SteveL
Huge chevy guy
You are off base.
The 351/408 is much less expensive but not for the reasons you assume. The fact it bolts in pretty much without any modifications, bolts to transmissions that are normally found in Broncos, pretty much a stock replacement.
Coyote still needs adapting. They don't just bolt in. You have to go through kits or a lot of your own fabrication to get them in there.
If the shop was trying to make a buck, there is more profit to be had in doing a coyote. A lot more parts to sell you, at a mark up. And a lot more labor to charge you as well.
A 408 swap is a weekend project, a Coyote would be a full week, if you could devote a full week to it non-stop and could source all the little bits that will hold you up.
What he said