GETTING GOOD SERVICE FROM A REPAIR SHOP

[stevel]

The post about the marine shop in Havasu got me thinking. We have owned a auto repair shop in so cal for 65 years so I have a little insight on trying to give good service. When I read the post two things caught my attention. The owner taken steps to remedy the problem and had already ordered parts before the problem was properly diagnosed. In my experience those two things are a red flag. A shop should always diagnose a problem before any parts are installed. Some times (not sure in this case) the owners do not want to pay for a diagnosis first and when the parts supplied by the customer does no fix the problem they almost always want a discount or credit of some kind. This is reasons #1 why i will not install customer supplied parts. Reason #2 is the profit of the parts is how i pay my bills Most shop run a 50 % parts labor split that means that half of there sales are parts (The parts labor split my be different in the marine industry ) A well run shop should make a gross profit of about 60% on parts and labor. Know some may thing that is a big profit margin but after all the over head is payed the owner will net about 20 to 25 % of the total sales. I am not asking for any one agree with me or change any ones ideas about trying to supply there own parts. But thing about this would you ever go to Roadrunner of Foxs and bring a cooler with beer in it even if you were buying food there or think in would be ok to order a coke then add your own alcohol trying to save a few bucks? The thing about not returning Phone calls. 100% wrong some times people forget we are in the service business Good service brings people back. There is a saying if you expect good service start off by being a good customer

 

[lbhsbz]

There is a saying if you expect good service start off by being a good customer

yes

 

[Bpracing1127]

My .02, your a service provider not a parts dealer. Why tack on a margin on parts that are already discounted through your suppliers. I understand a material overhead but a profit margin on top of that is wrong when your a service prodiver. Your money should be made through labor and not part sales.

Idk what your “shop rate” is but I would venture to say between 75-100 hr.

With that all being said my business that I work in does the same thing and I think it’s wrong too. The parts are the equalizer in the equation as everyone can buy the same part for the same money therefore the labor is the service part and that can depend on skill and customer service.

Not calling people back is bad practice in business and in life!

 

[Rvrluvr]

My .02, your a service provider not a parts dealer. Why tack on a margin on parts that are already discounted through your suppliers. I understand a material overhead but a profit margin on top of that is wrong when your a service prodiver. Your money should be made through labor and not part sales.

Idk what your “shop rate” is but I would venture to say between 75-100 hr.

With that all being said my business that I work in does the same thing and I think it’s wrong too. The parts are the equalizer in the equation as everyone can buy the same part for the same money therefore the labor is the service part and that can depend on skill and customer service.

Not calling people back is bad practice in business and in life!

How do you figure they shouldnt upcharge the parts? Thats just crazy talk. Auto shop buys parts at a discount then marks it up to make a profit. Its just how its done. They are in buisness to make $$. Not fix your shit cheap because you cant. You want cheap parts? Go buy em & install yourself....most people cant. So they pay the price. Me....I invested in my future by learning how to fix stuff. I rarely take any of my equipment to a shop. I spend all my time doing it and save the $$ as a result. If Its beyond my talent, I pay the price!!

You say they are a “service provider”. Well part of that service is getting the right part and installing it. Not installing the junk china shit the customer got from joe blow on the corner because it was cheap! Crazy talk I tell ya, just crazy!!

 

[Albert]

I usually try to calculate the time it will take and then decide if I want to dive in. Certain things I will do just to know how to do them and in case I get in a situation where the shops are too busy then I will tackle it. One thing for sure learn how to change your impeller. I know some are damn hard to get to. But Ive changed one out at the river and cont the family fun . Otherwise would of been “ok lets pack are shit and get going.”

 

[highvoltagehands]

The post about the marine shop in Havasu got me thinking. We have owned a auto repair shop in so cal for 65 years so I have a little insight on trying to give good service. When I read the post two things caught my attention. The owner taken steps to remedy the problem and had already ordered parts before the problem was properly diagnosed. In my experience those two things are a red flag. A shop should always diagnose a problem before any parts are installed. Some times (not sure in this case) the owners do not want to pay for a diagnosis first and when the parts supplied by the customer does no fix the problem they almost always want a discount or credit of some kind. This is reasons #1 why i will not install customer supplied parts. Reason #2 is the profit of the parts is how i pay my bills Most shop run a 50 % parts labor split that means that half of there sales are parts (The parts labor split my be different in the marine industry ) A well run shop should make a gross profit of about 60% on parts and labor. Know some may thing that is a big profit margin but after all the over head is payed the owner will net about 20 to 25 % of the total sales. I am not asking for any one agree with me or change any ones ideas about trying to supply there own parts. But thing about this would you ever go to Roadrunner of Foxs and bring a cooler with beer in it even if you were buying food there or think in would be ok to order a coke then add your own alcohol trying to save a few bucks? The thing about not returning Phone calls. 100% wrong some times people forget we are in the service business Good service brings people back. There is a saying if you expect good service start off by being a good customer

