Dealership Service Fees - This Is a New One to Me

[D60]

I will say I've started just rounding up my labor and/or quoting higher to begin with. Given increased costs on everything I'm not making any more money -- just losing less.

Nobody really bats an eye, mostly because I'm still affordable compared to others.

And sure there's book time but you can bill whatever you want.

Just like making a deal on a car purchase, all that ultimately matters is out-the-door price. The problem with these fees is they get tacked on afterward and you learn about them when you see the final invoice

 

[clinebarger]

I will say I've started just rounding up my labor and/or quoting higher to begin with. Given increased costs on everything I'm not making any more money -- just losing less.

Nobody really bats an eye, mostly because I'm still affordable compared to others.

And sure there's book time but you can bill whatever you want.

Just like making a deal on a car purchase, all that ultimately matters is out-the-door price. The problem with these fees is they get tacked on afterward and you learn about them when you see the final invoice

My existing/long term costumers never complain about price, I raise my labor when needed to keep a healthy profit margin. I don't care for tacked on fees & using parts mark-up matrixes.

 

[KrisZ]

It's entirely plausible that this is indeed implemented from the parent corp. It could be part of breaking down the costs vs profits.
That's why a "parent" corporation is utilized. Because even though the money ultimately flows into few select pockets, these corporations flow money between each other, they borrow from each other and provide services for each other. All of that lessens the overall tax burden.