service warranty contracts

[gmsubparts]

Quote a job with a "warranty contract" and they come back with "we can buy those parts for $xxx so we will just send them to you. They told our service writer how much they can get the "oem" parts for which is our cost from gm
Any of you reject contract companies that tell you what to do?

We didnt sell the contract.

[Richard]

If it was up to me, they would pay the tow bill and the teardown to take it elsewhere, but the service manager here lays down and lets them do whatever. Now your customer has aeither a used part or a POS aftermarket part and they think they got a factory item. i call bs

[SirRon]

I believe that we should do what my dentist does. Insurance pays X amount, after that the patient picks up the rest. It is not our fault the customer didn't research extended warranties. As far as I have seen, every manufacturer sells an extended warranty. It does cost a little more but it is worth it in my opinion.

[TimK]

I believe that we should do what my dentist does. Insurance pays X amount, after that the patient picks up the rest.

I agree with this and push for them do do it consistently but my service department is weak and can't see the forest for the trees.

As long as they get their labor $$ they are happy.

[DMSOUTH]

We charge $50 handling for small parts and $100 for engines and transmissions....

[Denise Trimble]

We make the customer aware of the warranty company's terms, and let them choose to pay the difference or let the warranty company send the parts. But if they choose the latter, they are also aware those parts have zero warranty and zero labor coverage by our dealership. Most choose to pay the difference for the extra quality.

[WhoParted]

We also charge a handling fee per part that these companies ship to us. $50 for small parts and $100 for engine/trans/xfer case/diff. same as stated above.

[PartsJD]

We first try to price match what them shipping us the part would cost them (cost + shipping + handling).
If they still want to ship us a part then we charge a 10% (of our retail price) handling fee.

Most of the time they go with our "price match".