AS THE ON-ROAD VEHICLE AGE RISES FROM NINE TO THIRTEEN YEARS, FIXED-OPS IS ONE OF THE FEW GROWTH OPPORTUNITIES FOR DEALERSHIPS IN 2025.
THE AVERAGE ON-ROAD VEHICLE AGE IS UP TO 13, ALMOST 14 YEARS FROM 9. AS INFLATION PERSISTS AND CREDIT MARKETS TIGHTEN, CUSTOMERS ARE KEEPING THEIR VEHICLES LONGER THAN EVER.
LOS ANGELES (October 29, 2025) – The retail automotive industry is experiencing one of the most trying times it has ever seen. Many dealerships are gravely overstocked, while others can’t find inventory anywhere. As retail sales numbers plummet and overhead mounts, Service Departments are single-handedly carrying entire dealerships to profitability. The question is, how?
The Crossroads of the Retail Automotive Industry
It’s no secret the industry has been hurting throughout 2025. The average retail price of a new car crossed $50,000 for the first time in history and most Americans are tightening their belts financially. Combining those factors with the shutdown of the Federal Government, daily news of corporate layoffs, and “tariff jitters” and you have the perfect recipe for a contraction across the entire retail automobile industry.
Expert Advice: The Future Lies in Strong Fixed Absorption
Renowned Automotive Performance Coach, Chris “Bulldog” Collins has one piece of advice for Dealerships nationwide: “The freedom and peace of mind in the future will be through strong fixed absorption.”
“The industry is at a crossroads as a model. Extended car life, tariffs, credit markets and overhead are forcing owners to reassess their businesses as a whole; many are now realizing that Fixed Ops is not only the short term answer, but a massive opportunity for the future,” said Collins.
Why Fixed Operations is Your Only Department for Guaranteed Growth
“No other department allows you to increase cash flow, gain new customers, and book new profits without incurring new expenses. Fixed Operations does all that and more when the right systems are used.”
Creating ‘Raving Fans’: Customer Experience and Profit Baseline
Collins has made a lucrative 25-year career out of turning dealerships around. His no-nonsense approach and gamified tactics have led to countless record-breaking years for hundreds of dealerships, resulting in millions in additional profits. “It’s all about the customer, and customer experience. When you aim to create ‘raving fans’ rather than just ‘getting it done,’ magic happens. A 30-40% increase in net profit is not an anomaly in our world; it’s the baseline. That’s why we have the nerve to work on a month-to-month agreement – if we don’t perform, the customer doesn’t pay.”
Fixed Absorption is THE Opportunity
Achieving and exceeding your goals is possible when you have the right systems in place. With Service Drive Revolution OnDemand, you’ll gain access to the proven systems that have made thousands of SERVICE MANAGERS IRREPLACEABLE. Start transforming your department today!
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