Wonder

Research Outline

Prepared for Amy X. | Delivered July 14, 2020

Auto Body Repair Shops - Consumer Sentiments and Attitude

Goals

To provide relevant insights into consumer sentiments and attitudes regarding auto body repair shops in the US. 

Early Findings

People do not typically consider an auto body shop prior to needing one. Due to this reason, some consumers find the process of identifying and selecting auto shops largely stressful. 
Consumers are wary of auto body repair shops for a number of reasons. First, auto body repair shops have a long history of sharp practices. The most common issue consumers have against auto repair shops revolves around auto shops quoting a lower price to get the consumer to commit and then hitting the consumer with a  much higher final bill after the work is done. According to a recent survey by FixAutos, consumers consider having an estimated pricing feature as the most important factor when selecting a body shop. 
In addition, some fraudulent repair shops bill the consumer for services not provided or sometimes use lesser quality parts in place of OEM parts as initially agreed. 
In recent times, auto body shops have been sued by consumer protection groups and law enforcement agencies for deceptive practices. In 2018, the North Carolina Attorney General filed a lawsuit against a number of auto body shops for sharp practices. Also, in 2019, the owner of an auto body repair shop in New York was arrested for auto repair insurance fraud and other similar sharp practices. 
Due to the industry's unpopular reputation, about half (49%) of consumers typically rely on word of mouth from friends and family who have had successful interactions with reputable auto shops, and the average consumer typically considers 2 - 3 body shops before making a decision.  In addition, the majority (61.7%) of consumers would prefer to travel even further to a different body shop if it has great online reviews. 