# Outrageous markup by dealers on parts.



## Spidey (May 11, 2009)

My Sienna back hatch wouldn't open and my son, who is fairly mechanically inclined, found it needed a plastic part. So we contacted Toyota. The cost -$114.00. So my son checked online - $8.00 for the part, $15 including shipping. I'm a free-enterpriser and I realize that dealers have to make a profit but a hundred dollar markup on an eight dollar part strikes me as being a little into the gouging territory.


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## Rusty O'Toole (Feb 1, 2012)

A few years ago I needed a set of gears for the rear axle of a Chev Suburban. Better than OEM quality from an aftermarket (racing parts) supplier, $189. From the local GM dealer, $1400.

Guess why we call them "stealerships".


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## Sasquatch (Jan 28, 2012)

Google and E-bay are your friend :encouragement:


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## Retired Peasant (Apr 22, 2013)

junk yards are good for finding parts.


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## RBull (Jan 20, 2013)

Good reminders guys. 

+1 on the stealer part.


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## Cal (Jun 17, 2009)

I have a buddy who is a mechanic, he says it is criminal how parts get marked up by dealers/repair shops.


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## OptsyEagle (Nov 29, 2009)

I have said it once and I will say it again, Car dealerships are simply organized criminal organizations ... without the whacking.


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## carverman (Nov 8, 2010)

Spidey said:


> My Sienna back hatch wouldn't open and my son, who is fairly mechanically inclined, found it needed a plastic part. So we contacted Toyota. The cost -$114.00. So my son checked online - $8.00 for the part, $15 including shipping. I'm a free-enterpriser and I realize that dealers have to make a profit but a hundred dollar markup on an eight dollar part strikes me as being a little into the gouging territory.


I ran into the same problem with a bearing hub for my dodge truck a couple years back. OEM part from a Chrysler dealer $400+ taxes. ($452) Found the same type of
front wheel bearing hub online in the US listed in Ebay Motors It was under $90 US, but they(us auto parts dealer) didn't ship to Canada, however, they would ship to a shipping consolidator located in the US for free.

I paid $5 for a one transaction membership with the shipping consolidator, who then shipped it to me by DHL airfreight and delivered it to my door. 
I still got charged Canadian taxes by DHL, shipping, custom's clearance and exchange on the dollar, but I saved about $200 (I figure)+ the taxes on the $200.
So in essence, I got a new part for about half price compared to the dealers markup. 

Yes, it was a bit more hassle and exchanged emails and informing the parts supplier in the US where to ship the part to the consolidator in NJ, and then I had to
go into my consolidator account and process the item sitting in their warehouse to be released for shipping. This was a heavy part about 15 pounds, if I remember.

A bit unsure at first if I was doing the right thing with this kind of ordering process instead of buying the part here from a parts supplier, (which was a bit cheaper than
the dealers ripoff prices, but once I got the hang of it, it wasn't that difficult to do online using your credit card to pay. 

My truck was famous eating front wheel bearings and in another instance, I went to my local junk yard and although they didn't have the exact wheel bearing hub
I needed, they have a "junkyard network" and within 3 days, they found a used bearing hub for me for about $90 they charged me, if I remember correctly.
The used parts only carries a 30 day warranty with the junk yards....in other words, if you get a dud, they will replace it immediately but that's about all.


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## carverman (Nov 8, 2010)

Sasquatch said:


> Google and E-bay are your friend :encouragement:


Yes, I have bought a few parts on Ebay Motors, and never had any problems with ordering or the parts..well except for oxygen sensors. I ordered two of those to replace
my oem ones and it was a bit confusing with the way the parts were listed,the engine displacement, the type of exhaust in the truck (dual exhaust or single with a cross over) and
the whether the O2 sensor was "upstream" or "downstream" of the cat convertor. Nevetheless, I eventually figured it out and ordered both. When it came to install them,
the garage installed one (upstream) and it plugged in ok. When they went to install the downstream (after the cat) the mechanic told me that the plug on the O2 sensor
and the harness "didn't line up" and they couldn't twist it on, so they had to order a part from a local supplier and I had to pay for that again, + the installation bill.

