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mole


.

Location: earth
Joined: Sep 30, 2007
Points: 783

PRICING QUESTION
Original Message   Oct 31, 2008 9:03 am
I would like to throw this question out........

If you are not a vacuum enthusiast or professional in the business.

What would you pay for a vacuum cleaner[please disregard being sold by high pressure sales or hyped promotional advertising]

$5.00, $ 20.00, $ 150.00, etc. I'M trying to see how the public in general sees this industry..........

Thanks

MOLE

Replies: 1 - 49 of 49View as Outline
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #1   Oct 31, 2008 9:19 am
Hi MOLE:

Most working Americans spend $150-$200 on a new vacuum purchase.  Hence, the average cost of a new vacuum sold for the last 10-15 years consistently falls in this dollar range. 

Even with the advent of dyson in 2002, which was believed to be a mainstream market seller, the average new vacuum prices stay in the same range.  This could be for a number of reasons: 

  • One: More low priced vacuum products.  Tho I don't believe this is solely the case, because consumers may not necessarily buy them. 
  • Two: More consumers buying vacuums in the range $150-$200.  Which if true, gives credence to my answer to your question. 
  • Three: Sales of dyson vacuums, even with the big box store venues, have not made enough of an impact on unit yearly sales over the last 6 years in the USA to materially affect the average price of vacuums bought and sold.  Presumably one would think to make the low-high range trend higher say $200-$250.
  • Finally, a combination of these factors working together to various degrees.  More likely the case than not.

Carmine D.

This message was modified Oct 31, 2008 by CarmineD
mole


.

Location: earth
Joined: Sep 30, 2007
Points: 783

Re: PRICING QUESTION
Reply #2   Oct 31, 2008 1:14 pm
Hi Carmine, thanks for the post,

Is it just me or are the dealers feel like their options are closing in on them?, The pressures of business lately are tremendous,Have to be real carefull in the money department,have to watch everyone from getting in your pocket, I think you know what i am talking about.

Do you just sell products and move merchandise and take the loss, its becoming a hobby, we need a break..........

MOLE

CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #3   Oct 31, 2008 7:14 pm
Hello MOLE:

I suspect the vacuum industry which in large measure rides and falls with the new/existing home sales markets is feeling a retrenchment.  When that happens, the effects cascade throughout the chain from producer to seller and buyer.  Credit tightens, grace periods are shortened, payment time is reduced etc etc.  I recall parts suppliers and vacuum makers asking for COD on large orders in hard times.  They needed cash to operate day to day. 

You're probably experiencing the same now.  And will into future months and possibly year[s].   Now's the time for repairs and rebuilts.  Why?  The money you sink in the repairs and rebuilts nets a higher rate of return than turning over new merchandise for pennies on the dollar.  More of your time is consumed for repairs and rebuilts, but there are 24 hours in a day. 

Carmine D.

This message was modified Oct 31, 2008 by CarmineD
HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #4   Oct 31, 2008 7:37 pm
mole wrote:
I would like to throw this question out........

If you are not a vacuum enthusiast or professional in the business.

What would you pay for a vacuum cleaner[please disregard being sold by high pressure sales or hyped promotional advertising]

$5.00, $ 20.00, $ 150.00, etc. I'M trying to see how the public in general sees this industry..........

Thanks

MOLE


More proof that Carmine can't comprehend.
mole


.

Location: earth
Joined: Sep 30, 2007
Points: 783

Re: PRICING QUESTION
Reply #5   Nov 1, 2008 6:25 am
Hi  H.S.

WHAT ARE YOUR THOUGHTS,,,,,,,,,,,


MOLE
mole


.

Location: earth
Joined: Sep 30, 2007
Points: 783

Re: PRICING QUESTION
Reply #6   Dec 2, 2008 6:26 pm
mole wrote:
Hi  H.S.

WHAT ARE YOUR THOUGHTS,,,,,,,,,,,


MOLE
HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #7   Dec 2, 2008 7:03 pm
mole wrote:



MOLE,

Depends on the day of the week.

I never kept a vacuum that cost less than $300.  I have also used some costing $700 that were a little better than a broom.

Regardless of what I would pay I think most are over priced.  Especially those imports that cost $700 or more with no cleaning attachments.  And those uprights that require you to also purchase a hand held because they have no hose.

CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #8   Dec 2, 2008 9:31 pm
mole wrote Oct 31, 2008:

What would you pay for a vacuum cleaner[please disregard being sold by high pressure sales or hyped promotional advertising]

$5.00, $ 20.00, $ 150.00, etc. I'M trying to see how the public in general sees this industry..........

Thanks

MOLE


HARDSELL wrote Dec 2, 2008:

Regardless of what I would pay I think most [vacuums] are over priced. 



HARDSELL wrote Dec 1, 2008:

Most any vac costing over $200 is over priced IMHO.

HARDSELL wrote Dec 2, 2008:

MOLE,

Depends on the day of the week.



Hello HARDSELL:

Since your answer to MOLE's question appears fuzzy [one with a price amount and one without a price but a day caveat], please clarify which brands you think are overpriced and which are not.  Why?  

As an example, I say most big box store vacuum brands costing over $200 [your amount] are overpriced: i.e. dyson, kenmore premalite, electrolux, and halo to cite several of the current ones sold in the big box store venue.   While most of the independent store brands like MIELE, ORECK, SEBO, Lindhaus, RICCAR/SIMPLICITY, BOSCH, PANASONIC and AERUS [the typical vacuum store brands] costing over $200 are not overpriced.  Agree/disagree?  If you disagree with me, tell us why?  Pick any day of the week and any time of the day you want if it makes a difference in your answer. 

Carmine D.

