New Jersey Automotive May 2016

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www.grecopublishing.com May 2016 $5 95 THE OFFICIAL PUBLICATION OF THE ALLIANCE OF AUTOMOTIVE SERVICE PROVIDERS/NEW JERSEY (www.AASPNJ.org) AND THE AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY (www.ARANJ.org) TM

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Official Publication of the Alliance of Automotive Service Providers/New Jersey (AASP/NJ)

Transcript of New Jersey Automotive May 2016

  • www.grecopublishing.com

    May 2016$595

    THE OFFICIAL PUBLICATION OF THE ALLIANCE OF AUTOMOTIVE SERVICE PROVIDERS/NEW JERSEY (www.AASPNJ.org)AND THE AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY (www.ARANJ.org)

    TM

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    P.O. Box 734 Neptune, NJ 07753

    EXECUTIVE DI REC TORCharles Bryant732-922-8909 / [email protected]

    2015 - 2017 OFFICERSPRESIDENTJeff McDowell, Leslies Auto Body732-738-1948 / [email protected]

    COLLISION CHAIRMANJerry McNee, Ultimate Collision Repair, Inc. 732-494-1900 / [email protected]

    MECHANICAL CHAIRMANKeith Krehel, Krehel Automotive Repair, Inc.973-546-2828 / [email protected]

    TREASURERTom Elder, Compact Kars, Inc.609-259-6373 / [email protected]

    SECRETARYThomas Greco, Thomas Greco Publishing, Inc. 973-667-6922 / [email protected]

    BOARDDennis Cataldo, Jr., D&M Auto Body732-251-4313 / [email protected]

    Dave Laganella, Peters Body and Fender201-337-1200 / [email protected]

    Sam Mikhail, Prestige Auto Body908-789-2020 / [email protected]

    Ted Rainer, Ocean Bay Auto Body732-899-7900 / [email protected]

    Anthony Sauta, East Coast Auto Body732-869-9999 / [email protected]

    Randy Scoras, Holmdel Auto Body732-946-8388 / [email protected]

    Anthony Trama, Bloomfield Auto Body973-748-2608 / [email protected]

    BOARD ALLIEDJoe Amato, The Amato Agency732-530-6740 / [email protected]

    Mike Kaufmann, Advantage Dealer Services973-332-7014 / [email protected]

    PAST PRESIDENT ATTENDINGTom Elder, Compact Kars609-259-6373 / [email protected]

    PUBLISHERThomas Greco ([email protected])DIRECTOR OF SALESAlicia Figurelli ([email protected])EDITORJoel Gausten ([email protected])MANAGING EDITORJacquelyn Bauman ([email protected])CREATIVE DIRECTORLea Velocci ([email protected])OFFICE MANAGERDonna Greco ([email protected])CONTRIBUTING EDITORSCharles Bryant Tom Greco Jeff McDowellMitch Portnoi Dave Laganella Ron Ananian

    Published by: Thomas Greco Publishing, Inc.244 Chestnut Street, Suite 202, Nutley, NJ07110Corporate: (973) 667-6922 / FAX: (973) 235-1963

    VOLUME 46, NUMBER 5 | May 2016

    10 OUT OF BODY (AND MECHANICAL) EXPERIENCES12 PRESIDENTS MESSAGE16 EXECUTIVE DIRECTORS MESSAGE

    20 COLLISION CHAIRMANS MESSAGE24 I-CAR CALENDAR40 IN MEMORIAM: JAMES MOY62 NJA ADVERTISERS INDEX

    NEW JERSEY AUTOMOTIVE is published monthly and is sent toAASP/NJ and ARANJ members free of charge. Subscriptions are $24per year. NEW JERSEY AUTOMOTIVE is published by Thomas GrecoPublishing Inc., 244 Chestnut St., Nutley, NJ 07110. The editorial con-tents of NEW JERSEY AUTOMOTIVE are copyright 2016 byThomas Greco Publishing Inc. and may not be reproduced in anymanner, either in whole or in part, without written permission from thepublisher and/or editor. Articles in this publication do not necessarilyreflect the opinions of Thomas Greco Publishing Inc. Cover and StockImages courtesy of www.istockphoto.com.

    CONTENTS

    VENDOR SPOTLIGHT by Joel Gausten26 Alive and Thriving: Inside Todays Toyota of Morristown

    LOCAL NEWS Coverage and photos by Jacquelyn Bauman30 New Jersey SkillsUSA Contest Ignites Students Passion37 Cars and Coffee Kicks Off 2016 Season

    AASP/NJ UPDATE by Jacquelyn Bauman36 AASP/NJ Represents the Garden State at National Board Meeting

    NEWSFLASH36 Pro Spot Virtual Welding Competition Yields Two Lucky Winners

    MARKETING FEATURE by Lee Emmons44 How to Deal with Negative Online Reviews

    COVER STORY by Joel Gausten50 STEERING 2.0: HOW (AND WHY) THE OEMs HAVEENTERED THE REFERRAL RACE

    AASP/NJ NEW MEMBER SHOP PROFILE by Jacquelyn Bauman59 Open Dialogue with E&M Auto Body

    www.grecopublishing.com

    Joe Amato, Sr.Ron AnanianJim Bowers

    Charles BryantDon ChardGuy CitroPete Cook

    Ed DayDave Demarest

    Tom ElderBob Everett

    Thomas GrecoDan Hawtin

    Rich Johnson Wes KearneyNick KostakisJim KowalakJoe Lubrano

    Michael LovulloSam Mikhail

    Ron MucklowGeorge Petrask

    Russ RobsonJerry RussomanoGeorge Threlfall

    Cynthia TursiLee VetlandPaul VigilantRich WeberBrian Vesley

    Glenn VillacariStan Wilson

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  • As I write this column, I am looking up at my televisionto see that Donald Trump has won the New York Republi-can primary. And you know what? Im glad. I like DonaldTrump. There, Ive said it. Call me ignorant. Call me racist.Call me stupid. I dont really care. I like Donald Trump. Doyou know the biggest reason why I like Donald Trump? Hesnot a politician. Most politicians are phony asses. You maythink Trump is an ass (and that I am an ass for admitting Ilike him), and thats your right. But unlike most politicians,Trump never pretends hes not an ass. So if Im going to watch a circus which this entirepresidential campaign has been on both sides Im goingto root for the clown who entertains me the most. Now, allow me to give you some backstory on my ownpolitical history, as Ive worked on a couple of campaignsin my lifetime. My first experience came when my brotherran for our towns Board of Education. He asked me to behis campaign manager. Even though I was pretty young

    with no experience, I took the job. Boy, was that a mistake. You see, when youre inside the political bubble, youlive in your own reality. Our family had had a pretty goodhistory in our town. We were instrumental in the success ofsome of its most popular sports leagues, and we also builtsome of its biggest buildings. Being in our bubble andbeing conceited asses, we assumed that our name alonewould allow us to coast. The competition didnt have half asmuch experience or name recognition. Hell, if you playedfootball, baseball or basketball in Nutley over the prior 30years, there was a 90-percent chance you played for aGreco. Besides, there were four people running for threeseats. It was a sure thing. Except it wasnt. Ill never forget sitting there at the Town Hall as the bal-lots came in. We came in a distant fourth. That phone callto my brother was pretty difficult. I felt I had let him down.But looking back, that wasnt it at all. The problem was that

    10 | New Jersey Automotive | May 2016

    OUT OF BODY (AND MECHANICAL) EXPERIENCES

    ROCK THE VOTE by THOMAS GRECO, PUBLISHER

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    we were in the bubble. Everyone told us we would win, sowe half-assed it and it came back to bite us. We werecocky, condescending and we told the people what theywanted to hearjust like your typical politician. That experience soured me on the political process fora while. That is, until I went to a concert by a Jersey bandcalled the Smithereens at the Tradewinds club in SeaBright. Before and after the concert, I kept seeing thesepretty women in tight t-shirts that had DiNizio for Senatewritten on them. I knew Pat DiNizio was the leader of theSmithereens, so I asked one of the girls what it was allabout. (At least he knew how to market at that point.) Sheexplained that DiNizio intended to challenge (future NJGovernor) Jon Corzine for a seat in the United States Sen-ate. You read that right. Here was the lead singer of a bandwho had a few minor hits in the 80s and 90s talking aboutchallenging one of the richest men in the country. Ofcourse I was in. DiNizio lived and worked out of a house in ScotchPlains that resembled the home on The Munsters. He hadmonster movie memorabilia all over the place and a 12-foot-tall stuffed bear in his living room. I dont think Corzinelived liked that. Still, there were about a dozen of us corebelievers who spent a good year or so on the campaign,traveling up and down the state to fundraisers and concerts.

