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Old 02-26-2014, 02:45 PM   #1
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INFLATED prices for Service at the Dealership

Why I have little faith in my my local dealership:




...and SO expensive!?!?



I drained, opened/cleaned, and filled on a saturday afternoon. COST: a few qts of gear oil, some cleaner, and reusable gaskets...easy day...

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Old 02-26-2014, 02:46 PM   #2
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This has always been the case, but they must be doing well, or they wouldn't be charging so much.

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Old 02-26-2014, 02:52 PM   #3
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I think it's expensive at the local dealer, but every time I need to make an appointment they're booked up, and every time I wait in the waiting room there are lots of people there, and when I look back through the window in to the shop all the lifts are up.
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Old 02-26-2014, 02:55 PM   #4
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I had my oil changed at the dealership (Wanted to keep it on the service record) and they said the same thing. Front diff fluid was black and needed to be changed. $130.00.
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Old 02-26-2014, 02:59 PM   #5
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A lot of dealers are charging anywhere from 3-4 hundred for dif service, which is extremely inflated. That's how they're able to give away oil changes. Yourself or a private shop is always much less expensive. Fuel system service is a scam. It's not necessary.
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Old 02-26-2014, 03:18 PM   #6
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If you do it yourself buy a log book and log every fluid change in the book with mileage and date, correspond that date with the receipt from the purchase of the fluids.

I just finished doing my transfer and manual trans, it took 2 hours, most of which was removing and replacing the heavy arse rock hard skid plates. Wonder what they would charge for that service.
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Old 02-26-2014, 03:28 PM   #7
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You just now figured that out ???? dealerships regardless of whatever make or model you own they're ALWAYS more expensive then doing it yourself or taking it to a shop..

usually rule of thumb for myself, i just get all the free services when i can, after words i end up trying to replace or repair whatever on my own before i even decide to take it anywhere.
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Old 02-26-2014, 03:50 PM   #8
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Auto dealerships in general make very little off the sale of new cars, often only a few hundred dollars after sales commission.
Used cars generally have much higher margins but still only a grand or so in most cases after reconditioning.

Service and repair for those new cars is and always has been where they make their real money.

That busy service bay will pull in around 25-30 thousand dollars a day in good sized dealership.
Mechanics have goals they have to meet to keep their job. Just likes the sales guys.

Mark up is typically 150% on parts and 300% on labor. Much more for certain brands and parts.

Warranty work actually pays very little to the dealer so they try to squirm their way out of it if possible.

Sales would have to move over a hundred new cars a day to keep up with the money a service shop brings in.

Yes they use scare tactics to convince customers they need service immediately or this car will blow up. It's a common practice. Dirty yes but well marketed.
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Old 02-26-2014, 04:04 PM   #9
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Their shop rate is probably $110/hr....at least. That's normal for any dealership. They mark up the fluid a bit. Figure 1.5 hours (according to their shop manual) to perform the work. That's over $150 before materials. Even if it takes them 30 min.....you are charged what their book says.

So.....they make money off of you so that when they run into a problem on someone else's repair and it takes longer than expected....they break even.
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Old 02-27-2014, 01:15 AM   #10
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thats not really that bad. gear oil is pretty dang expensive. Pretty sure it was at least $60 for just the oil last time I cracked open my rear axle. they have employees to pay
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Old 02-27-2014, 02:57 AM   #11
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Not only are they expensive but their "factory trained technician" pitch does NOT ensure that their mechanics are much better than some shops.

There are some services that only the dealer can perform including warranty and anything PCM, ECU, CAN bus related. Besides that you are better off using a good shop particularly for anything related to off road mods.
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Old 02-27-2014, 09:46 AM   #12
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Honestly, I didnt think $260 was bad either....depending on the quality of the gear oil.
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Old 02-27-2014, 11:16 AM   #13
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thats not really that bad. gear oil is pretty dang expensive. Pretty sure it was at least $60 for just the oil last time I cracked open my rear axle. they have employees to pay
It's just around $14 bucks per quart, for synthetic gear oil at any of the part stores.
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Old 02-27-2014, 03:58 PM   #14
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Most 4x4 shops here get $100 labor per axel plus oil.
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Old 02-27-2014, 04:13 PM   #15
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The axle service if just drain and fill is easier than an oil change was on my Harley. $30 for the lube, $15 for a hand-pump for easy filling and 20min on my creeper and my axles were done. But, to spend $200+ at a dealer and probably 4hrs time wasted (drive-to, drink coffee & read old magazines, drive home) just isn't a value proposition. Any shop that takes an hour to do one axle, unless you're doing new gaskets and that's even pushing it, is a shop I'd avoid.
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Old 02-27-2014, 09:47 PM   #16
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Quote:
Originally Posted by TrueNorth View Post
Auto dealerships in general make very little off the sale of new cars, often only a few hundred dollars after sales commission.
Used cars generally have much higher margins but still only a grand or so in most cases after reconditioning.

Service and repair for those new cars is and always has been where they make their real money.

That busy service bay will pull in around 25-30 thousand dollars a day in good sized dealership.
Mechanics have goals they have to meet to keep their job. Just likes the sales guys.

Mark up is typically 150% on parts and 300% on labor. Much more for certain brands and parts.

Warranty work actually pays very little to the dealer so they try to squirm their way out of it if possible.

Sales would have to move over a hundred new cars a day to keep up with the money a service shop brings in.

Yes they use scare tactics to convince customers they need service immediately or this car will blow up. It's a common practice. Dirty yes but well marketed.
I used to work for a manufacturer and this is 100% correct. Dealerships are run off of service revenues, sales are gravy.
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Old 02-28-2014, 12:28 AM   #17
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It's just around $14 bucks per quart, for synthetic gear oil at any of the part stores.
$14.99 for lucas, so I was one quart shy of my guess.

considering I bought mobil1 synthetic 5w-20 for $3.99 a quart today, that's pretty expensive!
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Old 02-28-2014, 12:37 AM   #18
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So got the coupon in the mail from my dealership for an oil change
$19.95 out of pocket out the door including tire rotation fluids check.
SO thought I would ask about changing diff fluids.....nose bleed
$159 each or the package deal both diff's and the transfer case for $359
Explanation ... The diff's require a special friction modifier
Reply: "I think I'll do it and use synthetic which does not require the modifier"
just hope I don't pull the wrong bolt on the transfer case or their price would be cheaper.

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