NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 1
THE OFFICIAL PUBLICATION OF THE ALLIANCE OF AUTOMOTIVE SERVICE PROVIDERS/NEW JERSEY (www.AASPNJ.org) AND THE AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY (www.ARANJ.org)
TM
April 2015 $595
www.grecopublishing.com
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 2
2 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 3
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 4
4 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 5
New Jersey Automotive | April 2015 | 5
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 6
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 7
P.O. Box 734 Neptune, NJ 07753 EXECUTIVE DIRECTOR Charles Bryant 732-922-8909 / setlit4u@msn.com 2013 - 2015 OFFICERS PRESIDENT Jeff McDowell, Leslie’s Auto Body 732-738-1948 / chacki@aol.com COLLISION CHAIRMAN Dave Laganella, Peters Body and Fender 201-337-1200 / petersbandf@gmail.com MECHANICAL CHAIRMAN Keith Krehel, Krehel Automotive Repair, Inc. 973-546-2828 / krehelauto@aol.com TREASURER Tom Elder, Compact Kars, Inc. 609-259-6373 / compactkars@aol.com SECRETARY Thomas Greco, Thomas Greco Publishing, Inc. 973-667-6922 / thomas@grecopublishing.com BOARD Jerry McNee, Ultimate Collision Repair, Inc. 732-494-1900 / ultimatecollision@att.net
Sam Mikhail, Prestige Auto Body 908-789-2020 / mikhail@goldcar.com Ted Rainer, Ocean Bay Auto Body 732-899-7900 / trainer@verizon.net
Anthony Sauta, East Coast Auto Body 732-869-9999 / ecabofnj@aol.com
CONTENTS
VOLUME 45, NUMBER 4 | April 2015
8 OUT OF BODY (AND MECHANICAL) EXPERIENCES 10 PRESIDENT’S MESSAGE 66 NJA ADVERTISERS INDEX
14 11th Annual Lou Scoras Memorial Golf Outing Registration
FEATURES
16 Legal Battles, Legislation Highlight NORTHEAST® Leadership Meeting 20 “Predictive Estimating” Spotlighted During Montanez-Felder NORTHEAST Debate
NORTHEAST 2015 COVERAGE by Joel Gausten
24 SALES AND SUCCESS: VENDORS REFLECT
ON AN UNFORGETTABLE NORTHEAST
Randy Scoras, Holmdel Auto Body 732-946-8388 / randy@holmdelautobody.com
Anthony Trama, Bloomfield Auto Body 973-748-2608 / anthony@bloomfieldautobody.com BOARD ALLIED Joe Amato, The Amato Agency 732-530-6740 / joesr@amatoagency.com
Mike Kaufmann, Advantage Dealer Services 973-332-7014 / mkaufmann@advantageds.com PAST PRESIDENT ATTENDING Tom Elder, Compact Kars 609-259-6373 / compactkars@aol.com
PUBLISHER Thomas Greco (thomas@grecopublishing.com) DIRECTOR OF SALES Alicia Figurelli (alicia@grecopublishing.com) EDITOR Joel Gausten (tgpjoel@verizon.net)
MANAGING EDITOR Jacquelyn Bauman (jacquelyn@grecopublishing.com) ART DIRECTOR Lea Velocci (lea@grecopublishing.com)
OFFICE MANAGER Donna Greco (donna@grecopublishing.com)
CONTRIBUTING EDITORS
Charles Bryant • Tom Greco • Jeff McDowell Mitch Portnoi • Dave Laganella • Ron Ananian
Published by: Thomas Greco Publishing, Inc. 244 Chestnut Street, Suite 202, Nutley, NJ 07110 Corporate: (973) 667-6922 / FAX: (973) 235-1963
www.grecopublishing.com
53 AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY Wharton Insurance Briefs
The Alliance of Automotive Service Providers/New Jersey Joe Amato, Sr. Ron Ananian Jim Bowers Charles Bryant Don Chard Guy Citro Ed Day Dave Demarest
HALL OF FAME
Tom Elder Bob Everett Thomas Greco Rich Johnson Wes Kearney Nick Kostakis Jim Kowalak Joe Lubrano
Michael Lovullo Sam Mikhail Ron Mucklow George Petrask Russ Robson Jerry Russomano George Threlfall
Cynthia Tursi Lee Vetland Paul Vigilant Rich Weber Brian Vesley Glenn Villacari Stan Wilson
NEW JERSEY AUTOMOTIVE is published monthly and is sent to AASP/NJ and ARANJ members free of charge. Subscriptions are $24 per year. NEW JERSEY AUTOMOTIVE is published by Thomas Greco Publishing Inc., 244 Chestnut St., Nutley, NJ 07110. The editorial contents of NEW JERSEY AUTOMOTIVE are copyright © 2015 by Thomas Greco Publishing Inc. and may not be reproduced in any manner, either in whole or in part, without written permission from the publisher and/or editor. Articles in this publication do not necessarily reflect the opinions of Thomas Greco Publishing Inc. Images courtesy of www.istockphoto.com. Cover photos courtesy of Mike Petzinger, www.mikepetzinger.com
New Jersey Automotive | April 2015 | 7
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 8
OUT OF BODY (AND MECHANICAL) EXPERIENCES
“Meet Me Tonight in Atlantic City…”
by THOMAS GRECO, PUBLISHER
Am I the only one who has noticed that the once vibrant casino industry in Atlantic City is slowly washing away into the Atlantic Ocean? Now, I was never a big gambler, and I was never a huge fan of Atlantic City. I mean, after all, once you left the boardwalk or the marina, you were basically in a war zone. Still, it saddens me to see something that was once a benchmark for our state fade away into a memory while no one seems to care. My earliest memories of Atlantic City deal more with entertainers than with gambling. I knew that Dean Martin first teamed up with Jerry Lewis there. I knew the Beatles played there. But until gambling was legalized, I don’t think I ever ventured south of Seaside Heights. I could tell my dad was excited by it, though. In the late
8 | New Jersey Automotive | April 2015
’70s, he would come home from work and say to my mom, “Mate, go to the bank and get a grandski. We’re going to AC tomorrow!” The next day, he would pile my mom, my sister, me and anyone else who wanted to come into the Caddy and we would head down the Parkway. Once we got there, he would hand each of us a hundred and say, “Go win a million!” I wasn’t old enough to gamble, but I guess I must have looked it. My sister and I would head to the blackjack tables and play five dollar hands. My mom searched out a slot machine of her liking and my dad would run to the craps tables. Man, did he love craps. He tried to teach it to me many times, but I could never get the hang of it. To this day I still don’t understand the game. We would do this maybe twice a year for the next few
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 9
years. I don’t remember any of us ever winning, but we always had a ball. The lunches and dinners were always more fun than the gambling for me. Since we never really traveled much as a family, they were times I look back on and treasure. Another big part of the fun was the ride down and back. My dad NEVER stayed over, so we spent the two-and-a-half hour drive playing games and singing songs. One particular time stands out when my oldest brother Ralph came along (yes, that’s the same Family Feud “iron and steel” Ralph). On the way home, the old Shangri-Las song “Leader of the Pack” came on the radio. Ralph cleverly changed the song to “Leader of the Crack” and made up an entire pornographic version of the song, singing different variations of it the entire way home. Good times. Unfortunately, not all of my Atlantic City memories are good. My first great love affair came to an end there one summer night in 1983. My girlfriend and I had spent three years waiting for a time to spend an entire night together. After a five-year crush and a three-year relationship, we had finally worked up the nerve to tell her parents we were going to spend the weekend in Atlantic City to celebrate my college graduation. We had planned this weekend for
months, but on the way down she suddenly became “sick.” By the time we got there, she went straight to her bed and never left. At 22, I didn’t have the maturity or the patience to deal with that kind of situation. Things were said. Walls were punched. Tears were shed. And eight years were washed away with a single four-letter word and the slamming of a car door. A little over a year later, my dad asked me to take a ride with him. We had been spending more time together than ever. Work was slow for him and I had Friday afternoons off, so we started a tradition of going to movie matinees together. Being the youngest, I never got to spend a lot of alone time with my dad, but over those last couple of years of his life (and with me being the only one still at home), we grew closer. That ride we took was to Atlantic City. It was the only time I ever remember going there alone with him. We had such a great time. He played his craps; I played some blackjack and roulette. We ate at a deli on the boardwalk and he even let me drive home. I think that may have been the last time we did anything together. It was a day I’d forgotten until I started thinking about writing this article. continued on page 59
New Jersey Automotive | April 2015 | 9
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 10
