Inflation and modernisation chief concerns for garages, LKQ research shows

Inflation and modernisation are the biggest challenges facing workshops, according to the annual Europe-wide research from LKQ Euro Car Parts.

The study – which surveyed over 1,200 customers and external samples across the UK – found that 62 per cent of garages view inflation as a major concern for the next five years. Meanwhile, 43 per cent identified technological advances as a challenge.

Other top concerns included the rise of electric vehicles (35 per cent), parts availability (29 per cent) staff training (24 per cent) and supply chain instability (14 per cent).

Yet despite cost pressures topping garages’ worry list, LKQ’s study found that they value competitive prices as the fourth most important factor when choosing parts suppliers.

Having a good relationship with branches was the top reason garages would call a supplier first (48 per cent), followed by speed of delivery (47 per cent), stock availability (44 per cent), competitive prices (38 per cent), and a good range of products and brands (27 per cent).

Matt Robinson, B2B director at LKQ Euro Car Parts, said workshops aren’t alone in feeling these pressures.

“Like many businesses across the economy, increased overheads – like rising labour and energy costs – is putting pressure on garages’ margins,: he said. “But the aftermarket also faces the unique challenge of re-skilling and retooling to support an electric and technologically advanced car parc.”