Can someone explain to us please

[smurf]

There is nothing wrong with supporting local business,however those that are intent on extracting your gold fillings AND the lining of your wallet are not worth your support...I wish we could give REAL support to the local produce,like cut out the entire supermarket chains and buy direct from a Farmers Market...a place where the farmer can sell meat,fruit and veges direct to the public...but legislation will probably kill that stone dead.

[Riprap]

I'm not in the retail trade but I've heard it rumoured that 30% on net cost is the rule of thumb for resale in this industry of which our tackle would qualify. Is this the case??

[smurf]

That might be the case,which is fair profit,however,how many agents are involved before it hits the shelf ?

[nutt]

RipRap!

I'm in retail boet and let me tell you 30% is what I make, the retailers now those are the banks (as i call them) they want a 6 to 18 % rebate i.e. if they spend R 100 you pay them R18 and you have only delivered the product. the product remains your responsibility until the client has used it "successfully" i.e. if he botches an installation because "you instructions " were not clear enough, you take it back no questions asked. not a pretty world i promise you.

[Riprap]

Nutt, thanks for that explanation and the hostilility which I sense comes with the post?
I have had some dealings with Massmart (which will become Wallmart) & they are similar in their dealings with rebates over a certain value(take it or leave it) and Raymond Ackerman's philosophy of we'll pay you plenty days if our books don't suite your payment terms. Lest not forget the bombardment of correspondence from a head office whose sole job is to confuse you into wanting to do more business with a conglomerate who's not business friendly anyway - they are creaters of admin jobs! I'm in manufacturing so your guess why I don't appreciate this cr*p.

My question was pretty simple especially since there seem to be so many independant (sole) tackle dealers out there who must obviously be taking advantage of the disadvantages with which we have been faced with since "apartheid"!? :blue-rolleyes:

[Navrik]

One thing I noticed is that the fishing tackle industry is totally different from the computer hardware and sofware industry that I have been in since 1996.

A lot of tackle distributors have significant intial order minumums which has to have an impact on pricing as well. Especially for startup tackle suppliers.

Quite a while ago someone whispered in my aer that fishing tackle resellers battle to make money. There is a lot more money in the distribution channel.

[Riprap]

Nutt - sorry for the aggresive tone last night....

Nav, we should fight for the little man who is trying to make a living out of a passion, the big distributors and retailers have an advantage!

[Ernst]

Please don't stone me for making this statement:
I don't think it is the little man that is the "thief" here it is the big importers that set the price...
Eg: it is not tackle shop X that makes the 200% profit it is the importers in this case....

I can buy the above mentioned fish finder at a tackle store for about R6000 the tackle store sell them for about R5000 the importer in this case lowrance obviously get it for less than R1600 ad shipping and voila they get rich while the little shop,you and me need to fork out plenty.

My theorie please don't shoot :blue-redface:

[Riprap]

Hey Ernst, I'm coming to fish with you boet at that new dam in the hinterland in a few years time.....!
Herewith some advice on "stoning" in this forum: There are some real bad *ss harde baarde that roofkyk here and sometimes gooi their 20 trillion zim$ in just to rock a rowing boat. Here you have to fly a spitfire and fly it high, higher than SAA can fall from their current pedestal! You need a sense of humour, a lifejacket, a phone a friend lifeline and....oh hell...just the sense of humour and humility for life's little and big knocks and you'll get by.....?