Recall Repairs: How Are We Doing as an Industry?
Recall Repairs: How Are We Doing as an Industry?
Looking Back at 2021 NHTSA Recalls to View Rates of Repair
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The year in recalls for 2021 introduced 425 NHTSA campaigns that affected 27,646,024 passenger vehicles and small trucks. But how has the repair effort gone? We’re soon approaching the end of the warranty period for most of these vehicles, while others are already out of warranty. Why is that important? When consumers stop servicing at the dealer, recall compliance numbers also fall.
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These “repaired numbers” are based on March 2025 NHTSA data, though the report centers on NHTSA recalls announced in 2021. Going back to 2021 provides a better perspective on the previous four years of service interventions, especially since many of these vehicles have slipped, or are about to slip, out of warranty. You can see that by the time these vehicles are about to fall outside of the warranty period, 17,798,398 of the 27,646,024 (64.4%) affected vehicles have been successfully repaired. When filtering into vehicles that have already fallen out of warranty, recall completion rates don’t get much better or may have decreased. 23,950,559 of the 14,630,370 (61.1%) out-of-warranty vehicles have been repaired. To put into simpler terms, the longer a recall remains open, then moves into “out-of-warranty” and not going to a dealership for service, the likelihood of a completed repair drops. Results by brand in the infographic above reflect those OEMs with a minimum of 5 NHTSA campaigns involving a total of at least 50,000 vehicles. Why is this data important?
- With current defection rates, recall repair rates for out-of-warranty vehicles will flatten or decrease slightly.
- These older vehicles are also reaching an age where a lot of customer pay (CP) dollars come into play. Don’t lose these high dollar opportunities to the aftermarket.
- When faced with high repair costs, 6-9% of these owners will turn to a new car purchase.
- These vehicles may also be in the hands of someone other than the original owner (2nd/3rd/4th generation owners that the OEM cannot reach). RM has the largest owner database in the nation.
- Recall compliance protect the brand and promotes vehicle safety
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About the Author
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Sean Reyes oversees all marketing efforts at Recall Masters as Chief Marketing Officer. Sean also serves as the host of the FixedOps UX, a “minicast” that revolves around the fixed operations ecosystem and the tactics that build a better user experience for customers, dealership staff and other stakeholders. Sean’s experience spans more than 35 years of business development and strategic marketing experience, having developed go-to-market products and solutions for the automotive, healthcare, insurance, finance and technology industries to serve Fortune 1000 clients like American Express, Toshiba, Western Digital, Cox Communications, Novartis, Microsoft, IBM, Compaq, HP, National General Insurance, MyCustomer Data, DigniFi and several automotive affiliates and dealerships. Sean lives in Napa, CA with his wife Kathryn and spends his free time hiking, kayaking, playing guitar, going to concerts, rebuilding project cars and helping his kids embark on adulthood. |
