Subaru to set up preferred repairers

Subaru, currently with a 3.5 per cent market share (and rising) of new car sales, has ambitions for its brand. It plans to move upmarket into BMW and Mercedes territory and, at the same time, build its reputation for superior service among owners. Part of that service will be a network of preferred smash repairers.

Rather than just aim in the general direction of market elevation, Subaru Australia's parent company in Japan, FHI, has set goals and timetables for the transition from tough, plain cars to high performance, high status automobiles.
Ten years ago, Subaru was selling about 8000 cars a year in Australia. It now sells 32,000 at an average price of $41,000. If you want the best Subaru has to offer you can pay up to $60,000. With that level of price and refinement, customers expect matching service.

"As a company, we can provide excellent sales and service environments," says national parts and accessories manager, Tom Munro, "but when it comes to owners having a smash we need to be able to direct them to repairers that match those standards. The most common compliant from Subaru owners is to do with smash repairs. We might be told that a car has taken too long to repair because we couldn't supply the part from stock, yet when we look into it we find that it has gone to an inferior smash repairer who has ordered a part right at the end of an unsatisfactory repair process and then blamed us for the delay.

"We want to be associated with good repairers where we can set standards worthy of our own quality and the expectations of our customers."

Subaru has begun an Australia-wide search for about 100 repairers who can meet a set of criteria. The chosen repairers will be linked to a small number of Subaru dealers so that parts can be provided quickly. In rare cases where a part is not in stock in Australia, the dealers will be able to arrange shipment from Japan in the shortest possible time. Subaru wants to promise its customers a turnaround of no more than two weeks on most repairs.

Preferred repairers will be chosen from an initial list of applicants which will be broken down according to location, presentation and levels of expertise and equipment. Once the repairers are chosen they will be given signage and training in the finer points of repairing Subarus. As new models are introduced, the preferred repairers will be familiarised with them well before they are released on to the market.

SELECTION CRITERIA
Munro says that his selection team will be looking first at location. The company knows where most of its customers live and wants repair shops convenient to them. Presentation comes next. A shop must be welcoming, have well appointed reception and customer lounge areas, clear signage and customer parking. Staff should be uniformed and know how to greet customers and explain the repair process to them ? followed by regular updates. Subaru owners must feel they are being given special attention. After that, the selection team will look at the shop's facilities such as spray booths, paint quality, alignment equipment, on-line quoting and parts storage. Work skills and workmanship guarantees will also be assessed.

Subaru will insist that its preferred repairers use only new, genuine parts. With older cars, recycled parts may be considered but, as Munro says, "you don't know where they've been".

By designating preferred repairers who will be in the upper quality band of the smash repair industry, Subaru may encounter occasional resistance from certain insurers who, after all, will be paying for the repairs and have an emphasis on price. Munro is not overly concerned by this. He says that once the preferred repairs have been established, every new Subaru, along with those that come to Subaru dealers for service, will be supplied with a list of preferred smash repairers. In the event of an accident owners will be advised to select the repairer most conveniently located. Thus the choice will be customer driven rather than insurer driven. In addition, Subaru offers its own insurance policies to customers.

WHY PREFERRED REPAIRERS?
Subaru has always made cars that differ from the mainstream, and its customers have a tendency to become loyal to the brand. The company believes that this will apply more and more as new, upmarket models are introduced. Owner-care is a major plank in the Subaru platform, extending well beyond the initial sale. Its expectation is that a positive after-sales experience will bring the customer back for another Subaru.

Obviously, the company is also in business to sell its genuine parts, not only out of a profit motive, but because it believes that only a genuine part can guarantee the ongoing performance of the car. Preferred repairers are much more likely to support the use of genuine parts than general repairers would be.

DEALERSHIPS
The world trend towards car makers either owing or having an interest in dealerships also applies to Subaru. In Victoria, its dealership is fully company owned. Subaru Australia spent $41 million two years ago to build a facility in Melbourne's Docklands which houses new and used car sales, mechanical service, the rally team, test tracks and skid pans, and a unique "theatre" where each new car sold is presented to its owner with the opening of a curtain. The Docklands headquarters, which is the biggest Subaru dealership in the world, is supported by satellite branches throughout Victoria.

In NSW, there is a small number of independent dealers with supporting branches. A major dealership facility was opened recently in Rushcutters Bay .