Article
citation information:
Lewicki, W., Stankiewicz, B. Influence of increased
availability of various categories of spare parts in the market on the cost of
servicing passenger cars in Poland. Scientific
Journal of Silesian University of Technology. Series Transport. 2019, 102, 99-107. ISSN: 0209-3324. DOI: https://doi.org/10.20858/sjsutst.2019.102.8.
Wojciech LEWICKI[1], Bogusław
STANKIEWICZ[2]
INFLUENCE OF INCREASED AVAILABILITY OF VARIOUS CATEGORIES OF SPARE PARTS IN THE MARKET ON THE COST OF SERVICING PASSENGER CARS IN POLAND
Summary. This article raises the issues
related to the influence of increased availability of various categories of
spare parts in the market on the cost of servicing passenger cars in Poland.
The discussion is based on original simulations of the hypothetic cost of
repairs involving several categories of spare parts. For the analysis, the
authors selected models of vehicles that were demanded the most in Poland in
recent years in the segment of brand new and second-hand cars. The purpose of
this work is to show the differences in values arising in the case of using
separate categories of spare parts in the class of repairs concerned. The
presented research may be used to estimate the possible cost of use related to
owning a specific model of a vehicle. Furthermore, the research results may be
helpful in making purchase decisions by the individual as well as group
clients.
Keywords: cost of repairs, spare parts, automotive
market, EU regulations
1.
INTRODUCTION
Year after year, vehicle manufacturers release more models into
the various market segments. However, this constantly and fast-rising number of
vehicles requires continuous servicing to stay efficient and reliable [3].
In the literature, the dominating view is that servicing should
involve only brand new genuine spare parts owing to their high technical
parameters [5, 12]. However, many other authors state that no significant
differences in cost arise when using other categories of spare parts in
servicing, so these issues do not require any particular attention [13]. That
could not be further from the truth, as thorough analyses and observations of the
sector of repair services indicate explicitly so in the new reality, that is,
an increased availability of various categories of spare parts in the market,
components other than genuine spare parts are used more and more in this
category of repairs and this is an economic factor which has not been known
before [1].
Therefore, an attempt to present the economic nature of the
influence of using different categories of spare parts other than genuine ones
in servicing passenger cars in Poland has a material meaning in the aspect of
academic as well as practical considerations. Noteworthy is the fact that there
are no such analyses and works in available literature in the technical as well
as economic sciences, in particular using an interdisciplinary approach, which
increases the substantive value of the raised issues even more.
The presented approach forms the basis for adopting certain
initial conditions and methods of proceeding directed at an attempt to measure
the influence of increased availability of various categories of spare parts in
the market on the cost of servicing passenger cars in Poland through:
- a description of the essence of
servicing passenger cars using an economic and technical approach.
-
an analysis of the cost of
servicing involving selected vehicles from various market segments with the
kilometrage of 90,000, using four categories of spare parts.
Furthermore, the purpose of the work is to demonstrate the
differences of values arising in the case of using separate categories of spare
parts in this type of repairs. The presented research may be used to estimate
the possible cost of use related to owning a specific vehicle model. Moreover,
the research results may be helpful in the process of making purchase decisions
for the individual as well as group clients.
2. THE ESSENCE OF SERVICING
PASSENGER CARS – ECONOMIC AND TECHNICAL APPROACH
As available reports and
works show, an average consumer associates owning a vehicle only with two
significant stages, that is, the purchase and use [14]. Nothing can be further
from the truth, as between these stages other processes exist as well, ones
which are unidentified at first but which involve, among other things,
servicing related to specific economic factors.
Observations of the
market reality conducted by the author demonstrate explicitly that many car
users do not differentiate between a Ministry of Transport Test (MOT) and
servicing. Professional literature explicitly indicates a fundamental
difference between these notions. An MOT is an obligatory check of a vehicle
conducted in a Regional Vehicle Inspection Centre [13]. It is required to have
a vehicle admitted to traffic on public roads. On the other hand, servicing
involves a visit to a repairer (most frequently an authorised repairer)
recommended by a manufacturer, aimed at replacing wearing parts and checking
the technical condition of a vehicle. A vehicle user is not forced in any
manner to have such a check conducted. However, maintaining a guarantee
provided by a manufacturer requires regular servicing of this kind. It should
be remembered that the guarantee period for certain vehicle elements or
subassemblies may be up to 10 years [7, 14].
