John
Auburn,#2UPDATE EX-employee responds
Wed, August 25, 2004
My experiences have taught me to do my own homework and having done so I am confident readers can reproduce the following findings about merchandise mark-ups. Furniture has an extremely high retail mark-up. Not only did I work on a regular basis with manufacturers and distributors on a wholesale level, I'm also acquainted with two former furniture store owners of two different market areas. Often a $300 item ordered, shipped and displayed on a retail floor will have a 2.5 multiplier. In some cases a 3x markup. What this means to you is a $300 item may be listed as a $900.00 product on sale for $699.95 during President's Day. For example, the queen sleeper and dual reclining loveseat in my house is from a known manufacturer. I spent $700.00 at Uniway after a 10% handling fee and freight charges of $150.00. This same Catnapper set was on sale for $2200 in my area. A modest $1500 savings and no high-interest retail financing worked well for my young family. The author of theis report writes that the cost of a membership is around $1800. Purchasing our sofa set, a futon set and then a King-size mattress set, exceedded my ROI almost entirely after my first purchases. Paying the membership in full or a big down payment will give you the most bang for your buck. As for other typically mark-ups: Jewelry is at least a 3x markup: (I purchased wedding bands and engagement ring, watches and other jewelry for my wife at a significant savings:) Appliances are hit or miss. Best to shop around. Most savings are with the very high end appliances. Electronics are same as above. But, it's best to at least see if you can utilize your membership - try again. Automobiles: hit or miss but I remember about a dozen members that saved anywhere from 1500 to 3000 on mid to high-end vehicles. For those of us going to buy high-cost merchandise in the near future, the buying plan can really work well for you and your family. If you are just looking for a cheap price on cheap department store items and mainly interested in electronics for your car or home, then reevaluate your decision to fit with your current situation. A select few are well-qualified for the program and it is our human nature to imagine ourselves as well-qualified for any oppportunity we encounter. Thus, do your best to make decisions based on your Current Situation, Current Income and Current Lifestyle. If you already have a membership, try to use it each time you might buy a mid-large ticket item. Call your member store and have them do the pricing work for you, and then make an educated buying decision.