Top 10 Automotive Franchises To Watch in 2020

According to the latest data from Statista, there are approximately 276 million vehicles in operation throughout the United States so far this year. With such a significant number of cars on the road, it’s no wonder the automotive service industry is a booming business. After all, someone (and by someone, we mean a workforce of almost two million employees) has to keep all of these vehicles safe for the road. 

Michael Macaluso, President at Driven Brands Collision Group, parent company of automotive services including Maaco, Meineke, CARSTAR and more, shared his perspective on this year’s most important developments in the automotive industry. “For the automotive industry as a whole, advancing technologies and enhancing the customer experience continue to be key trends,” said Macaluso. “Automotive manufacturers are creating the most remarkable innovations in history, which has a ripple effect to all connected industries.”

“Customer service is also paramount, as customers are more empowered than ever before,” he continued.

As for the future of the industry, Macaluso predicts the rate of advancement and innovation to continue at warp speed. “I think GM’s CEO Mary Barra best articulated the future of the industry when she recently said, ‘The auto industry will change more in the next five to 10 years than it has in the last 50.’ Innovation continues to be the driver, as manufacturers find new ways to enhance customer safety and experience,” said Macaluso. 

Taking this into consideration, 1851 took some time to round up ten automotive service franchises that are leading the way in the industry. The following companies have shown to make customer service a top priority and have also implemented the latest technologies and education practices to help ensure customer retainment. 

1. Honest-1 Auto Care

No. of locations: 64+

Investment range: $206,650 to $659,150

Franchise opportunity website: http://h1franchise.com/

Since 2003, Honest-1 Auto Care has been providing customers with an environmentally responsible solution for their automotive service needs through a full range of ESA-certified eco-friendly products and services. Honest-1 prides itself on thoroughly educating its customers on all the systems and services necessary to keep their vehicles in the best running condition. The company also offers same-day service, a complimentary customer shuttle and a full three-year/36,000-mile warranty on the services it completes. Additionally, Honest-1 offers a 24-hour ToYourRescue 365 Roadside Assistance Program, complementary with your purchase of $25 or more in parts or vehicle service from one of the facilities. 

What can you learn from this brand: Down to its name, Honest-1 puts transparency at the forefront in an industry notoriously known for the opposite, creating an immediate distinction for itself, amplified through eco-friendly automotive services and a family-friendly atmosphere that aims to make its customers feel at home while visiting an Honest-1 location. 

2. SpeeDee

No. of locations: 159+

Investment range: $181,770 to $507,670

Franchise opportunity website: https://www.speedeeoil.com/franchise-information/

Founded in 1980 in Metairie, Louisiana, SpeeDee Oil Change quickly grew into SpeeDee Oil Change & Tune-Up. In 2013, the brand once again revamped its services and brand image, and became SpeeDee Oil Change & Auto Service. Through its evolution, one thing always remained the same: The brand’s reputation for always taking care of its customers. SpeeDee prides itself on being locally-owned, with most stores run by families who service the automotive needs of their own communities. SpeeDee also takes pride in its high customer satisfaction rate. Now 40 years and 159 locations later, SpeeDee is able to experience a high customer retainment rate through its 17-Point Oil Change inspection, where mechanics check up on all filters, fluids, belts and tires. 

SpeeDee was acquired by Grease Monkey in 2017, in order to form a partnership that would bring together the best practices from both independent franchises and create a new and improved automotive service experience, according to the companies. 

What you can learn from this brand: One way SpeeDee practices customer retainment is through its free top-off service, where customers can bring their vehicles in for a check-up for the three months or 3,000 miles following any SpeeDee oil change or tune-up service. 

3. Grease Monkey

No. of locations: 300+

Investment range: $156,695 to $340,859

Franchise opportunity website: https://www.speedeeoil.com/franchise-information/

Grease Monkey, a parent company of SpeeDee, was founded in 1978 by two entrepreneurs who noticed that it was becoming increasingly inconvenient for consumers to get their oil changed. Now, the automotive franchise operates over 300 centers internationally, with locations in Mexico, China, Colombia and Saudi Arabia. The brand touts its Certified Pit Crew Program wherein all of its technicians are rigorously trained using proprietary systems developed by executives with decades of experience in the automotive industry. Before earning their Certified Pit Crew status, technicians are required to take 15 certification courses. Additionally, Grease Monkey offers 200 other education courses available online at FullSpeed University. Grease Monkey was also recognized on Franchise Times’ Top 200+ List for 2019, locking in the No. 267 spot. 

What you can learn from this brand: FullSpeed University offers a specialized curriculum that allows attendees to customize their learning, covering subjects like new employee orientation, customer service and performing automotive services, all available 24 hours a day, seven days a week. Such a robust education offering creates opportunities for specialization and creates strong employee retention in a sector with a lot of competition.

4. CARSTAR

No. of locations: 500+

Investment range: $283,700 to $829,800

Franchise opportunity website: https://carstarfranchise.com/

Celebrating its 30th anniversary, CARSTAR offers a wide range of services including auto-body repair, paintless dent repair and storm damage repair with 24/7 accident assistance. All CARSTAR locations are Original Equipment Manufacturer (OEM) certified and the brand repairs vehicles to OEM standards. With over 500 locations across the country, CARSTAR trains its technicians to work on all vehicle makes and models and participates in ongoing education programs to stay abreast of the latest vehicle technologies and materials. The auto-body experts recently celebrated a new milestone by launching the 700th North American collision repair facility, in Montrose, California. CARSTAR was recognized on Franchise Times’ Top 200+ list for 2019 as the No. 99 franchise in the country. 

What you can learn from this brand: Because CARSTAR is an OEM-certified operator, this cuts out the middleman, allowing for customers to get their automotive services done more quickly and at a reduced price, thus creating a notable competitive advantage for the brand in the space. 

