Improving Diagnostic Procedures Minimizes Aftermarket Quick Fixes, Boosts Customer Confidence

SAN JOSE, Calif., May 21 -- Comfortable automotive environments have become a necessity, and drivers are quick to repair defective air conditioning systems. However, the occasional occurrence of diagnostic errors and faulty repairs is straining customers' confidence in aftermarket overhauls.

New analysis from Frost & Sullivan (www.transportation.frost.com ), North American Automotive Heating, Ventilation, and Air Conditioning (HVAC) Aftermarket, reveals that this industry generated manufacturer revenues of $1.1 billion in 2001 and is projected to increase steadily, nearing $1.3 billion by 2008.

"As vehicles become more complex and HVAC systems become increasingly interrelated, the North American aftermarket continues to shift from 'do-it- yourself' to 'do-it-for-me'," states Frost & Sullivan Industry Analyst Mary-Beth Kellenberger. "Nevertheless, high comeback rates, conflicting explanations, and costly repairs have combined to create low consumer confidence which is the greatest challenge facing the industry."

Automotive HVAC components are interdependent, and the failure of one compromises the integrity of the complete system. When car owners report an inefficient or failed unit, technicians are often quick to pinpoint the malfunctioning item. In doing so, technicians often overlook the underlying problem and it is this quick fix that results in subsequent complaints.

"If the root cause is not identified, the customer will have to return to the installer, leading to individuals who feel both upset and trapped. Owners are upset that their time, and possibly funds, has been wasted," says Kellenberger.

In order to perform a successful repair, the entire system must be examined in detail. Inadequate diagnostic procedures negatively impact every industry participant. The quality of the part, integrity of the brand, and reputation of the installer can fall under question.

"There are two strategic options to minimize faulty diagnosis and bolster consumer confidence. Installers and component manufacturers can either implement a communication plan that focuses on proper techniques, tools, and product knowledge, or invoke a compliance policy, which compels mechanics to follow installation and diagnosis guidelines," states Kellenberger.

Frost & Sullivan will host a conference call at 2:00 p.m. (EDT)/ 11 a.m. (PDT) on May 28, 2002 to provide an analyst briefing on this subject.