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Parts $$$ and Independent Mechanics

Everything on the Volvo S80. Sometimes called an "executive car", the S80 was Volvo's top-of-the-line passenger car. P2 platform.
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grensuvs
Posts: 22
Joined: 9 December 2010
Year and Model: 99 S80-T6
Location: Denver

Parts $$$ and Independent Mechanics

Post by grensuvs »

For you professional mechanics out there who work at independent Volvo shops...a basic question--

Do independent shops make money off of OEM Volvo parts which (all of the shops I have dealt with) purchase from their local dealer?

My mechanic calls the local dealer and quotes me their price--is there any kickback to the shop from the dealer, or does the dealer make all of the mark-up?

The reason for asking is that if I'm just paying the same price as what the independent shop has to send to the dealer, or even close to the same price, it seems that my independent mechanic would be open to me buying OEM Volvo parts online and having him install them, so I would pay him for his labor only. This would save all of us a small FORTUNE on the cost of parts.

The DIY folks already know this, but, as an example, for brake pads, I can buy them for $55 ea. + shipping online, vs. $96-$100 ea. at an independent shop or a dealer. ..That is each...

Some of us aren't DIYers though, and will never be. So I'm wondering what the financials are for independent shops and if they are open to the customer providing the OEM parts?

I have called several dealers about the price of parts, and only one asked if I was with a mechanic shop or not, ie: a wholesale price, vs. a retail price. So maybe independent shops get a wholesale price, or maybe it depends on the dealer, and then re-sell to us at the "dealer price." BUT, even if I paid the independent shop its standard mark-up, I would still be saving a BUNDLE if I bought the parts online and provided them to him, and paid him a parts markup and his labor.

Has anyone worked out with a mechanic to have him diagnose a problem, provide you with part number(s), and you order the part, and you provide part(s) and pay him for his labor? (I realize timing could be an issue, but I have access to a second vehicle, so the mechanic could diagnose, I order parts, then return with parts and vehicle for install at a later date, or just leave the car there and have parts sent to him.)

Thanks,
--grensuvs

nwhitney
Posts: 121
Joined: 15 April 2010
Year and Model: V70XC 2000
Location: Portland, OR

Post by nwhitney »

There are a couple of indy shops here in Portland that will install parts that I order and bring in. On the other side there are a couple of indy shops that won't and there reason is they can't or won't provide a warranty on the part a customer brings in. Personally I think that's crap as other shops provide a warranty no problem. So if you find a shop that will install parts you bring in check on the warranty.

grensuvs
Posts: 22
Joined: 9 December 2010
Year and Model: 99 S80-T6
Location: Denver

Post by grensuvs »

Thanks for your input.

I wonder if the part warranty actually comes from the shop anyway--I would think that the warranty on a part comes from the manufacturer, not the shop.

Perhaps 1) this is just an excuse from the shops that won't install customer-provided OEM parts that is meaningless, or 2) are these shops saying that if the part fails, they won't provide "their aspect" of the warranty which is that they won't remove the defective part and reinstall the replacement customer-provided part (provided from Volvo under their warranty) for free? (The shops I've gone to have a 1 yr. parts and labor warranty, so maybe this is what they're saying...?) Still, it's lame. A customer-provided OEM part is no more likely to be defective or come under the part warranty than one that the shop provides.

I will check the return policy and warranty with these OEM websites. Good points to bring up.

Thank you for your response.

--grensuvs

grensuvs
Posts: 22
Joined: 9 December 2010
Year and Model: 99 S80-T6
Location: Denver

Post by grensuvs »

nwhitney,

One more question, do you think, or have you checked, if you're paying more for labor when you provide the parts? I've also wondered if the shops that will install customer-provided OEM parts also upcharge on the labor?

Thanks.

--grensuvs

nwhitney
Posts: 121
Joined: 15 April 2010
Year and Model: V70XC 2000
Location: Portland, OR

Post by nwhitney »

I should have been more clear. The shops that won't install parts customers bring in offer no warranty even on their labor. There's still the part warranty through the manufacturer. I imagine that could bring some headaches dealing with the manufacture and mechanic for a warranty in this type of situation.
The shop I go to here in Portland doesn't charge more for labor if I bring the part in and I get their standard warranty. I have a good relationship with them. Also I'm fairly confident that the majority of the profit comes from labor not from parts. They still make some money from the parts just not much.
What type of work do you need done?

grensuvs
Posts: 22
Joined: 9 December 2010
Year and Model: 99 S80-T6
Location: Denver

Post by grensuvs »

Thanks for clarification. So it sounds like if you happened to have a defective part, your shop would install the new one for free (if it's within their warranty period). But it's probably also because it sounds like you've been with them a long time. But I would also think that it's not often that an OEM part is defective or goes out b4 warranty (but I don't know the actual incidence of either).

My car needs: 1) Possibly flametrap or clean-out, ETM, new dipstick/tube, or other due to fix oil leak; 2) Possibly CEM, or other part(s) to resolve intermittant electrical problem that eventually causes car to not start; 3) rear brake pads, rotors eventually.

Being bled by Volvo. And the Volvo owner is not getting any benefit from the dealer, in exchange for paying sky-high prices for parts, that the indie shop buys parts from.

--grensuvs

Matty Moo
Posts: 1810
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Year and Model: 850, 1996
Location: Ann Arbor, MI
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Post by Matty Moo »

Most shops aren't going to diagnose, then look up the part #'s so you can get the parts yourself.

Why? Too often, somebody brings in the wrong parts. Since their time is money, they just wasted a bunch of it putting the car in the bay then tearing it apart to find out it's not the correct part. It's just not worth the hassle to them, so they make it policy. It's easier that way.

I get emails all the time with the same story. "My mechanic went to put this on and you sent me the wrong part". No, you ordered the wrong part. Most people know nothing about their cars.
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Dirtbag454
Posts: 59
Joined: 7 April 2012
Year and Model: S-80 2000, C70 2004
Location: United States

Post by Dirtbag454 »

This is an older post, but I thought another reply might be in order. In my experience, indy mechanics that by OEM from a dealer pay wholesale (or wholesale+) and get the markup to std. retail. They might be reluctant to lose that portion of their profit. also, on the warranty side, OEM failures might have a better track record recovering addition labor costs for the installing mechanic. Years ago, before I got my own welding equipment, I was in need of some aftermarket muffler installation. Called a local muffler shop and told them what I had and what I needed. (ie: mufflers, welded in place) The person on the phone agreed and I took off for the shop. When I got there, the guy who was to do the welding saw my mufflers and said, "Well lookee here...he's come for breakfast and brought his own bacon and eggs." (I believe he was referring to my providing the parts that the shop would have sold me. Duh) The person who approved the job stepped in, and all was good, but I did learn from that experience that cutting into the profit margin is not always welcome.
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