5. Jiffy Lube

No. of locations: 2,000+

Investment range: $234,000 to $372,650

Franchise opportunity website: https://franchise.jiffylube.com/?utm_source=JiffyLube.com&utm_medium=Tile

Celebrating its 40th year in business, Jiffy Lube is one of the nation’s biggest players in the quick-lube and automotive industry. With more than 2,000 franchised service centers, Jiffy Lube offers a range of services, from oil changes and tire rotations to air conditioning and transmission checks. Each location is manned by technicians trained not only in preventative maintenance, but also in customer service. Each Jiffy Lube employee must go through Jiffy Lube University, a comprehensive training program that has been recognized for its robust curriculum as an Automotive Service Excellence (ASE) training provider. The quick-lube giant was also recognized on Franchise Times’ Top 200+ List for 2019, claiming the 75th spot. 

What you can learn from this brand: Jiffy Lube University is a state-of-the-art training program that includes on-the-job training and proficiency testing to help provide customers with the best care possible. Through fast service and strong brand recognition, Jiffy Lube has become synonymous with auto care, an asset to franchise prospects interested in established marketing at the local and national level.

6. Midas

No. of locations: 1,025+

Investment range: $100,000 to $415,000 

Franchise opportunity website: https://www.midasfranchise.com/

Customers have been “trusting the Midas touch” since its inception in 1956 as a muffler repair shop. Since, the company has grown to over 1,025 locations and has expanded to offer repair and maintenance services on shock absorbers, brakes, tires, batteries, radiators, and heating and cooling systems. In the 1980s, Midas became the first company to offer nationwide, lifetime-guaranteed brake service. Earlier this year, Midas was recognized as the most serviced-focused organization in the automotive industry, according to Newsweek Magazine’s 2019 List of America’s Best Companies for Customer Service. Further accentuating it’s position in the industry, Midas was also recognized on Franchise Times Top 200+ List for 2019, coming in at No. 81. 

What you can learn from this brand: Customer service will always reign supreme, especially as it relates to auto service—and going the “extra mile” may just win you recognition from a trusted organization. 

7. AAMCO 

No. of locations: 600+

Investment range:  $223,600 to $330,500

Franchise development website: https://aamcofranchises.com/

Working off the company-wide values of trust, quality and value, AAMCO has over 50 years of experience in the automotive industry. AAMCO offers a range of services including transmission repair, brake services and general auto repair. It also offers government and fleet service repair. Each of the 600+ locations are locally- and independent-owned, employing the latest industry technology and expert technicians. The Philly-bred brand was recently recognized on Franchise Times’ Top 200+ for 2019, finding its way on the list at No. 176. 

What you can learn from this brand: To help its customer retainment rate, AAMCO frequently offers coupons and promotions for an array of services including a free check engine light inspection.

8. Big O Tires

No. of locations: 450+

Investment range: $311,000 to 1,133,300

Franchise opportunity website: https://www.bigofranchise.com/

Founded in 1962, Big O Tires is one of the largest North American retail tire franchisors, with over 450 independently-owned and operated locations across 25 states. Big O holds a company-wide mission of delivering honest and worry-free service to its customers. The company also boasts its training program, which guides employees and franchisees through courses centered on experience-focused culture and customer interactions, as well as vehicle maintenance. It also provides an online training site––TBC University––with over 400 educational courses available to employees. Big O waives its $30,000 initial franchise fee for franchisees who are military veterans or first responders. The tire retailer was recognized on Entrepreneur’s  2019 Franchise 500 list, claiming the No. 172 spot. 

What you can learn from this company: As a part of its honest and worry-free service, Big O offers a free multi-point inspection claiming it’s “the right thing to do” for its customers. Experience-focused brands like Big O that prioritize education stand out in the automotive and franchise industry, creating connection points for customers that play a huge role in retention.

9. Tuffy Tire & Auto Service

No. of locations: 174

Investment range: $224,000 to $413,500

Franchise opportunity website: https://tuffyfranchising.com/

Tuffy Tire & Auto Service  was founded in 1970 as a muffler shop in Detroit, Michigan, and has since grown to 174 locations across the United States. Since its founding, Tuffy has evolved from just a muffler shop to an auto-service center that includes brakes, shocks, springs, alignment, front-end, oil change, mufflers, tires and more. The brand prides itself on providing state-of-the-art management, sales and technical training, as well as a strong business model to which aims to set its franchisees up for continued success. Tuffy Tire & Auto Service was recently recognized on Franchise Times’ Top 200+ for 2019, where it holds the No. 286 spot.  

What you can learn from this brand: As a way to support its franchises and establish owners for the long-term, Tuffy gives signees a protected territory to help ensure that they are given ample opportunity for success. 

10. Mr. Transmission

No. of locations: 111

Investment range: $178,925 to $252,185

Franchise opportunity website: https://mrtransmission.com/franchise-opportunities

Founded in 1956, Mr. Transmission offers a comprehensive list of services, from performance checks to transmission maintenance and repair. The company boasts its prompt, honest and affordable service with free vehicle estimates and a step-by-step communicative process with its customers. It also offers a nationwide warranty program with various plans from which to choose, ranging from a three-month, 3,000-mile option to a six- or 12-month, 12,000-mile option. The brand recently celebrated its newest franchise location in Las Vegas as a co-branded shop with Milex Complete Auto Care. Mr. Transmission was also recognized on Franchise Times’ Top 200+ List for 2019, holding the 359th overall spot. 

What you can learn from this brand: As a part of its affordable service promise, Mr. Transmission offers an array of discounts through its website as well as additional promotions at each local service center. With so many consumers looking for a one-stop shop for their automotive needs, low price points and a catalog of services serve as important differentiators from the other options drivers have access to.