure, SCR 112 by Senator Tom Berryhill, urges all California residents to be “Car Care Aware” and inspect and perform all maintenance necessary to ensure their vehicle is operating in a safe, efficient and clean manner. “CAWA remains committed to protecting the business and industry interests of its members in the three states we represent, Arizona, Nevada, and California”, continued Pierini. “While we waited with great anticipation the telematics legislation that was introduced by AAA, CAWA took a neutral position on the measure due to a number of concerns that were not resolved in the bill. CAWA commits to continuing to engage in constructive dialogue with AAA to add the after-

market perspective should AAA decide to take the bill up again next year.” CAWA is a regional automotive aftermarket trade association, which represents auto parts jobbers, warehouse distributors, retailers, manufacturers, manufacturer representatives and program groups. The Association provides education, legislative, regulatory and business support to the industry and its membership. It is one of the largest trade associations of its kind in the United States and recognized as a leader in the automotive aftermarket industry. For more information about the California Legislative session contact California Legislative Advocate Gary Conover at gary@garyconover.com or 916-233-9655.

CAA San Diego Holds 19th Annual Golf Tournament by Barbara Davies

The CAA San Diego Chapter held its 19th Annual Golf Tournament Saturday, June 7th at Twin Oaks Golf Course in San Marcos. The event was a great success with over 80 players, 9 “Event Sponsors” and 2 “Hole Sponsors.” The weather was, as usual, perfect. Said Hop Sanchez of Finishmaster Inc. and CAA San Diego Treasurer, “It was another great day with a group of fun-loving auto body industry people. A big thanks to Dee, Michelle, Nicole, and Brett from Enterprise for all their help in making this event a success.”

To advertise call Advertising Sales at:

800-699-8251 e-mail:

advertising@autobodynews.com

Low Gross 1st Place: Team Fuller Ford-Honda – Dave Busse, Mike Allison, Danny Meador

Low Gross 2nd Place: Team Milo Johnson Auto Body - pictured: Ross Johnson and Team Henson and Son – pictured: Zac Brown

For winners see the photos... and the other winners were: Net / Peoria 1st Place: Team Weseloh Chevrolet–Frank Presley, Kernie Kohlmeyer, Tom Peronto, Frank Metroyanis. Men’s Closest to the Pin: Rob Blue/3M Women’s Closest to the Pin: Carol Romero/LKQ (and Raffle Prize Ringers) Men’s Longest Drive: Kurt Ney/ Spencer’s Auto Body-Indio Women’s Longest Drive: Hailey Ney/Spencer’s Auto Body–Indio (Kurt’s daughter). The Low Gross Teams are invited to play in the Randy Jones Invitational Tournament. Last year’s

Low Gross 3rd Place: Team Autobody News Kyle Robinson (IT guy who plays way too much golf), Sean Hartman, Jeremy Hayhurst, Barbara Davies

inaugural Randy Jones Invitational was a huge success with 1440 golfers playing in the semi-final rounds at Sycuan Resort and is in the planning stages for this year. Special thanks are due to the ‘at the hole’ sponsors: Hertz, Enterprise, and Axalta, who provided refreshments and handouts for the players throughout the day.

Search: Autobody News on Facebook

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 9

Western Associations with Thomas Franklin

Tom Franklin has been a sales and marketing consultant for fifty years. He has written numerous books and provides marketing solutions and services for many businesses. He can be reached at (323) 871-6862 or at tbfranklin@aol.com. See Tom’s columns at www.autobodynews.com under Columnists > Franklin

CAA Glendale-Foothill And Valley-Ventura Chapters Meeting June 2, 2014 The combined chapter meeting was held at the Odyssey Restaurant in Granada Hills, CA. The speaker was Michael Anderson, whose CollisionAdvice.com organization and Team of Advisors provides free Forms & Tools for the industry. Mike speaks more than 300 days a year and is much sought after for his presentations and seminars. He was introduced by GlendaleFoothill Chapter president, Daniel Panduro, who also works closely with Mike. Danny noted that this is Part Two of a series of Chapter meetings focusing on putting all necessary repair operations on every estimate and getting paid for them! The meeting was sponsored by Finishmaster, arranged by Danard Cook. Mike’s theme for the evening was “Educate, Don’t Alienate” – the proven method to successfully negotiate for required and necessary repair operation compensation. Mike noted that all elements and examples are based on standard economic principles, not price (that would be in violaMike Anderson tion of anti-trust law). Mike said to get paid for what you do, it must meet four criteria: 1. That it is necessary and required to restore a vehicle to pre-accident condition. OEM documents specify much of what is needed to prove this. 2. That it is not included in any other

operation. The not-included information in the estimating systems is a good start. Mike provides much more. 3. That there is a pre-determined time specified for the operation. Beyond the estimating systems, All-Data, SCRS, DEG and others reference time studies for proof, but Mike has actually proven some of the times himself. 4. That the operation has real worth for the repair of the vehicle and its owner. Even just one question, “Is it a safe repair,” if answered affirmatively, proves worth for the customer. Mike stresses that each of these must be proved, not just opinion. He stresses that when an adjuster says “No,” he or she actually means, “I don’t KNOW enough to say Yes.” And it’s the shop negotiator’s responsibility to educate the adjuster to point of knowing enough to say “Yes.” He says the smart shop negotiator doesn’t wait until the time of the negotiation to document the proof. This, he says, will give the adjuster time to think of ways to say “No.” A common complaint is it takes too long to research the proof to substantiate each challenged operation. But Mike demonstrates with clear examples that even a gain of .1 (point one) for an operation, when accepted, can grow to a .2 and a .4 and be gradually accepted as always necessary. Mike’s list of reference materials provides adequate ammunition for any shop negotiator to win the day, but Mike notes that many shop estimators

Idaho Offers 1-day Environmental Compliance Workshops

In June, Idaho auto professionals working in painting and coating vehicles will be able to earn certification for handling regulated heavy metals commonly found in industry products. The Idaho Small Business Development Center and the Idaho Department of Environmental Quality are sponsoring the one-day workshops next month in six Idaho cities. Many paints used in auto body refinishing work contain heavy metals that are regulated by the Environmental Protection Agency. The workshops give classroom and hands-on training that will instruct participants how to comply with state and federal regulations. The course will also teach effi-

cient spray painting methods and ways to reduce costs and improve efficiencies. Participants completing the course will earn a training certificate required by the EPA. Staff from the DEQ will also be on-hand to answer any questions about Idaho’s general air quality permit. The remaining $35 workshops are at the following dates and locations: •June 19 in Lewiston at Lewis-Clark State College’s Meriwether Lewis Hall, Room 220, from 5 to 9 p.m. •June 20 at the Coeur d’Alene DEQ office, 2110 Ironwood Parkway, from noon to 4 p.m. Participants can register at: www.IdahoSBDC.org.

10 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

are little more than sign-up clerks. Only a hand-full of shops has astute estimator-negotiators who know how to document necessary operations and get paid for them. But the materials to do so are readily available. As noted, much of the time the estimating systems’ indication of “not-included items” is a good start. ASA’s “not-included chart” is updated annually. OEM bulletins cover much of what is needed and All-Data as an excellent source can be integrated into ADP, CCC and Mitchell estimating systems. Other resources include SCRS’s “Guide to Complete Repair Planning” and DEGWEB.org. And after drawing on these resources, one can still create a pdf file of the estimate and take it to estimatescrubber.com to get a list of what may have been missed. And Mike’s own CollisionAdvice.com provides twelve free negotiating tools to give a shop a real negotiating edge. As his talk proceeded, it became obvious Mike has a deep, passionate

love for these processes. He spent several thousand dollars of his own money videotaping challenged operations (there is an ABRN video on YouTube). He worked to get feather prime and block and final sand and polish properly paid for. He helped publicize the Blend Ruler (now available in many forms) and he personally demonstrated the true cost of cover car. Now he is creating an annual 200-question survey of operations to find out how many shops (1) always charge, (2) sometimes charge, (3) never charge, and (4) never ask. Throughout the talk, Mike referred members of the audience to go to his CollisionAdvice.com site for forms and tools. This site contains detailed information on all the estimating platforms, all the paint company memos, and all vehicle OEM manufacturers’ technical bulletins -- a virtual encyclopedia of whatever shop personnel need to get the job done. Mike can be reached at 301-535-3333.

BY MINUTE MAN MFG. INC.

The Minute Man Forklift Wrecker is a mechanical auto-load wheel lift attachment. Simply slide this onto the forks of any forklift. Don’t lose time calling a wrecker

It’s like your own Forklift Wrecker!! when all you need to do is move a vehicle across the lot. Spring loaded “C-Hooks” pivot around the wheels of the parked vehicle. Lift the drive wheels and go! For More Info:

Call Us! 877-593-6959 6673 Pine Ridge Court Suite B • Jenison, MI 49428

www.forkliftwrecker.com

Glenn E. Thomas

If you're planning to to invest in n the time and nd know-how needed neede ed to perform car ar repairs, repa re pair irss, make mak m ake ak e sure sure you su you also als a lso o use se ce cert certified rtifi tified dF FIA FIAT IA IAT AT parts part pa rts fr ffrom rom om Glenn lenn E. Thomas Fiat. www.fiatusaofsignalhill.com

2102 E Spring St Signal Hill, CA 90755-2115

Parts: 562.595.9584 www.autobodynews.com | JULY 2014 AUTOBODY NEWS 11

Continued from Cover

Three-C Body Shops

a $10,000 estimate on a car valued at $11,000 and the insurer’s adjuster estimates $4000 in damages, the shop has to perform many additional steps as part of the process of writing a thorough estimate. Moving the disabled vehicle, disassembly, taking inventory of parts, recycling hazardous waste, and performing a comprehensive safety check to test for damages are just a few of the many steps needed in order to document the car as a total loss; however, when the adjuster returns to discuss the estimate and declares the vehicles to be a total loss, State Farm only wants to pay the cost of storage and a few minimal charges, though all of these processes are required. Other processes which Juniper feels shops should be aware that they can charge for include suspension checks, rough access, preparing the pack-totaled vehicle, glass clean-up, and labor. Meanwhile, Three-C has time associated with the estimate for which they expect (and deserve) to be compensated since they’ve lost

time being involved with a job they aren’t being paid for, yet State Farm wants to pay only the minimum charges. Juniper explains, “our charges are necessary to offset our lost opportunity. When we’re working on these total losses, that’s time we can’t work on jobs where we could make money, but the insurer does not want to understand that—that’s why we have to sue them. Other shops also have to perform these steps, and they should

Three-C Body Shops has specific areas to interact with and educate customers

ask why they’re not getting paid for all of their time and hard work!” Over the past three decades, Juniper has been an active voice in the industry, speaking out against insurers and their attempts to exert control over

the repair process. “Insurers have been beating on body shops for many years. They used to just pay the bill, but over the years, they’ve decided that they don’t want to pay the labor times and rates. Instead, they want to argue about which steps are necessary because they are trying to control the repair itself. This industry has been beat down so far that many shops are going out of business; insurers have found the bottom on pricing and can’t push anymore because there’s nothing left. We have to charge them for our time because we can’t afford to work for free!” Though Juniper admits that his relationship with State Farm is currently less than perfect due to the pending lawsuits, he hopes that will change after matters are settled. He also believes that he is taking a necessary step towards preventing shortpays in the future. “Nationally, there are over 70 body shops with pending shortpay lawsuits right now, and we need to win these battles to change things. With enough victories, maybe the insurers will change their behavior.” Three-C Body Shops asks their customers to sign documents, such as

6601 01 E. E McDowell McDow welll Road, Roadd SScottsdale, cottsdale AZ 85257 852

CHAPMAN VOLKSWAGEN

We offer the same high-quality car parts your vehicle was built with, and we keep a large inventory of these certified auto parts in stock! Parts Dept. Phone:

800.433.1701 Open Mon-Fri...7:00am-6:30pm Saturday...7:00am-12:00pm

12 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

the Authorization to Repair and Assignment of Proceeds, to enable them to pursue proper compensation when the need arises. Juniper explains that they “involve the vehicle owner instead of dealing with the insurance company directly because the insurer is bound by a contract with the insured, but the problem is that many consumers don’t know the laws. Some are savvy, but others don’t understand or want to be involved; that’s what the insurers take advantage of and the reason that lawsuits are necessary… It’s not convenient, but this still has to happen. I don’t see any other alternative.” A family-owned business since opening in 1956, Three-C Body Shops works on around 250 vehicles monthly, yielding $700,000 to $800,000 in sales. They have never participated in DRPs because when the insurers introduced these programs in the early 1990s, Juniper foresaw the negative aspects associated with them, predicting that they would start off good and get worse over time. Though he spoke out against DRPs, the industry moved forward, and he believes “most DRP shops now wish they’d never gotten

The Chapman Auto Group has built a reputation on providing courteous, honest service. Stop in and find out what makes us an exceptional place to buy your genuine auto parts!

CHAPMAN HYUNDAI

Call our Parts Dept. today!

800.433.1701

Open Monday-Friday...7:00am-6:30pm Saturday...7:00am-12:00pm

involved, but we weren’t loud enough with our objections. DRPs have caused many body shops to go out of business. Once you’re dependent on them, you can’t afford to lose them—you’re unable to walk away because you’ve become reliant on the insurance companies.” Now, Juniper fears that insurers are using parts procurement systems, such as PartsTrader, to exert even more control over repairs, and he worries that insurers will take over parts distribution also, leaving shops as labor providers only and inhibiting them from supplementing their incomes with the price of parts. Because of this, many shops will be unable to pay some of their personnel, such as office staff, customer service teams and detailers, whose salaries aren’t paid by the estimates but by parts profits. “If the insurers absorb this discount, we won’t be able to af-

ford these employees, so customer service will decline, and that will be the beginning of the next big problem for our industry,” Juniper predicts. Juniper notes that the industry did not stand up for themselves when DRPs were developed and they have since regretted it; he believes the industry will really regret it if they do not step up to inhibit parts procurement as it will lead to poor customer service in the collision repair industry, forcing repairers into a position where they are not making any money and may be unable to pay their bills. He asks “when and where does the collision industry say no? Because it’s time!” A State Farm spokesman was invited to comment but declined due to unfamiliarity with the specifics of the cases. Autobody News will continue to invite comment on this story for future issues.

Free Twice Monthly Newsletter at www.autobodynews.com

Continued from Cover

Wanted Fugitive

After the negotiations broke down, Simmons pointed a gun at “members of the SWAT team. Two of those members fired at the suspect. Ultimately he died from his injures.” Findlay said. Simmons was taken by ambulance to Ogden Regional Medical Center, Findlay said. Police have not released how many shots were fired or how many times Simmons was hit. But Findlay said the protocol for an officer-involved shooting had been initiated, and the two officers involved were put on administrative leave during the investigation. Weber County deputies and a SWAT team were dispatched to the Flying J near 1900 S. 1100 West around 11:40 a.m. after Kristopher Chase Simmons, 35, barricaded himself inside. Police officers were attempting to arrest him when ran into the auto body shop, Weber County Sheriff's Sgt. Lane Findlay said. It was reported that a woman was barricaded with Simmons, but when SWAT went in, Simmons was the only person found.

“There was initial information of a female being inside the building. She has yet to be identified and her involvement is unknown at this time,” Findlay said. The owner of the building was safely evacuated when the standoff began, Findlay said. Officers didn't fear for the safety of nearby businesses, including a busy Flying J truck stop next door, but crews attempting to reach another auto body shop at the end of the dead-end street were not allowed to pass until the standoff ended. Simmons was wanted on outstanding warrants, which included felony warrants for drug possession and evading police, Findlay said. A search of court records revealed Simmons was found guilty of felony charges in Weber and Davis counties for failure to stop for officers, attempted forgery, drug possession and unlawful possession of a transaction card, as well as misdemeanors for theft, drug use, possession of drug paraphernalia and giving false personal information to a police officer.

www.autobodynews.com CHECK IT OUT!

Maita SUBARU • Delivery to Greater Sacramento and Reno/Tahoe Areas • Highly experienced parts personnel • No order too big or too small • Largest late model inventory in the area • Absolute best prices

www.maitasubaru.com

Call us Today!

877.484.4870 916.484.4876 Fax: 916.484.4878 Hours: M-F 7:30 am - 5:30 pm 2410 Auburn Blvd. - Sacramento, CA 95821 www.autobodynews.com | JULY 2014 AUTOBODY NEWS 13

Massachusetts ADALB Issues Positive Advisory Ruling on Use of Digital Images in Appraisals Autobody News previously reported on the controversial use of digital images in appraisals in Connecticut (ABAC Legal Counselor Objects to Use of Camera Phone Photos for Estimates in June 2014 issue.) The concerns have also caught the attention of Massachusetts’ Commonwealth’s Auto Damage Appraiser Licensing Board (ADALB) which made an advisory ruling on May 20th stating that using “quality video or digital images” to prepare an appraisal satisfies its regulations. The Massachusetts ADALB approved Advisory Ruling 2014-01 by majority vote at a board meeting. It seeks to clarify the use video or digital imaging technology to settle claims. The adopted ruling states: The Auto Damage Appraiser Licensing Board has passed a motion agreeing that an appraisal conducted by a licensed appraiser via review of quality video or digital images with documentation meets the requirements of 212 CMR 2.04(1)(d) “The appraiser shall personally inspect the damaged motor vehicle and shall rely primarily on that per-

sonal inspection in making that appraisal....” “This Advisory Ruling shall be effective upon posting on the Auto Damage Appraiser Licensing Boardpublic website. Failure to comply with this ruling could result in fines and penalties as provided for by law. The practice comes about when insurance companies allow their customers to file claims via a smart phone application. In March, for example, Esurance has announced it is offering real-time video appraisals for consumers using its mobile application. Allstate, State Farm and MetLife, are also asking their customers to submit camera phone pictures of the damage, and they are using these photos to write their estimates. In Connecticut, Attorney John Parese, who acts as legal counsel for the Auto Body Association of Connecticut (ABAC), said he believes “the growing trend of using camera phone pictures prior to getting a repair professional involved is illegal, unethical, and most importantly, harmful to consumers.” Because claims are being paid based on claimant-taken photos which

14 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

cannot possibly depict the full extent of damages, Parese sees this practice as “a fundamental misrepresentation of policy or third-party rights and benefits... “Insurers have a legal and often fiduciary responsibility to make fair and complete payments for covered losses. This system is plainly designed to save insurers money on its own labor costs (ie. less paid appraisers) and on the amount it ultimately pays on claims (ie. calculated underpayment of claims). These savings come at the expense of consumer safety and complete reimbursement,” writes Parese. In Massachusetts the appraisal process explicitly requires personal inspection and 212 CMR 2.04 details the procedures for conducting appraisals. In Section D, Requirement of Personal Inspection and Photographs the regulation states: “The appraiser shall personally inspect the damaged motor vehicle and shall rely primarily on that personal inspection in making the appraisal. As part of the inspection, the appraiser shall also photograph each of the damaged areas.”

