View Full Version : Equipment price
Kitty
08-24-2003, 07:11 PM
There is currently a thread on equipment warranty and the fact there is no negotiating the length of the warranty on equipment. It is what it is..........but this made me think. I negotiate everything, I will try to get a deal anytime anywhere. My former employer never used this tactic, I think it is customary when purchasing to negotiate better prices, better rates, get additional service and whatever you can. BD would pay the price listed that he recieved from the distributor. I think the last invoice I saw, listed the MSRP and then a 30% "discount" then there was installation and tax added. Is there negotiating room with distributors? What kind of deals can be made? Who got what when negotiating your equipment price and service?
When buying equipment from the Distributor, the time to negoiate is when agreeing on the price. There is plenty of room, but once you get the price, I have never heard of getting anything additional on the parts warranty or the service, other than what the Manf sets and the Distributor decides is fair for the Labor. Maytag for instance is offering five years on all parts for the Neptune and my Distributor is giving 90 days on the Labor. Believe me I have delt with Distributors that will give you an excellent price on the equipment and their service is horrible. In some instances there are no service people and the work is subbed out to a local parts changer. In one instance I hacd to wait 2 weeks to get a very common part. With my current Distributor, you have the part in one day.
BWJR
Kitty
08-24-2003, 07:37 PM
So, what did you agree to when you purchased equipment? Isn't it customary to receive a 30% "discount" off of the MSRP? How much negotiating room is there? Has anyone gotten installation at N/C? What kind of deals have you guys made?
Glenn
08-24-2003, 08:08 PM
From my experience, the only way you can get a price break from a distributer is by paying cash. If they arrange the financing you'll pay top dollar.
Anonymous
08-24-2003, 08:16 PM
There are other ways to negotiate with a distributor - he is a business person like anyone else. Get to know him, learn about his strengths and weaknesses like you would do for anything else and then just negotiate. If they put a lot of effort in for a sale they don't want to loose it. Think how you negotiate for a car, you never want to negotiate from MSRP down you always want to work from his cost and then offer a profit from there. It can be done.
Kitty,
There is more like 50% margin on equipment. In addition my distributor includes installation, but be assured it is built into the price. I feel comfortable with the guy I use since I have been with him for 22 years. Again his service, parts dept, installation crew and support are all excellent. I have delt with two others in the past, one is out of business and the other Kirby probably knows. They are terrible.
BWJR
I would try a few different dealers,try to talk to the owner instead of salesman,even out of state.Since I do most moving and installation,as long as they warranty the parts,I don't need anything from them.
Ask finance after the price,if the money is issu,some dealer will even help you finance other item from equipment company.If the dealer sell you a washer for $2000,list is $2500,he can finance the $2500 from washer,dryer company,then you can use the $500 to buy changer, table, carts,even the build up cost.Not the best way to go,I have not done that before but I know a few laundromat owners did that.
If you have cash and willing to buy out of state,you may find some killer deal once a while,I know 2 of my friends did,one bought new ADC236 for $2600,one bought new Dexter stainless stack for $3000.Most dealer in my area ask $3300-3600+ tax for those machines.I bought some used Dexter sainless steel for $1600, only 6 months old!
I have hard time to find any dealer in my area willing to give me a good price or service,so I buy most my stuff out of state.
JBTcajun
08-24-2003, 10:50 PM
list price. msrp? Where do I go to find this? All I have so far is the prices quoted by the dealers. Invoice price??? Boy I need to know these things and Quick. Help me out gang!!!
wasco equipment
20,40,55, card ready front loaders
30-30,50 card ready dryers
let me know! (:>)
information,facts,rule in a negotiation is hard to loose if I have the right info.
tks all
JBTcajun
CharlieS
08-24-2003, 11:10 PM
You should be able to get the current list price on any item from the manufacturer, or from the distributor.
Negotiations are always interesting. I think that most of the major brands have distributor pricing which is about 55 to 60 percent of list. Most distributors will discount between 20 to 30%, rarely more.
Out of their 10 to 20%, they must cover their overhead, cover the warranty labor, hold your hand, etc. This is not too bad on a $200K new store sale. Its not much when you buy a single washer for $2K.
Your distributor is your best ally in your business. If you have a lousy distributor, look for another. If you have a good one, don't begrudge the profit they make. If you get a 25 to 30% discount off list, you've done well and they can survive.