This message was modified Dec 3, 2008 by CarmineD
HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #9   Dec 3, 2008 10:58 am
CarmineD wrote:




Hello HARDSELL:

Since your answer to MOLE's question appears fuzzy [one with a price amount and one without a price but a day caveat], please clarify which brands you think are overpriced and which are not.  Why?  

As an example, I say most big box store vacuum brands costing over $200 [your amount] are overpriced: i.e. dyson, kenmore premalite, electrolux, and halo to cite several of the current ones sold in the big box store venue.   While most of the independent store brands like MIELE, ORECK, SEBO, Lindhaus, RICCAR/SIMPLICITY, BOSCH, PANASONIC and AERUS [the typical vacuum store brands] costing over $200 are not overpriced.  Agree/disagree?  If you disagree with me, tell us why?  Pick any day of the week and any time of the day you want if it makes a difference in your answer. 

Carmine D.


Carmine,

I am typing very slowly so you might be able to understand.  You were anti-Dyson long before you ever used one.  Your constant bickering got at least one vacuum forum shut down.  Every comment that I have made is from personal experience and not from bias because I never sold the product nor because Dyson made a fool of me as a consultant.  That alone must have cut you deeply.

It is only natural that as a former independent you dislike big box stores.  My experience with the big box stores has been better than with the independents. If I purchase a product at a big box store I can simply return it with no questions asked.  Making a return to an independent is more unpleasant than dealing with hemorrhoids.  Also the big box stores have never tried to upgrade me simply for more profit as you eluded to yesterday.  You already know my experience with an independent trying to sell me a motor when all the old motor needed was brushes.  That same motor that needed replacing is still running years later after new brushes. 

All those independent brands (along with many big box models) are over priced in my opinion as are most expensive items.   They have invested little to nothing in R&D or technology since start up.  Most perform no better than less expensive models and require regular repairs, tune ups, bags, etc.  An independent can't exist without the profits of these things.  Vac sales alone would be a short business venture.  Who wants to pay in excess of $500 for a vacuum that does not include cleaning attachments or that requires a 2nd vacuum because it has no hose.  Any vacuum could clean a hotel/motel.  Those house keepers make a quick sweep over carpet that allows little to no dirt to become deeply embedded.  They have no need for attachments.  I do not like a vacuum without a manual height adjustment or brush on/off control.

To date Dyson is the only vacuum that I have used on non carpeted surfaces that did not blow more dirt away from the vac than it pulled in. 

Simply because one is willing to pay a price for any item does not mean it is not over priced.

You say that Dyson will have to reduce pricing when sales slow.  That would also apply if consumers quit buying any over priced good.

The day of the week was a pun to MOLE.  Sorry that you can't comprehend.

Venson


Joined: Jul 23, 2007
Points: 1900

Re: PRICING QUESTION
Reply #10   Dec 3, 2008 11:18 am
Hey guys,

I appreciate the discussion but if you're going to discuss overpricing is it possible to get down to brass tacks and quote either what these machines cost to make or what they sell to vendors for? I was most surprised a long time ago when I was able to purchase a new Kirby, everything included, for $350.00. There's no real way to get a handle on things otherwise. Yes, I too think things are overpriced but it would be great to get a line on by how much.

I would love to know if my Miele was sold to the dealer for $500, 600 or $700. That wuold better explain how things work but is what no one is saying.

Does a $400 Dyson wholsale for $200? Is a $250 Hoover sold for only a $120? Are there usually sizable purchase price reductions for vendors that buy in large quantity?

Venson
mole


.

Location: earth
Joined: Sep 30, 2007
Points: 783

Re: PRICING QUESTION
Reply #11   Dec 3, 2008 11:50 am
Hi Venson, the market sets the prices, Your Kirby was bought at less than 50 lot wholesale from kirby,that was a great price you got,although its not very uncommon now,a lot of distributors are bailing out and just selling their inventory for WHAT THEY CAN GET, A  lot of manufactures and dealers are having FIRE SALES,if you have the CASH, they will bend to your price,if not someone else will,

As you may have heard the dtd brands cant even get people financed because all the credit lending companies are either bust or dont do business with them anymore,all the lifelines have been cut off.

Times are a changing,back to the way business use to be done,no more smoke and mirror shows.

MOLE

Lucky1


Joined: Jan 2, 2008
Points: 271

Re: PRICING QUESTION
Reply #12   Dec 3, 2008 12:24 pm
What I am about to say will not answer your price question Venson but you do have to consider into the price by dealers the cost to do business, rent, hold inventory, gas &amp; elec. maintain a service dept etc and the willingness to take risk in starting a business. Capitalism offers those who take risk the right to reward.... from the company that invests into research and development, the workeres in the plant to, Distributors and Retailers. <BR><BR>If your going by the rule of cut and dry of course your vacuum seems overpriced but there is much more behind it. In a new world of the impersonal internet we take things for granted WAY TOO MUCH.<BR>Just my opinion of course.
This message was modified Dec 3, 2008 by Lucky1
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #13   Dec 3, 2008 4:55 pm
HARDSELL wrote:
Carmine,

I am typing very slowly so you might be able to understand.  You were anti-Dyson long before you ever used one.  Your constant bickering got at least one vacuum forum shut down.  Every comment that I have made is from personal experience and not from bias because I never sold the product nor because Dyson made a fool of me as a consultant.  That alone must have cut you deeply.

It is only natural that as a former independent you dislike big box stores.  My experience with the big box stores has been better than with the independents. If I purchase a product at a big box store I can simply return it with no questions asked.  Making a return to an independent is more unpleasant than dealing with hemorrhoids.  Also the big box stores have never tried to upgrade me simply for more profit as you eluded to yesterday.  You already know my experience with an independent trying to sell me a motor when all the old motor needed was brushes.  That same motor that needed replacing is still running years later after new brushes. 