This requirement is now in doubt given the ADALB ruling. Carl Garcia, owner of Carl’s Collision Center in Fall River, MA, and a member of the ADALB, told a media source that understanding how new technologies could improve the claim process is a key driver for the new ruling. Garcia has a radio show on 1480 WSAR where he fields consumer questions on collision repair. “Last year, attorneys at the Massachusetts Division of Insurance drafted a detailed, five-page opinion that basically said that a personal inspection was not a physical inspection so virtual technologies could be used under the existing regulation,” said Garcia. “In my view, the advisory ruling shows that we’re open to new technologies but we have to be sure they will benefit consumers and improve the claim process. This opinion moves us in the direction.” Garcia cautioned, however, that the requirement for documentation of how video or images were used to create the appraisal is an important See Photos in Appraisals, Page 18

The only Suzuki dealer in Arizona

Your Go-To Source for FIAT Parts

Bill Luke is a family owned and operated dealership in the valley since 1927.

480.496.8888

Parts Dept. Hours 8:00 a.m. - 5:00 p.m. M-F 8:00 a.m. - 2:00 p.m. Sat.

7799 South Autoplex Loop, Tempe, AZ • www.billlukesuzuki.com

602.336.1489 FX 602.336.1469

Parts Dept. Hours 8:00 a.m. - 5:00 p.m. M-F 8:00 a.m. - 2:00 p.m. Sat.

7833 S. Autoplex Loop, Tempe, AZ 85284 • www.billlukefiat.com www.autobodynews.com | JULY 2014 AUTOBODY NEWS 15

Continued from Cover

Aftermarket Parts Sellers

dees at the ABPA event that having grown up in her parent’s Baton Rouge business, Felder’s Collision Parts, she has a good understanding of the issues facing the non-OEM parts industry. “This industry hasn’t had a real friend in Congress,” Felder said. “For many of you who have been to the legislature, who’ve been up there trying to get some of these bills passed, fighting against some of the things that affect you, there aren’t a lot of real friends to the industry there, not a lot of people there who really understand this industry. And so it’s really important for you to pay attention to this race, and I’m asking for your support in this race.” One of the issues Felder mentioned she would go to Congress understanding is the “PARTS Act,” an ABPA-supported bill that would slash automaker design patent protection from 14 years to just 30 months. Felder also discussed the “devastating” impact that automaker parts price-matching programs have had on her parent’s business and others in the

non-OEM parts industry. She said she drafted the lawsuit that Felder’s Collision Parts filed in 2012 against General Motors, alleging that General Motor’s “Bump the Competition” price-matching program was an illegal predatory pricing scheme designed to drive nonOEM parts distributors out of business. (A U.S. District Court judge dismissed the case in April, but Felder’s Collision Parts has filed an appeal of that decision. See Autobody News June 2014 issue.) Felder asked ABPA members to support her campaign to represent Louisiana’s 6th Congressional District. She is seeking financial contributions (www.cassiefelder.com) both from individuals and through business political action committees. “Obviously there are a lot of issues that are going to be affecting my district,” Felder said. “But this industry has been so important to me and my family, that this was absolutely one of the industries I wanted to target.”

State Legislation Discussed State legislation related to non-OEM parts was also the focus of another presentation at the ABPA convention in Austin. Ray Colas, director of gov-

16 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

ernment affairs for LKQ Corporation, told the non-OEM parts suppliers that the body shop industry seems reinvigorated. “PartsTrader is something that has motivated them, not only through legislation but also litigation,” Colas said. “With that momentum, they’re throwing us under the bus as well.” In the past, Colas said, most of the legislative challenges to aftermarket parts came from automakers. “But the body shops have really taken it over,” he said. “Now the automakers are supporting the body shop association initiatives.” Colas talked about a number of bills his company successfully lobbied against, including one introduced in Maryland last year that would have prohibited the manufacture, sale or installation of a counterfeit or substandard airbag. “Some of you may wonder: Why are we concerned about airbags? There are no aftermarket airbags,” Colas said. “Well, that’s true today. That doesn’t mean that in the future they may not exist. So we want to protect that market today in case in the future there is an opportunity for that. We don’t want to be restricted from

selling any alternative part.” Colas said after a “long, drawnout fight” and “a very, very close call,” aftermarket parts supporters were able to convince Maryland lawmakers this year not to pass a bill that would require insurers to pay for new OEM parts for repairs to vehicles manufactured within the previous three years. “Jordan Hendler (executive director of the Washington Metropolitan Auto Body Association, which backed the Maryland legislation) has done a great job educating these legislators, meeting with them year after year,” Colas said. “It’s something we really want to keep an eye on.” A lawmaker in Iowa also needed to be “re-educated” about the aftermarket parts industry, Colas said, after he introduced at the behest of body shops a bill that included a provision similar to the one in Maryland. Colas said that lawmaker’s district includes an LKQ facility. “We got there and told him, ‘Hey, you’re really going to affect our business,’ ” Colas said. “This is how many jobs we have in your district.” Colas said the Iowa bill also included provisions prohibiting an insurer from recommending a shop without

also telling the customer they aren’t required to use a recommended shop, and from requiring a shop “to use a specific vendor or process for the procurement of parts or other materials.” Colas said those provisions will likely be included in a future piece of legislation. “There will be a bill that’s reintroduced, but it will not include the aftermarket parts restriction,” Colas said.

PartsTrader addresses questions Ken Weiss, director of business development for PartsTrader, also spoke at the ABPA convention, just days after his company completed national roll-out of its system, now reportedly used by more than 7,500 body shops and 8.500 parts suppliers. Weiss said that by the end of this past April, parts lists from more than 700,000 estimates had been put out for quote through PartsTrader, and more than 1.25 million orders totaling more than $450 million had been placed through the system. Weiss said although State Farm “is a little bit restrictive with regard to aftermarket parts,” he expects nonOEM parts orders through the system to increase as shops use PartsTrader for non-State Farm jobs.

He cited a number of benefits that PartsTrader offers suppliers, including “increased sales opportunities and fewer parts returns.” However not everyone at the ABPA convention agreed with Weiss on this last point. “We have not noticed a lower return rate on (parts ordered through) Ken Weiss PartsTrader versus phone calls versus faxes versus anything,” Bob Petty of Collins Collision Products in Loveland, CO, told Weiss. “Our return rate is higher than it’s ever been in the history of the company.” Petty also asked if returned parts are taken into account in the fees PartsTrader charges to suppliers, which are based on average monthly sales. Weiss said they are, provided that parts purchased through the PartsTrader system are also returned though the system.

“We all know the games today where repairers will buy multiple parts, sometimes just to get a receipt that they can show somebody else, and then return the part,” Weiss said. “With the PartsTrader system, you can only buy a part once unless you return it. Then you can buy the part again from another supplier. So we think that will avoid some of the games and will help bring down the returns.” Weiss was asked if there’s a way for a shop to bypass the system to return a part. “Only if you let them,” Weiss told the parts distributors. “If they want to return a part, you need to tell them, ‘You bought this through PartsTrader; you need to return it through the system,’ so you get credit for the return.’ If they don’t want to return it through the system, then, I hate to say it, but they are probably up to no good.”

Free Twice Monthly Newsletter at www.autobodynews.com

Indicted Senator Leland Yee in 3rd place for Scry. of State

Charges of corruption and gun-running conspiracy notwithstanding, almost a tenth of California voters thought suspended state Sen. Leland Yee should become secretary of state. “Under the Constitution, the Secretary of State’s job is to empower Californians to govern California, to guarantee fair elections, expose special interests, and prevent corruption,” Yee wrote.

‘No’ to Sick Leave Proposal Says Shop Owner in Oregon

The idea upset Eugene business owner Patty McConnell so much that last month she fired off a critical email to Mayor Kitty Piercy. McConnell, owner of a Eugene auto body shop, told Piercy that she was angry over the City Council’s interest in requiring employers to provide paid sick leave, without first consulting business owners. “It isn’t that I’m not sympathetic to the need for sick leave. It’s that they didn’t talk to us first to see how it would impact us and our bottom lines,” McConnell said in an interview. “To have them railroad this over us is very disappointing.”

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 17

John Borek Takes Aggressive Action, Files Trespassing Complaints Against Argumentative Appraisers by Alicia Basteri

John Borek, general manager of Autocraft Bodywerks Inc. in Austin, TX, has resorted to filing four criminal trespassing complaints against insurance appraisers. On average, about four insurance appraisers come into his shop every day. Occasionally, an appraiser will find fault with the logic behind certain repair estimates. Borek said that he usually John Borek points out the manufacturer’s specifications when this happens and prints them out for the appraiser on the spot, which tends to mollify their concerns. However, he sometimes gets an appraiser who still wants to argue. According to Borek, most of the appraisers who want to argue are young and have never worked on a car in their life. Having worked on cars for over 30 years himself, this can be frustrating, to say the least—not to

mention a waste of time. So, when he gets a particularly argumentative appraiser, he calls his manager after the third incidence. If it happens again, he files a criminal trespassing charge. Once the appraiser has been served papers, he’s not allowed on the property. If he violates the order, he could be arrested and fined. Borek hasn’t had to have an appraiser arrested, although he said they did serve papers to the wrong guy once—a father with the same name as the son who worked at the same insurance company. Now, it costs money to file a criminal trespassing charge, he has to hire a lawyer, etc. This isn’t something that he wants to do—it’s a last resort. And it’s a last resort that he’s only implemented four times in 30 years. This strategy has worked for them. Borek told Autobody News that he has received calls from body shop employees all over the country saying that they ‘wished they’d thought of that, way to go, etc.’ Maybe his self-proclaimed out-of-box thinking is setting precedents in the industry.

Continued from Page 14

Photos in Appraisals

part of the ruling. “Quality video and images along with documentation is important. The capabilities of smart phone can vary impacting the photos they take,” said Garcia. “Anyone using the technology should thoroughly document how any technology was used and how it supports the appraisal.” Rick Starbard, owner of Rick’s Auto Collision in Revere, MA, and a past-president of both the Alliance of Automotive Service Providers of Massachusetts (AASP-MA) as well as the National AASP organization, is concerned that the ruling might open the door to increased steering by insurance companies in the Commonwealth and create problems for consumers. “I take a ton of photos in my business and I still find that I often

need to go back out and look at the vehicle,” said Starbard. “I’m also concerned that this could make it easier for an insurance company to steer work or just use the shop as their drive in facility. Now an insurer will just say ‘Take the car to this shop and they can shoot some photos and send them to us’ to get the car to the shop they want.” According to Starbard, AASPMA will focus on working with the Massachusetts Division of Insurance to revise the regulation to clearly define what is allowed. “Having this ruling when they are going to need to make a regulatory change does not make sense,” said Starbard. “I’m concerned that insurers will use this ruling to justify using a couple of smart phone pictures from consumers to settle the claim. The ruling leaves a lot open to interpretation that needs to be addressed in the regulation.”

Give us your opinion on matters affecting the industry.

write us! publisher@autobodynews.com

Quality Air Breathing Systems

The Radiator and Condenser Headquarters for Collision Centers

MARTECH SERVICES

Radiators

A/C Condensers

C O M P A N Y

We’re serious about the air you breathe

NOW AVAILABLE:

Quality Air Breathing Systems designed to provide Grade “D” breathable air from an existing compressed air source, for a supplied air hood or mask. Belt Unit

$89500

Portable

$1,98500

Wall Mount

$1,58000

Single Line

$1,44500

Plus we offer a complete line of NIOSH Approved masks and hoods.

1-800-831-1525

www.breathingsystems.com “We’re serious about the air you breathe” 18 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Cooling Fan Assemblies! > Cindy Shillito, “The Radiator Girl”

» » » »

Free Daily Delivery by 30 Company Trucks Free California Overnight Shipping Four Los Angeles Warehouses Limited Lifetime Warranty on All Radiators & Condensers 10425 S. La Cienega Blvd. > Los Angeles, CA 90045

Mon-Fri 7:30 am 6:00 pm

Call our Cooling Specialists:

888.500.6557 Fax: 310.703.5752

www.completesplus.com

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 19

Southwest Associations with Chasidy Rae Sisk

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

New Auto Body Association of Texas Launches June 18, PartsTrader Provides Impetus, Statewide Members Invited to Join The newly formed Auto Body Association of Texas (ABAT) will be holding their Inaugural Meeting on June 18th at the Henderson Civic Center with guest speaker Barrett Smith, President and Founder of Auto Damage Experts Inc. Burl Richards, Acting President of ABAT, took some time to explain how the association is getting started and what they hope to achieve through its development. Several months ago, a local jobber, Chad Neal of Paint Works in Tyler TX, held an educational seminar on estimating which included a number of Eastern TX shop owners. Neal and Richards had previously discussed the need for a trade association in their area, but when Richards tried to organize an association meeting a year earlier, he garnered little interest and participation. Thus, when Neal held the estimating seminar earlier this year, they saw it as

the perfect opportunity to present their idea for a new association. Richards believes that a contributing factor to the positive reception they received this time around was “the fact that PartsTrader had begun to be implemented, and these local shops were truly Barrett Smith of beginning to see ADE will be the that we had better featured guest join together or the speaker at ABAT’s Inaugural Meeting insurance compaon June 18 nies were going to continue to control more and more of our businesses… [Neal and I] basically capitalized on the opportunity that presented itself with shops from all over East Texas being present.” For the past three months, Richards has been working with his local attorney to set up the Corporate

20 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Filings for the new association, yet a handful of shop owners have contributed to organizing ABAT. “This would not be happening if not for the enthusiasm and excitement shared throughout our region. Everyone has been more than willing to assist and contribute when asked. It’s really been more about spreading the word, and once others hear about what is happening, they know that they are not alone and begin to realize that together we can truly take back our business for the best interest of our customers and the industry as a whole,” Richards states. Richards and those involved with organizing ABAT are also grateful to John Mosley of Clinton Body Shop and Doug White of Capitol Auto Body for donating their personal time and funds to travel from MS to TX to address shops about the benefits of an organized auto body association in a second meeting held to gauge interest

in ABAT. According to Richards, “their presence, being from an outside area, really motivated others to get involved.” Though ABAT was originally going to be called the East Texas Auto Body Association, they were unable to obtain the name, opting instead for ABAT which Richards feels “was just meant to be… [it has been] fitting as we have received interest from shops and vendors throughout the state. We welcome members from all over Texas.” While ABAT is still in development, Richards notes that their main goal thus far is to “take back our shops. We repair vehicles, and insurance companies sell insurance; it’s that simple! Who knows better and is more qualified to make these repairs than us? We work for the customer, so it is our responsibility to properly repair and restore their vehicle to pre-accident condition.”

ABAT will also strive to provide more education, both from a technical standpoint and as it pertains to shops’ rights without solely relying on what insurers mandate. Along with that, ABAT plans to investigate legislation that will promote beneficial change for the consumer, rather than the insurance companies whose focus is on saving money. Richards add, “we will address more concerns legislatively as we progress as an association and begin identifying specific issues. For example, profit margins have decreased over the years, and we must become more profitable in order to provide the training and equipment necessary to perform repairs to the ever-changing technological advancements on today’s vehicles – and that can honestly be accomplished by being compensated for all repairs and processes that must be performed (not just the hand-picked operations that insurers want to pay for).” Since their initial meeting early this year, Richards has been very pleased with the number of repair professionals who have expressed interest in ABAT. “The response that we have received has been more than I could have imagined. Going back to

just six months ago, I felt like I was on an island by myself, and now I have more faith and excitement about the future of our industry than ever. We will put the customer first, and everything else will take care of itself; good things are about to happen!” Smith also took time to speak about the upcoming meeting, and he is excited to speak at ABAT’s meeting with the “intent to generate excitement and to enlighten and edify Texas repairers in several areas.” Smith plans to discuss three main topics, including Federal Antitrust Laws, Procedures and Labor Rate Surveys. To begin with, he explains that o Federal Antitrust Laws “are fairly simple, yet often misunderstood, and have been used in the past to stifle conversation between repairers out of fear of punishment. I will be giving a layman’s overview of the true nature of the laws, why they exist and how to avoid breaching them regarding what can and cannot be discussed. Federal antitrust laws exist to promote and protect competition. They are to govern the activities of businesses in our country and are designed to be safeguards against activities that may be harmful to the consumer, business

competition and the economy.” “Procedures are also an important topic because many required repair processes and necessary materials go unpaid, and these overlooked and often omitted processes and create significant liability issues for the repairer that need not occur.” Smith plans to highlight these important aspects of the business operation and how to avoid these unnecessary liabilities. He will also be introducing the Variable Rate Survey (VRS) program offered by the National AutoBody Research, Inc. which “provides a viable and labor rate survey to show repairers, consumers and insurers the range of labor rates based upon the individual rates and allowances of participating repairers in a given area. Ranges of labor rates from an area comprised of repairers within mere miles to participating repairers across the country. The VRS not only provides participants the labor rates of repairers within various markets, the program shows them in real-time and can change based upon a repairer’s change in rates, training, certifications, equipment and such. This defeats those socalled surveys which lump all repairers together and provides the

same labor rates for the best of the worst to the worst of the best!” As the President and Founder of Auto Damage Experts, Inc., Smith believes that one of the most valuable services his company offers is Repairer Consulting and Coaching for those who offer high quality workmanship and services. He states, “regardless of their size, all ADE consulting/coaching clients have the same fundamental characteristics in common: integrity and the courage and conviction to do the right thing for the right reasons. What we do is to help them to step outside the box that is often built around them by ‘interested third-parties’ and to see things in a more common sensical and pragmatic manner. This enables them to modify their business acumen and methods of conducting business which is found to be much more profitable and enjoyable.” Smith hopes to share his experience in this area at ABAT’s meeting in order to aid this developing association and its members.

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 21

Rhode Island Bills Under Consideration Affect Airbags, Two-tiered Body Shops, Aftermarket Parts By Rhode Island standards, this year’s entry in the automobile insurers versus repair shops category is a minimalist one. Nonetheless, a series of bills in ongoing tug-of-war between the auto body and insurance industries in Rhode Island are ongoing and were heard by the Rhode Island Senate Committee on Judiciary June 5. The bills are co-sponsored by North Providence Sen. Dominick Ruggerio, majority leader from District 4. Corresponding bills from North Providence Rep. Arthur Corvese have also been referred to committee in the House. The following are some of the bills up for consideration: ● S2833 prohibits insurance companies from mandating use of used or remanufactured airbags or suspension parts. It would prohibit insurance companies from requiring the use of used or remanufactured airbags and/or suspension parts when vehicle repairs are made by an auto body shop. ● S2834 establishes a two-tiered licensing system for body shops. It creates two distinct license classifications and labor rate surveys for auto body

repair shop facilities, basically meaning different pay for different shops. ● S2835 extends regulations on aftermarket auto body replacement parts to any automobile replacement part. It amends the definition of the term “aftermarket part” to refer to all motor vehicle replacement parts. ● Another would eliminate the process that allows filings by casualty insurers seeking rate increases or decreases of not more than 5 percent to become effective when filed, essentially taking away the ability of insurers to increase rates without a hearing, according to Jina Petrarca-Karampetsos, spokeswoman for the Auto Body Association of Rhode Island (ABARI) and daughter of Providence Auto Body owner John Petrarca. ABARI is backing the license classification bill, the aftermarket parts bill, and the insurance notice bill as “good consumer” pieces of legislation, said Petrarca-Karampetsos. She told The Breeze that ABARI members are “as confident as we always are” that state lawmakers will wonce again “support the consumer” as they’ve done historically.