PRESIDENT’S MESSAGE
ANOTHER TRIUMPH I am writing this message shortly after returning from AASP/NJ’s NORTHEAST® 2015 Automotive Services Show, and all I can say is, I could not be more proud of the successful weekend our association hosted at the Meadowlands. Wall-to-wall exhibitors and attendees braved the snow and came out to the Meadowlands Exposition Center to show their support for our 38th annual event, participate in product demonstrations and network with their industry peers. Throughout the NORTHEAST weekend, I was pleasantly surprised by the amount of industry professionals who stopped me to discuss their great experience with this year’s seminar offerings. Every year, we put our heads together to try and offer a balanced educational experience for our
10 | New Jersey Automotive | April 2015
attendees. This year was no different, with informational presentations focused on topics ranging from painting with nitrogen and I-CAR training to insurer-shop relations and everything in between. The attendance rates on these seminars were among our highest in recent memory and illustrate our area’s desire to better ourselves as business owners and technicians. It’s a promising trend, and I hope it continues for years to come. I’d like to personally thank each and every exhibitor, sponsor and attendee who walked the NORTHEAST floor this year, as it is your support that continues to help our flagship event grow by leaps and bounds. I look forward to seeing you all next year, and cannot wait to see what new innovations and technologies will be
by JEFF MCDOWELL
showcased at NORTHEAST 2016. As we get deeper into the spring, I am also looking forward to another highly anticipated AASP/NJ event: our annual Lou Scoras Memorial Golf Outing. I hope to see all our familiar faces - as well as new ones - at the Colonia Country Club on May 18, as we come together for a fun day of golf in honor of our dear departed friend. For more details on this year’s Golf Outing, please see page 14. If you’re not a golfer, don’t worry; neither am I! It’s a terrific day of getting together with our industry friends for a great cause, as proceeds from the outing help fund a scholarship in Lou’s name. I hope to see you there! NJA
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 11
New Jersey Automotive | April 2015 | 11
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 12
12 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 13
New Jersey Automotive | April 2015 | 13
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 14
11TH ANNUAL 2015 AASP/NJ LOU SCORAS MEMORIAL GOLF OUTING
Monday, May 18, 2015 THE COLONIA COUNTRY CLUB • 300 Colonia Blvd., Colonia, NJ 10:00am Registration Begins 11:30am Lunch Served 1:00pm Shotgun Start 5:30pm Cash Bar 6:30pm Dinner PLAYER REGISTRATION
Please list your players, company and phone number below:
Number of players:
___ x $225.00 = $ ____________________
Sponsor/Shop Name
Dinner only:
___ x $75.00 = $ ____________________
______________________________________
Hole Sponsorship:
___ x $400.00 = $ ____________________ Total Amount: $ ____________________
All payments must be received prior to the day of the outing.
Street: ________________________________ City: __________________________________ State: ______________ Zip Code: ____________ Phone: ________________________________ Fax: __________________________________ Email: ________________________________ Contact: ________________________________ ___ Hole Sponsorship ___ Platinum, Gold, Silver or Bronze Sponsorship
Please make checks payable to AASP/NJ Mail to: AASP/NJ, c/o Charles Bryant P.O. Box 734, Neptune, NJ 07753
_____ Check Enclosed OR _____ Bill My Credit Card ___ Visa ___ MasterCard ___ Amex ___ Discover Card #: ______________________________________________Name on Card: ____________________________ Exp. Date: ____________________________________________Security Code: ____________________________ Billing Address: ________________________________________________________________________________
Ask about our Platinum, Gold, Silver and Bronze Sponsorship Opportunities
This year’s outing is dedicated to the late Lou Scoras of Holmdel Auto Body. Part of the proceeds from this year’s outing will go toward a collision industry scholarship fund.
14 | New Jersey Automotive | April 2015
Contacts: Charles Bryant: (732) 922-8909 Randy Scoras: (732) 946-8388 The Colonia Country Club: (732) 381-9500 www.aaspnj.org for more information or to register
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 15
New Jersey Automotive | April 2015 | 15
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 16
Legal Battles, Legislation Highlight
FEATURE by Joel Gausten
LEADERSHIP MEETING
Considering the various actions taking place in courtrooms and State Houses across the country, it wasn’t surprising that discussions on major movements in the legal and legislative arenas took center stage at the 2015 East Coast Resolution Forum and Leadership Meeting at the NORTHEAST 2015 Automotive Services Show. Co-presented by AASP/NJ, SCRS and NYSACTA/LIABRA and held March 20 at the Meadowlands Exposition Center in Secaucus, the afternoon session saw a variety of state associations provide extensive updates on their activities on behalf of the industry.
AASP/NJ’s Charles Bryant, SCRS’ Aaron Schulenburg and NYSACTA/LIABRA’s Ed Kizenberger were among the industry leaders who participated in the 2015 East Coast Resolution Forum & Leadership Meeting at the NORTHEAST Automotive Services Show.
16 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 17
In his report to attendees, AASP/NJ Executive Director Charles Bryant shared that an encouraging number of his members are putting in the work necessary to address issues with paint and materials reimbursement in the Garden State. To date (and since the State of NJ issued a bulletin encouraging insurers to use a paint and material cost accounting program), members of the AASP/NJ community have submitted more than 350 complaints to the New Jersey Department of Banking and Insurance (DOI) regarding instances where insurers failed to recognize the use of a paint and material cost accounting program or to justify their allowances. However, Bryant stated that the DOI has recently told one member of the association that they will no longer accept complaints that are not either directly submitted by consumers or directly authorized by the consumer for submission. “I found it interesting that they told me to encourage our members to put in enough complaints to show that this problem has reached a level that would be considered a general business practice, and once we started to really put them in and get them built up like they asked for, now they are telling our members they can’t put any more complaints in,” he offered. “In [a 2007 DOI bulletin regarding paint and materials], it says that an insurer must be able to justify their allowance. I don’t think there is any way you can justify a number that’s pulled out of the sky that is not related to the variables such as the color or type of paint multiplied by the amount of hours on the job.” Despite record snowfall in Massachusetts slowing down activities in the Legislature, AASP/MA Executive Director Jillian Zywien told attendees that her association currently has five bills filed at the State House in support of the state’s collision repair industry. These include a consumer notice piece that would mandate that insurers notify the customer in writing of their rights (i.e., having their work guaranteed by any shop, their right to choose a shop, etc.), as well as a bill that would eliminate the use of aftermarket parts if their use voids the consumer’s warranty. Additionally, AASP/MA is promoting passage of a bill that would place the state’s Auto Damage Appraiser Licensing Board (ADALB) under the direction of the Division of Professional Licensure. “The Board is currently under the authority of DOI, which governs insurance companies and insurance policies,” she said. “Appraisers are neither of those things. Appraisers are licensed professionals, and most licensed professions in the Commonwealth are governed by the Division of Professional Licensure.” Although he is currently promoting a bill on behalf of his members that would restrict an insurer from telling a body shop where to purchase auto parts, NYSACTA/LIABRA Executive Director Ed Kizenberger warned that anyone looking to pursue legislation could have a long and frustrating mountain to climb.
