Should garages make money on parts?

[Deleted member 159894]

True.

But even if you could.... why would you?

No, why would I?

It reminds me of those guys that take oil to a dealer, it just seems like they are too tight to breathe out.

 

[markjay]

There's an old story about a very tight farmer (let's avoid any ethnic or regional references... ) who had a horse.

So he decided to train his horse to not eat at all.

Each day, he reduced the amount of food he fed his horse by one bit of hay.

After several months, the horse's daily meal finally came down to a single bit of hay.

The farmer was delighted, because it meant the training is now complete and as of tomorrow his horse will need no hay at all.

But then, much to the farmer's dismay, the horse collapsed and died.

The farmer looked at the dead horse and exclaimed in desperation: "What rotten luck! Nearly made it".


The lesson is that anyone feeling smug about starving their suppliers and service providers of income and profit, should not be surprised if they eventually go under and are no longer there when they are next needed.

 

[Paulhick]

I voted for "dont care" because... I really don't......

Snap. You pay what you feel is fair otherwise you use someone else.

 

[Tuercas viejas]

Rule of thumb is a 1,6 integer over trade price to retail on shop work & counter sales .
Tuercas Viejas

 

[Bellow]

There's an old story about a very tight farmer (let's avoid any ethnic or regional references... ) who had a horse.

So he decided to train his horse to not eat at all.

Each day, he reduced the amount of food he fed his horse by one bit of hay.

After several months, the horse's daily meal finally came down to a single bit of hay.

The farmer was delighted, because it meant the training is now complete and as of tomorrow his horse will need no hay at all.

But then, much to the farmer's dismay, the horse collapsed and died.

The farmer looked at the dead horse and exclaimed in desperation: "What rotten luck! Nearly made it".


The lesson is that anyone feeling smug about starving their suppliers and service providers of income and profit, should not be surprised if they eventually go under and are no longer there when they are next needed.

Well said MJ!
To which I'll add, spend money wisely - not just cheaply.

 

[alabbasi]

If you buy an apple from Tesco do you expect that they're not making money on it?

Mechanics are resellers just like any other reseller. If the parts fail, they will warranty them and likely eat the replacement labor. If you don't like it, buy the part yourself , invest in some tools and install it yourself.

You'll eventually save money on both parts and labor.

 

[davymead]

Buying vehicle parts from a local factors ie. Euro Car Parts, come to our Indy at a cost relevant to our discount through volume of purchase. Buying vehicle parts from a Main Dealer come to us with a manufacturers Retail Price and a VERY small amount of discount. We never accept customer supplied parts, as already said, as we have to warranty anything we fit.

 

[Tuercas viejas]

Yes we to!.
House rules are no customer parts accepted for the same reasons
I am not a fan of the repair parts roulette.
Tuercas viejas

 

[Dryce]

No, why would I?

It reminds me of those guys that take oil to a dealer, it just seems like they are too tight to breathe out.

Hmmmm.,....

Cost of supplying oil back when I had an MB was about £50 for 8 litres of Mobil 1.

Cost of oil from dealer was £8.50 per half litre - so £136.

You are also welcome to feel the warm cosy glow of my inate and assured sense of superiority as I relax and contemplate the £86 saved while exhaling freely and contentedly without the need to bogart recreational substances.

 

[ShaunB]

No, why would I?

It reminds me of those guys that take oil to a dealer, it just seems like they are too tight to breathe out.

I just checked my year 1 service invoice for the E63.
My Mercedes dealer charged a measly £5.75 per litre for oil

 

[Deleted member 159894]

Hmmmm.,....

Cost of supplying oil back when I had an MB was about £50 for 8 litres of Mobil 1.

Cost of oil from dealer was £8.50 per half litre - so £136.

You are also welcome to feel the warm cosy glow of my inate and assured sense of superiority as I relax and contemplate the £86 saved while exhaling freely and contentedly without the need to bogart recreational substances.

The problem with wheezes like this is that it's an exclusive, some might say selfish, club.

Let's say that we all start supplying our own consumables, the dealer's profits tumble and they ramp up the labour costs to compensate.

So, the small number of tightarses need to keep themselves in a minority to keep their selfish scheme working.