The Property Casualty Insurers Association of America is opposing all four above pieces of legislation, calling them “bad bills” that will take more money from average Rhode Islanders. Ruggerio and Corvese have declined to discuss any of their bills with media. Frank O’Brien, vice president of state government relations with the Property Casualty Insurers Association of America, said the continued campaign by Ruggerio and and Corvese—lawmakers he says have supported a combined 17 bills supported by ABARI over the past decade—is having a cumulative negative impact on consumers, helping to cause some of the highest insurance rates in the country to balloon further. The insurance notice bill on June 5’s docket is unique in that it doesn’t relate to auto body issues, said O’Brien, but is “more related to sour grapes.” Rhode Island is one of 14 states that has a “flex-rating” statute in place allowing an expedited rate filing process for insurers if the size of the increase is 5 percent or less.

According to O’Brien, less than 10 percent of rate filings actually take advantage of the statute. Having the statute in place has actually resulted in lower rate increases, said O’Brien. Without it, insurers may be reluctant to change their rates in response to competition. The National Association of Mutual Insurance Companies issued the following news release: The National Association of Mutual Insurance Companies provided testimony to the Senate Judiciary Committee opposing S. 2834 that would create a dual licensing classification system for auto collision repair shops. “The legislation is totally unnecessary,” said John Murphy, NAMIC’s state affairs director for the Northeast. “If the auto body repair industry wants to create a classification system, it can do so without involving the Legislature in its marketing strategies.” According to Murphy, the Legislature has appropriately identified the minimum standards that all auto collision repair shops should meet in See RI Body Shop Bills, Page 35

Original BMW Parts

bmwusa.com

Dedicated Wholesale Staff Prompt & Dependable Delivery Knowledgeable and Enthusiastic Parts Team ORIGINAL BMW PARTS & ACCESSORIES BMW Trained Parts Advisors Competitive Wholesale Prices Large Inventory Of Original OEM Parts

Bob Smith BMW Hours: M-F 7am-6pm; Sat 8am-5pm 24500 Calabasas Rd. Calabasas, CA 91302

www.bobsmithbmw.com

818.346.3144 Parts Fax: 818.340.9455

Toll Free:

22 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

BOB SMITH MINI

Original MINI Parts

818-346-3144 Toll Free 818-340-9455 Fax BOBSMITHMINI.COM Hours: M-F 7am-6pm; Sat 8am-5pm 24500 Calabasas Rd. • Calabasas CA 91302 ©2013 MINI, a division of BMW of North America, LLC. The MINI name, model names and logo are registered trademarks.

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 23

Southwest Associations

LaCIA Hosted Louisiana Attorney General at May 22 Meeting with Chasidy Rae Sisk

On Thursday, May 22, the Louisiana scribe the meeting. Mr. Caldwell and Collision Industry Association (LaCIA) four other attorneys are now working held a meeting at the Hilton Garden Inn non-stop on our issues.” The meeting began with Chairman to update members on the direction the association is taking and their upcoming Lynn Lejeune welcoming attendees and leading the group in prayer, followed by plans. Featured speakers included Attorney General Buddy Caldwell and his assistant AG, Randy Ishee, who updated attendees on their efforts. Executive Director Alysia Hanks notes, “overall, the meeting and turnout was excellent, and I think the Attorney General is on top of things! He was present with some of his other attorneys who are working on our issues, and they had some Executive Director Alysia Hanks (l) with Attny General great updates to share with us. Buddy Caldwell (m) and Randy Ishee (r) from the LA I don’t think I’m alone when I Dept of Justice say this, but Mr. Caldwell very much Vice Chairman Derek Stubbs who inexceeded my expectations with what he troduced LaCIA’s Board of Directors and his staff of lawyers have accomand discussed some of the association’s plished so far. I heard the comment goals and accomplishments. ‘blown away’ when I asked others to deWhen Caldwell was introduced,

Paints, Materials & Supplies rving Body Shops PBE Distributor Se motive Paints with the Best Auto lies since 1933 and Body Shop Supp • Technical Service Specialists trained by BASF in Glasurit and R-M paint systems. • Colortone is an Authorized ColorSource Distributor for BASF Products

Colortone Automotive Paints 2420 Ripple Street, Los Angeles, CA 90039

www.colortonepaints.com

(323) 661-1181 (323) 661-1103

Fax

(323) 660-1823

LIMCO ONYX

SUPREME

90 L i n e

24 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

he assured the group that he and his team are working diligently on resolving the collision repair industry’s issues, and he provided an update on their progress thus far. Because State Farm is the largest insurance company in LA and all other insurers follow their lead, he first set his sights on this insurance giant, learning that they did put up the money for PartsTrader. His office has also begun a Civil Investigation Demand where the Attorney General orders the insurance companies to produce documents which they would not ordinarily produce in a regular deposition, such as surveys and internal policies; he also pointed out his finding that insurers aren’t even attempting to hide the fact that they are steering their customers to DRP facilities! Although his office is still in the discovery stages of the process, the Attorney General’s influence in itself is beneficial to legislative initiatives since politicians are less apt to ignore

their pleas for help. They also plan to produce some ad campaigns to advise consumers to read their insurance policies and encourage them to understand their rights during the repair process. Attorney Stacy noted that the Attorney General’s office may also look into possible tax evasion on the part of the insurance companies. Despite this progress, Hanks cautions “it will take a while to get this situation we find ourselves in today resolved, or even to see any movement on it. We did not get into this situation overnight, and it won’t go away that fast either. We need to have patience.” Next, Ishee updated attendees on several matters, beginning with the fact that he cannot comprehend why any repair facility would willingly join a DRP since he can find nothing in those agreements that benefits the shops whatsoever; his feelings about PartsTrader are the same. He noted that by signing those agreements, it

was like relinquishing ownership of the shop to the insurance company. Furthermore, Ishee emphasized that the repair professionals are responsible for properly fixing their customers’ vehicles, plus if a shop has a signed work authorization from the customer and the insurer sends their vehicle to another facility, that is a breach of contract for which they can be sued.

what their main objectives were, and that was to attempt to get rid of DRPs, to get things changed through legislation, and to make sure everyone knows the law on both sides. They want insurers to stick to what they do, which is writing policies, and let the body shops do what they do, which is fixing cars. They believe the insurers shouldn’t have their hands in our businesses.”

LaCIA’s Board of Directors meet with their guests (l to r): Chris Medine, Randy McLachlin, Alysia Hanks, Derek Stubbs, AG Buddy Caldwell, Lynn Lejuene, Asst. AG Randy Ishee & Pat Graham

The Louisiana Attorney General’s office is working with several other Attorney Generals throughout the South, and they have also reached out to their state’s Insurance Commissioner’s office to inform them that they will be pursuing State Farm, with or without the Commissioner’s support. Hanks recalls, “they wanted to make it clear

After the Attorney General’s presentation concluded, several additional speakers provided updates on some industry trends. Abel Cantrell of Advantage Collision Center in Houma LA spoke about who really owns your shop, you or the insurance company, and he also distributed instructions on “How to Use Twitter” so no one has an

excuse not to get connected to other shops. Ray Gunder of Gunder’s Auto Repair in Lakeland FL discussed how insurers pushed him to the edge and why he started suing them to get things done, nothing he has not lost a case because “right is right!” Next, Mike Parker of Parker Auto Body in West Monroe LA shared the measures he has taken to maintain control of his business which includes installing video and audio surveillance in and around his shop as well as a module to record every call made to or from his business. LaCIA’s Board of Directors is very grateful to all of their guests who spoke at the meeting. Vice Chairman Derek Stubbs stated “we have to be excited about the turnout and have to keep the momentum we are establishing going in a positive direction and not let it slip away.” Board member Pat Graham believes the Attorney General and his staff “had a very positive vibe that I think was felt by everyone.” All in all, Hanks believes the meeting “was an incredible success! We are taking back the industry ladies and gentlemen!”

LaCIA will hold their next meeting on July 8 in Lafayette. www.la-cia.com

Farmers Drops Climate Change Lawsuits in Chicago

Farmers Insurance Group has dropped lawsuits against 200 Chicago-area communities, reports the Chicago Tribune. The insurer claimed the communities did not do enough to prevent widespread flooding in the areas in April 2013. The class-action suits sought to make the local governments reimburse Farmers for claims it paid out to more than 600 property owners in the communities. The insurer argued that public agencies should have taken more preventative measures to avert damage caused by the record-breaking floods, such as emptying reservoirs before the rains hit, says the Tribune. But now, less than two months after the suit was filed, Farmers has withdrawn it. “We believe our lawsuit brought important issues to the attention of the respective cities and counties, and that our policyholders’ interestes will be protected by the local governments going forward,” says Trent Frager, a spokesperson for Farmers, in a statement. Frager says the company does not intend to refile the suits, says the Tribune.

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 25

Continued from Cover

Path out of Prison

become an incubator for heating, ventilation and air-conditioning, or HVAC, certification courses and training in auto body maintenance, building maintenance and computer literacy. “Auto body is another one. That will give them a trade that they can go out there, work and get a viable living.” Harriet Salarno, whose daughter was murdered at University of the Pacific in Stockton on Sept. 3, 1979, is the chairwoman of Crime Victims United of California. In an interview, Salarno said all California prisons should have vocational training like the programs at DVI. “You can’t open the door and let them out and they can’t get a job,” Salarno said. “If they don’t have a job, they’re going to go back to their lifestyle.” That lifestyle, according to Price, regularly includes an average fourthgrade education level among prisoners, lack of motivation to work and exposure to other criminals. “We’re trying to provide them literacy, the ability to get jobs when they get out, education,” Price said. “We try to establish a work ethic that, regardless of where they are, when they leave they can go out and

get a job and have some of those skills that we develop here in the institution.” Price and Salarno both said that rehabilitation must be part of the prison experience. “Our biggest challenge is the culture change. Trying to get them to understand that if you apply yourself in education and learn to read and write, it opens up a world of opportunities for you,” the warden said. Price said everyone at DVI is committed to serving the community of Tracy and the state at large. The day of Price’s interview, DVI housed 2,677 prisoners. He hopes vocational training will change the outcomes for criminals paroled back into the community around the prison. “I’ve got 27 years in the department and I even used to be a counselor. In talking with (prisoners who came back), they said, ‘Man, we can’t get a job because we’re ex-felons,’” Price said. “In our rehabilitation program, we’re trying to establish that — have a good work ethic, respect your elders and your neighbors. Tolerate the different ethnic groups, because we have them all out there in the community.” Price added, “DVI used to have some serious vocational programs. It was important for me to get it back online,” Price said. “We’re doing a good job out here at DVI. And we’re passionate about it.”

Allow us to re-introduce ourselves. We’re a Volkswagen Signature dealer.

Collision Parts

Service King Collision Repair Centers Finalizes Sterling Collision Centers Acquisition Service King Collision Repair Centers has announced that it has finalized the acquisition of Sterling Collision Centers. Service King now operates 175 locations across 20 states. The company says that the acquisition supports Service King’s robust growth strategy and further strengthens its position as the premier provider of high-quality collision repair backed with exceptional customer service. “Acquiring a company like Sterling Collision Centers is about more than expanding our network with bricks and mortar. The strength of our organization lies within our people and we are extremely excited to welcome the very talented Sterling team to the Service King family,” said Chris Abraham, CEO of Service King. “Service King has offered consumers a superior collision repair experience for more than 38 years and we are well positioned to grow that legacy with what I believe is the most capable and experienced team in the industry.” Sterling’s 62 locations will begin operating as Service King immediately and the rebranding of Sterling

stores across the country commences June 3, 2014. “Service King has built a strong reputation in the communities where we do business. We recognize that collision repair is not just about the car, but it’s about the care and the lives we touch every day. This acquisition allows us to expand our footprint and offer more consumers an unparalleled, personal repair experience,” said Jeff McFadden, President of Service King. Service King now employs more than 3,800 technicians and support team members and offers collision repair services in the following states: Arizona, Arkansas, California, Colorado, Georgia, Florida, Illinois, Maryland, Michigan, Mississippi, Nevada, New York, Ohio, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Utah and Virginia. For a full list of locations by city and state or any additional information on Service King, visit: www.serviceking.com.

www.autobodynews.com CHECK IT OUT!

• Dedicated Wholesale Staff with Over 100 Years Experience • Large Inventory

Keep it genuine. Keep it safe.

Meeting your needs. Exceeding your expectations. Our commitment to you:

· Emailed or faxed orders acknowledged within 10 minutes · Order confirmation with agreed delivery time · A quick and easy ordering experience · Telephone answered within three rings · The best inventory of VW Partss · Fast and accurate delivery

• Daily Local Deliveries

Parts 800-952-5307 Direct 916-405-4700 Fax 916-405-8045 Hours: Mon-Fri 7-7 • Sat 7-5

Place your order today! South Bay Volkswagen Phone: 619.336.4030 Fax: 619.477.6750

Parts Hours: M-F 7:30am - 6pm Sat 8am - 4pm

b.rundel@southbayvolkswagen.com

26 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

9640 W. Stockton Blvd. • Elk Grove, CA 95757

WHEN IT ABSOLUTELY POSITIVELY MUST BE DELIVERED ON TIME. Call

OF DOWNTOWN LA

TEL: 213-748-4624 FAX: 213-222-1278 Service Hours: Mon - Fri 7:30am - 6:30pm / Sat 8am - 4pm

1900 S. Figueroa St. • Los Angeles, CA 90007

www.porschedowntownla.com

• Best Delivery Service (Twice Daily) to LA County • 8,000 Numbers in Stock • 750,000 Genuine VW Parts Inventory

VOLKSWAGEN l l Ca OF DOWNTOWN L.A. TEL: 213-747-7246 • 213-747-7247 FAX: 213-222-1272 Service Hours: Mon - Fri 7:30am - 6:30pm / Sat 8am - 4pm Parts Manager: Carlos L.

1900 S. Figueroa St. • Los Angeles, CA 90007

www.vwdowntownla.com

Audi Genuine Parts For a fit that will impress. Best Delivery Service (Twice Daily) to LA County $750,000 in Audi Genuine Parts Inventory $8,000+ Parts in Stock

Audi of Downtown LA 1900 S. Figueroa St., Los Angeles, CA 90007 Tel: (213) 747-7248 Fax: (213) 222-1261 Parts Manager: Fausto G. www.audiofdowntownla.com Service Hours: M–F, 7:30 – 6:30; Sat 8 - 4 www.autobodynews.com | JULY 2014 AUTOBODY NEWS 27

28 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Subscribers:

The Honda and Acura Dealers Listed Here are HO N DA CA LI FO R N I A

AutoNation Honda Roseville R os ev ille

800-262-3201 916-783-5628 Dept. Hours: M-F 7:30-6; Sat 8-5:30 autonationhondaparts@hotmail.com

Avery Greene Honda Vall ejo

800-834-8886 707-551-3202 Dept. Hours: M-F 7:30-6; Sat 7:30-5 parts@averygreenemotors.com

CAL IFO RNIA

C ALIF OR N IA

AR IZONA

Honda of Hollywood

Robertson Honda

H o l l y wo o d

No r th Ho ll ywoo d

Chan d ler

800-371-3719 323-466-3205

800-508-3894 818-301-3511

800-765-1353 480-285-2804

Dept. Hours: M-F 7:30-6; Sat 8-5 parts@hondaofhollywood.com

Dept. Hours: M-F 7-6; Sat 8-5

Dept. Hours: M-F 7-5:30; Sat 7-5 wholesaleparts@santanhonda.com

Honda of Oakland O a k l a nd

San Francisco Honda S an F ra nc i sco

AutoNation Honda

Chapman Honda Tu cs on

415-913-5125

Dept. Hours: M-F 7-8; Sat 7-6

Dept. Hours: M-F 8-5:30 partsws@sfhonda.com

800-461-6744 520-202-5770

Kolbe Honda

Selma Honda

Dept. Hours: M-F 7-6; Sat 8-4 robertevenson@chapmantucson.com

510-547-8047

R e se d a

S el ma

800-735-1424 818-609-7441

800-717-3562 559-891-5111

661-396-4235

Dept. Hours: M-F 7:30-6; Sat 7:30-5 carparts@kolbehonda.com

Dept. Hours: M-F 7-6; Sat 7:30-4:30 hondapartsmgr@selmaautomall.com

800-571-7019 480-421-4860

Dept. Hours: M-F 8-5:30 bestchoice@barberhonda.com

Larry Hopkins Honda

University Honda

Dept. Hours: M-Sat 7-6 Jdodge@penskeautomotive.com

Barber Honda B ake r sf i el d

S u nn yva le

Davis

888-523-0698 805-584-6646

408-720-0221 408-736-2608

800-585-8648 530-758-8770

Dept. Hours: M-Sat 8-5 parts1@hopkinsdirect.com

Dept. Hours: M-Sat 8-6; Sun 8-5 dfortier@uhdavis.com

Dept. Hours: M-F 7-6; Sat 7:30-5 hondaparts@firstautogroup.com

Metro Honda

First Honda S im i Val le y

Galpin Honda Mi ssi on Hill s

M o nt cl a ir

800-446-5697 909-625-8960

N EVAD A

Findlay Honda

Dept. Hours: M-F 7-6; Sat 8-5 blemen@galpin.com

Dept. Hours: M-F 7:30-5:30; Sat 8-5 fsanchez@findlayauto.com

Ocean Honda

Findlay Honda Henderson

831-464-1800

Co r on a

Dept. Hours: M-F 7-6; Sat 8-4:30 mickw@oceanhondasantacruz.com

800-557-3652 951-734-9045 Dept. Hours: M-Sat 7-5 terry.love@pscauto.com

U TAH

Ken Garff Honda Ogden Og den

800-821-8797 801-627-6762 Dept. Hours: M-F 7:30-6 smiles@kengarff.com

L a s Ve ga s

Dept. Hours: M-F 7:30-5:30; Sat 7:30-4 wholesaleparts@metrohonda.com

Honda Cars of Corona

Tem pe

702-982-4260

800-GO GALPIN 818-778-2005

S a nt a C ruz

Tempe Honda

He nde r s on

888-234-4498 702-568-3531 Dept. Hours: M-F 7-6; Sat 8-5 fhhparts@findlayauto.com

For more collision info, go to: collision.honda.com airbagaware.honda.com crashrepairinfo.com

AC U RA CA LI FO R N I A

CAL IFO RNIA

N EVAD A

U TAH

Acura of Fremont

Cerritos Acura

Findlay Acura

Frem o n t

C e rr i t o s

He nde r s on

Salt Lake City

888-435-0504 510-431-2560

855-895-2678 562-207-0554

877-770-5873 702-982-4160

800-234-0875 801-323-0492

Dept. Hours: M-F 8-6; Sat 8-5 mike.ohare@acuraoffremont.com

Dept. Hours: M-F 7-7; Sat 7-6 srandall@browningautogroup.com

Dept. Hours: M-F 7-6; Sat 8-4 jmoore@findlayauto.com

Dept. Hours: M-F 7:30-6; Sat 8-5 rick@jodywilkinson.com

Acura of Pleasanton

Metro Acura

P lea s an t on

M o nt cl a ir

Acura of Peoria

800-446-5697 909-625-8960

Pe o r i a

888-985-6342 925-251-7126 Dept. Hours: M-F 7:30-6; Sat 8-6 mitch.cash@hendrickauto.com

Dept. Hours: M-F 7:30-5:30 wholesaleparts@metrohonda.com

AutoNation Acura of South Bay

Santa Monica Acura

To r ra n c e

866-332-4950 310-449-0064

310-784-8680 Dept. Hours: M-F 7-6; Sat 8-5 iwashitas@autonation.com

S a nt a M on ic a

Dept. Hours: M-F 7-7; Sat 8-6 Scott.p@santamonicaacura.com

AR IZON A

866-347-4507 623-792-2559 Dept. Hours: M-F 7-6; Sat 7-5 dcavanaugh@vtaig.com

Jody Wilkinson Acura

Mike Hale Acura Murray

800-292-4595 801-263-0202 Dept. Hours: M-F 7:30-6; Sat 7:30-5 pgoold@mikehale.com

Acura of Tempe Te mpe

866-455-6601 480-344-6703 Dept. Hours: M-F 7-6; Sat 8-5 acuraparts@acuraoftempe.com www.autobodynews.com | JULY 2014 AUTOBODY NEWS 29

Attorney and AASP-MN Lobbyist Kevin Walli is Minnesota’s Shop Champion by Ed Attanasio

Kevin Walli has been the lobbyist for the Alliance of Automotive Service Providers (AASP-MN) for the past 20 years. He is a shareholder in the law firm of Fryberger, Buchanan, Smith and Frederick in St. Paul, MN. We got in touch recently to discuss the recent history of legislation that has impacted the collision industry in Minnesota in the past five years.