    Part of the reason we bought into it was because DiNiziowas running on the Reform Party ticket the party thatlaunched Ross Perot, Jesse Ventura and Pat Buchanan.We were young, we were enthusiastic and we believed inDiNizio. But again, we were in that bubble. We used to meet inhis tiny kitchen and he would sit there smoking endlesscigarettes, nodding his head to whatever we would say. Iwould look around the room and think to myself, We dontknow what the hell were doing. Hell, we were trying tobeat a BILLIONAIRE. But I was swept away in the wave ofeuphoria, even though deep down I knew we didnt have achance in hell. (My guess is thats what Bernie Sanders fol-lowers must feel like.) Soon, a couple of telltale signs started to appear. First,when Pat Buchanan (who, at that time, was considered apotential serious presidential candidate) visited New Jer-sey, DiNizio and I attended the event and were assuredthat we were going to have a one-on-one sit down with thecandidate. That assumption went out the window whenBuchanan walked in and DiNizio went up to him. Buchananlooked at him, said, Thanks for coming and moved on.He had no clue who the hell Pat DiNizio was. I knew wewere in trouble then, but it got worse. A week or two later,

    continued on page 19

  • I realize that I used my space inlast months magazine to recap thesuccess of NORTHEAST 2016, but insitting down to put together thismonths column, I wanted to drive

    home an important point that I hopeour readers take into account. Yes,NORTHEAST is an industry-leadingevent that brings the majority of ourfield together over a three-day period,

    and the show continues to grow thanksto the support of our exhibitors and at-tendees. But now that its over, I urgeyou to look to these vendors first whenconsidering future purchases and sup-port those who support our associa-tion. A number of advertisers withinthis very magazine are not onlyNORTHEAST exhibitors, but they arealso sponsors of AASP/NJ throughoutthe year. The next time youre in needof a new vendor for parts, equipment,a spray booth or even funding for all ofthe above, look first in the pages ofNew Jersey Automotive and the 2016NORTHEAST floor plan at aaspnjnortheast.com. I try to make sure thatthe companies I partner with have al-ready chosen to align themselves withassociations like AASP/NJ it furthershows their commitment to betteringthe industry. As we look ahead, AASP/NJ has anumber of exciting events lined up inthe coming months. This summer, wellbe hosting our Fifth Annual AASP/NJRace Night at Pole Position Racewayin Jersey City. This event is always agreat time and a perfect way for shopsto reward employees with a night outracing around in high-speed electricgo-karts. As in past years, space willbe limited, so make sure to RSVP assoon as you receive the notice in yourinbox! Later in the year, AASP/NJ will holdour 12th Annual Lou Scoras MemorialGolf Outing in September. You mightremember that we typically hold ourGolf Outings in May, but weve de-cided to try something a little differentin 2016. As always, this event will beheld at the beautiful Colonia CountryClub, which always treats our guestswith top-notch service and pristinegrounds on which to play our tourna-ment. Stay tuned for event details Ilook forward to seeing you there!

    AASP/NJ: BUSYYEAR-ROUND

    12 | New Jersey Automotive | May 2016

    PRESIDENTS MESSAGE

    by JEFF MCDOWELL

    NJA

  • New Jersey Automotive | May 2016 | 13

  • YOU tell us what and when and WE worry about how to get youthe right parts whenyou need them.

    How do we do it? 80 wholesale professionals

    $5.6 million on-site inventory

    24-hour work schedule

    Regional / national parts locating

    Same night manufacturer deliveries

    24-hour return / credit process

    Automated order delivery and tracking

    But really, it's not about us...IT'S ALL ABOUT YOU!

    14 | New Jersey Automotive | May 2016

  • Left to right: Bill Grasso (Operations Mgr.), Bill DiRusso (Director), Dennis Davenport (GM),Bill Curren (NJ Sales Rep.) and Nick Halliday (Sales Mgr.)

    New Jersey Automotive | May 2016 | 15

  • The biggest difference that separates mechanicalshops from collision shops is who is behind the deci-sions for the repairs and how much the shop will becompensated for the work being performed. On the me-chanical side, the shop will first diagnose whats wrongwith the vehicle and then prepare an estimate of what itwill cost for the repairs. Next, the vehicle owner or cus-tomer will either accept the estimate and authorize therepairs, or refuse authorization. Refusing to authorizethe repairs could be for a number of reasons, includingsimply not being able to afford the work at the presenttime (or for other reasons that the vehicle owner simplywishes not to disclose). On the collision side, it is quiteanother story.

    For collision repairers, people carry insurance tocover any damage to their vehicles and are supposedto be able to rely on another partys insurance when thedamage is caused by someone else. The purpose of in-surance is to give people the feeling of security so thatthey dont have to worry about finding the money to pay

    for the repairs in the event of a loss. Collision repairs areunlike mechanical repairs. Mechanical repairs are oftenpredictable, usually coming on slowly from wear andtear or usage of the vehicle. Consumers usually knowahead of time when they are going to need an oilchange, tune-up or even when the brakes are starting togo bad. My point is, there are usually some signs orwarnings that give consumers a clue that they will needto go see their local mechanical shop soon.

    On the other hand, the need for collision repairscomes by surprise. Auto insurance is designed to coverwhat is referred to as sudden and unintended events.Liability insurance is mandatory in New Jersey, so peo-ple shouldnt have to worry about damage caused byanother driver. However, in order to get the secure feel-ing that one looks for in the event of an accident causedby their own fault, the person must carry their own insur-ance. Nowadays, most people also include coveragefor a rental replacement car so they dont have to worryabout being left without transportation if their own dam-aged vehicle takes a while to repair. Because of this,one would think there would be fewer issues on the colli-sion side than on the mechanical side. Well, think again!

    Although the final authorization for the repairs mustcome from the vehicle owner on both mechanical andcollision work, the process changes drastically for colli-sion repairs once an insurer is involved. When a con-sumer is relying on an insurer to pay the bill, the insuredmust wait for the insurer to go out and inspect the damageand then hope that the appraiser will agree with the shopowner on what it takes to repair the damaged vehicle.

    Over the years, the issues and differences of opin-ion on such things as Labor Rates and necessary pro-cedures have traditionally been worked out, one way oranother. Insurance appraisers have commonly beenable to commit to a line item amount commonly re-ferred to as a concession in order to reach an agreedprice to repair a vehicle with a shop. Although no onewants to admit it or talk about it, there was a time whenmoney changed hands between shops and appraisersin order to reach an agreed price and dont think for a

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    EXECUTIVE DIRECTORS MESSAGE

    If one were to ask a mechanical shop owner the biggest issues he or she faces with running theshop, I am fairly certain the list would be somewhat minimal. On the other hand, if you ask a colli-sion shop owner the same question, I would be willing to bet that you would wind up with a laundrylist of complaints the list would be gigantic in comparison. Now ask yourself, Why? The me-chanical shops face the same issues created from the new technology in modern vehicles, and thereis a shortage of technicians for their side just as there is for the collision side. I could go on and on,but lets cut to the chase and pinpoint the reason collision shops face a greater amount of issuesthan the mechanical shops.

    The Collision Industry Can No LongerAvoid Addressing the Issues! by CHARLES BRYANT

  • New Jersey Automotive | May 2016 | 17

  • EXECUTIVE DIRECTORS MESSAGE

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    minute that the insurers did not knowabout it. In fact, I would be willing tobet that they condoned it as long as itwas kept to a minimum. Extra partshave been put on estimates by ap-praisers to make up for restrictions onclaim settlement payments like lowLabor Rates and refusal to pay forcertain necessary procedures re-quired to repair vehicles safely andproperly.

