Oil change pricing

[SMW]

We have had success with a $28.95 LOF for most models with a discount of 3.00 off on our reminder stickers, and any coupon mailers only get 3.00 off.
This is only done to show we are competitive on the most basic of services and to intice our customer to return to us instead of the low ball competition. Don' be fooled once the aftermarket boys get your lof customer you can bet they will work your customer for all the maint services they offer.
In summary if the customer already percieves we are overpriced on everything anyway,
But thier is no need to be the checpest on the block.

[Fixedopsmgr]

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[This message has been edited by Fixedopsmgr (edited 10-04-2006).]

[ThomasMoss]

We do a $14.95 oil change for most vehicles and if you call ahead and make an appointment its $9.95 - That is an oil filter and 5 quarts of our 5w30 bulk oil. anything past that is extra.
we just hope our lube guys look over the car and try to upsell alot.

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Ask!, you never know what you might get.

[Art_Mopar]

As I am now second guessing just about everything I learned over the last 24 years in this business I did a search for "Loss Leaders" and came across this post. The local guy's are in a price war that started @ $12.95 and is now up to $16.99 for an oil change. The local Valvoline Store closed about a year or so ago, and the local Goodyear Store closed on 6/30/08. I have never seen a Goodyear Store close up shop before. I've been on this roller coaster ride before but this dip seems to be a lot deeper than the last ones, and I am afraid we haven't hit bottom yet.

[This message has been edited by Art_Mopar (edited 07-09-2008).]

[sp7128]

We are 31.95 plus tax, no shop supplies charged, including carwash....4qt or 5qt same price...even our hybrid is 31.95 .....we are getting ready to change to 34.95 the 3 extra going to parts....People have to realize oil is going up and they are getting an OIL change...I move 1600 filters/month thru the shop including stand-alone oil changes and all services requiring an oil filter. I feel if your not breaking even why even do the oil change.

[This message has been edited by sp7128 (edited 07-10-2008).]

[GMFXDOPSMGR]

We are at $26.95 5at, $28.95 6qt, $30.88 7qt. Our owner wants to have low price LOF's, but with the increase in petro prices, owners are not complaining. We will be increasing each again by Sept. probably go up $2.00 going to parts. Our independents in town, Lube Express, chain stores are generally around $32 -$36 per oil change. We had a Goodyear shut down in the last 2 weeks also.
We just started our Express Lane (Chrysler) and have had some good numbers in the month we have been running it. Upsales have been better than when we ran a conventional LOF bay.

[RKing]

We are currently priced at $32.95 for a standard quart oil change. We average 70 per day in our 2 bay oil express as part of our express service in our GM dealership. i June 40.6% of these folks upgraded to a semi or full synthetic oil change. yes the mileage intervals have increased, but as topshop says, educate the customer that they have choices.

[rjmcparts]

We are around $32 with tax but we also wash vehicle and vaccum. Just 2 years ago we were $26 with tax. Everyone understands that oil has gone up. We are actually busier than ever on services.

[bsilcox]

Good Morning All:
Let me start by stating I am in a community of 150K population. We have a very diverse customer base from the high tech to the farmers. I have 4 Jiffy Lubes, 3 Grease Monkeys, 3 Rapid Lube, and 2 Performance Tunes which are basically oil change centers. The average price for just an oil change is $32.95 in the aftermarket. Occasionally they will run a loss leader at $19.95. I have decided to go in another direction. For the longest time we where at $39.99 for an oil change with a factory filter no matter the quantity of oil 5 to 7 qts and that how we priced it. This service included a pre-inspection of the vehicle, full tire rotation and a complete on the rack inspection during the oil change. We have now moved that price to $46.88 with the complete service. The same service for a Diesel is $88.88. Over the past 6 months, I have had issues with employees in the dealership that though that $46.88 for a Mini Maintenance Service was too high. So I went on a shopping spree, I sent several of the ladies that work for us out to the local lube centers we used a 1996 Ford Explorer 4/4 with a V8 engine. Heres what we found the average oil change in town was $61.91 to $73.89 with one shop that included an inspection at $108.00. I have published this information in my drive and now I have no issues with the employees in the dealership and I have never had issues with our customers. If you are going to charge a fair price, you must also back it up with the service. Walk and Talk the value of your oil change service as long as its not the same as the lube centers in your market area. I currently have 16 to 18 technicians working in my Quick Service Team. We offer a 49-minute or less full mini maintenance service with a car wash for the low price of $46.88 and diesel at $88.88.
I average a 1000 oil changes a month. In addition, as a second though we also push Full Synthetic Oil and my penetration is running over 44% in my store on full synthetic prices running from $59.99 to $74.00 on a gas model and $164.99 on a Diesel. Its all about the experience make it better that the competition.

Thanks for any feed-back!
Bob Silcox

[This message has been edited by bsilcox (edited 07-21-2008).]

[jazdale]

Excellent post, Bob!!