How to Price Phone Screen Repairs: A Step by Step Method
Price phone screen repairs with a method you can repeat: part cost, labor time, overhead, warranty risk and a market check, plus a worked example to copy.
To price a phone screen repair, add four costs for that model: the landed cost of the screen, your labor time at your hourly rate, a share of your overhead, and a reserve for warranty redos. Then divide by one minus your target profit and card fees to get a price, round it, and check it against what other shops and the manufacturer charge. Do it once per model and quality tier, write it in a price list, and update it when part costs change.
Why "what the shop down the street charges" is not a price
Copying a competitor feels safe, but you do not know their part costs, their rent, their warranty or whether they are making money. Two shops can charge the same price for an iPhone screen and one can be losing money on every job. Your price has to cover your costs first. The market tells you whether that price will sell, not what it should be.
The method below takes about an hour the first time and five minutes per model after that.
Step 1: Work out the landed part cost
The part price on the supplier's site is only the start. Your landed cost is what the part really costs you once it is on your bench.
- Part price for the exact model and quality tier.
- Shipping share. Divide a typical order's shipping by the number of parts in it.
- Defect and breakage allowance. Some screens arrive dead, some crack during install, and some get returned. Track your own rate (screens that fail or break divided by screens used) and add that percentage. If you have no history yet, track it from today and revisit the number after your first few months.
- Minus any core credit. Wholesalers such as MobileSentrix and Injured Gadgets list LCD buyback programs for cracked screens. If you send screens back for credit, subtract the average credit you actually receive.
Landed part cost = (part price + shipping share) × (1 + defect rate) − average core credit
Step 2: Measure your labor time
Time real repairs, from the moment you pick up the phone at the bench to the moment it is tested and bagged. Include the parts you forget: intake at the counter, testing before and after, cleaning, and the customer conversation at pickup.
For a sense of scale, iFixit's iPhone 14 screen replacement guide rates the job as moderate and estimates 45 minutes to 1 hour for its readers. A practiced technician is usually faster on bench time, but your full time per ticket still includes intake and testing. Use your own measured average, by model, because some models take much longer than others.
Then pick an hourly labor rate. If you pay a technician, start from their hourly wage plus employer taxes and benefits. If you are the technician, use what you would have to pay someone to replace you.
Labor cost = hours per repair × hourly labor rate
Step 3: Add your overhead per repair hour
Rent, utilities, insurance, software, marketing and your own management time have to be paid by every repair, not only the big ones.
- Add up your fixed monthly costs (everything except parts and technician wages).
- Estimate the billable bench hours your shop produces in a month (technicians × hours they actually spend on repairs).
- Divide: overhead per hour = fixed monthly costs ÷ billable bench hours.
- Multiply by the repair time: overhead per repair = overhead per hour × hours per repair.
Shops that are slow have a high overhead per hour. That is a signal to fill bench time, not to raise every price.
Step 4: Set aside a warranty reserve
Every warranty claim costs you a second part and a second round of labor. Price that risk in instead of hoping it does not happen.
Warranty reserve = expected claim rate × (landed part cost + labor cost)
Track your claim rate by part tier. Lower cost screens often have a higher claim rate, which is why a longer warranty on a cheaper part can cost you more than it earns. Match the warranty length to the part: a longer warranty on your best tier, a shorter one on the budget tier, and both written on the ticket.
Step 5: Add profit and card fees
Add the four costs:
Base cost = landed part cost + labor cost + overhead per repair + warranty reserve
Then price so that, after card fees, you keep your target profit:
Price = base cost ÷ (1 − target profit % − card fee %)
Use the card fee your processor actually charges you. The target profit is your decision. It is what is left for you and for growing the shop after every cost is paid.