Q: How did you become the lobbyist for the AASP-MN? KW: I’ve been representing the collision industry in Minnesota for 20 years now, after working in government affairs for many years prior to that. A friend of a friend knew someone at the AASP-MN and told me they were looking for some representation and more support at the Capitol. Over the years, we’ve been working hard to provide more balance between the interests of the collision industry and the insurance industry, because there’s an ongoing tug-of-war there obviously. I believe that there has been a constructive approach by the two industries to try and

communicate with one and other. So, what we’ve done for several years running is that we sit down usually a few times per year to air out our issues and sometimes there’s a response from the insurance companies that indicates Kevin Walli, Esq. that maybe we can has been the lobbyaddress some of ist for the Alliance these issues ourof Automotive Service Providers selves. But in other (AASP-MN) for the cases, we end up past 20 years, so saying let’s agree to he’s seen the ongodisagree and arm ing tug-of-war bewrestle it out at the tween shops and insurers from the Capitol. Capitol’s front row

Q: You’ve dealt with legislation regarding steering? KW: Yes, and we’ve had some success with legislation concerning steering. We’ve been able to find more clarity on the laws dealing with steering, so that we can understand what steering is and provide some direction in the law. The purpose of the language is obviously to protect con-

sumers from being steered and we’ve had some success with that. Steering has always been an issue and it still is in many ways, so we’ve developed legislation to address that. We sought language a few years ago to prevent an insured or claimant from being required to take their vehicle to a particular drive-in claims center and we were able to get that changed. We also added a section that restricts an insurer from specifying the use of particular vendors for the procurement of parts or other materials necessary to perform a satisfactory repair. Now this very issue is still being contested.

Q: There’s been a battle in Minnesota between the insurance companies and the body shops, because the insurers want the shops to use certain parts, products and management platforms, correct? KW: Yes, we had some legislation this year that we did not succeed with (House File 2690/Senate File 2542the Auto Repair Claims Processing Bill) that would have prevented insurance companies from dictating certain business practices at repair shops. I

think there’s a sense with the body shop owners in Minnesota that there are more and more situations in which insurers are dictating what estimating systems and materials they should use. And we’re concerned that it’s a slippery slope where the insurance companies will take away the autonomy of the collision repair shop owner. We had some proposed legislation that would have restricted insurance companies from specifying or requiring that repair shops have to utilize specific vendors, manufacturers, suppliers, business platforms or internal processes and we got the bill introduced and some great authors for the bill both in the House and in the Senate. But ultimately, we couldn’t get movement for the bill on the Senate side. The Chairperson there (Senator Jim Metzen, who was also a co-author of the bill) was uncomfortable with the onslaught of input he received from the insurance industry. Some of what they had to say was legitimate, and some was not, but that’s not unusual. When we proposed the legislation and it was circulating at the Capitol, the insurance industry came

Original BMW Parts

bmwusa.com

MINI OF ESCONDIDO WHOLESALE PARTS Original BMW Parts & Accessories • Dedicated Wholesale Staff • Competitive Wholesale Prices • Prompt & Dependable Delivery

BMW of Escondido 330 S. Hale Ave Escondido, CA 92029 www.bmwofescondido.com

(800) 544.4269 M-F: 7am-6pm · Sat: 8am-4pm fernandoflores@bmwofescondido.com

30 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Original MINI Parts • Large Inventory of Genuine OEM Parts • Knowledgeable and Courteous Parts Team 800.544.4269 760.291.2878 Fax M-F: 7am-6pm · Sat: 8am-4pm darrinedwards@miniofescondido.com 1555 Auto Park Way · Escondido CA 92029 MINIOFESCONDIDO.COM ©2014 MINI, a division of BMW of North America, LLC. The MINI name, model names and logo are registered trademarks.

forward and said that they hadn’t heard of this bill. They said “Hey—we’ve had this practice for several years of discussing legislative proposals with the collision industry in advance of the Legislative Session.” They argued that they hadn’t had such a discussion on this proposal. In addition, this year’s Legislative Session was shorter with very tight deadlines for getting bills heard, so that also played a role in the death of the bill. But, we’re going to bring it back in a new form, after getting some valuable feedback from the insurance side. They said that we were trying to kill the DRP system, which was never our intention at all. So, we have to address that issue and re-work some of the language the next time around, so that it’s clear we’re not trying to change the fundamental relationship that exists between body shops and insurance companies. Q: I imagine you haven’t been supportive of programs like PartsTrader? KW: Exactly, because our concern has always been that if a body shop is required to use a particular parts vendor, the shop doesn’t have a relationship or

a history with that vendor. As a result, parts that aren’t appropriate for the vehicle can enter the picture, because the communication between the shop and the vendor is not present. Shops spend a lot of time and effort to developed business relationships with particular parts vendors and then all of this goes out the door when they are forced to work with someone else they don’t know anything about. In addition, we have had an ongoing dialog with the Department of Commerce regarding its enforcement and there is an investigation that’s open in this matter and the Department of Commerce is continually gathering information about how PartsTrader system is working or not. We were hoping that the statute would provide enough guidance for enforcement action. But now they’re gathering information and studying the marketplace and as an industry we’re trying to provide information for the Department of Commerce in this matter. Some time ago, we also added language to the same statute that “prohibits an insurer from unilaterally and arbitrarily disregarding a repair operation or cost identified by an estimating system…” This means, if you’re

using an estimating system that you and the insurance company have both agreed that it’s acceptable to use, then they can’t deny the repair operation and cost without some clear justification. This kind of shifts the burden to them and it’s now their responsibility to prove the repair practice should not be recognized.

Q: What other issues have you’ve tackled on behalf of the members of AASP-MN? KW: We had to deal with some tax provisions in recent years. There was a sales state tax on paint and supplies for shops when they were purchased at wholesale. But, we were able to shift the point of imposition on the tax from the wholesale to the retail level. That way, shops are able to pass that tax onto the consumer. The repair shops were eating that tax cost before. Most of the other states were already doing it this way and Minnesota was kind of an island in that regard, so the legislation was much-needed.

Capitol on occasion, where we meet with our members and give them an orientation of how things work at the State Capitol. Then, we ask them to talk with their Representatives and Senators and walk the halls to discuss the legislation we’re working on. The insurance industry is extremely wellrepresented and they have a lot very smart people working for them, both in-house people as well as consultants that they’ve retained. The sheer numbers can be rather daunting at times, to be honest. So having the shop owners converging at the Capitol and meeting with their Legislators puts a practical perspective on our issues--so it’s been a very positive thing. Plus, it helps me to do a better job for the AASP-MN, because after these Senators, for example, have met with one of their constituents, we can follow up to emphasize the point made by the shop owners.

Q: You have an annual Legislative Day where shop owners can meet with their legislators, right? KW: We’ve been doing a Day at the

@autobodynews Accept no Substitutes!

Great Service.

Great Prices. Riverside Nissan

Riverside Volkswagen Competitive Parts Pricing!

Direct Line:

951.509.2125 951.509.2123 Fax

8330 Indiana Ave., Riverside, CA 92504

Riverside Honda We Use Collision Link!

FREE DELIVERY TO MOST OF THE INLAND EMPIRE

Mention this ad for a free gift!

D Direct Line:

951.509.6550 9 9951.509.6523 Fax 8330 Indiana Ave., Riverside, CA 92504

Hours: Mon-Fri. 7-7; Sat. 8-5 8330 Indiana Ave., Riverside, CA 92504

Riverside Hyundai Genuine OEM Parts!

Qualified Staff!

GENUINE SERVICE & PARTS

Riverside Mazda Huge Inventory!

Direct Line:

951.509.6574

951.509.6577

8330 Indiana Ave., Riverside, CA 92504

951.509.6575 Fax

951.509.6578 Fax

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 31

CARSTAR Sees Record Revenue in 2013, Plans Expansion of HQ in Leawood, KS CARSTAR brought in a company record $641 million in revenue in 2013, an increase from its $603 million in revenue in 2012. CEO David Byers said the company's 2013 same-store sales were up by 17 percent from 2012 and Carstar added 45 more locations to its multishop operator network in the United States and Canada. Byers said the unusually poor winter weather, which lasted well into 2014, and the increasing complexity and cost of repairs to automobiles buoyed the company in 2013. He expects the company's strong same-store sales to drive the company to record revenue and store additions in 2014. “We expect to break the records from last year again in 2014,” Byers said. “Based on the fact that we're seeing that 17 percent same-store sales number, that's an indication that the business and the industry is performing extremely well and we have no reason to believe that that is going to subside in the second half of the year.” With increased revenue, Carstar is looking to add new senior staff. Byers said the company is recruiting a new chief information officer and a

new vice president of business development. It is also looking to add new technical resources at its new headquarters at the Pinnacle IV building in Leawood. It relocated from Overland Park in December 2013. Byers said Carstar chose to locate its call center in existing Canadian operation instead of building a new call center in the Kansas City area. Byers said the continuing consolidation of the collision repair industry positions his company well for long-term growth. Over the last decade, Byers said, the number of independently-owned collision repair centers dropped to 35,000 from 80,000. He said the flow of private equity money—Carstar is owned by San Francisco-based private equity management firm Champlain Capital Partners LP—encourages independent shops to sell or join a larger franchising company. “(Independent shops) have two choices: they can sell to one of the consolidators or ... they can join a franchise network like us. Those are really the only two choices they have,” Byers said. “We find we're in a very good growth position because, as the industry continues to contract and consolidate.”

IL Shop Owner Posts 20-min Video of FPB for Panel Fixes

CCAR and ShipMate Launch Improved HazmatU website

Russ Hoernis of Hoernis Auto Body in Belleville, IL, has created a 20-minute video and posted it on YouTube to demonstrate all of the steps in the feather, prime and block procedure that must be performed to bring a repair panel back to a new, undamaged one. “Feather, prime and block is a refinish operation that for years has been snubbed by the insurance industry as either an included operation in repair times, or they have just been unwilling to compensate shops for the work and materials utilized. I have researched the CCC, Audatex and Mitchell manuals, and each estimating system has independently stated that feather, prime and block is a necessary operation that must be performed to bring a repaired part back to a new, undamaged panel. Each manual also clearly states that published refinish times are for new, undamaged panels.” After documenting the entire operation, Hoernis goes over the labor and materials used and ultimately calculates that not getting paid for this results in roughly $50,000 per year in lost revenue to his shop. Hoernis concludes the video by saying, “I hope for whoever is watching that this clarifies some of the issues we are up against.”

CCAR, the Coordinating Committee for Automotive Repair, and ShipMate, Inc. announced the launch of their new website, www.hazmatu.org. This intuitive new site is specifically designed to be easier to use and easier to access for all HazMatU training and resources. CCAR provides tailored information and resources for OEM dealers, collision repair centers, schools and mechanical service centers. The new website communicates updated news, events and services to HazmatU customers in an easier, faster and more userfriendly layout. ShipMate, Inc. works with clients to help resolve their most demanding dangerous goods transportation, environmental management and safety issues. ShipMate provides creative ideas and cost effective solutions to resolve and manage their many compliance challenges.

www.autobodynews.com CHECK IT OUT!

Original BMW Parts

bmwusa.com

WHOLESALE PARTS Original BMW Parts & Accessories • Dedicated Wholesale Staff • Competitive Wholesale Prices • Exceptional Customer Service • Prompt & Dependable Delivery

Sonnen BMW 1599 East Francisco Blvd. San Rafael, CA 94901 32 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

415.482.2000 415.482.2024 Fax www.sonnenbmw.com

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 33

Social Media for Shops How to Market to Millennials

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

with Ed Attanasio

What exactly is a Millennial? Born between 1981 and 1996, Millennials are represented by 86 million people, which means they’ve trumped the Baby Boomer generation by seven percent. There are more 22-year-olds than 53-year-olds on the planet right now and by 2018 it is estimated that the Millennials will be outspending the Baby Boomers by a large margin. My stepdaughter is staying with us this summer, so I am getting a firsthand view of how these Millennials live. One thing I noticed is that they eat a lot and text a lot and ignore me with a passion. They’re also very in tune with all of the latest technology and social media and are extremely adept at rolling their eyes and saying things like “whatever” and “it is what it is.” Some find them to be entitled and downright rude, but no matter what your opinion of them is, Millennials are a very significant segment of the market, and that’s why any consumer

business should be at least remotely interested in what they’re up to. So, why should the collision industry care about this age group? Because they have money, they drive nice cars and just like everyone else—they get into accidents. After years of studying Millennials, marketers and ad agencies all over the world know full well that the Millennial generation isn’t just a bunch of entitled kids with smart phones snapping selfies and chasing down the latest Groupon deal. In fact, businesses that aren’t pursuing Millennials will soon be missing out on a major consumer opportunity from a generation with an expected $2.45 trillion annual spending power by 2015. Body shops should be marketing to Millennials right now, because they’re the consumers of the world’s, both today and tomorrow. The problem is that most owners of leading ad agencies and market-

ing/pr companies are in their 40s and 50s and they’re still trying to use techniques that worked back in the Madmen days. But, in order to cater to the Millennials, the powers-that-be have to re-invent themselves once again and devise ways to appeal to these 20somethings. I recently took a two-day seminar about social media and most of it was dedicated to advertising and marketing to Millennials. The class was taught by a Millennial, so the information was both pertinent and useful. More and more companies are recognizing the value of marketing to Millennials. By using these five tips to re-calibrate your marketing, public relations and advertising efforts, you’ll be able to tap into this increasingly powerful generation.

1. Don’t Talk Down to Them I was talking to a Millennial one day about a world without personal com-

puters or the Internet and he looked at me like I had just emerged from a cave. As the most educated and savvy consumer group in the world, Millennials know what they want and are very skilled at finding it all by themselves. Now, collision repair is obviously not an impulse buy and the Millennials will treat it as an unnecessary expense, like Obamacare or parking tickets. But, in the end they don’t like to be corralled into doing something, so branding and advertising to this group may be more important than ever. They’re not the type that is going to just blindly pick one body shop from the list their insurance company shows them. They will want to do their due diligence and ask around, as well as referring to the shop’s web site, Yelp page and other assorted social media.

2. Don’t Camouflage Your Message “Be real,” is something the Millenni-

866.381.7223

Fax: 408.356.8245 http://stores.ebay.com/Aston-Martin-Lamborghini-Bentley e-mail: parts@losgatosluxcars.com 620 Blossom Hill Rd. Los Gatos, CA 95032

34 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Business siness Hours: Monday - Friday, 8:00 am to 5:30 pm

als want to tell their parents and the new word I keep seeing everywhere is “transparency.” (Back in the old days, if you called somebody “transparent,” it meant they were not genuine, but now I guess it means exactly the opposite.) My stepdaughter has seen the media change and evolve and has been bombarded by literally millions of ads during her 20 years on the planet, so she can’t be fooled, cajoled or directed by advertising. The Millennials want the facts now and don’t want to sit through your long descriptions or veiled messages. Their time is limited and they’re juggling 1,500 things simultaneously and that’s why studies show that Millennials will value honesty and a straightforward approach when it comes to advertising.

3. Strengthen Your Presence Online Millennials are comfortable buying things online and that’s why brick and mortar businesses are moving toward the Internet more all the time. Unfortunately, you can’t get a fender bender repaired via the computer, but much of the groundwork can likely happen there. And that’s why it is important to have a good web site and

some presence on Facebook and Instagram, for example, because these Millennials care about it and may use one or more to make their buying decisions.

4. Millennials Communicate All the Time…with Each Other This generation is more connected than any group in history, because they have so many ways to do it. They also rarely live alone and have numerous roommates in many cases, so word-of-mouth (or text or video or photo bomb) is more valuable to advertisers who understand this. The old days of creating a “buzz” is always beneficial, but now it’s more concentrated and it all moves so much more quickly. Come up with a shorter, more concise message, so that the Millennials can grasp it fast and disseminate it to their friends and associates seamlessly. It’s called “going viral” and if you can get

achieve it, you’ll be a success—Millennially speaking.

5. Quality is Still King (or Queen) With today’s technology, bad service and poor quality can’t be swept under the carpet anymore. Anyone can find your competitors online within milliseconds and we all know that bad news travels faster than good news. Companies that take the time to provide convenient, Millennial-friendly services and quality products will be continually rewarded with positive recommendations, via the spoken word, smartphones or laptops. Either way, Millennials are demanding better service and higher quality while possessing the power to influence others, so listen to what they’re saying and start concentrating on this demographic more. Whether you’re enamored or not with their attitudes or behavior, they’re a huge market and you can’t deny it any longer.

Continued from Page 22

RI Body Shop Bills

order to protect consumers and shop workers. “Any bells and whistles beyond that should be left up to individual shops,” he said. Details of bills and amendments are available online: ● http://webserver.rilin.state.ri.us/ BillText/BillText14/SenateText14/ S2833.pdf. ● http://webserver.rilin.state.ri.us/ BillText/BillText14/SenateText14/ S2835.pdf. ● http://webserver.rilin.state.ri.us/ BillText/BillText14/SenateText14/ S2834.pdf. The NAMIC letter is available at: http://www.namic.org/pdf/14memberadvisory/140605_RIautoBodyRpr.pdf

Free Twice Monthly Newsletter at www.autobodynews.com

@autobodynews Accept no Substitutes!