“I would caution anybody who would be proposing legislation to look at it from several different angles. Make sure you understand what you’re in for, because it doesn’t get any easier once you get involved in it.”
- Ed Kizenberger
“We are severely outgunned,” he observed. “I would caution anybody who would be proposing legislation to look at it from several different angles. Make sure you understand what you’re in for, because it doesn’t get any easier once you get involved in it.” Mike Parker, president of the Vermont Auto Body Association (VABA) and owner of Parker’s Classic Auto Works in Rutland, informed attendees of his recent $53,000 victory against Allstate for short-pays in a multitude of areas including paint and materials, sublet markup and P-Page operations. Initially filed in October 2012, the suit enabled Parker’s Classic Auto Works to stand in the shoes of 70 Allstate insureds and request compensation for the work performed at the shop. “We, Parker’s Classic Auto Works, did not sue Allstate,” he explained. “We took the Assignment of Money Due [option]; it gives us the opportunity to do any legal measure that the consumers themselves can do to collect the money, including suing the insurance companies.” In addition to awarding Parker $35,091.58 for the short-pays, Parker also received $18,167.69 in pre-suit interest. This pre-suit interest is a matter of law in Vermont. The rate was set by the legislature at 12 percent per annum and accrued from the date each invoice was presented to Allstate to the date of the jury verdict on February 18. With so much mainstream media attention (including the recent report by CNN) currently being placed on the automotive repair industry, it isn’t shocking that lawmakers are paying attention. Tony Ferraiolo, president of the Auto Body Association of Connecticut (ABAC), praised Connecticut Senator Richard Blumenthal for his push to get the Department of Justice to investigate the insurance industry’s influence over parts usage (“Senator Calls for Department of Justice DRP Probe, NJA, March 2015). “I’m very proud that he’s our senator; he has stepped up and is going out there and letting everybody know that there’s a problem in the repair process,” he said. “It could be a safety issue. Hopefully, we can all support him in his efforts and it’ll finally get somewhere sometime.”
continued on page 60 New Jersey Automotive | April 2015 | 17
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 18
18 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 19
New Jersey Automotive | April 2015 | 19
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 20
FEATURE by Joel Gausten
“Predictive Estimating” Spotlighted During MontanezFelder NORTHEAST Debate
In 2011, the Alliance of Automotive Service Providers (AASP), the Society of Collision Repair Specialists (SCRS) and the Automotive Service Association (ASA) issued a joint statement acknowledging OEM repair information as the standard of repair. One of the most prominent responses to the associations’ position subsequently came from Toyota, who has spent recent years developing what is commonly known to the industry as their “predictive estimating” (or “Recommended Procedures”) system. Slated to be officially launched this summer after some delays, the system is said to be designed to allow collision repair estimates to be completed in just minutes, as the system will provide end-users with a complete list of all the parts, documentation and critical information required for repairing Toyota vehicles to pre-accident condition. The collision industry’s interest in the “predictive estimating” concept was one of
the major topics discussed during “Industry Showdown: Montanez & Felder Tackle the Issues,” a spirited March 20 debate between industry figures Larry Montanez and Kristen Felder during the 2015 NORTHEAST® Automotive Services Show in Secaucus, NJ. One of the East Coast’s most popular and influential industry speakers, Larry Montanez (Lange Technical Services/P&L Consultants) offered a collision repair technician’s perspective, while Collision Hub CEO Kristen Felder (a former corporate trainer for State Farm and past DRP manager for Nationwide Insurance) stepped into the role of the insurance industry for an indepth look into the possible advantages and pitfalls of “predictive estimating.” Looking back at her time in the insurance field, Felder shared that she would have embraced this technology if it had been available at the time.
“‘Predictive estimating’ is very interesting,” she said. “At one point, I think I had 900 estimators who reported to me. It’s hard to hire [them], hard to train them and hard to keep them on the road and engaged in their jobs...Having an estimating system that helps them do that job – and be less influenced by the people around them and more influenced by the system – is kind of exciting for me.” Despite Felder’s enthusiasm, Montanez was quick to express a multitude of concerns over the developing system. “I think it’s an insult to the industry; it’s a slap in the face,” he proclaimed. “Anybody who supports it obviously wants to downplay the importance of collision repair. What has happened over the years is that shops want things easier. For those out there who hate the DRP system, hate steering and hate anything else about the whole idea of insurance companies forcing customers to their shops, let’s all go back to about 10-15 years ago. [Some shops said], ‘I don’t want to deal with customers. Just send me the car and let me repair it.’ Well, you got what you wanted; Progressive is here with the Concierge program. Now you want to cry about it. Really? You asked for it; you got it. Now you want ‘predictive estimating.’ Do you think it’s going to make your jobs easier? All that means is that someone’s going to put together a list of stuff that [for example] you have to do to this door per the manufacturer. Then, all of a sudden they’re going to take out all the overlapping, take out all the extra procedures – and it doesn’t go across all three database systems. You’re dumbing down the system; you’ll make less money on it.” Additionally, Montanez noted that certain databases do not properly accommodate
Ed Kizenberger (center) moderated a discussion between Larry Montanez (left) and Kristen Felder (right) during the 38th annual NORTHEAST Automotive Services Show.
20 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:01 PM Page 21
AASP/NJ Treasurer Tom Elder was one of many attendees who took advantage of the open-mic question segment of the debate.
the needs of technicians because they do not include enough lines for the estimate. He claimed to average around 350 lines in a typical estimate, including procedures that automakers don’t take into account. Felder called an estimate of this size “an anomaly” and not an example of the kind of estimates commonly found in the field. In her mind, the majority of carriers and high-volume shops are looking for an easy-to-use system to help them write estimates based on OEM procedures. “I have not talked to an insurer yet that is upset at Toyota’s ‘predictive estimating’ program,” she said. “We hope for [the attendees here], it eases some frustration.” Focusing on Toyota’s program in particular, Montanez insisted that “predictive estimating” as it is currently being presented is far from a complete solution to estimating problems on the shop floor – especially when there are still elements to the repair process not included in the proposed system. “Toyota doesn’t care about how many car covers you need; Toyota doesn’t care about color, sand and buff,” he says. “Toyota is not going to care about how many test drives you’re going to have to do, how many cleanings of the car you’re going to have to do or exactly what Mitchell, Audatex or CCC are going to include in that labor procedure for replacing an upper rail. They’re only concerned with what they look at. “Additionally, when Toyota is going to do it, it’s going to go by the book meaning that they’re going to use mechanical-type processes, actual time. You’re going to lose money in the long run, probably.” NJA
New Jersey Automotive | April 2015 | 21
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 22
22 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 23
New Jersey Automotive | April 2015 | 23
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 24
SALES AND SUCCESS:
NORTHEAST® 2015 by Joel Gausten
VENDORS REFLECT ON AN UNFORGETTABLE
Even snow on the first day of spring couldn’t stop NORTHEAST.
