tackle mark up

[bruizer343]

I recently bought a 'baitsmith' bait from a local tackle shop.

I noticed the bait is sold on the baismith site for 27.99. The local shop sold it for 33.99.

Is this normal, as far as mark up ?
Do you as a consumer find this acceptable ?

I guess I'd accept a couple dollar diffrence but 5-6 dollars seems a bit much.

[RipnRog]

I saw that as well. Oh and no tax from the company website but of course there is shipping.

[Phil Burgess]

yes bruizer i have seen that too if you think about shipping and handeling on a item it usually runs around 3 to 7 bucks!!!!!!! so they are right in the price range of course there is the fact that they buy bulk and get free shipping so ya your gettin the high hard one!!!!!!!!!!!!!!

[bruizer343]

well some have free shipping, like BTD.

6.00 on a bait, I can only imagine how many other baits I bought are marked up as well....live and learn.

[Glory Hole Sports]

I own a local tackle shop. We try really hard to be competitive- sometimes only making 15-20% on baits (standard markup in most retail industries is 50%). We want to be competitive with the on-line stores and big box stores. However, sometimes it's just not possible. Some manufacturers don't give us little guys a break. Also, I will buy some hard-to-get tackle at retail prices, just to have it available to my customers. I tack on a couple of bucks to cover the shipping that I am paying. I may be a little higher on the Huddleston or Basstrix that you are looking for, but at least I have them on the shelf!

I do a lot to support you tournament anglers, and anglers in general. We open our store early on tournament days, and offer you free coffee, so you don't have to stand in the rain. I give gift certificates and product to tournament directors to give to the anglers. I am your voice to the local community, making sure you are recognized as a vital part of our economy. I fight with the Bureau of Reclamation to keep the fees you pay down. If you are looking for a hard-to-find bait, I go out of my way to chase it down. I have friendly, pleasant employees who usually greet you by name- do you get that from the on-line store? Most importantly, we are always there for you when you need something and don't want to wait a week or two to receive it.

Every day I am asked by customers to get them a hard-to-find product because they tried to get it from Bass Pro Shops and couldn't. Why don't you try me FIRST instead of second?

When you chose to purchase tackle from on-line stores and forego shopping at the store that is there for you every day, you are biting the hand that feeds you.

If you were worried about the couple of bucks more that the store was charging, did you bring it to the attention of the owner? I appreciate being told if I am too high on a product. It gives me ammunition to try to get a better price from my vendors. Or maybe they were mispriced. I will do anything I can to match a price. Give me and other tackle stores a chance to do that before you buy out-of-town!

Think about this- what would it be like to not have that local tackle shop there for you? We will go by the wayside if you don't support us!

For those of you that do support us little guys, thank you!

[biteme]

I just buy online at the stores that have the free shipping. I get best prices and the next day its on my door step. Oh yeah if you spend over 200.00 at TW you get free shipping and a shirt.

[ONTHETHING !!!]

That works out to be a little more than 20% markup. If they purchased 20 baits they would be out 560. bucks out of pocket for a profit of 120. aprox until all baits are sold. Meanwhile rent is due,insurance, payroll and the list goes on. I have my own business not in retail and if I make 25 to 30% on what I make Iam doing ok. It is the cost of running a business in calif. I havent seen to many tackle shop owners driving Ferraris or benz. ONTHETHING !!!

[jamescaird]

Your assuming your retail price online direct from the manufacturer is the same cost they pass on to a retailer. It's likely they are getting the product for 50% of that... hey...they have a business to run.

[getalife]

You may spend a few bucks more at a local store but its totally worth it. If you spend a few thousand bucks a year at your local store you develop a relationship that is way more valuable than the extra money you spend. When I go to buy tackle, they know me by name, they know what I have in my boat already, they know whats new, and they know what NOT to try to sell me. I can go in and ask about fishing the delta, clearlake, Cancun... anywhere, and I trust that they are giving me good info because they appreciate my business. You cannot get that online. I agree with Glory Hole, if all your shopping is done online or with the big box stores, then you are shooting yourself in the foot.

[ONTHETHING !!!]

