Controlling costs for any business is a challenge they face every day… even while sleeping. However, for independent mechanics and auto repair shops, the difficulty usually rises as costs go over the sky in terms of retail prices.
Maintaining a reliable inventory becomes a hassle, and no profits are seen in most cases. No to mention how customer satisfaction decreases if there is no obvious and prompt solution to the issue.
The rise of automotive surplus for mechanics and car parts liquidation for shops has become a life savior for everyone.
It has created a new opportunity to access high-quality parts, tools, and equipment without spending a fortune. Instead, at a fraction of retail prices.
Our team at Coastal Surplus Solutions knows this well, as we have been working in the industry for over a decade. We understand how surplus works, what mechanics and auto repair shops need, and how to source it.
Here, we want to show you how shops can leverage surplus channels for both everyday repairs and long-term business growth. Hence, take the time to read thorough and get all the information.
Parts Categories: OEM vs. Aftermarket Surplus Inventory
How do you know what to choose within the surplus market? OEM or Original Equipment Manufacturer parts, and aftermarket options are often compared. And for good reasons.
You need to determine which option works best or if a combination is more doable. It all depends on your requirements and how you can work on sourcing the items.
For OEM surplus, you have to consider:
- These are genuine parts made by the vehicle’s manufacturer. Hence, they are more expensive and valuable.
- They guarantee perfect fit and performance and often come with a warranty even during liquidations.
- The problem is that the final price can actually make you consider if they are worth it.
But what about aftermarket surplus?
- These are third-party manufacturers that make the pieces.
- They are less expensive and more on the affordable size.
- Quality varies depending on the specific maker and manufacturer.
- Some aftermarket brands offer warranties, but most of them don’t.
Another option is relying on reconditioned parts. These components are cleaned and repaired. While the quality may vary as well, they are more on the OEM quality side at a lower price.
According to the Global Electronic Service Inc, the latter is a good option when balancing costs and quality. Don’t discard it right away just because it is something new.
Tool Liquidation: Professional-Grade Equipment at Discounts
More than parts or pieces, automotive tools surplus and auto shop equipment liquidation are available.
They can provide access to a lot of services and offer more profit if you are the reseller for them.
All of them help offer diagnostic scanners, work on compressors, tire changes, and much more. Every item at deep discounts worth your time.
The equipment from shop closures and dealerships can be found as well, with overstock distributors. However, be careful with the quality.
Finally, immediate cash offers and fast shipping from surplus specialist, such as Surplus Parts Service and CAM International, are available. thus, finding pieces won’t be out of question.
Tools often represent the higher upfront investment for your place or shop. However, it can be controlled if you work on the surplus option.
All of it will still guarantee getting high quality and almost like-new equipment.
Inventory Management: Storing and Cataloging Automotive Surplus
Managing your inventory, whether you are a reseller or independent mechanic, will be key to maximize the value of your surplus purchases.
Take the time to organize, catalog, and work on the turnover of your pieces. You want to optimize your space as well and measure expenses around the items.
The organization step works more on identifying the parts by type, make, and model for quick retrieval. Consider using bins and shelves to put them in accordingly.
Cataloging focuses more on maintaining the parts based on a location, quantity, and the numbers in them. are they old, damaged or need refurbishing? This is also part of the features to note.
The turnover is to work on looking at your inventory regularly. You want to make sure you don’t have overstock and if so, you should start cleaning it.
All of this is to optimize your space and make sure you don’t have more expenses in warehousing and excess.
Storage can become pricey, so you want to make sure you know how much space is being used and how.
It Is Possible: Success Story with Tampa Auto Shop Reducing Part Costs by 40%
Many people believe this is just rambling.
However, a Tampa-based independent mechanic proves otherwise.
He leveraged independent mechanic wholesale parts and surplus equipment channels. He took the time to overhaul his inventory strategy and see what works for more profits.
The mechanic sourced both OEM and high-quality aftermarket parts, making it doable on the cost-effective side.
Through this, he was able to reduce its average parts costs by 40%.
How did he obtain them? Trade shows, liquidation deals, specific discounts, and platforms for them.
The savings he achieved were reinvested in diagnostic tools and expanded service offerings. This boosted his business and resulted in higher customer satisfaction.
Coastal Surplus Solutions know how this works and where to find surplus.
Feel free to discuss with our team the options and how we help you get your parts and tools in no time.
