Air fill cost/price

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Just spent the afternoon chatting with the guys at my LDS. To make a living, they have service (includes instruction) and retail aspects to bring in money.

They get about one OW class per month, except Dec & Jan when none, and 8 students per class. Two guys are doing their best to make a living at this, but instruction certainly won't pay the bills with those numbers.

Their solution includes retailing other outdoor sporting goods (camping, kayaking, etc...) and they use air fills as a way to drive repeat floor traffic. Some small portion of those customers will buy the $600 BCs and $500 regulators, but I'd guess it's hardly an everyday occurance. Lowering their prices on these items just won't drive more traffic.


On the other hand, a high volume shop in Florida that has 4 or 5 instructors with classes running all the time can afford a different approach. Dedicated dive shops are in competition, and air fills are still driving customer traffic in experienced divers. Markups on BCs, Regs and Computers can be lower since they can sell in higher volume.

:hmmm: This is already starting to sound a little bit like the WalMart and Kroger model. In short, customer demand and the marketplace will determine how many dives shops an area can support, and market factors will dictate prices.

So what's a diver to do? :idea: Move somehwere warm with lots of diving! Imagine the money you'll save.
 
I get my $2.50 airfills by buying them 20 at a time. My $7.00 Nitrox fills, by buying them 10 at a time. Many times they do not mark my air card, or only mark a portion of the fills. Sometimes they don't even mark my NitrOx card, but I ALWAYS remind them to. I am sure my air fills are closer to a $1.00 or a $1.50and NitrOx down to $6.00 or so.

The manager is very very customer oriented and affable. I send friends and aquaitances to him all of the time. When I broke my toe outside of their shop, they have called to see how I am, as well as made sure I made it to the emergency room. How could I NOT be loyal???
 
Originally posted by NetDoc
How could I NOT be loyal???

Pete, I am surprised that after all the good things you had to say about your LSD that you are asking for suggestions on how to be disloyal to them....

It baffles me....
 
You can't get good customers these days. If you don't give them a reason to go somewhere else they go on the net asking for one!
 
My LDS just got done installing a membrane compressor for making Nitrox a few months ago.

They spent a fortune to buy it, build an extension on the shop to house it and then to install it.

Now they bank 30% (Jersey Mix) and air.
AL80 fill EANx30 = 10$ while u wait
AL80 fill EANx22-100 = 15$ + mix & come back tomorrow...

You know, it's funny how many people ask for 30% now.

And they are also suddenly doing a booming business O2 cleaning everything in site and holding nitrox cert classes...

They are also hoping to offset some of the costs by doing volume business as they are the only place in the area banking anything other than air and a 100% mix cylinder.

After making some spread sheets based on the mixing formulas and showing the owner what can be done (RE: mixing) and the savings that can be had in 100% O2 cylinder refills by doing so, we've got him looking at banking 40% now as well since the
compressor is rated up to 40% O2.
 
Originally posted by dc4bs

After making some spread sheets based on the mixing formulas and showing the owner what can be done (RE: mixing) and the savings that can be had in 100% O2 cylinder refills by doing so, we've got him looking at banking 40% now as well since the
compressor is rated up to 40% O2.

splain
 
The dive club I am in here provides free tank fills for it's members. So, I don't pay anything. I am one of 3 people that work the equipment and fills. I don't know what the LDS ask for since I don't use them.
=-)
 
I buy a 100 air a $2 a fill and 100 nitrox at $5 a fill.This lasts me and the Mrs. about 18 months.My buddy has a fill station (air,nitrox to O2,He and argon)in his garage for all the more complex fills.I don't have a lot of experience in dive retail,but nobody here with a decent shop drives a Yugo.I have a buisness of my own and freebies or "loss leaders" are all part of the game.The real money in our area is in selling new divers stuff and working on everyone else's gear ,this more than offsets the low or no profit in fills.
 
Just to put it into perspective, I checked with our compressor guru, and a PP compressor costs around $18,000. I think this includes bank bottles, but I forgot to ask. It doesn't include the booster pump, which I think is needed for HP fills...that is another $10,000-$12,000. Or the oxygen and helium tanks...which are very expensive here (have to come from the states). Not to mention the power bill, which is in the 4 digit range each month.

Our shop has air fills for $3.00 and nitrox fills starting at $4.00 (depending on the mix). We just started doing trimix..but I think its around $50.00 a fill (but don't quote me on that one!) Needless to say, we definitely take a loss on fills...but we don't want to air the price because it keeps people coming back.

We do depend on retail sales to stay afloat. Luckily, we are in an area where there are a lot of military people that have money to burn!! And, we have a dive club that offers discounts (manufactures do set the ADVERTISED retail price...but discounts are allowed in packages) which makes everyone happy!

I really don't blame people for buying items online...especially if their LDS doesn't carry it or can't get it. But, it is the sales that keep dive shops in business.

Just my $0.02 worth
 
I'm a big Rennaker fan due to the quantity of Haskal's (sp) on site. $0.20 ft^3 O2 $0.50 ft^3 He $0.35 ft^3 Ar
and 34% O2 (21,000) by ft^3 unbelievably reasonable.
Lloyd Bailey's tops off double 104's for $5. So does Ginnie. It seems like air fills are very close to free in most places.
 
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