goWholesale

In this day and age your markup is pretty much whatever you can realistically get for it.It depends on the product your selling,the market for your product,the competition and how you`re marketing your product(ebay,retail,wholesale,online,brick and mortar,etc)You basically have to do your research and come up with a price.

ebjco wrote:Hello,

Is there a general rule of thumb in regards to pricing? Say I purchase an item for $13.00 what would be my mark up? 10% - 15%

Regards

I have seen averages of 40-50% markup when I see someone selling the same item I sell..Like wholesale4sale said it depends on what you can realistically get for the item and what you think a good profit for you would be...

Brick and mortar usually charge more because of the overhead costs.

Shane94 wrote:I try to get atleast 50% of cost. If i can't get that I don't need to sell it. For example why would i want to tie up 100.00 of my money to make 10.00? No way.

Shane

I agree. So stay out of selling new in box electronics. That is the way this industry is. You can tie up a thousand dollars in inventory just to sell it for a measly $50.00 profit is you are luck. What a crock. this is why I tell all n00bs to stay away from the electronics industry. But still newbie after newbie keeps asking about electronics and DVD and CDs and such. Even after you warn them. Oh well, I guess some just have to learn the hard way. I know that's how I learned so I cannot say much.

As others here have said, 50% is my general rule of thumb.
It of course depends on your market and what type of place you are selling in.
I sell at a flea market so cannot make my prices very high. As I'm sure most of you know every shopper at the flea market is looking for a bargain.
Don't make the mistake of trying to mark up too much, you might sell all of it eventually but it will take a long time. I prefer to make a modest profit and get the stuff moved.
I generally price my stuff to be below walmart prices, hard to do sometimes but possible with the right research on suppliers.
There is a vendor thats sets up a table in my flea market selling hats, socks etc. I noticed her prices were way too high and she made very few sales. I approached her one day and asked her how much she was marking her stuff up, she told me 300%!!!!!!! I asked her why and she said she wanted to make a lot of money off of every sale.
I asked her how many sales she made on an average weekend and she said about ten items.
I went back to my booth in shock and thought about that for a while, quite a while.
I approached her the next weekend and asked her if she would consider trying dropping her prices and see what happened, she agreed to drop her prices to 50% profit.
A couple weekends later she came to my booth to give me the results. She said she went from barely making rent each week to making about $500 profit a weekend. This is not a fortune but it is a darn sight better than barely making your rent.
Sorry for the long story, I told it to make the point that pricing is a very important and sometimes tricky problem.
I would suggest to the original poster to look around at vendors and stores in your area to see what they are charging.

_________HILCO LIQUIDATING/FINDER SERVICE________

2021 N. HWY. 81 #324 PO BOX 362
DUNCAN, OK. 73533-1444
Ph.580-252-2293 Fax 775-640-5459
Email hilco720@yahoo.com


Dear Sir’s/Madam Date: 2004



As a decision maker in today’s fast changing marketplace, you are faced with the responsibility of selecting products for your customers. Unfortunately, customers desires and marketplace chance quickly. And companies such as yours, get STUCK with excess Merchandise or Outdated Products. And that’s where WE come in!


Our Company HILCO LIQUIDATING SERVICE, Specializes in Buying UnWanted, Outdated or OverStocked Merchandise for CASH. (Consumers Products Only)We purchase TOTAL Inventories of Discontinued Products, and are able to KEEP the Products OFF of your NORMAL MarketPlace. {THIS is also for COMPANIES that are in
DISREPAIR, or Going out of BUSINESS and want’s to sell everything NOW.}


So please look around your warehouse and if you should have any Merchandise like I Mentioned Please write, Email or Call us. We can HELP you Turn a PROBLEM into a SOLUTION for YOU and your COMPANY….. This include’s WHOLESALERS also.
(USA ONLY SORRY)


Sincerely,



Fred W. Hill CL



We Pay Cash and We Buy Total Inventories ToDay!