D
espite some annoying conditions on the road, AASP/NJ’s 2015 NORTHEAST Automotive Services Show arrived at the Meadowlands Exposition Center in Secaucus on March 20 to welcome the largest crowd in its 38-year history. Of course, this means that the hundreds of vendors that packed the show floor also enjoyed their best three days ever at the show. In addition to highlighting their R-M Onyx HD and SmartTRAK color tools at their sizable booth, Platinum Sponsor BASF hosted a guest appearance and autograph session by Ryan Friedlinghaus
OEMS AND TECHNICIANS CONNECT AT NORTHEAST 2015 (Left to right): Gary Wano, Gary Ledoux, Aaron Clark, John Bosin and Farzam Afshar The true sign of success for a regional trade show is not only the number of people it reaches, but the geographical relevance it has as well. This year, the National Automotive Service Task Force (NASTF) hosted its Spring Board and General Meetings at NORTHEAST for the first time in the show’s history. While NORTHEAST has had a national reach by hosting the AASP National Board Meetings and the annual Leadership Meeting and Resolution Forum (co-presented by AASP/NJ, NYSACTA/LIABRA and SCRS), this is the first time an organization dedicated to connecting technicians and manufacturers has been represented at the annual event. The General Meeting, which was live-streamed during the presentation and is available for viewing at nastf.org, covered a variety of different topics from various OEM representatives from manufacturers like Volkswagen, BMW and Honda. These representatives
24 | New Jersey Automotive | April 2015
discussed education, equipment and tooling, service information and communication – topics which all heavily affect day-to-day business in the shop. One panel featured VeriFacts’ Farzam Afshar, I-CAR’s John Bosin, Assured Performance’s Aaron Clark, American Honda’s Gary Ledoux and G.W. & Sons Auto Body’s Gary Wano. These industry experts, moderated by ASE’s Teresa Bolton, discussed the current status of the automotive repair field, as well as what is most likely to affect technicians next. “Don’t just assume you have the knowledge set to repair these new vehicles coming out, because that in and of itself is dangerous,” said Wano. “Today is the day to jump in and create a business model based on education. This will prepare you as time goes on.”
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 25
of West Coast Customs on March 21. Obviously, this resulted in heavy traffic to the booth throughout the weekend. “BASF always enjoys participating in the NORTHEAST show, as it allows our regional team the opportunity to interact with the customers while demonstrating what BASF has to offer the industry,” says Tina Nelles, marketing services manager for BASF Automotive Refinish. “Attending the NORTHEAST show is important to BASF, as it demonstrates to the industry the importance of the region and the ability to interact with our customers. It allows us firsthand to hear our customers’ challenges and opportunities to help drive customer success.” After earning considerable attention at last year’s show with their extensive display including a cutaway of the aluminumintensive 2015 F-150, Ford Motor Company returned to NORTHEAST this year to reach out to attendees now that the much-discussed vehicle is officially in the marketplace. In addition to being available to answer questions or concerns from shop owners and technicians on the show floor,
ASSIGNMENT OF PROCEEDS, CNN HOT TOPICS AT AASP NATIONAL MEETING
Photos by Mike Petzinger
AASP/NJ Executive Director Charles Bryant represented the association at the AASP National Board meeting.
On March 20, prior to the start of NORTHEAST 2015, representatives from a number of AASP state affiliates gathered at the Meadowlands Exposition Center for the spring AASP National Board Meeting. The morning gathering included representation from AASP/NJ. During his update, AASP/NJ Executive Director Charles Bryant noted a recent upswing in members using the Assignment of Proceeds to get insurers to pay the full amount to bring a customer’s vehicle back to pre-loss condition. “For the most part, they’re not getting into court,” he shared. “The insurer will do everything in their power to try to shut the shop down prior to getting to court. Most of the time, if it gets [close] to the court date, it gets settled...Obviously, they
don’t want to get these issues in front of a judge or jury through the Assignment of Proceeds.” During a discussion on the recent CNN report on the insurance industry’s use of aftermarket and salvage parts, AASP/NJ representative Nick Kostakis expressed concern that the broadcast didn’t offer a complete and accurate portrayal of the issue. “One thing that I thought was inaccurate about it was the fact that it implied that if your vehicle goes to a network shop, it’s going to be prone to all these cost-cutting measures,” he said. “That’s certainly true, but does that same pressure apply almost to the same extent no matter what shop it winds up in? The market that the insurance company creates through their networks gets cut and pasted through the entire industry.”
The autograph session with West Coast Customs’ Ryan Friedlinghaus was a big hit at NORTHEAST 2015.
New Jersey Automotive | April 2015 | 25
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 26
NORTHEAST® 2015
Ford attended the show to help educate the industry on the new aluminumintensive F-150.
Ford engineers Larry Coan and Gerry Bonanni hosted special seminars in the Demo Area at the AASP/NJ booth throughout the weekend to help attendees become better acquainted with the new F150’s design, features and approved repair procedures. Encouraged by both the size of the audiences that gathered for these presentations and the positive feedback from show-goers on the F-150 itself, Coan says that NORTHEAST showed Ford that the industry has taken positive steps to prepare for this exciting new era of vehicle repair and technology. “We’re getting a lot of folks saying they’re ready to do the repairs and are waiting for a truck to come in,” he offered from the floor during NORTHEAST 2015’s closing day. “What we’ve been hearing a lot [at NORTHEAST] is, ‘We’re trained and ready to go.’” While the need to inform the industry of the 2015 F-150 has required Ford to
Innovative Solutions & Technology appeared at NORTHEAST to promote Pro Spot.
26 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 27
promote the vehicle at a variety of national events in recent times, Coan believes that the manufacturer’s outreach on a local level has been equally important in getting shops up to speed. “I think doing a regional show has its advantages,” he says. “You’re probably reaching out and getting to folks who wouldn’t necessarily go to a national show, but are able to get to a show like this. It’s great that Ford Motor Company is able to send representation to these shows and get out to these areas. We wanted to make sure that we reached out to the collision industry in every way that we could; we wanted to make sure we got everyone equipped and ready to go as soon as the truck hit the street. Our communication plan and coming to different trade shows is a very important piece of that.” With the F-150 starting to hit the streets, shops need the right equipment to handle the demands of these new vehicles. That’s where Innovative Solutions and Technology comes in. As a distributor for Pro Spot, Innovative is getting the right tools and equipment directly into the shops that will soon repair the truck and other aluminum-intensive rides. Moving forward, the field will see more aluminum, higher-strength steels and composites to lighten vehicles for better fuel economy. There is also a huge buzz about Silicon Bronze and its use on higher-strength steels as used in the Honda Accord and Acura MDX. Naturally, the company used NORTHEAST as a way to reach out to this growing market. “The show is growing in a great direction,” offers Innovative Solutions representative Todd Witten. “The buzz is out there that it’s a great show to come to and is very informative, especially when trying to move forward with an ever-changing industry.” In addition to hosting a weld simulator contest at the show, Innovative used their time at NORTHEAST to connect directly with the shops that use Pro Spot’s
TAPPING INTO THE MOBILE MARKET
If you think you’re ahead of the marketing game because you have a nice website, think again. These days, you need to be able to effectively market yourself to mobile phone users as well as those customers who sit in front of a conventional computer. During the Mitchell Internationalsponsored “Marketing to the Connected Consumer” on March 20, Frank Terlep of Summit eMarketing
Internet marketing expert Frank Terlep
Sherpas explored ways that the industry can better communicate with Generation “C” (Connected) - a consumer base not exclusive to any specific age group or demographic. According to Terlep, there are currently 570 million daily active mobile users on Facebook, while Google has announced that they will be implementing a new algorithm in their search function on April 22 that could knock any website that isn’t mobile-ready off the all-important first page of search results. If you’ve ever considered upgrading your website to a mobile platform, now is the time. “Fifty percent of mobile users today use their mobile phone to get Internet,” Terlep said. “If I’m looking up ‘auto body shops Connecticut’ or ‘auto body shops New York’ and I pull up a website and it looks [bad], I’m going to go to someone else.”
MANAGEMENT FOR CARS... AND PEOPLE
On March 21, noted speaker Lee Rush (who serves as SherwinWilliams’ manager of business consulting services) presented “Damage Analysis and Blueprinting” and “Administration Performance Management.” The first class covered the importance of a full and accurate Repair Order and its role in a lean collision facility. It delved deeply into the mechanics of a comprehensive Damage Analysis, with specific steps outlined to ensure that participants learned how to conduct a thorough analysis of a vehicle and transfer that data into a blueprint/RO prior to launching that job into production. “If I completely disassemble the vehicle, does that increase or decrease the chance that I’m going to have a 100-percent accurate repair?” Rush asked. “It’s going to increase it. It’s not perfect; I can make mistakes. But it certainly gives me an opportunity to capture all the damage.”