Well said Steve, I agree with most of post and Your markup fee seems reasonable and acceptable if the shop is ordering and paying for parts and shipping. Nor do I don't see a problem with customer taking care of order for OEM spec'd parts, coming from same ILMOR place. Especially when needing to be overnighted, I'd rather order & pay cost for them, rather than 25% markup fee. Then I can use the savings to offset the expedited delivery fees. And to answer your last question? Yes I would. just wouldn't ask bartender to mix it for for me. JK.
We do take nice bottles of craft beer or wine to bar/restaurants all the time and pay the Corkage fee so establishment still gets a cut.

 

[gmnhra]

Auto Repair, boat repair, etc. marking up parts.....that's called capitalism. Provide a service that diagnoses an issue, provide the parts and labor to fix the issue, and make a profit...
I found myself internally bitching at the contractor building a house for us up charging any and all sub-contracted work and then I realized, "how else is he going to make any money?".
If I don't want to pay the upcharge for auto parts....grab a tool box, go to the auto parts store and have at it
If I don't want to pay an up charge for sub contractors....head to the lumber yard and start swinging a hammer...

Fair price, timely work, good communications= good business

 

[highvoltagehands]

"A fair day, for fair pay"

 

[red ant]

The shop gets their parts at wholesale or jobber cost. Shop then charges the customer retail price. This helps cover running the shop. Do you think a contractor charges you the price he pays for lumber? Sometimes parts fail. The parts warranty usually only covers the part not the labor. Shop is eating the labor for the replacement of the bad part. OEM parts from a dealer do not have a great mark up many times. Sometimes the shop is only getting 30-40 percent discount. With more and more parts being made in China and Mexico, there are more part failures.

 

[Riverbound]

My .02, your a service provider not a parts dealer. Why tack on a margin on parts that are already discounted through your suppliers. I understand a material overhead but a profit margin on top of that is wrong when your a service prodiver. Your money should be made through labor and not part sales.

Idk what your “shop rate” is but I would venture to say between 75-100 hr.

With that all being said my business that I work in does the same thing and I think it’s wrong too. The parts are the equalizer in the equation as everyone can buy the same part for the same money therefore the labor is the service part and that can depend on skill and customer service.

Not calling people back is bad practice in business and in life!

So what is it you do for a living? And if you get paid to do your job isn’t if hypocritical to expect someone else to go to work for free?

It makes me laugh when I’m in someone’s home and they are complaining about my pricing and telling me what I should be charging them. As I’m looking around at a mil+ home high end cars in the driveway a pool etc etc. I politely ask then how they can afford all of this stuff if they go to work for free? It usually puts it in to perspective that it’s a business not a charity.

https://getyarn.io/yarn-clip/210dacc9-dae2-43c8-bf90-ca01cbcdd008


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[JD D05]

I have no issue with a shop making money on parts. There have been situations occasionally when I can get parts the shop can't or for a way better price and they were fine with it. The one time I had an issue was asking a fabricator to install a set of traction bars that came off a Dodge and onto a Ford. Before it started I showed them to him asked if it was possible...he said yes. A week later I get a call and he is pissed, I said if you can't fabricate it to fit I will come get the truck. He said no it's fine and it was fine and they looked great.

98% of the time I have no interest in tracking my own parts down etc, I want to drop it off and pick it up and pay the price quoted.

