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What are your markups?

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  • What are your markups?

    Just curious what folks' business models are.
    Do you have a global markup? Or, a bell curve markup based on price of products.
    For example, do you have a set 30% markup, so, on a $5 product the markup is $1.50 and on a $2000 product it is $600?
    Or do you price your products based on a sliding markup scenario, for example, 30% for lowest price tier, and 10% for top tier, like $2000.
    So your net on the $5 product is $1.50 and on the $2000 product, like $200
    We do it the latter way, since a 30% markup on a four figure product puts us out of the competition

  • #2
    Ours are all over the place...most of our hard goods have pricing set by competition, so the game is to buy as good as possible.

    Overall, hard goods average gross 30%, items we manufacture, much more gross, but you are recouping a lot of misc costs there that are hard to account for (machinery, R&D, IP, etc)

    EDIT: We definitely don't get a full 30% on high ticket items.