I didn't realize when ordering, that the front and rear O2 sensors have different indexing on the twist on connectors, and are not directly interchangeable, even though it's the same sensor.
Live and learn as they say.


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## m3s (Apr 3, 2010)

Capitalism is a crime? If people are willing to buy parts and service at the dealer's inflated prices that's their fault right? They don't make much on cars anymore because more people know to Google before they buy a car, but far less people research the parts and many think they have to go to the dealer to keep their warranty... I used to wonder how the dealers were so clueless about their own products, but their sole concern is to sell stuff at ridiculous prices.


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## rikk (May 28, 2012)

carverman said:


> Yes, I have bought a few parts on Ebay Motors, and never had any problems with ordering or the parts ... well except for oxygen sensors ...


Thank for reminding me ... :cower: I have a code P0420 on my jeep which indicates bank 1, driver side, O2/cat problem ... come spring I'll remedy that ... I'll be checking the dealer price on the O2 upstream/downstream sensors, used doesn't sound like a good idea, looking online looks to be risky, could easily order the wrong part. And the thing that irks me is ... I doubt very much there's a catalytic converter failure ... it's the system that monitors the cats that's failed :cower: Worst case I'm guesstimating if I can't fix it myself, 2 sensors and maybe 2 hours labor at my trusted neighborhood mechanic ... $400 or so ... for something that's not broken ... end of rant :encouragement:

Some explanation ... I'm in Ontario, my plates renew this coming October, that check engine light has to be off before then else no plates ... and about that $30 fee or whatever to check ... my opinion, ridiculous.


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## andrewf (Mar 1, 2010)

Like so many other things in life, this is a tax on the lazy and the ignorant. It's like the people who buy monster hdmi cables at Future Shop for $100.


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## hystat (Jun 18, 2010)

Spidey said:


> The cost -$114.00. So my son checked online - $8.00 for the part, $15 including shipping.


I suspect this is not apples to apples. Either the online part is surplus, being sold for pennies on the dollar, or it's aftermarket. 
I suspect Toyota's markup is in the neighbourhood of 50%, not 1400%


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## rikk (May 28, 2012)

hystat said:


> I suspect this is not apples to apples. Either the online part is surplus, being sold for pennies on the dollar, or it's aftermarket.
> I suspect Toyota's markup is in the neighbourhood of 50%, not 1400%


Or could be the situation's similar to the tailgate latch on my jeep ... the latch contains a micro switch that activates a solenoid that pops the window glass when the tailgate is opened. The $5 micro switch is not available from Jeep, but the latch c/w micro switch is ... for $95. In my case there was a corroded connection to the switch, I cleaned it up, re-soldered it, et voila ... $95 towards my weekend :biggrin-new:


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## carverman (Nov 8, 2010)

rikk said:


> Or could be the situation's similar to the tailgate latch on my jeep ... the latch contains a micro switch that activates a solenoid that pops the window glass when the tailgate is opened. The $5 micro switch is not available from Jeep, but the latch c/w micro switch is ... for $95. In my case there was a corroded connection to the switch, I cleaned it up, re-soldered it, et voila ... $95 towards my weekend :biggrin-new:


Yo da man! That's what I would do before paying them their "blood money'.


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## carverman (Nov 8, 2010)

andrewf said:


> Like so many other things in life, this is a tax on the lazy and the ignorant. It's like the people who buy monster hdmi cables at Future Shop for $100.


When a $5 to $8 HDMI cable available from online sources do just as well. I can't believe people would spend this kind of money on cables without shopping around first..but it seems they do.


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## carverman (Nov 8, 2010)

rikk said:


> Thank for reminding me ... :cower: I have a code P0420 on my jeep which indicates bank 1, driver side, O2/cat problem ... come spring I'll remedy that ... I'll be checking the dealer price on the O2 upstream/downstream sensors, used doesn't sound like a good idea, looking online looks to be risky, could easily order the wrong part. And the thing that irks me is ... I doubt very much there's a catalytic converter failure ... it's the system that monitors the cats that's failed :cower: Worst case I'm guesstimating if I can't fix it myself, 2 sensors and maybe 2 hours labor at my trusted neighborhood mechanic ... $400 or so ... for something that's not broken ... end of rant :encouragement:
> 
> Some explanation ... I'm in Ontario, my plates renew this coming October, that check engine light has to be off before then else no plates ... and about that $30 fee or whatever to check ... my opinion, ridiculous.