 

[LASINC]

The post about the marine shop in Havasu got me thinking. We have owned a auto repair shop in so cal for 65 years so I have a little insight on trying to give good service. When I read the post two things caught my attention. The owner taken steps to remedy the problem and had already ordered parts before the problem was properly diagnosed. In my experience those two things are a red flag. A shop should always diagnose a problem before any parts are installed. Some times (not sure in this case) the owners do not want to pay for a diagnosis first and when the parts supplied by the customer does no fix the problem they almost always want a discount or credit of some kind. This is reasons #1 why i will not install customer supplied parts. Reason #2 is the profit of the parts is how i pay my bills Most shop run a 50 % parts labor split that means that half of there sales are parts (The parts labor split my be different in the marine industry ) A well run shop should make a gross profit of about 60% on parts and labor. Know some may thing that is a big profit margin but after all the over head is payed the owner will net about 20 to 25 % of the total sales. I am not asking for any one agree with me or change any ones ideas about trying to supply there own parts. But thing about this would you ever go to Roadrunner of Foxs and bring a cooler with beer in it even if you were buying food there or think in would be ok to order a coke then add your own alcohol trying to save a few bucks? The thing about not returning Phone calls. 100% wrong some times people forget we are in the service business Good service brings people back. There is a saying if you expect good service start off by being a good customer

Damn.......I've been in the Auto Body Shop business for over 15 years and at maximum we would see a 38% Gross Profit, but on the average it would be about 32%. After everythings said and done we would Net Profit between 15-20%. I still think I'm in the wrong business. Lol

All in all I agree with you 100%. People are in business to make money. To the person who thinks we should work for free and not mark up parts.....I will ask this....I have to pay for the employee to call and order those parts, then the phone bill for which they called from, then shipping, then I have to pay my receptionist to sign the package and figure out who it belongs too. The part doesn't order itself and I still have all that overhead I have to pay for. So in short, every business owner has a right to increase the cost of the part......its just a matter of how much the increase it. I'm all for businesses like ours to make money when I use others services......all I ask is don't rape me over the marked up price. LMAO. Just my .02

 

[Bpracing1127]

You guys have it all wrong! I never said work for free! I said don’t markup parts except for material overhead (which covers things like ordering parts, shelf space, shipping and receiving ect, by putting a profit margin on those parts on top of overhead is what gripes me. You make your profit on labor and not material. I have nothing wrong with a 30-40 % gross profit. But put it on the labor side and not both!

Btw I still use mechanics and what not because I can even though I know this is how they work



I am materials manager for a sub contracting company making aerospace products.

So what is it you do for a living? And if you get paid to do your job isn’t if hypocritical to expect someone else to go to work for free?

It makes me laugh when I’m in someone’s home and they are complaining about my pricing and telling me what I should be charging them. As I’m looking around at a mil+ home high end cars in the driveway a pool etc etc. I politely ask then how they can afford all of this stuff if they go to work for free? It usually puts it in to perspective that it’s a business not a charity.

https://getyarn.io/yarn-clip/210dacc9-dae2-43c8-bf90-ca01cbcdd008


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[Bpracing1127]

I guess I think differently then most and I don’t like the fact I feel like I am being taken advatange of sometimes but it’s life right.

Cheers

 

[Riverbound]

You guys have it all wrong! I never said work for free! I said don’t markup parts except for material overhead (which covers things like ordering parts, shelf space, shipping and receiving ect, by putting a profit margin on those parts on top of overhead is what gripes me. You make your profit on labor and not material. I have nothing wrong with a 30-40 % gross profit. But put it on the labor side and not both!

.

So work for free when it comes to parts that you must have and supply to your customer to do your job.....noted.

Sounds legit. I assume you get paid to go to work? You don’t ever tell your employer that you cost them too much and you are willing to not get paid for all the work you do? If your boss started paying you 80% of your income because he feels you shouldn’t be making 100% you would be ok with that??






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[Albert]

When a customer says “thats expensive” I always reply compared to what?

 

[Riverbound]

I guess I think differently then most and I don’t like the fact I feel like I am being taken advatange of sometimes but it’s life right.

Cheers

Not at all. You have the choice to go to learn the trade, buy all the tools necessary, as well as source the parts for you to do the work yourself. It’s not being taken advantage of if you make the choice to hire a professional instead of doing it yourself. Nobody is holding a gun to your head saying you have to do it. But to critique one business when you go to work for profit is hypocritical.


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[LASINC]

To get more technical......We don't mark up the price anymore than you would find it for retail. We get 20% discount from our vendors and the customer is charged the retail price. Our profit margin is from the discount that we get. Since we use them exclusively and we know that if a problem occurs, then will warranty the part or replace it. The only other time we "mark-up" prices is from our wholesale account and we only mark it up 25%. That's still not a huge mark up because as I said .....theres a difference of marking the price up versus raping the customer of 100% increase or something to that nature.