• Exceptional Service • Full-time Experienced Wholesale Specialists • Ready to Serve You • Genuine OEM Tires Hours:

• Extensive Inventory • Free Delivery • Dedicated Wholesale Parts Staff • Genuine OEM Tires Hours:

Hours:

• Open Saturdays • Serving all of San Gabriel Valley for over 30 Years • 5 Delivery Trucks • Genuine OEM Tires Hours:

Mon.-Fri. 7am - 6pm; Sat. 8am - 4pm

• Wide Delivery Area • Competitive Pricing • Ready to Serve You • Genuine OEM Tires

Parts Dept.:

626-249-0032

800-245-8509

626-359-8291

800-320-9065

Fax: 626-932-5660

www.sierraauto.com

parts@sierracars.com

CHEVROLET 1450 South Shamrock Ave. Monrovia, California 91016

MAZDA 735 East Central Ave. Monrovia, California 91016

SUBARU 1450 South Shamrock Ave. Monrovia, California 91016

HONDA 1450 South Shamrock Ave. Monrovia, California 91016

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 35

Chrysler Airbag Recall Being Probed by Regulators The automaker says 6 fixed SUVs from 2012 recall had inadvertent airbag deployments. Chrysler Group may be facing a recall do-over after the fix it initiated to stop inadvertent airbag deployments in older Jeep Libertys and Grand Cherokees failed in at least six instances to fix the problem, says a report in Automotive News. The National Highway Traffic Safety Administration said in documents filed on Monday that it had opened a query into the 2012 recall 744,822 Jeep Liberty SUVs from model years 2002 and 2003, and Jeep Grand Cherokee SUVs from model years 2002 through 2004. NHTSA said it plans to study the effectiveness of the nearly 2-year-old recall, which Chrysler launched on Nov. 7, 2012. Chrysler acknowledged in a statement that it had notified NHTSA of a half-dozen instances in which the SUV’s airbags deployed inadvertently while the vehicles were in operation after they had allegedly been fixed. “Chrysler Group LLC advised the National Highway Traffic Ad-

ministration of the six reports and, in accordance with the company’s longstanding practice, is cooperating fully with the resulting investigation. Customer safety is paramount at Chrysler Group,” the company said in a written statement. In 2012, Chrysler addressed the problem by installing an in-line jumper harness with an integrated electrical filter to eliminate electrical spikes that the company believed were causing the problem, according to the NHTSA documents. The safety agency had previously opened an investigation of the issue in October 2011 and three months later upgraded the probe. In the latest six cases in the NHTSA documents, no crashes were reported, but injuries consisting of cuts and burns were alleged. At the time of the recall in 2012, another 174,723 SUVs were affected in Canada, Mexico and outside of North America. The probe found 215 cases of inadvertent airbag deployments that resulted in 81 minor injuries in the United States but no crashes.

PartsTrader Integrates Hollander Interchange Codes

PartsTrader announced that it has integrated Hollander Interchange codes within the PartsTrader application to assist suppliers when they are quoting recycled parts. The Hollander Interchange is a 75-year old numbering system that indexes which parts are interchangeable among vehicles. For example, the timing cover for a 1976 GMC Truck also fits a 1969 Corvette. Hollander Interchange Manuals cover most foreign and domestic cars and light trucks from the 1920s to the present. The manuals cover more than 150 mechanical and body parts and assemblies. For information on how to use the Interchange, go to http://hollanderinterchange.net/How_To_Instructions.pdf. In the PartsTrader system a collision repair estimator will be asked, when appropriate, clarifying vehicle option questions prior to sending out a quote request for their specific part needs. The estimator’s answers to these questions will trigger PartsTrader to display the appropriate Hollander code to the quoting recy-

cler whenever that code is available for the parts or assemblies required. The new functionality has been previewed in Illinois and New Jersey, and is now available to PartsTrader users nationwide. “The repairers and recyclers who have been using this feature in our preview areas have been pleased with the efficiencies it has delivered to them,” said Dale Sailer, PartsTrader’s vice president of business development. “Our development team has worked diligently on asking the right questions of repairers, and to display the Hollander codes in an easy-to-use manner for any supplier quoting recycled parts. PartsTrader’s goal is to continually improve our solution so that it reduces the risk of getting the wrong parts and creates efficiencies for both the repairer and the supplier.” Said Rob Cooper, CEO of PartsTrader, “In meeting with recyclers across the country, we’ve heard the need for integration with Hollander Interchange loud and clear, and it’s exciting to be able to respond to the market’s needs in such a positive way.”

Free Twice Monthly Newsletter at www.autobodynews.com 36 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

NSF International’s Bob Frayer Earns Prestigious ASQ Quality Leader Award The Automotive Division of ASQ (American Society for Quality) recently awarded Bob Frayer of NSF International its prestigious Quality Leader of the Year Award for his leadership and NSF International’s commitment to testing and certifying aftermarket automotive parts. The ASQAutomotive Division Quality Leader of the Year Award recBob Frayer ognizes leaders in the automotive industry who exemplify outstanding dedication to quality. Over the past four years, Frayer (NSF International Global Managing Director Automotive) has significantly increased the number of certified automotive collision replacement parts available in the market, now covering more than 20,000 vehicle applications including models from all major auto companies. As background, NSF International is a global organization with 70 years of certification and testing experience. Frayer oversees NSF Interna-

tional’s Automotive Collision Certification Program, which includes parts certification through which he and other NSF engineers independently evaluate and compare the form, fit and function of aftermarket parts to original equipment (OE) parts. The program helps ensure that collision parts meet quality, safety and performance standards through rigorous facility audits and parts testing. He also oversees the Automotive Collision Parts Distributor Certification Program which certifies distributors who sell automotive collision parts. “We are honored to recognize the achievements of Bob Frayer and NSF International for their dedication to continually advance the quality and safety of the aftermarket automotive parts industry,” said Jd Marhevko, ASQ Fellow and ASQ Automotive Division council member. “It is an honor to receive this award on behalf of NSF International from the ASQ. NSF International and ASQ are committed to quality improvement and standards, and to helping ensure that the safety and performance of auto parts contributes to that mission,” said Frayer.

Weatherford BMW

www.weatherfordbmw.com

(800) 995-9269

ORIGINAL BMW PARTS AND ACCESSORIES Over $1 million parts inventory At Weatherford BMW we are 100% committed to your complete satisfaction Extremely Knowledgeable Parts Crew Our fleet of vehicles will get your order delivered when you need it

Weatherford BMW 750 Potter Street, Berkeley, CA 94710 www.weatherfordbmw.com

Toll Free: (800) 995.9269 (510) 841.5996 Fax parts@weatherfordbmw.com

FORD FORD Parts

Use Genuine FORD Parts for your Power Stroke Diesel

Call your local Authorized Ford Wholesaler today!

Youâ&#x20AC;&#x2122;re miles ahead of the pack with Genuine Ford Parts. These dealers are Genuine Ford Parts wholesale specialists. Caruso Ford Lincoln LON G B E ACH

800-353-7224 562-492-9452 Fax

www.carusoford.com parts@carusofordlincoln.com

Citrus Ford ON TARI O

909-390-0948 909-390-0982 Fax

scunningham@citrusmotors.com

Colley Ford

GL E N D ORA Wholesale Parts

800-253-3807 909-592-8577 Fax

E-mail your orders parts@colleyford.com

Drew Ford L A ME S A

800-648-7431 619-668-7765 619-668-7719 Fax www.drewauto.com

Fairview Ford

S AN B E RN AR D I N O Wholesale Direct

909-386-0220 909-889-1741 Fax

Fritts Ford R I VE R S I D E

951-343-7556 951-687-3044 Fax

wsparts@frittsford.com

SO. CALIFORNIA

Future Ford of Clovis CLOVI S

800-350-2552 559-294-0816 Fax

Galpin Ford VAN N U YS

818-778-2005 818-778-2090 Fax

Kearny Pearson Ford S AN D I E GO

858-560-5033 800-635-6669 858-560-9648 Fax

Largest wholesaler in San Diego with 17 delivery trucks.

Palm Springs Motors CATHE D RAL CI TY

760-328-7149 760-328-5092 Fax

South Bay Ford Lincoln HAW THOR N E

888-232-0609 310-706-6162 Fax

parts@southbayfordparts.com www.southbayfordparts.com

Super Ford Lincoln Mercury

(Formerly Puente Hills Ford) CI TY OF I N DU S TRY

800-965-1055 626-965-9666 Fax

phfordparts@yahoo.com

Tuttle-Click Ford Lincoln Mercury I RVI N E

949-472-5230 949-472-0327 Fax

Vista Ford Lincoln Mercury OX N ARD Wholesale Direct

805-983-4551 805-278-0554 Fax

Vista Ford Lincoln W OOD L AN D HI L L S

818-710-9594 818-251-4339 Fax

www.vistaford.com Rabi_kadi@vistaauto.com

Worthington Ford LON G B E ACH

800-622-4225 562-421-4033 562-496-1871 Fax

tonyc@calworthington.com

NO. CALIFORNIA

Harrold Ford

NEVADA

NO. CALIFORNIA

Serramonte Ford

Friendly Ford

COL MA Wholesale Parts Dept. Phone:

L AS VE GAS

702-877-6546 702-870-6280 Fax

650-301-7190

Wholesale Parts Dept. Fax:

650-301-7087

www.serramonteford.com

Sunnyvale Ford Lincoln Mercury S U N N YVAL E

408-738-1530 408-738-3125 Fax

Gaudin Ford L AS VE GAS

702-796-2762 702-792-5370 Fax

ARIZONA

www.fordautodirect.com

AutoNation Ford Scottsdale

S AN L E AN D RO

Berge Ford

The Ford Store of San Leandro 800-690-6906 510-347-4160 Fax

NEVADA

Ford Country HE N D E RS ON

702-558-8100 702-566-7037 Fax

www.fordcountrylv.com

ARIZONA

Earnhardt Ford CHAN D L E R

480-763-6233 480-783-4655 Fax

www.earnhardtford.com

Sanderson Ford GL E N D AL E

800-367-3673 623-842-8762 623-842-8799 Fax

www.sandersonparts.com

S COT TS D AL E

480-998-0652 ME S A

480-497-7660 480-497-7581 Fax

www.bergeford.com parts@bergeford.com

Chapman Ford S COT TS D AL E

480-946-3900 480-949-7617 Fax

S ACRAME N TO

916-922-8355 916-922-2691 Fax

mdiaz@harroldford.com www.harroldford.com

Livermore Ford Lincoln L I VE RMORE

925-294-7700 925-449-7254 Fax

Hours: M-F 7-6; Sat 8-4 dreeves@lagmail.net

Make us your one-stop shop today!

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 37

CARS This Year Is All New, ASA Promises It Will Be The Best Show Ever This year’s CARS will be held July 30Aug. 2 in Detroit and for the first time, the focus will be on younger techs. There will be a two-day, intensive program called the “Young Technician’s Symposium.” Donny Seyfer, chairmanelect of the Automotive Service Association, which sponsors CARS, reports the program will be “powered” by Bosch. “It’s the brainchild of Bob Pattengale,” said Seyfer, “and will feature cuttingedge learning techniques and thorough introductions to the electronic systems that control modern cars. Targeting the two- to three-year tech, Bosch’s trainers will use hands-on techniques mixed with classroom training to move young techs from maintenance service and light repair to adding routine diagnostic skills to their toolbox.” Each program at CARS this year has been handpicked with an eye to-

ward making your shop better, said Seyfer. Management sessions will be limited so that the “meeting after the meeting” networking opportunities will be enhanced. Seyfer said the “crown jewel” of the CARS lineup will be Friday’s Telematics & Technology Forum sponsored by the Alliance of Automobile Manufacturers. “We will bring you face-to-face with the future,” said Seyfer. “Learn about what cars are doing today and tomorrow from the engineers who build them. How does the independent repair shop fit into this world? You will only know if you attend CARS and attend this session.” Business has changed, said Seyfer, “and things that were effective a few years ago are no longer working.” To help bring attendees up-to-date, ASA is enlisting the aid of notables such as Vin

Bob Leone Appointed to CAWA Advisory Council

Chair Ron Aparicio of MOTUL USA, has appointed Bob Leone of ADVICS to CAWA’s Manufacturers Advisory Council (MAC). “In adding Bob Leone to our MAC, we are adding a true leader in the auto care industry. I have known Bob for many

years, and he brings a well-respected “real world” viewpoint to our group, Chair Aparicio stated. “Bob's valued input from his experiences in the aftermarket, and representing a prestigious OEM supplier such as ADVICS will greatly benefit the Association.

38 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Waterhouse, Rissy Sutherland, Danny Sanchez and Margie Seyfer, all experts in their respective fields. Always a concern are employee issues, including successfully integrating new employees into the business. Bill Haas, industry consultant and trainer, has a new class that will provide shop owners the tools they need to help new employees fit right in. On the technical side, since CARS 2014 will be in the Motor City, representatives from Chrysler, Ford and General Motors will all be presenting classes. Pete Meier will help you bring those lab scopes back out to aid you in diagnosis for a new generation of cars. “Speaking of diagnosis,” said Seyfer, “we are going to push the boundaries of your diagnostic techniques and understanding with presentations by Mark Warren and Chris Chesney— both

technical wizards. They will bring new programs that will take your diagnosticians to areas many of them will find completely new.” Seyfer said ASA’s board of directors and members of the association’s Mechanical Operations Committee “are excited” to present a different approach to training at CARS this year. “We surveyed members, asking what their biggest challenges were in running their business and repairing cars, and we took the dominant responses and sought out trainers to provide insight and new skills to solve those problems.” Said Seyfer, CARS is built for shop owners. “It’s built for your technicians and it is built for your sales staff,” he said. “ASA puts on a few ‘must attend’ programs each year. This year, CARS will be at the top of that list. See you in detroit!”

ASA-CO to Host Pinnacol Safety Meeting July 9 in Denver

On Wednesday, July 9, ASA-CO will host a Pinnacol Safety meeting entitled “Managing Safety Through Good Hiring Practices” at Pinnacol Assurance, located at 7501 E. Lowry Blvd in Denver, CO. The event will take place from 11:30AM until 1:00PM

and includes lunch. ASA-CO is hosting this event for all ASA Safety Group Members, totaling around 50 policyholders, and they expect around 15 to 20 attendees. For more information, call 303-2025231 or go to www.asacolorado.org

Quality Parts Coalition Says Five-Year Price Comparison Report Shows Certified Aftermarket Parts Saved Consumers $80 Million Since 2009

A new report released May 29, 2014 revealed a dramatic price gap between original equipment manufacturer (OEM) and aftermarket or alternative versions of the top 20 most commonly sold certified auto collision repair parts from 2009-2014. The study, compiled by the Quality Parts Coalition (QPC), found that the top 20 aftermarket parts that were tested by the Certified Automotive Parts Association were priced up to 50 percent less than OEM versions of the parts. Aftermarket versions of all of the top 20 were priced lower than the OEM versions; the average was 29 percent less expensive. These price differ-

ences have led to more than $80 million in consumer savings since 2009. “This report reinforces the importance of consumers having a choice when making collision repairs to their cars,” said Ed Salamy, Executive Director of the QPC. “Without competition, auto manufacturers would be free to charge inflated prices, and consumers would have no other options.” In recent years, automakers have begun exploiting a loophole in design patent law to limit access to alternative collision repair parts, forcing consumers to pay car companies more to fix their vehicles.

Bipartisan legislation has been introduced in both the U.S. House and Senate that would fix this loophole and safeguard consumers against price gouging. The Promoting Automotive Repair, Trade, and Sales (PARTS) Act of 2013 (H.R. 1663 and S. 780) would ensure consumer choice for auto collision repair parts is preserved and protect 60 years of competition that has existed in the auto repair parts market. “It is simply not fair to saddle consumers with higher repair and insurance costs as a result of car companies seeking to eliminate competition and charge monopolistic prices,” said

Jack Gillis, director of public affairs for the Consumer Federation of America. “This report highlights the extraordinary consumer savings inherent in a competitive marketplace and the need for Congress to pass the PARTS Act without delay. Consumers need to make their voices heard to ensure that happens.” The QPC says it is leading a grassroots effort to build support for passage of the PARTS Act at supportpartsact.com. QPC is providing information about the bill, including a 2-minute whiteboard video that attempts to explain its side of the issue in a clear and fast way.

Evan Wilson, Math Teacher Come Auto Body Shop Owner Come Math Teacher, Retires in Mesquite, NV

Evan Wilson, the math teacher at Charles A. Hughes Middle School (HMS) in Mesquite, NV, is retiring this year and a celebration was scheduled to honor him from 1 to 2:30 p.m. June 5 at HMS. Wilson started teaching at Virgin Valley High School (VVHS) in 1969 where he stayed until 1976 when

he moved to Boulder City. While there he taught Math, Automotive Repair and was the head football coach. After three years, Evan moved to St. George and opened his own auto body shop. In 1981, Wilson returned at VVHS and taught Math and Auto Body and was also the head football

Shortly after Wilson made the move to HMS to teach math there, where he has remained until his retirement this year. Wilson has been named a national coach of the year finalist. He is in the VVHS Hall of Fame, Southern Nevada Coaches Association Hall of Fame and the NIAA Hall of Fame.

KEARNY MESA

SUBARU se. It jus t mak es sen

coach. Wilson taught and coached at VVHS until 1995. In 1995 Wilson took on a new role as principal of Lincoln County Middle School, he soon moved on to Lincoln County High School (LCHS). In 2002, Wilson retired from LCHS. His retirement was short as he returned to VVHS to teach Math.

The right part makes the difference.

HYUNDAI YOUR SEARCH ENDS HERE.

www.kearnymesasubaru.com/parts

www.kearnymesahyundai.com/parts

• We Have Wholesale Specialists Ready to Help and Advise You on All Your Subaru Genuine Parts Needs • Offering Free Delivery (M-F) and Competitive Discounts

• We Have Wholesale Specialists Ready to Help and Advise You on All Your Hyundai Genuine Parts Needs • Offering Free Delivery (M-F) and Competitive Discounts

800.548.9124 Fax: 858.300.3331 Email: cguth@kmhyundaisubaru.com Hours: Mon-Fri 7 - 6; Sat 8 - 5

4797 Convoy St. • San Diego, CA 92111

800.469.9731

Fax: 858.300.3331

Email: cguth@kmhyundaisubaru.com Hours: Mon-Fri 7 - 6; Sat 8 - 5

4797 Convoy St. • San Diego, CA 92111

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 39

NACE 2014: In its 32nd Year, It’s Still a World Collision Repair Event Collision repair has changed, and so has NACE, says ASA. The International Autobody Congress and Exposition (NACE) has been fine-tuned to ensure collision repairers get the very latest and greatest information available. Much will be new this year at NACE, which for 32 years has been “the world’s premier event for collision professionals.” NACE 2014 will be held July 30Aug. 2 in Detroit.