I know that the local shop around me doesnt get hudds at a discounted rate. I dont know about the other baits. The other posts about buying locally and supporting the local shop is right on.When I go in its hey how ya doin by name. They support me and my intrest outside there store walls with donations and time. So for me its all good. They do give a club discount on my purchases also. Instead of stopping off at the local watering hole, its a drive by and chew the fat pick up something else I dont NEED!! ONTHETHING !!!

[Smile_n_Jax]

Melanie, thank you for posting here. I think you express the express the feelings of many small business owners. If I lived in your area you would definitely see my ugly mug in your shop.

To get back on topic, I think there is something here that should be a major concern for all of us.

SALES TAX. I know, ugly word. I too have shopped online to get a better deal and avoid paying sales tax, but there's something we all need to think about.

Without sales tax revenue we all suffer. Every dollar of tax collected is divided up by the state, counties and communities. Without these revenues roads don't get fixed, schools get funding cut, social services get cut off and on and on. The only recourse for the agencies affected is to borrow money, which ultimately winds up costing us more in the long run. I know I'm oversimplifying it, but it's something to think about. There's probably no way of knowing exactly how much sales tax "leakage" there is, but I'm sure it must be in the mega-millions or even billions.

And I'm sure many of you are thinking it's only a few cents or dollars each time, but multiply that by the millions of people in this state who do it and it adds up pretty fast.

[Auggie Dog]

Melanie,

You make a very good argument for the local merchants and I agree with you 100%. Local tackle shops are like barber shops these days...you might get better prices at the Supercuts down at the mall, but you don't get the service or the personalities like you do at a local shop. My barber isn't that great at cutting hair but since I don't have much left to cut these days...I can live with it. I just love hanging with the guys, telling dirty jokes and trying to figure out which crow will fly off of the fence first.

Now, that being said, I will admit I do buy tackle online but for a specific reason. I live in Ukiah so my options here in town are basically Wal Mart and Longs Drugs. Not exactly a "hub" of what's current in the tackle world so my next option is Lakeport on Clearlake which is 40 minutes away. I do spend a lot of money in the two shops in Lakeport over the course of the year (you can't get out the door for under $200.00 these days) but I get very frustrated when I go in after the new hot baits only to find empty pegs on the wall for weeks at a time. It seems to happen more and more these days and it gets me frustrated to no end. I understand sometimes it can be a supply issue, like the Basstrix paddletail situation currently going on now. Everyone wants them but shops such as yourselves can't get them. If I know I can get specific items from Tackle Warhouse or BPS then I have to get them while I can.

I wish I lived closer to good tackle shops but geography sometimes limits local loyalty. I don't mind paying a few dollars more for tackle at our local shops, as long as I can get what I want when I need it.

I have heard good things on this site about your store over there and I hope to be able to do business with you someday. Do you do phone orders?

Auggie Dog

[Smile_n_Jax]

Hey Auggie. I'm in much the same situation. There isn't anything near Davis that is bass oriented. The closest is Fisherman's Warehouse in Sac, which is about a 30 minute drive if I don't run into traffic which happens a lot.

When preparing for the Rally@ClearLake I found myself in need of a bunch of stuff. Couldn't find it all online at one place, so given some good info here, I called Clear Lake Outdoors. Tony had everything I needed and put it aside for me til I got up there which was more than a week.

You may want to consider giving Tony a call.

[tunaman]

Melanie,

You guys run an excellent business, and the folks in the area are lucky to have it available to them. Your stock was extremely impressive and your prices were very competitive, for those items that I paid attention to. I can ascertain that I will be back whenever I'm anywhere close, and will support however I can. You're right - we need retailers such as yourselves!

Thanks again for opening early for the TOC and giving out the coffee - it was greatly appreciated by my partner and myself!

Best of luck,
Roger

[bassindon69]

I did not read all of this but I do know that some stores will buy baits so they have them on had for us. They pay many times (if not a distributor) the same price as we do. So they make a few extra bucks but they have a bait that someone may need on hand. I think that's cool too. Pay a few bucks extra and have it now to fish or wait and get it later. I see nothing wrong with it. When you bought it you must of thought it was worth it.

Don.

[bruizer343]

lets get back on topic.

