It’s a dog eat dog market out there, it’s every man for themselves and there is no room for friendly competition. If you can’t cut it, the market will cut you.
Consumers have never been savvier. With the rise of money-saving sites, consumers have learnt never to settle with the first price they are given, and in marketplaces like motoring they know they will always be able to get a better price elsewhere.
So where do the price wars end? Just where exactly is the reasonable point to draw the line? Many independent garages are finding themselves compromising prices to compete with national’s large scale advertising campaigns in a bid to gain new customers in the hope they will return, however it seems the nationals are now stepping up their game in their very on bid to retain customers.
The difference now compared to 5 years ago is that customers have learnt to shop around, and prices are much more accessible now than ever before. With the growth of the internet, a customer can compare prices in seconds, and ensure they are getting the very best deal. However are they getting the best service?
There is an epidemic growing, the nationals are investing more money in marketing to ensure they don’t lose their “valued” customers. Superficially it’s a natural choice for a customer to choose a national garage. They care about PR which means you’re more certain to get a better service; they invest money to ensure you return with lucrative loyalty schemes and with garages across the country you are never far from a repair centre. Whilst this all seems all well and good in theory, customers are forgetting about the little guys in all of this.
Let’s face it, our economy is a bit of a state, and it’s not getting better. Rural areas in particular have been hit hard, and in their small microcosm there is serious damage being done. It’s in these areas that you will mostly find small independent garages that are desperate to earn a living. Many have been in business for decades and often passed down through families. Now though, they have to change how they operate.
It seems to be common knowledge that an independent garage will naturally offer better prices than national dealers and garages. Nationals have a reputation for using quality parts but charging steep prices. Independents on the other hand are stereotyped to offer good prices but with lesser quality products. So just exactly where does the truth lay?
Well national garages think they have uncovered the truth.
Lets welcome the introduction of the “Price Match Guarantee”, and if you have yet to hear about it, then you really should because garages from Halfords to Kwik-Fit are proposing it, not to mention main dealers like Honda, Ford and Vauxhall are jumping on the bandwagon too. So just how does it work? Typically a price match guarantee is quite simple, and superficially it seems to benefit everyone. If a customer finds a cheaper quote from an independent garage within an area that is local to a main dealer, the dealer will match it. This simple promise will ensure that the customer gets not only exceptional price and service, but will be guaranteed the great service dealers offer along with certified car parts. It also guarantees that the dealership keeps their well-earned business. A win-win situation?
Sadly, someone is missing out. The independent garage. There seems to be this general presumption that every independent garage will quote you a great price, but the parts fitted will not be so great. This presumption seems to have derived from various consumer programmes which production companies believe are interesting viewing. Well, they also leave an interesting impact on our economy.
The reality is that these independent garages are fighting for survival in a competitive industry. They don’t have the spare money to splash out on flashy campaigns, and many have yet to embrace the internet to fight their corner. The reality is, is that independent garages cannot afford to lose custom, so they value everyone who comes through their door. This is good news for the customer. Because they will be guaranteed a better service and price. The idea you will be getting knock-off parts is just that – an idea. If a customer can research various garage prices thoroughly, their research should also uncover the service and quality an independent garage delivers too. Independent garages are trying to fight back, but its a case of David vs Goliath, and this time David needs a little help along the way.
Yes, price matches may be good in theory, but they leave a lasting impression. So next time you choose a garage to service your car, think about who you are giving your money too.