NEW Boat Profit Margins
" Tuuk" wrote in message ...
Be very careful what the dealers tell you. I can only speak from experience
from the dealers in my area. I wouldn't trust any of them. They are salesmen
and will maximize their profits. Find the boat you like, model number,
engine and all that comes with it including the covers, life jackets,
paddles, trailer etc etc. Call all the other dealers, get a quote on exact
same deal. Go online and email all the dealers. Let them know you are
quoting from here to Moscow and the hungry one will give you a price, then
take that price to your nearest dealer, ask them to beat it by 10%. They
will cry a bit, but will realize they will deliver it, service it, and let
them have the honor of selling you your boat. But stand behind your guns,
they will say this and that and cry broke as they drive off their property
in their Cadillac, but just stand behind your gun. I am guessing the profit
margins on a boat are around 20% if not a little more. I think a fair profit
margin would be 3 to 5%. Don't forget by you buying a boat, the end user,
there will be a long line in the supply chain of that boat that have a lot
of hungry hands out. If you squeeze the dealer, he squeezes his agent, who
squeezes the next guy who squeezes on your behalf the manufacture. Those
manufactured suggested retail prices are just that, suggested and there are
a lot of suckers who pay full pop. They make enough margins, your right.
For Christ's sake. Just make your best deal.
You are displaying the same ingnorance that I hear, even from some
people that work for me, over what profit is. Seem to think that
anything over what the dealer pays is "profit". That's my favorite
line about mark-ups being *PURE*PROFIT*
No. It's margin. We refer to it where I work as operating margin. I
would be out of business in a heartbeat if I only had a 3%-5%
operating margin on what I sell. You think the difference between
what the dealer pays and what he sells for is just going into his
swiss bank acount?
So what if the guy if the guy drives a Caddilac? Doesn't a boat
dealer (even a boat salesman) have a right to make a good living -
just like you?
"Hey! You could give me a better deal on this boat if you were
driving a Yugo. I'll take my business elsewhere!"
I am not saying that you have an obligation to pay more than you want
to. You can walk away from any deal YOU THINK is unfair. Make your
best deal. Find the guy that will sell you the boat at the cheapest
price and give you the service you want/need. But spare us any
definition of "fair" profit - there is no such thing - Especially on
luxury items like boats.
"Gould 0738" wrote in message
...
I don't mind paying anyone in business a fair profit but I would like the
truth - does any one know how much profit are in these boats?
Konnie
Not enough.
My suggestion: Forget all about trying to
buy a boat like an automobile. Don't worry about whether the dealer is
making
$1, $100, $1000, or $10000. Shop around enough to get the *best price*
(all
factors considered) that will lift the minimal number of dollars from your
wallet and then just simply enjoy the boat. Why be peeved because the
gross
profit might have been more than you (surely missing some important
factors in
the equation) considered "fair"? The consumers objective is to find the
lowest
price, not the smallest profit. :-)
Good luck. Hope you enjoy your boat.
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