In all......everyone has their own opinion of how to run their business and how much they charge. We on the other hand, get our business rates dictated by the insurance companies and Bureau of Auto Repair........and in order to keep our doors open and maintain our business relationships.........we agree to the lower than normal rates and make up for it in the discounts we get from our business partners.

Just my .02 .......... Cheers.

 

[SBMech]

Do you bitch about the store buying milk for $2 and selling it to you for $5? How about when your Doctor charges you $5 for a .30c bandaid?

There are multiple costs for most service industries that most never see, insurance, many many license and permit fees, shit you have to have a permit to run an air compressor for fucks sake! Not even mentioning the cost of employees if you have them....

Do it yourself, or pay for skill. I did not spend 30 years learning how to fix automobiles, investing 300k in tools and keeping up with current tech to just give it away.

Yes, everyone hates paying for diagnosis, but that is all you have to sell in most industries, your knowledge. Most people who are handy with a wrench could muddle their way through most repairs, if they had the special tools, and training to use them.

The part you pay for is for me to get the proper diagnosis, without just throwing parts at it till you run out of money or patience.

BTW, no one gets more than 20% discount from a dealer on parts.

 

[Bpracing1127]

So work for free when it comes to parts that you must have and supply to your customer to do your job.....noted.

Sounds legit. I assume you get paid to go to work? You don’t ever tell your employer that you cost them too much and you are willing to not get paid for all the work you do? If your boss started paying you 80% of your income because he feels you shouldn’t be making 100% you would be ok with that??






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I don’t know where your getting working for free from. I have not said that once. When we order parts, the cable assembly has a material overhead built in to cover exspenses like me. We do not charge a profit margin on the parts our profit margin is off the labor provided to the customer.

For example
Part cost $100
The material cost the customer $105 (material plus overhead)
Labor cost $250
Labor cost to customer $350
(Labor overhead plus profit margin)

****these are fake numbers and do not reflect actual numbers*****

So what I am saying is material should have a profit tacked on only the labor should.

Again, not free and making a nice gross margin is awesome!

I too am in the wrong business!

 

[Runs2rch]

I do a ton of work for friends and family and don't mark up parts. The downside now is the internet. At any moment a customer can lookup a part and see why are you charging me 200 for an alternator I can have shipped to my house for 115?

Having suppliers where you can buy the part for less than 115 then you can make some money on that part. Some parts I have deep pricing on and some there just isn't any room. Main reason why I don't like doing oil changes unless accompanied by another repair. Just not any money to be made. Gouging on parts is the issue I have. Worked for a shop where they charged 64% markup. That's ridiculous.

 

[Bpracing1127]

To get more technical......We don't mark up the price anymore than you would find it for retail. We get 20% discount from our vendors and the customer is charged the retail price. Our profit margin is from the discount that we get. Since we use them exclusively and we know that if a problem occurs, then will warranty the part or replace it. The only other time we "mark-up" prices is from our wholesale account and we only mark it up 25%. That's still not a huge mark up because as I said .....theres a difference of marking the price up versus raping the customer of 100% increase or something to that nature.

In all......everyone has their own opinion of how to run their business and how much they charge. We on the other hand, get our business rates dictated by the insurance companies and Bureau of Auto Repair........and in order to keep our doors open and maintain our business relationships.........we agree to the lower than normal rates and make up for it in the discounts we get from our business partners.

Just my .02 .......... Cheers.

That is what I was thinking you were doing but wasn’t sure. I guess I should have asked. Doing that is ok in my book too. Basically that is your overhead % you need to cover the cost of ordering parts ect.

I am not ok with a part costing you (or service provider )$5 and charging me $100 for said parts

I understand this happens all the time and I know there isn’t anything I can do about it

“The milk at the grocery store is a different model” they sell parts or goods. There isn’t service involved. I would hope they make a profit on selling me milk

The doctor well...... too much to type

 

[hallett21]

I guess I think differently then most and I don’t like the fact I feel like I am being taken advatange of sometimes but it’s life right.

Cheers

You’re not being taken advantage of.

You have the choice of buying parts, necessary tools, manuals and doing the work yourself.

Or you’re paying a shop (mechanic, electrician, hvac tech, etc) to perform a task. You should always be given an estimate upfront before work is started. And if any issues come up mid way through the work you need to authorize the additional change.

It’s all pretty cut and dry.