In reguards to the 6.00 mark up when compared to the bait makers website.
Im not trying to bash the local shops, not my intention. The question is, do you find 6.00 more acceptable ?

Trust me, I have spent at least 2-3 grand at this store this year.
Im an impulse buyer when it comes to tackle...Im sick.

cant wait for my case of mend it.

[allbelac]

6.00 is more than exceptable. When you consider all of the factors. One could make the Walmart vs Local retailer comparison. Tackle Warehouse and the like buy in mass quantities just like Walmart and are able to get products a little cheaper and sell cheaper due to the volume. The little guys are having to pay higher costs which is directly attributed to higher retails and also have less volume which also puts them at a disadvantage.

Buy from who you want to, but just remember when the local shop is not there why...

[fourbizzle]

with the exception of Huddlestons, I try to buy all my hand made swimbaits directly from the bait maker. they are selling there baits to tackle shops MUCH cheaper than what the tackle shops sell them for, personally, I would rather the full retail price goes into the baitmakers pocket.

[Steve]

...yes, I find the 6 buck mark up acceptable. Melanie explained it perfectly. I personally try to be organized enough not to have to pay for mark ups like you mentioned, but sometimes I need to get a bait as quick as possible. And in that situation, 6 bucks aint gonna make it or break it for me. And the local stores that know this, and have the hard to find baits in stock even though they have to charge a little more than what you can find elsewhere, are a savior. I support them fully!

[Norv]

Melanie,

Your store has an impressive inventory. I enjoy stopping in whenever I'm in the area. Unfortunately, I always find several baits that I don't have and absolutely need to buy!!!

[ash]

I am a big proponent of Brick and Mortor tackle stores, such as the Limit Out, Hook etc... I visit them and sometimes will hold off on orders until I can visit them to give them my business. I appreicate who they are in the community and I know that on some items they have a good mark up 30% and on some items the markup is squat less then 20% its a tough business.

What gets me is that the product manufacture should at least agree to not Compete direclty against its retail outlets, there should be a minimum agreed upon price then you wouldnt have this issue. But lets face it the product manufacture is charging 6.00 less then turns around and ups the S$H by a few bucks say charges 5.00 on S&H and just made 4.00 net so you only saved 2.00 and the manufacture made more in profit as they did not have to ship to the store, provide wall space, talk to customers, do inventory etc.... I think the manufacture here needs to watch thier relationships with thier brick and mortor companies or they may dry up. But hey that is capitalism - is it "Fair" the market will decide. For me I would rather go in and talk to Bob to see what is shakin then save the $2.00.

[Rick G]

One of the best Post's ever by Melanie. Hear you have a great store. On line is tough on stores with more overhead. Keep up the good work. Rick G.

[Dewayne]

Do I find it acceptable?

YES!

The bait manufacturer is making more off you then the tackle store.

Lets say the bait cost them $6 to make. They sell it to you for $27 and make a $21 profit.

Tackle store pays the maker $20 for the bait, pays for shipping, pays a lease on a store, pays employees to man the store, and then sells it for $32. Their profit would be $12 minus shipping and overhead for the store and $12 for the bait manufacturer.

I don't know about you, but I travel a lot for tourtnaments and am always thankful to have a well stocked store available. Having a few packs of worm, jig trailers, or swim baits Fed-Ex shipped to your motel makes that $10 worth of bait run you $25 to $30.

[dtacker]

How does everyone feel about Oroville Outdoors, which as far as I know, is affiliated with usacproshop.net. I am not asking anyone to bash them, just curious how you feel they fit into this equation.
I personally love going into that store, the associates are always friendly and help you out as much as possible. To me, this is nearly the ultimate tackle store, they can get everything that any other tackle store can get, and they offer a very competitive price, and the service is there.
Not really trying to say they do it best, just wanted to see how everyone felt they fit into the situation.
DT

[Phil]

