Do it yourself in the automotive business
Alex Gruzdev
Global Sales & Marketing Leader | Driving Market Disruption through Strategic Innovation & AI-Driven Solutions | Keynote Speaker & Author”
For the last decade, I've been studying the phenomenon of do-it-yourself (DIY) in the automotive business. Been Russian and working in Russia, every day, I can see something related to the DIY market. It could be P&A stores, delivery vehicles, or even DIY right on the streets. I have significant collections of photos related to DIY. There are so many DIY makers that this group could be divided into subgroups, and each can be studied separately. Among those who perform car maintenance themselves, there are both men and women; young, adults, and the elderly. Comparing the results and the overall structure of the after-sales market in Russia and Europe, first, I decided that it is probably all due to the financial situation and poverty in Russia.
However, when I studied even poorer countries and regions, there was no direct correlation between poverty and the size of DIY markets. Even if we compare different areas of Russia, the more deprived areas did not necessarily do more do-it-yourself. Also, for example, in Ukraine or Kazakhstan, the level of DIY is lower. In Europe, it is also interesting to see that the level of DIY in Italy is lower than in wealthier Germany.
Working on this subject even more deeply, I have found another reason in different countries that increases or decreases the amount of do-it-yourself in the automotive business. The second reason is the cost of work. So, in poorer countries, the cost of a mechanic labor hour is often so low that there is simply no point in getting your hands dirty. This is the reason why the DIY rate is low in Latin American countries. And by the way, this explains the difference between Germany and Italy. The cost of work in Italy is lower than in Germany, so the Germans have more desire to perform operations on their own than the Italians.
But this is not all, and there is another critical component that should not be forgotten, and it is not another economic indicator; it is a cultural heritage and social approval of such an action. So, in countries where grandfathers and fathers did this, sons are also more likely to maintain their cars themselves. For example, in China, where there are no historical habits of vehicle maintenance and repair, DIY is low, although there are economic prerequisites for this. On the example of Russia, we can clearly say that the person who maintains/repairs the car himself will receive social approval like: "Well done! You got hands of gold". Thus, for a large share of DIY, it is required that two conditions simultaneously coincide—one of the economic and social approval. Of course, there are some "mad professors" who maintain the cars themselves for fun and own pleasure. They exist everywhere, in all countries, but there are not many of them, and more or less, the share is constant from country to country.
Do drivers in the US maintain their cars themselves? Yes, and quite a lot. This is normal since two conditions are met. In this case, it is the high cost of labor-hour and social approval. Being one of the most advanced and developed countries in the world, with one of the biggest and best economies leaves the specific mark on the US market. It does not arrive to be the largest market in terms of share of DIY for maintenance and repair of the car, but this is by far the largest market for accessories, where the percentage of DIY is more than 50% for the majority of improvements. However, changing the oil, filters, or brake pads is also absolutely normal and is also perceived as usual by both drivers and society.
How can an ordinary person learn how to replace a particular spare part? The answer is straightforward - social networks and video hosting. Now anyone can find a dozen videos about replacing any spare parts for almost any brand and model. There will be all information about tools needed, and step-by-step instructions, precisely in the spirit of cooking classes.
As a bottom line, we can say with confidence that markets with historical prerequisites for the DIY should not forget, and for some products, on the contrary, to focus on B2C sales. This is why markets in the US, France, Russia, and others with a high share of do-it-yourself, should have a very close look at e-commerce and pay more attention to reputation, image and advertising related to end-users and not only professionals.