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Old 12-08-2020   #26
XfireZ51
 
Join Date: May 2007
Location: Chicagoland, IL
Posts: 9,685
Default Re: GM to buyout Cadillac dealers

A side gig of mine is auditing collision centers for OEM ?certified collision center? programs. Cars will still crash, altho usually w air bag deployment, insurers total the car. The liability of trying to rebuild a vehicle is too great. Lgaff could also give us a perspective on this since he runs a collision adjusting organization for an insurer.
Bottom line is that auto parts, oil change, mechanical repair won?t be growth industries. And Tesla has demonstrated how you don?t need the franchise structure to sell 300k units/yr. Both Hans and myself can attest to the overhead expense an OEM has in servicing that franchise organization. Apparently some dealers have seen this coming and have been making significant investment in collision repair facilities as a way of offsetting loss of mechanical repair. All of this isn?t going to happen overnight. But the trend is in that direction certainly w the continued advances in e-Car technology.
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