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Walkin customers get better pricing than you when YOU'RE COMFORTABLE? :)


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I'm going through reciepts to double check profitability. I am stumbling across instances where I am finding Joe Blow off the street getting better prices than us spending $2k per week.

 

This is what i believe happens when a parts house knows "You're comfortable" like Ken was.

 

Over time, if someone is paid commission's on sale (not gp) it is the natural course of what happens. You're comfortable, it's convenient, it's a product of the system. My realtor will "negotiate" for me but how intensely? If I'm asking them to take a pay cut to make a lower offer how enthusiastic will they be? Not very. Product of the system.

 

On another example

I was quoted 3 prices today for gas tank straps on a '98 Tahoe. $130, $133 and $54. I did the extra calling because no place could get it for a week. I'm glad I am not to comfortable.

 

I'm not mad. It is what it is, they all do this and is not because I'm not just "doggedly loyal" to one vendor.

 

 

 

Sent from my SM-N900P using Tapatalk

 

 

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As long as the commercial parts store managers are on bonus and commission programs you'll see the price creep. It really irks me that the smiling sales guy isn't at all our friend. You really want to burn up type in the Dorman or Cardone part number on higher ticket items into google and see what online retailers are selling the same item for to anyone with a pulse. 

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We are trying to make a buck, customers are trying to save a buck.  Can't really blame anybody.

 

I laugh at "part quality" that some mention here.  Lets face it, there are a few major part manufactures around, everything else is just a label stuck on a different color box.

All part quality is sketchy.  Some praise the dealer parts, and while I agree they generally are better, there are still plenty of dealer parts that are garbage.  

 

I just try to buy the best part I can for the best price with the best warranty,  That is the best I can do.  

 

On a side note, I think it is funny that "business minded" people are in big support of Trump, who touts negotiating as being one his strong points.  Unfortunately, in the 2017 America, negotiating is lost trait.  We are accustomed to just paying what somebody is asking, because that is how we have been doing it forever.  I still negotiate part prices, insurance and even some utilities.  I have been paying $34.95 a month for my shop internet for 6  years.  Business plans start over $100 a month around here.  I negotiated to get on a residential plan because I know I am not using anywhere near the data as somebody streaming netflix 24/7.  Does saving $780.00 a year in internet fees make me rich?  No, but it sure helps and is a start.  

Then you have those who get sour grapes over a customer asking why something is costing so much... I hope anybody spending several hundred dollars on a service question why it is costing what you are charging.  I never get upset, I just explain, sell, repair, and move on.  

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  • 1 month later...

Hopefully I didn't make a mistake I had Mitchell prodemand and manager and it was costing me 260 a month I switch to the napa tracs management with prodemand for 169 a month to save money. I am a small shop and mostly deal with napa on parts since they are a block away and the other stores are 20 minutes away.

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  • Have you checked out Joe's Latest Blog?

         5 comments
      I recently spoke with a friend of mine who owns a large general repair shop in the Midwest. His father founded the business in 1975. He was telling me that although he’s busy, he’s also very frustrated. When I probed him more about his frustrations, he said that it’s hard to find qualified technicians. My friend employs four technicians and is looking to hire two more. I then asked him, “How long does a technician last working for you.” He looked puzzled and replied, “I never really thought about that, but I can tell that except for one tech, most technicians don’t last working for me longer than a few years.”
      Judging from personal experience as a shop owner and from what I know about the auto repair industry, I can tell you that other than a few exceptions, the turnover rate for technicians in our industry is too high. This makes me think, do we have a technician shortage or a retention problem? Have we done the best we can over the decades to provide great pay plans, benefits packages, great work environments, and the right culture to ensure that the techs we have stay with us?
      Finding and hiring qualified automotive technicians is not a new phenomenon. This problem has been around for as long as I can remember. While we do need to attract people to our industry and provide the necessary training and mentorship, we also need to focus on retention. Having a revolving door and needing to hire techs every few years or so costs your company money. Big money! And that revolving door may be a sign of an even bigger issue: poor leadership, and poor employee management skills.
      Here’s one more thing to consider, for the most part, technicians don’t leave one job to start a new career, they leave one shop as a technician to become a technician at another shop. The reasons why they leave can be debated, but there is one fact that we cannot deny, people don’t quit the company they work for, they usually leave because of the boss or manager they work for.
      Put yourselves in the shoes of your employees. Do you have a workplace that communicates, “We appreciate you and want you to stay!”
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