SORRY WE PUT A PRICE UP HERE AND IT GOT DELETED IMMEDIATELY !!! WE WERE ONLY INTERRUPTING THAT WE DID MARK UP FROM SUGGESTED SELL PRICE FROM VENDORS......I AGREE WITH MELANIE ON PROFIT WE MAKE FROM 10% TO MAYBE 30% ON SALES. COMPARE TO DOWNTOWN CLOTHES AND AUTO PARTS STORES , THEY MAKE FROM 50% TO 300% OR MORE......THIS IS WHY TACKLE SHOPS SUCH AS OURS IS FOR SALE AND CLOSING IN 2008, IF YOU DO NOT HAVE LOYAL CLIENTELE AND OR A EDGE LIKE GLORY HOLE WITH GAS AND FOOD OR ESCALON AND RIGHT ON THE HIGHWAY, YOU BETTER HAVE SOMETHING ELSE GOING FOR YOU OR LIKE ME DOING IT FOR A HOBBY ONLY

THANK YOU
JIGS

[Glory Hole Sports]

I do understand about living in a rural area. I have to drve to the next county just to buy shoes! But I do try to buy everything I can locally.

We do phone orders all the time. In fact, I am on my way to the post office to mail Basstrix to Alabama and Washington, and some of our hand pour worms to Nevada.

Give us a call if you have a hard time finding something, give us a call.

[Phil]

WE WOULD SURE LIKE TO PUT SOME OF OUR LEFTY'S PUFFBALL JIGS IN YOUR STORE. !!

THNK YOU

JIGS

[Glory Hole Sports]

I'm sorry to hear that you are closing in '08- another victim of people not supporting the little guy. None of us mom-and-pop tackle stores are in it for the money- we all do it because we love the business. We could work half this hard elsewhere and make a lot more money!

What keeps my doors open is the summer tourists and the sales of water skis and tubes. Are you too far from the lake to get tourists?

No chance of finding another storefront more conveniently located to Pedro?

[Phil]

YES ALONG WAY ??? WE ARE TOLD BY FISHERMEN. WE ARE 4 MILES TO DON PEDRO FLEMING LAUNCH AND 4 MILES TO BARRETS COVE LAUNCH AT MC CLURE, RIGHT IN BETWEEN BOTH...
IF YOU CAN BUY A PIECE OF PROPERTY AND BUILD, MAYBE......DEVELOPER IS WORKING ON CORNER OF BONDS FLAT AND 132 FOR SHOPPING CENTER BUT THAT MAY BE 5 YEARS AWAY OR SO..............WE WILL CONTINUE JIG AND SPINNERBAIT MANUFACTURING AND SELL TO HOPEFULLY YOU AND OTHER STORES, WE ALSO WILL OPEN THE SHOP WE CALL THE JIG SHOP IN 2008 AND WILL BE DOING TRAILER WIRING, LIGHTS, BOAT TROLLING MOTOR AND FISH FINDER INSTALLATION, AND WIRING TRAILER TO YOUR VEHICLE. JUST TO PASS THE TIME DURING OUR RETIREMENT.
THANK YOU FOR YOUR SUPPORT MENALIE
JIGS

[Glory Hole Sports]

I agree about the sales tax issue- I don't know why individual states allow the "no sales tax" mail marketing. There are a couple of states that don't. The purchaser is supposed to be responsible to pay any unpaid sales tax- yeah, right! I predict that in the future, as more and more people support on-line and mail-order companies out-of-state, our state governments will adress this issue. A national sales tax would fix the problem.

[Flippinjigs]

Thank you Glory Hole Sports for supporting the 100% Bass PRO/WRL TOC. The use of your facilities sure made life a lot easier. I did take advantage of your kind offer of free coffee each morning. Opening at 4am with sandwiches ready to go out was cool also. You out did yourself throughout the two day event. Thanks again.

Good Fishin

[kb]

For years I have always told anglers that like the mail order way to buy tackle to ask the UPS man how fishing is, or what rod to use. They will look at you pretty strange when they head back to the truck.

WE have to support our local tackle stores or they will go away. They are the ones that support our tournaments, special events and for those of you that are sponsored they are supporting you guys. If we don't have those stores as an outlet for product the manufacturer doesn't need you on their pro staff.

The local dealers are the ones that find the "hot baits" and new techniques. The mail order guys jump on board after the local stores prove the bait works.

