Date: Fri, 18 Apr 2003 20:18:07 -0400 From: "Nutmegger" <nutmegger_7717nopsamo.com> Subject: Re: Replacing NG fog light?
"'nuther Bob" wrote::: > >> Service makes most > >> of its money on the "standard" items like oil changes, xMiles service, > >> things like that. > > > >Are/were you in the business? > > > > An associate of mine was a general manager at a dealership. I see. Funny, how I've heard the opposite, and I've heard it from a trusted source so I always believed it. >His story > was that service was not very profitable in the "unknown" category or > when they had to fix something on an older car (that's one where any > fastener might be stuck). Hmmm, now see I'd was led to believe otherwise, because when it is "unknown" it requires more time to troubleshoot the problem and the customer is getting charged by the hour. >They made good money on the routine services > at low miles when there was little work and maximum profit (can you > say "$500 35K service :-). I can say...no matter what - everytime I bring my car in it seems like the bill is $400 or more. :-) >Warranty work was a wash. Serious work > required upper level mechanics who made "real money" and was not all > that profitable. Doesn't most of it depend on the techs, really? I mean when they get paid flat rate, and are experienced at their job their turn around time is quick, which frees them up for more work, which brings in more money for the service Dept. >Parts was the best with a straight 100% markup for > retail and little stock required (since most everything is available > via UPS in a day). Well, he may be comparing the salary expense verses the profit, which in my opinion can't really be comparable.
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