2005-2014 Mustangs Discussions on the latest S197 model Mustangs from Ford.

supercharger/middleman/ and markups..

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Old Mar 23, 2007 | 04:47 AM
  #1  
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Default supercharger/middleman/ and markups..

Im not sure if anyone can even really answer this, but does anyone have any idea what price these internet companies buy s/c's at? If some companies can have a "blowout" week special and sell saleens normally priced at 5,130? and sell them for around 4 grand and still make a profit.. what kind of f'n markup do they have on these things??? is it just me or doesnt it seem a little ridiculous?
Old Mar 23, 2007 | 04:50 AM
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Default RE: supercharger/middleman/ and markups..

I totally agree with everything you have said! We are getting screw up the --- as far as power-adders are concerned.
Old Mar 23, 2007 | 05:03 AM
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Default RE: supercharger/middleman/ and markups..

heh, well atleast im not the only one that thinks so
Old Mar 23, 2007 | 07:57 AM
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Default RE: supercharger/middleman/ and markups..

nah, these guys are going to make their money on us for the first few years the new motors are out. guess we just have to get use to that one.... trust me, i totally see where you are coming from!
give it a couple years and they will probably be selling for $3000 and they will STILL make money on them. [&o]

Old Mar 23, 2007 | 09:05 AM
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Default RE: supercharger/middleman/ and markups..

I saw that too Hufen...the motorcycle shop I worked at doubbled everything and so we bought it for 100 sold it for 200...and we were still competitive...right about where we should be on the retail level.. I also worked in parts for a heavy machine company (Skid steers/pavers etc..) they marked up on average 35%... depending on the vendor (some more some less)

So, I would suspect that in the game we are in (add ons) it would be closer to that 100% mark up...cause it is a luxury... not a livleyhood... I paid 4800.00 for the s/c and that was at an almost 900.00 discount without a 'bat of an eye' from the shop.. I saw that post on the other board, and it was labled as a group buy deal... so I'm assuming that they are trying to blow them out and still retain a certian level of profit for the month.."sell cheap but sell more"...the bottom line is still good for them..Plus, maybe they get an install or two out of the deal...

They certianly don't wanna 'sit on them', that's tied up capitol sitting on the shelf...
Old Mar 23, 2007 | 10:01 AM
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Default RE: supercharger/middleman/ and markups..

I'm going to wait and get mine off the rack at Walmart....... LOL
Old Mar 23, 2007 | 10:11 AM
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Default RE: supercharger/middleman/ and markups..

I'll get the money together and try to get a price war started between two vendors. That well he said he'd sell it to me for this price, can you beat it? Might be interesting to see who is willing to sell one the most.
Old Mar 23, 2007 | 10:14 AM
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Default RE: supercharger/middleman/ and markups..

guys, I can honestly say this. As far as the Saleen goes....when certain companies sell these at very discounted prices, I assure you there are times they are LOSING money and not making any profit. Why do they do this, well that is the age old sales and marketing tactic. Sell you it cheap and hopefully you will buy more from us in the future..also when certain companies sell certain amount of said products they become an official sponsor of said company, thus they also will get a special lower wholesale rate. as far as Saleen goes, their supercharger has been a pretty expensive piece of equipment to design and build. Allot of money goes into R+D. IS saleen still making a huge profit, sure they are. that is the american way, however, I will say with very strong inside knowledge, the middlemen companies are often making little profits when they do big lower sales. Now if a middleman company sells a supercharger at a greoup buy rate, again they too are sharing some savings directly from that products manufacturer. in my case and some other cases here UGM really is looking for your future continued support. that is why they offer these SC at such a discounted rate. Other SC dealers call it whoring out a product. in a way it truly is....in the end...UGM will have a much larger customer base....Saleen will still sell a boatload Superchargers....and UGM stands to gain by becoming a number 1 through 5 level national Saleen dealer....that comes with perks and discounts for UGM in the future as well as recognition. So ultimately...we will always pay for what we want.....it is america and the american way....however..we should not always assume that the middle man reaps immediate rewards....the good thing about this sales tactic....is that we as the consumer ahve a choice....dont buy and guess what....we dont get....think about it...the saleen for instance was being sold for as much as $6200 about 1 year ago...now some of us have gotten it for $4000.....big markup.....big business....the american way[sm=americanasmiley.gif]
Old Mar 23, 2007 | 11:23 AM
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Default RE: supercharger/middleman/ and markups..

Agreed with the above.... I'm not saying that there is a 100% mark up.... Some companies/vendors are less some are more...I'm just saying what I've seen on average in my years of being a parts guy.... I've never worked in the automotive industry in pats so I don't know the average trend there... While I would believe that there is some profit being made on both ends...and that even at 4000.00 the retailer is not loosing money, there is a possiblility that they are selling at cost...or near cost...depends on their capitol and buying power....

But, even if they are selling at cost, or below, they look at it this way: They are getting the money while the other company is not, going right up the line to saleen..(ie, you bought a Saleen and not a Whipple and the end 'retailer' you bought from XXX MototSports and not XYZ Motorsports)....gambeling that they will get their profit later due to getting a repeat customer....
Old Mar 23, 2007 | 11:57 AM
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Default RE: supercharger/middleman/ and markups..

ORIGINAL: Perdi

Agreed with the above.... I'm not saying that there is a 100% mark up.... Some companies/vendors are less some are more...I'm just saying what I've seen on average in my years of being a parts guy.... I've never worked in the automotive industry in pats so I don't know the average trend there... While I would believe that there is some profit being made on both ends...and that even at 4000.00 the retailer is not loosing money, there is a possiblility that they are selling at cost...or near cost...depends on their capitol and buying power....

But, even if they are selling at cost, or below, they look at it this way: They are getting the money while the other company is not, going right up the line to saleen..(ie, you bought a Saleen and not a Whipple and the end 'retailer' you bought from XXX MototSports and not XYZ Motorsports)....gambeling that they will get their profit later due to getting a repeat customer....
10-4 100% agreed......bottom line...only we the consumer can ever control a mark up....we dont buy...then they need to sell...but as americans we live in a gotta have society and a keeping up with or going past the Jones's mentality...thus our appetite for having the latest and greatest is there...thus so is the markup...supply and demand....which does not always translate to lack of supply with increased demand = huge markup...most times increased demand controls the market until such a point that the demand dwindles....then at that time..the price goes down (maybe) ...




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