Service Business Falls
Cox data shows activity, revenue decreases apparently not tied to strikes.
Detroit are apparently not to blame, says Cox Automotive.
Service activity at franchised dealerships fell 11% month-over-month, reaching its lowest volume since April.
IMAGE: Pexels/Malte Luk
Dealer service department business fell in September, but the union strikes in Detroit are apparently not to blame, says Cox Automotive.
Service activity at franchised U.S. dealerships decreased 11% month-over-month, reaching its lowest volume since April and down 4% year-over-year.
The drop-off occurred across brands, Cox said, so it doesn’t appear related to any parts shortages resulting from the strikes.
“We will be watching carefully in October,” said Cox Director of Product Consulting Skyler Chadwick in a press release about the monthly measurement.
Revenue declined along with volume, down 2% month-over-month and its lowest point since July, though it was up year-over-year by 3% and by 35% since September 2019, Cox said, months before the first pandemic lockdowns. The service activity data is indexed to January 2019.
Originally posted on Auto Dealer Today
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