Worked example (hypothetical numbers)
The numbers below are made up to show the math. They are not real part prices, wages or market prices. Replace every one with your own.
| Line | Example input | Example result |
|---|---|---|
| Part price | $60.00 | |
| Shipping share | $2.00 | |
| Defect and breakage allowance | 5% | $62.00 × 1.05 = $65.10 landed |
| Labor | 0.75 hours × $30 per hour | $22.50 |
| Overhead | $6,000 fixed per month ÷ 200 bench hours = $30 per hour × 0.75 hours | $22.50 |
| Warranty reserve | 4% claim rate × ($65.10 + $22.50) | $3.50 |
| Base cost | $113.60 | |
| Target profit and card fees | 20% profit + 3% card fee | ÷ (1 − 0.23) = $147.53 |
| Rounded price | $149 |
Check the result: at $149, a 3% card fee is $4.47, leaving $144.53. Minus the $113.60 base cost, that is $30.93 of profit, about 20.8% of the price. The math holds.
Now run the same sheet for each tier you offer. A premium screen with a higher part cost and a longer warranty will land at a different price, and that difference is what you explain to the customer.
Step 6: Check the market, then decide
With your cost based price in hand, look outward:
- Other shops near you. Check their websites and listings for the same model and the same quality tier. Compare like for like: warranty length, part quality and turnaround.
- The manufacturer. Apple publishes out of warranty screen repair estimates on its support site. It notes that tax may apply, that a shipping fee may be added, and that Apple Authorized Service Providers set their own fees. Use it as a reference point for what customers may have already seen.
Then decide:
- Your price is well below the market. You have room. Consider a better warranty or a premium tier rather than a race to the bottom.
- Your price is in line. Compete on speed, warranty and how you treat people.
- Your price is well above the market. Do not just cut it. Go back through the sheet. Is the part cost too high (try another supplier), is the repair slow (training or tools), or is overhead spread over too few repairs (marketing, business accounts)?
Offer two or three tiers, and say what each one is
Most customers decide in seconds when you give them a clear choice:
| Tier | What it is | Warranty you might offer | Who picks it |
|---|---|---|---|
| Genuine | Manufacturer part, where available | Your longest | Customers who want the original look and feel |
| Premium aftermarket | Your best non genuine screen | Medium | Most customers |
| Budget | Lowest cost screen that still meets your standard | Shortest | Older phones, price focused customers |
Be clear about which tier you install. On recent iPhones, Settings shows a Parts and Service History that can label a replaced display as Genuine, Unknown or Used, so customers will see it. Tell them first, write the tier on the ticket and on the receipt, and you avoid the angry call a week later.
Keep your price list current
A price list is only as good as the part costs behind it. A few habits keep it honest:
- Review prices when a supplier changes a part cost, not once a year.
- Watch your claim rate by tier and adjust the reserve or the warranty.
- Re-time your top five repairs every few months. Faster technicians mean lower labor cost per job.
- Look at profit by repair type, not only total sales, so a busy month does not hide a losing repair.
In SpotsPOS Repair, each repair can carry its parts, a labor price and a labor cost, so the ticket shows both what you charge and what it costs you. Quick Repairs save your most common jobs (like a screen replacement for a specific model) as one tap templates with the price already set, and your inventory keeps each part's store cost. Reports show what you repaired and what you earned.
Frequently asked questions
How much should I charge for a phone screen repair?
Build the price from your own costs: landed part cost, labor time at your hourly rate, a share of overhead and a warranty reserve. Divide that total by one minus your target profit and card fees, round it, then compare with local shops and the manufacturer's posted estimates for the same model and quality.
What profit margin should a phone repair shop make on screens?
There is no single right number, because rent, volume and part quality differ from shop to shop. Choose a target profit that covers growth and your own pay after every cost is counted, then check that the resulting price still sells in your market.
Should I charge less for aftermarket screens?
Usually yes, because the part costs less, but a cheaper part often has a higher warranty claim rate. Price each tier with its own part cost and its own warranty reserve, and tell the customer which tier they are getting.
How do I include labor in a repair price?
Time the whole job, from intake to tested and bagged, and multiply the hours by your hourly labor rate (wage plus employer costs). Use your measured average for that specific model, because some phones take much longer to open than others.
How often should I update my repair prices?
Update a price whenever its part cost changes, and review your top repairs every few months for labor time and warranty claims. Small changes in part cost add up quickly across hundreds of repairs.
Ready to put your price list to work? See how SpotsPOS Repair tracks parts, labor and profit on every ticket.