What’s new includes: • 20,000 square feet dedicated to live demonstrations of welding, cutting, grinding, sanding and painting • Expanded and enhanced training classes weighted toward technical training • Manufacturer-specific classes • Expanded I-CAR class offering • Outstanding lineup of exclusive tours (see list below) • A bigger, better MSO Symposium – which has been renamed the Collision Repair Executive Symposium (CRES) “NACE is the only show in the United States solely dedicated to the collision repair industry. It’s a show for repairers about repairers. This year’s event is focused on ensuring that repairers have access to the information, tooling, training and equipment they need to repair today’s vehicle as well as those in the future,” said Dan Risley, Automotive Service Association (ASA) president and executive director. “As an example, Ford’s recent announcement of its aluminum-bodied F-150 is causing the entire industry to take notice and seek information and training. As a result, there will be several different classes at NACE offering aluminum repair information and training.” Risley added, “Another example is the Collision Repair Education Foundation (CREF). They reported recently that the Alcoa Foundation, the philanthropic arm of Alcoa (which makes aluminum), awarded a $60,000 grant that will provide aluminum repair-focused training and technical presentations to high school and college collision instructors, and industry professionals attending the 2014 NACE event.” Read more about CREF and the Alcoa Foundation grant at: http://collisioneducationfoundation.org/press-releases/. Other manufacturers will also offer presentations at NACE on aluminum repair – including, but not limited to, Ford Motor Co., Audi, Pro Spot, Car-O-Liner, Chief and 3M. Ford will have a class that

will provide 2015 F-150 aluminum repair information and details on its National Body Shop Program. There will be at least nine classes covering aluminum, including sessions on aluminum welding and repair and a class explaining the differences between aluminum and steel. For a complete list of classes to be offered at NACE, visit: www.NACEexpo.com. Risley said, “Alcoa’s commitment to educate instructors and the collision repair industry on aluminum repairs is unparalleled. In addition to the classes and material presented by I-CAR on aluminum, we will be assembling a showcase on the show floor highlighting current model vehicles that are aluminum-intensive. In addition, attendees can see live demonstrations on proper aluminum repair techniques to further supplement an already outstanding lineup of classes offering aluminum information.” The rebranded Collision Repair Executive Symposium (CRES), formerly the MSO Symposium, has been an extremely popular, sold-out event during NACE since it premiered in 2011. It traditionally has drawn attendance from the largest multi-shop operators in the collision repair industry. But the all-new CRES business event will cater to a broader group of collision repair executives, allowing it to be more inclusive of some of the best, as well as the largest, operators in the marketplace. This year’s event includes key changes in content, including a focus on management, operations and participation from insurance company executives presenting leading information on industry trends. CRES is designed for collision repair multi-shop operators, as well as operators looking for high-growth strategies, mergers and acquisitions. The symposium is scheduled for Friday, Aug. 1. Attendees will experience the history of the Motor City through a host of tour options, including: • The General Motors Co. Heritage Center • Chrysler Museum (which is closed to the public) • The Henry Ford Museum and Greenfield Village • Windsor, Canada • The Ford Motor Co. F-150 Plant • Chevy Volt Plant • BASF Color Trends

40 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

• NSF Technical Tour • OnStar Facility In addition to the tours, there will be other events and recreational outings for spouses, guests and families. Among such events are Detroit Tigers baseball games, river and city tours, and casinos. “Since NACE will be held in the Motor City, original equipment manufacturers will have a bigger presence than ever,” said Risley. He also pointed out that NACE is part of a new Industry Week with an overriding purpose to bring the industry together. Among industry organizations that will host meetings, events, and/or exhibit during the week are I-CAR, CIC, ASE, CIECA, NABC, SCRS, AMI, CCIF, OEM Collision Roundtable, CREF, Alcoa Aluminum Transportation board, MERA, AASA and ETI. “This gathering of the industry – plus the fact several of the world’s major car manufacturers are headquartered in Detroit and will participate in Industry Week – creates tremendous opportunity for education, collaboration and networking,” said Risley. “Our focus is giving the repair industry an event – and a week – that

is dedicated to them. It will be good to see the entire industry come together.” Also part of Industry Week is CARS, which is for mechanical repair professionals. This repairer-focused week will start Monday, July 28, and run through Saturday, Aug. 2. The Collision Industry Conference will be held Tuesday and I-CAR on Wednesday. The Canadian Collision Industry Forum will be held Wednesday afternoon. ASA’s NACE | CARS Expo will be held Thursday and Friday, July 31-Aug. 1, with education beginning Wednesday, July 30, and ending Saturday, Aug. 2. Tuesday will feature a CIC quarterly meeting. Wednesday will highlight the I-CAR Conference and Gala 35th Anniversary Networking Reception. On Thursday and Friday, the NACE | CARS Expo will take place, along with numerous NACE and CARS business and technical sessions, the Collision Repair Executive Symposium (CRES), the Technology & Telematics Forum, the Automotive Management Institute (AMI) graduation ceremony and on-site I-CAR training. Technical presentations end at 3:30 p.m. Saturday, August 2.

Precise fit and finish, easy installation and a limited warranty direct from KIA — all genuine advantages of genuine KIA parts. Your local KIA retailer has all the parts you need.

SO. CALIFORNIA Car Pros Kia Carson

Toll Free (800) 553-0940 Parts Direct

(310) 221-9101

(310) 816-9811 Parts Fax #1 Wholesale Dealer Serving Southern California

Citrus Kia Ontario

(800) 583-7042 (909) 390-0948

(909) 390-0982 Fax

scunningham@citrusmotors.com www.citrusmotors.com

M - Sat 7:00am - 6:00pm Free Local Delivery Ask for Ike, Jimbo, Chris, Juan, Sean, Jeff Se Habla Español

First Kia Simi Valley

1-888-531-4785

NO. CALIFORNIA Concord Kia

(805) 306-1085 Fax Free Local Delivery M-F 7:00am - 6:00pm Sat 8:00am - 5:00pm Se Habla Español Ask for David or Julio

Elk Grove Kia

Concord

Sacramento/Elk Grove

(925) 685-2952 Fax M-F 8:00am - 5:30pm Sat 9:00am - 1:00pm

(916) 753-1045 Fax

(888) 811-3058

Dublin Kia Dublin

Wholesale Direct

(925) 828-8251

(925) 829-2941 Fax M-F 7:00am - 6:00pm Sat 8:00am - 4:30pm

(888) 244-3404 (916) 753-1040

www.elkgrovekia.com

Momentum Kia

San Leandro Kia San Leandro

(510) 347-3010 (510) 347-3003

(510) 895-1027 Fax Free Local Deliveries Shipping Available

North County Kia Escondido

(760) 945-9939 (866) 888-3074 Fax

parts@autogrp.com www.northcountykia.com M-F 7am - 6pm In San Diego Over 10 Years

Vallejo

(707) 638-1825 (707) 554-2637 Fax

bvahl@momentumautogroup.com M-F 8am - 5pm Sat 8am - 3pm

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 41

On Creative Marketing Ding Day–A Marketing Tactic with Thomas Franklin

Shop owners with a shop in a metropolitan area see many vehicles with minor dings, dents, scratches and more, all around the city. Many of these drivers have tolerated these imperfections on their vehicle for weeks, months and possibly even years. Why haven’t they done something about these eyesores? Maybe the discomfort of driving around with these flaws simply hasn’t been great enough to motivate them to fix them. Or maybe they imagine the cost, not only in terms of money, but also in considering the inconvenience of being without the vehicle while it’s being fixed, is too great to bother. If a shop mainly relies on insurance or dealerships for work, this may not be an interesting marketing move. But if a shop seeks to bring in new customers and add to a database of marketing targets, this could be a real opportunity to increase the shop’s volume and potential volume of business.

In general advertising a collision repair shop is mainly done to make a shop’s name, location and reputation broadly known. When viewers of the ad may not have an accident for three or more years in the future, getting an immediate response is only a peripheral intent of the ad. But the advertising campaign I’m proposing here, aimed at a great many drivers with minor body damage, could produce an immediate volume of responses if handled right. The proposed ad should offer a “Ding Day Special.” The two vital aspects of the ad must be that it will be low cost, and with very little time commitment. For the bold shop owner, the ad could also offer “No risk—your money back if not completely satisfied.” Some owners might hesitate on this one, but statistically the no risk offer increases responses significantly. An additional attraction to be offered by the tech-savvy shop would be an

on-line inquiry and approximate estimate for potential customers. The prospective customer simply uploads a photo of the damage and the shop gets back to him or her with an approximate repair time and cost. To make the “Ding Day” routine work well, a shop must commit significant resources to getting vehicles completed and out quickly at reasonable cost. The real profit should not be in the limited scope of the minor repair. Instead it should be viewed as a sales opportunity. This is a chance to collect many customer information forms filled in with vital marketing information. It has to collect information on all vehicles owned by the customer’s family and employer and any other vehicles in need of repair. It should have his or her insurance agent and possibly organizations the customer belongs to that could be marketing targets. Filling in of the form can’t be simply handing it to the vehi-

cle owner, leaving him or her to omit many important marketing bits of information. The estimator or a welltrained front desk person should make certain most of the requested information is captured. And this is just step one in capturing this vital sales opportunity. While it may be possible to talk the prospect into bringing in another vehicle that needs repair right then and there, this could be shortsighted. In order to keep the turn-around time short, it could be better to solicit work on other vehicles with followup calls. If the customer was pleased with a quick turn-around, the estimator should get a welcome response when making the follow-up call. This call would also be an appropriate time to ask for permission to call the customer’s business and social organization connections to make the shop known to them. This tactic has worked well with Amway

Original BMW Parts

ORIGINAL BMW PARTS & ACCESSORIES

bmwusa.com

Extensive original BMW parts inventory Fast, friendly service and delivery

BMW of Vista 1715 Hacienda Dr.,Vista, CA 92081 www.bmwofvista.com

Monday - Friday 7:30am - 6pm

42 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Wholesale Parts Manager: Bill Cox Over 36 Years of Experience E-mail: billc@mossy.com Parts Manager: Steve Bozir E-mail: steveb@mossy.com

Call Direct: Fax:

(760) 208-2341 (760) 940-6395

and Avon solicitors and builds an ever-expanding network of related individuals for marketing purposes. When there is reluctance to pass along phone numbers, these days asking for an e-mail address or even Facebook connection could get an easier response. Perhaps the greatest difficulty getting this tactic to work is the problem of where to advertise and how to reach the greatest number of prospective customers. Today print ads have limited value as people turn away from printed newspapers and get their news on-line. TV ads are generally too expensive, but radio ads could be a real possibility in some areas. On-line ads are essential.The ad has to be direct and simple. It should start with the key question: “Are you tired of living with that ugly dent, ding or scratch on your vehicle? For a limited time we are offering a very low-cost, fast turn-around repair to restore your vehicle to its original beauty. And we’re located close enough for you to drop your vehicle off in the morning and pick it up, possibly as early as noon. Call us or e-mail a quick photo of your damage and we’ll give you an approximate estimate immediately.”

Interactive Advanced Steering and Suspension Systems Damage Analysis Course

I-CAR® announced that its new interactive Advanced Steering and Suspension Systems Damage Analysis (DAM15) course is now available. This course provides detailed information on the considerations for inspecting steering and suspension systems and provides knowledge that can lead to increased efficiency and a positive customer experience. Josh McFarlin, I-CAR Director of Curriculum & Product Development stated, “Advanced steering and suspension systems are common in today’s vehicles and if not repaired properly, other vehicle systems can be

compromised.” He continued, “Repairers can apply knowledge learned in this course throughout the repair process.” The course features a series of interactive classroom activities and problem-solving scenarios designed to engage the student and enrich their learning experience in order to further prepare them to apply their knowledge on the job. Toward the end of the course, the student will engage in a “damage discovery” activity where he/she will simulate the estimating process. This instructor-led, Live 3-credit hour course meets training require-

ments for Estimators, Auto Physical Damage Appraisers and Electrical/Mechanical Technicians in I-CAR’s Professional Development Program™ (PDP). DAM15 has replaced Electronically Controlled Steering and Suspension Systems (STE05). If STE05 has been completed, training credit earned will not be lost. To register for Advanced Steering and Suspension Systems Damage Analysis (DAM15), visit the I-CAR website at www.i-car.com or contact ICAR Customer Care at 1-800-I-CARUSA (800-422-7872). Classes are being added to the schedule regularly.

I-CAR® Adds New OEM Segment Development Director, John Bosin

I-CAR® announced that John Bosin has joined I-CAR in the role of Director, Segment Development– OEM. John will oversee all business development and strategic activity for ICAR in the OEM segment including refinement of strategies to better serve the OEM segment, as well as I-CAR activity with OEMs related to Collision Repair Network (CRN) programs that rely on I-CAR’s training and Gold Class program, I-CAR® Welding Training & Certification™ initiatives,

SHINGLE SPRINGS

SUBARU

Wholesale’s Our Business For Your Business

• Professional and Knowledgeable Staff • FREE UPS Ground Freight • We Match or Beat All Competitor Coupons • Serving Northern California for Over 25 years • Mention This Ad for an Extra 5% Off

H Hours: M-F 8:30 am - 5:30 pm / Sat 8 am - 5 pm

Call us Today!

530.676.0444

530.677.6528 FAX

and contract training. He will also work closely with I-CAR’s Industry Technical Relations team to advance I-CAR’s Reparability Technical Support (RTS) program as I-CAR works to develop and mature the portfolio of RTS services for the benefit of OEMs and the Inter-Industry. John Van Alstyne, I-CAR CEO & President stated, “Segment focused sales and marketing, and strategic alignment, have been key to I-CAR’s progress over the past three years. John Bosin is a great

addition to our team, and with his joining, I-CAR is more firmly positioned to create more positive impact in the OEM segment and across the board.” Bosin joins I-CAR with significant experience in the OEM segment through his extensive and diverse roles in the Collision Repair industry. Most recently, John was with AkzoNobel as OEM Aftermarket Manager, and earlier with Fix Auto USA, ICI Autocolor and DuPont. John is also a Lean Six Sigma Sensei.

SHINGLE SPRINGS

NISSAN

We Have The Parts You Need!

• Highly Experienced Parts Personnel • No Order Too Big or Too Small • Serving Northern California for Over 25 years • Family Owned and Operated • Order Parts: parts@shinglespringsnissan.com • Mention This Ad for an Extra 5% Off

Hours: M-F 8:30 am - 5:30 pm / Sat 8 am - 5 pm

Call us Today!

530.676.0444 5 530.677.6528 FAX

4045 Wild Chaparral Dr., Shingle Springs, CA 95682

www.shinglespringssubaru.com

www.shinglespringsnissan.com

GENUINE SERVICE & PARTS

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 43

Women’s Industry Network Celebrates Excellence In Leadership and the Formal Transition of the ‘Most Influential Women’ Program to WIN The prestigious Most Influential Women in Collision Repair (MIW) Awards were presented to three women during a celebratory dinner in San Diego during the Women’s Industry Network (WIN) Conference. The MIW Awards recognize women who have enriched the collision repair industry with their leadership, vision, and commitment to excellence. Doug Holmberg, representing AkzoNobel, formally transitioned the MIW program to Margaret Knell, Chair of WIN, by giving WIN a framed issue of AkzoNobel’s Profit Magazine with a commemorative note officially marking the transition. Profit Magazine has highlighted Most Influential Women honorees since inception of the award. This year’s honorees were Frederica Carter, President of F. Carter Events, LLC; Jordan Hendler, Executive Director of the Washington Metropolitan Auto Body Association; and Leanne Jefferies, Director of Collision Programs at AIA Canada. Each honoree was introduced by an industry peer and former MIW who nominated them for the award. In a welcome message, Knell thanked those being honored as well as award recipients from prior years, “for your visibility and ongoing

example of most influential women in the collision repair industry by your leadership, vision, and commitment to excellence—both in your professions and in your communities.” She then recognized AkzoNobel for their vision

Margaret Knell and Doug Holmberg

and elevation of the societal issue of the advancement of women in the collision repair industry. The recognition program's charter aligns with WIN’s mission to ‘enhance the role of women in the industry’ and has recognized more than 75 women for their professional accomplishments and for going beyond requirements of their positions to give back to their communities. Honorees have held positions in every facet of the collision repair industry, as shop owners, body and paint technicians, man-

Fix Auto Acquires Alaska Shops

agers, wholesalers, lobbyists, suppliers, insurance adjusters, consultants, educators, editors and writers, and industry association directors. Established in 1999 by AkzoNobel, WIN assumed management of the MIW program in 2013. The Most Influential Women program has supported the industry by funding scholarships for prospective female students interested in pursuing a career in collision repair. “The Women’s Industry Network has, in a very short period of time, become a pillar association within the North American collision repair market,” said Doug Holmberg, Director of Vehicle Refinishes for AkzoNobel Automotive & Aerospace Coatings North America. “It was both a pleasure and honor for AkzoNobel to be part of the 2014 WIN Conference and formally transition the Most Influential Women in the Collision Repair Industry program from our stewardship to WIN for their continued mentoring. WIN will be able to advance MIW and create sustainable resources to the full benefit of the entire collision repair industry.” To learn more about WIN and the MIW Awards, or to see a list of past recipients, visit http://thewomensindustrynetwork.ning.com.

Fix Auto USA continues expansion in the Western United States with the introduction of five locations in Alaska, bringing the total number of Fix Auto franchises to 59. This marks the first time Fix Auto has ventured into the Alaskan market. “We’re ecstatic to join this elite and exclusive brand of high caliber operators as we adapt to shifting market dynamics,” said Tony Stanley, who along with his wife Mel are the owners of the Fix Auto Alaskan franchise group, formerly Driven Auto Body.

AMI to Honor New Managers

The Automotive Management Institute (AMI) will honor its 20th class of Accredited Automotive Managers (AAMs) with a formal cap and gown ceremony on Aug. 1 during the new Industry Week 2014 July 28-Aug. 2 at the COBO Center in Detroit. The AAM designation is awarded after they successfully complete coursework and earn 120 credits of management education. More than 1,700 individuals have earned the AAM designation and approximately 100 new graduates are added each year. For more go to www.AMIonline.org.

YOU ONLY GET ONE CHANCE AT THE FIRST REPAIR. Choose Original MINI Parts. Because you can’t repair your reputation. These Dealers Below Are Original MINI Parts Distributors:

Southern California

Bob Smith MINI Calabasas

888-215-7854 818-340-9455 Fax

MINI of Escondido

South Bay MINI Torrance

310-939-7342 310-939-7343

Northern California

East Bay MINI Pleasanton

888-686-4580

M-F 7:30-6; Sat 7:30-5

Escondido

800-544-4269 760-291-2878 Fax

WWW.MINIOFESCONDIDO.COM

44 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Original BMW Parts

bmwusa.com

Original Thought #78

YOU ONLY GET ONE CHANCE AT THE FIRST REPAIR. When you repair a BMW, use the parts that are identical to those used in Series production – and just as reliable. Choose Original BMW Parts and Accessories. Because you can’t repair your reputation.

