Aftermarket trends show delayed tax refunds pushed sales into March

In February, a majority of technicians noted that business trends increased significantly in the second half of the month and that the strong demands trends continues into early March, according to survey responses collected from nearly 300 independent garage owners by Northcoast Research, in partnership with VehicleServicePros.com.   

The upturn coincides with the flow of tax refunds this year, as many refunds were delayed until mid-February due to the PATH act, according to the survey analysis. This then pushed sales out of January and February and into March. 

But, overall, the data from the first two months of the year was "disappointing when compared with the more upbeat survey results" Northcoast Research saw last summer and early fall. 

As the were in January, February trends were affected by "unfavorable" trends across the Great Lakes, Northeast and Upper Mid-Atlantic regions of the country.

One anonymous survey respondent from Michigan was aprehensive of February after suffereing from bad business in January. 

"January marked the worst year-over-year decline I’ve experienced in 20 years," they wrote. "After the first two weeks of February, I thought I was going to break January’s record, but luckily business picked up in the last two weeks of the month.”

Survey respondents also noted that they believe low fuel costs were positively impacting demands trends because they believe it leads to strong driving trends, more disposable income, and aids in discretionary repairs and maintenance.