Industry instructor Lee Rush
Rush’s second course covered the importance of performance management and its role in a lean collision facility. Rush outlined specific steps to ensure that participants left with critical insight into how to manage employee performances in sales and service – including those instances when a family member is working for you. “In a family or out of a family, human behavior is the same,” he said. “Unaddressed, behavior will continue to trend in the way it’s trending. Addressed, most of the time it will improve.”
continued on page 30 New Jersey Automotive | April 2015 | 27
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 28
28 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 29
New Jersey Automotive | April 2015 | 29
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 30
NORTHEAST® 2015 continued from page 27
WASTE THE RIGHT WAY
Let’s be honest; collision repair isn’t the cleanest business in the world. Even the tidiest, most organized shops generate waste of some kind that needs to be disposed of in a legal and professional manner. In an effort to better inform shop owners of their risks and responsibilities, Scott Hubbard of Environmental consultant Environmental Compliance Monitoring Scott Hubbard appeared at NORTHEAST to present “Waste Disposal Techniques for Automotive Service Facilities” on March 20. The hour-long discussion offered attendees an overview of waste disposal methods and practices for automotive service facilities to comply with Federal and State regulations regarding solid waste, hazardous waste, universal waste, waste oil heaters, wastewater and more. Not surprisingly, Hubbard stressed the importance of shops maintaining good recordkeeping when dealing with removing waste from their facilities. For example, they should ensure that the used oil transporters and receiving facilities they utilize are licensed with the NJDEP. Additionally, shops should obtain the necessary documentation to help protect them in case the waste is somehow disposed of improperly by the third party, or if something goes wrong once the material is out of their hands. “There’s always a liability when you’re getting rid of batteries, tires or anything,” he said. “[In case] those tires and batteries fall through the cracks, I always recommend that you get a reliance letter from whoever’s taking your waste.” For information on a free voluntary program that helps businesses cut costs through environmental best practices, visit www.nj.gov/dep/dshw/recycling/wastweise/brbn03.htm.
Valspar enjoyed a fantastic weekend at NORTHEAST.
30 | New Jersey Automotive | April 2015
rivet guns, welders and aluminum repair stations every day. Additionally, Witten was pleased to see shop owners gathering at the display to share their aluminum experiences with one another. “Some people were very skittish about getting into aluminum, but they could talk to another shop owner who was in the booth,” Witten says. “It worked really well.” Gary Ledoux, assistant national manager for American Honda’s Collision Parts Marketing group, flew in from California to attend NORTHEAST for the first time and was immediately blown away by what AASP/NJ had put together. “This is a wonderful show,” he offers. “There is a lot of energy and people here. We chose this show to be the springboard for our ProFirst Certified shop program. We’ve had a lot of buzz about it already, and people have been stopping by the booth to talk about it. It worked out great. With the program, we want to put an emphasis on making sure the car is repaired completely and safely so that Honda and Acura owners have a good, safe post-repair car to drive.” While major companies like Honda are utilizing the Internet more and more for their marketing, Ledoux believes that NORTHEAST still offers the automaker – and the many other vendors that appeared this year – a great opportunity to meet with customers on a personal level. As he says, “There’s no substitute for good old face-to-face communications – and that’s what you get at this show.” “There’s nothing like having interaction with a customer on a face-to-face basis,” concurs Carmine Mirtuono of Sherwin-Williams, who has personally attended the show for more than two decades. “If we’re purely selling a widget or a piece of sandpaper – something that’s more of a consumable and a transactional sale – then you can easily do that online. The type of services and products we offer are really more in-depth and are closer and more involved in the collision industry. You really
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 31
Clockwise from left: Honda used the show to promote their new ProFirst Certified shop program; custom painter Javier Soto showcased his talents at the show, painting unique works of art on various items such as skateboards and car hoods; with no shortage of artistic talent at the show, Nub from Nub Grafix (courtesy of Matrix System Automotive Finishes) created custom designs with intricate pinstriping.
need to have that touch time with your customers so they can ask you questions and you can understand what their real needs are and develop a positive approach to help them out.” Longtime NORTHEAST participants Valspar used their 2015 display to spotlight the House of Kolor line of premium custom finishes for the first time ever at the show. This special attraction, coupled with the presence of a beautiful ’65 Mustang as part of their presentation, added a new level of excitement to Valspar’s spot on the floor. Additionally, Valspar currently boasts approvals by GM, Ford and Chrysler – another key factor in the steady and enthusiastic traffic they enjoyed throughout the weekend. Valspar Marketing Manager Gina Mahan credits much of NORTHEAST’s success to its stellar location in the region. “The unique thing about the Northeast is that its population is so dense; this show brings in a lot of people in one space,” she says. “We see entire body shops coming out, whereas we may only
Sherwin-Williams supported NORTHEAST by exhibiting in addition to facilitating two seminars.
see one or two people from a shop at a national show. Keeping it regional in New Jersey is great because we have so many people coming out with their entire staff to look and see what this show is all about and interact with Valspar. I like that we have customers coming up to us and saying, ‘I’ve used House of Kolor for years!
I love it!’ I just love talking to the customers here and hearing why they love us and what they want to see from us moving forward.” An exhibitor for well over 20 years, PPG appeared at this year’s show to take
continued on page 37 New Jersey Automotive | April 2015 | 31
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 32
NORTHEAST速 2015: ON THE FLOOR
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 33
Photos by Mike Petzinger
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 34
34 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 35
New Jersey Automotive | April 2015 | 35
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 36
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 37
NORTHEAST® 2015 continued from page 31 advantage of the unique access to the Northeast marketplace. “It’s absolutely imperative for us to be here to not only support our customers, but also to focus on what we’re trying to accomplish for them,” offered PPG Business Development Manager Taylor Bowes. “We’re here to make sure we’re engaging the markets we’re a part of.” In addition to promoting their own products and value-added programs, PPG representatives used the show as an opportunity to visit with other exhibitors to gain a greater perspective of the industry.
As Bowes told us during an especially busy Sunday afternoon, “We’re stopping at other vendors’ booths, and we’re constantly communicating with other vendors to bring the most value to our customers, because we understand that every business has a different need.” Considering NORTHEAST’s reputation throughout the industry, it comes as little surprise that the show consistently attracts exhibitors from far beyond the immediate region. Although based in Agora Hills, CA, Estify signed up to have a presence in Secaucus to promote their online rekeying services. Speaking with New
Jersey Automotive on the floor after traveling to the show from his office in Colorado, Estify Director of Sales and Marketing Jim Wilde was impressed by the high level of visibility his company was enjoying on the floor during their first-ever NORTHEAST appearance. “With the amount of traffic we have at the NORTHEAST show, we get the brand out there and get people familiar with us,” he says. “This is not the last product that we’re bringing to market; we plan on being in the game for a long time.” In Wilde’s mind, Estify was enjoying
AASP/NJ Hosts Jam-Packed NORTHEAST Demo Area In addition to being right in the center of the exhibit area (and thus, right in the middle of all the action), AASP/NJ hosted a special Demo Area that boasted a full slate of seminars and training events throughout the NORTHEAST weekend. The show’s three days saw attendees flock to the area for “How to Get Paid Equitably for Paint and Materials” (presented by Richard Palmer, president and CEO of Computer-
Logic, Inc.), “2015 Ford F-150 Repair Information” (presented by Larry Coan and Gerry Bonanni of the Ford Motor Company), “Adhesives Refinishing Training” (presented by Craig Chaffee of Saint Gobain/ Norton Abrasives), “It’s Now or Never! Calculate and Collect Market-Based Labor Rates Using the Variable Rate System” (presented by Sam and Richard Valenzuela, president and CEO of National AutoBody Research) and
“Smart Power Management” and “Structural Collision Repair, 2015 GM Vehicles” (both hosted by NUCAR and presented by Jim Mickle of General Motors). Additionally, the neighboring Miracle System booth was the site of “Not Just Dings and Dents!” a series of live panel repair demonstrations on steel and aluminum held throughout the weekend.
