Midwestern Edition Illinois Minnesota Indiana Missouri Iowa Ohio 33 Kentucky Wisconsin YEARS VOL. 4 ISSUE 2 Michigan www.autobodynews.comwwww.autobodynews.com NOVEMBER 2014 Attorney John Arthur Eaves and Shop Owner Bill Fowler MSO Consolidations in CA Heat Up Industry appear on Memphis Radio to Discuss MDL Suit by Stacey Phillips, Assistant Editor Southern California. Shortly there- after Service King reached an agree- by Chasidy Rae Sisk To begin, the radio hosts summa- rized the lawsuit they planned to dis- Last month we reported on the final ment to acquire Car West Auto Body, On Tuesday, August 26, attorney cuss. In January 2014, Eaves filed a closing of the purchase of Holmes an MSO with seven shops in Northern John Arthur Eaves and shop owner complaint against insurers on behalf Body Shop’s seven locations by Cooks California. Bill Fowler, of Bill Fowler’s Body- of 21 collision repair shops. Though Collision Centers. The Holmes acqui- Is there some kind of ‘rule of sev- works in Southaven MS, appeared on the lawsuit began in MS, it has spread sition was initiated in May 2012 and ens’ at play here? More seriously, we the Drake and Zeke Show, a popular and continues to gain traction so that concluded with the seventh Holmes wanted to know what forces were early morning radio talk show in the it is now a national lawsuit, involving location closing in September of this driving the acquisition of small to Memphis, TN area. The reason for six states, which will be tried by a sin- year, after our last issue went to press. mid-size MSOs and why they seem their guest appearance was to explain gle judge in FL. Multiple insurers With 35 locations in CA, Cooks is the more attractive than individual shops the MDL lawsuit to consumers and have been implicated in the complaint largest independently owned and op- for acquisition. educate them on their rights during as the habit of insurer steering is an in- erated collision repair organization in Nearly 20 years ago David the collision repair process in hopes dustry-wide problem. the state. Roberts, the co-founder and former of raising awareness about this im- Fowler pointed out that steering But Holmes is not even the latest Chairman of the Board for Caliber portant issue impacting collision re- has become so pervasive in the indus- medium-sized MSO to be acquired by Collision Centers, wrote an article larger consolidators in California. In predicting the future of consolidations pair facilities across the country. See Memphis Radio, Page 32 September, Service King Collision in the collision repair industry. It was Repair Centers acquired Marco’s Col- entitled Shop Consolidation: Is it In- lision Centers, also a medium-sized evitable? Undoubtedly, Roberts an- Congress Expresses Support of Repair Industry in MSO having seven locations in See MSO Consolidations, Page 30 Response to Owners’ Trip to Washington D.C. Assistant Editor by Stacey Phillips, Pro Spot is Ford’s Rotunda Supplier of the Year Sixty-five collision repair shop own- Carlsbad’s Pro Spot is very proud to be welders in North America, the Alu- ers recently traveled to Washington awarded the supplier of the year award minum Dent Repair Stations, Fume Ex- by the Ford Motor Company Rotunda tractors, and the SPR Riveter; all of D.C. to educate Congress about the Program. Pro Spot was approved by which contributed to the winning of the struggle body shops face to protect Ford to supply aluminum repair equip- Supplier of the Year award. “We would consumers when providing a com- ment to the Collision Repair Program like to thank Team Pro Spot for all of plete and safe repair. The majority of for repairs on the new 2015 Ford F-150 their hard work and all of our customers them were part of a Nationwide Anti- all-aluminum body truck. The Ford Ro- that have supported us in purchasing Trust Multi-District Litigation filed tunda Dealer Equipment Program is a our aluminum repair products. This earlier this year against multiple in- national program endorsed by Ford means a lot to our team at Pro Spot,” said Ron Olsson, Pro Spot President, surance companies in several states. “I’m overwhelmed and very honored to (See also other cover story this page.) win this award from Ford. We have After more than 150 meetings Matt Parker with House Speaker John Boehner been working very hard and appreciate with representatives and senators over faced with the challenge of insurance the trust in our equipment and of course, a three-day period, the result was an companies dictating how they run the overwhelming amount of orders we outpouring of support for an industry See Congress Support, Page 34 have received for the aluminum pro- gram.” The 2015 F-150 is revolutionizing the repair industry by mainstreaming alu- minum repair. With the hard work by (l to r) Mike Berardi (Ford Director of Serv- Ford Motor Company in designing a re- ice Engineering Operations), Ashley Olsson pairability-focused, all-aluminum body (Pro Spot Director of Communications), Ron F-150, shops across the country are get- Olsson (Pro Spot Founder & President) and ting prepared to repair the top selling ve- Steve DeAngelis (Ford Manager of Techni- cal Support Operations). Photo Credit: Ash- hicle. Pro Spot is proud to be recognized ley Olsson as a supplier of quality aluminum repair equipment to the Collision Repair Pro- Motor Co. to their dealer base, selling gram and the 2015 Ford F-150 truck. Pro Permit #2244 Permit Change Service Requested Service Change service and body shop repair equip- Spot looks forward to continuing to de- San Bernardino, CA Bernardino, San PAID ment. The approved equipment in- sign innovative equipment for shops and US Postage US P.O. BOX 1516, CARLSBAD, CA 92018 CA CARLSBAD, 1516, BOX P.O. Presorted Standard Presorted cluded: the SP Pulse MIG welders— technicians to repair vehicles back to OE the most sold Ford-required MIG standards. 2 NOVEMBER 2014 AUTOBODY NEWS | www.autobodynews.com New Talent Joins the Autobody News Sales Staff Contents Norman Morano is Our Newest Regional Sales Manager Autobody News is pleased to introduce Norman Morano who joined our REGIONAL the Persuasive Power of Video . 14 team in October as an Advertising Sales Manager. Norm has been a Sales ABRA Auto Body & Glass Continues Attanasio - Gas Monkey Garage and Dodge Director for 13 years handling Hammer & Dolly, New Jersey Automotive, New England Automotive, AASP-News/MN and Wisconsin Automotive Its Expansion With Openings in Recruit Mötley Crüe to Rock Dallas . 18 News. He has also sold exhibitor space for the past four years at the Northeast Automotive Trade Show. Iowa and Illinois. 4 Franklin - Are You Marketing to Merely Norm graduated from the University of California at Berkeley in 1982 with ABRA Helped Raise $100K for People Survive or Are You Trying to Grow . 27 a BS degree in Environmental Studies. After college he travelled extensively before attending Law School at Rutgers University School of Law. He was with Disabilities . 6 Luehr - Lean Implementation Strategies . 20 admitted to the bar in New Jersey and Pennsylvania and has kept his NJ bar license active. Born and Attanasio - Chicago Body Shop’s Sisk - Record Numbers Attend Pro Paint’s raised in Nutley, NJ, Norm has also lived in Orono, ME, Berkeley, CA, and Sydney, Australia. Before concentrating on automotive advertising he had his own sign company building his sales contacts Anti-Texting Campaign Catches Fire . 31 7th Annual Trade Show . 17 throughout NY, NJ, PA, CT and DE. When he isn't working, Norm enjoys biking, yoga, surfing, motor- CARSTAR Expands MSO Network in KY . 6 Yoswick - DRPs 20 years ago, Early cycling, movies, pizza and the New York Times. He has been a resident of the Jersey Shore for the past 26 years. Contact Norm to discuss your advertising needs at [email protected]. Collision Shop Expands to Middletown, Ohio . 6 CCRE, ADP Revises Labor Times. 22 Contact Norm at: [email protected] to discuss your advertising needs. First Amendment Rights Questioned Yoswick - Energy Transfer in Today’s in Kentucky . 9 Vehicles Makes Measuring, Multi-Point Gerber Collision & Glass Opens Pulling More Important . 26 Three Types of Parts Account for 50% of Sales Online New Center in MI . 10 In terms of dollars spent on automo- and glass, mirrors and lamps. tive replacement parts through online The E-Tailing in the Automo- IL Body Shop Sells Building . 10 NATIONAL purchasing, or e-tailing, three cate- tive Aftermarket digital study ana- Illinois Shop Gives VoTech Interns Alcoa Forecasts Record Auto Sheet gories represent half of the dollar vol- lyzes the online retail market for ume in 2013, according to E-Tailing sales of aftermarket parts, and serves Real-World Experience . 6 Shipments in Q4 . 39 in the Automotive Aftermarket from as the foundation for the Auto Care Iowa Auto Body Shop Owner Suspected Attorney John Arthur Eaves and Shop the Auto Care Association. Association to provide a unified esti- The top three product categories mate of online sales within the after- of Homicide. 8 Owner Bill Fowler appear on Memphis are braking systems (primarily pads market. Ken Borth Auto in Iowa Has New Owner. 8 Radio to Discuss MDL Suit . 1 and shoes); ignition and engine (fuel For pricing and more informa- pumps, alternators, ignition coils, etc.); tion, visit www.autocare.org/etailing. MI Establishing Test Town for Axalta Paint Used on NASCAR Qualified Driverless Cars . 10 Racers. 9 Michigan Governor Signs Drugged Car-O-Liner Participation Enhanced Serving Illinois, Iowa, Indiana, Kentucky, Publisher & Editor: Jeremy Hayhurst Michigan, Minnesota, Missouri, Ohio, Driving Laws .