At this stage of the
discussion, it should be emphasised that the frequency of servicing is specified
individually by the manufacturer of a vehicle and depends, among other things,
on the model, the engine version etc. The current technological progress
visible in the digitalisation of vehicle drive systems means that it is a drive
computer which more often decides, based on the conditions of use, when the
owner should visit a repairer. The purpose of applications and the thematic
tool referred to above is not to reduce periods between the service checks but
to increase them if possible. For example, an analysis of the drive systems
used in a vehicle concerned may lead to having the oil changed every 10,000 or
30,000 kilometres depending for example, on the driving style preferred by the
user of the vehicle concerned.
A basic service includes a change
of oil and replacement of an oil filter. Depending on the make, model, and
kilometrage or age of the vehicle, other procedures may also be included, such
as:
- replacement of the air filter,
- change of the coolant,
- change of the brake fluid,
- replacement of spark plugs (petrol engines),
- refill of the DPF fluid in vehicles with diesel particulate filter (diesel
engines),
- replacement of engine timing,
- check of the suspension,
- check of the braking system,
- check of the steering system,
- check of the exhaust system,
- computer diagnostics,
- check of the correct tyre pressure.
Apart from its technical aspects,
servicing also has an economic side to it. Prices for servicing depend on
factors such as the following:
-
the scope of the service provided (quantities of changed fluids and
replaced parts),
-
vehicle make and model,
-
vehicle age,
-
type and category of spare parts,
-
type of service provider (authorised or unauthorised repairer).
Here, it should be
emphasised, presently, users may choose from as many as four categories of
spare parts, each of them with different price and quality parameters, which
has a great influence on the economic calculation [4, 8, 11]. It should be
remembered that the cost of spare parts is a key factor in the total costs of
servicing a vehicle.
To sum up, maintaining
the guarantee is not the only positive outcome of regular servicing. A
correctly maintained car is less vulnerable to failures and it can also serve
for a longer time. Here, it should be stated that failure to undergo due
servicing may, in future, expose a vehicle owner to a loss of the guarantee and
to additional costs of repairing faults; it may also lead to obtaining a lower
monetary equivalent during a possible attempt of selling a car [7, 10].
3. ECONOMIC ANALYSIS OF COST OF
REPAIRING PASSENGER CARS USING SPECIFIC CATEGORIES OF SPARE PARTS
The complex nature of
the technological processes involved in the service, the specification of
materials used, and a diverse technology of repairing passenger cars require an
alternative approach. Therefore, in order to demonstrate significant
relationships, the authors used pre-determined models of behaviour in their
simulations. As a result, further discussion will not focus on the
qualification and analysis of unit costs involved in the total cost of
servicing a vehicle; only the total costs of servicing chosen vehicles from
thoroughly selected market segments will be presented, using four categories of
spare parts in the process. Moreover, for the purpose of this research, the
authors made a simplified assumption that the cost of servicing is the total
cost of service and prices applied to the repair of spare parts.
In the beginning, to
maintain the logical correctness and the methodological value of the research,
it was assumed that:
– the research would
include passenger cars from market segments A to D, Four models of vehicles
with specific properties and purpose have been selected for the analysis, The
selected vehicles were very popular among clients, as they reached the highest
selling figures in 2017 in the Polish market,
– each selected vehicle is
subject to service as provided for by the manufacturer after reaching the
kilometrage of 90,000, This value has been selected due to the fact that
according to available research and reports most users consider using spare
parts other than genuine ones,
– to estimate the cost of
repairs, a specialist expert application called D,A,T, was used in which the
numerical experiment was supported with a cost estimation method, as it is the
only method used in the practice of estimating the cost of servicing passenger
cars in Poland,
– considering a large
scope of servicing provided by repairers, it has been assumed that the cost
analysis will concern servicing after reaching the kilometrage of 90,000 and
will include the replacement of the air filter, fuel filter, and cabin filter,
change of the coolant and brake fluid, and the replacement of spark plugs and engine
timing, For the purpose of comparison, in each case prices
of spare parts from November 2018 have been applied,
– in the case of
simulating labour costs, the average rates of mechanic labour applied in the
Zachodniopomorskie Voivodeship were adopted,
– to demonstrate the
aforementioned relationships, the cost of servicing was analysed in four
fundamental variants, that is, repairs using genuine parts, other genuine
parts, non-genuine parts, and parts of comparable quality.
