Co-Op credits...service dept

[cain12]

A portion of the $$$ obviously given to advertising such as billboards, the yellow pages, etc come from service/parts department. When we get our Co-Op money back from GM, it's all credited to the sales end. My service manager doesn't think that's fair and he should get a portion back, even though he obviously pays a minimal amount towards it. Anyways, he has a point but do any other stores do that? We certainly haven't in all the years we have been in business. Any answers appreciated!

Thanks

[MRBUICK]

50% for parts and 50% for service none for
the sales end. Its credited to 65F & 65D

[texaslp]

Our P/S coop money goes to P/S. However it's such a small amount it wouldn't be worth fighting over .

[OLDPARTSGUY]

Parts pays a piece of the advertising and also creates the $$$. All credits go to parts in my store.

[scotstrong]

According to the GM standard accounting manual, it should get credited to parts or parts and service.

[cain12]

wow...but doesn't sales generate the co-op money with their vehicle sales? Why would that go to the back end (just playing devils advocate here)

[texaslp]

Sales generates sales coop $$.

Parts and service generate their own coop $$.

Two different things.

[cain12]

okay but on the sales end we are talking thousands in credits and in parts/service we are talking $100 or less?

What type of credit $ are you getting back for parts and service, using % compared to sales if you want-we are all different size stores...

[texaslp]

Are you asking if P&S should get some portion of the coop money generated by the sales department?

[cain12]

yes....but I suppose of course the answer is no. Having said that, like my last question though-are we talking thousands in sales Co-Op credits vs the low $100's for service-parts?