About State of the Nation

If you’ve ever wondered how your turnover compares to workshops of a similar size, or whether other businesses are struggling with the same challenges you are, Capricorn’s State of the Nation is your opportunity to find out.

It’s filled with data, graphs, charts, information and advice, to not only show you how your business measures up, but to help you meet challenges and identify opportunities to grow.
  • 15% NSW/ACT
  • 17% QLD
  • 9% SA/NT
  • 22% VIC/TAS
  • 12% WA
  • 25% NZ
More than 2000 Members across Australia and New Zealand responded to our 2021 survey, ensuring this second State of the Nation report provides an incredibly useful snapshot of the industry, across all workshop types, throughout both countries.

5 Key Takeaways for Auto Repair Shop Owners

1COVID-19

Our Members have come through COVID-19 pandemic quite strong so far, but the pandemic is likely to continue to affect the spare parts supply chain for some time

2Technician Shortages

There’s a shortage of qualified technicians, but our Members have an opportunity today to start building the talent pipeline of tomorrow

3Electric Vehicles

While our Members might not be servicing many electric vehicles yet, EVs are part of the changing technology landscape and we should be getting ready

4Work-Life Balance

Achieving a healthy work-life balance is still a major issue for many Members — and the situation is getting worse

5Improving Efficiencies

Our Members have made a lot of improvements to boost business efficiencies in the past year, but there’s more that can be achieved

How Do You Compare?

Download the full State of the Nation report and compare your workshop to others

Download Full Report

 Challenges Facing Automotive Industry

  • Lack of qualified staff
    51%
  • Changing technology
    44%
  • Attracting young people to industry
    37%
  • Parts Shortage
    36%
  • Access to technical information
    35%
  • Lower margins
    34%
  • Capped price servicing/Long warranties
    28%
  • Electric cars
    25%
  • Price comparison platforms
    18%
  • Lack of structured training/accreditation
    16%
  • Lack of trust from consumers
    16%
  • Environmental considerations
    16%
  • Other
    4%

Finding good people is a problem

Ways of promoting positive culture

A lack of qualified staff is the top challenge for our industry overall, while 43% of us also named it a top five challenge for our own business. The problem is particularly acute for panel and paint, tyre and suspension and for larger/chain workshops.

While pay rates are up, there’s an acknowledgement that creating a positive workplace culture can be as important to attracting and retaining good staff as financial incentives.
  • Shout the team lunch or dinner
    54%
  • Pay for staff training and development
    49%
  • Provide lunch on-site
    43%
  • Offer bonuses
    33%
  • A stocked pantry/fridge
    32%
  • Organise social events or other team building activities
    30%
  • Time off in-lieu
    26%
  • Give gift vouchers
    22%
  • No Staff/NA
    9%
  • other
    2%

Attracting and retaining skilled labour is not all about pay. It’s also about the culture of the workplace..... Do staff feel part of the team? Are they learning and developing in terms of what they want to do? And, ultimately, are they enjoying themselves in the job they’re doing?

Bradley Gannon, Capricorn CEO of Automotive

Level of Confidence in Business Future

  • Business growth/Will continue to grow
    28%
  • Loyal/returning customer base
    21%
  • Longevity/Time in business
    15%
  • General negative (eg: Workload, Competitors)
    13%
  • Staff/team
    10%
  • Good operations & investment
    10%
  • Confidence in their offer/Passionate
    10%
  • Changing industry and technology
    9%
  • Good word of mouth
    9%
  • Other
    5%
  • COVID
    4%
  • Financial factors
    4%
  • Economic/environmental changes
    2%
  • No reason/don’t know
    2%

$978,000

The approximate average annual turnover for Members

24 Years

Members have been working an average of

in the industry and running their own workshop for 17.

How Do You Compare?

Download the full State of the Nation Report and compare your workshop to others.

Download The Full Report

Determining Time Estimates

  • Estimate based on experience
    85%
  • Software-based "time guides"
    41%
  • Consult with others in the workshop
    19%
  • Other
    2%
  • Don't know
    2%

Given the need to reinvest in diagnostic equipment every 16 months or so, all Members should be considering the costs of charging for diagnostics when determining their charges.  The message here is if you’re not, you’re at risk of not covering your costs.

David Fraser, Capricorn Group CEO

Diagnostic Costs

Notably, more workshops are now always charging for using scan tools and diagnostic software, including the time taken to diagnose problems.
Charge for time taken to diagnose problems
33%
55%
12%
2020
37%
54%
9%
2021
  • Always
  • Sometimes
  • Never

It’s great to see Members looking ahead and thinking long-term as part of running their business,  including all the value that’s tied up in the business they’ve built. That’s absolutely the right mindset.

Bradley Gannon, Capricorn CEO of Automotive

Get even more on CapHub

CapHub is an online resource helping Capricorn Members build stronger businesses. This online content hub provides valuable content to help you better run your business including bite-size hints and tips.

Quick Wins

Industry advice to fast-track business growth.

Full Data and Analysis

Broken down by business sector type

Parts pricing and wages

Find out what other Members are paying.

Marketing Information

Get the latest tips on how to promote your business

Technology Trends

What new tech is being used and what does it mean for you

What success looks like

How you can measure success

Note: Nothing on this page is intended to constitute legal, financial or other independent professional advice. Please consult your professional adviser before relying on any information contained herein.