All those independent brands (along with many big box models) are over priced in my opinion as are most expensive items.   They have invested little to nothing in R&D or technology since start up.  Most perform no better than less expensive models and require regular repairs, tune ups, bags, etc.  An independent can't exist without the profits of these things.  Vac sales alone would be a short business venture.  Who wants to pay in excess of $500 for a vacuum that does not include cleaning attachments or that requires a 2nd vacuum because it has no hose.  Any vacuum could clean a hotel/motel.  Those house keepers make a quick sweep over carpet that allows little to no dirt to become deeply embedded.  They have no need for attachments.  I do not like a vacuum without a manual height adjustment or brush on/off control.

To date Dyson is the only vacuum that I have used on non carpeted surfaces that did not blow more dirt away from the vac than it pulled in. 

Simply because one is willing to pay a price for any item does not mean it is not over priced.

You say that Dyson will have to reduce pricing when sales slow.  That would also apply if consumers quit buying any over priced good.

The day of the week was a pun to MOLE.  Sorry that you can't comprehend.


Hello HARDSELL:

I'm not anti-dyson.  I bought one [unlike you].  I was anti dyson shills who hawked/hyped dysons and bashed all other brands on Forums for months before dyson launched in the USA [Kudos to MOLE who got it right away].  Now, dyson shills are useless.  Most are long gone.  Still a few lurking.  Why?  Dyson has a legacy now:  Big box store venue; fair to middling performance; spiffy colors; false and exaggerated claims; exorbitant prices; refurbs galore; and a host of copy cat competition just as good for less. 

I got the pun my friend but you still missed the point.  Big box stores are fine for vacuums that cost $200/less and customers who know what they want.  If you enjoy a business challenge and have some real money to spend you are better served by shopping/buying at the independent vacuum stores.  You'll get your money's worth.  Any one can buy at a big box store.  It takes an educated business person to buy at a vacuum store.  Of course you have to be up for the challenge of seller/buyer negotiations [hemorroids, as you say].   You obviously aren't. 

Carmine D.

This message was modified Dec 3, 2008 by CarmineD
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #14   Dec 3, 2008 5:22 pm
Hi Venson et al.

There isn't a simple pat answer on same brand wholesale prices fro independent vacuum stores.  Cost to the dealers vary depending on a alot of different factors working together simultaneously, like models, quantities and promotions.  

Brand selling prices among the independent vacuum stores vary too depending on the factors that Lucky1 and MOLE talk about.  Wholesale pricing is irrelevant for buyers doing business with independent vacuum stores.  Why?  They have no bearing on your actions to get the best deal you can on the vacuum you want. 

My advice is shop around.  Find a store owner/operator/location where you would like to do business [word of mouth helps].  Then get informed and know the products well.  Consumer Reports is an excellent source and starting place for vacuum shoppers.  Never ever feel you should buy UNLESS you are confident you made the best deal you can on the vacuum you want.   

Carmine D.

This message was modified Dec 3, 2008 by CarmineD
Venson


Joined: Jul 23, 2007
Points: 1900

Re: PRICING QUESTION
Reply #15   Dec 3, 2008 6:52 pm
Lucky1 wrote:
What I am about to say will not answer your price question Venson but you do have to consider into the price by dealers the cost to do business, rent, hold inventory, gas &amp; elec. maintain a service dept etc and the willingness to take risk in starting a business. Capitalism offers those who take risk the right to reward.... from the company that invests into research and development, the workeres in the plant to, Distributors and Retailers. <BR><BR>If your going by the rule of cut and dry of course your vacuum seems overpriced but there is much more behind it. In a new world of the impersonal internet we take things for granted WAY TOO MUCH.<BR>Just my opinion of course.

Hi Lucky1,

Thanks for your reply.  I am not asking that vendors sell merchandise with no mark-up.  I thoroughly understand the cost of overhead and having to pay salaries plus all the other things that end up eating up money and that all must be reflected in the pricing of merchandise.  I simply want an idea of pricing to help in deciding where to buy from -- namely vendors whose pricing leans more toward fair as opposed to what the market will bear.

The plight of vendors -- especially independent ones does not escape me.  However, consumers have their own special  plight  which no one appears to be concerned about -- being able to buy what they need.  In such cases, informed shoppers are  prepared to do the work start looking for ways to save.  By way of the internet, we can now bettter investigate quality and price. 

As an instance, I've been looking for new tires.  I did some searching and investigating and decided on a tire with a good rep that should well suit my needs.  (Like vaccuums, everybody has his favorite tire too.) However, price was as much as an issue s quality.  Between lowest price and highest, the range is about $70.00 per tire.  I have solved the problem.  I am buying the tires I've chosen online and will chuck them into the back of my car and have them installed by a small but reputable shop in my community (instead of a big commercial entity) where they will be properly mounted and balanced for far less the price offered by the big kids.  AND even with shipping cost included I will aquire the tires at a better price.

I'm not asking for goods at next to nothing.  All I want is a decent price.

Venson
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #16   Dec 3, 2008 7:10 pm
Hello Venson:

Do you know the age of the tires you are buying on-line?  Did you factor that age issue into your buy decision?  With the slowdown in the economy and auto sales, tire sales are way off.  Shelf life of unsold tires is increasing drastically.  In some cases by many years.  These old in stock tires have risks associated with their use that tire customers may not know and/or are not told by retailers.  Especially with on-line tire purchases where you can't see the tires to see the dates they were made.

Carmine D.

This message was modified Dec 3, 2008 by CarmineD
HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #17   Dec 3, 2008 7:57 pm
CarmineD wrote:
Hello Venson:

Do you know the age of the tires you are buying on-line?  Did you factor that age issue into your buy decision?  With the slowdown in the economy and auto sales, tire sales are way off.  Shelf life of unsold tires is increasing drastically.  In some cases by many years.  These old in stock tires have risks associated with their use that tire customers may not know and/or are not told by retailers.  Especially with on-line tire purchases where you can't see the tires to see the dates they were made.

