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I can't imagine the short-term gains from this sort of scheme would outweigh the long-term negatives. I love the idea that "Many times the the price hike goes unnoticed to the consumer". And when it doesn't go unnoticed, the consumer has Facebook Places and DealerRater handy on their smart phone to let the world know. No one with a background in sales would come up with a scheme that seems designed to destroy customer satisfaction, but I bet Bean Counters love the idea.

I stopped taking my TT to the Audi dealer for service soon after the warranty expired. Partly because they were an hour away. Partly because of what they charged for parts. And mostly because I found an independent that I really trust (Greenfield Imported Cars - they deserve the shout-out, I love these guys!).

The trust factor is huge. A dealer needs to ask, "is it worth destroying my customer's trust just to charge $1.85 on a part with a $1.00 list price?"