Retail Pricing Less Than Wholesale

[allanc]

What *really* bothers me is that I can buy some computer related products here (in Canada) at a retail store such as Best Buy for *less* than my wholesale cost.
For example, I needed a couple of UPSs.
The retail prices were 10-20% less than my wholesale from two of the major distributors.
It is true that BB is purchasing many units at a time compared to my several.
However, my cost is sometimes very close to the MSRP.
That translates to almost no margin *if* I was to sell the item at retail.
The distributors do charge minimum order / shipping fees which bumps the cost even higher.
I may as well purchase retail and pay the price of gas.

 

[Canadian Tech]

I'm in Canada as well and find the same thing (wholesale prices more expensive then retail). I did find a supplier that doesn't charge the minimum order price though.

 

[allanc]

I'm in Canada as well and find the same thing (wholesale prices more expensive then retail). I did find a supplier that doesn't charge the minimum order price though.

Would you be willing to share the name of the supplier, please?

 

[Canadian Tech]

Would you be willing to share the name of the supplier, please?

Sure if you return the favor someday The suppliers name is Elco Systems Canada. Their prices are very reasonable and no minimum order cost. Shipping is about $10 to $20 depending on how heavy. Where in Canada are you from? The other company I deal with is D&H Canada, although they do have a $5.00 minimum order cost.

 

[allanc]

Sure if you return the favor someday The suppliers name is Elco Systems Canada. Their prices are very reasonable and no minimum order cost. Shipping is about $10 to $20 depending on how heavy. Where in Canada are you from? The other company I deal with is D&H Canada, although they do have a $5.00 minimum order cost.

I have never heard of Elco.
Are they actually authorized distributors or kind of grey market?
I have heard of D&H and took a quick look at their application.
Actually, I have it in front of me now.
There is a 'Guarantee' page that I did not quite understand when I read it quickly.
Is it stipulating that I am *personally* guaranteeing my company's debt to D&H?
I am in Toronto and would be pleased to return the favour.

 

[Canadian Tech]

Elco is an Authorized distributor and they also deal with Apple products. Here is their website www.elcosystems.com/cgi-bin/reseller/reseller.cgi?display_index=yes&sestag=
The only thing I don't like about them is you can't order off of their website you have to call or email them. Then again sometimes you get a better deal on the price.
D&H is very good to work with and yes you are guaranteeing your debt. I pay them by Credit card and Elco I pay directly through on line banking.

P.S. Don't worry about the user name password it doesn't work anyway. Click on products and you get an idea of what they have.

 

[allanc]

Elco is an Authorized distributor and they also deal with Apple products. Here is their website www.elcosystems.com/cgi-bin/reseller/reseller.cgi?display_index=yes&sestag=
The only thing I don't like about them is you can't order off of their website you have to call or email them. Then again sometimes you get a better deal on the price.
D&H is very good to work with and yes you are guaranteeing your debt. I pay them by Credit card and Elco I pay directly through on line banking.

P.S. Don't worry about the user name password it doesn't work anyway. Click on products and you get an idea of what they have.

Where are you located, if I may ask.
And, thank you for your advice so far.

 

[Canadian Tech]

I'm in Brantford Ontario and you're welcome. I'm glad I can contribute something on here. Somedays I don't feel as knowlegeable as you people.

 

[bagellad]

You guys need to check out Canada Computers, i swear they must get the stuff falling off the back of the truck or something. Of course they are mildly a competitor since they offer repairs at their shop but who cares, they just have some drone working the desk anyway who can't offer good customer service.

 

[allanc]

You guys need to check out Canada Computers, i swear they must get the stuff falling off the back of the truck or something. Of course they are mildly a competitor since they offer repairs at their shop but who cares, they just have some drone working the desk anyway who can't offer good customer service.

I visited one of their stores that is about 4-5 km away the other day for the first time.
There seemed to be a steady stream of customers.
I did not check out their prices yet.

 

[Bullfighter]

I'm also in Canada and am a reseller for TigerDirect.ca, but I find that even the reseller prices don't beat NCIX.com (another Canadian Company) at times.

