I'm not sure why, but I just recieved an email with what is apparently an ADI flyer with dealer pricing. i've never signed up as a dealer, so...
I didn't realize it at first, so I inadvertantly spied several "laughing all the way to the bank" dealer costs. if only one could unsee...
Maybe I inquired about an expo once, but other than that??
Marketers gonna Market as to haters gonna hate.
Ever see your customers shopping at ADI? It could happen.
I almost bought my Tsunley 100M laser tape at Home Depot $299.
Then I tossed on my buddies Tsunley polo shirt and walked into Frewault and purchased it for 60% off! It could happen!
Your ultra-friendly dealer will charge you ADI prices + a 40% shipping & handling fee. That how this typically works unless you want to buy off the internet and chance losing warranty coverage.
...will charge you ADI prices + a 40% shipping & handling fee. That how this typically works unless you want to buy off the internet and chance losing warranty coverage.
I usually buy two at a time from the Internet, one is the camera and one is the warranty...
Some of our customers actually know what we pay ADI and other suppliers as we often have an open book policy depending on the contract. With some customers we actually have to show invoices to prove we are charging the agreed upon markup. Also when a customer shops parts we sell them and then question what we charge our response is this: Did Amazon come out and survey your site for the exact parts you needed, Will Amazon come out and troubleshoot a problem and then pull the part, ship it back for repair then come back out and re-install said item under the warranty period. I think not. It is almost impossible for a customer not to know within a few percentage points what you pay for an item. We are in business to make money as well as our customers are in business to make money. There is a lot of overhead with a true integrator as apposed to a company that comes in and installs equipment to never be seen again. Also the 40% shipping and handling fee above really isn't funny as that is a typical markup on equipment in this industry. I hope I didn't let any secrets out.
It is almost impossible for a customer not to know within a few percentage points what you pay for an item.
Yes, but those which you describe sound more like corporate buyers than what I would call an "end-user", like the manager of a car dealership or a piggly wiggly etc...
Although IPVM's taxonomy makes no distinction between the two profiles of the janiform coin, they are worlds apart in their procurement sophistication.
In any event, even when providing invoices as proof to such customers, there is often the opportunity for squeezing an unseen point or two by not haggling the price on those sales in return for extra discounting on less scrutinized sales, (not to accuse you, of course).
I had to look up 'janiform'.
Ok, you got me. 10 yard penalty for surreptitious and nonchalant highbrow word usage.
I wish there was a standard or retail price set for most of the equipment we use. Ive had clients that gotten upset at the margins we make because they found out from ADI what the item cost us, my response has always been "we charge the industry standard" what ever that is since there is no set price.
Like someone mention above, there is a lot of overhead running a proper integration company, not some joe blow that does the job and disappear when warranty issue arrives. Besides the time spent surveying and laying out the job.
We warranty almost everything in-house. We have found that when we rely on a manufacturer to warranty something, it can take too long to get the device repaired and then reinstalled. Relying on a manufacturer warranty often leaves the client without a component of their security system for an extended period. For us to provide this in-house warranty, we increase our margins on equipment sales and charge more every month if there is RMR associated with the account.
When clients ask me about our markup, I tell them we charge what we charge to stay in business and deliver the best customer service we can, 90% of new business is referrals; I ask them to speak with their friend again and ask about how good our service is. When they get back to me, I explain the only way for us to provide that service is to charge what we charge. We've been in business for 30 years. We know what it costs our company to deliver exceptional service. The price of equipment is only one factor in our pricing.
I should also mention, most of the time when we are providing warranty service it's not due to a failure of the device. We often warranty mistakes our clients make, we don't want them to feel stupid, sometimes it's better just to fix it, let them know what happened and tell them it's on-the-house. You've also got to consider the cost of maintaining appropriate licenses, pulling permits and keeping up with codes. I have in the past spent more time working with fire marshals than it took the technicians to install the fire alarm. This time is something someones got to pay for, I'm not going to do it for free so I often build it in to the cost of equipment. These are things companies like ADI or Amazon don't have to worry about. All of these things and more factor into the cost of the equipment to the end user.
Thank you for the detail response.
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