Parts and service volumes in the dealer channel fell last week, likely due to the four-day work week, but parts sales per invoice climbed dramatically, KEA Advisors announced Monday.
According to the company’s weekly survey of parts and service volumes, 81 dealers reported service repair orders (RO) of 4,360 last week, the lowest total this year and more than 500 orders lower than the previous week. Volumes had fluctuated between 4,790 and 5,080 orders in the previous nine weeks.
KEA Advisors attributed the drop to the Memorial Day holiday and the shortened work week. Next week (Week 23 of the survey) may see RO volumes rebound to the levels seen in Weeks 13-21.
Conversely, average labor sales per RO clocked in at $350 in Week 22. KEA Advisors states that number is the lowest this year but will certainly be adjusted up as more data comes in over the coming weeks, and last week’s data is finalized. Updated data for Week 21 raised that week’s average labor sales per RO by more than $100 in this week’s results.
Invoice volumes also slipped to a 2020 low in the parts space but were offset by one of the highest total sales per invoice averages seen this year at nearly $323. Only Weeks 5 and 9 thus far posted higher total sales per invoice averages — and those weeks represented the close of January and February business.
KEA Advisors’ survey indicates the 29,800 invoices opened last week were nearly 3,000 orders below the previous normal set since the outset of COVID-19. Yet with May business expected to close this week, it is likely parts and service sales data will trend higher this week, as well finalized adjustments of last week’s sales.
For more information from KEA Advisor’s weekly volume indicator dealer surveys, please CLICK HERE.