Community Forums

tmandoug1 · 01-26-2023, 08:38 PM

Got a call today and it would seem their hourly rate is going to 165 and and all parts are increasing 10% which means their markup is now 310%. 🤣🤣🤣🤣🤣.

With appointments being a year out I guess they can pull it off. Go get em Winnebago!

Peace

BayRunner · 01-26-2023, 08:55 PM

Welcome to the current world of keeping personnel on the job.

GW4607 · 01-26-2023, 08:59 PM

Supply and demand!

Winepress · 01-26-2023, 11:47 PM

Quote:

Originally Posted by GW4607

Supply and demand!

Exactly.

RVStitchy · 01-27-2023, 04:08 AM

As a business owner, ff your payroll didn't go up 10% last year you will be scratching you head wondering why you can't keep or find good people. Our business insurance also went up 10% this year.

Clemson · 01-27-2023, 06:28 AM

Geez. Some people understand why this is happening and others complain when the sun comes up. My dealer’s “average” technician has 19 years experience on Newmar coaches and the most senior techs labor rate is $205 per hour. You cannot expect to keep this caliber of technicians for $25 an hour. IMO

tmandoug1 · 01-27-2023, 06:33 AM

Not complaining about the hourly rate, they were low to begin with. My complaint is the part markup.

jaydee325 · 01-27-2023, 07:31 AM

Just curious, what is the source of the reference to 310% markup on parts?

I've been around the parts game first as a heavy equipment service tech, then in a part time retirement gig. There are different "classes" of parts from whole goods to hard parts etc and they all had differing markups depending on volume moved and other factors.

I've not seen 300% though.

twojayhawks · 01-27-2023, 08:05 AM

I'm a small business owner and have seen increases like never before in over 40 years. I provide health insurance for all my roughly 75 employees. It went up almost 14% for 2023. Business insurance about 10%. I have about 40 technicians on the road in one ton service vans. Price of vans has gone up about $8000 each. Fuel costs have been sky high. Wages have been climbing since the start of covid. Every industry is in the same boat. Of course the prices we charge for service, parts, etc. have skyrocketed. This is NOT sustainable.

tmandoug1 · 01-27-2023, 10:33 AM

Quote:

Originally Posted by jaydee325

Just curious, what is the source of the reference to 310% markup on parts?

I've been around the parts game first as a heavy equipment service tech, then in a part time retirement gig. There are different "classes" of parts from whole goods to hard parts etc and they all had differing markups depending on volume moved and other factors.

I've not seen 300% though.

One example of many with their parts would be the AC gasket. They charge $120 for the a two piece gasket one of which has a notch. I found the same two piece gasket for $19.95 and cut the notch myself. I guess that would be closer to a 500% mark up. Now if you get the four little rubber blocks that mounting screws go through that would raise the price to $360. Windshield wiper arm is another but I don't remember the numbers, just that I got it from the manufacturer for $45ish and I think they wanted $165 but don't hold me to it.

I understand that employees touch parts for the company as they go through the process of packaging/shipping and people have to take a percentage to charge their timecards. My issue is the severe increase on "some" of their parts. There is a difference between adjusting for supply and demand and gouging loyal customers that utilize their services annually. I will probably be blacklisted and all of my parts will be more expensive from this point, but it irks me to no end.

I too have played the parts game from both the purchasing side and the supply side. So I know how it works. People that don't know the difference between a $300 Grade 8 stainless steel bolt and a normal bolt would always balk.

But I am old now and may not remember that correctly either....lol.

Peace

Rev. Roy · 01-27-2023, 12:29 PM

Hey, WalMart just announced that they were increasing the pay for their employees by $2 an hour in order to keep their employees. This was the same day IBM announced a big layoff. That's a good example of a economy in turmoil if I have ever seen one.

PetesMH · 01-27-2023, 01:57 PM

On the other hand I bought a replacement LED ceiling light from Newmar and it cost $6 and arrived at my door in 2 days. No complaints. Prices are going up everywhere. It’s called inflation and it far worse than the official numbers being released. Local prices for services (barber shop, dry cleaner, florist, plumber etc) are up 25%.

Clemson · 01-28-2023, 12:43 PM

If you had to modify the gasket you got then it’s not the exact gasket as you said in your post. OEM parts have always been higher in price. I have owned two Newmar coaches and do not find their pricing too high. You get a 1 year warranty, free shipping and no sales tax and most importantly you are paying a share of that fabulous facility, which isn’t a one person Amazon shop.