Comments on: The haggle is “in” http://www.tamingthebeast.net/blog/ecommerce/haggle-online-sales-0308.htm Ecommerce, web marketing and development news and research by Michael Bloch of Taming the Beast.net Sun, 08 Nov 2009 04:10:37 +0000 http://wordpress.org/?v=2.6.5 By: Michael Bloch http://www.tamingthebeast.net/blog/ecommerce/haggle-online-sales-0308.htm#comment-49871 Michael Bloch Sat, 29 Mar 2008 08:43:37 +0000 http://www.tamingthebeast.net/blog/ecommerce/haggle-online-sales-0308.htm#comment-49871 Hi Ern, if I remember correctly, you've been in business for a very long time, so obviously your approach works :). I think when starting out, taking a whack on the profit side of things is okay to get you started, but then after a while, a model like yours is definitely better - once you've made a name for yourself. I'd much rather pay a few bucks and get the good after sales support - but that's another challenge these days. Paying more doesn't equate to better service quite often. It's interesting and an important point that you also factor in a "haggle" margin. Hi Ern, if I remember correctly, you’ve been in business for a very long time, so obviously your approach works :). I think when starting out, taking a whack on the profit side of things is okay to get you started, but then after a while, a model like yours is definitely better - once you’ve made a name for yourself.

I’d much rather pay a few bucks and get the good after sales support - but that’s another challenge these days. Paying more doesn’t equate to better service quite often.

It’s interesting and an important point that you also factor in a “haggle” margin.

]]> By: Ern http://www.tamingthebeast.net/blog/ecommerce/haggle-online-sales-0308.htm#comment-49870 Ern Sat, 29 Mar 2008 06:33:02 +0000 http://www.tamingthebeast.net/blog/ecommerce/haggle-online-sales-0308.htm#comment-49870 My new customers always want to haggle. My unit price average is 4k per product as I sell big ticket auto workshop machinery. I try to leave enough margin to handle their often overpriced trade-in and any haggling. My established customers seldom haggle. They are smart enough to want me to make a good profit, as it allows me to give them exceptional after sales service, and they realize I will not provide it without enough margin to do so. My competition only sell on price, often leaving only 1 or 200 dollars profit on a 5k sale. It is not too difficult to explain the service angle on items that need support, and I ask the question.How good will the service be when there is no profit to provide it? My new customers always want to haggle.
My unit price average is 4k per product as I sell big ticket auto workshop machinery.
I try to leave enough margin to handle their often overpriced trade-in and any haggling.
My established customers seldom haggle. They are smart enough to want me to make a good profit, as it allows me to give them exceptional after sales service, and they realize I will not provide it without enough margin to do so.

My competition only sell on price, often leaving only 1 or 200 dollars profit on a 5k sale. It is not too difficult to explain the service angle on items that need support, and I ask the question.How good will the service be when there is no profit to provide it?

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