How much price negotiation is there?

[Steve]

$500 - 1000 is closer to the end profit. The $3000 "profit" comment was a bit misleading. As Frank pointed out, that's before overhead costs. It takes a LOT of spas, chemicals and rubber duckies to stay in business and be profitable! And I'm not even talking about getting rich here!

This industry is far too competitive for any dealer to be soaking their customers on price (so to speak). They may do it for a short while but there's no staying power to these dealers.

Steve

[Brewman]

 I still get a kick out of those who think that if they know how much the dealer paid for the spa, they can decide for themselves how much the dealer's markup should be.  
I makes absolutely no difference to me what my dealer paid for the spa they sold me, I only care about the amount I have to give them.  
They make an offer, I either accept, or counter-offer, till some agreement is made.  What the dealers cost has to do with this is beyond me.

If there is such an opportunity to sell premium spas for a smaller markup and still be able to maintain a viable business, why hasn't someone done it yet?  Sounds like a goldmine waiting to be discovered.  

[boobunnies]

Brewman- I completely agree.  If they agree to a price, then that's all that matters to me as well-- they wouldn't agree to it if there was zero profit involved or if it was going to put them out of business.  I don't think anyone here is trying to take money from a dealer's pocket, rather trying to come up with a fair compromise...

Wisoki- You have no idea where I'm at or what dealer I'm speaking of-- there's a big difference in posting information that can prove valuable to strangers across the country looking for a fair deal as opposed to me bragging to my friends and family (sorry, you don't qualify) about the slammin' deal I got at dealer ABC.

[spaman-]

In every business plan there is a set profit margine that the dealer if they are smart will never go under! Those businesses who go under the set profit margines are the ones who cannot afford to service the products and customers in a fair and timely manner as they typically end up robbing Peter to pay Paul. This is what gets most dealers in trouble in a real hurry, so ya gotta think that the prices gotta be set as to make money and stay in business. I have never baught a product where the lowest price was the best product. I believe in product integrity and that if the product is worth what your asking for it and the person presenting the product has done their job in showing this value that price will not be an issue. If your questioning your dealers price than maybe he has left something out in showing you that the product is actually worth it. Many times I see prices on this board and think that the product is worth way more than what they baught it for. Good Luck!

P.s I cannot help that with the question even being asked that there is a lack of trust in your dealer as far as pricing is concerend is this distrust the relationship you wanna have for the life of your tub?

[sledjunkie]

You guys amaze me.
No offense Brewman, I especially disagree with your comments. I only pay for what I think it's worth, not what the dealer has it listed for. When I was shopping I compared tub to tub, feature to feature, price to price. I looked at every feature/option from all manufacturers. I evaluated pump brands,HP of pump, # of pumps, circ pump, jet #'s, jet types, insulation type/quality, size, color, filtration type, heater warrenty, cover,etc, etc..
I actually created a spreadsheet for the whole process with each model. I used this information to figure out what I would pay for the tubs I was interested in.
In this purchasing model Hotsprings to me was way overpriced for what you got, so were a few others.

So contradicting so of you...

Let me ask you all something.

Don't you shop online for the best price as opposed to local stores/dealerships? I think I've read most of you do.
Do you use the same mentality to buy a car? Do you shop around at different car dealerships and compare prices?

You have to remember these guys are in sales, they will take you for everything you got. Most (not all) are worse than car salesmen.

The reason why these spas are so much money is because you guys continue to pay top dollar. Haggle them, work them, and lie to them. If you think they're not doing it to you've got something to learn.

Sorry guys, that's my take on it.

[spaman-]

You guys amaze me.
No offense Brewman, I especially disagree with your comments. I only pay for what I think it's worth, not what the dealer has it listed for. When I was shopping I compared tub to tub, feature to feature, price to price. I looked at every feature/option from all manufacturers. I evaluated pump brands,HP of pump, # of pumps, circ pump, jet #'s, jet types, insulation type/quality, size, color, filtration type, heater warrenty, cover,etc, etc..
I actually created a spreadsheet for the whole process with each model. I used this information to figure out what I would pay for the tubs I was interested in.
In this purchasing model Hotsprings to me was way overpriced for what you got, so were a few others.

So contradicting so of you...

Let me ask you all something.

Don't you shop online for the best price as opposed to local stores/dealerships? I think I've read most of you do.
Do you use the same mentality to buy a car? Do you shop around at different car dealerships and compare prices?

You have to remember these guys are in sales, they will take you for everything you got. Most (not all) are worse than car salesmen.

The reason why these spas are so much money is because you guys continue to pay top dollar. Haggle them, work them, and lie to them. If you think they're not doing it to you've got something to learn.

Sorry guys, that's my take on it.

Your theory would work if  building and selling the spa cost nothing and that was all you had to pay for, but the tub is actually only part of the retail equation, adverting, employee wages and taxes, insurance, shipping, store leases, lights water and advertising all must fall into this mix as well as the cost to warranty such products. All this and of course we are still in business to make money. Thus having profit margines in place is crucial, if you would rather buy a spa from a dealer that wont be around this time next year by all means go with the one who will sell short and good luck on future help with your products. As far as buying online "good luck with that too"

[sledjunkie]

Honestly the dealer is/was not important to me at all and I didn't really consider it in my evaluation.
Similar to how I don't care much about a car dealerships for buying a car, or a lawnmower dealership buying a lawnmower.

Again, sorry dealers. I know there are alot of you on here.

Hot tubs are easy to work on and as long as parts are under warranty it's all that matters.
Manufacturer tech support can help troubleshoot if dealer is not around and send parts if need be.

[spaman-]

uh oh I smell sompin burnin!

