The Affects of COVID and the Automotive Shop

Where does your Automotive Shop Stand? 

To say that COVID has affected our county would be an understatement.  The automotive industry has taken its lumps like every other industry.  Now, in the grand scheme of things, Automobiles may not be the most important things, but the health of this industry affects millions of people that make their living from it.  

Quarter 2 of 2020 was a scary time for anyone in the automotive industry as sales dropped by 34%.   As COVID strengthened its hold on our country the uncertainty continued to grow.   This was a stressful time, that led to people in our industry losing money and jobs.

Unexpectedly, there was a strong quarter 3 rebound that uplifted the market.  Sales for Q3 2020 were better than Q3 2019.  

These are just dealership effects…..or is it really just them? 

Unfortunately, it is not just them.  As you drive through your town or city notice the businesses that service vehicles.   From repair work, cosmetics, to accessories, they are all affected in a deep way.  

What they all do? 

Everyone is impacted.   Less car sales means less accessories, less driving means less collisions, less uncertainty means less cosmetics and upgrades.  It is a nasty spinning wheel of uncertainty that has a trickle down effect.  

Many of the above shops that I mentioned above are small, brick and mortar businesses that rely on confidence in the economy to spend money.  

Trade Shows!  

A huge part of the automotive industry is based off of group gatherings and showing off what they have created.  Anyone who has been to or seen anything from the SEMA Show will understand what I am saying. 

As the tides rise and lower, Scorpion was here to support our customers.  2020 was like nothing we had ever seen.   It was an extremely interesting time to be a part of this industry.  When the first round of stimulus checks hit bank accounts of our citizens, it was quick to see that there was some confidence and they were going to spend on the vehicles.   We saw an uptick just like we do when tax return time hits.  The demand for automotive accessories skyrocketed with money in the bank in the form of stimulus.  Scorpion was able to find new customers that could not supply customers with product needs.  Both truck bed liners and window film were popular and in demand.  They are centered around protection and were gobbled up by our dealers to provide top quality accessories to their customers.  

Being a group that looks for a silver lining, the negativity that 2020 threw at us was historic and will change us for generations to come, we survived and are standing tall.  

Thinking about adding bed liners or window film to your automotive business?  Call us, we are here to help.