Buy yourself a code reader at CTC or any automotive supply store...they are around $49 now and they will read the code and tell you what the code means.
Plug them into the diagnostic connector located at the bottom of the dash on the drivers side below the steering column. Turn it on , and the ignition key
on but don't start and it will read any P-codes. There is a "reset code" option on these, so all you is press reset, it will ask you to confirm and that's it.
If the O2 sensor is "plugged" then the light will come on after a day or so of driving, so you may need to reset it again before taking it in for an emission
test..if the sensor hasn't been replaced before the emission test. 

If it's a Chryler product and you are getting those codes..its the 02 sensor(s) ,not the cat. I had the same code. I decided to order both online (bank1) because my Dakota had a crossover and single exhaust system. Both of the sensors I got would work in the upstream 02, which is the usual one that gets fouled, but the downstream sensor (after the cat) happened to have a different index in the plug. I don't know why they did that..maybe to sell different part numbers and
make more money for the dealer as they are exactly the same sensor. I ordered 

BTW..those sensors get thread seized in the exhaust pipes, and you need a special socket and heat them up with a torch to remove them
Sometimes the threads get "galled" when it is seized, and that may require retapping the threads before screwing in the new sensor.

http://www.ebay.com/itm/Upstream-or...es&fits=Make:Jeep&hash=item461949966d&vxp=mtr

If you look at the plug shell outside and inside, you will see the index tabs. This is ensure that the sensor and the sensor heater wires are
connected correctly. 
Not a nice job if you are working on your back in your driveway in the winter.


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## Video_Frank (Aug 2, 2013)

carverman said:


> I can't believe people would spend this kind of money on cables without shopping around first..but it seems they do.


From my experience, people go into Future Shop to buy a TV / receiver / bluray player and are told by the salesperson "Do you need an HDMI cable?" The say yes and are shown the $59.99 Monster cable, or whatever. They want to go home and have it work immediately. Most people don't realize you can walk into Canada Computers and buy a decent cable for under $10.00. (apologies for continued thread hijacking)


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## hystat (Jun 18, 2010)

Dollar store great for HDMI Cables and the like - not always necessary to wait for the shipping.


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## andrewf (Mar 1, 2010)

Canada Computers is great. Just about any cable format or length you could want at reasonable prices.


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## lb71 (Apr 3, 2009)

carverman said:


> Buy yourself a code reader at CTC or any automotive supply store...they are around $49 now


I've never seen anything that cheap. At a minimum they're a $100, but usuallly in the $200-300. I don't know the differences between the machines, so don't know if the extra cost is worth it. Fortunately, my mechanic doesn't charge me for the reading when the check engine light goes on, and will reset it for free if it's not an issue.


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## rikk (May 28, 2012)

lb71 said:


> I've never seen anything that cheap. At a minimum they're a $100, but usuallly in the $200-300. I don't know the differences between the machines, so don't know if the extra cost is worth it. Fortunately, my mechanic doesn't charge me for the reading when the check engine light goes on, and will reset it for free if it's not an issue.


Fwiw ... I've not posted the product name but there are a quite a few ... "Bluetooth OBDII Diagnostic Scanner, $29.95" ... used wirelessly (Bluetooth) with the torque app on my laptop.


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## m3s (Apr 3, 2010)

rikk said:


> Fwiw ... I've not posted the product name but there are a quite a few ... "Bluetooth OBDII Diagnostic Scanner, $29.95" ... used wirelessly (Bluetooth) with the torque app on my laptop.


Yup I use one with my iPhone for diagnostics, real time gauges you usually don't have, programming electronics, engine tuning, data-logging etc etc etc.. The app with mine is really handy with good explanations and common fixes for the error codes, even has the recall notices, service bullitins ect etc.. all cars should just come with this function built in already... dealers would hate that though!


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## carverman (Nov 8, 2010)

lb71 said:


> I've never seen anything that cheap. At a minimum they're a $100, but usuallly in the $200-300. I don't know the differences between the machines, so don't know if the extra cost is worth it. Fortunately, my mechanic doesn't charge me for the reading when the check engine light goes on, and will reset it for free if it's not an issue.


