Another store closes it's doors :(

bill57 said:
The problem I have with all of them is the inflated "shipping and handling" charges. If I only want one or two relatively inexpensive items, my "shipping and handling" charges are around 25% or even more! To add insult to this injury, the hook is baited with the promise of "free shipping", only to find that applies to orders of almost $100. Unreasonable, IMHO.
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Can you give us an example of "inflated shipping charges" and the objective information that shows that 25% inflation? Shipping is way too expensive to begin with bearing in mind that some couriers charge upwards of 2 whole dollars additional simply for residential delivery....
 
autoaesthetica said:
Internet drama Mike. He's not shutting down, its a brief hiatus so he can focus on what he needs to.. the pitfalls of being a small quality focused company.
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Good to hear that he'll be coming back soon. Ken seems like a cool guy, but isn't afraid to speak his mind when he needs to. You've gotta respect that.
 
autoaesthetica wants an example of an order of one or two inexpensive items that results in what I consider an "inflated shipping and handling charge" of 25% or more. Anyone can do the exercise at any of the sites, but here is an example right from this site: (1) green 5.5" foam pad @ $9.99, and (1) orange 5.5" foam pad @ $9.99 for a total of $19.99. Least expensive shipping: $8.31. That is a whopping 41% shipping and handling. And when I receive the package from UPS, I'll find that the actual shipping charge was a fraction of the $8.31. The rest is for "handling".
 
Can't tell you how many times I ended up not buying something because I don't want to pay ~$10 shipping on a $10-15 order. Rather just wait and buy lots of stuff at once. My favorite was when DI had a $3 shipping deal. I bought a gallon of ONR and tire gel and some leatherique cleaner that was also on sale.
 
I could truly use some input on the whole shipping situation for my new site. :nixweiss



I am new to the shipping game, so I don't know how to get a deal, or if in fact there are big discounts to be had. The site is so new, I'm not even fully stocked right now. At this time, I average maybe one shipment per day.



When I buy goods, I hate paying for shipping as much as the next guy. It has become so expensive. As an example, I recently sent three gallons of liquids (about 25 pounds total) from California to Indiana via UPS, and my actual shipping cost was $44. As a guy that loves to give a deal to a fellow detailer, I try to be as absolutely fair as possible. Yet, running the numbers, if I ship 3 or 4 gallons of something as inexpensive as an all purpose cleaner, the shipping will eliminate nearly all or more than all of the profit if I ship for free.



I decided that for now, I am charging $5 flat rate for any order. :think2



The main reason for this is... I haven't weighed each individual item I offer. Until then, the UPS shipping calculator is useless, and the Post Office doesn't offer a shipping calculator for sites (or I am not aware of one being available).



Once in a while, a guy will buy a handful of 3" sanding discs, so I just wrap them in a sheet of paper and stuff them in an envelope, sent it First Class Mail for the price of a stamp (I refund the $5... only did this about 3 times so far).



As far as pricing goes... raising the price a bit on heavy products is an option, but then, anyone price shopping will immediately recognize that prices are higher on my site compared to other sites. As things are now, I already get creamed on price by the big online places, and I can accept that. After all, if it is not profitable to make a sale, the site will cease to exist. Knowing this, I recognize that some guys may buy certain things from me, and pass on others.



Hopefully, as the site gets bigger, I can add unique items that are not always easy to locate. Then, there is a huge market out there that does not necessarily know pricing like the back of their hand, and are more concerned about talking to a guy that qualifies their needs, makes recommendations, and walks them through potential problems or situations. I hope to be that guy.



A bit off tangent, but it all comes down to making this decision: :hairpull



1. Charge a flat rate for shipping, and hope there is enough profit in the sale to pay the shipping bill, and still make a few bucks (this is the option I have chosen, at least for now I charge $5).



2. Weight everything, and use a shipping calculator so the customer pays the actual cost of shipping.



3. Fatten the price on heavier items to compensate for the higher shipping charge (even if it's $3-$5 on lighter gallons or inexpensive products, and $5-$7 on heavier gallons, or expensive products).



This is from my shipping page:



You don’t want to pay for shipping, and neither do we. So, how about we split the cost?

For regular shipping, you'll pay $5, and we’ll pay the rest. Here's how it works.



Small packages will ship via USPS Priority Mail.

Basically, anything we can fit into the Large Flat Rate box, or smaller, will ship Priority Mail.

Post Office restrictions on liquids and aerosols apply. Maximum box size is 12" x 12"x 5.5".



All other orders will ship via USPS Parcel Post, or UPS Regular Ground.

These two are similar in price and time of delivery.



For any sort of expedited shipping, you pay the difference. As an example:

The total cost of regular shipping on your order happens to be $15.

Your cost would be $5, and we would pay the remaining $10.



If the cost of expedited shipping turns out to be $35...

You'll pay your original $5, we'll pay our original $10, and you'll pay the $20 difference.



For expedited shipping, you must call or e-mail so I can get you an accurate total.

This is the only way we can handle shipping until we review our options.



Currently, we only ship to the contiguous U.S.A.

Shipments to Hawaii and Alaska are contingent upon a reasonable shipping fee for us.

In short, if it costs us more to send a package to you than the profits of the sale... we can't do the deal!





Thanks! Kevin Brown



I am SO open to opinions on this! :director:
 
tdekany said:
Don't have much time right now to reply, but $5 flat is asking for trouble. Should be at least $8.95
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Agreed totally. Especially on bigger/heavier orders you'll end up eating a lot of shipping.
 
Thanks guys.



I agree that I will be eating a lot of profit with heavier orders.



