2017 Early Buy Prices

Russell, did you place an order? If so, what did you go with?

 

Didn't order anything yet I still have 2 vacation weeks to pay for first . I'll probably order at the end of August , definitely LaCrete's 3 tons and 1 NC and 1 SP .

 

Right? They aint losing money. That same pellet was going for 240 or 250 for a while near me.

If everyone is paying the same. Then one place is making $70 more a ton then the other.

And that $250 is give or take a 50% markup, unless Squires is losing money, which i doubt. The owners are probably too smart for that.

 

I think we're seeing the adjustments we all knew were coming

 

Too much inventory....discount if you take volume and very little trucking to Monson....plus they are a reman plant with probably slightly less costs to start with....if you like their pellet...stock up

 

NOBODY in the whole chain (manufacture, retailer, wholesaler if one is involved, trucker, railway.....no one ) is making a 50% markup....not in the pellet business

 

False

 

If everyone pays the same, which has been suggested by you and others, then some are making at least that much. Unless you are lying about the first part.

 

I have said it before, and I have no reason to not be honest,
People that think there is a lot of money to be made selling pellets,
have never sold pellets....
50%.... I wish.
That said... you can always find someone that is.
It would just be an anomaly..

Dan

 

All my dealers pay the same from us as do I think most other dealers do as well from all the brand name manufactures.....and I can assure you that NOBODY is making a 50% mark up .......show me someone who is and I will stand corrected, but as Pete Zaharia stated above....it would be an anomaly and few and far between at that.....

 

I just showed you a case.....

 

NO actually you didn't do anything even close....Squier is $199 and somebody else is $240-$250.....you don't know if Squiers bought their stock on a preseason special and if the other guys is left over from an earlier buy....there will be times with the manufactures offer discounts ...preseason being the normal one.....when I say that all the dealers get the same price....what I mean by that is everyone is offered the same price at the same time....In July my price might be $X.....you buy 1 ton or 500 tons...you get it at that price....Sept it might be $20 higher and in April it might be $20 lower (just using these prices as an example...don't take that as real pricing)....so Squier might have loaded up when the preseason pricing was available and the other guy did not...just cause he is $40 or $50 higher in price doesn't mean he is making all of that in margin.....I certainly know what my dealers pay and pretty close to what their landed costs are not just for my pellets, but have a pretty good idea what they land my competitor's for as well and as I stated earlier, NOBODY is making a 50% markup ...Not Squier, not anybody....the market is simply to competitive for that....I wish dealers could make a 50% margin or better, it would give them more to work with and thus allow them to do more for promotion and advertising....but with skinny margins, it makes it much tougher for them...

 

They were $179, IIRC for a truckload. And the other dealer could have bought the same preseason deal, which is possible, since they were one of the first to carry them and are closer. But decided not to pass on the savings and or move them quickly.
There are numerous examples of the same pellet selling for $20-$80 dollars a ton at the same time of year in similar locations. We see it all the time. Just because some dealers may live of a 10% margin, doesnt mean others dont make 50% or more. To each there own. I couldnt care less.

But the prices were $179 vs $250 (give or take). No doubt plenty of mark up there.
Now, what i am not saying, in case you are confused, is one dealer makes more money in the end than the other....

 

Your right...I guess this makes you the expert....guess you better jump into this market and make your fortune....

 

Lol, would certainly fair better than some
But i do alright doing what i do. No worries.

 

polar vortex comin soon!!!!