Originally posted by XKontour98:
Originally posted by ancientsanskrit:
Originally posted by ancientsanskrit:
Uhmmm...if they charge $25 for the full oil change, how are they making a profit? The oil itself is $25 if they only do 5 qts as the guy who worked for them stated (Mobil-1 is approx. $5/qt). That's a hell of a deal.
Retail price is $5/qt that is not the price that walmart pays for it. Also how much do they sell the 5qt jugs of it for ?
Yes it is 5 qts included in the oil change and then they charge you ~$5 for the extra quart
IIRC, it is $20/5qt jug. So Walmart probably pays $18. Throw in the filter it's 2/3 bucks. Comes to $21 cost and $4 profit for synthetic oil. That's still cheap. I've seen local oil shops around my area charge $50 for synthetic oil changes (includes 6qts, however is twice the price). I'm just stating that this is very affordable for synthetic oil.
You guys are crazy if you think Wally World is only making $2 on each 5qt jug of Mobil 1! 
The volume which they buy this stuff, along with their superior inventory management indicates otherwise. Also I'm sure they are making a nice little profit on the filters.
Originally posted by Majisto:
The oil change is just an add-on to its normal business. Wal-Mart doesn't care if it doesn't make a profit in that division, because it makes plenty of profit elsewhere.
This is also quite true. They don't care what their profit margin is on oil changes. They just care that you are stuck there and have to walk around the store.... HOPING you will then buy something, which most people do. Whether it gets people in the store, or it just keeps their regular customers happy, Wally World oil changes are just a side business. Although I'm sure it still addds to their bottom line, and is most certainly not losing them money.
Originally posted by Majisto:
You go to a Wal-Mart in a college town, and some 20-something year old guy is going to come out and care as much about your car as he does his life. Almost every person in their 20s I have met is rude.
Wow, that's quite the blanket statement to make! Now I'm not going to wig on you, because it would only prove your point 
, but c'mon.... Saying most 20 year olds in the world are rude and don't care about their lives is more than a bit closed minded..... 
Last edited by Bridge; 04/05/05 10:58 PM.
