DealersEdge Professional Forums

When selling an aftermarket mechanical part what markup do you guys use? We have been going with list price that the aftermarket supplier prints on the bill but that never jives with what is on there retail website and we have been called out a few times because of it. Thanks in advance for any input.

I mark mine up a minimum of 76% from cost.

Who's calling you out on it, the customer or an advisor? I've only had one customer call me out on it when they put the put number into google and saw it was a NAPA part. After that I told my counter guys to use the invoice number as the part number so if needed for warranty, I already have my invoice number on the CP RO.

However, I've had numerous run ins with multiple advisors who don't feel the price is right. I simply remind them that the customer already agreed to the price and they don't make up the pricing, I do and if there is a problem have the service manager come see me for help. It's always the same kind of advisor that if they would work with me, I'd work with them on occasions where needed. I also don't tell them where I got the part from and just let them know what, if any warranty there is.

always-learning wrote:I mark mine up a minimum of 76% from cost.

Who's calling you out on it, the customer or an advisor? I've only had one customer call me out on it when they put the put number into google and saw it was a NAPA part. After that I told my counter guys to use the invoice number as the part number so if needed for warranty, I already have my invoice number on the CP RO.

However, I've had numerous run ins with multiple advisors who don't feel the price is right. I simply remind them that the customer already agreed to the price and they don't make up the pricing, I do and if there is a problem have the service manager come see me for help. It's always the same kind of advisor that if they would work with me, I'd work with them on occasions where needed. I also don't tell them where I got the part from and just let them know what, if any warranty there is.

Excellent idea. Starting this today. The mark-ups will vary from dealer to dealer, but the part of this I like is using the invoice number as the part number. It would make life better if a problem comes up later on.

The list prices on the aftermarket receipts are an inflated price. That is not what the customer pays when they walk in the door unless they are giving the counterman a hard time then the price is changed to that. Most of the time that price is like 300% over cost.. What I do is mark up my cost by 1.67 and that is the price the customer pays..

Our standard aftermarket markup is cost+70% here.

DP says all internal parts must be marked up 41% gross profit. So we mark up all parts a minimum 41% gross profit which is different than marking up 41%.

We double the price until $200, then 40% markup after that. That tends to put them just under OEM.

Double it. However the RO's generally reflect a 40% markup. Cost is inflated, difference to 687.

We still run a matrix so we mark up cost 10% to 687 and then let the matrix decide the sale price from the new cost. I haven't had a problem with the part numbers yet. We use a two digit letter code at the beginning of the a/m part number depending on where we got it from, starting with AA. In rare occasions that we have the part on the shelf and the customer is questioning price I try to get my 10% 687 and the same dollar amount of gross on top of it that we would have made on the GM part.

I mark up most aftermarket parts the to the exact same profit we would have made on the factory part

Example - Calipers - Factory cost $125 - List $250. $125 profit

Aftermarket - Cost $80 -Sell $205 $125 profit

customer stills saves money