These are important advantages but not insurmountable obstacles for well-run, quality competitors at the local level. Supplier relations is another matter entirely. Better discounts for consolidators is a certainty. But, the increased discounts will necessitate a change in distribution and support levels from suppliers. Consolidators will see better margins, but at the expense of supplier support in the long run.
Internal operations is the most complex and challenging for consolidators.
This must change for consolidators to thrive beyond their initial growth phase. To do so will require significant changes in traditional shop operating systems, workflow, training and equipment. This is where creativity and ingenuity will be required. Collision repair is not manufacturing, but mass-manufacturing concepts will be necessary to improve productivity and profitability in the long run.