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BUY LOCALLY

Posted by on Apr. 3, 2013 at 5:54 PM
  • 12 Replies
1 mom liked this

It really bothers me when people compare our companies prices to others that are over 90 miles away in cities 20 times larger than ours.  So this may be just a little public service announcement/vent.  

A portion of our company deals in auto glass replacement.  

When companies purchase materials/parts wholesale from factories its often not direct.  Many factories only have a few suppliers in any given state, many only have a few suppliers in the country.  So other companies in need of those items go to the suppliers and purchase them at a wholesale rate, wholesale doesn't mean "at cost", just means its less expensive than retail usually by a significant amount but the supplier is still making money off of the buyer.  Retail markup is huge, and wholesale markup is reasonable, so the buyer can still mark their product up and be able to compete in a retail setting.  

Everything costs more in smaller towns, this is not because we are money hungry assholes.  There are several legitimate reasons.  

1 : shipping, because nothing is close to the off the beaten path small towns, delivery and freight can be enormous.  

2 : our cost is always significantly higher than in any substantial city.  This is because often the supplier is in the same town or significantly closer so shipping, delivery or freight is nearly non existant to the retailer.  In many instances the parts supplier is also the servicer/installer so they get their parts at severely discounted rates because they are buying in bulk and pulling parts of the rack as need and doing the same job that we do while also selling to the small guys that we are.  Most small business companies that provide services like our do not have the capital to be a supplier nor would the factory find our locations desireable.  

3 : the population makes a huge difference in the employee options.  In small towns people are less desperate and unwilling to work for free.  In larger cities people are just thankful to be employed and will pretty much work for minimum wage.  Where as small businesses tend to pay their employees significantly better than minimum wage.  

4 : we care, we do a great job, and go above and beyond industry standard.  people pay for what they get, often times in the city jo schmo doesn't know what he is doing and just wants to make some money and will work at a lower cost and do a shittier job to get some green not caring if a key part of your vehicle flies off on the interstate.  Of course thats not speaking for all city outfits but there are a lot of them like this that cut corners and crank out windshield replacements every 40 minutes because they didnt bother to take the cowl off for a proper installment.  

5 : one of the crappiest things about being in the city is the immense competition that even small towns can relate to but it is not nearly as stiff as in the city.  In any city there may be 100 or more places to get your auto glass work done, all of them want to be your choice and they know you care about your wallet.  So they will work at insanely low prices just to be able to get the volume.  Im talking 6 windshields a day for $600.00 instead of 4 windshields a day for $900.00.  Ultimately places like this dont last long.  It fucks the industry rates when people do this and ruins the profit margins for everyone in the industry.  Its not sustainable and these companies almost never survive long term.  They eventually realize that their time is valuable and they cannot work for practically free.  Small towns have competition too, but its not nearly as bad and generally agreements can be made and people try not to fuck eachother.  

Dont even get me started on how Auto Insurance companies and the part they play in raping the small town business owner.  

Anyone who lives in a small town knows how important it is for the towns survival for people to keep business local.  If the citizens dont spend money where they live than those businesses wont survive...then they end up living in a town with no stores and the town eventually dies.  

Im not saying people have to spend money where they dont want to, everyone budget and priorities are different.  Im only saying that when you can, you should if its not so terribly inconvenient.  I guess I should say it like this, people shouldn't go out of their way to patronize businesses that are not local.  You might be surprise how many people do, but thats a different post I guess. 

So this guy comes in, he wants a quote for a '96 Ford Econoline Windshield replacement.  After he gave me the year make and model he is like, "I got a quote from the city, but I thought id see if you could beat them.".  I smiled and said, "lets see" fully knowing their price would be lower than ours.  It takes a DW1175PLK...I quoted him $260.00 + Tax.  He says, "oooo, X company quoted me $160.00 + tax."...I said, "Yea that sounds about right, they are in the city, small towns like ours incur higher expenses than they do.  We dont consider them a competitor."...He stood around like I was going to be heartbroken and offer him the same rate they offered him.  Its impossible, and business suicide.  We dont compete with the town that is nearly 2 hours away from us.  

You wanna know whats funny?  I of course didn't tell him this, but the company he got his quote from is our glass supplier, they sell us the glass that we use.  I know they make about 30% off us, and I know they have 16 years old in the back cutting out windshields.  

After he mulled a little bit, he said he was going to be taking it there.  I told him, "Okay, thank you for considering us."...Im not hurt to lose customers like that.  Its idiocy, unless he had a legitimate reason to make the trip worth while, that $100.00 differance plus some is going to be eaten up on gas and food.  Now if he had some other reason and was going regardless and is like, "well, may as well get this done while im here.", then yes, that makes perfect sense.  This man is going to make a special trip 2 hours away use two tanks of gas and indeed have to eat lunch and dinner on the road all to save $100.00 off the sticker price of a replacement.  

After all thats considered, our price is the same...its a wash, if not cheaper.  

Anyways, I dont see very many people like the guy that came in today.  We get about 97% of the quotes we give and ive had nice chit chats with tons of people that acknowledged our price was higher than the city 2 hours away but the cost it would take to get their and do the job is significant and they would like to keep it local.  So when I do see people like the above, it just makes me wanna facepalm, so I happily wave good bye.  

Anyways, if you were wondering why things are more expensive in smaller towns, this is why.  

