Trollmaster

Does anybody have first hand knowledge on the average mark up on these arfs with some of these second rate dealers. Take some of these that have an MSRP of $500 which we know is way off and wil never sell reduced downto $250 could still be a significant mark up.

Rcpilot

My Feedback: (78)

DadsToysBG

My Feedback: (35)

Who cares? If you want the plane and your willing to pay the price then you paid the fair price. Dennis

Trollmaster

Wow! What a revelation! Hope you didn't stay up to late coming up with this one. Anyone else? Thats not the reason I asked the question genius!

mscic-RCU

My Feedback: (6)

I was a dealer for Raidentech for a short while and they marked the prices down about 20 to 25% to me. I would have to guess since they are buying full containers at a time, 75 to 100%. i don't know for sure, but they would almost have to be making that much or they are selling such a volume they could mark up substantially less.

daveopam

My Feedback: (9)

MSRP is only a marketing ploy to make people think they are getting a great deal. I am in the furniture business. There is a dealer 30 miles away that runs his LaZBoy recliners buy one get one free. He is using the MSRP as his selling price. So you can go to him and pay $799 for one chair and get the second one free. Or you can come to me and buy the same chair 365 days a year for $379. I don't know what a hobby shop makes but I hope they make a good profit. If they don't they will all be gone soon. Then the days of personal service will be in the crapper.

BTW you are out of line with Dennis. Or has your screen name gone to your head.

David

DadsToysBG

My Feedback: (35)

See I don't understand why you asked the question. No company is going to tell you their mark-up. When I buy for my store I look at my price and what I can sell it for. I know the price on the internet, if the spread is good enough i put it the store. If my customer likes my price it goes out the door if not it sits. If you buy from China direct you must buy a whole truck load and sit on that money until you sell every thing. Again I stand my first statement, if you like the plane and the price you got a good deal. Profit is what drives everthing. Dennis

Trollmaster

Example is the AK Models 160 long EZ. Last year it was on RichmondRC at $550. Then a few months later it appeared on AKmodels at $350 and is now at $299. Is this guy still making a killing at this price or is this an actual sale. For the sake of argument, I am tempted at $299 but I can be had.

DadsToysBG

My Feedback: (35)

I can't speak for other dealers. I would like to sell at 599, but my guess is that he is trying to unload that truck load of planes and it is getting near the end of the month. But I still say if you like the plane and you paid 599 and were happy with the price. OK. I always find it cheaper after i buy anything. No body is trying to cheat anybody, or take you. The price is what the price is. I have some planes marked down 20% now in my store because they have been here to long. That's just business. Dennis

Trollmaster

I wasn't asking a company

foodstick

I hear they lose money on every arf ...........but they make it up on volume!

Rcpilot

My Feedback: (78)

Some hobby shops break even or even loose on ARFs. They make it up in glue and covering and wheels and tanks and balsa and fuel etc...

Some guys only make 10% or maybe 15% on ARFs and kits. Not much really. They beter have a good stock of all the incidental items if they want to turn a profit. Any hobby shop without glue, props, fuel and balsa etc... is going to fall on it's face.

I had a guy tell me last week that he was moving product out the door and couldn't keep the shelves stocked. Next breath, he told me he wasn't making any money. Friggin' liar. I left.

If your moving product out the door and your not making money--then your a bad business man, or it's just a hobby.

I hate that about LHS owners. I KNOW your making money. If you weren't, you'd shut the doors. So, don't lie to me. Just smile and say, "Yeah, we're doing alright this seasin." or whatever. But don't lie to me and tell me your not making money when every order you unload from the truck and stock on the shelves disappears in 3 days.

Thats why I do most of my shopping on the net.

Tired Old Man

My Feedback: (1)

Those selling via the net actually have a larger profit margin. The don't have to pay for retail sales space. A phone, fax, internet connecton, and a large garage will do.

Scar

My Feedback: (3)

Ha! Good one!

Yes, and they get their operating capital from the Manhattan Change bank.

(Remember that one?)
Dave Olson

foodstick

I know one thing, the hobbyshops could GIVE away those small 100-200 dollar rc helicopters, those things are parts selling junkie making machines. A friend bought one and made daily trips to the hobbyshop for weeks, he spent several hundred bucks I think!