• Ron Giuntini

B2B aftermarket exchangeable spare part pricing – scenarios for OEMs



Increase of modularization and standardization within aftermarket spare part business has enabled the service organizations to re-use, re-purpose, and retrofit the more expensive spare parts to increase their deployable life, while they increase the repair and maintenance efficiency through part/ module exchange.


At the same time OEMs employ such enablement to serve a greater span of customer segments with different levels of price sensitivity, while they also improve their environmental footprint.


Such possibilities need to be accompanied with the right pricing approach to increase the efficiency and effectiveness of the customers’ search for the right product at the right price. The pricing of a spare part has many drivers resulting in dramatic price differences for the same part number. Note that a part number retains its form/fit/function regardless of price. Consideration of the full spectrum of such drivers and scenarios, is a matter which is usually neglected by many OEMs, resulting in having ONE price point per spare part or simplified pricing linkages between new and retrofit, or substituting spare parts.


Below is a table that provides several pricing scenarios based on various price drivers for interchangeable spare parts. Please Note that the baseline for all Aftermarket part number pricing is Scenario #1. In other scenarios price is discounted from the baseline.



Which scenarios match spare parts within your aftermarket assortment?