Wholesale Dilemma, Suggestions Anyone?

[Mike Nicholes]

Wholesale "can" be a good business, but a couple of comments and observations: 1. this is the lowest grossing part of your parts sales you have, 2. It is the most competitive, with some of, recently, the largest insurance agencies 'playing' us against each other; State Farm. 3. I have always taught and believed and observed in the wholesale business of many that are smarter than me that if a client, wholesale, returns more than 20% of annual purchases, you are better off without that client. Wholesale parts are, by definition, the most difficult to return and eat up what little return priveleges we have left from the avaricious manufacturers; therefore; put a policy in place, in writing and send it to all past wholesale customers; thanking them for their business but bringing to their attention the following change in policy: (Remember you can modify a policy that is in place, you can't put a policy in place to cover an incident needing it).
1. A 20% return fee for all wholesale.
2. No returns on broken packages, marked packages and parts you can't return.
3. No returns on painted parts, accessories, trim, chrome, etc.
4. No returns after 15 days. there are little if any conditions where the buyer won't know within 15 days if they will use it or not. Don't let the wholesale buyer, the independant body shops, game you with the payment of the insurance to the car owner; you should not be in that loop at all.

They may complain and raise the roof, but this is business and you are not their bank nor are you the 'backer' of their speculation habits

Mike Nicholes miknik@aol.com