[rocky1]

Have a 2012 Silverado 3500 HD at work, have had problems with it blowing low beam bulbs entirely to often, because the geniuses that design them, design them in such a way as to make it beyond the ability of most vehicle owners to get them out. Can't remove a few screws on a trim ring, remove the light, unplug it, plug a new one in, and reinstall the trim ring. OH NO....

We must make them so that the cowling above the radiator must come out, to remove the grill, provided you can get the 2 rows of asinine little spring clips to cooperate and pop out, several of which are not easily accessed with anything, so that you can get the headlight out, after removing the 2 screws behind the grill which you can access with the grill in, and the one on the bottom around on the side, cleverly hidden behind the rubber trim strip on the top of the bumper, that fills the gap between the bumper and headlight entirely, so you cannot see the screw, at all. And, you must have a really long extension to get to that one, or you have to remove the inner fender to access it.

And, that's the easy side!

No, there is no simply reaching in and twisting the socket out on this one, you can get one of them out, but you can't get the bulb plugged back in the socket, if you do. And, if you somehow pull off that miracle, you cannot turn the bulb far enough to line the tabs back up, to insert it back into the headlight assembly and turn it to lock it back in place. The other side, you have to remove the battery and battery carrier to get that far, and you can't weigh more than 60 lbs. or your hand doesn't fit in the hole no how.

Only changed EACH OF THEM about 4 - 5 times in the 5 years I've been driving the truck. And, believe me, it is no fun.

Last time the left low beam went out, wire on the back of the socket broke when I tried to reinstall, and one of the pins on the socket the bulb plugs into was fried. Had it in the shop having some other work done, and we changed while it was in there. Was not even a little impressed when they charged me $52 and change for this wiring harness, because there really isn't anything to it. There is maybe 5 ft. of 14 gauge automotive wire, and 5 connectors. Little did I know, they were being nice and sold it to me at their cost.

Right side low beam went out 2 months after the left side, right on schedule. Been putting off changing it, looked one time, it was back on, next day it was out again, I been busy, didn't have time to deal with it. Finally got caught up, so today I was going to change the bulb on the right side. Took the cowling off, took the grill out, didn't have a long extension so the inner fender had to be removed, Finally got it all out, plugged in new bulb, NO light.

Wiggled the light around in the socket, got it to come on. Wiggled a little more it went out again. Took bulb out of the socket, and sure enough, socket on this side is fried as well. So off to town to pick up part. Went by the GMC dealer first, he's 5 miles closer. Doesn't stock it, doubts anyone would. Told him I bought one at the Chevy dealer not long ago, had it on hand. He checks; sure enough! They have one in stock at the Chevy dealership.

So off to the Chevy dealer way out on the west end of town, told them what I needed, pretty soon the parts man comes out, says they have it, it will be $118.60, would I like to look at it. Told him sure, because knowing what it was, I honestly had to see if the flippin thing was made of GOLD! He brought it out, told him it didn't look right. Told him I'd bring the VIN back in, and we'd sort it out.

Checked Amazon, before I went to town, the one pictured above was $28.99. It will be here Wednesday, I have another truck I can drive. Had I looked further, I could have purchased it for $19.99 on Amazon. And, understanding the markup on automotive electronic parts, that means that this part is costing them less than $10 to manufacture. And, as much as I would love to be able to say, "Yeah, but that one isn't made in the USA!" Neither is the one on the truck! It's made in Mexico!! Where we subsidized the plants that make them.

But, really??? A $110 markup on a $10 part? Guess they have pay those 14 salesmen's salaries sittin up front with the proverbial digit rectally fixed, because they weren't selling any cars!

Forgive my rant, but this is just a wee bit ridiculous!!

 

[graymustang]

Things can be insane, I drive used BMWs and always do the repair work myself. One day took one into the city for a factory recall, sitting in this beautiful lounge/food bar, leather recliners, WI FI, several big screen TVs with headphones...dude in a suit, comes around and asks me what I want for breakfast !!! Anyway, service advisor, nice looking gal also in a suit, is telling this guy a "brake job" on the rears only was $650.00, but recommended the fronts be done to, would get a discount at $1,000 !!!!

