July 10, 2019 -- Toronto, Ontario --Collision repair operators tired of Canada's cold weather may wish to consider reopening their businesses in Australia.
While Canada's collision sector is often compared to the United States'--but the similar culture masks some fairly deep-rooted differences in the operational, legal and financial differences between the two bordering countries.
In the U.S., rules and regulations for auto repair businesses vary significantly between each state. It is far more difficult for MSOs to operate state lines or for individual operations to cross them than it is for Canadians to conduct interprovincial operations.
With a shared head-of-state, parliamentary system and system of Common Law, Canada's repair sector is far more similar to Australia's, than to that of the country's closest neighbour.
As made clear in the 2019 Global Focus Report, compiled by the organizers of the International Bodyshop Symposium, the similarities between the auto sectors in Canada and Australia share many more similarities. Take a look!
Population: Australia -- 25.3 million | Canada -- 37.3 million
GDPP: Australia -- $69,000 | Canada -- $68,500
Total Vehicle Parc: Australia -- 19.2 million | Canada -- 34.4 million
Number of Licensed Drivers: Australia -- 19.2 million | Canada -- 26 million
Vehicles Per Licensed Driver: Australia -- 1 | Canada -- 1.3
Average Vehicle Age: Australia -- 10.1 years | Canada -- 12.4 years
New Vehicle Sales:
2016 1.178 million 1.984 million
2017 1.189 million 2.076 million
2018 1.153 million 2.003 million
Average insurance premium and deductible:
Australia -- $626 Canada -- $1,062
Number of repair centres:
Australia -- 2,800 Canada -- 4,700
Australia -- 9,285 (one repair facility for every 9,285 vehicles)
Canada -- 7,234 (one operator for every 7,234 vehicles)
Average Repair Cost:
Australia -- $3,550 Canada -- $3,670
Average Hourly Labour Rate:
Australia -- $31 Canada -- $44
Average Cycle Time:
Australia -- 7 days Canada -- 7 days
Total Market Value: Australia -- $7bn Canada -- $11bn
*All figures shown in Canadian dollars and drawn from the IBIS 2019 Global Focus Report.