LDS prices on tanks

[Genesis]

Your cost looks to be $250 or so with shipping on small quantites, and if you can get a pallet worth its probably $10 or so cheaper (due to freight being more reasonable on motor freight), but will take a few more days for them to actually show up.

If you can get under $300 as a buyer, you're doing ok. (I don't count sales tax, since that doesn't go to the store - its a passthrough.)

The price I've got is a bit under $300 on the HP120, and a bit less on the HP100s.

$450 is pure and unadulterated rape.

LP, by the way, wants right near $300 for them. (So much for them selling things under cost eh? )

 

[oversea]

runvus4 once bubbled...
If the price difference between your LDS and LP is that far off, if you are on reasonable terms with your LDS, then ask them to try to come partway down on the price.

Certainly they may not be able to match the price of LP, but they may be able to decreast the difference by some amount such that the difference is be reasonable since you would be saving part of that difference from the shipping costs + vis.

Its kindof funny this topic has come up. I am looking to buy 2 more tanks for Nitrox however I really have no intention of buying from my LDS. I've spent a fortune with him figuring its better to solicit the local guy but I sware I'm geting screwed. I bought a core warmer the other day, it cost me over 200 bucks and then found a few online stores that were selling for approx. 100 bucks (and thats not LP).
What gives? Then I bought a used tank from him, trusting him and ended up paying close to what it is new. Why should I continue with the LDS? I'm honestly getting pissed with dive shops!!!!

 

[MikeFerrara]

Genesis once bubbled...

LP, by the way, wants right near $300 for them. (So much for them selling things under cost eh? )

I wouldn't expect them to sell below their cost but online merchants sometimes sell products below my cost.

On another subject it's that time of the year when dealer agreements come around. My wife tells me I have to read and sign some tonight. She also tells me that they are all getting real hard nosed about enforcing the "rules". Sounds like the plan is to try to cut the supplies of unauthorized merchants.

 

[Genesis]

She also tells me that they are all getting real hard nosed about enforcing the "rules". Sounds like the plan is to try to cut the supplies of unauthorized merchants.

It would be particularly interesting if "the rules" include what used to be "policies" - if so, I suggest you send copies to your state AG...

The camera people tried this 10 years ago.

All it did was destroy the local camera shops.

 

[MikeFerrara]

I think the only wording that has changed is that they give the impression that they intend to enforce the "policies". It appears as though some of the manufacturers are goint to insist that their producs be sold by diveshops.

I'll tell you this much though. We are getting set up to do online sales and if I don't need the liability, cost and work of teaching (and related costs like instructor insurance), pumping gas and a bunch of other stuff I am forced to have to be a dealer, I'm going to get rid of it and just sit at the computer. All that stuff is a hell of alot of work and it makes zip. Of course, I think that's what the manufacturers are afraid of. Think of it...processing orders and packing boxes. I can get someone for $5 or $6 an hour and I don't have to even be there. I can order inventory and audit things from home. When someone has a question they can email me. No more hanging around the shop till all hours of the night to entertain all the divers in town. No more spending all weekend doing weenie dives with OW students. No more late nights to meet the scheduling needs of all the students who just can't make it in with the rest of the class. No more standing around for hours answering questions and teaching someone about equipment just so they know what to order from LP. No more late nights fixing the compressor. No more getting hammered on the cost of compressor parts and air testing. This is going to be the life. I'm thinking that without the huge overhead of all that other stuff and witout all the hours of work I'll even be able to significantly lower prices. I can't wait.

 

[Northeastwrecks]

Genesis once bubbled...


It would be particularly interesting if "the rules" include what used to be "policies" - if so, I suggest you send copies to your state AG...

The camera people tried this 10 years ago.

All it did was destroy the local camera shops.

Yeah, they can use the other side for note paper.

Nothing illegal about vertical price restraints in the absence of a specific intent to monopolize and an actual chance of doing it. Not present here.

Besides, what would be wrong with shutting down unauthorized dealers again?

 

[Genesis]

I happen to think that de-coupling those things might actually be GOOD for the industry.

Look, I just got done setting up my fill station. The final box of pieces and parts (not strictly necessary, but I'm an anal SOB about safety - so I used them) arrived today.

By Monday I will be pumping my own gas. I will, once its set up, check the air quality with one of the "certified" folks just to satisfy myself (after all, its my azz if I pump myself a tank full of oil or CO, or blow myself up!)

The numbers are pretty compelling, actually. I suspect that "just a gas supplier" can make a nice profit. I suspect that "just a gear supplier" can make a nice profit (actually, I KNOW the latter can, since LP is out there and they obviously are!)

I suspect that de-coupling the cross-subsidies means that in the long run OW classes cost more, but that's ok. Training should cost what it really does cost to provide, and not be cross-subsidized, because I want QUALITY training (not necessarily a card at all, and definitely not in place of quality) - one of the pleasures of "rolling your own" is that you simply don't CARE if people like it or not.

Advanced training probably won't change much in price.

But the "puppy mill" mentality will! Good!

Further, there will be people who do only the parts they LIKE.

Breathing air is not exactly rocket science. Nor is equipment sales and service. Its the "three in one box" thing that I believe has caused problems, particularly because one of the three has a subsidized price point, thereby making it possible for people to play games with both it and the other two.

 

[runvus4]

oversea once bubbled...


Its kindof funny this topic has come up. I am looking to buy 2 more tanks for Nitrox however I really have no intention of buying from my LDS. I've spent a fortune with him figuring its better to solicit the local guy but I sware I'm geting screwed. I bought a core warmer the other day, it cost me over 200 bucks and then found a few online stores that were selling for approx. 100 bucks (and thats not LP).
What gives? Then I bought a used tank from him, trusting him and ended up paying close to what it is new. Why should I continue with the LDS? I'm honestly getting pissed with dive shops!!!!

Dont know how good terms you are on with your LDS, though it does sound like you have spend a decent amount of cash there. Do your pricing comparison prior to approaching your LDS. When they state their price, have you told them that it's more than you can afford and do you ask for any sort of price break? Again, they may not be able to match the price, but they should be able to come down on the price. If they can't/won't, then I personally wouldn't have any concience issues with taking that purchase somewhere else, you gave them their fair shot.