The
presented assumptions forms the basis for adopting initial conditions and
methods of procedure directed at measuring the importance of the cost parameter
by analysing the selected categories of spare parts in servicing, using the
example of specific passenger cars from selected market segments.
From the
viewpoint of correct exploration and the possibility of capturing necessary
data, the results of the numerical experiment are presented in Tables 1, 2, 3
and 4.
3.1 Segment
A
Tab. 1
Comparison of costs of servicing segment A vehicles with the kilometrage
of over 90,000 depending on the variant of parts used in the procedure (in PLN)
|
Type of parts/make of the vehicle |
Skoda Citigo |
Fiat 500 |
VV UP |
Toyota Aygo |
|
Genuine parts |
1,620.26 |
1,963.76 |
1,778.24 |
2,597.72 |
|
Non-genuine spare parts – substitutes |
1,109.99 |
1,240.99 |
1,109.99 |
2,065.76 |
|
Spare parts of comparable quality |
1,123.59 |
1,150.20 |
1,123.59 |
2,225.64 |
|
Other genuine parts |
1,234.06 |
1,549.12 |
1,331.72 |
2,597.72 |
Source: The
authors’ original study based on the D.A.T. system with prices of spare
parts as of November 2018
The above overall
simulation of the cost of repairs in class A indicates that the lowest cost of
servicing has been observed in the case of using non-genuine parts, that is,
substitutes. The analysis of data shows that using spare parts of comparable
quality in repairs seems to be the most beneficial variant, for economic and
technological reasons (the parts have quality parameters comparable to those of
genuine parts), with regard to all analysed models of vehicles in that segment.
The analysis of data
concerning separate spare parts shows that the highest cost of repairs has been
observed for Toyota Aygo in all variants of spare parts. The lowest simulation
cost of repairs, on the other hand, have been found for Skoda Citigo for all
variants. Moreover, it is worth mentioning the fact that there are differences
in costs of servicing in the case of Skoda and VW despite the fact that those
vehicles use the same spare parts.
3.2
Segment B
Tab. 2
Comparison of costs of servicing segment B vehicles with the kilometrage
of over 90,000 depending on the variant of parts used in the procedure (in PLN)
|
Type of parts/make of the vehicle |
Škoda Fabia |
VW
Polo |
Opel
Corsa |
Toyota
Yaris |
|
Genuine parts |
2,121.28 |
2,708.40 |
2,478.65 |
2,922.51 |
|
Non-genuine spare parts – substitutes |
1,224.92 |
2,156.64 |
1,540.17 |
2,406.93 |
|
Spare parts of comparable quality |
1,537.56 |
2,242.78 |
1,970.03 |
2,648.54 |
|
Other genuine parts |
2,021.43 |
2,664.40 |
2,120.61 |
2,922.51 |
Source: The
authors’ original study based on the D.A.T. system with prices of spare
parts as of November 2018
The above overall
simulation of segment B vehicles indicates again that the lowest cost of
servicing has been observed in the case of non-genuine parts. The cost analysis
has shown that using other genuine parts in the case of Skoda Fabia and VW Polo
leads to the reduction of servicing costs by a small extent. The highest costs,
on the other hand, have been observed for Toyota Yaris, in all variants of
spare parts. The lowest costs have been noted for Skoda Fabia. Moreover, it is
worth mentioning that in the case of Toyota Yaris, cost of repairs using
genuine parts and other genuine parts were the same.
3.3
Segment C
Tab. 3
Comparison of cost of servicing segment C vehicles with the kilometrage
of over 90,000 depending on the variant of parts used in the procedure (in
PLN).
|
Type of parts/make of the vehicle |
Škoda Octavia |
Opel Astra |
Toyota Auris |
Kia cee’d |
|
Genuine parts |
2,991.17 |
3,292.85 |
3,486.07 |
3,240.85 |
|
Non-genuine spare parts – substitutes |
1,997.61 |
2,034.25 |
2,626.31 |
1,455.71 |
|
Spare parts of
comparable quality |
2,467.62 |
2,687.15 |
2,753.38 |
2,151.93 |
|
Other genuine parts |
2,605.31 |
2,832.01 |
3,486.07 |
3,240.85 |
Source: The
authors’ original study based on the D.A.T. system with prices of spare
parts as of November 2018
The above overall simulation
of servicing costs in class C indicates that the lowest cost of service has
been observed in the case of using non-genuine parts. The highest costs, on the
other hand, have been noted in the case of genuine parts. The analysis of
individual vehicle models shows the highest cost of servicing in the case of
the Toyota Auris. The lowest cost of servicing, on the other hand, was observed
for Skoda Octavia but not in all variants of parts. For non-genuine parts and
parts of comparable quality, the lowest costs were noted for Kia ceed. It is
worth mentioning that the costs are the same for Kia ceed and Toyota Auris in
case of using genuine parts and other genuine parts.