    Finally, quite a few years back,fraud departments were created andlegislation was passed to put a stop toany type of unsavory practices usedin the past to allow collision shops andappraisers to work out agreements toget vehicles repaired. Now, with thecombination of the artificially sup-pressed Labor Rates that have alreadybeen established and the changes tothe modern vehicles that require a

    drastic investment in equipment, train-ing and certification, more and moreshops are unable and unwilling to re-pair damaged vehicles for the amountinsurers are willing to pay. The prob-lem is that these changes are so dras-tic (and the cost of the equipment,training, certification and simply doingbusiness these days is so great) thatcollision shops can no longer absorbthe expenses and still maintain a prof-itable business. It has come to thepoint that issues such as the artificiallysuppressed Labor Rates, refusal topay for the necessary procedures, un-justified material cost allowances andso on MUST be addressed. It hasreached the point of do or die!

    Collision shops are working forLabor Rates that are much smallerthan what lawnmower shops and bicy-cle shops are charging and beingpaid to perform repairs. Collisionshops are reporting having to go intotheir life savings and retirement moneyjust to keep the business open. Thevehicles on the roads today are verycomplicated and the repair proce-dures prescribed by the manufactur-ers are now crucial. Failure to performthese procedures on some vehiclescan result in vehicle malfunction andthreatened lives. Unlike in the past,there is no way for the shops to per-form the procedures required todaywhile being compensated with therates that insurers want to pay.

    For these reasons, some shopshave decided to sue certain insurersfor the difference between what insur-ers are willing to pay and the actualcost involved, and at a rate that willallow for a fair and reasonable profit.The shops that dare to take on thesebattles should be commended be-cause when issues like these get intothe legal system, things are examinedmuch more closely. I cant tell you howmany times I have looked at what cer-tain shops are using as an authoriza-tion to repair and thought that a childdesigned it. I dont mean to be conde-scending, but if the document were

  • New Jersey Automotive | May 2016 | 19

    we were heading out after a meeting and DiNizio askedme if Id like to go see The Exorcist at a nearby theater. Isaid sure. When we went to buy the tickets, it was like anold Abbott and Costello routine. He looked in his insidecoat pocketthen his right pocketthen his pants pocket.Finally, I said, Dont worry, Mr. Rock Star. I got it. BILLIONAIRE. When election night came, we all sat around a littleblack-and-white TV watching the returns. I can rememberthat after the first hour, DiNizio had maybe 10 votes. Iwanted to feel bad, but I couldnt help myself. I went out-side and laughed at the absurdity of the entire journey. Hereally, really thought he was going to win. He was in thebubble, and he became a politician an ass. Funny enough, every minute of the campaign wasfilmed and released as a documentary called Mr.Smithereen Goes to Washington (imdb.com/title/tt0404248/). If you can find a copy, you can see yours truly(improperly credited as Tom Grecco) throughout the filmwith a What am I doing here? look on my face. The billionaire won that time by beating a fadedcelebrity who hadnt had a hit since the 90s. Maybe history will repeat itself.

    OUT OF BODY (AND MECHANICAL)EXPERIENCES continued from page 11

    ever reviewed by a good attorney, I am sure they wouldinform the shop that it would not hold up in a court of law.I have looked at others that are written well, yet signed bythe customer without the blanks filled in. Again, the shopwould lose before it even got to court.

    When one decides to address things in a court of law,he or she is exposed to a lot of risks. During the discoveryprocess, one would be amazed at what the other side hasa right to, never mind the stress that goes along withdealing with these issues in the legal arena. For thesereasons and more, I really want to commend those whohave jumped out in front of the bus, so to speak. I stronglyencourage all other shop owners to support these individ-uals whenever possible. In the end, the ones who havethe courage to stand up and say, Enough is enough,and take on the mighty insurers are the ones who are pre-venting the weaker ones from having to do so them-selves. I will keep everyone informed as these casesproceed.

    NJA

    NJA

  • But now, because hardly any shopsare using these programs, the insurancecompanies are reverting back to thesame old standard. Between the StateFarm rate increases from its own surveyand the association-sponsored VariableRate Survey (VRS), it should be mucheasier now to be paid properly by insur-ers than it has been in the past. However,I barely see any shops even trying to askto be paid what these surveys are sayingthey should receive.

    This is the problem.I constantly hear shop owners com-

    plaining about insurance companies, in-surance companies, insurance com-panies when theyre just playing thehands they are dealt and arent willing tostand up. They cry that these insurers aretaking advantage of them when theyarent even doing anything to fight backwith the tools theyre given. Its time tostand up and do something.

    I have had appraisers in my shop tellme that only three other shops are askingfor the same things Im asking for, eventhough I know for a fact Ive heard hun-dreds of owners make these same com-plaints at industry events. If only a smallpercentage of shops are even asking forwhat they deserve, why would insurerspay them?

    The truth of the matter is that insur-ers are running out of excuses not topay us what we deserve. But unless weall stand up and fight for whats right,we will never break through that wall. I dont like being the bad guy when all Im asking for is what is fair and just.The more people stand beside me, themore unified we are (and less of an outlierwe all become).

    If your question is, How do I fight?the first step is to look at your Key Per-formance Indicators (KPIs). You need toknow what they mean and what they

    stand for. You wont knowhow to break down yourbusiness without knowingwhats coming in on the bottom line foreach job. Take a vested interest in yourjob and look at your KPIs. Know what youneed to charge on each job to actuallyturn out a livable profit.

    The future of this industry is in yourhands. Im not sorry if this is harsh werenot going to get anywhere simply by cry-ing out into the void about our problems.They require real solutions; they requirereal initiative. The association is puttingout tools and resources for Garden Stateshop owners to use in this fight to getwhat is needed to run a successful busi-ness. If youre ready to stand up but arentsure where to start, pick up the phoneand call one of your AASP/NJ Boardmembers. We want to help you.

    20 | New Jersey Automotive | May 2016

    COLLISION CHAIRMANS MESSAGE

    AASP/NJ has fought long and hard for this industry for years. One of the ways the association has gone to bat on your behalf is in the fight for paint cost accounting programs. We worked tirelessly to get insurance companies on board with these important tools and for a little while, it worked.

    Its Time to Take a Stand by JERRY MCNEE

    NJA

  • New Jersey Automotive | May 2016 | 21

  • BMW of Springfield391-399 Route 22 E.Springfield, NJ 07081Toll Free: 800-648-0053Fax: 973-467-2185www.bmwofspringfieldnj.com

    BMW of Freehold4225 Route 9 NorthFreehold, NJ 07728PH: 732-462-6286Fax: 732-577-0518www.bmwoffreehold.com

    Flemington BMW216 Route 202/31Flemington, NJ 08822PH: 908-782-2441Fax: 908-824-9913www.flemingtonbmw.com

    Princeton BMW3630 Quaker Bridge RoadHamilton, NJ 08619PH: 609-570-1611Fax: 609-570-1602www.princetonbmw.com

    Wide World BMW125 East Route 59Spring Valley, NY 10977PH: 877-817-3895Fax: 845-425-5080www.wideworldofcarsbmw.com

    For Original BMW Parts, contact one of these authorized BMW centers:

    THERE HAS NEVER BEEN A BETTER WAY TO BUY THEWORLDS BEST ENGINEERED PARTS.

    22 | New Jersey Automotive | May 2016

  • Circle BMW500 Route 36Eatontown, NJ 07724Parts Direct: 732-440-1235Fax: [email protected]

    Paul Miller BMW1515 Route 23 SouthWayne, NJ 07470PH: 973-696-6060Fax: 973-696-8274www.paulmillerbmw.com

    BMW of Mount Laurel1220 Route 73 SouthMount Laurel, NJ 08054PH:856-840-1486FAX:856-222-0506www.bmwofmtlaurel.com

    Park Ave BMW530 Huyler StreetSouth Hackensack, NJ 07606PH: 201-843-8112FAX:201-291-2376www.parkavebmw.com

    BMW of Bridgewater655 Route 202/206Bridgewater, NJ 08807PH: 908-287-1800FAX:908-722-1729www.bridgewaterbmw.com

    Original BMWParts

    The UltimateDriving Machinewww.bmwusa.com

    Theyre called Original BMW Parts for good reason. For uncompromising precision and incomparable quality, your BMW center is your One-Stop shop for everything BMW.