Carmine D.

I see you watched that tire story also.  Slow auto sales should actually cycle auto parts inventory at a faster pace.  Keeping a car longer means more repairs and replacement parts.

What % of the consumers do you think have ever looked at the date on a tire?  Better yet, what % even knows it exists or where to find it?

HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #18   Dec 3, 2008 8:01 pm
Venson wrote:
Hi Lucky1,

Thanks for your reply.  I am not asking that vendors sell merchandise with no mark-up.  I thoroughly understand the cost of overhead and having to pay salaries plus all the other things that end up eating up money and that all must be reflected in the pricing of merchandise.  I simply want an idea of pricing to help in deciding where to buy from -- namely vendors whose pricing leans more toward fair as opposed to what the market will bear.

The plight of vendors -- especially independent ones does not escape me.  However, consumers have their own special  plight  which no one appears to be concerned about -- being able to buy what they need.  In such cases, informed shoppers are  prepared to do the work start looking for ways to save.  By way of the internet, we can now bettter investigate quality and price. 

As an instance, I've been looking for new tires.  I did some searching and investigating and decided on a tire with a good rep that should well suit my needs.  (Like vaccuums, everybody has his favorite tire too.) However, price was as much as an issue s quality.  Between lowest price and highest, the range is about $70.00 per tire.  I have solved the problem.  I am buying the tires I've chosen online and will chuck them into the back of my car and have them installed by a small but reputable shop in my community (instead of a big commercial entity) where they will be properly mounted and balanced for far less the price offered by the big kids.  AND even with shipping cost included I will aquire the tires at a better price.

I'm not asking for goods at next to nothing.  All I want is a decent price.

Venson


Venson,  be sure that the small shop has had a profitable week and do not have the tires installed on a late Saturday evening.  Otherwise you could become a victim of higher prices if the dealer shares Carmine's business ethics.  Of course any reputable dealer would make it up to you by always giving you free air for your tires.
Venson


Joined: Jul 23, 2007
Points: 1900

Re: PRICING QUESTION
Reply #19   Dec 3, 2008 9:05 pm
HARDSELL wrote:
I see you watched that tire story also.  Slow auto sales should actually cycle auto parts inventory at a faster pace.  Keeping a car longer means more repairs and replacement parts.

What % of the consumers do you think have ever looked at the date on a tire?  Better yet, what % even knows it exists or where to find it?


Hi Hardsell,

Tires are also moving because of some municipalities' failure to maintain their roads and highways and that matter will probably worsen as cities and towns all across the country begin to cry poverty.  The new tires are being bought because the Brooklyn Queens Expressway and streets in more bereft parts of Jersey City have been left unattended despite all the work crews you see and assume are "doing something."  Whatever they did, they never got around to fixing the pothole that caused a dent in the inner lip of a wheel rim that caused the flat that I discovered the next morning.

New York, Jersey City -- assumed relatively financially better parts civilization.  Hmm . . . Istanbul was better kept.  I might as well be riding a buckboard here.  Anyway . . .

I took the car to my local over-priced garage who can do everything except fix a wheel rim OR recommend a local shop that could.  ($75.00 per hour for prolonged yet minimal labor.) BUT -- they were more than ready to sell me a new one.  Of course I said, I don't think so. 

As I'd already found a very compentent and affordable mechanical genius for maintenace there (you don't go to him he comes to you), I went straight back to Craig's list found a place out in Farmingdale and the wheel is now fixed as good as new.  It certainly was a job done affordably and well and my budget is not battered.  However, I was cautioned to used the old tire only as a spare for short use as the sidewall strength appeared to be compromised.  The owner of the establishment that fixed the wheel does not sell tires so there was absolutely nothing in it for him whether I buy no tires or ten.

I haven't owned a car since a long while before this one so I'm learning lesson by lesson but a lot of the stories are still the same as before.  One such is that you can't buy one tire in a case like this.  You buy two or all four.  Safety is a big concern and as I have no desire to kill myself (yet) or anyone else for that matter, I'm getting new tires.

My car also had decent suspension until road conditons, not devil may care driving, have upped my maintenance expenses.  Worst of all there's no way to be more careful.  In this reat city there are lanes and lanes of highway peppered with potholes and asphalt patches that make it feel like you're riding over a washboard.

Mechanics and auto parts sellers are going to be doing booming business in my neck of the woods for sure. My only recourse is to either buy as carefully and smartly as affordably possible or give the darn car away.

Venson
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #20   Dec 3, 2008 9:31 pm
Hello HARDSELL:

No, can't say I saw the story you speak of.  I raised the issue for Venson because of a personal experience related by a friend who bought 4 new tires for his 2005 Acura MDX recently before making a cross country road trip with his grand daughter for the Holidays.  He got several quotes from tire retailers with large price fluctuations.  Turned out the cheapest quote, when he went to buy the tires and have installed, were the oldest.  He decided against them.  He's a retired auto mechanic who owned and operated his own business in Connecticut for many years.  Now owned and operated by his son.  Tires, brakes and wheel alignment.  He shared his story with me so I passed along. 

BTW, air, if you can find pumps nowadays at stations, is no longer free.  If you use nitrogen in your tires, like I do, filling can cost you anywhere from $25 to $100 for 4 tires.    Getting it free from the vendor is a customer benefit!

Carmine D.

This message was modified Dec 3, 2008 by CarmineD
Venson


Joined: Jul 23, 2007
Points: 1900

Re: PRICING QUESTION
Reply #21   Dec 3, 2008 10:01 pm
Hi Carmine,

Sounds cool man.  I've never heard of using nitrogen instead of compressed air for tire inflation before and am doing some research to find out if its readily available nearby so I might give it a try. 