3.4
Segment D
Tab. 4
Comparison of costs of servicing segment D vehicles with the kilometrage
of over 90,000 depending on the variant of parts used in the procedure (in
PLN).
|
Type of parts/make of the vehicle |
Skoda
Superb |
Volkswagen Passat |
Opel
Insigina |
Ford Mondeo |
|
Genuine parts |
3,831.11 |
4,529.75 |
4,335.13 |
4,467.24 |
|
Non-genuine spare parts – substitutes |
2,951.02 |
2,632.15 |
3,667.77 |
3,650.82 |
|
Spare parts of comparable quality |
3,114.12 |
2,956.41 |
3,918.31 |
4,935.11 |
|
Other genuine parts |
3,407.16 |
3,135.13 |
4,006.01 |
4,167.21 |
Source: The
authors’ original study based on the D.A.T. system with prices of spare
parts as of November 2018
The above overall
simulation of cost of servicing in class D indicates that the estimate of costs
for the variant of other genuine parts is higher than the cost of repairing a
vehicle using non-genuine spare parts and parts of comparable quality for all
analysed models. In this segment, the highest cost of service has been observed
in the case of VW Passat, but only for genuine parts. In other variants of
spare parts, the costs are the lowest. Moreover, it is worth mentioning that in
the case of Opel and Ford the costs of service using non-genuine spare parts
and parts of comparable quality were similar.
4. SUMMARY
AND CONCLUSIONS
EU
regulations concerning the automotive market which are currently applicable
allow not only the use of services outside the dealers’ network for a
vehicle covered with a guarantee with no risk of losing the guarantee but also
provide for a possibility of using spare parts other than genuine for this
process as well. However, it is subject to the provision that in case of a
fault and turning to the manufacturer with the problem, the owner who has used
such services in the past will possibly have to prove that all service
procedures were completed in line with the technology recommended by the
manufacturer, which seems virtually impossible, as is well-known in the case of
using spare parts other than genuine ones, marked with the manufacturer’s
logo. Therefore, many manufacturers try to extend the guarantee period to attach
a client for the longest possible time to servicing at authorised repairers,
using genuine spare parts. In many advertisements, it is emphasised that only
the use of genuine spare parts ensures the correct performance of a vehicle.
However, the advertisements do not say that as much as 80% of spare parts in
the market come from independent spare part manufacturers and only 20% of them
are supplied directly by car manufacturers themselves [2, 6].
In the
present market reality, a car user may choose from as many as four categories
of spare parts with various quality and price parameters. That being so, in the
present market of repair services, the issue of estimating the cost of
servicing passenger cars using other categories of spare parts has become
particularly important. Prices of materials used in the process are related to
each other, which means that low prices of spare parts often decide about the
low cost of repairs, however, one should not forget about a factor which is
equally important, that is, time needed to perform certain operations and the
cost of a working hour with regards to individual manufacturers and selected
vehicle makes.
Analysing
the calculation of costs presented in the tables for vehicles from segments A,
B, C and D, it was concluded that:
– the
higher the analysed market segment is, the higher the hypothetic cost of
servicing is,
– there
are great differences in the cost of servicing after reaching the kilometrage
of 90,000 depending on the adopted category of spare parts in analysed market
segments,
– apart
from other available categories of spare parts, the highest cost of servicing
can still be observed in case of using genuine parts,
– in
all analysed market segments, the choice of non-genuine parts is the cheapest
solution in the economic aspect,
– in
most cases, choosing other genuine parts is more expensive than using
non-genuine parts and parts of comparable quality in the repair process,
– for
several models of vehicles, it has been determined that choosing other genuine
parts for repairs is not a cost alternative for genuine parts, as the cost of
servicing is the same.
To sum up, the authors’
attempt to raise the issue of the influence of an increased availability of
various categories of spare parts in the market on the cost of servicing passenger
cars in Poland does not exhaust the topic; it is only an attempt to show the
complex nature of the examined issue concerning the influence of EU regulations
on the automotive market in the economic aspect.
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Received 05.11.2018; accepted in revised form 09.01.2019
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