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Re: extra post# 72435

Saturday, 04/04/2009 1:44:06 PM

Saturday, April 04, 2009 1:44:06 PM

Post# of 241056
Would you like a straw with that

Bottom-Line #1 : The Gross Revenue to wnbd can't possibly be even 50 cents per bottle. They would be lucky to get 25 cents

One, you don't know what Gross Revenue is? The pure definition and how it relates to WBC.

So if WBC gets .25 cents; what does it pay Surefil? .12 cents a bottle? ROFLMAO

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Yes the cost to small retailers are more because they get smaller item quantity shipped to them and unfortunately they charge consumers more as well (to cover costs of business). So instead of being $9 (MSRP), you might find it $10 or even $11 at a small local level store (to cover their costs and make standard profit margins they expect) especially if no "big boy" competitor in area to establish high supply (which would equate to lower MRSP to consumers).

Even one step further, buying local is better then buying online at times for one bottle; who would pay $10 a bottle then $10 shipping?

The cost to national account are not even close on a "per bottle charge". They buy in VAST quantities have regional distributions center, and those product are shipped to stores with a plethora of other restocking orders. So freight, etc. is much less per unit. The national accounts deal in "quantity" and thus will price generally according to MSRP or below (for weekly specials).

National accounts will put pressure on local ma/pa stores to drop their price to be competitive (meaning little guy gets squeezed again), or if price isn't that great of difference for convience customer/shoppers will still shop a local ma/pa stores.

Ever heard of using smaller fish to catch big fish? A lot of trends/products get a start local (decision making is easy at one owner businesses), when on verge of being popular you can be sure all the big Nationals want to be stocking it and selling it.