Lang Marketing measures car and light truck Service market product share at mid-year. At the beginning of July 2009, the impact of Dealer closings was just starting to ripple across the Service market, with most 2009 Dealer closings occurring during the third and fourth quarters.

Dealer closings and franchise cancellations will accelerate in 2010, as GM threatens to pink-slip over 2,300 Dealerships. This will bring the total of closed and cancelled Dealers to more than 4,500 outlets, from the third quarter 2008 through the end of 2010.

This dwarfs any prior Dealer decline during a 30-month period in U.S. vehicle industry history.

Biggest Share Winners

As the Independent (non-Dealer) Service market increases its share, all non-Dealer service outlets (except Auto Parts Stores with bays) will expand their 2010 Service market positions.

Specialty Outlets Will Gain Most Share

Repair Specialists, outlets focusing on a limited menu of vehicle service, will achieve the largest 2010 Service market share increase, followed by Foreign Specialists which concentrate on the repair of foreign cars and light trucks (imports and transplants). These two outlet groups will combine for over 70% of 2010 light vehicle Service market product share growth.

Other Outlets Expanding Their Share

Service Stations and Garages will account for about 15% of the 2010 Independent outlet share gain, ranking third in share growth for the year, followed by Discount/Department Stores operating bays with nearly 10% of the increase. Tire Stores will rank fifth in 2010 Service market share growth among Independent (non-Dealer) outlets.

Product Sales Growth

Dollar gains in 2010 Service market products among repair outlets will differ in distribution from outlet share increases across repair facilities, because of differences in the repair volume levels of various groups of Independent (non-Dealer) outlets.

Top Two Sales Winners

Repair Specialists will rank first in 2010 Service market product expansion, boosting sales nearly $1.0 billion, followed by Service Stations and Garages which will record about half as much dollar growth in car and light truck products.

Other 2010 Sales Gainers

Foreign Specialists, while attaining the greatest 2010 percentage growth in Service market products, will rank third in product sales added to their shop tickets, about one-third the dollar increase achieved by Repair Specialists. Tire Stores and Discount/Department Stores will tie for the fourth-largest 2010 Service market product dollar growth.

Dealer Bays Down Nearly $1 Billion In 2010

Product volume through Dealer bays will fall nearly $1 billion during 2010. At the same time, their car and light truck repair market share will sink nearly one-twelfth.

The pace of Dealer Service market decline will accelerate during 2011.