 

[Phreddie]

Rant away.
Wife and I own a 2017ford exploder. We hada problem with the rails on the roof popping off. 6 trips to the dealer to get it fixed. Fords tech advisor couldn't fix them
Finally they fixed it. They felt bad about keeping our suv for up to a week at a time. So they gave us a discount on new michelin tires. The guy who installed the tires must be built like Schwarzenegger and he musta used a twenty foot long bar on the wrench as when we went back for our last free oil change they broke one of the security lug nuts. They did not say a word. I walked the car and caught it. I went straight to the GMs office and walked right in and asked why they were trying to kill my wife and I.
He stammered out "what?" And i told him what i found.
Long story short they had to drill out all of the lug BOLTS and nuts because all of the 20 had been overtightened. At first they wanted to cut the wheels off. I should have let them. Those wheels are $1500.00 apeice. New lug bolts and nuts were only about $500.00 with all the drill bits they had to use. I made them show me the wheels to ensure they dint mess them up. I took about 20 minutes per wheel. Just to anger them. Never got thats last free oil change. And ford just sent us some diddly recalls. Nope, they are stuck tracking thos car forever.

From the deep dark recesses of my tormented mind

 

[Chef Duane]

I had a '98 Ford Explorer that I kept going to 213K miles with parts from the local wrecking yard. Lots'a cars that are wrecked still have fairly new parts on them and if I need a part that is exorbitantly expensive I'll check the local yard. Or Rock Auto, reasonable parts there also. Got a new Edge now tho.

 

[GasGuzzler]

I'm not sure you know how this works.

Dealer buys parts from GM at the price GM says they have to pay. Dealer then marks it up, generally the same amount from dealer to dealer. GM sets their price based on the price they pay from their source who likely isn't the manufacturer.

Your assumptions have skipped over several middle men so in reality, the dealer is not at all marking anything up 1000%.

End user has the choice to buy a knock off part on the internet but please do not equate the two parts as equal. There are some cases where the aftermarket part is better.

Takes me about 9 minutes to completely replace both headlight capsules on the model you mention (I've had too twice on my 2007 Sierra, once for faded lenses and once from damage). I replace the bulbs when they go out without taking the headlamp capsule out. I carry an extra bulb in the glove box.

My inside door handle broke off and it's part of the door panel. My employee cost is $500. I bought a aftermarket kit from the parts store for $125 instead. My wife's 2003 Denali had one of the seat motors go out. It's only available as the entire seat adjuster which is discontinued by GM due to age. One local dealer has 10 of them in stock. Employee price? $1000. I got an entire used seat delivered for $155 and swapped the adjuster.

Your mileage may vary as I am a professional.

 

[NYfirefight357]

Replace them with LED bulbs. Our GMC 350 vans have the full replacement type bulb/housings but as usual the headlights aren't that bright. We replaced them with LED and I got over 100K miles before one blew & the other is still going at 120K.

These are what we use 5x7" 7x6 LED Headlight Hi/Lo DRL For Chevy Express 1500 2500 3500 4500 Cargo Van | eBay

Yours should be these https://www.amazon.com/Fahren-Headlight-Headlights-Conversion-Waterproof/dp/B07NPMV1H5

 

[cajun56]

Rant away.
Wife and I own a 2017ford exploder. We hada problem with the rails on the roof popping off. 6 trips to the dealer to get it fixed. Fords tech advisor couldn't fix them
Finally they fixed it. They felt bad about keeping our suv for up to a week at a time. So they gave us a discount on new michelin tires. The guy who installed the tires must be built like Schwarzenegger and he musta used a twenty foot long bar on the wrench as when we went back for our last free oil change they broke one of the security lug nuts. They did not say a word. I walked the car and caught it. I went straight to the GMs office and walked right in and asked why they were trying to kill my wife and I.
He stammered out "what?" And i told him what i found.
Long story short they had to drill out all of the lug BOLTS and nuts because all of the 20 had been overtightened. At first they wanted to cut the wheels off. I should have let them. Those wheels are $1500.00 apeice. New lug bolts and nuts were only about $500.00 with all the drill bits they had to use. I made them show me the wheels to ensure they dint mess them up. I took about 20 minutes per wheel. Just to anger them. Never got thats last free oil change. And ford just sent us some diddly recalls. Nope, they are stuck tracking thos car forever.

