all4scuba05
Contributor
Have any major BC manufacturers gone bankrupt lately?
BC manufacturers must be Raking it in...
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Remember supply and demand? The manuifacturing costs is only relevant in determining the minimum possible price. Beyond that the idea is to charge as much as the market will bare. A thing is worth what people will pay.
When I had a dive shop suggested retail price on bc's was essentailly based on a 100% markup (double the wholesale price). You might think BC's are big money makers because they're fairly high dollar items but the fact is that with the changing market it's hard to get suggested retail for them and most shops don't sell that many of them. That means that the shop has to part with LOTS of cash to get a few BC's and sometimes they have to hold those BC's for quite a while before they sell them and make anything on their investment.
Actually you can often have a much higher markup on small inexpensive items. They move faster and they don't represent the huge investment that a rack of BC's do. Additionally, the suppliers of those items often don't impose all the dealer restrictions on retail price and selling methods that the suppliers of the "big ticket" items do and the shop can afford to have a broader and deeper stock. Just the other day while listening to some business news program, they were saying that the highest profit item in a gas station was bottled water. Same basic principle...high markup, low investment, quick inventory turn over, low labor and low risk.
When I had a dive shop suggested retail price on bc's was essentailly based on a 100% markup (double the wholesale price). You might think BC's are big money makers because they're fairly high dollar items but the fact is that with the changing market it's hard to get suggested retail for them and most shops don't sell that many of them. That means that the shop has to part with LOTS of cash to get a few BC's and sometimes they have to hold those BC's for quite a while before they sell them and make anything on their investment.
Actually you can often have a much higher markup on small inexpensive items. They move faster and they don't represent the huge investment that a rack of BC's do. Additionally, the suppliers of those items often don't impose all the dealer restrictions on retail price and selling methods that the suppliers of the "big ticket" items do and the shop can afford to have a broader and deeper stock. Just the other day while listening to some business news program, they were saying that the highest profit item in a gas station was bottled water. Same basic principle...high markup, low investment, quick inventory turn over, low labor and low risk.
All of the above PLUS the fact as durable goods, they last a long time. Done correctly and in an informed manner, your first BC could last you 20 years. Add to that a market that is both small and is stagnant and you see why, for the most part, there is no PURE PLAY BCD mfgr. They make other product -- sometimes in completely different industries -- in order to stay afloat (pun intended).
Supply and demand!
If McDonalds sold one burger per restaurant per day the burgers may be several hundred times more expensive. But they sell hundreds if not thousands so the cost is way down there.
There are a lot of expenses that have to be taken out of the wholesale cost of that BC. Research, design, testing, marketing, insurance and a very big one advertising just to mention a few. If everyone bought a new one every year or two the price might very well be reduced by a very large percentage.
Robbery? No, just supply and demand.
A lot of things are cheaper today that they were years ago. My first wet suit was a ¼” Farmer John that cost me around $40.00. That was when you could buy a brand new T Bird for around $2000.00 and gas was around $.30 a gallon.
You’re much better off today.
Gary D.
If McDonalds sold one burger per restaurant per day the burgers may be several hundred times more expensive. But they sell hundreds if not thousands so the cost is way down there.
There are a lot of expenses that have to be taken out of the wholesale cost of that BC. Research, design, testing, marketing, insurance and a very big one advertising just to mention a few. If everyone bought a new one every year or two the price might very well be reduced by a very large percentage.
Robbery? No, just supply and demand.
A lot of things are cheaper today that they were years ago. My first wet suit was a ¼” Farmer John that cost me around $40.00. That was when you could buy a brand new T Bird for around $2000.00 and gas was around $.30 a gallon.
You’re much better off today.
Gary D.
cool_hardware52
Contributor
Your opinion is based on what? A feeling maybe? Have you ever priced out the various materials required, and the process steps necessary to construct a BC?
I do know of what I speak. I actually produce wings, right here in the USA.
To make a wing (or BC) you need to be able to:
Produce the patterns, and maintain and update such for any revisions,
Cut and sew. Plan on about $25,000 worth of sewing equipment, cutting room equipment.
RF weld. Basic 10 KW welder will set you back about $20 K is you are a very good shopper. Now install it with the required grounding, power and compressed air supply, another few $1000.
Make or buy RF welding dies. Each BC requires at least one welding die, sometimes more. Figure $500-1000 per die. I own about 25 dies.
Injection molding. BC's and wings have many pieces that are injection molded. We happen to make almost all of the parts used on our wings, with the exception of the inflator and hose. Injection molds are $5000-$20,000 each. I own dozens of these also.
Now that you have the equipment (and a building to operate them in, with the necessary compressed air, power, AC / heat and lights) you need is some inventory of raw materials. Plan on about $40,000 of fabric, zippers, webbing, thread, edge tape, grommets, urethane, inflators, hoses.
You will need to plan for financing your finished goods inventory, Maybe $50,000.
Now staff your operation.
Now market your goods.
Now buy liability insurance.
Budget for customer service and warranty returns.
Anything leftover for a little RD?
If you "cannot be convinced" that BC's are vastly over priced, you should run, not walk down to your local banker for loan to get started making them yourself. Should be no problem to convince him either............
BTW, If you are still convinced that BC's have not changed in 30 years I suggest you check out what I have to offer.
Tobin
Buy scuba gear, scuba diving and snorkeling equipment, and everything underwater from LeisurePro.com, ebay or another online vendor usually have closeout models under $300. BTW, don't touch an underwater camera...you might just like it
R
redacted
Guest
With a bit of research and some smart shopping, there is no reason that you have to pay MSRP for perfectly suitable gear unless you just have to have the newest models.
My hope is that strong competition from high volume internet retailers will for force the scuba retail industry to eliminate some of its inefficiencies.
My hope is that strong competition from high volume internet retailers will for force the scuba retail industry to eliminate some of its inefficiencies.
BCDs and wings here generally aren't much different in price.
By the time you've bought a plate, webbing, d-rings, sliders, the wing itself and an STA you're looking at about the same price as a BCD.
As for why its expensive - because people will pay it. Its simple as that.
Look at the inflation for price on drysuits - thats even worse.
By the time you've bought a plate, webbing, d-rings, sliders, the wing itself and an STA you're looking at about the same price as a BCD.
As for why its expensive - because people will pay it. Its simple as that.
Look at the inflation for price on drysuits - thats even worse.
Hey, I'm gonna' try that on my wife next time she asks me why my diving hobby costs so much. Supply and demand, dear. Sheesh! Don't you know anything about basic economics?
On second thought...
Yeah, I just told her that I'm getting ready to buy some new drysuit undies, and I'll spend between $300 and $400.
On second thought...
Yeah, I just told her that I'm getting ready to buy some new drysuit undies, and I'll spend between $300 and $400.
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