    New Jersey Automotive | May 2016 | 23

  • MAY 3Replacement of Steel Unitized StructuresReliable Automotive Equipment, BelfordSuspension SystemsVirtual Classroom

    MAY 4MeasuringCounty Line Auto Body, HowellMatching the Repair to the TeamVirtual Classroom

    MAY 5Sectioning of Steel Unitized StructuresReliable Automotive Equipment, BelfordRack and Pinion and Parallelogram Steering SystemsVirtual Classroom

    MAY 9Steering and Suspension Damage AnalysisVirtual Classroom

    MAY 10Replacement of Steel Unitized StructuresComfort Suites, Mahwah

    MAY 11Vehicle Technology and Trends 2016Jost Garage, Wall TownshipCollision Repair for Ford and Lincoln VehiclesCollisionMax, PennsaukenAutomotive FoamsVirtual Classroom

    MAY 12Full-Frame Partial ReplacementSomerset Vocational High School, BridgewaterStructural Straightening SteelVirtual Classroom

    MAY 17Steel Unitized Structures Technologies and RepairVirtual Classroom

    MAY 18Understanding and Preventing Refinish DefectsCounty Line Auto Body, HowellHazardous Materials, Personal Safety and Refinish SafetyJost Garage, Wall TownshipHail, Theft, Vandalism Damage AnalysisCollisionMax, PennsaukenWelded and Adhesively Bonded Panel ReplacementVirtual ClassroomCollision Repair Overview for the Chevrolet Corvette Z06Virtual Classroom

    MAY 19Overview of Cycle Time Improvements for the Collision RepairProcessHoliday Inn and Suites, ParsippanySqueeze-Type Resistance Spot WeldingReliable Automotive Equipment, Belford

    MAY 24Sectioning of Steel Unitized StructuresComfort Suites, MahwahAutomotive FoamsVirtual ClassroomProblem Solving for Workflow ChangesVirtual Classroom

    MAY 25Corrosion ProtectionJost Garage, Wall TownshipBest Practices for High-Strength Steel RepairsCollisionMax, PennsaukenSteel Unitized Structures Technologies and RepairVirtual Classroom

    MAY 26Vehicle Technology and Trends 2016Holiday Inn and Suites, ParsippanyOverview of Cycle Time Improvements for the Collision RepairProcessSomerset Vocational High School, Bridgewater

    MAY 31Waterborne Products, Systems and ApplicationVirtual Classroom

    CALENDAR

    For more information, visit www.i-car.com NJA

    24 | New Jersey Automotive | May 2016

  • New Jersey Automotive | May 2016 | 25

  • 26 | New Jersey Automotive | May 2016

    For 25 years, parts industry veteran Kathy Sobolewskihas worked with the best interests of body shops inmind. After serving in a variety of positions at the leg-endary Toyota of Morristown, she stepped into the role ofparts manager last year. Now overseeing one of the statesmost celebrated wholesale providers (in addition to theequally popular Subaru of Morristown parts enterprise), she islooking forward to maintaining the companys reputation forhigh-quality service through 2016 and beyond. Currently stocking roughly $500,000 in Toyota and Sub-aru parts, Sobolewskis operation thrives by following a less-is-more philosophy when it comes to fulfilling customersneeds. We go as far north as Sussex County, as far south asMiddlesex County, as far west as Warren/Hunterdon Countiesand as far east as Bergen County, she says. We cover anice section of New Jersey, but its about keeping a realisticexpectation of servicing the customers. We can go furtherout, but we wont be able to service them as well. While some other dealers cut off their ordering deadlinesby mid-afternoon, Sobolewski works to ensure that parts or-dered by 5pm arrive at a customers shop the next businessday. The parts department even offers deliveries on Saturday. As an OEM parts institution, Toyota of Morristown strivesto provide alternatives to shops that are pressured to use infe-rior aftermarket parts. Thanks to Toyotas Auto PartsBridge or-dering system, customers can receive genuine manufacturer

    parts for the same price as a lesser product. Even if the insurance company is pushing them to go af-termarket or gray market on some of the parts, Toyota and theAuto PartsBridge allows us to be competitive in our pricing ofOEM parts, Sobolewski explains. As our customers are wellaware, using an OEM [product] is almost always much easierbecause the part is manufactured specifically for the vehicletheyre working on. Its important for Toyota to tell our customers about theirrights to have an OEM part put on their cars, she adds. Tome, its a safety issue first. You cant replace a person. If you

    VENDOR SPOTLIGHTby Joel Gausten

    Toyota of Morristowns parts professionalsare ready to process your order.

    continued on page 60

    Alive and Thriving:Inside Todays

  • 175 Ridgedale Avenue, Morristown, NJ 07960Toll Free: 800-541-1127Fax: 973-292-0872www.subaruofmorristown.comwholesale@subaruofmorristown.com

    Genuine Subaru Parts improve your profits and customer satisfaction.

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    The dedicated parts staff at Subaru of Morristown. Dog tested. Dog approved.

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    New Jersey Automotive | May 2016 | 27

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    New Jersey Automotive | May 2016 | 29

  • On April 16, nine of the top collision repair students in the state gathered atSomerset County Vocational and Technical High School in Bridgewater for the2016 installment of New Jersey SkillsUSA. The contest put the high schoolershead-to-head in a fierce collision repair competition. Using the skills theyve ac-quired, they partook in tasks such as estimating, bumper repair, welding andadhesives and were scored on their time management and finished productsby a team of local industry experts. First Place winner Giannie Cintron (Somer-set County Vocational and Technical High School) will now move on to competeat the SkillsUSA National Leadership and Skills Conference in Louisville, KY thisJune.

    Once again a fervent sponsor of the event, AASP/NJ had members donatetheir time in order to make the event happen. Board members Collision Chair-man Jerry McNee and Ted Rainer (who served as a judge for the welding sec-tor of the competition) were in attendance to show their support for the future ofthe automotive repair industry.

    Its great to see what the students are able to do coming out of school,Rainer tells New Jersey Automotive. With everything changing in the industryso quickly, there are a lot of technicians out there who need to be trained onthings like aluminum. Some of these kids are coming out of school with thatfoundation already; some of them are really talented. It says a lot about the levelof instruction going on at these schools.

    This is a sentiment shared by New Jersey SkillsUSA Program Director PeteFryzel (I-CAR).

    In all of my tenure as an organizer for this event, Ive never seen the levelof skill that is here this year, he explains. Every year, the kids get better andbetter, which really is a testament to the teachers who are bestowing this knowl-edge on their students. Theres a starvation of technicians in the industry, but itsgreat to see that what is coming out of the schools these days is so valuable.

    Having served the SkillsUSA community in the Garden State for years,Fryzel announced that 2016 would be his last year at the helm of the competi-tion, with next year seeing him groom his successor for the event.

    Im so glad to have been a part of this program for as long as I have, heexpresses. Ive seen the event, as well as the industry, grow and advance; itgets better each and every year. Yet what Id like to see moving forward is forshop owners to get more involved, both in the event itself and with their localschools. Shop owners are taxpayers; these schools are funded by those taxes.This is their future talent pool they need to be a part of it. Its time for me topass the baton, but Im excited to see where this is all going to go in the nextfew years.

    New Jersey SkillsUSA organizers would like to thank this years judges: An-thony Thompson, Charity Ritter, Chuy Barrera, Edgar Chaves Jr., EdwardWinkens, Edward Mayer, Howard Feedman, Jerry McNee, Joe James, MalcolmGinsburg, Michael Bonsanto and Ted Rainer. A big thanks as well to the spon-sors of NJ SkillsUSA: Bridgewater Auto Body, Ultimate Collision, Tom Smetankaof Central Paint, AASP/NJ, Walters Auto Body, Bloomfield Auto Body, Main AutoBody, Ed Winkens of National Oak Distributors and Auto Body Distributing Co.