Charlie
Charlie,
I agree with you 100%. A good Distributor can help your business grow the right way.
BWJR
pete f
08-25-2003, 12:00 AM
my Dexter distrib had 2 prices, one for machines, and one for machines with warranty LABOR included. Actually it was 4, 1 to 4 units, and 5+ with or without. According to him the 5+ without was 10% over his cost. buy enough and split the truck load shipping was free. Install extra. His salesman filled out an order one day, I looked at it and said, give it to the boss, these prices are to high. I got the right price. I do not think it is worth buying the labor warranty. All machines have parts warranty.
Anonymous
08-25-2003, 10:42 AM
Washers should always be purchased at list price and warranty should be kept to a minimum!Actually,we sell at a discount of about 20-30% off of list.Quantaties can affect the discount.our standard policy for labor is 90 days,this can be increased thru negotiation.The factory determines the part warranty.Dealers pay about the same for the equipment,so what you're buying is the distributor.All these services cost something,we don't gouge anyone but we do make a profit,which we're obviously entitled to.Anyone can promise the moon backing it up is another story.Watch out for freight charges!This is a common gouge tool.We usually purchase equipment in a full container so we don't pay for the freight and we pass this on to the customer.We do have incurred costs handling the machines but its not alot.Remember,when negotiating,get it all broken down so that you can see individual costs for each item.Each piece of equip.,freight,delivery,install,warranty etc.,this way you can assess and determine what you're paying.The warranty(labor)can be haggled as well.One last thing,washers should cost about 100-125$ per # of capacity,just a rule of thumb.RESEARCH YOUR DEALER!!!
Anonymous
08-25-2003, 04:05 PM
Originally posted by DEXTER ROB
our standard policy for labor is 90 days,this can be increased thru negotiation.
So you are giving me what......180 labor??
buddy.......
Anonymous
08-25-2003, 06:02 PM
Absolutely,a copy of your warranty will be in th mail.
Kitty
08-25-2003, 06:18 PM
180?? Sean, are you nuts? 1 year labor.......minimum
Anonymous
08-25-2003, 06:34 PM
90 days or 180 days labor should not make much difference. If the machine initially works for a week or more it is highly unlikely that anything of any significance should happen within a year or more.
Glenn
08-25-2003, 08:41 PM
I have often heard the $100-125 per # capacity. Is this figure including freight, delivery and installation? Another thing that can be substacial on a large purchase is sales tax.
Anonymous
08-25-2003, 11:32 PM
yea..... Rob..what she said
buddy
08-29-2003, 05:36 PM
Originally posted by Kirby
90 days or 180 days labor should not make much difference. If the machine initially works for a week or more it is highly unlikely that anything of any significance should happen within a year or more.
Unless you buy Wasomat Dryers. I bought 4 Wasco Stacks about 6 months ago from a dealer in Orange County. NY. I got good pricing and dealer installed it pretty fast and did a good job. However, since then I have had every Error printed in those Dryer's Manual - E99, E15, E14, E18, E17 number of broken lint locks, glass popping out and so on...
There were times when I could have used dealer's help but he was no where to be found. Numerous phone calls, left dozen messages, never bothered to return my calls.
Mr. Brew if you are reading this post, Never again I am buying any equipments from you. If Wascomat has problem if I buy my Wasco washers from some other dealer then I will switch the brand.
pete f
08-29-2003, 09:13 PM
I go back to my post,, save the extra money on "dealer labor" and blow it on a trip to Hedonism II and spend what you have left over to on repair labor later.. if you don't know how to replace key parts you will learn..
the only one here looking for any deal on labor was a woman, so if you are a woman buying equipment try to get a better labor deal, but expect to pay for it, nothing is free.
Kitty
08-29-2003, 11:29 PM
Since I was the only woman who responded to this post, I will guess you spoke of me?
In any deal, I feel negotiations should be sought to make the best deal. If I ever am in the situation to make a deal, I am glad I have so many leaders of the industry, like of all of you to consult with to negotiate the best deal. I was told by a wise man, that if you are in negotiations and you are not embarrassed by what you ask, you are not asking enough. Ask for Mars, settle on the moon. Of course, I want more than most will settle on, but, that is because I am a woman. :)
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