From the deep dark recesses of my tormented mind

I high lighted 2017 ford EXPLODER for you @Phreddie.

 

[rocky1]

I'm not sure you know how this works.

Dealer buys parts from GM at the price GM says they have to pay. Dealer then marks it up, generally the same amount from dealer to dealer. GM sets their price based on the price they pay from their source who likely isn't the manufacturer.

Your assumptions have skipped over several middle men so in reality, the dealer is not at all marking anything up 1000%.

End user has the choice to buy a knock off part on the internet but please do not equate the two parts as equal. There are some cases where the aftermarket part is better.

Takes me about 9 minutes to completely replace both headlight capsules on the model you mention (I've had too twice on my 2007 Sierra, once for faded lenses and once from damage). I replace the bulbs when they go out without taking the headlamp capsule out. I carry an extra bulb in the glove box.

My inside door handle broke off and it's part of the door panel. My employee cost is $500. I bought a aftermarket kit from the parts store for $125 instead. My wife's 2003 Denali had one of the seat motors go out. It's only available as the entire seat adjuster which is discontinued by GM due to age. One local dealer has 10 of them in stock. Employee price? $1000. I got an entire used seat delivered for $155 and swapped the adjuster.

Your mileage may vary as I am a professional.

What I understand is...

Most incidental little electrical parts, are sold at a minimum of 100% markup. The more incidental the part, the less the part costs to make, the more stupid the markup typically is. In assuming the Dealer is purchasing from GM, and GM is purchasing from someone else, and everyone is making a profit, you're still talking $40 or less, for a $10 part, at the dealership, and the dealer was going to charge me 3 times that amount.

Reinforcing that fact, the mechanic that sold me the last one, sold it to me at his cost, from the same dealership, for $52. Meaning the dealership is making their profit on the part, at $50, meaning GM is probably making their profit on the part at $20 or less. So giving them all the benefit of the doubt... Yes, the dealership is only charging the consumer a minimum of 6 times his cost for the part, or costs plus 500% PLUS profit, and that is after GM made a 100% PLUS profit on it.

So putting this into perspective, AFTER factoring in at least a 100% to the second power profit margin on the part, over the dealer's counter, they tack on an additional $70 hosing to the end consumer who shops at the dealership. Because??? I don't know... Because, they didn't pay a mechanic to disassemble their vehicle? Because, they instead took it apart themselves, denying the dealer or a garage profit of 100% to the third power on that $10 part?? Please explain; we'd all like to know.

That however, would suggest, that this part over the counter to the consumer, should quite obviously come with a large tube of Silicone based Dielectric Grease, and directions stating how to bend over, spread your cheeks, and where to apply the remainder thereof, after squeezing a bit on each connector; to ease the pain you are about to incur at the Dealer's discretion; but it doesn't even come with a little tube of such.

Aftermarket, yes there are multiple jobbers involved, there should be additional markups, everyone should make a profit, so everyone can stay in business, they should however be reasonable profits. And, the store selling it on Amazon, is no doubt selling the part profitably, for $20; not $120! That's not reasonable profit, pricing it to the consumer, at 150% more than they sell to a mechanic or garage is absolutely ludicrous.

Meanwhile the dealer will whine and cry about on-line sales crippling his business. And, how he just can't compete.

Worse than that however is, the folks that manufacture this item are making a profit selling it at under $10, and they have all the costs invested in tooling to manufacture it, materials, labor, packaging, and shipping to jobber or GM, and they likely stock hundreds if not thousands of pieces, to fill routine orders. GM applies their ridiculous markup, the Chevy dealer orders 1 from GM, puts it in a 2" slot on a shelf, and marks that $20 part, that was manufactured and profitably sold at $10 or less, up a hundred bucks to the consumer, and claims it's because he has to invest his money to let it set on the shelf until someone needs it?

