2014 Workshop trends

The franchised workshop sector is increasing its share of the aftersales market with dealers capturing more cars aged up to two years old, according to new research by Castrol Professional.

The research suggests that increasing sales of service plans and lack of consumer awareness that vehicles can be serviced in the independent sector without invalidating warranties has enabled franchised dealers to capture a higher proportion of servicing work than before.

The data, based on workshop throughput in 2013, the most recent year for data capture,found that franchised sites captured 73% of vehicles, up from 66% in 2008. The franchised sector’s share of work on three to four-year-old cars also increased from 28% in 2008 to 35%.

The findings also highlight a fall in market share for independent servicing and repair outlets – the sector has seen its market share for cars up to two years old drop to 27%, down from 34% in 2008 and 42% in 2003. The drop is less pronounced among slightly older vehicles, with a 65% market share of workshop entries among three- to four-year-old vehicles, a drop of 7% since 2008.

“The introduction of competitive service plans and fixed price servicing, as well as a consistent focus on improving customer service and convenience, have helped franchised dealers to capture a greater proportion of aftersales work,” said Nigel Head, Castrol’s head of marketing for the UK and Ireland.

“Franchised dealer servicing represents excellent value to motorists. Workshops that consistently engage with customers with a strong ‘value for money’ message are poised to reap the rewards.”

The Castrol report also found that a lack of consumer awareness of 2010’s Block Exemption Regulations meant that 42% of motorists believed their vehicle’s warranty would be rendered void if they take the car outside of the manufacturer network for servicing during the warranty period, whilst a further 24% remained unsure of what would happen to their warranty.