Reaction to New NAGS Pricing Mixed
June 21, 2013

by Jenna Reed,

The new Spring 2013 National Auto Glass Specifications (NAGS) International Benchmark Calculator has now been on the market for about a month and reaction from auto glass retailers is mixed.

On one hand, Linda Rollinson of Superior Auto Glass of Tampa Bay, says the recent drop in pricing on some windshields is cutting into her profit margins. Meanwhile, the president of Glass Doctor says it's always a good thing when auto glass companies can save consumers a few dollars.

"I am not thrilled with the NAGS changes," says Rollinson. "Our economy has not improved to the point where prices should or could be dropping. One of my most popular windshields, FW03239GBN was listed for $819.35 in August 20011. In March 2012, the list was $691. In August 2012 it was down to $593.45. And in November 2012, it went down to $534.90. In February 2013, it dropped again to $529.75. And in June 2013, it saw another drop to $529.75.

"In the meantime, my purchasing of this part has not dropped in half. Another one, FW03371GBN, has become disappointing for me and has drastically reduced my profits. I guess I wouldn't mind so much if the cost went down also, but in most cases, the cost stays the same or only gets a dollar or two shaved off," she continues.

"This means there are not nearly the profit margins we used to see. The kicker is that our insurance, taxes and general operating costs keep increasing, while NAGS and the insurance companies keep going lower and lower. One can barely survive on auto glass repair and replacement along anymore," Rollinson adds.

Mark Liston, president of Glass Doctor, takes a more positive tone.

"It is always positive when we can save a few dollars for the consumer. I hope, however, that companies continue to focus on AGSC certification for their technicians instead of worrying if NAGS saves a dollar here or there," he says.

"We continue to need more professionalism in our industry by providing the safety that a quality installation offers," he adds.
Bob Beranek of Auto Glass Consultants in Sun Prairie, Wis., says auto glass pricing is based mostly on popularity and inventory.

"I think that the shift in pricing was due to a miscalculation of inventory the year before," he explains. "I think that the manufacturers had more inventory than they wanted and lowered the price to increase turnover and lower inventory for the new model year coming up.

"It seems to me that the only parts that are consistently going down in price are the parts that fit older vehicles. This is a common business practice to reduce the inventory of continually slower moving parts," Beranek adds.

Kerry Soat of Fas-Break in Chandler, Ariz., says his opinion on the new NAGS Calculator is "whatever."

"No one knows how they arrive at their pricing since the formula is a secret, but the biggest issue the glass warehouses are not using the NAGS Calculator in their pricing. They arrive at their own list prices and their own discounted pricing to sell us glass. We, in turn, use another list price to re-sell the glass to the insurance industry. We hopefully make a profit," Soat says.

"As installers, we do the best we can with what we have to work with," he adds.

How do you feel about the new NAGS pricing? Please share your thoughts by emailing You can also share your feedback by visiting the AGRR™/™ forum here.

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