Since December of 2019, the COVID-19 pandemic has influenced every one of us. Stay-at-home orders put a halt to regular life, forcing the closure of all non-essential enterprises and activities. Others who could make a move to a full-time remote work schedule did so, while those who continued to go to work physically took extreme measures. Pandemic reduced car manufacturing, resulting in more used/old cars on the road. Old cars need more repairs, which has given the auto repair shop and auto body repair estimate software industries a significant boost and growth.

The Pandemic changed our lifestyles and significantly reduced car traffic on the road, vehicle sales, and the auto collision repair industry’s frequency. Businesses reopened with fewer restrictions as vaccinations became more widely accessible. 

As a result, vehicle sales are at an all-time high, despite many workers having shifted to an indefinite remote schedule. So, how has COVID-19 affected driving, traffic, and automobile repair? Let us investigate.

The impact of COVID-19 on auto sales

According to CNBC, Sales of new vehicles in the U.S. are expected to close this year down at least 15% compared with 2019. According to Statista’s statistics, automobile sales hit their lowest point in April of 2020 and remained weak until the end of the year. 

Monthly sales volumes in March, April, and May of 2021 were comparable to the average in 2019, while June and July were lower due to a drop in inventory availability and fears about new COVID-19 versions.

Impact of COVID-19 on Driving Safety and Traffic 

If you ventured out of your house in April 2020 and the months that followed, you most certainly observed a significant decrease in automobile traffic. 

According to INRIX, a transportation data firm, personal travel dropped for the fourth straight week lately, with a 48 percent dip nationally between April 4-10, compared to a usual travel week between Jan. 1 and Feb. 29, 2020. Over that period, New York City saw the greatest reduction in metropolitan area passenger travel, at 63 percent.

Despite these improvements, the National Safety Council reports a 20% rise in road deaths between January and June 2020 compared to the same period in 2019. Similar stats can be seen in the UK.

This rise appears to result from increased DUI infractions and significant speeding charges. Major speeding almost quadrupled as a percentage of overall infractions, and DUIs skyrocketed, particularly in the early months of the epidemic.

These death rates due to car accidents only add to the death rate due to COVID-19. Therefore, the government has strictly advised people not to leave their houses until the state of a very serious emergency.

Impact of COVID-19 on auto body shops 

The Auto Collision Repair sector, like many others, was badly hit by the epidemic. With fewer automobiles on the road, fewer vehicles require service and repair. Along with this, many of us were more prone to save money than to spend it on repairs to vehicles, homes, and other more expensive products. 

Every month, more and more drivers are on the road, and the increase in vehicle accidents has resulted in a spike in auto repair demand.

Given that various consumer categories are behaving differently, organizations in the aftermarket industry must recognize and comprehend how the pandemic has affected their client base on many levels. Some of the aspects that must be examined are as follows:

  • Figures on unperformed maintenance and how customers will maintain their automobiles are now available (DIY vs. install-it-for-me vs. dealer vs. shop).
  • Data on future vehicle kilometers traveled.
  • Purchasing habits, such as when people want to purchase or lease a newer car.

The effect of COVID-19 on your consumers.

  • Behaviors of buyers.
  • E-tail vs. retail (channel preference).
  • Motivating yourself for work.
  • Providing satisfaction to the company.

These variables and the new behaviors customers established during the epidemic, such as a stronger preference for internet shopping and DIY car repair, will have a long-term influence on the aftermarket business.

Even when the epidemic has passed, and individuals may go in their automobiles whenever and wherever they choose, the aftermarket sector will be altered. Being prepared for what comes next is critical to success.

According to Acumen Research and Consulting, the vehicle collision repair sector would increase at a rate of 5.5 percent between 2021 and 2028. With increased car demand and inattentive, hazardous drivers come an increased need for auto collision repair. 

The difficulty that auto repair facilities face today and will face in the future is a greater liability due to defective repairs conducted without OEM knowledge or training. Vehicle safety continues to develop rapidly, which means auto body shops must be connected, informed, and updated on these advancements.

This is why they need good auto body software to help them deal with their customers better and more precisely. They need such an auto body software that can perform all of their tasks in one place, such as making invoices, calculating the estimates and getting them approved faster, managing their payments, mechanics, and so much more.

Be Ready for the Rebound

In the short term, cost-cutting is a reality. Many component vendors, dealers, and repair businesses have tightened their belts. It is critical to reconsider capacity, goods, distribution routes, and price during a downturn. Examine your company’s procurement and operations processes for possible cost reductions in the future. Reduce your footprint today while maintaining the ability to adapt to resurgent demand later.

Positive characteristics that contribute to corporate success are in high demand right now. Your company must be quick, agile, responsive, and decisive. Don’t be taken off guard when the market recovers. Tracking visits, trips, and VMT can assist car suppliers, and aftermarket retailers plan for demand. As VMT rises, be prepared to expend manpower and output.

Finally, keep an eye out for altering elements that may influence markets in the future.

Conclusion

From everything mentioned above, you can see how COVID-19 has affected the auto body shop industry from everything mentioned above. But you can also learn all the ways by which you can get your business back on by using auto body repair estimate software.

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Here is all the ways pandemic has affected the auto body shop industry. But good auto body repair estimate software is the best way to go.

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By SARAH