OEM Parts Prices

[steve2006]

Having finally retired and having more time on my hands I am now getting around to those long standing niggling faults on my Celsior.

One of them is the failure of the power steering idle up valve which results in a cloud of white exhaust smoke after being stood a few days and then starting the engine.

I could repair the existing valve with a couple of O rings but decided to replace the valve with a genuine one.

So let’s check the part number (17630-16040) and search suppliers.

First supplier is our very own Lexus Parts Direct who presently have them discounted from £132.94 to £122.30 plus £5.99 shipping.

Further searching found Nengun Performance who can supply the exact same part for £36.87 plus £5.22 shipping plus £3.68 optional insurance.

Both suppliers must obtain the part from Toyota at a “trade” cost so I can only assume that the mark up is higher with a UK supplier. 

But at almost 3 times the cost plus more expensive shipping how can this be justified!

OK I may have to pay import duty, VAT and “Admin charges” but even factoring this in it is still less than half the UK dealer price!

Delivery is 14-21 days from Japan...this doesn’t worry me the fault has been present for a year or so.

Another comparison... thermostat and O ring, LPD works out around £46.00, Nengun £15.00 plus possible charges.

I appreciate all businesses have to make a profit but there is a thin line between that and extortion!

[KenMavor]

Many so called higher end businesses (Lexus, Dior, Givenchy, apple etc.) have built up a brand, reputation and image that means people believe they are getting a superior product in every way. This includes after sales and parts after the event.

apple is the prime candidate in this area.  Iphones are made in exactly the same place, with similar parts, in a factory where they make other, "lower quality" phones.  There maybe differences but not to the tune of 5 times more expensive than the other products but people, in their millions, choose apple products, or a Lexus, or a what ever.

The Lexus image has to project that quality, even parts, so yes you are correct that the same part, under a different name costing 70% less will be exactly the same but people want to believe it is better.  Also, people can't be arsed looking for the cheaper part....they just want it fixed, by the lexus mechanic with Lexus parts and are suitably impressed and  comforted that it is exceedingly expensive...after all if it's expensive it MUST be of a better quality.

 

[steve2006]

Even cheaper at Amayama!

PS Valve, thermostat and gasket ordered from them at just over £60.00 including expedited shipping.

Even adding on another £12.00 VAT and an estimated £8.00 “ admin charge” it is still less than half the price of Lexus UK.

[Malc]

8 minutes ago, steve2006 said:

Even adding on another

possibly Customs Duty too ?

Malc

[steve2006]

47 minutes ago, Malc said:

possibly Customs Duty too ?

Malc

Apparently not, having looked at HMRC website only 20% VAT is payable on the total cost i.e. parts and shipping, not entirely sure on the admin charge from the UK courier. Royal Mail will insist, DHL may let it straight through and Hermes will probably lose it. 😀 Having further checked there should be no UK courier fees as the goods are valued below £135.00.