I understand we're talking hundreds of thousands of parts that the dealer keeps on hand, millions of dollars they have tied up in inventory... I understand that is NOT the consumer's fault. WE would prefer they all used the same parts, so WE can keep one or two of those parts on hand at home, especially when we live 18 miles out in the country. There is really no reason WE should have to have 8 different oil filters on hand for 4 vehicles, a skidsteer, a tractor, a mower, and an ATV. There is no reason WE should need 8 different fuel filters, 8 different air filters, 8 different headlight bulbs... All of these items perform the same specific job on every vehicle. These are things the manufacturers are designing to cause after market manufacturers delay in tooling up, manufacturing, and stocking new parts, offered at lower prices, so the manufacturer can manipulate the market that much longer. These are things the manufacturer changes, so they can make 100% profit on all the different parts sold to dealers for their inventories, causing huge investments by dealers and jobbers.

I understand, this part doesn't occupy a lot of space on the shelf, and it's not like we're talking an item that doesn't move here. I know for a fact that the Dealer has had call for 3 of these, inside of 4 months, and sold 2 of them inside of a week in January. I also understand the odds that I am aware of all potential dealer sales of this item in the last 4 months are completely non-existent.

I understand, the fact that there are more than a dozen different stores listing this part on Amazon alone, says they sell a bunch of them. It also says, original equipment is junk, or that many people wouldn't be manufacturing and selling the aftermarket part for $20 - $30. Which isn't news to me in the least, having changed the bulbs 4 - 5 times, since we have owned the vehicle, and now the wiring harness on both sides with 135,000 miles on it. Everything about that situation says design flaw, but GM won't admit it, let alone fix it, so hopefully someone has improved upon this set up in the last 10 years.

I understand I can buy both headlight capsules for that vehicle, complete with harnesses and bulbs, for less money than the morons at the dealership wanted for the bare harness.

I understand the dealer could probably sell more of them at a reasonable profit, but that isn't going to happen, especially with the dealer we have here in my home town. They have slowly eliminated virtually all of the competition. They owned the Ford dealership back in the 70s, and over the years have purchased the Chevrolet Dealership, the Toyota Dealership, the Kia Dealership, and the Nissan Dealership. Only two they don't own here are the GMC/Buick/Pontiac/Cadillac and the Dodge/Jeep dealerships.

I understand that "professional" or not, you will NOT simply reach in and replace the bulbs on this vehicle, without removing the headlight capsules. It is physically impossible. I don't care what your mileage is, or how talented you believe calling yourself a "professional" makes you. There is no way to change the bulbs on the driver's side without, removing the capsule. Passenger's side, can be changed by removing the inner fender, but it isn't pleasant. The battery and battery carrier on driver's side, and the air filter housing on the passenger's side, prevent access from rear. Inner fender prevents all access from below, and further from rear. The upper radiator cowling prevents all access from above. There is extremely limited access from the side, once the upper radiator cowling is removed, passenger's side you can remove the low beam socket, replacing the bulb, and reinstalling it is impossible. I understand, every You Tube video I've found on the topic, describes exactly the procedure I use to change the bulb, not one has ever said, you simply reach in and change it on that model truck, but if you ain't a "professional" you need to take all this pooky apart.

I understand that back when I made my living as a "professional" mechanic, I used to be able to replace both headlights on a vehicle in under 2 minutes, with a phillips head screwdriver. I didn't need a trim clip removal tool or flat screwdriver, needle nose pliers, 2-3 metric sockets, a 4" extension, a 12" extension or 1/4" ratchet, and battery powered impact drill/driver to do it in 9 minutes.

And, I understand the only thing that makes me any grumpier than a dealer trying to screw me over, is when they try to screw me over selling me after market parts at manufacturer specified stupid prices. Like our local Kubota dealer does. Sent the wife over to pick up filters and deck wheels, she comes home with Wix filters in the bag at 3 times the Wix price. They tried to sell her a fuel cut off solenoid for the mower for $186, and I told her I'd find it elsewhere. I bought it NEW on E-Bay w/free shipping, for $65. It was the same identical part as original equipment, right down to every last Japanese letter on it. No longer doing business with that dealer, the other told me the gear box on my deck could be overhauled cheaper than I could buy a new one, if it was available, but it wasn't available anymore, so I should bring it on over and let them fix it. I had already found a new gear box on-line, and priced parts, and determined the parts needed to overhaul it alone, were within $100 of the cost of the gearbox I had rebuilt once already.

