What's the mark-up on cycle clothing?

[e-rider]

I just bought some cycling shorts that had 70% discount (I paid £30 instead of £100) which I thought was a great bargain. I checked on the manufacturer website as well as several other online websites and it appears that £100 really was the proper price (I don't always trust these offers of huge discounts).

Anyway, this got me thinking about what the mark-up is on such products. So, is the company just shifting old stock (2011) quick at a loss, or are they still breaking even (or even making some money) selling at 70% off?

 

[rollinstok]

There is a massive mark-up on any type of clothing. They are still making money even when they offer 70% discount.
A few examples;
In an earlier life I worked at Lord John menswear ( no longer with us ), we bought fashion suits from Romania back then at less than £6 per suit, they retailed at £90.
My son is co-owner of one of ebays biggest customers who import motorcycle clothing and accessories. They sell via ebay, their own website, and to many motorcycle retail stores. The biggest selling m/c helmet in the UK costs my son app £24 inc all shipping costs etc, he sells to joe public at £39.99 inc vat or just over £30 net of vat to retailers if they buy a minimum quantity. Most retailers sell it at list which is £175.
The manufacturers set the list and many wish their product to have a high end price tag regardless of what an item is actually worth.
One or two " big name brands" have tried to withdraw supply and support to my son but at the end of the day he places huge orders and often pays up front so they dont want to lose his business despite them being upset at his low pricing structure.
I think its about time that retailers were forced to put their buying price next to their selling price on every item so we can judge for ourselves whether the mark-up is fair.

 

[GrumpyGregry]

Value of goods is what the buyer is prepared to pay. Mark up is none of the customers business. Never has been. Never will be.

 

[rollinstok]

I would say mark up should should be the customers business.
We are called rip off Britain because most of us are completely ignorant of the market place and are easy prey for big industry.
I would be happy to pay OTT mark ups if the people behind the till were getting a fair whack. It is not an accident that the gap between rich and poor is the highest its ever been and still growing. Things will not change until wealth is shared. This means a fair deal for the manufacturer right through the middle men to the customer and fair wages for everyone concerned.

 

[GrumpyGregry]

I would say mark up should should be the customers business.
We are called rip off Britain because most of us are completely ignorant of the market place and are easy prey for big industry.
I would be happy to pay OTT mark ups if the people behind the till were getting a fair whack. It is not an accident that the gap between rich and poor is the highest its ever been and still growing. Things will not change until wealth is shared. This means a fair deal for the manufacturer right through the middle men to the customer and fair wages for everyone concerned.

sounds great. honestly. but we live, and labour, and consume, under a capitalist system.

write out a manifesto, start a party, get elected, change the system. that's how it works in a democracy.

 

[rollinstok]

Its an ideal that will never happen because we are too dumbed down to change.
We do not live in a democracy. We have Labour or Conservative who are identikit, or minor parties that are humoured or scorned by the media. Its been like this for decades now and will not change.

 

[GrumpyGregry]

Its an ideal that will never happen because we are too dumbed down to change.
We do not live in a democracy. We have Labour or Conservative who are identikit, or minor parties that are humoured or scorned by the media. Its been like this for decades now and will not change.

Such are the flaws of democracy. It really is crap. Until you try the alternatives.

 

[e-rider]

Value of goods is what the buyer is prepared to pay. Mark up is none of the customers business. Never has been. Never will be.

I do not agree with this statement. The customer should be aware to some extent of the true cost of producing the goods. If the person producing the goods is getting ripped off and the end buyer of the goods is also getting ripped off, then what does this say about the middle man?

 

[e-rider]

So, it sounds like my £30 cycling shorts which usually sell for £100 probably cost £7 to produce!

 

[GrumpyGregry]

I do not agree with this statement. The customer should be aware to some extent of the true cost of producing the goods. If the person producing the goods is getting ripped off and the end buyer of the goods is also getting ripped off, then what does this say about the middle man?

That s/he is a capitalist exploiting an ignorant proletariat. And you, me and everyone else in the developed world is in bed with 'em.

 

[rollinstok]

Such are the flaws of democracy. It really is crap. Until you try the alternatives.

Very true. No matter what system people live under, there is always Chiefs and Indians. Its human nature. Capitalism is a good system in theory but desperately needs state control to keep it in check.
Getting all political tonight I,m sorry

 

[redcard]

I do not agree with this statement. The customer should be aware to some extent of the true cost of producing the goods. If the person producing the goods is getting ripped off and the end buyer of the goods is also getting ripped off, then what does this say about the middle man?

Should the retailer be made aware of how much disposable income you have before deciding what to charge you?

 

[rollinstok]

Should the retailer be made aware of how much disposable income you have before deciding what to charge you?

No. Simply because the earnings of a customer have no bearing on a) the manufacturing costs of an item b) the profit margins of various middle men c) the profit margins of the retailer.
If you want to buy 10p pieces off me at £1 a time I,ll be happy selling them to you regardless of your income.

 

[Cubist]

It often amazes me that people who have little clue about the market etc think that retailers should be more altruistic, and make the minimum possible profit in order to help the consumer. They forget that people are in it to make money, not provide a public service.

The same people can be found writing indignant letters to the local papers complaining that 100k plus council executives should be paid the minimum wage.

 

[redcard]

No. Simply because the earnings of a customer have no bearing on a) the manufacturing costs of an item b) the profit margins of various middle men c) the profit margins of the retailer.
If you want to buy 10p pieces off me at £1 a time I,ll be happy selling them to you regardless of your income.

So you'll happily take advantage of your customers' ignorance?

Seems completely at odds with your earlier posts.