It depends what you want out of these OBDII scanners. 

The cheaper ones just read the codes, some may even have the reset function. The more expensive ones ($100-> $300) have more diagnostic capability and can communicate with the onboard engine management computer to provide more details. If you can get a free code read and reset, that's great, 
but what if you are on the road and the all of a sudden, the check engine light comes on and the guages don't tell you what the problem is? 

I had that happen to me, fortunately, I pulled over to the side of the road, hooked up my OBDII scanner, that I aways carried with me along with my tool box, and determined from the code from the code manual supplied, whether it was a serious problem..or just a minor problem to continue. 

Here's on on Ebay for $48 US + shipping. I've bought a *similar unit (Innova) at CTC when they were on sale..a long time ago for about $69*. 
http://www.ebay.com/itm/Innova-Equu..._Automotive_Tools&hash=item43c462fee7&vxp=mtr


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## Ponderling (Mar 1, 2013)

Spidey said:


> Toyota. The cost -$114.00. Online - $8.00 for the part, $15 including shipping.


But if your part was needed to get the car back on the road, and the dealer had it for you the next day, while the web supplier might take two weeks to get the part to you need, would that change your opinion of the situation.

i can count on one hand the number of times I have directly used a dealership for my auto parts or service needs while in more tha 30 years or driving cars I own.

When I do want the part the same or next day, i am pleased that there is a mechanism, the dealer, to source me that part.


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## sbakar (Jan 24, 2014)

Discount parts suppliers (such as Magnem Parts in Burnaby, BC) are a great source of warehouse-priced parts because they sell to small independent repair shops in addition to DIYers. In the USA, large mail-order facilities such as RockAuto are excellent on price.

SNB


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## jagger (Jan 12, 2011)

I buy auto parts from rockauto. Shipping might be a little high, since they're based in the US. I usually get my parts shipped to a parcel receiving depot on the other side of the US-Canadian border, and only pay for domestic shipping.


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## Eclectic12 (Oct 20, 2010)

carverman said:


> When a $5 to $8 HDMI cable available from online sources do just as well. I can't believe people would spend this kind of money on cables without shopping around first..but it seems they do.


 ... or they are more towards the "Bill Gates" set where their time isn't worth the difference .... :rolleyes2:

[ ... said while wishing to be in that group ... :biggrin: ] 



Cheers


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## Eclectic12 (Oct 20, 2010)

Video_Frank said:


> ... Most people don't realize you can walk into Canada Computers and buy a decent cable for under $10.00. (apologies for continued thread hijacking)


Or Costco and get five cables of different lengths for $30. 

(You know you are going to buy more devices to connect, right?)


Cheers


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## Jim9guitars (May 5, 2012)

I was quoted $1400.00 for parts and labour to replace all 4 wheel bearings in a Dodge Stratus. I declined, went to an auto parts chain store and was quoted $40.00 per wheel for the parts and was given instructions on how to do it. About 4 hours of my time and under $200.00 total I had new wheel bearings. I won't say it was easy but it is do-able for the average reasonably fit, mechanically inclined person. I also had a positive experience with buying parts on ebay, but the best thing I did was buy a newer low mileage car when the Stratus finally packed it in due to a broken timing belt. BTW, why a belt? Didn't they use to use a timing "chain" that rarely ever broke?


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## PoolAndRapid (Dec 3, 2013)

..


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## OurBigFatWallet (Jan 20, 2014)

We buy whatever parts we can on ebay and routinely save at least 75%


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## rossco12 (Dec 4, 2013)

For toyota parts, go to villagetoyota.com, they are by far the most reasonable dealer I have found. When I had my '85 toyota pickup, I needed a new 4 position heater switch for it. I was quoted $145 by my local toyota dealer - completely absurd. The only thing those people were useful for was the part number :encouragement:. I got it from village toyota in the states for $15.


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## sags (May 15, 2010)

New car dealerships actually don't make very much on the sale of a new car.

They make all their money on the "extra" stuff like rustproofing, window tint, and warranties.

They depend on car repairs to keep the dealership open.