I'm just fed up with all of them trying to take advantage of consumers, it's ridiculous.

 

[rocky1]

Replace them with LED bulbs. Our GMC 350 vans have the full replacement type bulb/housings but as usual the headlights aren't that bright. We replaced them with LED and I got over 100K miles before one blew & the other is still going at 120K.

These are what we use 5x7" 7x6 LED Headlight Hi/Lo DRL For Chevy Express 1500 2500 3500 4500 Cargo Van | eBay

Yours should be these https://www.amazon.com/Fahren-Headlight-Headlights-Conversion-Waterproof/dp/B07NPMV1H5

Just replaced both capsules on my Durango, as well as the driving lights, absolutely NO comparison in performance of the old ones and the replacement capsules. Have buffed the original equipment out more than once, and they just were not real bright. New capsules, I've got LOTS of light!! Huge difference in aftermarket performance! Need to change them out on the 4500 Ram at work as well, it's pitiful!! Have more light with one headlight on the Silverado.

The Silverado actually has pretty decent headlights. I honestly suspect the issue with this one is the sockets on the harness are inferior, they don't make a good connection, causing increased amp draw, therein shortening life span of the filament in the bulb, and overheating and melting the socket down on the harness. New harness will likely fix most of my problems with that one, but if it continues LED bulbs are definitely a next step.

 

[cajun56]

On my Nissan Titan I replace the complete housing for the headlights every two years due to the sun damage. Can't clean them for it only ruins them. This last set coast $115 dollars, free shipping. Put some led buds in them and wow!
Big time bright lights. I'm a fan of Pull-a-Part for parts, upgraded my front brakes from a 2008 Titan, very easy! Larger rotor and bigger calipers. Snatched me some front bearings off a Titan that was newly installed and truck was crashed.

 

[GasGuzzler]

I am not going to read all that but your math is still off and the dealer markup is not based on the knock off part price. Give me the part number and I will give you the facts.

Can't say I have ever replaced a headlight harness on one of these trucks so I would not say it's a design flaw. My GMC has 167K miles on it. My wife's 176K miles. The low beam connector sometimes melts. GM dealers sell it by itself even though the GM catalog says it's available as a complete harness. How? There's a TSB that shows which pigtail goes with which bulb. I think we charge $9 for it. Maybe your dealer is mis-informed but that doesn't mean all dealers are making 1000% markup. What frustrates me is one dealer somewhere doing something that makes them all look bad but worse is a rant with untruths spread as fact.

Headlights haven't been replaceable with just a phillips screwdriver in more than 30 years.

 

[paulo57509]

I have a '92 Lumina (that I need to get rid of) that requires you to remove:

1. The fender-to-radiator support brace.
2. Remove the air filter ducting.
3. Remove the air filter box.

Just to remove the battery.

I have a 2003 GMC Safari that's only sightly more "convenient". You have to unfasten the fuse box and pry off a wire loom retainer. Then working around the hod prop rod, tilt the battery on one side (don't spill anything) and lift it out.

 

[GasGuzzler]

The battery in my Bonneville is under the back seat. I replaced a battery in a Cadillac ATS the other day and it required removing half of the interior trim of the trunk.

Back on topic...where's the part number so I can help everyone understand?

 

[rocky1]

Would it make you feel better if I edited the title and simply say...

"Is a Dealership really entitled to 'asinine' markup on parts"

...and remove the math from the equation altogether ?

