

| Subject: | Re: How much should parts cost? |
| From: | Bruce Todd |
| Date: | Sat, 4 Sep 2010 16:08:25 -0700 |
Thanks Dave I appreciate the response. This was a completely new shop and mechanic for me. I share a similar relationship with my regular mechanic related to buying parts which you note in your email. I chose this new shop purely out of convenience as my van is being restored and the rust repair shop is next door to a VW / Porsche mechanic. I think the work completed was done well and most likely with good quality parts. I am a moderatly skilled mechanic and typically choose the work I want to out of my shop based on my comfort level and tool limitations. The work I had done recently, although not complicated, would have been difficult and had the possibility of going sideways in a hurry due to the corrosion level of the components. The mechanic who took on the job told me it was a fight from the beginning to the end. So in some ways I feel satisfied that I decided to get the work done at a well equipped shop as it could of been very nasty for me. Certainly there are a variety of costs and quality to parts. There is also shipping, overhead and profit to consider. My overall spidey sense of the mechanic and shop were good and I have nothing bad to say - just wondering about what a reasonable mark-up might be. I don't want to insult the guy by questioning but at same time - I don't want to be a sucker. BT On Sat, Sep 4, 2010 at 11:07 AM, Dave Mcneely <mcneely4@cox.net> wrote: > Bruce, the most important thing is to have a good relationship with a shop, > so that you trust the pricing. I agree that the shop should make a profit > on its services and goods on the customer's behalf. I find that independent > shops are the best ones to deal with. > > I also understand what Daryl said about the parts paying the bills (and > also paying the shop owner -- who must be paid). But, that said, I am lucky > to have access to a shop whose owner is willing for me to buy the parts > myself, and he installs them at his standard labor rate. He must be able to > pay his bills and himself (one man shop) without the parts markup. What I > do is ask him what he will have to charge me for the part. If it is less > than I would pay elsewhere (sometimes it is), I buy it from him. If it is > more, and the part I can get is of equal or better quality, I may buy it > myself and take it to him. But I may not. My guy, likes most who will > accommodate in this way will include labor in the parts warranty if he > supplies the part, but not if I supply it, so that is a consideration, > especially if installing rebuilt parts such as an alternator. > > The trouble with the situation you mention, is that you don't really know > what the shop is paying for the parts or what the markup is, and so you > distrust the situation. MOST shops do not overcharge relative to their > cost, but they may not shop for the best price for the best part, either. > Usually, they have a supplier they deal with on a regular basis, with a > credit line, and they are reluctant to look elsewhere for a part, if that > supplier has the part. Even if you find a supplier that lists dealer > (wholesale) cost in their catalog or web page, that does not mean that your > mechanic pays that price for that part from the supplier he/she uses. The > shop may be paying more or less than that, even from that same supplier, or > from another one. Generally, a shop will charge you the same price the > shop's supplier would charge you (the retail price) if you bought the part > yourself from that supplier, so in that regard, it is a wash. > > Another consideration for me is that the shop is also providing the service > of sourcing and acquiring the part, and not just the part itself. It is like > concierge service at a hotel. Since I am unlikely to need parts on a > regular basis, I have to do some research and legwork when I do need a part. > The shop has all that down. > > A straightforward conversation with the shop owner might help, either your > bottom line or if not that, your understanding. > > David > > ---- Daryl Christensen <daryl@AATRANSAXLE.COM> wrote: > > 30% minimum is the lowest markup to stay in business. Some are up to 50% > or > > more these days. Always said to me that the labor pays the help and the > > parts pays the bills. > > > > Daryl of AA Transaxle > > 425-788-4070 > > "On the cutting edge of Old technology" > > 86 Syncro Westy with a Zetec in the trunk > > > > > > -----Original Message----- > > From: Vanagon Mailing List [mailto:vanagon@gerry.vanagon.com] On Behalf > Of > > Bruce Todd > > Sent: Saturday, September 04, 2010 10:12 AM > > To: vanagon@GERRY.VANAGON.COM > > Subject: How much should parts cost? > > > > This question goes out to all the working vanagon mechanics & shops out > > there...what would a reasonable and fair mark-up be on parts purchased by > > the shop for the client? I think I'm getting gouged on a few things but > > before I make a call to discuss I thought I would ask the list. > > > > I do understand that parts are a profit item for a shop...but what is > > typical? > > > > Thanks > > > > Bruce > > -- > David McNeely >
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