If the warranty runs out, who ya gonna call? | Wheels.ca
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Published On Thu Mar 18 2010

If the warranty runs out, who ya gonna call?

Beacon Motors

CARLOS OSORIO/THE TORONTO STAR

Denny Kanhai works on a Saab at Beacon Motors.

SPECIAL TO THE STAR

"Yeah, right. I'm gonna get my car repaired at a dealership," Seinfeld's neurotic cheapskate George Costanza responds sarcastically to an inquiring service manager.

"Why don't I just flush my money down the toilet?"

The TV show's 1998 "Dealership" episode unfolds in a tony import-auto showroom – the kind of place that gives many car owners the willies. Count Toronto high-school teacher Duncan Bell among them.

"Dealers are always finding things to do on your car beyond what you went in for. They seem intent on Hoovering the money out of your wallet," he says.

Bell adores his second-hand 2001 Volvo V70 wagon, but cringes at the thought of taking it to a Volvo dealer for service. Lucky for him, he found Brindle Automotive, a ramshackle garage that specializes in the Swedish brand.

"Owner Brian Taylor charges $70 an hour for his labour – and he calculates his actual time on the car, not the book rate," Bell says, noting that if a repair rated at two hours only takes 45 minutes, it's usually the lesser amount that shows up on the bill.

A new timing belt, water pump, tune-up and seasonal tire change cost Bell about $600, substantially less than what a Volvo dealer would charge (where hourly labour is as high as $119).

What Bell likes is Taylor's reluctance to up-sell. In fact, he's loath to do it.

"If Brian feels the maintenance can wait until next time, he'll tell you so. He seems to turn away work at every opportunity."

What customers aren't paying for are the frills and ambience. There's no shuttle to whisk patrons to the subway and no cappuccino machine among the hanging belts and stacks of parts boxes.

"In fact, some of his customers show up with a cup of coffee for Brian," Bell says.

Brindle is a tiny, two-bay garage off Rogers Rd. that's easy to miss. Taylor has been in business 14 years, breaking out on his own after toiling at a Volvo dealership for 13 years.

"I've been busy since day one. I used to know a lot of customers (at Volvo) and they followed me here. I think people like that I know what I know," he says of his reputation for repairing recalcitrant Volvos.

Rather than adopt the "We fix all makes" business model, specialty garages concentrate their skills and resources on one or two brands. The technicians gain intimate knowledge of the vehicles – especially older models – and can expertly troubleshoot the quirky stuff.

Parts are priced for every budget, sourced from new-car dealers, original equipment manufacturers, aftermarket suppliers, local rebuilders and even junkyards, er, recyclers. Without a head office to answer to, independents can do things a dealership can't, such as install performance equipment.

"Specialty shops are a better choice once the vehicle is out of warranty," says George Iny, president of the Automobile Protection Association. "After the vehicle is five years old, the specialty people will have access to the diagnostic tools and expertise required."

Taylor keeps up with technological change by reading the technical bulletins his friends at the dealers email to him. He needn't worry about most of them until later – his customers' cars are typically a decade behind the times.

"Volvos dating back to the mid-1990s are the core of my business," Taylor says.

As a former British Leyland auto technician, Rick Lee grew fond of Saabs when his dealership starting marketing them in the late 1970s. He went solo in 1989 to specialize in fixing the front-drive Swedish cars.

Today his Beacon Motors shop shines brightly, drawing Saab owners from afar.

"A few customers come while their cars are still under warranty for maintenance work, like oil changes and brakes," says Lee, countering the notion that specialty shops only service ancient, beat-up and orphaned vehicles.

Lee says he's not worried about Saab's near-demise, suggesting that there's more than enough newer Saabs around to keep him busy for years to come. He gets updated information from AC Delco and other suppliers, and his three technicians are constantly learning on the job.

He moved Beacon nine years ago from a cramped shop on Dupont St. to a bigger garage with five hoists in a west-end industrial area that allows him to store parts cars, as well as sell used Saabs.

Lee offers customers a choice of parts sources and he maintains mutually beneficial relationships with a few Saab dealers still operating in the city.

"I'm buying Saab parts from them, and they send me their older, problem vehicles for us to fix," Lee says. If there's animosity between the dealers and the independents, it's not readily apparent.

"Generally, they are liked by the dealers and the relationship is symbiotic," suggests Iny. "These shops are good customers of the dealers' parts departments. They may also do some reconditioning at lower prices for the dealer's used-car operation."

Most independent shops specialize in European autos as a way to make luxury-car ownership palatable for people on a budget, but the business model can embrace more accessible brands, too.

Dave Redinger has been operating Dr. H Honda Specialists since 1981, which grew out of his family's Ready Honda dealership.

"Volkswagen had these independent shops back in the 1970s. I thought: 'Why not a specialist for Hondas'?" he recalls.

"The cars really were junk back then; there were recalls for everything. Twenty years ago, we operated as a 'breakdown shop' – just waited for tow trucks to bring in our customers."

Times were good; Dr. H became popular with five locations around Toronto.

"As the cars got better, the tow trucks stopped showing up, so we had to convert to a maintenance shop. Now we treat the business like a dentist's office: we call you to remind you about your next oil change."

Redinger says his shop thrives by offering more personable service, substantially lower prices – he quotes a timing belt and water pump for a Civic for around $450 – and exceptional repair expertise.

"We get maybe two cars a year that present a problem that may stump us."

His lone location in Etobicoke today is branded as a NAPA AutoPro shop, which means he's obliged to call them first when he's pricing parts. The franchise also provides him with valuable repair data and information on how to run a leaner business.

Like other garages, he can also offer customers OEM parts, "white box" parts and no-box parts, all at different price points.

"I can sell you an original-equipment alternator for $900, an aftermarket one for about $300 or a rebuilt one for $179," explains Redinger.

The practice hasn't escaped the notice of the branded dealerships.

It's not uncommon now to see a Honda dealer offer locally rebuilt alternators and starters at a fraction of the cost of the factory parts in an attempt to wrest business away from the plucky independents.

Redinger warns the repair market has begun drying up as automobile service intervals grow longer – the 160,000 km tune-up is one cause – and chain stores like Wal-Mart compete with impossibly low maintenance specials.

"The independents are getting scarcer as an older generation of hard-working small-business persons retires and the corporations incrementally mop up the business," observes Iny.

"Dealers are a more viable alternative for specialty cars than the chain stores, though you will often see older near-luxury cars like Volvo and Acura in a chain store for repairs – generally a poor bargain."

Redinger, who also works as a radio and television personality, isn't worried – yet.

"As other shops fold up and disappear, we can pick up the slack," he says optimistically. "If my customer's wife drives a Chevy, I'll fix that, too."

Over at Beacon Motors, Lee credits his good relations with Saab dealers for his continued success, along with favourable word-of-mouth and a website that draws new customers.

Brindle's Taylor is in the enviable position of turning away Volvo owners, particularly in the summer when he wants to get away to the cottage early.

"Then again, I only charge $70 per hour. I should be charging more," he smiles.

 

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