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## OurBigFatWallet (Jan 20, 2014)

Dealers also have huge markups on air filters. We change our own engine air filter (takes a couple minutes) and cabin filter. The dealer charges $60 for an engine air filter. They sell for $12 at Canadian Tire. The dealer sells cabin filters for $65. We bought a set on eBay for $8 each


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## andrewf (Mar 1, 2010)

Canadian tire also charges too much. Buy off Amazon (or other) for less.


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## Tightwad (Mar 28, 2014)

Spidey said:


> I'm a free-enterpriser and I realize that dealers have to make a profit but a hundred dollar markup on an eight dollar part strikes me as being a little into the gouging territory.


No kidding.

I stopped banging my head against the wall years ago and do most of my shopping in the US. Be it car parts, clothes or anything else.

I just ordered a 20 liter pail of a commercial chemical cleaner from the Canadian distributor in the US. So here we have a Canadian product that the local distributor lists for $299 and immediately discounted to $200 (easy with that kind of mark-up) that I got for US$68 in the states.


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## birdman (Feb 12, 2013)

I thought there may be a site on this subject so here is my rant. I broke the trailer light receiver on my truck and the dealership quoted me $87.50 for a new one. Went to Lordco and they had one for 10.99 and one for 18.00 which was EXACTLY the same as the one from the dealership. Went to the dealership and expressed my dissatisfaction.


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## Rusty O'Toole (Feb 1, 2012)

I can beat that. Needed a new crown gear and pinion for a Chev Suburban. Dealer quoted $1400. Top quality aftermarket parts, $189.


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## DollaWine (Aug 4, 2015)

Doesn't the shipping and handling kill you guys when ordering heavier parts online? Or do you only use the online route for lightweight parts?


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## Mechanic (Oct 29, 2013)

It's tough to beat the high mark up if the dealer is doing the work, as they want to supply their own parts. The problem is most of their own parts are manufactured by the same suppliers that supply the aftermarket. The car manufacturers use the same bearings, seals, brakes, gears, suspension, exhaust , etc. etc. The vehicle manufacturers have the parts manufacturers make the various components to their specs as required. The dealer then has to buy the parts through the vehicle manufacturer distribution chain and as a result it passes through many more distribution levels and each one has a markup.


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## KevinWaterloo (Mar 5, 2015)

Its not just that. The entire car repair industry relies on revenue from parts sales in order to advertise a competitive hourly shop rate. I've spoken with my mechanic at length about this. He would prefer to sell parts at cost and make all of his income from his shop rate, however if he did that his rate would be significantly higher than his competitors and he wouldn't get any business. He has to mark up the price of parts in order to make a living.

I occasionally buy parts directly from my mechanic when I am doing the job myself. He charges me a percentage over his cost, but the result is still much less than he would charge if he was doing the work. He knows that when I ask for parts I have already made my decision to DIY the repair and I'm either going to buy the part online in Canada or the US or buy from him. He is competitive with online prices and he still makes a bit of money on the sale. But if I turn around and ask him to do the install he will add additional markup on the parts.

I think it is pretty a pretty dishonest practice in general, but I'm pretty sure that most of the industry is doing it and it is hard to change.

I don't think that most consumers realize this. Dealers typically have higher overhead than independent shops since they usually carry more staff and a higher expectation for service, size, cleanliness etc. They often can't charge a significantly higher hourly shop rate, so they need to make up the difference with higher markups on parts.

This is also why DIY for auto repairs can often result in significant savings. You aren't just saving the labour, but you can often save dramatically on the parts.


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## 1980z28 (Mar 4, 2010)

I have worked as a mechanic for 37 years

Parts mark up is large
Like a Mattress


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## Rusty O'Toole (Feb 1, 2012)

DollaWine said:


> Doesn't the shipping and handling kill you guys when ordering heavier parts online? Or do you only use the online route for lightweight parts?


Sometimes they offer free shipping if the order is big enough. Other times there is a flat charge for 'up to' a certain weight. It pays to buy everything at once, even throw in a couple of oil filters or a spare fan belt to minimize shipping charges.


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## MrMatt (Dec 21, 2011)

Get a better garage. Mine lets me supply my own parts, and they don't mark up parts much if at all.

For my last brake job, I supplied the rotors and pads, and they had no issue, same labour rate and time.


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