Ford's Larry Coan presented an overview of the new F-150.
Sam Valenzuela of National AutoBody Research
New Jersey Automotive | April 2015 | 37
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 38
NORTHEAST® 2015 success due to the fact that the show occurred over a weekend – allowing attendees a chance to finish work before taking in everything that the event had to offer. “Some of the other shows might be winding down on a Saturday, so that is usually not a very active day,” he offers. “Here, you have a lot of demographics concentrated in a really small geographic area, and I’m really excited about the turnout. We don’t see them at some of the other shows on a weekend. The last time I looked, there was a line about 30 deep of people trying to get into the show. Everything I’ve heard about NORTHEAST has turned out to be true!” Even with Friday’s snowfall, returning vendor Keith Egan of RW Mallon saw more traffic to his booth this year than the already-impressive response he experienced in 2014. He believes that his debut at the show last year set the stage for even more consumer engagement this time around. continued on page 41
The Progression of Paint
A lot has changed since spray painting was first introduced in the 1920s. As a growing number of technicians are discovering, painting with nitrogen is the next wave in the evolution of automotive care. To give the industry a broad view of the many benefits of this trend, NitroHeat Worldwide President and CEO Derek Naidoo presented “Lean Processing in the Paint Shop: Painting With Nitrogen” on March 21 Derek Naidoo of NitroHeat during the NORTHEAST Automotive Worldwide Services Show. Thanks to Naidoo’s extensive industrial engineering background, attendees of this Future Cure-facilitated seminar learned the same technique for “Paint Shop Processing” that is used in the industrial sector for maximum efficiency and cost savings. The key to achieving these results is using nitrogen in place of compressed air as a superior “fluid carrier.” “What we have done is taken the nitrogen and separated it out of the compressed air and added a heating process to it,” he explained “By adding heat to it, what we have done is increased the temperature...By lowering the viscosity of the paint, it actually applies a lot better; the final application is a lot smoother than it is without the heat.”
Accudraft was easily one of the most frequented exhibitors at NORTHEAST 2015.
38 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 39
New Jersey Automotive | April 2015 | 39
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 40
40 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 41
NORTHEAST® 2015 continued from page 38
“I think the customers are much clearer on what they want [this year],” he says. “I think a big part of that is the interest in aluminum repair and the things that took place last year, so people are coming back saying, ‘Hey, I have to go look at this stuff!’ They know what they’re coming to look for, and I think that’s a great thing.” Naturally, it helped that Egan doubled the size of his display for 2015, including building a mixing room in the RW Mallon booth to showcase to customers how the company would develop a mixing room in their facilities. Already planning to go “bigger and better” at next year’s NORTHEAST, Egan is quick to credit the show organizers for making the weekend such a memorable and successful time. “We’re always treated with the utmost respect, from the unions to the people who coordinate the show,” he says. One of NORTHEAST’s longest-running exhibitors, Accudraft returned to the
continued on page 46
THE CAR DOCTOR MEETS THE FUTURE During his special broadcast at the NORTHEAST Automotive Services Show on March 21, radio star Ron Ananian (“The Car Doctor”) recorded a special segment for his show that celebrated Jeremy Hellpap, an enterprising automotive student at the Bergen County Technical High School in Teterboro, NJ. Hellpap was a proud – and surprised – recipient of a $250 check from K&N Air Filters on behalf of the company and The Car Doctor to help promote the student’s automotive education. During his interview with The Car Doctor, Hellpap shared his views on a number of industry-related topics. “If you were going to design the next evolution of automobile, what would power it – gasoline, diesel, hybrid, electric?” asked Ananian. “Electric,” replied the high school senior. “In this day and age, it’s really where the industry is moving towards, in my opinion. Electric cars [utilize] a renewable energy source...petroleumbased fuels just aren't really cutting it anymore.”
Straight Talk on Steel, Aluminum
Regular attendees of AASP/NJ training events and readers of New Jersey Automotive know that industry expert and presenter Larry Montanez (P&L Consultants) tells it like it is. On March 21, he arrived nice and early to deliver a pre-show course on some of the realities of aluminum and steel repair. Facilitated by Metropolitan Car-oliner, “Estimating and Diagnosis of Structural Damage on AluminumIntensive Vehicles and Joining Methods” saw Montanez explore a variety of topics including how aluminum and steel vehicles absorb and manage collision impact forces and energy, welding and attachment methods and the some of the differences between the current OEM manufacturer certification/recognition programs for aluminum repair currently available to technicians. Of course, this information was delivered in Montanez’s no-nonsense, one-of-a-kind style. For example, his
Ananian was duly impressed by Hellpap’s composure and insights during the interview. “I think you’ve got a lot on the ball,” he said. “I think you are what I was 40 years ago...If you’re good to this industry, this industry will be good to you.” Bergen County auto instructor and former AASP/NJ Board member Bob
Larry Montanez of P&L Consultants
inimitable personality shone through when he warned attendees to be careful of how they interpret certain terminology in the industry, such as “lightweight steel.” “It’s an oxymoron, like ‘jumbo shrimp,’” he said. “There’s no such thing as lightweight steel...It’s lighter than other steels, but in no way is it a light substrate.” An archive of Montanez’s technical articles is available at www.pnlestimology.com.
Magee, who recommended Hellpap to Ananian for the award, couldn’t be more proud of all that his student has already accomplished in his journey. “He’s a worker; he always volunteers to do things and always helps everybody out,” he says. “When other kids are sitting there playing around, he’s working. He’s the best of the best.” New Jersey Automotive | April 2015 | 41
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 42
NORTHEAST速 2015: ON THE FLOOR
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 43
Photos by Mike Petzinger
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 44
44 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:02 PM Page 45
New Jersey Automotive | April 2015 | 45
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 46
NORTHEAST® 2015 continued from page 41
THE HONEYMOON IS OVER
Have you ever paused – a depressing era that out of frustration and Passwater bluntly called wondered how the “the death of the collision repair industry industry.” became as difficult as it “I 100 percent believe is? On March 20 and that if it doesn’t stop March 21, AEII president very soon, there isn’t and Indiana shop owner going to be an industry Tony Passwater offered left,” he said. some intriguing answers Fortunately, to this question during Passwater believes that “How Have We Gotten social media and other Where the Industry Is technologies have Tony Passwater Today?” – a seminar that allowed repairers across traced the strategies, the country to share practices and tactics the insurance common struggles and solutions like industry has methodically never before – and this gives him implemented to direct the collision hope. industry in the direction it follows in “We never had the opportunity 2015. until pretty recently [to know that] A repair professional since the everything that happens to us...can be early 1970s, Passwater argued that heard everywhere,” he said. “The the insurance industry’s influence Internet, social media and being able over repairers happened very slowly to share information has never over many years, beginning with the happened until fairly recently. Now all “honeymoon” period of the early DRP of a sudden, people are realizing, era of the ’90s, through the “big ‘That just happened to me just squeeze” of KPIs, scorecards and yesterday’ or ‘[There’s] a guy doing it hour suppression that defined the right now.’” following decade to where we are now
MONEY LOST...AND FOUND
After scoring big last year with their joint seminar, “Unleashing Your Secret Power,” John Niechwiadowicz of QLC, Inc. and AASP/NJ Board member Jerry McNee (Ultimate Collision Repair) returned to NORTHEAST to present “Stop Leaving Money on the Table!” – a two-hour business management seminar presented twice on March 21. The quality of an auto body estimate has a far-reaching impact on not only the financial health of the collision repair company itself, but also on many other critical aspects of the process. Company profitability, technician wages, administrative staff bonuses, parts issues, vehicle cycle times, shop stress levels and much more can all be affected – positively or negatively – by the accuracy of the damage analysis. With this in mind, McNee argued that it is critical that estimators make a concerted effort to get everything they can get out of each vehicle that enters the bay. “If you’re not getting paid for everything you do...you’re leaving money on the table,” he said. “If you’re not writing that estimate correctly, and you’re not asking for everything that you’re entitled to and everything you’re doing, that’s a problem. If you’re not spending the time on it, that’s your own fault.” Niechwiadowicz advised that anyone looking to get the most sales out of a job should first take a good look at their skills behind a camera. “Pictures can [offer] a world of benefit for you in justifying your supplemental items,” he said. “In some cases, [the pictures] are beautiful works of art that you want to hang up on the wall because you get the sunlight streaming behind it and the rays are breaking through the clouds – but I can’t see any damage! What’s that going to lead to?”
