You have heard the phrase “Buy Low, Sell High” in regards to United States stock market on Wall Street. How about in reference to your auto repair parts margin? Just how important is pricing auto parts in the automotive repair business?
Buy Parts at the Right Price So You Can Protect Your Shop’s Parts Margin
When you buy a water pump for an auto repair job, for example, it may seem like it is a small expense. However, when you consistently forego the process of parts shopping, your parts margin can really get off balance.
When shopping, are you going with the cheapest part you can find online every time out? Those choices can come back to bite you as well! It literally pays off when you take the time in order to compare the parts available to you. In many instances, you may be able to a smaller price for the exact same part. Then you can mark them up for the repair job.
We are not suggesting that you price gouge your valued customers. When you take the time to look up parts, order them online, and inspect them upon receiving them, it is a job in itself. This is not to mention the cost of sending an employee out to O’Reilly or AutoZone in person for a rush job. Your time is worth money, and so is your employees’, so don’t sell yourself short! Parts margin may seem like a small piece of your overall financial picture, but it adds up quickly.
Ready For The Next Step? Book Your FREE Strategy Session!
Your auto repair shop lacks direction. Maybe your business plan has stalled out, and you aren’t meeting your goals. You need an experienced automotive industry coach to help you. Then why not schedule a FREE business strategy session with You Net Results guide Brian Gills? You’ve got nothing to lose, so sign up today!