Curious let’s say you brought in the parts at your cost. And a part failed or was incomplete would you be ok with the stop watch starting and the shop charging you labor for the down time?


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[Bpracing1127]

I do a ton of work for friends and family and don't mark up parts. The downside now is the internet. At any moment a customer can lookup a part and see why are you charging me 200 for an alternator I can have shipped to my house for 115?

Having suppliers where you can buy the part for less than 115 then you can make some money on that part. Some parts I have deep pricing on and some there just isn't any room. Main reason why I don't like doing oil changes unless accompanied by another repair. Just not any money to be made. Gouging on parts is the issue I have. Worked for a shop where they charged 64% markup. That's ridiculous.

That is what I am saying!

 

[SBMech]

In all......everyone has their own opinion of how to run their business and how much they charge. We on the other hand, get our business rates dictated by the insurance companies and Bureau of Auto Repair........and in order to keep our doors open and maintain our business relationships.........we agree to the lower than normal rates and make up for it in the discounts we get from our business partners.

What state do you work in that the BAR dictates your rates?

In CA they oversee auto repair for fraud etc, but they have no control over what you can charge for labor, or markup on parts.

If you can get someone to pay it, you can charge whatever you like, even over retail.

My local Toyota dealer sells parts for 30% more than the next closest one in Ventura. Toyota does not give a fuck.

 

[Bpracing1127]

You’re not being taken advantage of.

You have the choice of buying parts, necessary tools, manuals and doing the work yourself.

Or you’re paying a shop (mechanic, electrician, hvac tech, etc) to perform a task. You should always be given an estimate upfront before work is started. And if any issues come up mid way through the work you need to authorize the additional change.

It’s all pretty cut and dry.

Curious let’s say you brought in the parts at your cost. And a part failed or was incomplete would you be ok with the stop watch starting and the shop charging you labor for the down time?


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Yes that was my risk! And to note I wouldn’t give the shop my parts. I would expect them to do a turn key job just not rape me on parts that’s is all

 

[SBMech]

Yes that was my risk! And to note I wouldn’t give the shop my parts. I would expect them to do a turn key job just not rape me on parts that’s is all

It's not rape. It is to cover the price of having to repair your vehicle for free if the part I install fails.

That is the main reason I do not let people provide their own parts, they buy cheap shit off the internet and get pissed when it either does not work at all, or fails in a very short period of time. They still have to pay for all labor involved.

You can either afford quality and excellent service, or you can take your chances elsewhere. There are hundreds of repair shops, you can try to put them out of business with your "discount off parts" but it will not be me.

 

[LASINC]

What state do you work in that the BAR dictates your rates?

In CA they oversee auto repair for fraud etc, but they have no control over what you can charge for labor, or markup on parts.

If you can get someone to pay it, you can charge whatever you like, even over retail.

My local Toyota dealer sells parts for 30% more than the next closest one in Ventura. Toyota does not give a fuck.

I'm in Cali. We were audited a few years back and the BAR tried to nail us on the discounts we gave the customers and argue that our rates were higher than normal. Me being a General Manager along with my Corporate Team fought it and won. We had 8 stores and the BAR were trying to go after all our stores. Long story short.....they can only audit fraudulent repairs of what was charged compared to what was put on the actual vehicle. They cannot dictate any discounts or pricing. They tried to get money from us.....but they failed. LMAO.

 

[Runs2rch]

It's not rape. It is to cover the price of having to repair your vehicle for free if the part I install fails.

That is the main reason I do not let people provide their own parts, they buy cheap shit off the internet and get pissed when it either does not work at all, or fails in a very short period of time. They still have to pay for all labor involved.

You can either afford quality and excellent service, or you can take your chances elsewhere. There are hundreds of repair shops, you can try to put them out of business with your "discount off parts" but it will not be me.

That's the other thing. I know what parts work. No cheap crap will get installed. Parts are warrantied labor is not unless the work performed is why the part failed. Happens all the time at shops where more than one tech are working on a vehicle. The shit I have caught when I worked at dealerships was priceless.

At Ford 6 plugs only on every 4.6/5.4 always. Had to watch those asshat techs.

 

[Bobby V]

Yes that was my risk! And to note I wouldn’t give the shop my parts. I would expect them to do a turn key job just not rape me on parts that’s is all

Just curious. When you had the new side mount shifter installed on your boat did you supply the parts? If not did the shop give you a fair price. Its easy to check the prices on Hardins website to compare.