Sticking explicitly with established facts:

Fact - I purchased this part in January through a local mechanic, paid $52 for it, which was his cost from the dealership.
Fact - I went back to the same dealership, previous part was purchased from, 3 months later, and they wanted me to pay $118.60 for the same part over the counter.
Fact - The dealership did not sell the part to me, through the mechanic, at a loss; they made a profit on the part at $52.
Fact - The additional $70 they proposed charging me is 140% of their already profitable price, charged the mechanic.
Fact - If they''re selling it profitably for $52, and they're trying to charge me $118.60 + tax, the Dealership is taking an 'asinine' amount of profit on that sale to the consumer, whatever it may be.
Fact - The part is available on Amazon, 1 at a time, shipping included, for the low profitable price of $20 each, less than half what GM sold it to my mechanic for. The one I purchased there, was $28.99.
Fact - GM places orders for hundreds if not thousands of these at a time, from the low bidder meeting or exceeding GM's specifications. Meaning they are buying them for far less than $20.


I don't have a GM Part Number, I bought the $30 part off Amazon, at 1/4 the dealer price. I didn't even look at the GM part number, I just looked at the part to determine it was not made of gold. Those points were explained in my initial post. The one I purchased installed without a problem. You are the one that wants to set everyone straight, you stated you are the "professional", you could maybe look it up in your GM parts book dude!! Vehicle description is in first line of the original post, that's all I gave the GM dealers to look it up, that's all I used on Amazon to look it up.

As for Phillips Head screwdrivers, changing light bulbs, and not reading all that. Funny you should mention the subject of the next to last paragraph if you didn't read all of it.

Yep, it's been 30 years since I made my living as a mechanic, twist in Halogen bulbs had been used in design about 2 years when I quit working on cars and chose a different profession. OBDII did not exist, every manufacturer used their own computer code, and each manufacturer had tens of thousands of pages of updates MONTHLY on their individual new computer systems. In 1987 it was determined it would take more than 40 hours a week, 52 weeks a year, to read the updates, technical bulletins, and revisions to GM's codes alone.

Mechanics could not afford the updates to scan tools, the industry's answer was to develop hot lines; those were soon swamped leaving mechanics sitting on the phone waiting for someone to walk them through all the obvious steps they had just gone through to frequently tell them, they had no clue what was causing the fault code either. The next step was to subscribe to a diagnostic system that plugged into the telephone, so they could read all parameters involved on-line, to try and determine the problems remotely. Adding to the costs of updates to scan tools.

In true Nancy Pelosi fashion the stated diagnostic method of determining failure of the Mass Air Flow sensor on a GM product at that time, per GM Service Bulletin, was to "replace with known good part", and dealers all had a no return of opened electronic parts policy. Mass Air Flow Sensor at that time was priced at $285; if you opened the box, you owned it, whether you needed it or not. My employer was old school, hard headed, did not understand half of what I was trying to explain to him, and really didn't want to understand it. I got fed up with all of it, was offered a management position in a different profession, accepted it, and moved on.

 

[beenthere409]

I am reminded of a trip years ago in the middle of Alaska. On a gravel highway 200 miles from anywhere -- a small gas station/store -- a basket of white-bread-and-cheese sandwiches on the counter, with a sign reading: " Cheese Sandwiches, $14.95. Yeah, they're expensive. Go find another one."

We all live there now...

 

[256WinMag]

When I was a kid, dealerships had huge showrooms and 3 or 4 service bays....Now, or for the past 40 years, small showrooms and 12-30 service bays. They figured out where the profit was.
Now with Brandon they figured out they could rip you on both ends. The last 2 brand new vehicles I bought were in 2003 and 2005. I used to trade every couple of years. Wrecked the 2005 but the 2003 is still ticking.......my bad.
I used to twist wrenches on them myself, but found an independent young man who is conscientious, very knowledgeable, thorough and works for a reasonable rate and he gets my business. I consider myself very lucky.

 

[GasGuzzler]

Dealers don't sell parts to employees at cost, much less customers. Did you get a receipt with the $52 part? If not, it's tough to say where that first part really came from.

The dealer mark-up in your example is 225% not 1000% as stated. 225% is very extreme but we don't have all the facts. Typical GM dealer mark-up is 40-100% depending on the part.

The parts you bought on Amazon is not the same. Could it be equal? Sure. Could it be better? Yeah. It's not the same.

No way to know what GM pays for them and that has ZERO to do with the dealer. Zero. There are likely three stops between GM's price and the dealer cost.

For the third time, give me the part number so I can post facts.

