Oil change pricing

[sp7128]

"Its all about the experience, make it better that the competition."

EXACTLY!!!

[TheOne]

Hooray for Bob!!!

Pprice prostitution should be a crime!! $37.95 base oil change and traffic is climbing as fast as gross profits!!!!!!!

[MuDDy Thoughts]

How are your parts departments figuring the average quarts of oil per change? We have 5 car brands on our campus. Originally, let's say 5 years ago, I divided the number of quarts sold for a year into the number of transactions for a year. That gave me an average of quarts sold per car. I created a part number that represented that cost and quantity. Obviously by using that part number over the years I have lost the ability to redue that calculation and must rely on the shop foremans best guess at the average number of quarts used per car.

Thanks for any input!
MuDDy

[Stevenspeaking]

Use how much oil you purchased in the year. It may be off a little but should get you close enough.

[sp7128]

look at what your oil qoh was at beginning of july and how much you receipted for july vs what you sold...(actual units of oil).......say qoh at july 1 was 1000 you receipted 2500 and qoh at end of july was 500...you used 3000 units of oil.....now look at your part number for oil and see how many times you billed that number out in july.....divide 3000 by the number of times part number was billed.....that's what your avg units per part number should be costing/charging out per use.