Northern California BMW Centers East Bay BMW

Pleasanton (888) 686-4580 M-F 7-6; Sat 7:30-5; Sun 10-5

Niello BMW

Sacramento (916) 486-1299

Southern California BMW Centers BMW of Escondido

BMW of Vista

Sonnen BMW

Vista (760) 208-2341 steveb@mossy.com

Alhambra (626) 576-2867 www.ncbmw.com

Murrieta (888) 805-2393 FAX (951) 698-2086 www.bmwofmurrieta.com

Calabasas (818) 340-9640 FAX (818) 340-9455 parts@bobsmithbmw.com

Torrance (310) 939-7342 (310) 939-7343

Palm Springs (760) 324-8314

Sherman Oaks (818) 990-9518

BMW of Palm Springs

Bob Smith BMW

Center BMW

Berkeley (800) 995-9269

New Century BMW

Escondido (800) 544-4269 www.bmwofescondido.com

BMW of Murrieta

Weatherford BMW

San Rafael (415) 482-2040

South Bay BMW

Sterling BMW

Newport Beach (949) 645-8729

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 45

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

Lean Operations

Using an Outside Expert to Improve your Competitive Position with David Luehr

I received a call last month from a dear friend of mine on the West Coast. I’ll call him Paul here, but that’s not his real name. His voice was shaky and he was clearly upset. Paul told me that one of the big MSOs had recently acquired a shop just down the street from him and at first he wasn’t too concerned, but now he was extremely concerned. My friend has always ran a very good shop, so I asked him what he was so worried about to which he replied, “I hate to admit it, but these guys are better than I thought and I am losing business to them!” You see Paul’s biggest DRP provider put his new big MSO neighbor on the same program even though they are only a block apart! What’s more, Paul was told by his DRP coordinator that unless his shop improved its KPIs, his new neighbor was going to be receiving the lion’s share of the business. Paul’s story is not an isolated one. Knowing Paul, he will figure out

a way to compete and win, but he is going to need some help. Everyone in the collision repair industry knows how challenging it has become. DRPs are demanding more, Consolidators are growing faster than ever, and profits are shrinking. The shops that are serious about competing in this game need to quickly improve their position in the marketplace by performing at unprecedented levels. This document is intended to show the reader that many of the advantages provided to large MSOs can be afforded to any shop serious about transforming their business through using an outside firm to provide many of the services. Organizations like Service King, ABRA, Boyd Group, etc. have systems in place that give them a very strong presence in many major markets in this country. These systems allow for consistent and predictable results in quality and customer serv-

ice. These systems when combined with the footprint of the consolidators, gives them a very lucrative “seat at the table” with all major insurance carriers. While each MSO is slightly different in their approach to centralized resources, this is a generalized list of advantages that large MSOs have over the rest of us… ■ Assurance of DRP affiliation when opening new locations ■ Centralized Human Resource Departments ■ Centralized Accounting ■ Centralized Customer Call Center ■ Centralized Load Leveling ■ Centralized Management of I-CAR Gold Class ■ On-line training, Learning Management Systems, and testing ■ Self-managed DRP with centralized audit teams ■ Marketing Teams ■ Safety and Environmental Compli-

ance Teams ■ Proven workflow systems and accountability to make them work ■ Mass advertising and name recognition ■ Ability for employees to help other locations when needed ■ Stability and benefits are attractive to potential new-hires ■ Buying power Most small collision repair businesses must attempt to perform many of these functions, but are rarely able to perform all of them well, if at all. To remain profitable typical shop owner/managers must perform many of the functions that shop managers at large MSOs don’t have to deal with. The time that a typical shop manager would spend performing many of these functions is spared to the large MSO shop manager thereby providing them time to ensure that processes are being followed, quality and cycle time standards are being met and in

Genuine Nissan and Infiniti OEM Wholesale Parts are superbly crafted to strict quality standards.

Shift into Genuine Nissan and Infiniti OEM Parts

GENUINE SERVICE & PARTS

The following dealers stock genuine parts for your Nissan or Infiniti repairs. S. CALIFORNIA

DOWNEY NISSAN DOWNEY

888-444-1355 (562) 334-1195 Fax Billy Smith-Parts Manager M-F 7-6, Sat. 7-5

www.downeynissan.com

METRO NISSAN INFINITI OF MONTCLAIR MONTCLAIR

800-243-5575 (909) 625-4087 Fax Ask for Rita or Steve Large inventory available

MOSSY NISSAN

NATIONAL CITY

800-300-7251

(619) 474-4347 Fax Largest Inventory in San Diego www.mossyparts.com

46 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

NISSAN OF BAKERSFIELD

BAKERSFIELD

888-402-6915 (661) 835-0389 Fax M-F 7-6, Sat. 8-5

www.nissanofbakersfield.com

N. CALIFORNIA

LITHIA NISSAN FRESNO

800-870-7779

559-436-6040 Parts Direct 559-438-0183 Fax M-F 7-6, Sat. 8-1

Etaylor@lithia.com www.lithia.com

SHINGLE SPRINGS NISSAN

SHINGLE SPRINGS

530-676-0444

(530) 677-6528 Fax www.shinglespringsnissan.com

many ways acts as an “auditor.” With these disciplines in place, it becomes very difficult to compete with these guys. In order to perform all these functions that are required, you would need to hire people that are experts in Insurance DRP Relations, HR, Accounting, Customer Relations, I-CAR Gold Class, Marketing and Advertising, Safety and Environmental Compliance, Admin Workflow Systems, Change Management, Lean, etc., etc., etc. I would bet in most collision repair businesses, at least one or more highly paid people would need to be hired to perform all of these functions which are currently not being performed well or at all. That could equate to $5,000 - $15,000 a month, plus benefits to hire who is needed to get all this stuff done! This of course would be considerably more if you have multiple locations needing these services. Solutions can be provided by an outside firm at a substantially lower price and be performed by experts that will ensure these functions are performed precisely. So in other words, you could get many of these functions at your shop performed both better

and cheaper than trying to do it yourself in-house.

A look at ROI Is it actually costing you money by not using an outside firm? In many cases, yes! Training & Coaching has been proven to increase a shop’s Key Performance Indicators substantially. Coaching and Training provided by qualified outside sources can have an immediate positive impact on both KPIs and return on financial investment. Even a modest 5% increase in productivity at a shop producing $100,000 in revenue can yield an additional $2,000 in gross revenue which in many cases is enough to pay for the outside services. There are many cases of shops experiencing significant gains in productivity and profitability that never would have been possible with the assistance of outside experts. Don’t expect quality outside services to be cheap, but look at it as an investment with a favorable ROI. Do your homework when hiring a business coach or any kind of outside service, these folks in many ways become a reflection of your business and will have an impact either positive or negative. You must be able to trust

them much as you would a new employee, so don’t feel you need to hire the first one that comes along. The old saying that the “Definition of Insanity is doing the same thing over and over and expecting a different result” is exactly what many shop leaders continually do. It doesn’t have to be this way. Quality of life for stakeholders at body shops doesn’t have to be so bad. We all need help, and there are resources available to provide support.

Resources Available: Business Coaching & Consultants ● General Business Consulting ● Admin Workflow Processes & Implementation ● Learning Management System ● Leadership Coaching ● Training Clinics

Online Human Resources ● Hiring Programs ● Performance Evaluation Process ● Employee corrective action ● Legal Advice

Data Management ● CSI ● Centralized Call Center

● KPI Management & Reporting Safety & Environmental Compliance Marketing & Advertising Solutions I-CAR Gold Class Management Associations, Buying Groups & Networks

If you would like more information, or a referral to a capable service in your area, feel free to contact me at dluehr@msn.com

Advertise in our CLASSIFIED SECTION for $50 per column inch! Place an ad in our AUTOBODY MARKETPLACE section of Autobody News.

800-699-8251 ltedesco@autobodynews.com

DREW HYUNDAI • Large Inventory • Fast & Free Delivery • Experienced Wholesale Specialists Ready to Serve You • 12 Trucks Serving San Diego County, Imperial County and parts of Riverside County

888-839-0777 LOCAL:

619-668-7782

8850 GROSSMONT BLVD., LA MESA, CA 91942

WWW.DREWHYUNDAI.COM WWW DREWHYUNDAI COM e-mail: importorder@drewauto.com MONDAY - FRIDAY: SATURDAY:

7:00AM - 6:00PM 8:00AM - 5:00PM

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 47

Northwest Associations with Chasidy Rae Sisk

ASA-NW’s Automotive Training Expo 2014 tinues, we will pay the entire investOn March 21 through 23, ASA-Northwest held their 6th Annual Automotive ment of sending six people to ATE Training Expo (ATE) at the Doubletree back in three months just off of that, Hilton in Seattle,with WA. With over 600 not including what the Techs learned!” Ed Attanasio attendees and 83 exhibitors, the 2014 “This was a premier event that alATE marked the first year the event lowed my team and I to increase our has been sold out. The goal of the knowledge in all facets of our busievent was to provide training for the ness as well as an amazing team buildautomotive industry, including owners, ing experience. It’s a no-brainer that managers and technicians, and ATE we will be back next year, and I think withwith Ed62Attanasio 2014 really delivered training every shop should attend.” “ATE sessions, six of which were I-CAR teaches you to be better at your job.” courses, taught by industry-leading “ATE is a great way for Automotive educators to get updated on current reprofessionals. Attendees raved about ATE 2014, pair information. Attending is always and some of the feedback that ASA- a positive experience.” Jeff Lovell, President and ExecuNorthwest has received so far inwith Ed Attanasio cluded the following: “2014 was the tive Director of ASA-Northwest, notes best ATE ever; my production team all “this year, our sixth year, was sold out brought back valuable information and exceeded our expectations. We they could use the first day back to have grown this event from the first work, and my service advisors made year of 173 attendees to over 600 atsubtle changes in how they function tendees going to training classes with 12,430 hours of training. We also had and brought up with ARO and GP the first Thomas Franklin week back. If this improvement con- 83 exhibitors participate in our expo,

Shop Showcase

Advertising Advantages

Associations Assembling

Association Meetings

both Friday and Saturday evening. The expo floor was sold out three months in advance!” On Thursday, the National Automotive Service Task Force (NASTF) joined ATE to host their Spring 2014 General Meeting, and over 100 participants attended to discuss the topic of J-2534 Reprogramming. At breakfast on Saturday, renowned trainer Gary Smith presented “Success or Struggle,” and during lunch, Bryan Dodge taught attendees “How to Have Your Best Year Ever.” Throughout the event, ATE offered an impressive trade expo with exhibitors displaying automotive parts, repair equipment, shop management services, and specialty products. ATE attendees also had the chance to win a variety of door prizes which were distributed throughout the weekend. Lovell believes these types of association-sponsored events are important for members and the industry because it “brings our membership to-

Parts You Need. Old School Know How with Ed Attanasio People You Trust.

gether to discuss issues affecting our industry, such as getting new technicians into the industry, environmental issues, legislative issues and networking. It is so gratifying to have ATE grow each year and that it has established itself as the West Coast’s premier training event. Our staff and volunteers help make this an exceptional event that provides quality training to all levels of the service and repair industry. In addition to ASA-Northwest, sponsors for ATE included the Northwest Tire Dealers Association, Auto Shop Solutions (the official social media sponsor), and “Parts & People Northwest” who was the official media sponsor of the event. ATE 2015 will be held on March 20-22nd at the Doubletree Hilton in Seattle, WA. www.asanorthwest.com 253-473-6970

QUALITY IS ALL WE THINK ABOUT. THAT AND QUALITY.

Genuine Mitsubishi Replacement Crash Parts are close at hand through the following quality dealerships.

Old School Know How with Chasidy Rae Sisk

See these Hyundai dealers below for all your collision parts needs!

SO. CALIFORNIA

Western Associations with Thomas Franklin CALIFORNIA

Glendale Mitsubishi

Oakland Mitsubishi Media Matters OAKLAND

with Ed Attanasio 510-267-0688 800-424-7884 GLENDALE

(818) 549-3850 Fax M-F 7:00 am - 6:00 pm Sat 8:00 am - 4:00 pm parts@glendalemitsubishi.com

(510) 267-0622 Fax M-F 7:30 am - 5:30 pm Sat 8:00 am - 4:00 pm info@oaklandmitsubishi.com

48 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Drew Hyundai

Kearny Mesa Hyundai

S AN D IEGO

SAN DIE GO

888-839-0777

800-469-9731

619-668-7782 Direct 619-460-4082 Fax importorder@drewauto.com www.drewhyundai.com

NO. CALIFORNIA

Lithia Hyundai F RES NO

800-462-2231 559-436-6041 559-436-0743 Fax Mon-Fri 7am - 6pm; Sat 8am - 1pm etaylor@lithia.com

858-300-3331 Fax Mon-Fri 7am - 6pm; Sat 8am - 5pm cguth@hyundaisubaru.com www.kearnymesahyundai.com

Philadelphia Shop Accused of Staging Car Accidents as ‘Fictitious Deer Crashes’

Ronald Galati Sr. is one of 41 people in Philadelphia indicted by a grand jury in an elaborate insurance fraud scheme that used deer carcasses to stage auto accidents, according to reports at Philly.com. Galati is accused of running the $5 million scam out of his auto body shop in Philadelphia where he stored deer carcasses, blood, and fur in the back of his shop to use as props to stage the accidents. Galati

was in the business, according to a grand jury, of “fictitious deer accidents.” Galati, 63, was one of 41 people charged in the fraud after a 16-month investigation by a Philadelphia grand jury. Also charged were his wife, Vicki, 59, and their son Ron Jr., 37, who since 2000 has been the legal owner of his father’s American Collision & Auto Center at 1930 S. 20th St. According to District Attorney Seth

Williams, Galati encouraged customers to file insurance claims saying they struck a deer instead of a car so insurance companies would consider them “no fault” accidents and pay the claims without raising the customers’ premiums. Galati favored creating single-vehicle accidents because insurance companies would consider them “nofault” and pay the claims without rais-

ing the vehicle owners’ premiums, Williams contended. Galati would copy keys to cars brought into his shop for repair, and an accomplice would later find them parked on the street, steal them, and crash them into the other vehicles owned by Galati customers, a grand jury witness said. The purported point of their vandalism? To create more work and potential insurance paydays for American Collision. NO. CALIFORNIA SO. CALIFORNIA

NO. CALIFORNIA

Sierra Subaru of Monrovia NEVADA SO. CALIFORNIA

ARIZONA

Monrovia TEXAS (626) 359-8291 (626) 932-5660 Fax OKLAHOMA Mon.-Fri. 7-6; Sat. 8-4 LOUISIANA parts@sierracars.com NEWwww.sierraauto.com MEXICO ARKANSAS NO. CALIFORNIA COLORADO

Maita Subaru

SO. CALIFORNIA MISSISSIPPI

Sacramento (877) 484-4870 (916) 484-4876 TEXAS (916) 484-4878 Fax Mon.-Fri. 7:30-5:30 OKLAHOMA www.maitasubaru.com

ARIZONA KANSAS NEVADA UTAH

NEW MEXICO Shingle Springs Subaru LOUISIANA

The following dealerships are eager to serve your needs. Call your local Subaru collision NO. CALIFORNIAparts specialist today! SO. CALIFORNIA

Galpin Subaru

Santa Clarita (818) 778-2005 TEXAS (818) 778-2090 Fax www.galpin.com OKLAHOMA ARIZONA

NEVADA

LOUISIANA Kearny Mesa Subaru

San Diego (800) 548-9124 ARKANSAS (858) 300-3331 Fax COLORADO Mon.-Fri. 7-6 MISSISSIPPI cguth@kmhyundaisubaru.com www.kearnymesasubaru.com/parts KANSAS NEW MEXICO

UTAH

Marin Subaru

San Rafael (415) 257-4690 (415) 257-4684 Fax Mon.-Fri. 7:30-5:30; Sat. 8-4 marinmazdasubaru@yahoo.com www.marinsubaru.net

Shingle Springs (530) 676-0444 COLORADO (530) 677-6528 Fax www.shinglespringssubaru.com MISSISSIPPI ARKANSAS

NEVADA Camelback Subaru ARIZONA

Phoenix (866) 641-9880 OKLAHOMA (602) 776-6407 Fax Mon.-Fri. 7-6; Sat. 8-4 LOUISIANA wholesaleparts@camelbackdifference.com TEXAS

ARKANSAS AutoNation Subaru Scottsdale COLORADO NEW MEXICO

Scottsdale (480) 425-2950 KANSAS (480) 425-2948 Fax Mon.-Fri. 7-6; Sat. 7-4 UTAH MISSISSIPPI

Subaru Superstore of Chandler Chandler (877) 443-3239 (480) 268-2402 (480) 621-3805 Fax Mon.-Fri. 7-6; Sat. 7-5 subaruparts@shopsubaru.com www.shopsubaru.com

Subaru of Santa Cruz UTAH KANSAS

Santa Cruz (800) 549-8490 (831) 420-1402 (831) 420-1923 Fax Mon.-Fri. 7:30-6; Sat. 8-5 parts@santacruzsubaru.com www.santacruzsubaru.com

Subaru of Glendale Glendale (818) 550-1500 (818) 549-3850 Fax Mon.-Fri. 7-6; Sat. 8-4 parts@glendalemitsu.com www.subaruofglendale.net

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 49

Crashes Cost Almost $1T in Costs, Loss of Life, Pain

That includes $277 billion in actual cost, and an estimated $594 billion in “harm from the loss of life and the pain and decreased quality of life due to injuries,” a new U.S. Department of Transportation’s National Highway Traffic Safety Administration report said. Studying crashes in the U.S. in 2010, NHTSA counted up 32,999 fatalities, 3.9 million non-fatal injuries and 24 million damaged vehicles in “The Economic and Societal Impact of Motor Vehicle Crashes 2010.” The sweeping report takes in a lot of ground, particularly in calculating the “quality of life” losses. Among the factors considered in the direct losses of $277 billion, the report said, were $93 billion in lost productivity, $76 billion in property damage, $35 billion in medical expenses, and $28 billion in the costs of traffic-related congestion—like traffic jams and increased air pollution. The report concluded that drunk driving, speeding and “distraction” were key contributors. Drunk driving alone, the report said, accounted for 18% of the total economic loss from motor vehicle crashes, costing the economy as much as $199 billion in direct and quality-of-life losses.

SCRS Open Board Meeting on July 28th in Detroit

On Monday, July 28th, the Society of Collision Repair Specialists (SCRS) will hold an open board meeting from 3:00–5:00pm in Detroit. The meeting, held at the Marriott Renaissance Center located at 400 Renaissance Dr. West, Detroit, will be open to anyone wishing to learn more about the current state of the association's activities and pressing industry topics. The two hour meeting will include updates from SCRS staff and committees outlining current and future work initiatives each group has undertaken on behalf of the membership. It will include a presentation from the SCRS Education Committee who will be providing a detailed presentation surrounding aluminum repair approaches, techniques and considerations. Attendees are not required to be a member of SCRS to participate in this meeting. Anyone interested in learning more about the association, the work it does on behalf of the collision repair industry or interacting with the SCRS Board of Directors is encouraged to attend. Pre-registration is not required. For more information about SCRS, or to join as a member, visit our website at www.scrs.com.