    NJA30 | New Jersey Automotive | May 2016

    New Jersey

    Contest IgnitesStudents Passion

    Coverage by Jacquelyn Bauman

  • New Jersey Automotive | May 2016 | 31

    FIRST PLACE: GIANNIE CINTRON Somerset County Vocational and Technical High SchoolSECOND PLACE: JOSEPH RUGGIERO Morris County School of TechnologyTHIRD PLACE: JACOB EMIG Burlington County Institute of Technology, Medford Campus

  • 32 | New Jersey Automotive | May 2016

  • New Jersey Automotive | May 2016 | 33

  • 34 | New Jersey Automotive | May 2016

  • New Jersey Automotive | May 2016 | 35

  • At AASP/NJs 39th Annual NORTHEAST 2016 AutomotiveServices Show, Pro Spot International held its second annual Vir-tual Welding Tournament to put attendees skills to the test on thecompanys weld simulator. The highest-scoring individual tookhome a 50 HDTV, with another randomly-selected winner winninga PR-205 Synergic MIG welder. Blaze Serratore of Total Performance (Mahwah) was theproud winner of this years tournament, after earning the highestscore at the conclusion of the three-day event. David Alameda ofLeslies Auto Body (Fords) was the lucky recipient of the PR-205welder. When I found out I had won the welder, I was skeptical atfirst I thought it was a joke, but when I found out it was real, Iwas very excited, says Alameda. Using the virtual welder was different than welding in real life, but I found it very informative. I definitely learned things about my welding skills from it. For more information on NORTHEAST 2016, go to aaspnjnortheast.com. To find out more about Pro Spot, go toprospot.com.

    Pro Spot sales representativeTodd Witten with Blaze

    Serratore (left) and DavidAlameda (above).

    36 | New Jersey Automotive | May 2016

    AASP/NJ UPDATEby Jacquelyn Bauman

    On April 8, AASP/NJ Executive Director Charles Bryantwas among the AASP state affiliate leaders who traveled to St.Louis, MO to visit the Hunter Engineering headquarters andattend the semi-annual Alliance of Automotive ServiceProviders (AASP) National Board meeting.

    Prior to the gathering, a tour guide took attendees behindthe scenes of the Hunter Engineering enterprise, outliningeverything from the history of the company to the conceptionstages of its products through production, testing and distribu-tion. Guests were also treated to an exclusive glimpse ofHunters private collection of classic cars.

    The AASP National Board meeting that followed saw eachaffiliate give a rundown of the situations and issues affectinghis or her state and discuss efforts to find solutions to theseobstacles.

    Everything Im about to tell you, youve probably experi-enced the same things happening in your state, joked RalphBombardiere of the New York State Association of Service Sta-tions and Repair Shops, Inc. (NYSASSRS) before detailing hisstates struggles, many of which (inspection laws, steering,employee demands, etc.) were shared by the other state rep-resentatives in attendance. When it was time for AASP/NJ toshare, Bryant outlined a situation involving a New Jerseymember who went forward with Assignment of Proceeds suitsdealing with a variety of common auto body issues including

    paint and material reim-bursement. He detailed thespecific struggles this shopis facing as a result of con-fronting insurers in this man-ner, such as arguing aboutthe validity of his shop li-cense and being falsely ac-cused of fraud. AASP/NJhas offered its support to theshop in whatever ways itcan.

    The shop owner is notstopping; hes going to theend, Bryant noted. We areworking on a program to assist him or anyone else who isstrong enough to challenge these issues.

    Bryant also provided news on AASP/NJs battle againstmobile shops, as the existence of these businesses is in con-flict with the Garden States repair licensing laws.

    Weve gone to the Motor Vehicle Commission to get themto enforce the licensing law with regard to mobile shops, heexplained. Theyve taken the position that the mobile guysdont have to be licensed, even though the licensing law saysany person in the state who conducts vehicle repair has to be.We are now working on a different approach that we predictwill be successful.

    After describing the success of the recent 39th AnnualNORTHEAST Automotive Services Show, Bryant exploredother topics of importance to New Jersey repairers, such asDiminished Value and the impact of the Variable Rate Survey.

    The next AASP National Board meeting is slated for November at the 2016 SEMA Show in Las Vegas, NV. Formore information on the national association, go to autoserviceproviders.com.

    AASP/NJ Representsthe Garden Stateat National BoardMeeting

    Executive Director Charles Bryantrepresented his home state

    at the meeting.

    NJA

    Virtual Welding NEWSFLASH

    NJA

    Competition Yields Two Lucky Winners

  • From hot rods to cool classics to pick up trucks andmuscle cars from all decades, 2016s first Cars and Coffeeevent of the season brought out gear heads and car enthu-siasts in droves to experience the warm weather and thecamaraderie of their peers. After instituting a cap on the number of cars on displaydue to maximum capacity concerns at the end of last sea-son, this most recent Cars and Coffee brought out almost350 vehicles for attendees to marvel at. Held once again atthe Moto Business Park in Millstone, pass-holding guestsenjoyed complimentary coffee and donuts while appreciat-ing the cars, trucks and hot rods in front of them. Nearly 600 attendees showed up for the show. Asevent staff increases the number of display vehicles, thatnumber is sure to rise as well. Cars and Coffee is held from8-10:30am, with upcoming 2016 meet dates as follows: Sunday, May 22; Sunday, June 26; Sunday, July 31; Sunday,August 21; Sunday, September 25; and Sunday, October 16.For more information, visit carsandcoffeenj.com.

    CARS ANDCOFFEE KicksOff 2016 Season

    NJA

    Coverage and photos by Jacquelyn Bauman

    Sunday, April 24Moto Business Park, Millstone, NJ

  • 38 | New Jersey Automotive | May 2016

  • New Jersey Automotive | May 2016 | 39

  • 40 | New Jersey Automotive | May 2016

    As this issue of New Jersey Automotive went to press,the collision repair industry lost a dear friend and sup-porter with the passing of James Moy at the age of 44. James began his automotive career over 20 years agoas a tow truck operator for a collision repair facility. Duringthat time, he realized the importance of customer serviceand performing professional repairs. After receiving formalmechanical training at the NYS ATTP (New York State AutoTechnician Training Program), he then turned his attentionto learning structural repair, refinishing and damage analy-sis. He attained the prestigious I-CAR Individual Platinumstatus in Adjusting, Estimating, Structural and Non-Struc-tural Repair and Refinishing. He also passed the I-CARWelding Qualification Test in Steel, Aluminum and Struc-tural Steel. He was an ASE-certified Master Collision Re-pair/Refinish Technician and Damage Estimator and was alicensed and bonded adjuster in at least 10 states. A for-mer I-CAR instructor, he was qualified to teach 42 instruc-tor-led classes in all categories. He specialized in Right toAppraisal negotiations, triage/blueprinting processes andSOPs. His extensive industry history also included work asa consultant for Precision Auto Group (among others) anda coach for VeriFacts Automotive. James also assisted in training courses and shop eval-uations offered by P&L Consultants and Larry Montanez.Those in the industry who knew James will remember himfor his friendly, outgoing personality and willingness to

    always speak his mind on the importance of followingproper procedures in the repair process. A more extensivetribute to James will appear in our next issue. New Jersey Automotive and AASP/NJ offer Jamesfamily, friends and colleagues our deepest condolences.

    IN MEMORIAM: James Moy

    James Moy (second from right) as he acceptedthe 2015 NABC Award of Distinction on behalf ofMid Island Collision (Rockville Centre, NY) at the

    CIC Awards Ceremony on November 4.

    NJA

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  • 44 | New Jersey Automotive | May 2016

    There are few things more frus-trating to a body shop owner thannegative online reviews. Unfortu-nately, if you interact with a signifi-cant number of customers, chancesare youve received one. No matterhow great your level of customerservice or how high the quality ofyour work, its inevitable. Even moreunfortunate is the fact that bad re-views can have a negative impacton your bottom line. Studies show that 88 percent ofcustomers read reviews to deter-mine the quality of a local business.1Nearly 90 percent report that their

    buying decisions are influenced bynegative online reviews.2 Withoutquestion, online reviews are an im-portant part of the consumers buy-ing process, and those negativeones could be sending potentialwork to your competitors.

