The sale of spare and wear parts is a lucrative area for many machine and plant manufacturers due to the comparatively high margins. Unfortunately, also a very competitive one. For this reason, you should regularly check your prices for spare and wear parts as well as for services and maintenance and readjust them if necessary.
When analyzing your prices for spare and wear parts, consider the following aspects:
- How high is the competition for this part?
- What damage will the failure of this part cause?
Furthermore, experience and market data should be considered, which can vary from industry to industry.
If your analysis shows that there is still room for price increases for some parts, it is important to consider how often these parts are sold or how much they are in the focus of your customers. Frequently sold parts are usually under special observation of your customers. A price increase should be made gradually and not all at once. For parts that are sold less frequently, it may be easier to implement the price increase.
It is recommendable to offer some of the parts under special observation permanently at a favorable price compared to the competition. This will lead to your customers considering your prices as fair overall and may result in an overshoot on other - more expensive - parts.
It is also common to adjust prices according to customer segment. A customer who has bought an expensive machine from you usually has high demands on functionality and performance. This customer will be more willing to buy more expensive (original) spare parts than a buyer of a cheaper machine.
Overall, your pricing should be logical and comprehensible to the customer. If this is not the case, it can quickly lead to displeasure and confusion.
Also, with regard to your service costs, check whether the current hourly rate is still appropriate. A higher price can make your services appear more valuable, provided the service is of correspondingly high quality and the price is in line with the market.