Aftermarket industry codifies data sharing

A source of contention for the local automotive industry and car companies has moved one step closer to being resolved, following the release of a code of practice for data sharing.

The code has been formulated by the Australian Automotive Aftermarket Association (AAAA), which is the body representing aftermarket parts and service suppliers. For a long time, the AAAA has been at war with the Federal Chamber of Automotive Industries (FCAI) – the body that lobbies on behalf of car manufacturers and importers in this country.

Things came to a head in October last year, when the FCAI effectively walked away from talks with interested parties including the AAAA, which has been insisting the FCAI's members provide unfettered access to vehicle servicing data for AAAA members. This would ensure that consumers can take their cars to a AAAA member to have a service done, without worrying that the independent repairer will have the right information on hand for the car in question.

At present, servicing cars can be a hit-and-miss affair if the independent repairer can't obtain specifications for tuning or the special tools required for more intensive repairs.

To make matters worse, the AAAA has argued in the past that the FCAI members' tactics to retain servicing business for their respective dealer networks have been downright anti-competitive.

This week, the AAAA took it upon itself to provide a copy of its own vehicle data sharing code of practice to individual members of the Steering Committee on Access to Service and Repair Information for Motor Vehicles. Headed by Federal Small Business Minister Bruce Billson, it's the Steering Committee that is negotiating a truce settlement that will satisfy the conflicting needs of the AAAA and its members on the one side, and the FCAI and its members on the other.

"The Auto Aftermarket Code of Practice addresses core issues to help balance the market power and technological advantage of the multinational car companies against the independent repairer industry, which predominately comprises small, family owned businesses," said AAAA Executive Director Stuart Charity, as quoted in a press release.

Key principles underpinning the AAAA's code include consumer's choice of repairer and access to vehicle servicing/repair information for independent repairers on "commercially fair and reasonable terms".

In the press release issued by the AAAA, Stuart Charity also took a swipe at what the association describes as "the genuine parts myth".

"Our commitment is to ensure full transparency and to assist our customers in fitting the most appropriate parts for their vehicle," he said.

"The term 'genuine parts' is a marketing slogan created by the car companies. Generally the vehicle manufacturers do not make replacement parts. These parts are usually manufactured by third party component suppliers with a car company brand on the box.

"The terms 'genuine' and 'non genuine' are not particularly transparent and do not provide consumers with clear information on the source of these parts. The issue is not who manufactured the parts, it is whether the parts are fit or appropriate for the purpose intended.

"Both OEM parts and independent aftermarket parts come with consumer guarantees under the Australian Consumer Law. They are often made in the same factory, but are labelled and packed differently, with the aftermarket version usually sold at a lower price.

"To assist independent repairers to inform customers of the source of parts, we recommend itemising quotes and invoices to list the brand and type of parts to be fitted."

So the concerns harboured by the AAAA are not just getting the valve adjustment right, or setting the spark plug gap correctly, the association is also determined that consumers are entitled to opt for lower-priced parts that are equally suitable for the task. Additionally, independent repairers and their staff should be able to avail themselves of training or at least access a knowledge base to ensure cars are correctly repaired and serviced.

"We are particularly keen to see the detail of the FCAI voluntary code," Charity said. "They represent the vehicle manufacturers and importers and will be the group most often making vehicle service and repair information, tools and equipment available for sale to independent workshops.

"If the voluntary data sharing Heads of Agreement is not making a significant difference to the availability of repair information after the initial 12 month period, we will again approach Government to advocate for the introduction of a Mandatory Code of Practice."

The AAAA Auto Aftermarket Code of Practice can be reviewed at the association's website.