    How to Make Online ReviewsWork in your Favor Given the fact that the occasionalnegative review is seemingly in-evitable (and online reviews are verydifficult to remove), it often feels likenothing much can be done. Under-standably, shop owners become

    embittered at what they see as unfairtreatment by certain review platforms,and they choose to ignore them infavor of other sites that offer busi-nesses more control. Ignoring negative reviews, how-ever, is a bad strategy. There areways to reduce the damage theycause, even if you cant get them re-moved. Pretending they arent thereisnt the answer.

    How Do I Reduce the Impact ofNegative Reviews? Your first step is to crowd themout with positive reviews. Everyoneunderstands that businesses getsome negative reviews. People aresmart, and they understand that thisfeedback should be understood incontext. However, if you only havefive reviews on one particular plat-form, and two of them are negative,those people are going to have theimpression that half of the customersyouve dealt with had a negative experience.

    HOW TO DEAL WITHNEGATIVE ONLINEREVIEWSby Lee Emmons

  • New Jersey Automotive | May 2016 | 45

    The overall star rating of yourbusiness matters. Only 13 percent ofconsumers will even consider using abusiness that has a rating underthree stars.3 Furthermore, studiesshow that 85 percent of them read upto 10 reviews.4 One disgruntled cus-tomers review will be understood inthe context of nine other reviews, afact that is very inspiring if youre ac-tively employing a strategy to encour-age customers to post about theirexperience with you.

    Make Getting Reviews a Part ofyour CRM Process Studies show that consumerswho have a negative encounter aremore likely to write a review thanthose who have a positive one.5Anecdotally, from my experiencehelping shops manage and respondto online reviews, it often feels likecustomers who have negative experi-ences are some of the most moti-vated people on the Internet. Withthis in mind, its very important thatyou make it as easy as possible for folks with positive experiences toleave reviews. The best way to encourage morereviews is to make it a part of yourcustomer relationship management(CRM) process. Make sure your ad-ministrative staff has a clear under-standing of your strategy andobjectives. In fact, you should havewritten standard operating proce-dures (SOPs) for all personnel whoare part of your CRM.

    How and Where to Ask for Reviews As youre developing your onlinereview strategy, make sure everyoneinvolved at your business under-stands how to ask for reviews andwhere they should be sending cus-tomers. First and foremost, everyoneshould understand that an overly ag-gressive or unethical approach cando more harm than good. All major review sites prohibitbusinesses from paying customersfor positive reviews, or creating fakereviews. If youre caught doing any ofthese things on Yelp, for example,your business listing will be flaggedwith a warning to users that youre

    engaged in unethical practices arguably one of the worst kind of re-views you can get. This kind of ap-proach is unnecessary, ineffectiveand not worth the risk. Customers are also likely to re-sent your attempts to push them to-wards leaving you a positive review.Treat them with respect and ask themfor their honest feedback. There areways to provide incentives for leavingreviews, such as entering customerswho have left reviews into a contestin which a winner is chosen at ran-dom. However, there is an even bet-ter way to invest directly in yourreview strategy (without risking viola-tion of review sites terms of service),and thats incentivizing the processfor your admins. If youve made asking for reviewsa part of your admin process, youreasking your staff to do extra work.Why not acknowledge the value ofthe work theyre doing and rewardstaff members with small bonuses foreach review they successfully assista customer in getting? Weve seenthis approach yield great results forbody shops that weve worked with.Youre not paying the customer forleaving a review; youre paying yourstaff for assisting a customer withleaving honest feedback.

    Why Is It Necessary for Reviews toBe Part of the Admin Process? Requests for reviews should be apart of every step in your CRM.Logos for major review sites likeGoogle+, Angies List and Yelpshould be in the materials given toyour customers. You should have fol-low-up emails that encourage them toleave reviews, and you should directpeople to your social media profiles. However, once your customerhas left your shop, the likelihood ofgetting a review from him or her (es-pecially on the most important reviewplatforms) decreases. At a bodyshop, the time when customers arepicking up their vehicle is the besttime to help them through theprocess of leaving a review espe-cially on Google+, which is arguablythe most important online review platform.6

    Why Is Google+ (or Google MyBusiness) so Important? Do a Google search for an autobody shop in your area, and youllsee why Google reviews are so im-portant. On the top half of the firstpage of search engine results, yourelikely to see Google Maps listingsfor body shops. Youll also see the review ratings for each business.Google reviews help optimize thatlisting in Googles local search algo-rithms.7 The biggest challenge withGoogle reviews is that you may needto assist customers through theprocess of signing up for a Googleaccount. This is a multi-step processthey are unlikely to go through oncetheyre out of your shop and havemoved on with their lives.

    Should I Only Worry aboutGoogle+? Im not suggesting that Googlereviews should be the only focus ofyour strategy. If customers are mostcomfortable with a particular reviewplatform, then they should be encour-aged and thanked for leaving a re-view there. Posting reviews on adiverse range of different sites ap-pears natural and trustworthy toGoogle. Also, if a customer regularlyleaves reviews on Yelp or AngiesList, for example, his or her profilehas built up a lot of credibility onthose platforms. If you have customers who areaccustomed to leaving a lot of re-views on Yelp and use that site likea social media platform by allmeans, encourage them to leavetheir review there! Their review is veryunlikely to be filtered or hidden, be-cause theyve built up a great deal oftrust on that site.

    How to Respond to Reviews Your online review strategyshould not only have a process forgetting reviews, but it should also in-clude a plan for responding to them.Above all, make sure you take thehigh road. If you have even the slight-est feeling that your response will beclouded by emotion, step away fromthe computer and wait, or get some-one who can be more objective to

  • 46 | New Jersey Automotive | May 2016

    craft a response. But dont wait too long. Respond promptly to all re-views, both negative and positive. Research shows that abusiness that responds promptly to all reviews discour-ages people from leaving negative ones in the first place.When they feel they are making statements about some-one who will respond, theyre more likely to be carefulabout what they say.8 Unfortunately, this isnt a safeguard against wildly in-accurate claims being made about your business. How-ever, you must resist the urge to make your response anargument about why this reviewer is wrong. This onlyserves to enrage the reviewer and increase the likelihoodthat he or she will try to go to war with you online. Always start by assuming the reviewer is correct, aspainful as this may sometimes be. (Remember that otherconsumers reading the review will identify with the re-viewer, and they could see you as a bully.) Then, show all of the steps youve taken to resolve the situation, and

    articulate the ways in which youre dedicated to prevent-ing the kind of negative experience that this customer hashad. Hopefully, the other nine good reviews that the con-sumer reads will reinforce that the negative experience isoutside the norm. 1. searchengineland.com/88-consumers-trust-online-reviews-much-personal-rec-ommendations-195802. marketingland.com/survey-customers-more-frustrated-by-how-long-it-takes-to-resolve-a-customer-service-issue-than-the-resolution-387563. brightlocal.com/learn/local-consumer-review-survey/4. searchengineland.com/88-consumers-trust-online-reviews-much-personal-rec-ommendations-1958035. streetfightmag.com/2012/08/14/poll-bad-experiences-are-more-likely-to-inspire-reviews/6. bruceclay.com/blog/local-businesses-need-reviews-12-seo-approved-ways-get/7. searchengineland.com/10-local-marketing-myths-hamstringing-biz-1848988. reputation.com/business/learning-center/reviews/improving/best-practices-neg-ative-reviews

    Lee Emmons is chief marketing officer of AP Media based in Sykesville, MD. His public relations and marketing efforts on behalf ofcollision repair shops throughout the Mid-Atlantic have gained industry press coverage for those shops in trade publications andlocal media. He and his agency are certified Google Partners, with certifications in AdWords and in Googles Video Advertising Advanced Certification. Marketing for auto body shops has become his passion and personal area of expertise. You can visit hiscompanys website at AbsolutePerfectionMedia.com.

    NJA

  • New Jersey Automotive | May 2016 | 47

  • New Jersey Automotive | May 2016 | 49

  • 50 | New Jersey Automotive | May 2016

    Before reading the rest of this story, go to youtube.comand type in Virtual Steering The Future Of Automotive

    Collision Claims, or go directly to tinyurl.com/h9zm6ot and take two minutes to watch the video. Now, if your jaw is on the

    floor after seeing that, know that youre not alone. Welcome to the new world of virtual steering.

