Iconic brand offers franchisees long-term stability in multi-billion-dollar industry
The Midas Auto Repair Franchise is one of the best-known and most-trusted automobile brands in the world. Since 1956, we’ve been a dominant force in the tire and auto repair industries, with more than 1,000 auto repair stores in the United States and more than 2,000 worldwide. Two of the biggest questions for any owner of a new business are “How do I build my brand?” and “How do I find customers?” You would be hard-pressed to talk to anyone who owns an automobile who does not already know the Midas name and what we do. Our brand is very powerful.
Awards and Accolades
As a franchise opportunity, we have won and earned accolades, acknowledgements, and awards. “Entrepreneur” magazine’s annual list of the 500 top franchise opportunities has consistently named us one of the best franchise opportunities in the United States — and the top-rated automotive brand.
Midas is an iconic, trusted brand in an industry where customers reward trust with long-term loyalty. That’s why it’s no surprise that Midas auto repair shops, on average, significantly outperform our competition.
Billion Dollar Market
The market for general automotive repair was $37 billion in 2013, according to estimates by the Automotive Aftermarket Industry Association. The AAIA expects that number to grow to $39.8 billion by 2016. To put those numbers in perspective, it means the average licensed driver in the United States will spend about $200 a year on auto repairs and maintenance.
While the AAIA’s estimates peg average revenue for a general repair garage at $466,000 in 2012 (AAIA’s 2014 Digital Automotive Factbook), the middle third of Midas franchisees — average performers — had average revenues of more than $620,760 in 2013, and our top third of franchisees averaged $921,611 a year in revenue, per our 2014 Franchise Disclosure Document.
New franchisees inherit our customers the day they sign their franchise agreement. We’ve worked every day since 1956 to make that happen. The heavy lifting has already been done for you.
“Midas carries the best name in the automotive care aftermarket,” says Judd Shader, who co-owns 50 Midas locations with his business partner, Jeff Genuario. “There is no stronger national automotive brand.”
The brand Americans know and trust
Midas is one of America’s original franchise systems. Like McDonald’s®* and KFC®*, we started franchising the 1950s, and we have been evolving ever since.
In 1956, Midas changed the American landscape by creating free-standing auto repair garages. We focused on mufflers and exhausts. As we grew nationwide, we expanded our service line – adding shock absorbers in the 1960s, brake service in the 1970s, computerized suspension and alignment in the 1980s, and total car care in the 1990s.
Along the way, we also pioneered ways of making franchising in automotive repair better. We developed a robust team of franchise business coaches to help Midas store owners grow their businesses and train their teams.
We helped develop the Standards of Service, which is now called the Motorist Assurance Program, to help customers understand their vehicles’ condition and which repairs were urgent, which ones were recommended, and which ones were to consider for the future.
By standardizing a better way — The Midas Way — of treating customers and explaining repairs to them, we have been able to help improve the entire automotive aftermarket.
A charmed place in the auto repair industry
Currently, there are about 250 million registered passenger vehicles on the road in the United States, and they are 11.3 years old on average, according to the AAIA. If you’ve ever owned a car that’s more than 11 years old, you might have been on a first-name basis with your mechanic. That’s great news for every Midas franchise owner.
The Midas brand is a magnet for customers who are ready to shop for a trusted mechanic. As Americans keep their cars longer, the likely customer base is growing for Midas owners. New car buyers typically return to a dealership for service and maintenance while their car is under warranty. But after the warranty expires, customers start shopping for service. Dealers often charge an arm and a leg for routine services, and Midas can offer the same level of care at a fair price, and with hours that are more convenient for most consumers. When people are ready to leave the dealerships in their rear-view mirror, Midas is the natural choice for service. That’s why people whose cars are no longer under warranty are prime customers for our franchisees. And with cars routinely on the road for a decade or longer, there are more out-of-warranty vehicles on the road every year.