The Crash Repair Market USA 2006 (Collision Repair Parts USA Market 2006)

SUMMARY

Diagonal Reports' recent research into the fragmented US collision repair parts and service market points to a shake-out in the market for crash repair parts. OE parts suffer as the market stagnates while non-OE parts increase sales. Larger collision repair service providers benefit from consolidation. Research reveals:

• Original equipment parts still account for the lion's share of the crash repair parts market but are losing sales to both non-OE and used parts which now have 24% of this market. Non-OE parts are winning sales not only because of their lower price but also because of quality improvements backed by certification programs. Regulatory pressure to reduce disposal rates is boosting demand for used or salvage parts.
• Independent collision repair service shops continue to account for most sales in this fragmented market but larger shops and chains are benefiting from consolidation. These changes in parts and service allowed some crash parts suppliers and service providers to show double-digit sales increases in an otherwise flat market. The value of the crash repair parts and services market remains stagnant at US$33bn in 2005 compared to 2004
• Body and mechanical repairs continue to dominate the repair market but the future looks more bleak for the refinish sector which may shrink.
• Suppliers of services - insurers and third party service providers - to the collision repair market benefit from consolidation and as the industry reduces cycle times and the costs of parts proliferation.

TABLE OF CONTENTS

SECTION Table of Contents

SECTION REPORT STRUCTURE

SECTION REPORT EXECUTIVE SUMMARY

• Date of pub / currency

SECTION 1 - EXECUTIVE SUMMARY

• Table 1 USA Crash repair repair market - key data (2005)
• Trends
• Winners and losers

SECTION 2 CRASH REPAIR MARKET SIZES - (VALUE, NUMBERS OF UNITS/ TECHNICIANS)

• TABLE 2 USA CRASH REPAIR turnover 2004-2006
• Size and trends
• CRASH REPAIR facilities (units)
• Data conflict / market definitions
• GRAPH with Table 3, USA CRASH REPAIR facilities (%) distribution by type
• Table 3 USA CRASH REPAIR (%) distribution of turnover / units
• Market structure the different segments
• The multi-shop operators (dealers, consolidators and others)
• Market changes
• Factors driving changes
• A contradiction?
• AUTO REPAIR TECHNICIANS AND MECHANICS
• GRAPH with Table 4, Auto technicians and mechanics
• TABLE 4 Auto repair technicians
• The elite technicians

SECTION 3 CRASH REPAIR MARKET CATEGORIES - SERVICES AND PARTS

• GRAPH with Table 5, CRASH REPAIR sales (%) parts / labour
• TABLE 5 CRASH REPAIR sales (%) parts / labour
• Rule of thumb
• GRAPH with Table 6, CRASH REPAIR sales (%) by category
• TABLE 6 CRASH REPAIR parts / labour (%) categories
• CRASH REPAIR categories - body repair
• CRASH REPAIR categories - paint
• CRASH REPAIR paint trends
• Category services / parts glass and other

SECTION 4 CRASH REPAIR MARKET - PARTS (OE AND OTHER).

• GRAPH with Table 7, CRASH REPAIR parts' sales (%) OE, non-OE, not-new
• TABLE 7 CRASH REPAIR parts' sales (%) OE, non-OE, not-new (2005)
• GRAPH with table 8, CRASH REPAIR parts' sales (%) domestic/imports
• TABLE 8 CRASH REPAIR parts' sales (%) domestic/imports
• Relative importance of imports
• TABLE 9 Auto parts/repairers "crash repair" and other
• TABLE 10 CRASH REPAIR parts categories "most likely to use" OE, non-OE, and not new

SECTION 5 CRASH REPAIR MARKET - PARTS - SUPPLIERS / BRANDS

• GRAPH with Table 11, CRASH REPAIR parts - ranked by brand
• TABLE 11 CRASH REPAIR parts' sales by brands (ranked)
• Brands and sales into CRASH REPAIR parts' market
• Measuring brand share
• The top brands
• The top non-OE suppliers
• TABLE 12 CRASH REPAIR parts brands body (ranked)
• TABLE 13 CRASH REPAIR paint (3 names ranked)
• The leaders and other paint suppliers
• TABLE 14 CRASH REPAIR parts brands glass (ranked)

