Blog
3/9/2025

How much does a car really cost?

List Price vs. “Piece-by-Piece” Cost

When we buy a new car, the price we see at the dealership tells only part of the story.
A city car starts at around €15,000, a mid-size sedan ranges between €30,000 and €40,000, and a premium model easily exceeds €60,000.
These retail prices are made possible by economies of scale, highly efficient assembly lines, and supply chains capable of delivering millions of components.

But what would happen if, instead of buying a complete car, we tried to build one by purchasing only original spare parts individually?

Numbers speak for themselves:

  • Engine: €10,000 – €15,000
  • Transmission: €6,000 – €8,000
  • Bodywork: €20,000 – €30,000
  • Interior: €10,000 – €14,000
  • Electronics and wiring: €7,000 – €9,000
  • Brakes and suspension: €8,000 – €12,000

Total amount: €80,000 – €100,000 to rebuild a car that costs €25,000 when purchased new.

Some case studies even estimate multipliers of up to ten times the original price.

Why does this happen?

  • Spare parts are sold at a markup compared to their industrial production cost.
  • Service networks and logistics significantly impact pricing.
  • The economies of scale of industrial manufacturing are not exploited.
  • Manual assembly cannot compete with automated production lines.

In short: buying a new car is far more cost-effective than rebuilding it piece by piece. And it is precisely this mechanism that makes spare parts and the aftermarket a strategic source of profitability for manufacturers.

What if this same logic applied to industrial machinery and processing machines?

The automotive industry teaches us a simple principle: the value of a product does not end with the sale. It continues to generate margins over time through its lifecycle, spare parts, and service.
Many manufacturers of automated machinery and processing machines, however, still focus almost exclusively on the initial sales price, underestimating the true potential of the aftermarket.

Applying the automotive logic would deliver significant benefits:

Consistent revenue streams: every spare part sold not only generates higher margins than the complete machine, but also ensures recurring revenue. This business model reduces dependence on new orders and helps stabilize profitability over time.
 
Lifecycle value enhancement: easily accessible spare parts and fast, reliable service bring more reliability to the eyes of customers. This increases their likelihood of buying again from the same supplier. In other words, aftersales becomes a powerful driver of customer loyalty.
 
Predictability and planning: monitoring and managing spare parts enables man
ufacturers to forecast future demand, optimize inventory levels, reduce obsolescence, and plan production more effectively.
 
Competitive advantage: in saturated and highly competitive markets, offering a clear, professional service experience is a stronger differentiator than simply competing on purchase price.
 
A value-driven ecosystem: machine builders do not sell just a product—they enter their customers’ factories. Providing support, upgrades, and spare parts transforms the manufacturer from a simple “equipment supplier” into a strategic partner.

Digital tools that make this transformation possible

To turn these benefits into reality, manufacturers need digital platforms and solutions that structure aftersales operations with the same logic adopted in the automotive sector:
  • Interactive spare parts catalogs: online, ERP-connected, and continuously updated catalogs that allow customers to identify and order the correct component in just a few clicks.
  • Integrated customer portals: dedicated areas where users can access documentation, manuals, orders, and maintenance history.
  • Preventive maintenance configurators: tools that recommend spare parts for replacement based on operating cycles, machine hours, or IoT sensor data.
  • ERP–CRM–CAD integration: a connected ecosystem that reduces errors, automates updates, and accelerates the availability of new spare part codes.
  • Data analysis and predictive AI: to estimate spare parts demand, plan inventory, and reduce tied-up stock.
  • B2B e-commerce: with customer-specific conditions, turning aftersales into a full-fledged digital sales channel
In conclusion, the automotive example clearly shows that spare parts and aftersales are not a cost, but a strategic asset.
 
Bringing this logic to automated machinery and supporting it with the right digital tools opens the door to new margins, stronger customer loyalty, and a more sustainable and competitive business model.
 
 
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