Dealer parts and service volumes were steady last week as the market continues its long climb out of the trough created by the COVID-19 coronavirus pandemic, KEA Advisors announced Tuesday.
According to the company’s weekly survey of 81 dealers regarding service volumes and 79 dealers for parts volumes, repair orders (RO) fell by fewer than 100 jobs last week, while parts invoices slipped down by fewer than 500 units, from 33,300 to 32,810 orders. KEA Advisors says these totals only further confirm the stabilizing of the dealer space.
Referring to last week as Week 21 in its survey, the company states: “We continue to see more leveling of volume in service repair orders, with the last six weeks showing a steady trend with an average at 4,900, which is an 18 percent decline in volume since the Week 10 highs. Parts volumes, while dropping 15 percent between weeks 9 and 16, are showing a slow but steady increase of close to 5 percent between Week 16 and Week 21.”
Pricing in both channels also remain steady.
KEA Advisors says average labor sales per RO clocked in at $369 in Week 21 — the lowest total this year but slightly ahead of Week 20’s $347 initial total. The company also updated its Week 20 total to $487 this week, and both totals are likely to go even higher in the coming weeks as larger service events conclude. Average labor sales per RO have been equal to or greater than $600 through the first 19 weeks of the year.
In the parts space, the company says the initial average total sale per invoice was nearly $275 in Week 21. That was an increase compared to the prior week and well in line with previous weeks both before and after the coronavirus outbreak. And with May soon coming to an end, it is likely the next few weeks will be even higher as dealers finalize their sales numbers for the month.
For more information from KEA Advisor’s weekly volume indicator dealer surveys, please CLICK HERE.