46 | New Jersey Automotive | April 2015
show to showcase the the new Ventus PRO crossdraft/crossflow paint booth. The new booth offers a lower-end alternative to Accudraft’s popular TITAN booth, which was also on display. By having both booths present at NORTHEAST, Accudraft easily had one of the weekend’s most talkedabout – and heavily frequented – displays. “It was snowing and people showed up,” offered Guido Pippa, Accudraft’s director of North American sales and distribution. “We had a great Friday!” In addition to taking up a large amount of floor space, Accudraft used NORTHEAST as the site of their national sales meeting and plans to host similar gatherings during the show in the future. “The NORTHEAST show is great; it brings a lot of people, and we always have great success with it,” Pippa says. After decades supporting and exhibiting at NORTHEAST, Metropolitan Car-o-liner enjoyed some of the heaviest traffic they’ve ever seen at the show. Although the company is known to continued on page 56
Jerry McNee (left) and John Niechwiadowicz
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 47
Longtime NORTHEAST supporter Metropolitan Car-o-liner was a prominent attraction this year.
NORTHEAST 2015 had attendees going home with bags full of goodies from booths around the show, from pens and chocolates to light sabers and sunglasses. However, a few lucky individuals got the opportunity to take home special gifts, thanks to prize sponsor Axalta. Select guests of the show took back a variety of prizes from televisions to Kindles to iPads.
New Jersey Automotive | April 2015 | 47
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 48
48 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 49
New Jersey Automotive | April 2015 | 49
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 50
50 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 51
New Jersey Automotive | April 2015 | 51
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 52
52 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 53
ARANJ
The Automotive Recyclers Association of New Jersey
Wharton Insurance Briefs
An ARA Member
ARANJ 2015 Officers
President Bob Dirkes / Dirkes Used Auto Parts 609-625-1718 / dirkesauto@gmail.com
1st Vice President Ian Szoboszlay / Ocean County Auto 732-349-0332 / ian@cosmosautoparts.com
2nd Vice President Darryl Carmen / Lentini Auto Salvage 908-782-6838 / darryl@las-parts.com 3rd Vice President Joe Goodman / Leesville Auto 732-388-0783 / joeg@leesvilleauto.com
Executive Director Brian Snyder / Auto Recyclers of NJ 609-714-2339 / brian@aranj.org
ARANJ 2015 Board of Directors Mike Ronayne Tilghmans Auto Parts 609-723-7469 tilghmans@snip.net Mike Yeager EL & M Auto 609-561-2266 elandmauto@aol.com
Rodney Krawczyk Ace Auto Wreckers 732-254-9816 aceautonj@comcast.net
Bert Witcraft Auto Express 856-728-8367
Ed Silipena American II Autos 609-965-6700 esilipena@yahoo.com Harry Shover Porchtown Auto 856-694-1555
Mike Caputo Lacey Used Auto Parts, Inc. 609-693-0898 laceyautomike@aol.com
Norm Vachon Port Murray Auto 908-689-3152 portmurrayauto@yahoo.com
Extra Expense insurance coverage can be described as the extraordinary expenses that must be incurred to continue operations following a physical loss or damage to covered property, which would otherwise cause the business to close. This coverage will pay for any necessary expenses incurred to reduce the business income loss. It will also cover the necessary expenses you incur during the period of restoration that would not have been incurred had there not been direct physical loss or damage to property from a covered cause. For example, your office burns down and you need to rent an office trailer to continue operating. Extra Expense will pay the additional cost you incur for the rental of that office trailer. The cost of this coverage is determined by the limit you choose and can be added to your policy at any time prior to the loss. As always, please feel free to contact us to discuss this or any other insurance concern. Mario DeFilippis, AAI, Vice President 800-221-0003 (1320) • 908-513-8588 (cell) mdefilippis@whartoninsurance.com NJA New Jersey Automotive | April 2015 | 53
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 54
54 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 55
New Jersey Automotive | April 2015 | 55
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 56
NORTHEAST® 2015 continued from page 46 participate in the larger national gatherings to promote their products, President Dave Demarest, Jr. believes there is something truly special about being a part of AASP/NJ’s flagship event. “For us here in the New York-based area, it’s an easy drive or a one-day visit,” he says. “You don’t have to worry about
hotels or anything that has to do with flight arrangements. It’s easy, convenient and right in the heart of the New York market.” In addition hosting a special Saturday morning presentation by Larry Montanez, Metropolitan Car-o-liner spent this year’s NORTHEAST assisting customers in making the jump to aluminum repair.
ALUMINUM AND OTHER TRENDS: AN I-CAR PERSPECTIVE
On March 21, I-CAR showed their support for the AASP/NJ community by hosting two extensive training courses during the NORTHEAST Automotive Services Show. “Aluminum Panel Repair and Replacement” helped attendees better understand the properties, characteristics, design and construction of aluminum, including how to properly assess damage and repair or replace exterior panels as required. The second I-CAR class, “Vehicle Technology & Trends 2015,” provided an “auto show view” of vehicles that will soon be commonplace in many repair facilities and delivered information that repair professionals needed to know to be prepared to perform complete, safe and quality repairs. Both classes were taught by veteran I-CAR instructors Pete Fryzel and Mike Bonsanto.
Considering the material being discussed, it’s no surprise that the duo spent considerable time addressing the effect that heat has on aluminum repairs. “If I have a panel that I’m repairing and there’s [adhesive on the] mating flange, I have to be careful that I’m not overheating [that area],” Fryzel said. “Managing heat is going to be very, very important.” “Anybody know what the deal is if you heat it up and it gets too hot for that piece of adhesive around the edge of the flange?” asked Bonsanto. “What you have to do is take off the entire amount of adhesive and re-apply it.” More information on these and other I-CAR classes is available at www.i-car.com.
Veteran I-CAR instructors Pete Fryzel (pictured) and Mike Bonsanto presented two classes at NORTHEAST 2015.
