Date: Sat, 4 Sep 2010 16:08:25 -0700
Reply-To: Bruce Todd <beeceetee@GMAIL.COM>
Sender: Vanagon Mailing List <vanagon@gerry.vanagon.com>
From: Bruce Todd <beeceetee@GMAIL.COM>
Subject: Re: How much should parts cost?
In-Reply-To: <20100904140754.367DW.1704006.imail@eastrmwml35>
Content-Type: text/plain; charset=ISO-8859-1
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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