Hybrid Shop President: Profit Awaits for Shops Expanding Hybrid/Electric Services - Tire Review Magazine

Hybrid Shop President: Profit Awaits for Shops Expanding Hybrid/Electric Services

Dave Crawford, president and CEO of The Hybrid Shop, shared with dealers at this year's SEMA Show how they can add to their bottom line by expanding service opportunities on hybrid/electric vehicles.
SEMA-Crawford

Dave Crawford, president of The Hybrid Shop, presented a seminar to dealers at this year’s SEMA Show about adding profitability to their service bays by expanding service opportunities on hybrid/electric vehicles.

Crawford said while it isn’t untrue that younger generations are looking into hybrid and electric vehicles to be environmentally friendly and to be fuel-efficient, he added that it isn’t only younger people buying these vehicles.

“It’s not just older generations, it’s not just the younger generation or people with families, it’s pretty much universal all the way across,” he said. “You think back to the early 2000s, and there were two [models], the Insight and the Prius. Today, there’s over 80 models and over 5 million hybrids on U.S. roads today.”

Click here for full coverage of the 2019 SEMA Show

Crawford recommended dealers start servicing hybrid/electric vehicles since in the last two years, production of them has increased by 34%, resulting in over a million vehicles produced in that time. This is about 4% of all vehicles on U.S. roads today, and he added this number is projected to grow to 8.3% by next year and to 18% by 2025.

He told dealers that even though hybrid/electric vehicles represented only 1% of the global market in 2016, by 2030 he projects 60% of the global market will be made up of these vehicles.

“You might think, ‘Well, I don’t have a lot of them in my neighborhood or marketplace,’ but the manufacturers are driving this at this point. They’ve invested hundreds of millions of dollars in complying with government regulations and driving these vehicles worldwide,” Crawford said. “This is coming, and it’s coming very quickly on everything we do.”

While lithium-ion batteries, which are mainly used in full-electric cars, can’t be rebuilt and must be completely replaced when they go bad, Crawford said the nickel-metal hydride batteries used in many hybrids today can have battery capacity added back into them

Crawford says the majority of hybrid/electric vehicle owners are currently turning to their car dealer for service even if his or her local tire dealer does service these types of vehicles because dealers don’t tend to advertise this aspect of their business. He recommended adding signage in and outside the business, writing blog posts or adding a sliding advertisement to their website saying they work on hybrid batteries. He also suggested charging higher rates for hybrid/electric diagnostic services.

“This is an opportunity for dealers,” he said. “That’s huge potential in the marketplace, and customers are looking for a place to take their car to get it worked on.”

In addition, he said hybrid/electric service might inspire qualified technicians to work at these types of shops.

“Techs want to work on these pieces. They want to be on the cutting edge. It’s something about technicians, you know, ‘I’m accomplished, I’m better than anybody else, I’m the best.’ They take pride in their work and take pride in being challenged,” Crawford said.

“This is important, it classifies you as the best in category in the marketplace on everything you’re doing because you’re telegraphing to the entire market that ‘I work on the most technologically-advanced vehicles in the marketplace today,’ and I think that that’s huge as a business,” he added.

You May Also Like

Nokian Tyres produces first tire in new Romanian factory

The annual capacity of the Nokian Tyres Romania factory will be 6 million tires once the factory is fully operational.

Nokian-Tyres-Romania-factory

Nokian Tyres’ new passenger car tire factory being built in Oradea, Romania produced its first tire on July 1 – the Nokian Tyres Snowproof 2. The milestone was reached as planned, and the building project is progressing in budget and on schedule for commercial tire production to start in early 2025, the company said. The groundbreaking of the factory took place in May 2023.

Rain Alliance launches the Rain RFID Training Program

The training program responds to the demand for certified practitioners who can offer vendor-agnostic skills.

Stock-Rain-Alliance-RFID-training
Wiygul Automotive Clinic to expand into Fauquier County, Virginia

The store is expected to open late this summer and will be the ninth location for the Wiyguls in the Washington Metropolitan area.

Wiygul-auto-clinic-expansion
VIP Tires & Service technician reaches World Class Technician status

John Bemis is the seventh VIP employee to achieve World Class status.

VIP-Tire-John-Bemis
AME International introduces portable tire press for industrial tires

the company says this tool now supports a range of multi-piece industrial tire assemblies.

AME-Portable-Tire-Press
Other Posts
Everything you ever wanted to know about Formula E tires

Learn how tire technology affects the highest level of all-electric racing from three different perspectives: The president of Hankook Tire North America, a tire engineer, and a Formula E driver.

Hankook-QA-Car-1400
Scott’s U-Save Tires & Auto Repair acquires Knight Automotive

The company now has over 50 team members and the organization has 35 total service bays.

Scotts-Auto-Knight-Auto-acquisition
Hankook’s iON Race tire crosses the finish line during Formula E race weekend in Portland

Drivers achieved an average speed of 152 m/h on the 1.9 mile track at Portland International Raceway.

Hankook-De-Costa-Portland-Race
Tire Discounters promotes Charles Curlee to SVP, chief operations officer

Curlee has more than 30 years of experience in the automotive industry.

Charles-Curlee-Tire-Discounters