Lots of Vendor Talk, here's my Jerry McGuire

[skatinjay27]

I enjoyed reading most of that...

seeing that 5% margine sucks big time
Hell I bitch n moan if my (face value) margine goes below 70% (restaurant)

[Bucketlist2012]

Don't know you, but I totally agree...

I always want to be treated fairly...I always want a good deal..

But I will be damned if i will nickel and dime the guy who is selling me my parts or doing my work..

Yes, I paid retail....Yes I bought Rushforths. Yes I paid the shop fees to have it built..

I went to them, they did not come to me....And I got everything I wanted on time and the right stuff...

I did ask for a discount.....Was told no....Do you want the wheels ? Then buy them... No weirdness, just fact...This is the price, do you want them..

Yes I did...They arrived perfect and on time, as all the other parts did.. So i did get two out of three...But you don't get the cheap price on custom wheels..

I have run business before, and you have to let the bottom feeders go, but they cannot and will not survive feeding the bottom and cutting prices too low...And they don't..

So as a customer, what you say makes total sense to me...

If I wanted something cheap, it sure would not be pro touring stuff... I would buy a Camry... :lateralG

[bulldog19]

Well said Jon.

[SLO_Z28]

I worked in parts for some time, I know I wouldn't touch something that was less than a 75% gross profit. Ive often wondered how you guys manage to stay in business without manufacturing your own parts to supplement your income. At the cost of running a retail establishment I just don't see how you can keep going unless you're making $80 profit on a $140 alternator. Large volumes and just barely scraping by every month is the only way I see brick and mortar vendors even surviving.

[coolwelder62]

Jon,

[DTM Racing]

Amen!

[64pontiac]

AMEN to that!

Although if you pick price as your "two out of three", then I think you should have to forfeit your second pick.......

I'm sure every vendor has the exact same problems and hurdles, I spent days educating a customer (in person) about choices and parts to run, developed a project plan, and then got screwed when he started ordering his own parts and took the labour end of it to his "buddy" because he was only charging him 25 bucks an hour. And it wasn't someone who couldnt afford to pay....

I probably come accross as grumpy to some of our customers, but in the end its only because I can't afford to chat them up for hours and hours and they really havent spent much anyways. People are always amazed when they find out that the guy who just spent 250k is a "better" customer that their 569 dollar wiring harness purchase, because every customer is important right??

You have got to look out for yourself, because although all of our customers are coming to us in pursuit of their HOBBY, and have the misconception that that is all we are doing it for, when in reality we have got to feed our kids and pay our bills with it! And it is ALWAYS a shame to lose a sale to summit or jegs because it was 25 bucks cheaper, yet you were quoting your customer a shipped price........

For those of you who are Manitobans on this forum....... ITS NOT CHEAPER TO SHIP IT TO THE BORDER and pick it up yourself PERIOD. even if you get free continental US shipping, lets add it up:

-On ONE box, it is $5 US per box to pick it up at a parcel depot
-It is now $10.75 US service fee to cross the border only to pick up a parcel
-You still have to pay tax on the item you are bringing back, as you have not been across long enough for your personal exemption
-Gas money..... most of you are from Winnipeg, which is around 60 miles away each way. average 20 MPG for your vehicle choice, and that is 6 gal or 27.24 L (canadian) at 1.15/L so 31.25 in GAS
-TIME....our time is worth something, is yours? Did you take off work early? lose pay? waste your weekend? It takes MINIMUM 2.5 hours without lineups at the border.

That equals around 48 bucks CAD without the tax for the item on ONE box. That box could only contain a 100 dollar part. Was my price really that bad? You be the judge. Also, when I recieve my items, I check the box and the item to see if it is right or damaged or missing. If it is wrong, I deal with it. You have to ship it back or buy another one.

Also for any of our suppliers, this is why we DONT like to ship to a US address. Add in our time and it is cheaper for us to broker and ship direct.

To sum up, Jon has many valid points, as do alot of the posters in these last couple threads. We have to try and work together as vendors as best as possible as well. And a solid working relationship, either business to business or consumer, is worth WAY more that the little bit of a discount you might get shopping around any day. There are many times that I pay a little more just to deal with someone that I have a good working relationship with, and sometimes there are headaches that come along with it but in the end it is a way better experience to be able to have some repor with that person!

And Jon, I hear our wheels turned out amazing.... I cannot wait! NewGen wheels rock!

[Vegas69]

I think it's hard to sell the value of a quality vendor to the new crowd. It's no different than shopping for a TV or a loaf of bread in their mind. It goes back to my post about the internet and what modern times have done to business. It's let every Tom, Dick, and Harry compete and that means stupid low prices. It's forced businesses to run leaner. It's not going to change anytimje soon. People with money today are smarter. I hope Travis has figured out a way to have less overhead.

You mentioned raising your prices and losing customers. What customers did you lose? The customers you didn't make any money on in the first place? I've found with my business that my BEST customers are as loyal as the day is long. They refer to people just like them. I always tell the kid that works for me, "Pick your battles". If he's a grinder or not loyal, find a better customer.

[intocarss]

Very well said and very true Jon

[Track Junky]

Truth of the matter....it is dog eat dog out there right now. I talk to fellow contractors every once in awhile when picking up materials and it's the same old story everywhere...there's always someone out there to do it for less. I personally stick to my guns with my prices. Quality and customer service has allowed me to have repeat clientel and get referrals. I've learned that If I allow myself to take a job for no or low profit the product I deliver suffers. Is this what I want when someone walks in to this prior customers home and asks who did the work? Of course not. Lesson learned!!

My motto, honesty and hard work will get you moving forward. Listen to your gut and God willing, you'll pay your bills, feed your family, and with todays economy, if your lucky be able to make a little extra. The only thing being in business for yourself can promise you today is the freedom to do it your way.

We all make mistakes one time or another but lesson's learned from prior experiences should allow you to forsee and choose how to maneuver forward with your new business and next customer. Stick to your guns, provide quality service in a timely manner, and thats all you can do.

I personally wish the best for you in your new venture. Good Luck!!