35% markup @ electronic/appliance stores?

[Led Zeppelin]

So I recently bought the 46" Cinema Series Toshiba RPTV from Bernies, a local electronics chain here in CT and Western Mass. At the time I bought the tv, I didn't get the stand that's made for that tv (it's a tabletop), because I had a stand already. Well, the stand that I have is too high, and I recently (early May) went to buy the Toshiba stand that's made for my tv. They didn't have any in stock, so they had to order it directly from Toshiba. I left a $10 deposit, and was going to pay the rest when it arrived. Last week I called to get the status, and they told me it would be in this past Wednesday. So I go on my lunch to pick it up, and the CSR says that it's not there, and the Manager was supposed to call me and let me know. Of course he didn't, so we negotiated that they would deliver it free of charge when it does arrive ($35 savings right there). So yesterday I notice in the Sunday paper that they are having a Memorial Day sale (today and yesterday), 12% off everything! So I go back to the store today to have them mark off my 12%, and when I get the invoice back, I notice that the regular retail price listed for the stand is $129.99, where as before, the regular price is $199.99. Now, I only went in for 12% off, but I'll take the 35% anyday! The only thing I can think of that she forgot to do was change the price on the stand from what the store pays, to what the customer should be paying, which leads me to believe that they put a 35% markup on their merchandise. Anyone work at any of these stores like Circuit City or BB confirm this? Anyway, it's a nice savings for me, as this stand on Toshiba's website sells for $230.00, and Best Buy has it for $220.00. For once, the consumer scams the big conglomerate.

 

[Antisocial Virge]

I imagine the markup on something like a stand is high but I don't figure the csr would have a clue what the store wholesale is or if they could even find out on a POS terminal.

 

[PCTweaker5]

Nice dude!

 

[Nebor]

TVs and electronics have HUGE mark ups.

 

[FleshLight]

Originally posted by: Nebor
TVs and electronics have HUGE mark ups.

I thought it's usually the accessories and media that have huge markups. Isn't the market usually too damn competitive for TVs/dvd players/etc?

 

[Kipper]

Actually, if you look at consumer electronics the markup isn't actually all that much. Why do you think all of these places try to tack on a warranty, an accessory, etc? It's merely to increase their profit margins. A place like Staples makes about $20-30 on your average printer, maybe up to $100 on a more expensive one (somewhere around ~$500-600 retail). That's a measly markup compared to a cable, which they can buy for $3 and sell for $20. Stands have RIDICULOUS markup in comparison to the actual electronics, although the electronics may be more expensive and comparatively APPEAR to have a larger markup.

 

[Turkish]

Originally posted by: FleshLight

Originally posted by: Nebor
TVs and electronics have HUGE mark ups.

I thought it's usually the accessories and media that have huge markups. Isn't the market usually too damn competitive for TVs/dvd players/etc?

yup. true.

 

[jadinolf]

Originally posted by: Nebor
TVs and electronics have HUGE mark ups.

NO WAY!

 

[Led Zeppelin]

Originally posted by: MadCowDisease
Actually, if you look at consumer electronics the markup isn't actually all that much. Why do you think all of these places try to tack on a warranty, an accessory, etc? It's merely to increase their profit margins. A place like Staples makes about $20-30 on your average printer, maybe up to $100 on a more expensive one (somewhere around ~$500-600 retail). That's a measly markup compared to a cable, which they can buy for $3 and sell for $20. Stands have RIDICULOUS markup in comparison to the actual electronics, although the electronics may be more expensive and comparatively APPEAR to have a larger markup.

Yeah, you're probably right. Unless all of the electronic stores have an unwritten rule that they all mark up about the same, keeping the prices relatively the same across the board, except for various sales. I've seen this stores (Bernies) computer systems, and they can change the price of the item once they bring it up on the screen when they check to see if any of the stores have that particular item in stock. I just wonder if she went to the wrong screen, or hit a wrong button, and their cost price came up. Either way, worked out for me!
Interesting that they grouped the tv stand as 'furniture', and not an accessory, as their 12% off everything sale didn't apply to accessories (of course).

 

[LethalWolfe]

Could the price difference be the difference between the MSRP and the Bernies price? I know lots of retailers like to show you how much you are saving by comparing the MRSP (which almost no retailer uses) to their stores price.

As another poster mentioned, I don't see any reason for price Bernies pays for it's merchandise to ever appear on a POS terminal. There is just no need for it.


Lethal

 

[Led Zeppelin]

Originally posted by: LethalWolfe
Could the price difference be the difference between the MSRP and the Bernies price? I know lots of retailers like to show you how much you are saving by comparing the MRSP (which almost no retailer uses) to their stores price.

As another poster mentioned, I don't see any reason for price Bernies pays for it's merchandise to ever appear on a POS terminal. There is just no need for it.


Lethal

Nope. The MSRP off Toshiba's website is $230.00. I was originally charged the full Bernies retail price of $199.97 + tax, before I went in today. I don't know what exactly this cashier did, but I'm glad she doesn't know what 12% of $200.00 is.