    Originally produced last year for the 2015 VeriFacts Sym-posium, the Collision Hub clip has created a whirlwind of dis-cussion among shops, insurers and vehicle manufacturersover just how revolutionary it is that a vehicle owner couldsoon be directed to an OEM-certified facility by the vehicle it-self. A lot of times as repairers and insurers, we get caught upin [the question of], Who owns the customer? observes Colli-sion Hub founder Kristen Felder. We wanted to really drivehome [in the video] that there is a third party entering this con-versation now. The battle for the consumer is no longer shop-versus-insurer, its now shop-OEM-insurer. The OEMs arecoming to the table with a lot of resources and a lot less regu-lation around them. If you look at available figures, its instantly clear why carcompanies are jumping into the auto body game like neverbefore. As those who attended Mike Andersons PositioningYourself in the Collision Repair Industry* seminar at the 2016NORTHEAST Automotive Services Show learned firsthand, it

    all comes down to customer retention. According to datagathered by Andersons Collision Advice consulting firm, 60percent of customers who have to come back to a shop fol-lowing a repair for a job-related issue will trade out of that vehi-cle within a year. Of those 60 percent, 63 percent are going toswitch brands. The OEMs are extremely interested in owning that cus-tomer experience cradle to grave, Felder shares. They dontwant to lose a customer through an experience out of theircontrol...When we made that video a year ago, we went to [theOEMs] and said, Is this realistic? They all were like, Not onlyis it realistic, [but] this is exactly what we have planned andwe already have the capacity to do it. I think youre reallygoing to see this within the next two to three years. Step Onefor them was obviously the development of repair networksand getting those shops on board, certified and rolling. StepTwo will be coming up with the ways to feed these shops. In some cases, the industry is experiencing virtual steer-ing right now.

    By Joel Gausten

  • New Jersey Automotive | May 2016 | 51

    I walked into a collision center two months ago, and theywere literally covered up with Audi/Volkswagen roadside as-sistance-directed work, says industry speaker Steve Fel-tovich, manager of business consulting services forSherwin-Williams. Connected car technology will impact col-lision repair in the next couple of years, if its not impacting itnow based on roadside apps and your certification at theshop level...Shops that do not have certification cannot takeadvantage of these opportunities. Since December, Feltovich has been presenting Com-peting with the Connected Car Virtual Steering, an exten-sive seminar that explores some of the major technicaldevelopments that will soon change how shops arrive at bodyshops and what repairers need to do in order to get the mostout of this phenomenon. Not surprisingly, the course was a hitwhen presented at NORTHEAST 2016.* As many shops are beginning to see, there might betremendous advantages to being an OEM-certified repair cen-ter. For one thing, they will receive work from an outside partythat insists on repairing vehicles per manufacturer recommen-dations and using OEM parts to make that possible. Couplethat with Felders figures that only about 39 percent of dealer-ships in the US currently have their own body shops, and theindustry could have an intriguing alternative to current ways ofhaving work driven to their bays. Whats really going to put the squeeze on our industry isthe fact that the manufacturers going to tighten up prettyquickly on selling structural components to shops that arentcertified, notes Feltovich. The car is not going to direct [itself] or allow itself to be directed, if at all possible to a shop thatisnt certified, because their ability to procure structural com-ponents will be limited. This sounds great for the OEMs, but what about insur-ance companies? Are they going to be ready to accept workbeing steered to a shop that only uses original manufacturerparts? The answer might come as a surprise. Parts arent that big of a concern to the insurance com-pany as much as shops seem to think they are, insists Felder.I often go back to remind people that one of the first partsprocurement systems that was ever tested was an agreementwith OEConnection; it wasnt PartsTrader. Thats kind of howlong insurance companies have [known that] the time and theneed to partner with OEMs was coming down the road. The insurance people who Ive spoken to lately are veryaware of virtual steering, adds Feltovich. They understandwhy the manufacturer has to do this...The game of alternativeparts and even used assemblies in the future is going to be al-most obsolete because of the vehicle design. Were getting toa point where were getting into many different substrates.Even Honda now is using ultra high-strength steel in theirHonda Civic rear frame rails. Thats the first time its been usedin a lower-priced economy line car. Were getting into differenttechnology and different joining techniques self-piercing riv-ets, DeltaSpot welding [and] laser spot welding. Lexus isrolling out laser screw welding now, and youve got aircraft-type adhesive for sealants and bonding agents. Were movingto a different type of vehicle in terms of the complexity of howits assembled, how its joined together and then ultimatelyhow it has to be repaired in order to protect the occupants if theres a future accident...This is going to advance our

    industry to a situation where the repair has to be exact. As automobiles continue to grow more complex, Feltovichpredicts that the insurance industry will develop a greater un-derstanding of the training, personnel and equipment require-ments that shops need to meet in order to return policy-holders cars to proper crashworthiness standards. We have to repair a car very precisely, and to the specifi-cations and tolerances that the vehicle was originally engi-neered and designed with in order [for it] to respond exactlyas it did originally in a subsequent accident, he says. As attractive as the concept might be on paper, becom-ing an OEM-certified shop might not be the right move foreveryone. The first thing that any shop owner who is seriousabout embracing the process needs to do is determine whichmanufacturers make sense as potential partners. These programs require fees; they require equipmentpurchases and sometimes facility modifications and then[there are] ongoing training fees for continuing to be re-certi-fied and keeping your shop online as a certified collision cen-ter, Feltovich explains. Theres substantial investment in this;I dont think you can just say, Well, I want to do them all! Itsprobably not logical to do that. I think when you realistically look at this, you cant be allthings to all people and all car companies because the entry-level requirements and ongoing training and equipment in-vestments are so high, he adds. I think were scrambling toselect a lot of certification rather than strategically planning theright ones for our marketplace today and in the future...Youdont want to sign up for BMW certification if youre in a marketthat sells two percent BMWs. While virtual steering has the potential to establish a newand exciting era of referral work, Felder cautions that the con-cept will only be successful if it continues to provide meaning-ful benefits to the collision repair industry. I love to see the OEMs coming in and having more of arole and more ownership of the customer, she says. But thenat the same time, its really scary to me because I dont knowhow serious some OEMs are actually taking this...As thisevolves, is this going to help our independent shops be morecompetitive and not be on DRPs, or will it become a dealergame that might hurt [them]? Im kind of 50/50 on it. If it getscars repaired better and more accurately, great. But I alsoworry about that slippery slope and where our shops aregoing to end up 10 years from now. Trepidation can also be felt when talking with Rick Tuuri,vice president of industry relations for AudaExplore. It wasTuuri who first coined the phrase virtual steering while at-tending a presentation by a company that was developing aconsumer-facing app that could direct drivers to shops thathad signed up for that companys services. Tuuri feared then as he does now that such technology could lead to what hecalls unintended consequences, namely a customer beingsteered to a shop whose only qualification is the fact that theybought into the providers app technology. As he says, "Technology is a screaming example ofhow fast, how quickly and how pervasively [those conse-quences] take over and take hold...Any consumer is goingto go, Thats terrific! [but] theyre not going to think aboutthe fact that their car mightve just been virtually steeredback to an OEM-certified facility or even just an

  • 52 | New Jersey Automotive | May 2016

    OEM-owned facility...[The customer]probably wont even care and might noteven know until or unless they have abad repair experience, which could hap-pen. And then its too late. Sometimes the OEM repair facilitiesare really good just like any collision re-pair facility and sometimes theyre not,he adds. If Im going to make an in-formed decision whether its an analogdecision I have to make in my own mindor a digital decision that someone elsehas made for me I want [to make it] forthe right reasons. Regardless of where you mightstand on the idea of OEM-driven repairs,you cant ignore the fact that automobilesare changing incredibly fast. Feltovichtells us that around 93 percent of all vehi-cles on the road will be connected by2020, with semi-autonomous vehicleshitting the roads by 2025 and fully au-tonomous cars a common reality by2030. Thats not even 15 years away.Where will your business and customerservice capabilities be at that point intime? If you intend to stay in the game,one of the best things you can do to be-come truly prepared for the not-too-dis-tant future is get involved in AASP/NJ. Asshown by the panel discussion on OEMcertification held at NORTHEAST thispast March,* the association is workingwith vehicle manufacturers to dissemi-nate information to shops on what theseprograms aim to accomplish, how to be-come involved and how to benefit fromthis new wave of marketing. At no othertime in history have so many opportuni-ties been made available to the AASP/NJcommunity. Its up to the true entrepre-neurs in the industry to utilize the infor-mation provided by AASP/NJ and others,learn as much about the process as pos-sible and form partnerships with theOEMs that will most benefit their bottomlines. I would definitely tell independentrepairers to really make sure that if theyhave relationships with local dealers,keep fostering those, Felder says. If[being part of a certified program] isgoing to require sponsorship, you dontwant to be left behind. If you think the industry is evolvingrapidly now, just stick around a few moreyears. Things are about to become veryinteresting.

