Marking up Merchandise

Joseph Garrett joegarrett@earthlink.net
Wed, 16 Nov 2005 09:43:02 -0800


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Dean said: "
Another factor you are not considering, Joe, is the time it takes to
sell the system. It is not uncommon for me to recommend a Dampchaser
multiple times to a customer, each time spending several minutes giving
the pitch, passing out the brochure, sometimes fielding phone calls from
church deacons. Plus the added overhead of keeping a couple units in
stock. I feel like I need more than a 50% margin for such a sales
intensive system, more like 75%.
One place to improve the margin on these systems is to buy your speaker
grill cloth at Joann Fabrics by the roll and Velcro tabs in bulk.
Material cost for a bottom cover install goes from $35 down to $12. This
lets me do an undercover upgrade for $60 and that is an easy sale.
I've trained my teenage sons on how to install the Dampchasers and
undercovers. They make $30/hr and I still make a good margin.

Dean,
When I 'splained my approach on D-Chasers and Dollies, etc., I put an "etc." at the end of that sentence. That "etc." was referring to the "sell time" and other things, as well. 
In my area, I seldom do a complete system, as it's not needed, (Humidity is relatively medium-high 'round here. Homes are modern and constant, for the most part. And, The climate is pretty consistant.). Therefore the "undercover", as well, is not needed, with few exceptions. Yes, I have installed them. I find the under-cover a royal pain to install! (Yes, I've read all the "tips" youse guys/gals have for that odius operation!)


Joe Garrett, R.P.T. (Oregon)
Captain, Tool Police
Squares R I
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