What particular benefits have you found and what do they do in regard to first time users?

Thanks,

Venson
HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #22   Dec 3, 2008 10:22 pm
Venson wrote:
Hi Carmine,

Sounds cool man.  I've never heard of using nitrogen instead of compressed air for tire inflation before and am doing some research to find out if its readily available nearby so I might give it a try. 

What particular benefits have you found and what do they do in regard to first time users?

Thanks,

Venson



Heilum is better.  Makes the car float.  Less rolling resistance makes for longer tire life and better fuel mileage. 

Before you fall for the nitrogen hype you should do some research.  Compressed air is about 78% nitrogen to begin with.  Supposedly nitrogen will not escape tires as quickly as compressed air. It also is supposed reduce moisture in the tire, therby reducing sidewall deterioration from the inside. 

I would prefer to pay 25 cents every two or three months for compresed air than to pay $100 for nitrogen.  I always get free air with my oil changes.  Tires will get dry wall cracking with age, especially if they are not driven frequently.  I personally have always worn the tread out long before the sidewall. 

Nitrogen is a great sales pitch and adds bottom mline profits for those shops that might be a little short of a profitable week.  Again,  ask your shop if he has had a profitable week.  If he says no just remember what Carmine said.  It is good business to stick it to the customer if you profit.

Vernon


Joined: Jan 21, 2008
Points: 69

Re: PRICING QUESTION
Reply #23   Dec 3, 2008 11:22 pm
Nitrogen in Tires vs. Air:

Costco has been using this as an added service with tire purchases for the past few years in Canada.  Benefits:  1) does not escape or dissipate from the tire as quickly as air.  With my winter to summer changeover, the nitrogen tires, I never have to add, the air filled ones will always require a few pounds. 2) nitrogen tires run cooler--regular air can increase by as much as 4 PSI, I've only experienced a 1-2 PSI increase with nitrogen.  As ambient temperature changes, with each 9-10 degree temperature change, both air and nitrogen will vary by about 1 psi.

Hope this observation of mine helps out!

Vernon
DysonInventsBig


Location: USA
Joined: Jul 31, 2007
Points: 1454

Re: PRICING QUESTION
Reply #24   Dec 4, 2008 12:18 am
Venson wrote:
Hi Lucky1,

Thanks for your reply.  I am not asking that vendors sell merchandise with no mark-up.  I thoroughly understand the cost of overhead and having to pay salaries plus all the other things that end up eating up money and that all must be reflected in the pricing of merchandise.  I simply want an idea of pricing to help in deciding where to buy from -- namely vendors whose pricing leans more toward fair as opposed to what the market will bear.

The plight of vendors -- especially independent ones does not escape me.  However, consumers have their own special  plight  which no one appears to be concerned about -- being able to buy what they need.  In such cases, informed shoppers are  prepared to do the work start looking for ways to save.  By way of the internet, we can now bettter investigate quality and price. 

As an instance, I've been looking for new tires.  I did some searching and investigating and decided on a tire with a good rep that should well suit my needs.  (Like vaccuums, everybody has his favorite tire too.) However, price was as much as an issue s quality.  Between lowest price and highest, the range is about $70.00 per tire.  I have solved the problem.  I am buying the tires I've chosen online and will chuck them into the back of my car and have them installed by a small but reputable shop in my community (instead of a big commercial entity) where they will be properly mounted and balanced for far less the price offered by the big kids.  AND even with shipping cost included I will aquire the tires at a better price.

I'm not asking for goods at next to nothing.  All I want is a decent price.

Venson


HARDSELL wrote:
Venson,  be sure that the small shop has had a profitable week and do not have the tires installed on a late Saturday evening.  Otherwise you could become a victim of higher prices if the dealer shares Carmine's business ethics.  Of course any reputable dealer would make it up to you by always giving you free air for your tires.

Hardsell, I was laughing so hard, I teared up.        DIB


CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #25   Dec 4, 2008 7:02 am
Hi Venson:

Vernon hits it right on the head.  Thank you, Sir.  I prefer the nitrogen filled tires.  Less tire maintenance.  More consistent and accurate tire pressure maintained with less pressure fluctuations due to temp changes.  Better riding too.  IMHO.

COSTCO here in the Las Vegas Valley uses nitrogen with its tire sales too and has for several years, I understand.  If you buy the tires for your vehicle from COSTCO, you can return anytime and have them check/adjust the tire pressure regularly free of charge.  A new Honda dealership opened in the Valley about a year ago and mandates nitrogen use in tires with all new Honda car sales.  I suspect for the specific reason that Vernon cited above.  With the 120 plus degree outside air temps, the tire air temps can rise drastically causing the tires to blow if overinflated.  Less of a chance with the nitrogen since it runs cooler in the tires.  Granted the new Honda owner is a youngin by comparison to the older stodgy car dealers in LV who still use air. 

You're not supposed to mix [air/nitrogen].  The tire and auto dealers use green caps on the tire valves to alert industry professionals that the tires use nitrogen and not air.  But it's always good to tell them, when you take your car in for service.  In an emergency, if you use air, COSTCO/Honda dealer will deflate the tires and reinflate with nitrogen free if you bought the tires/car there.  If you are converting your existing car tires to nitrogen from air as a brand new customer, COSTCO/Honda charge from $25-$100 for the job, depending on the vehicle. 

Hope that in conjunction with Vernon's post is informative and useful.

Carmine D.

This message was modified Dec 4, 2008 by CarmineD
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #26   Dec 4, 2008 7:04 am
DysonInventsBig wrote:
Hardsell, I was laughing so hard, I teared up.        DIB



Hello DIB:

Must have gotten your dyson bonus for 2008!

Carmine D.

CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #27   Dec 4, 2008 7:18 am
HARDSELL wrote:

Tires will get dry wall cracking with age, especially if they are not driven frequently. 


Exactly the reason for knowing their shelf life when you purchase!  Thank you.

Carmine D.

HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #28   Dec 4, 2008 8:19 am
CarmineD wrote:
Exactly the reason for knowing their shelf life when you purchase!  Thank you.

Carmine D.



Carmine, I never disagreed with your statement about old tires being sold.  It was excellent info.  I only stated the a very small minority are aware of this.
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #29   Dec 4, 2008 8:31 am
HARDSELL wrote:
Carmine, I never disagreed with your statement about old tires being sold.  It was excellent info.  I only stated the a very small minority are aware of this.



Thank you, again. 

Carmine D.

HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #30   Dec 4, 2008 8:49 am
CarmineD wrote:
Hi Venson:

Vernon hits it right on the head.  Thank you, Sir. 

COSTCO here in the Las Vegas Valley uses nitrogen with its tire sales too and has for several years, I understand.  If you buy the tires for your vehicle from COSTCO, you can return anytime and have them check/adjust the tire pressure regularly free of charge.  A new Honda dealership opened in the Valley about a year ago and mandates nitrogen use in tires with all new Honda car sales.  I suspect for the specific reason that Vernon cited above.  With the 120 plus degree outside air temps, the tire air temps can rise drastically causing the tires to blow if overinflated.  Less of a chance with the nitrogen since it runs cooler in the tires.  Granted the new Honda owner is a youngin by comparison to the older stodgy car dealers in LV who still use air. 

You're not supposed to mix [air/nitrogen].  The tire and auto dealers use green caps on the tire valves to alert industry professionals that the tires use nitrogen and not air.  But it's always good to tell them, when you bring your car in for service.  In an emergency, if you use air, COSTCO/Honda dealer will deflate the tires and reinflate with nitrogen free if you bought the tires/car there.  If you are converting your existing tires to nitrogen from air as a brand new customer, COSTCO/Honda charge from $25-$100 for the job, depending on the vehicle. 

Hope that in conjunction with Vernon's post is informative and useful.

Carmine D.


Carmine,  lots of car dealers are putting nitrogen in tires post sell.  I remember when they put paint and upholstery protection on the vehicle then added $1000 or so to the sticker.  Dealer cost was probably $25 to $50.   They would then have a big margin to negotiate off the sticker.  They did this with undercoating also.  Amusing thing is the cars were undercoated at the factory.

How about all the oil and transmission additives that dealers and quick change locations promote.  You spend $50 extra on an oil change for no improvement in performance or durability.  they recommend 3000 mi oil change intervals when the auto factory and oil manufacturers recommend 5000.

When the tire installer breaks the bead of removes the valve stem ambient air enters the tire.  Do the installers then pull a vacuum to eliminate this prior to installing nitrogen?  I think not. 

I would rather pay a few $ for a portable air compresor and do periodic air checks myself than to drive to Costco each time.  How many are within driving distance of the general population.  Remember they aren't Wal Mart.

Just like vacs.  No one solution for all.  However, your beloved CR does not recommend nitrogen.  Neither does anyone else who doesn't profit from it. 

Tire construction, rubber compounds, driving habits and tire maintenance will contribute more to tire life than nitrogen IMO. 

If one is comfortable with nitrogen by all means use it.  Just do the research first.

MOLE, your opinion would be valued here.

CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #31   Dec 4, 2008 8:58 am
Hi HARDSELL:

I understood alot of new car dealers recommended and used nitrogen filled tires [the industry experts].  That FACT in conjunction with COSTCO's nitrogen usage and my own research are the reasons I made the conversion for driving here in the Las Vegas desert.  My own personal experience now confirms my preference for nitrogen usage.  Air is passe.

I didn't know Consumer Reports' views on nitrogen.  Now, it really doesn't make a difference for me in my nitrogen preference.  I know CR rates COSTCO very highly as a large retailer for good pricing and customer service.  And COSTCO club members, according to CR, have the highest annual household incomes of all the comparable discount retailers.  These CR FACTS were factored into my decision for buying my tires at COSTCO.   I am a COSTCO member, not a CR subscriber save for an occasional newstand purchase, with a location nearby so it's very convenient for my dear Wife and I.  Maybe not for others. 

Carmine D.

This message was modified Dec 4, 2008 by CarmineD
Venson


Joined: Jul 23, 2007
Points: 1900

Re: PRICING QUESTION
Reply #32   Dec 4, 2008 9:10 am
CarmineD wrote:

Hope that in conjunction with Vernon's post is informative and useful.

Carmine D.


Hi Carmine and Vernon,

As always, your input is quite useful and I'm extremely glad for the help.  I'm just not sure as to whether I want to buy from Costco in this case.  It only stocks two brands here and not the one I have in imind.  Don't hate me but I'm going for one that is manufactured in Japan.  My research shows it as an all-season tire with good quality, wear-resistance and performance and better price.

I think this company is probably trying harder to please as it is not, to my knowledge, a "big" name.  However, I've gone through I don't know how many tire reviews by users and experts and in the end result the brand rates nicely.  Matter of fact, my used car came with Japanese tires of another brand that are doing quite well save for that fatal pothole. 

Like vacuum cleaners, you never know until you try.  I'll be looking around for a tire installation site that has nitrogen on hand nonetheless.

Thanks much,

Venson
mole


.