    *Full coverage of these events is avail-able in our March 2016 issue. NJA

  • New Jersey Automotive | May 2016 | 53

  • New Jersey Automotive | May 2016 | 55

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  • New Jersey Automotive | May 2016 | 57

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    58 | New Jersey Automotive | May 2016

  • Communication is an important as-pect of all parts of life, from relationshipsto politics to friendships. As Bridgeton-based E&M Auto Body owner MichaelRobinson points out, it is a vital part ofbusiness as well. When the shop was opened in 1981by Michaels father, Earle Robinson (theE in E&M Auto Body), the shops cur-rent owner was just a kid. I started in the shop at around 10,sweeping up floors and helping out inany way that I could, he explains.Eventually, I got into a bit of bodywork,but I was mostly just interested in be-coming a painter. In July of 1999, Michael officiallytook over the shop from his father and,although he notes he was kind ofthrown into [the role], he owes every-thing he knows to his dad. My dad taught me everything heknew about running the shop, he says. Now, after running E&M solo for 17years, the business looks extremely dif-ferent now than it did when it was underhis fathers tenure. The reason for thechange, according to Michael, is opencommunication with other shops in hisarea. A little over five years ago, we wereon 18 different Direct Repair Programs[DRPs], he recalls. Now, were down tojust one. It has definitely made a differ-ence in the way our business is run weare able to focus on making sure the caris repaired the way the manufacturerwants it done. A while back, I was talking to othershops around me that were part of theDRP game but had gotten out of it, hecontinues. These shops, like me, are fo-cused on getting certified through theOEMs and suggested that I joinAASP/NJ. Michael explains that the other shopowners suggestions to join the associationstems from the liability shops now have totake on when conducting repairs.

    OPEN DIALOGUEWITH E&M Auto Body

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    New Jersey Automotive | May 2016 | 59

    AASP/NJ NEW MEMBER SHOP PROFILE

    Theres a lot more liability on shops nowadays that I didnt realize beforejoining the association, he states. Charlie [Bryant, AASP/NJ executive di-rector] sent me legal forms that we needed to have on hand, which hashelped. Ive also become aware of the association Hot Line that Charlie runs.Before I joined, I didnt know about everything AASP/NJ does, but now Iknow differently. As a connected member of the industry, Michael warns the shops thatkeep to themselves about the potential error of their ways. If youre not keeping informed, youre going to be out of business in thenext 10 years, he says. From talking to other shops, I found out that thereare always other people out there who are smarter than you, and you canlearn from them. You cant keep fixing cars and running your business thesame way you have for the past decade; you have to keep up. Networkinghas definitely helped me with that. Through participation in training from I-CAR, paint manufacturers anddealerships, Michael has proven his dedication to keeping his shop informedand up-to-date on the latest industry changes. To stay competitive in this industry now and into the future, youre goingto need to tie yourself to OEM certifications, he predicts. You need to betrained and have the latest equipment to repair these technical cars nowa-days. I hope to be in this industry for a long time, so Im doing all I can tomake sure it stays that way. When hes not in the shop, everything is all NASCAR all the time forMichael Robinson. NASCAR is my favorite hobby, as well as my familys, he says. We lovegoing to races and watching races on TV as well as going to the local dirttracks and watching events there. My favorite driver is Brad Keselowski, whodrives the No. 2 Miller Lite car, but my sons favorite is Kurt Busch, whodrives the No. 41 for Stewart-Haas. Whether its with his family outside of the business or his family of threeemployees inside the shop, Michael is surrounded by the automotive indus-try and strong relationships wherever he goes.

    NJA

    The E&M Auto Body Family (leftto right) Matthew Morrissey, Jr.,Thomas Shillingford and PedroSanchez.

    The Robinson family (left to right): Michael, Mikey Jr., Aaden, Alexis and Marcia

  • dont have OEM parts that are builtspecifically for the vehicle that youredriving, it could affect how that car reactsshould you have an accident. The safetyof the consumer is actually in jeopardy. By the time Sobolewski joined Toy-ota of Morristown as a parts driver in1991, she already had years of industryexperience under her belt. Growing upwatching her father run a body shop inParamus, she learned the importance ofworking to please each and every cus-tomer who needs help. Once with thedealership, she honed her skills on theparts side of the fence. Now, with a yearas parts manager behind her, she ismore dedicated to servicing the automo-tive world than ever. The industry has been in my familyforever, she says. I almost see thesebody shop owners as being like my fatherhad been hard-working and dedicatedto putting out quality to customers. This goal is accomplished at Toyotaof Morristown by a solid crew of five driv-ers and five in-house parts professionals. The part itself doesnt need to bemanaged; it comes down to personnel,she offers. You need to have the rightmixture of personalities in order to makeit work. I look for somebody who is apositive thinker. This is a very importantaspect; I look for people who have acan-do attitude towards the customeras opposed to saying, Oh, well. I tried.Our people step above and beyond theexpectations of our customers. Toyota of Morristowns wholesaleparts department is open Mondaythrough Friday, 7am to 5pm. For more in-formation on Toyota or Subaru wholesaleparts, email [email protected] or [email protected] or call KathySobolewski at (973) 540-1111 x 755.

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    VENDOR SPOTLIGHTcontinued from page 26

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    60 | New Jersey Automotive | May 2016

  • New Jersey Automotive | May 2016 | 61

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    Access Commercial Capital....................19

    Acme Nissan ........................................4

    Amato Agency ......................................21

    AP Media ..............................................46

    Audi Group............................................32-33

    Axalta Coating Systems ........................6

    BMW Group ..........................................22-23

    BMW of Springfield................................29

    Bridgewater Acura ................................53

    Cadillac of Mahwah ..............................25

    Classic Audi ..........................................18

    Collision Equipment Company................11

    Clinton Acura ........................................IBC

    Empire Auto Parts..................................60

    Flemington Audi ....................................5

    Flemington Group..................................42

    Fred Beans Parts ..................................17

    Grand Prix Subaru ................................57

    Glen Toyota ..........................................OBC

    Hyundai Group ......................................28

    JMK Saab/Fiat of Springfield..................62

    Klean Frame..........................................60

    Levittown Ford ......................................57

    Maxon Mazda........................................41

    Maxon Hyundai......................................34

    Mazda Group ........................................31

    Mike Kaufmann Dealer Group ................40

    MINI Group............................................43

    Mitsubishi Group ..................................49

    Mopar Group ........................................10

    NUCAR..................................................14-15

    Paul Miller Audi ....................................47

    Phillipsburg-Easton Honda ....................IBC

    Porsche Group ......................................35

    PPG ......................................................3

    Polyvance..............................................54

    Princeton BMW ....................................39

    Princeton MINI ......................................20

    Sherwin-Williams ..................................48

    Subaru Group........................................55

    Subaru of Morristown ............................27

    Town Motors ........................................13

    Toyota Group ........................................58

    Toyota of Hackensack ............................IFC

    Toyota of Morristown ............................27

    Tri-State Luxury Collection ....................8-9

    USI of North America ............................19

    Valtek....................................................52

    VIP Honda ............................................53

    VW Group ............................................61

    Westbury Jeep Chrysler Dodge Ram SRT...56

    Wheel Collision Center ..........................52

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