By John Huetter, Repairer Driven News on May 31, 2016
Boyd/Gerber’s same-store sales rose a whopping 7.4 percent in the first quarter of 2015, a boom stimulated in part what the CEO described as a trend towards DRP consolidation.
“We also continue to benefit from the favorable industry trends of direct repair programs and insurers consolidating their repair volumes to fewer repairers,” CEO Brock Bulbuck told investors on a May 13 analyst call.
That repeats a similar Boyd/Gerber prediction made last summer.
A May 23 investor presentation also describes a “Growing preference among insurers for DRP arrangements with multi-location collision repair operators” — not surprising given the concessions a large chain can offer but make back in volume and economies of scale savings.
“Boyd is well positioned to take advantage of these DRP trends with all major insurers and most regional insurers,” the company wrote.
Editor: Log onto the RDE website here for the full report-very interesting reading!