If you live in a small town I hope you spend as much of your money there as you can.  I know some people that buy their groceries 2 hours away to save a few dollars.  Walmart Supercenter doesn't need your grocery money as much as our little Rodeo Market.  You are not buying foreign unheard of food, you are buying Clover Valley spaghetti noodles and Rodeo Market carries Shur Fine spaghetti.  The price difference is miniscule.  A far greater deed is being done by buying things locally as often as you can.  




by on Apr. 3, 2013 at 5:54 PM
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Replies (1-10):
Matriarch87
by Ruby Member on Apr. 3, 2013 at 5:57 PM

BUMP

jillbailey26
by on Apr. 3, 2013 at 6:34 PM
1 mom liked this

That's a long read and I'm lazy, I admit it.  However, I do agree with buying locally.  Where we live, it's bigger, so it's harder to do.  It's a city of just under 30,000 people.  So we do shop and eat in/at chain places.  Where we're moving to in a couple of months is smaller, just under 3,500 people, lol.  I'm so excited.  I can't wait to buy locally and support people rather than huge companies.


"Let us therefore make every effort to do what leads to peace and to mutual edification"  Romans 14:19

Matriarch87
by Ruby Member on Apr. 4, 2013 at 12:01 AM
thats okay. I had to get it all out lol. im excited for you, that's great!

Quoting jillbailey26:

That's a long read and I'm lazy, I admit it.  However, I do agree with buying locally.  Where we live, it's bigger, so it's harder to do.  It's a city of just under 30,000 people.  So we do shop and eat in/at chain places.  Where we're moving to in a couple of months is smaller, just under 3,500 people, lol.  I'm so excited.  I can't wait to buy locally and support people rather than huge companies.

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LovelyMommy24
by on Apr. 4, 2013 at 12:07 AM
I know all of this and agree. :) Buying locally is always better.
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Anonymous
by Anonymous 1 on Apr. 4, 2013 at 12:07 AM

Mobile Photo

tennisgal
by on Apr. 4, 2013 at 12:25 AM

I try to keep it local. I shop at a friend's teeny tiny grocery store b/c she'll do anything she can to accomodate you. The inconvenience of not always knowing if she'll have what I need when I want it is easily made up for b/c I know she'll order anything I want and pack up my order and bring it to my car (and chit chat all the while). I keep it local b/c the businesses benefit my friends and neighbors. 

Matriarch87
by Ruby Member on Apr. 4, 2013 at 12:53 AM
1 mom liked this
awesome :)

Quoting LovelyMommy24:

I know all of this and agree. :) Buying locally is always better.
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Matriarch87
by Ruby Member on Apr. 4, 2013 at 12:53 AM
that's great of you : )

Quoting tennisgal:

I try to keep it local. I shop at a friend's teeny tiny grocery store b/c she'll do anything she can to accomodate you. The inconvenience of not always knowing if she'll have what I need when I want it is easily made up for b/c I know she'll order anything I want and pack up my order and bring it to my car (and chit chat all the while). I keep it local b/c the businesses benefit my friends and neighbors. 

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bustybee
by Buzz Lightyear on Apr. 4, 2013 at 1:05 AM

I usually buy my stuff locally.... but sometimes you just can't. $27.00 for a bag of 48 diapers. so not affordable. kids pants, minimum price $30.... and the selection might be 2 pants. same with shirts. its really sad. and really what kid wants to walk around in a shirt that says "I visited [my town] and survived" or some other dorky tourist shirts. and other stupidly over priced things.

don't even get me started on mechanics. $100 for an oil change... and that doesn't include changing my fucking filter... or doing any checks. just changing my oil. like pull plug, drain, re-plug, fill with oil, cap the lid, charge the customer. or any maintenance? you'd be lucky if it isn't worse off after you left the shop. sigh. its pretty disgusting.

and I live very rural... like 350 miles from the city. I work in finance, I totally understand markups and profit margins but holy fuck. you pay $2 for some thing, ship it up for $0.50 and then sell it for 10 fucking dollars? not fair. and then, you bring in immigrants to work at your establishment for less than minimum wage so you are cutting out like 6 decent jobs for hte locals. so they can't even blame wages on their 'costs'. I love and hate my town lol

Matriarch87
by Ruby Member on Apr. 4, 2013 at 1:16 AM
lol, woah. well I don't expect it all the time, just for people to atleast consider locally before deciding on some place else.

Quoting bustybee:

I usually buy my stuff locally.... but sometimes you just can't. $27.00 for a bag of 48 diapers. so not affordable. kids pants, minimum price $30.... and the selection might be 2 pants. same with shirts. its really sad. and really what kid wants to walk around in a shirt that says "I visited [my town] and survived" or some other dorky tourist shirts. and other stupidly over priced things.


don't even get me started on mechanics. $100 for an oil change... and that doesn't include changing my fucking filter... or doing any checks. just changing my oil. like pull plug, drain, re-plug, fill with oil, cap the lid, charge the customer. or any maintenance? you'd be lucky if it isn't worse off after you left the shop. sigh. its pretty disgusting.


and I live very rural... like 350 miles from the city. I work in finance, I totally understand markups and profit margins but holy fuck. you pay $2 for some thing, ship it up for $0.50 and then sell it for 10 fucking dollars? not fair. and then, you bring in immigrants to work at your establishment for less than minimum wage so you are cutting out like 6 decent jobs for hte locals. so they can't even blame wages on their 'costs'. I love and hate my town lol

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