Ways to continue being profitable in a changing automotive industry
As any professional wholesaler can attest, the automotive industry is constantly changing. From expanding multi-shop operations, increasing manufacturing costs, and escalating insurance controls, there is a growing need to improve profits for themselves and the independent auto body shops they serve. So how can jobbers remain competitive and still make money in the industry? The key to success is twofold: finding the most innovative, high-quality products, and offering those products at the most profitable margins.
The Search for Quality Products
First, jobbers have to find auto body paint supplies that are innovative or alternative to the products from “the big name” companies without compromising quality. It might seem easy to just go with cheaper products, but it’s not that simple. Sacrificing quality introduces high risk. Most often low-cost products mean low-quality products, and that just isn’t an option for automotive and collision repair shops. The long-term costs and repercussions of failed products are extensive and ultimately destroy the reputation of both jobbers and the shops they service. Providing top-quality products is not an option, it’s essential to a successful business.
The Obstacle of Insurance
Currently, insurance companies have strong control over what auto body shops are able to charge for collision and repair jobs. This is the same sort of top-down control that the healthcare industry has been experiencing for decades and has become the new norm in automotive. Now more than ever it is so critical for companies to keep material and consumable product costs down to maintain profit margins.
The Success by the Numbers
Without sacrificing the calibre of the products, how can jobbers improve profits? They have to find top-tier automotive supplies with the greatest margins. So let’s talk numbers: the big companies offer only 5 or 10-point margins. CTW International offers upwards of 30-point margins on our best-selling and top-quality consumable products.
What then are the money-making products? CTW offers an extensive collection of thoughtfully selected, high-quality consumable auto body paint supplies priced to allow jobbers and warehouses to make a profit. View the full CTW catalog of paint suits, paint spray cups, masking tape, and more profitable and trusted automotive supplies.
We also understand that you need to test products for yourself to know the quality and reliability of what they offer. We want to put our money where our mouth is and send you a sample on us. Request a free sample pack today if you’d like to see it for yourself.
If you want to know more, please feel free to reach out to CTW International sales team with any questions or if you would like any further information on our products.