Settle The Argument

[needaspa]

Attention Dealers -

Realizing your geographic costs, answer the following.  Dont mention specifics like model #s or manuf names.

x = per unit dealer cost (this does not include the actual unit cost from the manuf but rather only sales labor, overhead, etc costs.  This is your incremental unit cost.)

y = your desired profit amount

So,

In reality, the dealer sales price would be:

the cost of the unit from the manuf (ie 6000 for an optima) + x + y = Sales Price

Settle the the score with these argument by telling us (the readers) your x and y.

[Chris_H]

needaspa:
I really don't think anyone will be settling the argument, except for you when you purchase your Optima at $6,500 dollars.  As I said before good luck with your purchase.
Chris H

[needaspa]

This is why buyers (or other readers on this site) argue about price.  Again, there is a HUGE markup on spas.  If not, dealers would answer my question and settle the argument.  But they dont.  By not doing so, they are agreeing to my statement!  If they did, the cat would be out of the bag per se.  They are trying to lock away this secret.  Come on now - This is the 21st century and buyers are not ignorant anymore!

[IOWASPAMAN]

the sound you are currently hearing is the sound of Needaspa starting to backpedal and fall against the ropes.

[rick]

Needaspa, you're not going to find much help on this board.  

[Chris_H]

Some of us just find it insulting that he asks us what we pay for a product.  I find that insulting; he may find no shame in it, but I do.
Chris H

[Mendocino101]

I am going to step away from the agrument…. but before I do I will say this…I stand firmly behind my believe that Needaspa has the right to shop for the best deal…. but that right does not include the questioning of dealers or consumers integrity, it does not include the right to imply to someone that they just paid to much for their new spa, it does not include the right to belittle someone because they chose to tip the delivery driver, it does not include the right make complete and unfounded statements as to what a dealer pays for the cost of a spa, what the banks charge them for providing credit service to customers and to what their overall cost of doing business is.

[Tman122]

If anyone thinks tubs are the only thing marked way up in this country they are dead wrong. A typical light bulb cost .09 cents to manufacture and by the time it gets to wholesale they are 20 cents. Then you got to the store and get them for a buck. What about cars!! 10 grand mark up minumum. Everything in this world is marked up, why should spas be any different. Things get sold for what the market will bare, it's the American way, love it or leave!

[tubin]

needaspa,

i am a recent buyer here...hence the low # of posts....i found in my searches here that there is a huge variance in pricing between dealers.  in calling dealers in adjoining states, i even found up to 1000 dollars difference.  the best thing to do is test the tubs and pick your top two, then post the model in your subject line and ask for what people bought it for....but make sure you ask for what comes with the tub...my dealer was higher, but i got a lot of extra's that the lower dealers were not throwing in the package...after it was all said and done,  i think i got a good deal, but know i could have shaved off a couple more 100 dollars.  no dealer is going to let out the base price...i mean seriously, we all know that acrylic, pipes, wood, pumps, and other parts including the small amount of design for each tub DOES NOT amount to anywhere near the asking prices, but they have us all by our purse strings, they hold all the cards, they have all the keys....we just have to suck it up an bend over and take it like a man.

[empolgation]

Tman, right you are - everything is marked up in this country, that is "capitalism" as we presently know it at its finest. But the point I think you are missing here is that when you go into that store to buy that light bulb you pay a buck. I go into that store to buy that light bulb and I pay a buck. Someone goes in next week and they pay a buck. On and on. That is because the price displayed, "fair market value", of the light bulb is simply a buck.

Now let's look at buying a spa in comparison (let's not use autos as a comparison, as we all know they are gov. regulated and a displayed Dealer's Invoice gives the customer an *idea* of what the fair market value is). For example, the MSRP price shown on a tub is $10,000. Next to it is the dealer's price, $8500. So far, I must report, of every spa dealer I've spoken price with thus far, only 4, (bear in mind that I don't bother with price until I am serious about a particular tub) the first price everyone of them has given me, aside when other customers were not in earshot of course, was lower than the dealer's price displayed by a couple hundred bucks. This leads me to conclude that they are playing customers to get the most cash out of their pockets as possible. Educated customers, such as myself I'd like to believe, partially thanks to this forum , do have an idea of fair market value of the tub they are looking for and have a good chance of getting the tub they want at the fair market value, in my example $7800, while the greater majority of shoppers are generally not as educated and pay closer to that $8500 or heaven forbid closer to $10,000.

The point is, well my point anyway, dealers in my experience (god bless you "good" ones out there I know I'll find one in my area) are out to get as much cash out of the customer as possible regardless of their reasonable profit margin. An educated spa shopper in a quality dealership can get that fair market value while the other poor souls "...just have to suck it up an bend over and take it like a man".

I want to see a pricetag like:
"MSRP $10,000. Our price $7800 [range]"
Range of course takes into account the difference in dealers' cost/overhead. Haggling for add ons and extras can begin there if the parties so desire.

Dealers have a right (and need) to make a fair profit as much as customers have the right to not get ripped off based on their lack of experience, knowledge or bartering skills. Simply give customers the fair market value price and make a sale.

Thank you! To the dealers that do it fair and with integrity!

I love this forum!

(example numbers above taken from various posts here regarding pricing of the Optima. For a sampling see:
http://www.whatsthebest-hottub.com/cgi-bin/yabb/YaBB.pl?board=wtb-hottub;action=display;num=1084631268 http://www.whatsthebest-hottub.com/cgi-bin/yabb/YaBB.pl?board=wtb-hottub;action=display;num=1085106738 )

[Mendocino101]

Hi...

I agree with you wrote empolgation...what you are really dealing with is an example of poor salesmanship...I to found in my shopping that before showing the tub and its features and benefits many salesmen want to get into price.... and the special discount that applies for buying now or the like.... it is a short cut that many sales people take with the hope that it makes up for lack of product knowledge and how to professionally present their product...price does not matter if it is not the spa or whatever the product might be for you the buyer...

[Wisoki]

Hi...

I agree with you wrote empolgation...what you are really dealing with is an example of poor salesmanship...I to found in my shopping that before showing the tub and its features and benefits many salesmen want to get into price.... and the special discount that applies for buying now or the like.... it is a short cut that many sales people take with the hope that it makes up for lack of product knowledge and how to professionally present their product...price does not matter if it is not the spa or whatever the product might be for you the buyer...

gotta disagree here. Get teh price talk out of the way so you can focus on the product. I know too many dealers that do not display their prices, and will not talk about prices until the customer has had a full presentation. As far as I'm concerned, get the price talk out of the way up front, then wow 'em with the quality of your product. My prices are posted and clearly labeled "includes EVERYTHING" (except the tax) which is a list of about 13 items. If the customers want a better price, we start going down the list and seeing which items they can do with out to reduce the price. Ozonater, not important to you, OK then we'll take $210 off the price and eliminate that item. Dont want a cover lifter, allrighty then....

[IOWASPAMAN]

Wisoki,
I believe as you to give the best price first and include everything the customer could need to enjoy the spa. If you were from Tulsa you would be a Wise-Okie.

[Mendocino101]

Wisoki...

what I was speaking about was the price that is displayed and you walk up to a tub..and sales person greets you and wants to get into price and offering a special before you have even found the right spa...or he even asks what your needs are....