Location: earth
Joined: Sep 30, 2007
Points: 783

Re: PRICING QUESTION
Reply #33   Dec 4, 2008 9:38 am
Goodyear eagles 15 x33, 4lbs right side 6 lbs left side,compound 320, tubes are an extra but  are mandated by the racing sanctioning bodies,life span 15 to 20 hard passes,

costs more than a round trip air fair to europe, sidewalls wrinkle when under power ,[ should see the guy smile when i ask him to high speed balance them to 200 mph]

My street tires are goodyear f1 eagles, 275 x40 x17, low profile z rated, 185plus mph, expect about 20 to 25 thousand miles out of them.

tires on my silverardo half ton, bone yard specials,takeoffs[good deal] 20 bucks a piece,

Never seen the cost benefits of nitrogen for tires.

MOLE

DysonInventsBig


Location: USA
Joined: Jul 31, 2007
Points: 1454

Re: PRICING QUESTION
Reply #34   Dec 4, 2008 12:30 pm
CarmineD wrote:
Hello DIB:

Must have gotten your dyson bonus for 2008!

Carmine D.


... that's funny too.


dusty


Joined: Feb 8, 2008
Points: 264

Re: PRICING QUESTION
Reply #35   Dec 4, 2008 4:12 pm
CarmineD wrote:

I didn't know Consumer Reports' views on nitrogen.  Now, it really doesn't make a difference for me in my nitrogen preference.  I know CR rates COSTCO very highly as a large retailer for good pricing and customer service.



Consumer Reports bottom line, fwiw.

The average loss of air-filled tires was just 3.5 psi from the initial 30 pressure setting. Nitrogen-filled tires lost an average of 2.2 psi from the initial 30 psi setting. More important, all tires lost air pressure regardless of the inflation medium, so consumers should check their tires' air pressure routinely. No evaluation was done to assess the aging claim.

Bottom line: Overall, consumers can use nitrogen and might enjoy the slight improvement in air retention provided, but it's not a substitute for regular inflation checks.


Dusty

CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #36   Dec 4, 2008 4:26 pm
Hello Dusty:

Thanks for the info.  I would not have bothered to research CR opinions on nitrogen, FWIW, since I am impressed and extremely satisfied with the nitrogen filled tires.

Both of my FORD vehicles are SUV's with larger tire inflation capacities than 30 PSI.  I suspect the air leakage for these larger tire capacities would be greater than the CR results for 30 PSI tire pressure.  BUT....when the leakage is calculated as a percentage of the PSI inflation, the nitrogen percentage would be much lower.  For me with SUV tires, this measurement is more meaningful for comparative analyses than absolute amounts of leakage based on one standard of 30 PSI tire pressure. 

Carmine D.

HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #37   Dec 4, 2008 6:24 pm
CarmineD wrote:
Hello Dusty:

Thanks for the info.  I would not have bothered to research CR opinions on nitrogen, FWIW, since I am impressed and extremely satisfied with the nitrogen filled tires.

Both of my FORD vehicles are SUV's with larger tire inflation capacities than 30 PSI.  I suspect the air leakage for these larger tire capacities would be greater than the CR results for 30 PSI tire pressure.  BUT....when the leakage is calculated as a percentage of the PSI inflation, the nitrogen percentage would be much lower.  For me with SUV tires, this measurement is more meaningful for comparative analyses than absolute amounts of leakage based on one standard of 30 PSI tire pressure. 

Carmine D.



SUV's do not necessarilly carry a higher tire pressure.  There are other factors to consider when inflating tires. Over inflation can cause as much tire wear as under inflation.  What does the owners manual or the mfg. sticker in the door jamb recommend?  Have you ever looked?    Most tires have recommended pressures over 30 lbs.  I run 34 lbs in my Ford Five Hundred. 

Your SUV will not leak air any faster than a Yugo.  I can add 3 lbs of air annually to my tires annually for 25 cents,  You will have to pay severely for that 2 1/2 lb loss.

I am sure that all would like to hear your documented changes in your vehicle since you started using nitrogen.  Frankly, I think that your are inhaling too much of it.

HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #38   Dec 4, 2008 6:25 pm
dusty wrote:
Consumer Reports bottom line, fwiw.

The average loss of air-filled tires was just 3.5 psi from the initial 30 pressure setting. Nitrogen-filled tires lost an average of 2.2 psi from the initial 30 psi setting. More important, all tires lost air pressure regardless of the inflation medium, so consumers should check their tires' air pressure routinely. No evaluation was done to assess the aging claim.

Bottom line: Overall, consumers can use nitrogen and might enjoy the slight improvement in air retention provided, but it's not a substitute for regular inflation checks.


Dusty


Dusty,  CR is full of BS.                           Unless it supports Carmine's argument.
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #39   Dec 4, 2008 9:35 pm
HARDSELL wrote:
Dusty,  CR is full of BS. Unless it supports Carmine's argument.


Hello HS: 

Is that another baking soda joke! 

Carmine D. 

This message was modified Dec 4, 2008 by CarmineD
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #40   Dec 5, 2008 8:29 am
Hello MOLE, and vacuum store owners/operators:

With consumer spending at the lowest levels in 4 decades, what do you do to sell new vacuums, which I think we've established, have a fairly wide range of profitability.   Do you stand your ground and follow the manufacturers' MSRP?  Or do you take the route of the big box stores and slash prices drastically?  With no regard to MSRP and MAP?  For most of you, save maybe MOLE who has seen economic conditions like these before, perhaps not as bad, it's probably a new business playbook.  What's your game plan for now and the future?  Any thought given to the likelihood that your businesses/stores will close in the future? 

FWIW, some industry profesionals who were active posters here haven't checked in for awhile.  Maybe they are out of business and/or soon will be, sadly. 

Carmine D.

This message was modified Dec 5, 2008 by CarmineD
mole


.

Location: earth
Joined: Sep 30, 2007
Points: 783

Re: PRICING QUESTION
Reply #41   Dec 5, 2008 9:20 am
Hi Carmine,in conditions like this you have to know how to adapt, we are not one dimensional,we do the whole business from sales to parts to rebuilts to centrals,all makes and models,if we dont have it you dont need it.We do not brand bash,there is no sense in it,We know how to price and give into a customer who pays CASH, Our shop rates are in line with everyone else,work is done by trained people who know how to do it right ,it s not a hobby for us,this business has been very good to me and my family.

