Markup?

BrownDawg

BrownDawg

Well-known member
What percentage would be considered as the standard in business nowadays for a manufactured product?

Remember the $400 hammer's someone was selling to the government?
 
B

Bronto

Well-known member
Selling a mass produced item. Lowest would be 65% of MSRP for competitive markets and inventory sell off. High demand and low supply market MSRP is acceptable.

Its from the 30% over wholesale model in average market conditions. lt works out to be 65% of MSRP. Shipping charges is additional.
 
B

Bronto

Well-known member
Heh you got to get with it. :laughing

Was at the County Fair recently selling $4 dollar plastic bottles of water. It was priced fixed by all the concessionaires.

I don't know the current food prices at major league baseball games. Bet you have to show up with a Grant if you want a pennant, cap, hotdog and beer. :laughing
 
aminalmutha

aminalmutha

Well-known member
BrownDawg said:
What percentage would be considered as the standard in business nowadays for a manufactured product?

Remember the $400 hammer's someone was selling to the government?
Click to expand...

I love how people love to quote that. After seeing how the .gov works up close and personal, I can tell you, that $400 hammer was not some $5 Home Depot piece of shit.

It probably had to meet a litany of Mil-specs, every single person who was involved in the design, manufacture and handling of the hammer probably had to be vetted, sign an NDA, etc, the company had to test the shit out of said hammer, provide a humungous report on the testing, and could not use any of the design or development of the hammer for commercial use for at least 20 years. And the company making the thing had to provide them for at least 40 years.

And the .gov bought 1200 of 'em. And the company that made 'em still lost money on 'em. You think I jest...
 
afm199

afm199

Well-known member
The markup on industrial stuff is huge.

In the electrical industry I was told to knock 40% off list as a guide for bidding, by a supplier. The best I got was a supplier who offered to sell me $40k retail for $15k cash.
 
JesasaurusRex

JesasaurusRex

Deleted User
what's typical markup on aftermarket car parts, not talking brake pads, talking about things like performance parts/accessories/sound systems etc.

reason i ask is i think i was undercharged for a part i recently bought and paid to have installed. Little savvy when it comes to automotive stuff and i'm pretty sure they were a bit generous on the hours billed for labor. Mind you the hours it took for the install was disclosed beforehand, so it's not like the sprung that on me last second.

My gut says to call them and explain the situation, which i'll probably do regardless of the responses here, but i am curious as to mark up on such items regardless. The undercharge wasn't so great as to where I don't think they made money on the job anyways, but that's neither here nore there.

Thanks BARF!!!
 
Mike95060

Mike95060

Work In Progress
JesasaurusRex said:
what's typical markup on aftermarket car parts, not talking brake pads, talking about things like performance parts/accessories/sound systems etc.

reason i ask is i think i was undercharged for a part i recently bought and paid to have installed. Little savvy when it comes to automotive stuff and i'm pretty sure they were a bit generous on the hours billed for labor. Mind you the hours it took for the install was disclosed beforehand, so it's not like the sprung that on me last second.

My gut says to call them and explain the situation, which i'll probably do regardless of the responses here, but i am curious as to mark up on such items regardless. The undercharge wasn't so great as to where I don't think they made money on the job anyways, but that's neither here nore there.

Thanks BARF!!!
Click to expand...

Dude, they took pitty on your Mustang.
 
Sharky

Sharky

Well-known member
aminalmutha said:
I love how people love to quote that. After seeing how the .gov works up close and personal, I can tell you, that $400 hammer was not some $5 Home Depot piece of shit.

It probably had to meet a litany of Mil-specs, every single person who was involved in the design, manufacture and handling of the hammer probably had to be vetted, sign an NDA, etc, the company had to test the shit out of said hammer, provide a humungous report on the testing, and could not use any of the design or development of the hammer for commercial use for at least 20 years. And the company making the thing had to provide them for at least 40 years.

And the .gov bought 1200 of 'em. And the company that made 'em still lost money on 'em. You think I jest...
Click to expand...

Or the gov't bought a $10 hammer and funneled $390 into a black program and just wrote $400 in the books to keep the accountants happy.
 
Mr. White

Mr. White

Well-known member
Markup to whom?

"Traditional" distribution is manufacturer >> wholesale distributor >> installer/retailer >> end user.

Sometimes the distributor is taken out of the mix.

Sometimes the distributor and retailer is taken out of the mix.
 
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