Double-Digit Maintenance Price Increases: Five Reasons Why

AF Editor Mike Antich presents insights into the fleet market in the 133rd State of the Fleet Industry video, produced by Automotive Fleet.

🎙Today's topics include:

• The increase in fleet maintenance costs have been substantial, in some cases experiencing percentage increases that are double digit.
• Increased vehicle complexity has exerted increased maintenance costs through the increased volume of vehicle diagnostic fees, increased labor hours to identify intermittent issues, and recalibration expenses for ADAS-equipped vehicles.
• Increase in unscheduled repairs are more fleet vehicles are having their service lives extended due to difficulty in sourcing replacement vehicles.
• Part shortages are lengthening repair times for vehicles increasing vehicle and driver downtime.
• Inflationary pressures are increasing labor rates, parts prices, and pass-along costs from increased raw material prices used to manufacture replacement parts.
• Increased labor rates primarily driven by the shortage of skilled automotive technicians.

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⌚ Timestamps ⌚

0:00 Intro

1:00 Increased Vehicle Complexity

3:29 Increase in Unscheduled Maintenance

4:56 Delays Due to Back-Ordered Replacement Parts

7:03 Inflationary Price Pressures

7:54 Increased Labor Rates