Saturday, 4 August 2007

I think the bubble is about to burst.

I'm not normally one to be pessimistic (yeah right!), but I reckon that there is a tipping point coming in regards to our business.

The saturation of ADI's/PDI's is continuing, as is the constant advertising for new people to join the industry.

Every ADI who is getting frustrated with learners is thinking of becoming a trainer (if you let learners frustrate you - you'll never survive PDIs!), all looking to encourage more punters to join the business.

And what many people may not have recognised is that with the new 1 year learning rules coming in, many learners will be priced out of the market completely.

Very few learners can afford to insure a car privately, and very few parents want to supervise, so the majority of the heralded 100 logged hours driving will be with driving instructors. Simple maths will tell you that this will mean spending around £2000 before test fees, if not more.

At the moment, many of our customers start to learn with no understanding of how much it will cost, just thinking that £20 a week is ok, and well, da sez it'll only tek a coupla month. By the time they pass, they've spent nearly £800 without realising it. When they are told they MUST learn for a year and MUST take 100 hours, then even the least mathematically minded will understand that it'll be £40 a week until this time next year!

That may just make the difference. It's a lot of money to many people. We may find ourselves losing customers to public transport, and once people get past 20 without driving they tend to stay non-drivers unless their situation changes.

Will there be enough work?

There will certainly be enough driving instructors!

How are you going to get through it?

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