As for UPS's I recommend Dell - the are just APC's rebranded, in most cases. In fact, as a Dell reseller it seems I get the best price on anything compared to other companies even if Dell does not manufacture it.

Good Luck,
EP

Edit: Oh yes, and Dell gives free shipping!

 

[allanc]

I'm also in Canada and am a reseller for TigerDirect.ca, but I find that even the reseller prices don't beat NCIX.com (another Canadian Company) at times.

As for UPS's I recommend Dell - the are just APC's rebranded, in most cases. In fact, as a Dell reseller it seems I get the best price on anything compared to other companies even if Dell does not manufacture it.

Good Luck,
EP

Edit: Oh yes, and Dell gives free shipping!

Yes, I have been a Dell Business Partner / Reseller for many years.
In regards to TigerDirect.ca - I have heard from several sources that for some product lines, they are Grey Market.
Do you know if this is true?

 

[Bullfighter]

Yes, I have been a Dell Business Partner / Reseller for many years.
In regards to TigerDirect.ca - I have heard from several sources that for some product lines, they are Grey Market.
Do you know if this is true?

That's the first I've heard of it...

 

[Canadian Tech]

I don't buy much from TigerDirect because a friend of mine bought from them and a month later he started getting charged for things he didn't purchase. I signed up to be a reseller for them but they were not giving me any kind of deal on pricing so I don't buy form them.

 

[Bullfighter]

They are my last resort... if I can't get what I want from Dell or Ingram Micro then I go to TigerDirect. One thing I do appreciate is how fast they ship the parts out.

EP

 

[allanc]

That's the first I've heard of it...

For example, Best Buy would not meet TigerDirect.ca pricing on a Garmin GPS.

 

[allanc]

They are my last resort... if I can't get what I want from Dell or Ingram Micro then I go to TigerDirect. One thing I do appreciate is how fast they ship the parts out.

EP

There is also Tech Data and Synnex.
Tech Data's prices are usually higher than Synnex and they charge shipping on *everything* (except licenses, etc) ... if my understanding of their new policies is correct.

 

[Canadian Tech]

There is also Tech Data and Synnex.
Tech Data's prices are usually higher than Synnex and they charge shipping on *everything* (except licenses, etc) ... if my understanding of their new policies is correct.

Yes I use TechData and Synnex as well but find their prices are a little higher plus they charge $7.00 for orders that are less then $1000.00

 

[Majestic]

What *really* bothers me is that I can buy some computer related products here (in Canada) at a retail store such as Best Buy for *less* than my wholesale cost.
For example, I needed a couple of UPSs.
The retail prices were 10-20% less than my wholesale from two of the major distributors.
It is true that BB is purchasing many units at a time compared to my several.
However, my cost is sometimes very close to the MSRP.
That translates to almost no margin *if* I was to sell the item at retail.
The distributors do charge minimum order / shipping fees which bumps the cost even higher.
I may as well purchase retail and pay the price of gas.

I'm a wholesaler in Montreal. Elco isn't that competitive to be honest I hardly ever use them. Really, when it comes to commodity items like Printers and Scanners and even webcams you'll do better at Bureau En Gros/Staples, Future Shop and Bestbuy especially when you price match them against each other. That said, who has time for that? I find a good price and then I usually charge the cost of whatever I bought in-store to the client but charge them for my TIME to pick it up. Aside from that, items like hard drives, cases, cpu and ram, motherboards etc.. will ALWAYS be cheaper at my wholesalers. I'll make a small markup on that. Time is money and I need to be able to pick up everything same day most of the time (or within 2 days max).

Majestic

 

[Canadian Tech]

personally I can't stand shopping at Future Shop and I use to worked for Staples and I can't stand the lack of customer service there. I simply tell my customers that I can't purchase in the quantities the big box stores can therefore I can't offer the same prices. They fully understand and they still want me to order stuff for them. I give them the option to buy it at Staples or Future Shop but they usually refuse. They want the customer service that I provide.