 

[Bpracing1127]

Just curious. When you had the new side mount shifter installed on your boat did you supply the parts? If not did the shop give you a fair price. Its easy to check the prices on Hardins website to compare.

Actually I did supply the parts as my mechanic wanted to charge me 200 more than I could get it for. I had it shipped directly to him and he said I can’t warrenty the part but only the labor , I agreed to this. The part is covered under Hardin’s warranty if something should go wrong. However I didn’t supply the new cables.

 

[Mr. C]

Do it yourself, or pay for skill. I did not spend 30 years learning how to fix automobiles, investing 300k in tools and keeping up with current tech to just give it away.

Yes, everyone hates paying for diagnosis, but that is all you have to sell in most industries, your knowledge. Most people who are handy with a wrench could muddle their way through most repairs, if they had the special tools, and training to use them.

Starting to more and more on my own. Stuff I can't i pay for a skill (isn't that the labor cost)?? I have zero issue paying for i diagnosis. I do have an issue though when i feel like I'm being raped up the ass with no lube on being charged twice as much as i can get the same part for. just sayin'

 

[Bobby V]

Actually I did supply the parts as my mechanic wanted to charge me 200 more than I could get it for. I had it shipped directly to him and he said I can’t warrenty the part but only the labor , I agreed to this. The part is covered under Hardin’s warranty if something should go wrong. However I didn’t supply the new cables.

Just checked. $600 for the side shifter from Hardin.

 

[Bpracing1127]

Correct that is what I paid. Plus shipping.

 

[hallett21]

Do you guys tell bartenders what you can get a handle of Tito’s for at Bevmo too?


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[hav19]

One thing I can't stand is when customers that state that you “ripped them off'” - Hello, even if you charged $150 for a simple full service oil change on a Ford Escort, if the price was agreed on by all party's involved beforehand and the service was performed and completed properly, the $150 was collected, NO ONE GOT RIPPED OFF! The Agreed price for the agreed service was performed, just because later you find someone that will do 'supposedly' the same service for less money doesn't mean you got ripped off, it simply means someone down the street will 'supposedly' do it for less money!

 

[bowtiejunkie]

Unless you make an agreement with the shop or contractor, the whole bring your own parts is a pretty standard NO GO. Car dealer service departments don't do it for sure, nor would most any larger shop (name your industry). Certainly there are situations where the BYOP works when it's a small shop or independent contractor, but generally not the rule in my experience.

I'm pretty handy at just about everything. I typically do maintenance and repairs on home/car/boat/appliances, etc. I only buy OEM or quality aftermarket parts, unless said parts don't exist. I source OEM parts from reputable online sources or buy at a local dealer (auto/marine, etc.) and have a good handle on prices.

But, if there's something I can't do I hire an expert or hand carry a specific item (say transmission) for rebuild/repair. I research the pricing (parts/labor) beforehand that way I'm a good customer and don't sit there a bitch about the costs. I'm perfectly OK with having to pay retail for the quality parts (what the shop/contractor pays doesn't matter to me). I'm OK with the agreed upon labor rate, plus travel time for tech to fetch parts (such as a a home HVAC repair). They have the tools the knowledge, and speed to get the job done.

A local Honda dealer wanted 27% over LIST Price for OEM parts they were going to sell me for the timing belt replacement on our 2010 Accord V6 (they were doing warranty work comprised of piston ring replacement, so the timing belt service was going to be WAY cheaper labor-wise than normally). I voiced my opinion that I've never paid over List price at any Honda or other auto Mfg. parts department. They dropped the part prices to LIST and I agreed to the service.

 

[LASINC]

Do you guys tell bartenders what you can get a handle of Tito’s for at Bevmo too?


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I don't for Titos...but I do for Grey Goose. LMAO. Jk.

 

[dribble]

Yes that was my risk! And to note I wouldn’t give the shop my parts. I would expect them to do a turn key job just not rape me on parts that’s is all

One thing not said is that when a part fails the shop eats the labor to change it out again. Me I'm a cheap ass so I buy my parts as cheaply as I can but after being in the auto repair business for the first 12 years of my career and with the Bureau of Automotive Repair for the last 30, I can tell you that there are three kinds of customers. The ones who make your job easy and are always a pleasure to deal with. The middle of the road people and the ones that cost you money every time they come in. You do them the most favors and they bitch the loudest. I always told new shop owners that the most important thing they can learn is when to fire their customer.