When I was a kid, dealerships had huge showrooms and 3 or 4 service bays....Now, or for the past 40 years, small showrooms and 12-30 service bays. They figured out where the profit was.
Now with Brandon they figured out they could rip you on both ends. The last 2 brand new vehicles I bought were in 2003 and 2005. I used to trade every couple of years. Wrecked the 2005 but the 2003 is still ticking.......my bad.
I used to twist wrenches on them myself, but found an independent young man who is conscientious, very knowledgeable, thorough and works for a reasonable rate and he gets my business. I consider myself very lucky.

Typically fixed ops pays the operational cost for the entire operation. Service, Parts, and Body Shop basically "donate" about half of their gross intake back to sales BEFORE anyone is paid. Sales then always makes a profit, fixed ops die trying. New cars sales don't make anyone near the money used cars can because all dealers have the same general new inventory and similar pricing.

 

[BubbaJon]

I'm not sure you know how this works.

Dealer buys parts from GM at the price GM says they have to pay. Dealer then marks it up, generally the same amount from dealer to dealer. GM sets their price based on the price they pay from their source who likely isn't the manufacturer.

Your assumptions have skipped over several middle men so in reality, the dealer is not at all marking anything up 1000%.

End user has the choice to buy a knock off part on the internet but please do not equate the two parts as equal. There are some cases where the aftermarket part is better.

Takes me about 9 minutes to completely replace both headlight capsules on the model you mention (I've had too twice on my 2007 Sierra, once for faded lenses and once from damage). I replace the bulbs when they go out without taking the headlamp capsule out. I carry an extra bulb in the glove box.

My inside door handle broke off and it's part of the door panel. My employee cost is $500. I bought a aftermarket kit from the parts store for $125 instead. My wife's 2003 Denali had one of the seat motors go out. It's only available as the entire seat adjuster which is discontinued by GM due to age. One local dealer has 10 of them in stock. Employee price? $1000. I got an entire used seat delivered for $155 and swapped the adjuster.

Your mileage may vary as I am a professional.

I miss the old days when you could go to a wrecking yard and pull a part for $10..

 

[rocky1]

Dealers don't sell parts to employees at cost, much less customers. Did you get a receipt with the $52 part? If not, it's tough to say where that first part really came from.

I never suggested the dealership should sell the part to me at cost, I simply stated that I resented them screwing the consumer in the manner they are. And, you apparently want to defend their actions.

NO... I did not get a receipt from the mechanic or the dealer on the part, invoice was already printed on the other work done, when I inquired about the headlight repair, and rather than redo all the paperwork going to the office, I paid cash for the headlight repair.

NO... it is NOT difficult to tell where the part came from. I was standing there when he called the dealership and asked if the part was on hand. I was standing there when he recited the price quoted, back to the parts man in conversation. I was standing there when he told the employee to "GO TO THE DEALERSHIP and pick the part up, then stop by Whatta Burger and pick up lunch." While I don't have the part number, I do know where the part came from, the price he was quoted over the phone, and what he charged me, quite well thank you.

Your argument is vague, speculative, and moot on this point.

The dealer mark-up in your example is 225% not 1000% as stated. 225% is very extreme but we don't have all the facts. Typical GM dealer mark-up is 40-100% depending on the part.

Profit margin of $110 on a $10 part priced at $120, is actually 1100%. Not 1000%, Not 225%.

No, the dealership did not make all of that profit. GM no doubt shared in that.

If GM took a 100% profit margin on a $10 part, and charged the dealership $20 for that $10 part, and the dealer marked it up to $120, that is $100 profit, or a 500% profit margin for the dealership. I don't need you to explain math to me, in defense of the asinine prices charged by the dealership, I am perfectly capable of doing the math thank you.

No, we don't know what GM paid for the part, nor do we know what the dealership paid for the part, at this point. You stated that you were going to provide us with that information, and set us all straight. Thus far you haven't, because apparently there is no parts manual or parts computer at the dealership where you work.

What we do know is...

- We know, I paid $52 for the part from the dealership, through my mechanic.

- We know, the dealership did not sell the part to my mechanic at cost. You established such above.

- We know, the dealership quoted me a price of $118.60 over the counter.

