Howdy, Fullbay friends and followers! You may have noticed our blog was a little quiet for the last couple weeks. That’s because we’ve been hard at work on something we think you’re really gonna like: Our third annual State of Heavy-Duty Repair report.
That’s right—the report is bigger, badder, and more informative than ever. If you thought last year’s edition was loaded with interesting data, man oh man, we’ve got even more cool stats on offer.
You’ll have to download and read the report to see all those stats (don’t worry, it’s free—grab it right here), but we’ve picked out five intriguing takeaways to whet your appetite.
Let’s check them out!
Takeaway #1: Growth Is Up
Here’s some good news: Shops saw an overall 19% revenue increase in 2022 compared to 2021—which translated to $12,150 more monthly revenue per month, on average, for each shop. We hope owners spent some of that money on good coffee.
Takeaway #2: Labor Rates Are Up
A whopping 76% of shops increased their labor rates in 2022. Just how much the rates went up seemed to depend on region; shops in the Southwest, for example, raised their rates an average of $13.10 per hour, while shops in the West averaged $10.20.
Want to know what the average labor rate is in North America? It’s $118.
Takeaway #3: Most Techs Are Paid Hourly
The labor rate that shops charge—whether it’s on the high or low end—reaches techs through either an hourly wage or a flat rate wage. Forty-six percent of shops surveyed reported that their technicians were paid hourly, while 28% reported that they paid their technicians exclusively flat rate.
Takeaway #4: Efficiency and Utilization Are Key
The average efficiency for commercial shops clocked in at 84%, while the average utilization rate came in at 66%. We’ve got a lot of thoughts about efficiency (and how to increase it), but we’ll leave you with this interesting data: Canada had the highest efficiency and utilization rates, at 88% and 79%, respectively. At the other end of the spectrum is the Southwest, which saw 71% efficiency and 60% utilization.
Takeaway #5: Parts Are Still a Problem
The parts shortage continues to play the role of Annoying Neighbor That Just Won’t Go Away for many a parts manager and shop owner. How can we tell? Well, in 2021, 45% of shops reported having to seek alternate vendors for parts. In 2022, that number did not exactly improve. Actually, it increased—to 62%.
Carry on, parts hoarders. Carry on.
Read the Report For More
Pretty interesting, right?
But wait…there’s more. Seventy-nine pages more, to be exact!
And those facts are just scratching on the surface—the current report is filled with data, factoids, and insights that pull back the curtain on what’s going on in the industry, which in turn can help you run a tighter shop.
Grab the report here, read through it, and let us know what you think!