SECTION 6 CRASH REPAIR PARTS - CHANGES WINNERS/LOSERS

• Changes OE and non-OE
• More than a price difference
• Parts certification
• Parts certification programs
• CRASH REPAIR parts - good and bad prospects
• Drivers of change
• Bright spot for new parts?
• A proliferation of problems for parts
• A more parts intensive process?
• Rising money and time costs
• Examples of inventory sizes

SECTION 7 CRASH REPAIR MARKET ? GROWTH STRATEGIES

• CRASH REPAIR service providers growing business.
• What programs offer and require
• Consumer attitudes to CRASH REPAIR
• Benchmarks to measure success in CRASH REPAIR facilities
• Returns in the "best performers"
• TABLE 15 CRASH REPAIR service providers - core components success
• Consumer convenience
• Location
• Repair time - diagnosis vz repair
• Improve the repair process and cycle times
• "Average" repair cycle time
• Barriers to streamlining repair?
• CRASH REPAIR Service Menu in an "A-class" CRASH REPAIR shop (ASE)

SECTION 8 CRASH REPAIR MARKET SERVICE PROVIDERS

• TABLE 16 CRASH REPAIR market review ed
• TABLE17 CRASH REPAIR size of "average" and "larger" facility
• TABLE 18 CRASH REPAIR service providers largest ($ turnover per unit)
• CRASH REPAIR programs - the largest
• TABLE 19 CRASH REPAIR programs - third party
• TABLE 20 CRASH REPAIR SP/s - dealers, paint, and glass programs
• Car market CRASH REPAIR programs
• Paint and glass programs
• CRASH REPAIR programs for luxury cars
• TABLE 21 CRASH REPAIR SP/s franchises (X names)
• CRASH REPAIR SP - the independents networks
• CRASH REPAIR selected awards
• Industry controversies
• Conflict of interest or consumer choice?
• The merits of different parts
• More third parties

SECTION 9 CRASH REPAIR PROFILES - SERVICE PROVIDERS (SELECTED - DEALERS, FRANCHISES, INDEPENDENTS)

SECTION CRASH REPAIR PROFILES PART 2 - TRADE, INDUSTRY AND PROFESSIONAL ASSOCIATIONS, REGULATORY BODIES

SECTION 10 THE CRASH REPAIR EXPERT PANEL

• Table USA CRASH REPAIR sources

SECTION 11 GLOSSARY

SECTION 12 APPENDICES

• Table 22 Vehicles in use, new registrations, and scappage (2003-05)
• Table 23 Vehicles -light duty- average age
• Table 24 Vehicles in collisions and repaired

Auto service repair market (estimated sizes)

• TABLE 25 Automotive repair and maintenance service repair facilities by type (NAICS) Y2002 - latest available
• NAICS Codes and descrash repairiptions of industry groups in auto repair
• Standard Industrial Classification (SIC) code
• APPENDIX USA AUTO TECHNICIANS AND MECHANICS
• Table 26 Auto technicians by occupational category
• Table 27 Auto technicians - service repair certified
• APPENDIX DIFFERENT ESTIMATESOF CRASH REPAIR MARKET SIZES
• Table 28 CRASH REPAIR market size different estimates)
• TABLE 29 CRASH REPAIR industry units and turnover (2004-2005)
• TABLE 31 CRASH REPAIR unit sizes (sq.ft.)
• APPENDIX REQUIREMENTS OF SELECTED PROGRAMS (ASE, CIC)
• ASE-Blue Seal of Excellence Recognition Program - Crash repairiteria
• Collision Industry Conference (CIC) "Class A" shops
• APPENDIX CRASH REPAIR PARTS
• TABLE 32 CRASH REPAIR parts - OE, and other (different estimates)
• TABLE 33 USA CRASH REPAIR parts market (company Keystone)
• APPENDIX AUTO INSURERS

APPENDIX CAR MAKES

• Table 35 USA Light duty sales (cars and trucks in millions)
• Table 36 USA Light duty vehicle sales (market share - US, Asia, Europe) 2004-2005
• Table 37 USA Light duty vehicle makes (US, Asia, Europe)
• Table 38 USA Light duty vehicle sales (% and units by manufacturer) 2004-2005

INDEX (FULL TITLE )

• Diagonal Reports statement