 

[TPC]

To add some spin the this thread:
“Loose your head and your ass soon follows.”

Just being cool and appreciative at Parker Yamaha, the Chevy dealer and a few other spots service depts has really paid off.
“Fix this POS you sold me today you bald headed fuck” puts your work ticket at the bottom of the stack. Yeah, we really heard a customer scream that at the Ford dealer in Havasu

Always try returning and explain your issue and give them a good chance or two to remedy it. Or three or four.

Took 4 radiators to get it right in our 2500 and the dealer ate the labor every time. It’s a MFSOB job BTW.

If this is all we have to bitch about we’re all golden.

BTW:
We were at brake masters this AM and a customer was unhappy but kept a cool head with the job they did.
Brake Masters refunded his money and re did the job free.

 

[stevel]

My .02, your a service provider not a parts dealer. Why tack on a margin on parts that are already discounted through your suppliers. I understand a material overhead but a profit margin on top of that is wrong when your a service prodiver. Your money should be made through labor and not part sales.

Idk what your “shop rate” is but I would venture to say between 75-100 hr.

With that all being said my business that I work in does the same thing and I think it’s wrong too. The parts are the equalizer in the equation as everyone can buy the same part for the same money therefore the labor is the service part and that can depend on skill and customer service.

Not calling people back is bad practice in business and in life!

Hello, I think you would be very shocked at the amount of money it takes every day just to open my doors. I ran some numbers and if i just sold labor and i could bill for every hour i am paying my guys my labor rate would be right at 200 per hour. As i type this it seems like a big number. But that is what is. I am not sure that list or retail prices really mean anything. If you thing about it it is just one company telling people what they think it should sell for. It does not take into account what it cost me to sell it to my customer.
And you are 100% correct not calling customers back is total bull
Your guess on my shop rate was a little low we are 115.25 per hour.

 

[Mandelon]

My daughter's 2004 325i didn't want to start the other day. The fuel pump is under warranty (SULEV). So I had the vehicle taken to the dealer. They say the fail to start code indicated the car needed a new oil pressure sensor.

$175 for the diagnosis. OK, I agreed to that. No problem.

They give me a quote for $935.00

Wow, that seems steep. I go online and find the part for $16.00 or so. Amazon sends it over in a day or two and it takes me a half hour to install.

That's a hell of a parts markup!

 

[Bpracing1127]

My daughter's 2004 325i didn't want to start the other day. The fuel pump is under warranty (SULEV). So I had the vehicle taken to the dealer. They say the fail to start code indicated the car needed a new oil pressure sensor.

$175 for the diagnosis. OK, I agreed to that. No problem.

They give me a quote for $935.00

Wow, that seems steep. I go online and find the part for $16.00 or so. Amazon sends it over in a day or two and it takes me a half hour to install.

That's a hell of a parts markup!

Yep !

 

[SBMech]

My daughter's 2004 325i didn't want to start the other day. The fuel pump is under warranty (SULEV). So I had the vehicle taken to the dealer. They say the fail to start code indicated the car needed a new oil pressure sensor.

$175 for the diagnosis. OK, I agreed to that. No problem.

They give me a quote for $935.00

Wow, that seems steep. I go online and find the part for $16.00 or so. Amazon sends it over in a day or two and it takes me a half hour to install.

That's a hell of a parts markup!

You have to remember that they do not set pricing, they get it from BMW. The dealer mark up is roughly 45% give or take.

You sure you bought a real BMW part? Even from a jobber warehouse, there is not that much mark up for factory parts.

I am sure there was some labor in there as well.

There is a difference as well from the actual manufacturer, lets say your sensor was made by VDO. If you bought that sensor from them, with the BMW logo on it, it is a certain price. Buying the same sensor, from a VDO supplier, without the logo, the part is probably half that.

Lots of cross references to follow, but the bottom line is that parts made for BMW, Mercedes etc have a pricing matrix to follow.