[Brewman]

You guys amaze me.
No offense Brewman, I especially disagree with your comments. I only pay for what I think it's worth, not what the dealer has it listed for. When I was shopping I compared tub to tub, feature to feature, price to price. I looked at every feature/option from all manufacturers. I evaluated pump brands,HP of pump, # of pumps, circ pump, jet #'s, jet types, insulation type/quality, size, color, filtration type, heater warrenty, cover,etc, etc..
I actually created a spreadsheet for the whole process with each model. I used this information to figure out what I would pay for the tubs I was interested in.
In this purchasing model Hotsprings to me was way overpriced for what you got, so were a few others.

No offense taken.  You don't have the ability.
 You'd have to establish credibility here first, and you haven't.

I'd like to know, though,  why do you find it necessary to insult the people here who happen to sell for a living?

Saying that all they are interested in is fleecing their customers is offensive.  If it were true, they wouldn't be here helping answer questions and giving free advice.
They'd instead be out on the prowl for their next victim.

And for the record, I pretty much shopped for my spa the same way you did, and paid what I considered a fair price.  

Where in my post above did I say otherwise?

[Spatech_tuo]

You guys amaze me.
No offense Brewman, I especially disagree with your comments. I only pay for what I think it's worth, not what the dealer has it listed for. When I was shopping I compared tub to tub, feature to feature, price to price. I looked at every feature/option from all manufacturers. I evaluated pump brands,HP of pump, # of pumps, circ pump, jet #'s, jet types, insulation type/quality, size, color, filtration type, heater warrenty, cover,etc, etc..
I actually created a spreadsheet for the whole process with each model. I used this information to figure out what I would pay for the tubs I was interested in.
In this purchasing model Hotsprings to me was way overpriced for what you got, so were a few others.

Well I've been in the industry for 8 yrs (I'm a baby compared to many here) and I can tell you that viewing spas at the dealer, reading spec sheets and making a spreadsheet is wise way to shop and decide but please don't think you've educated yoursef to the point where you're anything more than an informed shopper (maybe a very informed one in fact). Part of what makes a spa a good buy is how it performs in the field over years and what kind of service you get from your dealer/manufacturer and your spreadhseet won't tell you that (no matter how informed you may think yourself to be) so you can poo-poo the dealer importance and decide who's worthy and who isn't all you want, it's just your opinion.

Let me ask you all something.

Don't you shop online for the best price as opposed to local stores/dealerships? I think I've read most of you do.
Do you use the same mentality to buy a car? Do you shop around at different car dealerships and compare prices?

I'm sure we all do. In the end I make a decision that I think is best for myself using all the info I can gather but I know I only know so much. Half the reason I do so is to satisy myself that I've uncoverd all the obvious stones and put the effort in but in the end it's always somewhat of a crapshoot depending on just how informed you are (I always hope to have friends with info as well).

You have to remember these guys are in sales, they will take you for everything you got. Most (not all) are worse than car salesmen.

Rats they are; those crooked spa salesmen!!! I guess they're all the people who couldn't make it through law school.

The reason why these spas are so much money is because you guys continue to pay top dollar. Haggle them, work them, and lie to them. If you think they're not doing it to you've got something to learn.

Hey, haggling is free and I always haggle!!! It doesn't hurt to ask but it sure hurts to wonder afterward if they would have bargained HAD you asked.

[spaman-]

Honestly the dealer is/was not important to me at all and I didn't really consider it in my evaluation.
Similar to how I don't care much about a car dealerships for buying a car, or a lawnmower dealership buying a lawnmower.

Again, sorry dealers. I know there are alot of you on here.

Hot tubs are easy to work on and as long as parts are under warranty it's all that matters.
Manufacturer tech support can help troubleshoot if dealer is not around and send parts if need be.

Heres a scenario, its 110 degrees in Phoenix mid summer and all be danged if ya dont notice your hottub is dead. You call the dealers but get a message that the numbers no longer in service. You call the factory and they say they will send ya the part in 3 or 4 days. Do you A, leave the hottub filled and wait for the part and the heat to die down? b, complain about the dealers that went outta business and demand that the factory fly a tech out to repair it? Or c, buy from a reputable dealer with standing in the community that  can afford to be in business for a long time to come not to mention they probably have the parts u need in stock. I am thinkin c is the logical answer for me as in 110 degrees I am not goin out to repair hottubs (not again anyway).
but hey ya saved $1500
Nor would I want to be workin on my hottub in the dead of winter no matter how good the tech support is this would suck!

[sledjunkie]

Wow, sorry to have hit a soft spot.

I did say most (not all) didn't I??

It's just the way I see it. It IS my opinion and I will continue to state as such.

[sledjunkie]

I would choose A hands down.
Answer B is just stupid, sorry.

So my hot tub is down for a few days, hell even if it's a few weeks.

It's only a hot tub!!!

$1500 for a couple of days without my hot tub isn't bad money IMO. Heck even if I sweat/freeze for a couple of hours doing the work myself it's a no brainer.

[spaman-]

first I smell somethin burnin from a neighboring barn here in Broomfield where it seems they are doing somesort of nuclear hottub testing, now I hear a birdie singing "cheap cheap" I think its time I went for a soak in the new Avalon!

[Brewman]

 Lets see:

So far, spa salesmen will take us for all we've got.

Most, but not all are worse than used car salesman.

And repairing spas is so easy that anyone could do it.

But you're not trying to poke at sore spots.  Good thing, I guess.


What I want to know is which of you money grubbin greedy spa salesmen are worse than used car salesmen, and which ones of you are better?
And how would such a standard be measured?  By sales volume, or gross dollar, or what?