If a manufacturer (regional or national) sell to the customer direct the dealers should throw their product to the curb. You don't see G. Loomis, Shimano, Dobyns, Lowrance, Motor Guide, Mercury, Ranger, Triton etc selling their product direct to the angler and going around their dealer. I know the swimbait guys usually are very small operations and work out their garages.

I am not saying not to support the guys like Tackle Warehouse and Bass Tackle Depot but we also need to support the local dealers as well. Mark up is part of business and you pay it every day.....you think Starbucks is paying 6 bucks for that cup of coffee????

Support our local tackle dealers and they will continue to support us! How many times have you heard a local tournament director thank BPS or Cabelas for their contributions at a tournament you are fishing....not many! See BPS or Cabelas on any of the ads on this website you guys all love? Me either!

Support these guys!

kb

[Phil]

TRY IT AND SEE HOW EASY IT IS ??
WE OPENED JIGS BAIT & TACKLE IN 2004 AT LAKE DON PEDRO, BECAUSE WE WERE TOLD THERE WAS A NEED; AT THE COST OF $ 20K TO GET DEALERSHIPS AND GET STARTED. WE WERE AS CLOSE AS WE COULD POSSIBLY GET TO EITHER DON PEDRO OR MC CLURE. WHEN YOU ARE NOT RICH,AND CAN NOT BUY AND BUILD, YOU LOOK FOR A PLACE TO RENT THAT WILL DO THE JOB. UNFORTUNATLY OUR STORE IS BETWEEN MC CLURE AND DON PEDRO, 4 MILES FROM EACH LAUNCH RAMPS. THIS BECAME AN IMMEDIATE ISSUE AND WE HAD NO BUSINESS, TO FAR AWAY WE WERE TOLD. SO WE DECIDED TO ADVERTISE, MAKE SIGNS SPONSOR 100% BASS AND HAVE THEM CHECK IN HERE, THIS WAS A GOOD THINK AND HELP OUR BUSINESS AT TOURNAMENT MORNING CHECK IN ONLY. OTHER WEEKS DAYS, WE DID NOT SEE MUCH BUSINESS YET AGAIN. WE HAVE DONATED 1000'S OF DOLLARS TO ALL ORGS FOR TOURNAMENT GIVE AWAYS AND RAFFLES, STILL HAS NOT HELPED. WE HAVE TRIED TO FIGURE WHAT DAYS FOR SURE TO BE OPEN / CLOSED. STILL DID NOT HELP. SOME ITEMS WE WERE CALLED ON TO SELL, WE COULD NOT STOCK. WE SPENT 1000'S OF DOLLARS AT CUSTOMERS REQUESTS TO HAVE IN STOCK, JUST TO SIT ON IT AND WATCH IT GROW OLD, DIDN'T HELP. WE BELIEVE THE WAY TO MAKE IS IS HAVE AN EDGE, GROCERIES, GAS, TACKLE, ETC. (AND STOCK EVERYTHING IF IT SELLS OR NOT. IT TAKES A TON OF MONEY, AND DEALERS , FIRIEGNERS ARE COMING IN WITH GOVERNMENT GRANTS, GRANTS THEY DO NOT HAVE TO PAY BACK, GRANTS THAT YOU AND I CAN NOT GET. WE ARE RETIREING IN 2008 APPROX IN MAY. WE INTEND TO STILL SPECIAL ORDER FOR CUSTOMERS, FROM COMPANIES THAT WILL LET US KEEP OUR DEALERSHIP, WE WILL CONTINUE MANUFACTURE JIGS AND SPINNERBAITS, REPAIR TRAILER WIRING AND LIGHTS, INSTALL TROLLING MOTORS AND GET INTO THE REPAIR, INSTALL FISH FINDERS AND WIRE YOUR TRAILER TO YOUR VEHICLE AND TROUBLE SHOOT....NEW SHOP (THE JIG SHOP) WE WANT TO THANK YOU ALL WHO SUPPORTED US AND WHO YET SUPPORTS US. SO SUPPORT YOUR LOCAL SMALL TACKLE SHOPS GUYS, THEY LIVE ON 10% TO 35% PROFIT STRUCTURE, THATS MAYBE $ 30.00 PER 100. GROSS SALES. THEN ALL THE EXPENSES COME OUT OF THAT !!!!

THANK YOU

JIGS