- We know, that is the previous price of $52 + an additional $70, or approximately 140% MORE than I paid for the part previously, which we have agreed was sold at a profit, to my mechanic. Therein establishing the fact, that the dealership is selling the part at well above the normal 40 - 100% markup you suggest the dealership charges.

Given those parameters, a $30 part marked up 40% would be priced at the $52 I paid the first time, meaning the dealer established profit margin to the consumer, in this case, is approximately 300%. And, a $26 part marked up 100% would be priced at $52, wherein dealer established profit margin to the consumer is approximately 357%.

- We know, I offered to change the title of this thread to... "Is a dealership really entitled to 'asinine' markup on parts" ...to make you happy, and you continue to complain, question a part number I have already explained I do NOT have, and defend the Dealership's immoral pricing practices.

The parts you bought on Amazon is not the same. Could it be equal? Sure. Could it be better? Yeah. It's not the same.

Yep, we can at least agree there... It's not the same. It had all the same type connectors, they all appear to be of equal quality to original equipment, they all plugged into existing connectors on the truck, they all had the same gauge copper automotive wire running between them, and everything functioned properly when I plugged them in.

BUT... It was $90 cheaper.

No way to know what GM pays for them and that has ZERO to do with the dealer. Zero. There are likely three stops between GM's price and the dealer cost.

First you said you were going to sort this out, get the prices, and set us all straight on prices paid and where profit lies in pricing for this part. Now you are telling us there is no way to know what GM pays for the part, and there are 3 jobbers between GM, and a GM supplied part, in a GM dealership? Seriously?

For the third time, give me the part number so I can post facts.

For the FINAL time, I do NOT have the part number. If you are the "professional", that you proclaim you are, you should be able to find the part number, in the parts computer, at work. Why are you finding it so difficult to look up a part number, that I have already explained I don't have?

If you're having trouble accessing the GM Parts computer at work. You could go to GM Parts Direct and look the number up, but I would guess it may differ slightly from dealer numbers there. And, for the record... GM Parts Direct lists the part, to the consumer, for $42.80. With MSRP listed at $65.86, nearly half what the dealer proposed charging me. And, obviously GM Parts Direct is not selling to the consumer at cost either.

 

[GasGuzzler]

The main failure by the dealer was not selling you the $15 (whatever it costs it's cheap) headlamp connector by itself you could splice in. I looked online and some places sell it for $5 and some for $79.99. We sell it for less than $20.

You are mis-using the words margin, mark up and profit. Using the manufacturer cost vs. retail quote for profit calculation is akin to comparing crude oil price to fuel price at the pump then calling the percentage profit margin for the gas station. After saying you know how to do math you then admit not knowing what anyone's cost of the part is during it's journey. Can't figure margin, mark up and profit without cost. You do not understand that several middle men raise the price more than one does and the end-seller does not "profit" the entire mark up.

The important details of your story have no proof and are speculative at best. The part you got for $52 came out of a technician's stash. He kept a take off part and sold it for cash. This speculation has more grounds than your story. Somehow you are willing to trust the story of the people you are ranting about more than what logic says.

Why is it so hard to understand the difference between my promise to reveal the dealer cost and profit margin for this mysterious no part number, no receipt part and not knowing GM's cost. Have you still not grasped that dealers are not GM, they are independent franchises. GM could likely mark stuff up 1000% to the dealer and there's no way to know.

I can look up the part number but for it to be guaranteed correct I'd need the VIN. But that would only tell us the GM numbers, not what you received the first time likely , and not what you bought off Amazon.

Places like GM Parts Direct do, in fact, sell parts at below GM dealer cost in many instances. They can buy parts cheaper than the dealer because of the bulk deals they have with GM. GM decides to discontinue selling a certain part and would rather scrap the inventory than store it? Places like this buy it instead. Because of those deals, GM will sell current parts below dealer cost.

Looks like a single dealer attempted to double charge for a part and you didn't fall for it. It does not sound like a nationwide conspiracy for all dealers to make 1000% mark up like the first post suggests. Without any proof of what the first part is or where it came from, there's not much light to be shed on this. Convenient.