Quote:
Originally Posted by 302 XC
You mentioned you pay $40 and retail is $90, thats fairly normal, actually a tad under what many retailers could charge
$90 mark up on a $40 product,probably is a stretch ,
But,add it up
$40 manufacture,plus GST $4 =$44
Then freight say $10 ,plus GST = $11
Retailer mark up of 100 % = $110 ,plus another GST slice =$121
Thats what many larger retailers work with and the margins they have
You wonder why manufacturers,wholesalers are trying to sell direct to cut the massive mark ups, that many larger stores cant get anymore
The greedy are screaming loud.ask gerry harvey
I bought new brake pads for the patrol
1 on line wholesaler $60 an end, fancy retail store $130 an end
Both places in brissie and both places within 20 Ks from each other
Same brand,same part number ,crazy hey
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probably all true, but the fancy retail store probably caters for a hell of a lot more stock on the floor with many different items and a lot more warehouse footage to pay fixed costs on,
where the on line retailer has selected items shipped in bulk order that he gets very very cheap, the fancy retailer probably has more people that are actually supplying a service and at a hell of a lot more cost to him.
the fancy retailer supply`s you with goods there and then on the spot, the fancy retailer supplies you with an address and shop front to take items back if they are faulty immediately,
while i will agree there probably is a certain amount of profiteering, but you can`t just blame the retailer, many people get a slice of the pie(especially govco, many times over). at the end of the day one is suppling a service , the other goods and services.