 

[Dryce]

The problem with wheezes like this is that it's an exclusive, some might say selfish, club.

Let's say that we all start supplying our own consumables, the dealer's profits tumble and they ramp up the labour costs to compensate.

So, the small number of tightarses need to keep themselves in a minority to keep their selfish scheme working.

The issue is profiteering - or being dishonest as to where the costs are incurred.

So better they are honest about their hourly workshop rate (it's not really a 'labour rate') than quoting something low as an hourly rate and then hitting the customer with absurdly inflated charges for consumables.

As regards @ShaunB and the £5.75 / litre - that's maybe a result of customers not playing ball and supplying their own. The dealer excesses of the late 2000s and early 2010s have maybe been neutralised by customer action.

Manufacturers should also be taken to task where their consumables are absurdly high. Eg. ATF. So you have a VW, Audi, or Porsche that uses an Aisan transmission - costs per litre of fluid can be as high as £30. You can buy Aisin's own fluid significantly cheaper - at £8 per litre.

 

[Fastcar155]

Hi , and what happens when the customers product fails and causes major problems ?

 

[markjay]

Hi , and what happens when the customers product fails and causes major problems ?

Then the customer is screwed

 

[markjay]

Hmmmm.,....

Cost of supplying oil back when I had an MB was about £50 for 8 litres of Mobil 1.

Cost of oil from dealer was £8.50 per half litre - so £136.

You are also welcome to feel the warm cosy glow of my inate and assured sense of superiority as I relax and contemplate the £86 saved while exhaling freely and contentedly without the need to bogart recreational substances.

I have been quoted a fixed price for service by the dealer, though the invoice ultimately showed the breakdown and the oil's cost per L.

The question is if, when supplying own oil, the dealer simply removes the full price that they would have charged for the oil?

For example, if I am quoted £260 for a Service A, and the invoice shows that the oil was £60 - would the dealer have charged me only £200 if I supplied the oil? I.e., would they have discounted the service by the full RRP that they would have charged for the oil?

My point is that it's not obvious to me that the gain from supplying your oil is equal to the difference between the oil price on eBay and the dealer's RRP for oil.

 

[Smart320]

During my student summer holidays I worked in the stores - edit - parts department of a small franchised dealer.
One day the Little Old Lady came to the counter and asked for an indicator bulb for her Mini. I duly retrieved it from the stores - edit - parts inventory - aka Out Back.
Having taken payment and handing her the bulb, she asked if someone could fit it for her. So I did it in 5 mins FOC. What a bollocking I got from the owner when he found out and accused me of denying revenue to the workshop. The Sales Manager thought I had done a good deed for a loyal customer.
Ho Hum

Last year the driver’s side wiper blade of my wife’s RAV4 disintegrated while away in mid wales for a weekend. Of course as usual it was raining , so as we were passing a Toyota dealers we stopped and went in to see if I could buy a new set . Parts dept said no problem when I explained our problem , guy went into back and appeared with a £14 or so invoice for the parts which I paid . Then I asked where I collected the parts, oh no not needed, he said , just go back to your car , the blades have been fitted while still you were paying for them . Fantastic service and explains why my wife loves Toyotas

 

[Deleted member 159894]

Last year the driver’s side wiper blade of my wife’s RAV4 disintegrated while away in mid wales for a weekend. Of course as usual it was raining , so as we were passing a Toyota dealers we stopped and went in to see if I could buy a new set . Parts dept said no problem when I explained our problem , guy went into back and appeared with a £14 or so invoice for the parts which I paid . Then I asked where I collected the parts, oh no not needed, he said , just go back to your car , the blades have been fitted while still you were paying for them . Fantastic service and explains why my wife loves Toyotas

robbing bastards, you should have provided your own.

 

[Dryce]

My point is that it's not obvious to me that the gain from supplying your oil is equal to the difference between the oil price on eBay and the dealer's RRP for oil.

Ebay?

Costco used to be the reference for Mobil 1.

 

[markjay]

Ebay?

Costco used to be the reference for Mobil 1.

I used 'eBay' as a generic term for a source for low-cost oil.

 

[Spider10]

I supply my own oil for service to make sure they put the right oil in, not to save money as i buy it from MB
Too many c63s on here with the wrong oil used