 

[hav19]

I'm thinking the writer was quoting the whole job including the fuel pump that was under warranty OR simply screwed up? All Data Labor Guide and OE Parts Costs as follows (please note: this parts price is cost and has no mark ups involved)

2004 BMW 325i Sedan (E46)
L6-2.5L (M54)
Parts Information OEM Part Price



Oil Pressure Sending Unit
Oil Pressure Switch 12617568480 $11.93


Labor Information Skill Level Mfg. Warranty Standard
Replace
323, 325 B 0.5 0.6

 

[Ziggy]

To get more technical......We don't mark up the price anymore than you would find it for retail. We get 20% discount from our vendors and the customer is charged the retail price. Our profit margin is from the discount that we get. Since we use them exclusively and we know that if a problem occurs, then will warranty the part or replace it. The only other time we "mark-up" prices is from our wholesale account and we only mark it up 25%. That's still not a huge mark up because as I said .....theres a difference of marking the price up versus raping the customer of 100% increase or something to that nature.

In all......everyone has their own opinion of how to run their business and how much they charge. We on the other hand, get our business rates dictated by the insurance companies and Bureau of Auto Repair........and in order to keep our doors open and maintain our business relationships.........we agree to the lower than normal rates and make up for it in the discounts we get from our business partners.

Just my .02 .......... Cheers.

That happened a lot. Customers could buy the exact OEM parts from my dealership cheaper than what the Independent shop was charging them, who got them from us.

 

[Ziggy]

You have to remember that they do not set pricing, they get it from BMW. The dealer mark up is roughly 45% give or take.

You sure you bought a real BMW part? Even from a jobber warehouse, there is not that much mark up for factory parts.

I am sure there was some labor in there as well.

There is a difference as well from the actual manufacturer, lets say your sensor was made by VDO. If you bought that sensor from them, with the BMW logo on it, it is a certain price. Buying the same sensor, from a VDO supplier, without the logo, the part is probably half that.

Lots of cross references to follow, but the bottom line is that parts made for BMW, Mercedes etc have a pricing matrix to follow.

Yes oem has suggested list pricing, equals the playing field amoungst the dealer network. However, that makes it hard if not nearly impossible to compete with aftermarket parts pricing. Quality aside, many will say I can replace it 5 times for same price or maybe the part will last longer than expected and they win.
With some aftermarket parts made by same supplier for oem, they were considered slightly below manufacturers specs and not accepted as OEM parts but perfectly suited and functional for general consumption on the open market.

 

[Ziggy]

I'm thinking the writer was quoting the whole job including the fuel pump that was under warranty OR simply screwed up? All Data Labor Guide and OE Parts Costs as follows (please note: this parts price is cost and has no mark ups involved)

2004 BMW 325i Sedan (E46)
L6-2.5L (M54)
Parts Information OEM Part Price



Oil Pressure Sending Unit
Oil Pressure Switch 12617568480 $11.93


Labor Information Skill Level Mfg. Warranty Standard
Replace
323, 325 B 0.5 0.6

You're giving me flashback nightmares of coding warranty claims

 

[BONER]

The post about the marine shop in Havasu got me thinking. We have owned a auto repair shop in so cal for 65 years so I have a little insight on trying to give good service. When I read the post two things caught my attention. The owner taken steps to remedy the problem and had already ordered parts before the problem was properly diagnosed. In my experience those two things are a red flag. A shop should always diagnose a problem before any parts are installed. Some times (not sure in this case) the owners do not want to pay for a diagnosis first and when the parts supplied by the customer does no fix the problem they almost always want a discount or credit of some kind. This is reasons #1 why i will not install customer supplied parts. Reason #2 is the profit of the parts is how i pay my bills Most shop run a 50 % parts labor split that means that half of there sales are parts (The parts labor split my be different in the marine industry ) A well run shop should make a gross profit of about 60% on parts and labor. Know some may thing that is a big profit margin but after all the over head is payed the owner will net about 20 to 25 % of the total sales. I am not asking for any one agree with me or change any ones ideas about trying to supply there own parts. But thing about this would you ever go to Roadrunner of Foxs and bring a cooler with beer in it even if you were buying food there or think in would be ok to order a coke then add your own alcohol trying to save a few bucks? The thing about not returning Phone calls. 100% wrong some times people forget we are in the service business Good service brings people back. There is a saying if you expect good service start off by being a good customer

Spot on. I wrote Service for a long time. Dealerships and Independent Shops.

 

[Rvrluvr]

So what is it you do for a living? And if you get paid to do your job isn’t if hypocritical to expect someone else to go to work for free?

It makes me laugh when I’m in someone’s home and they are complaining about my pricing and telling me what I should be charging them. As I’m looking around at a mil+ home high end cars in the driveway a pool etc etc. I politely ask then how they can afford all of this stuff if they go to work for free? It usually puts it in to perspective that it’s a business not a charity.

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