It's impossible to compete with Apple, says third-party iPhone repair shops
Due to lengthy delays in parts processing and steep costs, third-party iPhone repair providers say that there is no practical way that they can compete with Apple's repair chain.
Right-to-Repair
After facing increased pressure from legislators, Apple created its independent repair provider program in 2019. It gave small companies an Apple-sanctioned way to repair customers' devices, such as the iPhone, using genuine Apple parts and tools.
However, according to The Guardian, repairers feared that the move wasn't made in good faith. Instead, many thought it was done to avoid right-to-repair legislation put forth by the government.
Repairers in both the US and Australia now say that Apple's slow response times and high part costs make it nearly impossible to compete with Apple's in-house repair program.
The shop performs the repair and must return the "core" failed part to Apple for examination, refurbishment, return to service stock, or both. And they don't get credited for the broken part return until Apple assesses the part.
In the case of a warranty repair, Apple picks up the tab for the difference between the core price and the non-return price. Otherwise, the shop pays the bill, which is then passed to the customer.
Core prices are often up to 75 percent of the cost of the whole part ordered new. So, part accountability is important, and Apple has put prohibitions in place to prevent shops from selling directly to customers due to abuse in years gone by.
Shops selling parts to users are grounds for losing Apple-authorized status -- which can be financially deadly.
After subtracting overhead, like shop rent and labor, the third-party company actually loses money in the process.
And according to the Australian Communications Consumer Action Network (AACAN), customers also suffer.
As the cost of living in Australia skyrockets, many customers are choosing to try to repair devices rather than replace them outright. However, the delays and repair costs don't always make repair a feasible option, either.
"If you can't repair your phone in an affordable way or your device in an affordable manner, then that's a serious impediment to being able to actually engage in so many services, now the government and private entities are pushing so many services online," AACAN executive Andrew Williams told The Guardian.
The Right to Repair movement, which has begun to pick up steam over the last several years, has faced many challenges. The primary issue is that there is no consensus on what Right to Repair actually entails.
Read on AppleInsider
Right-to-Repair
After facing increased pressure from legislators, Apple created its independent repair provider program in 2019. It gave small companies an Apple-sanctioned way to repair customers' devices, such as the iPhone, using genuine Apple parts and tools.
However, according to The Guardian, repairers feared that the move wasn't made in good faith. Instead, many thought it was done to avoid right-to-repair legislation put forth by the government.
Repairers in both the US and Australia now say that Apple's slow response times and high part costs make it nearly impossible to compete with Apple's in-house repair program.
How Apple service and part supply works
For most authorized service centers, few -- if any -- parts are kept in stock. The remainder is ordered after the diagnostic process is complete and shipped by FedEx to the repair shop.The shop performs the repair and must return the "core" failed part to Apple for examination, refurbishment, return to service stock, or both. And they don't get credited for the broken part return until Apple assesses the part.
In the case of a warranty repair, Apple picks up the tab for the difference between the core price and the non-return price. Otherwise, the shop pays the bill, which is then passed to the customer.
Core prices are often up to 75 percent of the cost of the whole part ordered new. So, part accountability is important, and Apple has put prohibitions in place to prevent shops from selling directly to customers due to abuse in years gone by.
Shops selling parts to users are grounds for losing Apple-authorized status -- which can be financially deadly.
The cost of labor
One repairer told The Guardian that the average repair takes an hour to an hour and a half. So if that company were to charge the same rate Apple charges customers for repairs, the company only profits about $60.After subtracting overhead, like shop rent and labor, the third-party company actually loses money in the process.
And according to the Australian Communications Consumer Action Network (AACAN), customers also suffer.
As the cost of living in Australia skyrockets, many customers are choosing to try to repair devices rather than replace them outright. However, the delays and repair costs don't always make repair a feasible option, either.
"If you can't repair your phone in an affordable way or your device in an affordable manner, then that's a serious impediment to being able to actually engage in so many services, now the government and private entities are pushing so many services online," AACAN executive Andrew Williams told The Guardian.
The Right to Repair movement, which has begun to pick up steam over the last several years, has faced many challenges. The primary issue is that there is no consensus on what Right to Repair actually entails.
Read on AppleInsider
Comments
Anyone 2whwop thinks that an mfg would give equal priority to indepents over their own facilities is misinformed and naive. It’s been that way forever in every industry.
Try getting a guitar amplifier repaired.
What F else do you want?? You’ve convinced legislators to draft a law just for you, now you’re still complaining?
Given that, it seems optimistic to think that independent repair shops could do better. They have every right to try, but Apple has no obligation to make their business model profitable.
Try taking your car for, warranty repair, to an independent mechanic...
They complain about the affordability of doing repairs on a $1500 iPhone.
Why should Apple provide repair parts at a discount to you?
Particularly since Apple runs their repair program at a loss.
Apple deserves to make a profit on repair parts also.
They don't give these away for free or at a loss to repair shops.
Solution: just charge customers more if you want to make a higher provit
from doing repairs.
We are talking here about Independent Repair Providers - Apple IRP. Be sure that holding Apple genuine parts in stock is total economical suicide, as these parts prices far exceed its true value in compare with brand new whole units at stores.
Otherwise, you're right.
For starters, reputable dealers have found it worthwhile to offer repair services for the entirety of the same period.
Secondly, AppleCare allows Apple to play around with how the numbers add up.
And then there is the whole question of why repairs cost what they do. Namely time involved, complexity and if the design requires substituting perfectly good parts.