What people are not understanding is how much more expensive it is to run a B&M repair business than it used to be. I've laid out a basic outline of my expenses before, and a basic outline of my labor charges before for other business owners and the general consensus is "How the heck do you make any money?".
The business model is not ours to change. We are one cog in a huge machine. There's no phone I can pick up to call the "Repair President" and make him change the entire system. I either figure out how to make it work, or I join the WIDE range of repair businesses that have either shut their doors or become completely crooked.
Internet parts are great for people who don't buy them frequently enough to know how many of them are complete garbage. Everything from poor fit, won't fit at all, early failure, to complete destruction of the unit installed on. I can list off the top of my head the items that are going to never even make the machine operate in the first place.
We have to store until repair. There's just no way to shut down a bay so we can wait for a bad part to be shipped back to be swapped out in order to make pocket change. We already have to do this for the parts we can only get from the OEM that have to be shipped in. If we were to exacerbate this issue by dealing with Internet parts, we would pretty much never get anything done.
I have a very simple policy for "bring your own parts":
* Zero warranty on parts and labor.
* Zero guarantee anything is going to even work
* Full estimate paid upfront
* 100% customer liability for any additional labor due to issues with said parts
Is this because I'm a huge jackhole? Nope. I've literally watched a 1 hour install turn into an 8 hour job because of problems with an internet part. DOA is not unheard of. Seen poorly engineered radiators destroy transmissions and engines (oil/water mixing), and more. These parts are cheap because unlike our suppliers or the OEM, they are accepting zero liability. If there is a problem, customer is going to do absolutely nothing to make me whole. Internet supplier is going to do nothing. So I grant the same favor for the customer. My supplier has changed out a part (picked up and delivered) in hours. They have compensated labor losses. They have paid for damages the same day. RA, eBay, etc. is going to do NONE of that.
I do actually have customers (dealers, commercial operators, etc.) who gladly accept those terms to save a buck. They're actually quite happy with it. They're already used to reaping the savings of accepting their own liability with the occasional serious loss. It's territory they're quite familiar with.
When a bay or a vehicle fails to make money on a certain day due to whatever issue, there is no magic turtle who absorbs the costs for that day. It's a hit. Again, we already have to deal with this stuff because of OEM's limitations or availability. There's no reason in the universe to try and exacerbate these issues.
I still do what I can to help customers. There are actually some very reliable online suppliers who I deal with for certain circumstances. Not often, but it's all situational, and always has to make sense.
Markup is a reality of business. If anything, the repair business has some of the lowest markups in the wide range of business. One of my businesses is food supply. I can tell you from experience that a lot of the food people eat has been "marked up" anywhere from 300-2000%. Is there a good reason why? Heck yes. Running a restaurant is TOUGH and expensive.
Every year, taxes get higher, insurances get higher, we have to buy more new equipment, city makes us buy more equipment, we have to do battle not to be zoned out of existence by developers, etc,etc. It goes on and on.
There is a reason why most people who start or buy a repair business eventually run screaming away from it if they know how to do anything else. If I didn't have the passion (or stupidity) to want to work with machines, I'd sell out and never look back tomorrow.