A very close friend of mine and yours in the wholesale/retail end of the business said hes loosing 6 to 10 dealers a week,and now has most everyone on C.O.D. It has to be done this way til things loosen up a little,Credit lenders are going bust  and stopped doing business in some states.

In some ways Carmine the way things are its actually good it weeds out the posers that were in it for the quick buck.We will strive to survive,this is not a reccsion its a depression.

Sorry for the rant,but its reality.[Can i get a 34 billion bailout for running my business into the ground???????????????

MOLE

dusty


Joined: Feb 8, 2008
Points: 264

Re: PRICING QUESTION
Reply #42   Dec 5, 2008 9:58 am
G'day Carmine (and Mole)

For us it's status quo, keep doing what we've been doing.  We've never been one to follow MSP to begin with.  Our pricing matches all the local department stores and our customers know this which is why they return to us over and over.  Oddly enough we've actually seen an increase in our higher end stuff as people are telling us that they're tired of throwing away vacuums after a couple of years and can't afford to be doing it anymore.  Our business also consists of Central Vacs, full repair service and a couple years ago we added hardwood / hard surface floor care products..an item that brings in many repeat customers and we all know, you can't have to many of those

Dusty
This message was modified Dec 5, 2008 by dusty
Lucky1


Joined: Jan 2, 2008
Points: 271

Re: PRICING QUESTION
Reply #43   Dec 5, 2008 2:13 pm
mole wrote:
Hi Carmine,in conditions like this you have to know how to adapt, we are not one dimensional,we do the whole business from sales to parts to rebuilts to centrals,all makes and models,if we dont have it you dont need it.We do not brand bash,there is no sense in it,We know how to price and give into a customer who pays CASH, Our shop rates are in line with everyone else,work is done by trained people who know how to do it right ,it s not a hobby for us,this business has been very good to me and my family.</p><p>A very close friend of mine and yours in the wholesale/retail end of the business said hes loosing 6 to 10 dealers a week,and now has most everyone on C.O.D. It has to be done this way til things loosen up a little,Credit lenders are going bust  and stopped doing business in some states.</p><p>In some ways Carmine the way things are its actually good it weeds out the posers that were in it for the quick buck.We will strive to survive,this is not a reccsion its a depression.</p><p>Sorry for the rant,but its reality.[Can i get a 34 billion bailout for running my business into the ground???????????????</p><p>MOLE

Not unless you have a PRIVATE JET!!!!! LOL
Actionvac


Joined: Oct 22, 2008
Points: 80

Re: PRICING QUESTION
Reply #44   Dec 5, 2008 3:31 pm
our business is as strong as ever the economy has still never affected us much (except central vac since building has stopped) knock on wood, my upscale vac sales is higher than ever as we are in an upper middle class area most of our customers are not your typical Wal-mart customer, with Hoover closing all its service centers and parts not available for most China vacs most people will get sick of filling up our landfills with this junk.
Venson


Joined: Jul 23, 2007
Points: 1900

Re: PRICING QUESTION
Reply #45   Dec 5, 2008 4:49 pm
Actionvac wrote:
. . . with Hoover closing all its service centers and parts not available for most China vacs most people will get sick of filling up our landfills with this junk.

I wonder if the "greenies" or even manufacturers might pick up on a similar pitch.

Venson
CarmineD


Joined: Dec 31, 2007
Points: 5894

Re: PRICING QUESTION
Reply #46   Dec 6, 2008 7:39 am
Thanks all for your replies.  I enjoy reading your business and industry insights.  Your capacity to keep a sense of humor despite is remarkable.  When I see the little 3 from the big 3 grovel before Congress, I admire you and what you are going through.  Keep on keeping on. 

Carmine D.

mole


.

Location: earth
Joined: Sep 30, 2007
Points: 783

Re: PRICING QUESTION
Reply #47   Dec 13, 2008 10:00 am
CarmineD wrote:
Thanks all for your replies.  I enjoy reading your business and industry insights.  Your capacity to keep a sense of humor despite is remarkable.  When I see the little 3 from the big 3 grovel before Congress, I admire you and what you are going through.  Keep on keeping on. 

Carmine D.


Yes Carmine,we are some tuff puppies,and old dogs.I would agree with ACTIONVAC, customers that have money left are buying the premium quality machines,just for the sake of  true economics,buy it once buy it right and forget about it for 15 to 20 years.What are people really saving in the long run?

Besides the landfills are already overloaded with tires now.....

MOLE

HARDSELL


Joined: Aug 22, 2007
Points: 1293

Re: PRICING QUESTION
Reply #48   Dec 13, 2008 5:58 pm
mole wrote:
Yes Carmine,we are some tuff puppies,and old dogs.I would agree with ACTIONVAC, customers that have money left are buying the premium quality machines,just for the sake of  true economics,buy it once buy it right and forget about it for 15 to 20 years.What are people really saving in the long run?

Besides the landfills are already overloaded with tires now.....

MOLE



If only they had used nitrogen in those tiers the dump would be begging for business.
mole


.

Location: earth
Joined: Sep 30, 2007
Points: 783

Re: PRICING QUESTION
Reply #49   Dec 13, 2008 6:43 pm
HARDSELL wrote:
If only they had used nitrogen in those tiers the dump would be begging for business.

Hey H.S.

Did you hear that Carmine got a new gas saving device for the EXPLORER,A carbon fibre gas cap,it takes a lot of weight off the rear of the SUV......


MOLE

what will he think of next,,,,,,,,,,,,,
Replies: 1 - 49 of 49View as Outline
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