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Old 02-27-2012, 09:03 AM   #1
xdpsm
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Join Date: Jan 2012
Posts: 8
Default Modifying Trucks for Sale

When it comes to upgrading new vehicles and selling them, how do dealerships generally deal with profits in each department

The reason I ask is:

- We are making special edition trucks to sell as new
- Wheels, boards, graphics, etc are going on the truck and the only take offs we have are the stock wheels

Should both the parts and service departments be selling internally at Retail rate or discounted rate?

Who pays for the take offs? Sales or parts?

Can you give me some examples of what your dealers have done?

Last edited by xdpsm; 02-27-2012 at 09:29 AM.
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Old 02-27-2012, 10:30 AM   #2
79LilRedExpress
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Join Date: May 2008
Posts: 713
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Quote:
Originally Posted by xdpsm View Post
When it comes to upgrading new vehicles and selling them, how do dealerships generally deal with profits in each department

The reason I ask is:

- We are making special edition trucks to sell as new
- Wheels, boards, graphics, etc are going on the truck and the only take offs we have are the stock wheels

Should both the parts and service departments be selling internally at Retail rate or discounted rate?

Who pays for the take offs? Sales or parts?

Can you give me some examples of what your dealers have done?

I treat each dept as an independent business.
The parts are sold to the sales dept at 15% over cost (factory or aftermarket)
Service internal rate is the same as used car dept pays, roughly $20.00 off customer pay.
Take offs go into parts inventory at below wholesale triple net, I will usually set that figure to keep the fighting down between the departments.
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Old 02-28-2012, 09:44 AM   #3
jdemonto
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Join Date: Mar 2009
Posts: 207
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We do a huge Jeep business like what your trying to do i the truck aftermarket. We came out with a brochure with all of our packages that has helped the sales people a ton!

We generally throw away the take off parts, parts credits us for the popular wheels.

Jason
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