Young Technician’s Program to Debut at CARS

Automotive service and repair shop owners will want their young technicians to attend this unique symposium at this year’s Congress of Automotive Service and Repair (CARS), which will be held in Detroit July 30-Aug. 2. It was designed specifically for young technicians who shop owners believe have the skills to be all-star technicians. The Young Technician’s Symposium is a first time event at CARS and will be powered by Bosch. Targeting the twoto three-year technician, Bosch trainers will use interactive teaching methods to move young technicians to electrical and driveability diagnosis with confidence and speed. ASA is working with Bob Pattengale, training manager for Robert Bosch, to address the challenges young technicians face. Donny Seyfer, chairman-elect of the ASA, which sponsors CARS, said Bosch recently conducted a trial training program with members of ASA-CO. Out of that came a two-day, four-session program that would teach techs with two or more years’ experience real-world diagnostic skills in basic electronics, gas and diesel engine management, sensors and actuators, and electronic brake management, including ABS and vehicle stability systems.

AudaExplore Pledges $150K to SkillsUSA in Tool Grants

AudaExplore has pledged a threeyear commitment of $75,000 in tool grants that will be awarded to all high school and post-secondary collision repair and refinishing students competing at the national SkillsUSA contest. By working together with industry companies and their student product discounts, the retail value of these tools will exceed $150,000. The tool grants are meant to recognize the students’ outstanding efforts in qualifying to compete at the national SkillsUSA event and help prepare them for careers within the collision industry. “This donation aligns well with our LIFT charitable giving program, which focuses on helping those in need to build sustainable roots for lasting change,” said Rick Tuuri, vice president of industry relations, AudaExplore. “The U.S. Department of Labor projected the employment growth of the automotive body segment to be 13 percent from 2012 to 2022. SkillsUSA and the Collision Repair Education Foundation have done a fantastic job enhancing career opportunities for students to take advantage of this growth, and we are proud to be a part of it.”

Audi Genuine Parts

Nothing else measures up.

THESE DEALERS are GENUINE WHOLESALE PARTS SPECIALISTS. C AL IFOR N IA

Elk Grove Toyota

Order Audi Genuine Parts from these select Dealers

ELK GROVE

916-405-4700 800-952-5307

916-405-8045 Fax Mon. - Fri. 7am - 7pm; Sat. 8am - 5pm www.elkgrovetoyota.com

50 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

So. California Audi of Downtown LA

Circle Audi

LOS ANGELES 213-747-7248 213-222-1261 Fax

LONG BEACH 800-675-2472 562-597-2854 Fax

Ask for Carlos or Fausto

Ask for Eddie or Nate

I-CAR® Conference on Future of Collision Repair and Automotive Industry, July 30 In Detroit I-CAR® announced that registration is now open for the 2014 I-CAR Conference, which will be held on July 30, 2014 at Cobo Center in Detroit. This year’s Conference picks up I-CAR’s technology advancement discussion started at the company’s 2013 Conference and will provide executives and leaders across the industry further insight into the challenges and opportunities surrounding the Technical Tsunami. John McElroy, host of Autoline Daily and Autoline This Week, will return to moderate this year’s I-CAR Conference. The Conference will feature an expanded lineup of speakers from Ford Motor Company, Oak Ridge National Laboratory, Steel Market Development Institute, Alcoa, University of Michigan, Robert Bosch LLC and more. Key topics will include: • Ford: A high impact session covering OEM strategies related to CAFE, details on the new aluminum F-150, and Ford’s enhanced Collision Repair Service Strategy • Lightweighting: Advancements and trends in Carbon Fiber, Advanced Steels, Aluminum. • The Changing DNA of the Ve-

hicle: Reinventing the Automobile. • Advanced Electronics, Communications and Safety: Vehicle Wide Driver Safety Systems: V2X Deployment, and how Vehicle Data will reshape our industry. I-CAR has also announced new, reduced pricing for this year’s Conference to encourage more of the industry to attend and hear about the important challenges being faced. The admission price is now just $250 for Early Bird registration—a promotion that is running from now through June 14. As an added bonus, all I-CAR Conference attendees will receive a FREE pass to the NACE/CARS expo, also being held at the Cobo Center on July 31 and August 1. In addition to insightful and thought-provoking presentations and panel discussions, the I-CAR Conference also offers numerous networking opportunities, including an evening reception celebrating I-CAR’s 35th Anniversary, complete with live entertainment. For more information and details on how to register, please visit: http:// i-car.cvent.com/2014Conference.

So. California Galpin Volkswagen NO RTH HIL L S

818-778-2005

FAX: 818-778-2090 www.galpin.com

Mossy Volkswagen ESCO ND ID O

760-745-8012

FAX: 760-745-7805 rcurry@mossy.com

South Bay Volkswagen

NATIO NAL CITY

619-336-4030

FAX: 619-477-6750 b.rundel@southbayvolkswagen.com

Volkswagen of Downtown LA LO S A NG EL ES

Nissan and Assured Performance Partner for Certification and Consumer Referrals

Assured Performance announced today they have entered into an agreement with Nissan to provide third-party body shop Certification services leveraging their joint effort Certification program. The program will establish a nationwide Certified body shop network and consumer referral program for Nissan. The measures are aimed at helping ensure consumer safety and buyer retention following a collision repair. Nissan will use the Assured Performance turnkey certification and business development program built through a joint-effort approach providing greater value for shops. The official Nissan Certification is based upon the bona fide repair requirements developed by Nissan and Assured Performance in a collaborative effort strictly focused on ensuring that the Certified shops have the proper training, tools, equipment, and facilities to repair Nissan vehicles to manufacturer specifications. The business requirements are essential to help ensure the fit, finish, durability, safety, and value of the vehicles being repaired. Shops must meet the certification requirements and pass an onsite inspection and audit by Assured Performance to earn the official “Nissan Certified Repair Provider” status

and leverage the exclusive access to cutting edge Nissan marketing tools and signage. Among the unique aspect of Nissan’s Body Shop Certification program is their aggressive consumer marketing program. Nissan vehicle buyers will be directly connected with their local Nissan Certified Repair Provider and the shops able to become Certified are marketed directly to the vehicle owners. Nissan Certified shops will be a part of an exclusive turnkey marketing campaign developed by Nissan. Nissan’s program also provides consumer referral elements such as a shop locator and other methods to help refer consumers to only the shops that are Certified to repair Nissan vehicles. The entire Nissan program is administer and managed by Assured Performance. Under the unique joint-effort approach, repair businesses that are Certified by Assured Performance may also officially be considered Recognized by multiple OEMs and consumer-facing organizations through one consistent process. This approach allows both the shops, Nissan, and other OEM’s to avoid duplication of effort, redundancy of equipment purchases, and extraneous inspection fees.

WE WANT TO BE YOUR SOURCE FOR REAL VOLKSWAGEN PARTS.

213-747-7246

FAX: 213-222-1272 Ask for Carlos or Erasmo

Volkswagen of Murrieta

R IVER S ID E CO U N TY

951-894-4721

FAX: 951-894-6278 michael.potter2@hendrickauto.com

No. California Dirito Bros. Walnut Creek Volkswagen WAL NU T CR EEK

925-934-8459

FAX: 925-934-0786 parts@dirito.com

We have the Real Volkswagen Collision Parts that make your job easier and your customers happier. With your skills and our parts, every collision repair will be a bang-up job. And that will add up to more repeat business for both of us. Call your order in today. These dealers are Genuine VW Parts Wholesale Specialists.

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 51

I-CAR Gold Class and ASE-Certified Shops Rewarded at NACE | CARS

NACE | CARS, held at COBO Center in Detroit July 30-Aug. 2, will offer special recognition to attendees who have a proven commitment to collision repair training demonstrated through

achievement of I-CAR Gold Class recognition or ASE Blue Seal certification. Collision and Service Repair facility personnel that belong to an I-CAR Gold Class business or hold the ASE Blue Seal certification will receive a 50 percent discount on the training and conference sessions at NACE | CARS

2014. In addition, any individual that is currently I-CAR Platinum or an ASE Master Technician will be entitled to the same 50 percent discount. This discount includes individual sessions through the Super Pass that covers sessions during the entire conference. “We want those who have achieved the highest levels of industry-recognized training and certification to be rewarded for their achievements,” stated Dan Risley, ASA president and executive director. “This is a great way to highlight an elite group and to encourage their ongoing technical and business education.” “As technology advancements dictate a necessary evolution in repairability, more collision repair businesses than ever are adopting a learning culture to ensure that they are able to per-

form safe and quality repairs,” stressed John Van Alstyne, I-CAR CEO and president. “I applaud NACE and CARS for recognizing this commitment to education and knowledge by giving back to the businesses and individuals who train.”

“ASE’s relationship with NACE and CARS goes back to the very beginning of the event, and we are pleased to once again be a part of this significant educational opportunity for the industry,” said Tony Molla, ASE vice presi-

MERA Joins the Excitement at NACE | CARS 2014 The Motor Equipment Remanufacturers Association (MERA) has joined a growing coalition of leading organizations supporting NACE | CARS 2014 Industry Week in Detroit this summer. MERA will host a Remanufacturing Technology Expo on Thursday, July 31, from 10:00 am-4:00 pm in the Ambassador Ball-

room in the COBO Convention Center. Dan Risley, ASA president and executive director, stated, “We are excited to have MERA join us in Detroit. This is a very important organization in the automotive market and their participation, content, and attendance is beneficial to Industry Week. The overriding purpose

dent of communications. “We also salute the efforts to encourage professionalism with this generous discount program for our ASE certified professionals and the businesses that employ them.” Registration is now open for NACE | CARS and hotel reservations can be made via the Travel section of the website, www.NACEexpo.com or www.CARSevent.com for the week of July 27 and all events taking place during “Industry Week” in Detroit. Now in its 32nd year, NACE|CARS will feature numerous opportunities for technical training, business education, demonstrations, networking and technology showcases for stakeholders, owners, managers and technicians in the collision and service repair industries.

www.autobodynews.com CHECK IT OUT!

of the event is to bring the industry together, and MERA’s involvement further solidifies our goal of deeper market coverage.” “Remanufactured parts offer likenew quality and real value that technicians and end users can trust,” said John Chalifoux, president and COO, MERA. “Dur-

ing the MERA Remanufacturing Technology Expo, members will showcase the advanced methods they use to restore core components to original—or better—condition and performance.” To advertise Registration information andat: the call Advertising Sales agenda is available at MERA.org/techexpo. 800-699-8251

e-mail:

advertising@autobodynews.com

volvo Genuine parts Right Part. Right Price. Right Now.

www.autobodynews.com

What are the Best Parts of Driving? Mazda Parts.

See the N

Autobody New

www.autobodyn

Your Source for Wholesale Volvo Parts So.California

Galpin Volvo VAN NUYS

818-778-2005 818-778-2090 Fax www.galpin.com

Trust your order to the collision parts specialists at these fine Dealers 52 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

Order your Genuine Mazda Parts from one of these parts specialists in your area.

SO. CALIFORNIA

Galpin Mazda Van Nuys

To advertise call Sean Hartman at:

800-699-8251 e-mail:

shartman@autobodynews.com

818-778-2005 www.autobodynews.com Fax 818-778-2090 www.galpin.com

New Study Says More Than 75% of All Pickup Trucks will be Aluminum-Bodied by 2025 Marketing research firm Ducker Worldwide is predicting that once the 2015 Ford F-150 debuts and works out the bugs with dealerships and the auto repair industry, other truckmakers will likely to follow suit. A study conducted by Ducker Worldwide for the Aluminum Association’s Aluminum Transportation Group (ATG), projects that, by 2025, more than 75 percent of all new pickup trucks produced in North America will be aluminum-bodied. The study surveyed all major automakers and reports Ford, General Motors and Fiat Chrysler will become the biggest users of aluminum sheet in the next decade. It also forecasts that the number of vehicles with complete aluminum body structures will reach 18 percent of North American production, from less than one percent today. Vehicle segments revealed as emerging aluminum content leaders are pickup trucks, sport-utility vehicles (SUVs) and both mid-sized and full-size sedans. The study finds that every leading automaker will have numerous aluminum body and closure programs by 2025. As the material mix for body and closure parts continues to change dramatically in the years to come, use

of aluminum sheet for vehicle bodies will increase to 4 billion pounds by 2025, from 200 million pounds in 2012. “The numbers tell a powerful story of aluminum’s explosive growth across the automotive sector,” said Tom Boney, chairman of the Aluminum Association’s Aluminum Transportation Group and vice president and general manager of automotive for Novelis in North America. “Within the next ten years, seven out of 10 new pickups produced in North America will be aluminum-bodied, and so too will be more than 20 percent of SUVs and full–sized sedans.” The ATG commissioned global consulting and research firm Ducker Worldwide to conduct the 2015 North American Light Vehicle Aluminum Content Study. Through detailed inperson interviews with automotive original equipment manufacturers (OEMs), component suppliers and regulators, Ducker Worldwide maintains a comprehensive material use database to track material and mass of individual components for every vehicle model manufactured in North America. The findings were compiled using data updated and verified between October 2013 and April 2014.

“Aluminum-bodied cars and trucks are coming in a big way, and soon. Consumers won’t visibly notice a different metal under the paint, but they’ll see greater savings at the gas pump and experience better performance and handling at the wheel,” added Boney. Additional findings from the study include: For 2015, pickup trucks will contain the most aluminum at 548.9 lbs. per vehicle, followed closely by E segment sedans at 546.9 lbs., SUVs at 410.3 lbs. and minivans at 396.5 lbs. The average aluminum content in 2015 will be up 44 pounds per vehicle or 13% over 2012. Total North American light vehicle aluminum consumption will increase 28% in 2015 over 2012. Tesla, Mercedes, BMW and Ford will all exceed the average aluminum content and the average aluminum share of curb weight for 2015. By 2025, 26.6% of all the body and closure parts for light vehicles in North America will be made of aluminum. Total North American aluminum content in 2025 will be 10 billion pounds.

Aluminum hood penetration will reach 85% and doors will reach 46%; complete bodies will reach 18%, from less than one percent today. Globally, light vehicle aluminum content will approach 35 billion pounds by 2025 making light vehicles the most important global market for aluminum. In a separate analysis, Bank nalyst John Murphy said that Ford’s aluminum F-150 will determine whether consumers are willing to pay a premium for a larger-but-lighter vehicle. The 2015 F-150 could be efficient enough to meet future U.S. fuel economy standards without requiring Ford to offset its performance by selling more small cars, he said. If Detroit auto makers can succeed at slashing weight from their large SUVs and pickups, Murphy said, “you could see an environment where [their sales] perform really well.” Heavy-duty pickups and SUVs are big moneymakers for Detroit auto makers and efforts to make them more fuel efficient would keep the profits flowing.

www.autobodynews.com CHECK IT OUT!

ORIGINAL GM PARTS RTS FOR A

PROFESSIONAL FINISH Call Any of These Wholesale Parts Dealers.

To advertise call Advertising Sales at:

800-699-8251 e-mail:

advertising@autobodynews.com

www.autobodynews.com

See the N

Autobody New

AU TO M OT I V E G R O U P

www.autobodyn

San Fernando Valley

We are YOUR Source for GM Parts in Los Angeles!

Serving Contra Costa, Alameda, San Joaquin Counties. An Authorized Saturn Wholesaler.

Extensive inventory — Delivery trucks are in your area Accountable, responsible & unconditionally dedicated to excellence

818-832-1660 Fax: 818-832-1692 nrparts@rydells.com Mon-Fri: 6:00 AM - 7:00 PM Saturday: 8:00 AM - 5:00 PM

Wholesale Direct: 925-828-8251 Fax: 925-829-2941 Hours: Mon. - Fri. 7am - 6pm advertise Sat. 8amTo - 4:30pm

callCt., Sean 4200 John Monego Dublin,Hartman CA 94568 at: Chevrolet•Cadillac•GMC•Buick•Pontiac Oldsmobile•Saab•Saturn•Hummer e-mail:

800-699-8251

shartman@autobodynews.com

www.autobodynews.com www.autobodynews.com | JULY 2014 AUTOBODY NEWS 53

I-CAR® And National Auto Body Council Partner on Membership Discount, 30% Off Until End of 2014

I-CAR®, in partnership with the National Auto Body Council (NABC), has announced it will pilot a membership discount program for I-CAR Gold Class® businesses. The promotional offer includes a 30 percent discount toward NABC Bronze Membership through December 31, 2014. “I-CAR and NABC have complimentary goals of encouraging professionalism and promoting a positive image of our industry,” said Jeff Peevy, I-CAR Senior Director of Field Operations and Segment Development.

“I believe all of us within the collision repair industry have an obligation to promote a positive image of it. And one of the best ways to achieve this is to support and enable the growth of an organization designed for this purpose.” NABC membership provides businesses with an array of opportunities for members to reinforce their leadership role within the industry and community, and foster goodwill throughout those communities. The NABC also implements community-based programs like Recy-

cled Rides, Distracted Driving Initiative and First Responders Emergency Extrication, while recognizing those in our industry who epitomize the fundamental goodness which exists in the collision repair world. Recycled Rides is a widely-known and unique program in which insurers, collision repairers, paint suppliers, parts vendors and others collaborate to repair and donate vehicles to deserving individuals and service organizations in local communities throughout the country.

NABC Executive Director, Chuck Sulkala explained, “In addition to helping make a difference in someone’s life, participation in NABC initiatives such as Recycled Rides, provides many intangible benefits. Within a business, it creates rewarding experiences, excitement and pride in and for your team, plus has a very positive impact on the community. The enhanced recognition of our member’s businesses in their community as a result of gifting a Recycled Rides vehicle is an added benefit of membership.”

AUTOBODY MARKETPLACE

Looking for Good Collision Personnel?

Auto Body Best Location in LA • 6,700 sq. ft. & Mechanic • Long Lease Shop $175,000 OBO

•1,262 Collision Techs resumes online •1,295 Painters resumes online •1,177 Estimators & Mgs resumes online •11,256 Mechanical Tech resumes online

For Sale Call 818-679-7947

ACTautostaffing.com or 727-733-5600

TheFastenerWarehouse.com

Save 40-60% • Easy to navigate online catalog • Same or next day priority shipping • Check out our monthly specials • Use promo code TFW at check out to receive an additional 5% savings

When all you need to do is move a vehicle, use:

800.281.6399 TFWHouse@aol.com WHEELS AMERICA

Nine Locations in the USA!

• Thousands of OEM Remanufactured Wheels in Stock 101 • Lifetime Guarantee • CNC Quality • Powder Coated

Compare our $130 and less gallon kits of clears against the competitors $400 kits of clear and see the difference every time.

House of Klear 818-504-4933 Sun Valley − Valencia − Maui Santa Ana − Van Nuys Find out for yourself why so many painters love Southern Polyurethanes.

> EASY TO USE <

SAVES YOU TIME AND MONEY

Go to www.forkliftwrecker.com and watch our video.

877.593.6959

www.southernpolyurethanes.com

888-4-FIX-RIM $109 to repair with this ad www.fixrim.com

Search:

Autobody News on Facebook

800-524-1504 www.red-viper.com

www.autobodynews.com

Call or e-mail now for rates: 800-699-8251 or ltedesco@autobodynews.com

CHECK IT OUT!

54 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

www.autobodynews.com | JULY 2014 AUTOBODY NEWS 55

56 JULY 2014 AUTOBODY NEWS | www.autobodynews.com