Do you offer services at your music store?
With rising costs and tightening budgets, many music store owners are boosting revenue by adding instrument repairs, rentals, and music lessons. These services typically bring in higher profit margins than instrument sales — 30–40% on instruments versus up to 80% on services.
Instrument repairs, in particular, can be highly profitable, but only if you price them strategically.
In this blog, we’ll share six practical tips to help you set the right repair prices and turn your services into a reliable source of income.
Let’s get started.
Here are our top tips for setting profitable prices on musical instrument repairs.
Start by researching local competitors. See what other music stores charge for repairs — but remember, you don’t need the lowest rates to succeed.
Some shops focus on “quick fixes.” These low-cost solutions make an instrument playable but don’t truly solve the problem. By offering high-quality, lasting repairs, you build a strong reputation and earn customer loyalty, even if you charge more.
Ultimately, only offer services that are profitable. Calculate your costs, including staff wages, replacement parts, and other supplies, then determine a fair rate that ensures a reasonable profit margin.
Related Read: Gross Margin by Product Category: Which Instruments Actually Make You Money?
Next, you need to decide between flat rates, hourly rates, or a combination of both. Each one has its advantages.
Flat rates work best for routine jobs you can complete quickly, like a guitar restring. Hourly pricing is better for complex or unpredictable work, like custom repairs on a vintage violin.
It can be hard to know how long a repair might take, and sometimes more issues are revealed once you start working. Consider a hybrid model where you charge a flat fee for a set period, then switch to hourly billing for additional work. If you bill by the hour, track your time carefully and charge according to the agreed-upon amount.
Related Read: Music Service Revenue Tracking: Are Your Repairs and Lessons Profitable?
Once you’ve chosen a pricing method — flat fee, hourly rate, or hybrid — you need to provide reliable estimates for each repair.
Some customers know exactly what’s wrong, while others may simply say their instrument doesn’t sound right or isn’t working. Your first step is to diagnose the issue. Then determine what supplies are needed and how long the repair might take.
It’s better to overestimate time and cost than to underestimate. Finishing a repair a little faster or at a lower cost than expected often leaves the customer pleasantly surprised.
Be sure to include the price of parts and supplies, like cleaning materials or grease, in your quote. Most music stores also mark up replacement parts from wholesale value to cover costs and make a profit.
Providing a quote gives customers a clear baseline for repair costs and can make them more likely to proceed. At this stage, be careful to distinguish between what is just a verbal estimate and what’s an official quote.
When presenting a quote, explain your reasoning behind the amount. Break down labor costs and clarify that more complex or time-consuming work will be more expensive. Let customers know the price may change if parts costs rise, additional issues are discovered, or staff schedules shift.
If a new issue comes up or the cost increases, contact the customer right away to get their approval before expanding the scope of the repair.
You may choose to offer warranties with the instruments you sell — either included with the purchase or sold separately. Whichever option you pick, establish clear policies explaining how the warranty works and what it covers.
Most warranties apply only to defects that existed when the customer purchased the instrument.
They typically don’t cover issues caused by the customer, like:
This is why setting rules from the start helps you handle customer service issues as they come up.
Keeping digital records also makes managing claims easier. When selling an instrument, note who purchased it and its serial number. If a claim is made, take photos of the instrument and write a description of the problem. Maintain detailed documentation of the instrument’s condition and any repairs to prevent misuse of the warranty.
Some customers may be surprised by the cost of a repair. In these cases, take time to explain the scope of the job — including its complexity, the technician’s time, and the replacement parts needed.
If a customer isn’t willing to pay for a full repair, consider offering a simpler, low-cost solution that makes the instrument playable, rather than completing an extensive overhaul that addresses every issue.
Related Read: Using In-Store Signage To Increase Sales: 10 Tips for Music Retailers
Charging too much for repairs can make it hard to attract customers, while charging too little can eat into your profits. To successfully launch these services, you need to set the right rates. This includes deciding on flat versus hourly pricing, managing warranties, and providing accurate quotes. You should also be prepared to educate customers who may experience price shock.
A digital system can help you manage multiple work orders simultaneously and keep customers informed through the repair process.
Music Shop 360 is a cloud-based point of sale (POS) solution designed specifically for music stores. With dedicated repair features, you can record information for individual jobs, track time, find replacement parts, and store information about past fixes for future reference. You can also send customers messages right from the system to keep them updated throughout the process.
Our all-in-one software offers many other useful features, like payment processing, music supplier catalogs, lesson scheduling, and rental tools.
To see what Music Shop 360 can do for your store, schedule a demo today!