56 | New Jersey Automotive | April 2015
“A lot of the buzz right now has to do with what’s going on in the area of aluminum structural repair,” explained Demarest from the show floor. “Of course, Ford has their booth here to spread the word on what they’re going to be doing with the 2015 F-150 vehicle and the fact that it has so much aluminum built into it. It’s going to be different, and Car-o-liner is happy to make sure we have a lot of the equipment that is going to be needed to repair that vehicle.” Appearing at NORTHEAST for the fourth time, Nissan maintained their high visibility through an eye-catching 20-by20 display and the distribution of material on a slew of impressive offerings including the Certified Collision Repair Network and the Value Advantage line of radiators. “We want to make sure we’re reaching out to the vehicle service providers and giving them the most up-to-date information on what we’re doing to support the industry,” explained Mark Zoba, Nissan’s manager of collision parts sales growth. “This year’s NORTHEAST was probably the best so far. [Saturday] was outstanding – the busiest day of the weekend. There was a constant flow of traffic through the booth, and that gave us a lot of face time with collision shops and repair professionals here in the Northeast.” Although his experience as a NORTHEAST vendor goes back decades, this was the first time Indasa Vice President Peter Stein brought his company to the Meadowlands Exposition Center. As he shares, he was very pleased by what this year’s show provided him. “For us, it was a great show,” offers Stein, who also serves as the company's head of national accounts. “It did everything I wanted it to do – give us visibility and presence and let everybody know we were still around.” After missing the cutoff to participate in last year’s show, David Graham of Westbury Jeep/Chrysler/Dodge in Westbury, NY made sure that his parts
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 57
operation was represented at NORTHEAST 2015. “We had been looking at ways to diversify our soliciting campaign and develop new customers,” he says. “When [the vendor deadline] came up again this year, I immediately jumped on it, started making phone calls and got involved.” Despite the snowy Friday, he was surprised to meet attendees who braved the weather to travel from Massachusetts and Rhode Island to be at the show. Additionally, he was thrilled by the “incredible” turnout on Saturday and fully intends to be back next year. Nearly four decades after debuting as a modest tabletop show, NORTHEAST is enjoying its best moments in the here and now. As evident in this feature, the show surely has plenty of great years – and great opportunities for exhibitors to shine – still ahead of it. NJA
Mike Lovullo Distributor for
and
Micro-Mix Paint and
Materials Calculator in Bergen, Passaic, Essex and Hudson Counties in New Jersey.
CALL Office: (973) 696-3176 or Cell: (201) 452-0987 New Jersey Automotive | April 2015 | 57
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 58
58 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 59
OUT OF BODY (AND MECHANICAL) EXPERIENCES continued from page 9 Fast-forward 18 years, and I was publishing a music magazine called Liner Notes. Earlier that year, the company that paid us to do the magazine fired us, but out of nowhere, the publicist for Dream Street (the latest boy band sensation) called and asked if I’d like to interview the band for our magazine. Before telling her that we no longer were with the publishers, I asked my seven-year-old daughter, Michelle, if she liked them. She said she had never heard of them, but I knew these kids were gonna be huge. I accepted the chance to go to their soundcheck, do the interview and see them in concert in Atlantic City. By the time of the interview, Michelle knew very well who Dream Street was, so I asked her if she’d like to come with her dad to meet them. I think she was in the car before I finished the sentence. When we arrived at the casino, we were brought into the arena for the soundcheck. There was the publicist, some band staff, the band, Michelle and me. That’s right. Michelle got a mini-concert all by herself. She was on cloud nine. When we were showed into the backstage area to meet the band and do the interview, she was on cloud 10. I still get chills when I picture her holding the recorder for me as I interviewed her idols. When I went to take their picture for the magazine, they stopped me and asked her to get in it with them…well, what does that commercial say? Priceless. After the show, I took Michelle to that very same deli on the boardwalk my dad and I went to almost 20 year earlier. As we sat there, she looked at me with a very serious look on her face and said, “You know Dad, this is the greatest day of my life.” That was one day I could never have forgotten. The old Atlantic City may be gone. But it will never be forgotten.
Over this past weekend at the NORTHEAST® show, I received a few compliments on my column and that is always thrilling and humbling. What many of you don’t realize is that these little tales from my life are a sort of
therapy for me. They inspire me to dig deep each month and many times they bring back memories that I had forgotten, memories like the ones mentioned here. I can’t thank all of you enough for that. NJA
New Jersey Automotive | April 2015 | 59
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 60
FEATURE continued from page 17 To help this effort move forward, Ferraiolo encouraged attendees who “have the proper equipment and documentation and know the laws of consent” to start recording negotiations taking place in their shops. “I don’t know how many of you are sitting there with your customers [while] they’re on the phone doing their claim and [the insurer] is trying to steer them while
[the customer] is in your shop,” he said. “This is the stuff that our US Senator needs.” Additionally, Ferraiolo provided an update on the class action suit filed by ABAC and hundreds of body shops against the Hartford Fire Insurance Company for (according to an association press release) “[engaging] in unfair business practices by using its in-house employee
appraisers and network of Direct Repair shops to artificially suppress Labor Rates paid in the State of Connecticut.” In November 2009, a Supreme Court jury in Stamford awarded the shops $14.7 million for compensatory damages. Three years later, a Connecticut Superior Court judge awarded an additional $20 million in punitive damages. The Hartford appealed the order, with closing arguments heard on January 13. The final verdict is expected this calendar year. “It’s taken 14 years to get to the final decision on this thing,” Ferraiolo said. “Even if they do have to pay that amount off, can you imagine what they made by not having to change the way they do business in 14 years?” SCRS Executive Director Aaron Schulenburg offered a brief update on his association’s activities, including their education initiatives through the Repairer Driven Education (RDE) program at the recent SEMA Show and their news and information initiatives through their newly launched www.RepairerDrivenNews. com site. Responding to an attendee’s concern that the growth of aluminumintensive vehicles and other technologies could lead shops to fall victim to “hype” and buy equipment they don’t need, Schulenburg noted a potential risk in this line of thinking. “I think there is cause for concern that the industry isn’t being forced to buy duplicative equipment if there are pieces that meet the appropriate specs and could be made to work for all [manufacturer lines],” he said. “Those are things that we need to work with the manufacturers on...However, as the mainstream [news] starts focusing on improper repairs and things along those lines, we want to be cautious that we’re not passing it off as unnecessary to equip or unnecessary to keep up with the technology that the OEMs are prescribing.” NJA
60 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 61
New Jersey Automotive | April 2015 | 61
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 62
62 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 63
New Jersey Automotive | April 2015 | 63
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 64
64 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 65
New Jersey Automotive | April 2015 | 65
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 66
ADVERTISERS’ INDEX Acme Nissan ..............................................22 Amato Agency ............................................23 Audi Group ................................................34-35 Axalta Coating Systems ..............................6 BMW Group ..................................................18-19 Bridgewater Acura ......................................54 Cadillac of Mahwah ....................................15 CCC Comp-Est ..........................................56 Classic Audi................................................60 Continental Auto Parts ................................10 Crashmax Equipment ..................................9 Cycan Industries ........................................53 Dover Dodge ..............................................45 Empire Auto Parts ......................................56 Flemington Audi..........................................5 Flemington Group ......................................IBC Fred Beans Parts ........................................28
Future Cure ................................................59 Glen Toyota ................................................OBC Grand Prix Subaru ......................................63 Hyundai Group............................................65 Ikotec ........................................................61 JMK BMW..................................................29 JMK Saab/JMK Fiat ....................................8 Klean Frame ..............................................56 Levittown Ford............................................63 Maxon Mazda ............................................11 Maxon Hyundai ..........................................44 Mazda Group..............................................49 Mercedes Benz of Freehold ........................64 Mini Group ................................................40 Mitsubishi Group ........................................61 Mopar Group ..............................................4 NORTHEAST® 2016 ..................................66
NUCAR.......................................................12-13 Paul Miller Audi ..........................................48 Porsche Group............................................52 PPG ..........................................................3 Prestige Motors ..........................................51 Princeton BMW ..........................................39 Princeton Mini ............................................64 Sherwin-Williams........................................36 Subaru Group ............................................55 Town Audi ..................................................51 Toyota Group ..............................................58 Toyota of Hackensack ................................IFC Valtek ........................................................57 VIP Honda ..................................................54 VW Group ..................................................50 Westbury Jeep ..........................................62 Wheel Collision Center ................................57
Thank you from AASP/NJ for attending and exhibiting at ® NORTHEAST 2015! Save the Dates for 2016! March 18, 19, 20, 2016 66 | New Jersey Automotive | April 2015
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 67
NJA0415.qxp_NEW JERSEY AUTOMOTIVE 4/1/15 6:03 PM Page 68