My main question I suppose is... as a customer, free shipping is obviously the most appealing. Most people understand that they are paying for shipping in some way, and that the cost is reflected in the price of the product (exceptions: sales and Christmas season). Here is what I would like to know:



1. When you shop, will paying actual shipping turn you off of the site?



2. Do you always search out free shipping before settling on a site?



3. Do you calculate shipping + price of goods to determine where you will spend you dough?



4. Do you look beyond just pricing, and focus on other things to determine your shopping site?
 
As someone who runs a detail shop and also sells products via my website, I will tell you it's very difficult to handle this on a daily basis.



John
 
Gee, I didn't even know you were in the business!



Kevin Brown said:
Here is what I would like to know:



1. When you shop, will paying actual shipping turn you off of the site?
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Not the fact that it's the actual shipping; I see that as directly passing along an inherant cost. Though I've appreciated the times I've noticed that what I paid for shipping was less than the label said it cost (that was from PakShak).



2. Do you always search out free shipping before settling on a site?
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Not always. I don't really put much effort into seeking that out but I keep it in mind once I'm aware of it.



3. Do you calculate shipping + price of goods to determine where you will spend you dough?
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Where and how I spend it. I consider shipping same as I do any other cost that contributes to the bottom line. E.g., before all the Free Shipping offers there, I always put together my Griot's orders to minimize the shipping cost (usually resulted in rather infrequent large orders).



4. Do you look beyond just pricing, and focus on other things to determine your shopping site?
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Sometimes yes, sometimes no. Sometimes it's simply a matter of being able to get what I want (try finding AutoGlym Bumper Care or certain Wurth products!). It's often situational with regard to CS- "is a significant problem likely?" And sometimes I just like to patronize somebody I esteem, or to *not* patronize somebody for various reasons; I can assign a monetary value to, uhm.....intangibles, at least to some extent. Might be a bit different if I were doing this stuff professionally though, and even now there's a limit to what (additional) I'll spend just to support a pal.
 
Usually, unless I desperately need something for a project I'm in the middle of or I run out of one of the critical products I can't find a substitute for locally, I tend to wait for sales or free shipping promotions before placing a large order.



That said, when I *do* get in a pinch I'll usually order from whoever can process and ship the order out the door the fastest and/or the company with the best technical support.
 
Kevin Brown said:
1. When you shop, will paying actual shipping turn you off of the site?
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No. Paying actual cost is fine. I just dislike when it seems that shipping charges are puffed up to pad profit.



2. Do you always search out free shipping before settling on a site?
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Those promotions certainly do catch my eye. But I don't actively search around for free shipping. I just want it to be reasonable.



3. Do you calculate shipping + price of goods to determine where you will spend you dough?
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Yes, always a consideration. The bottom line is important, especially when the products are a commodity.



4. Do you look beyond just pricing, and focus on other things to determine your shopping site?
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Well, certainly when I can get more of what I want (selection) or have had great service or fast processing and shipping then that will be a consideration that has value to me and I will pay for that.
 
bill57 said:
autoaesthetica wants an example of an order of one or two inexpensive items that results in what I consider an "inflated shipping and handling charge" of 25% or more. Anyone can do the exercise at any of the sites, but here is an example right from this site: (1) green 5.5" foam pad @ $9.99, and (1) orange 5.5" foam pad @ $9.99 for a total of $19.99. Least expensive shipping: $8.31. That is a whopping 41% shipping and handling. And when I receive the package from UPS, I'll find that the actual shipping charge was a fraction of the $8.31. The rest is for "handling".
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StuLax18 said:
Can't tell you how many times I ended up not buying something because I don't want to pay ~$10 shipping on a $10-15 order. Rather just wait and buy lots of stuff at once. My favorite was when DI had a $3 shipping deal. I bought a gallon of ONR and tire gel and some leatherique cleaner that was also on sale.
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I concur. If I was an established high end pro that ate Ferrari's for breakfast, I'm sure the very large sized orders could make bulk shipping nearly a moot point.



I am an enthusiast who every once in a while gets a weekend gig. I want to buy some Chemical Guys Citrus Wash, after starting my recent wax stripping query thread. I only know of one place that sells it, DI. The smaller bottle costs $9.99. Shipping is well over 100% of the cost at $11.52.



Now, I can wait until I need to place a much larger order, however I've already spent way more than any sane enthusiast should on this stuff in the last year or so. I suppose I need to stock up on Rejuvenator as I'm just about all out, hmm.



I don't want to drive any establishment out of business, I don't want to be unreasonable, and of course I don't know what the real costs are like to these businesses in the end. That said, I absolutely look at my shipping costs, always. I probably get more excited about free shipping than 20% off promotions like what DD currently has going on.
 
Brad B. said:
This month FedEx lost TWO packages for me from different vendors. Give me the boys in BROWN.
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I absolutely second that! UPS sometimes really is my last hope that efficiency, at least when it comes to shipping items, still exists. :(





Johnny 5 said:
The smaller bottle costs $9.99. Shipping is well over 100% of the cost at $11.52......... I absolutely look at my shipping costs, always. I probably get more excited about free shipping than 20% off promotions like what DD currently has going on.
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Talk about having to throw money away/highway robbery. :mad: The pricing is a little much for sure. I often put up with paying tax too if I’m ordering something from FL. I don’t mean to complain, but there is a point where the shipping can get absurd and obscene. I don’t think I speak for myself when I say I still swallow it though. :( Free shipping very rarely is offered under $75 orders so yeah, best wait and put in one larger order. I’m hoping a good one might come in the next several weeks or so.
 
I dunno, perhaps I'm a bit too pragmatic, maybe even too cynical, but in as much as I would love to sell detailing products, there is NO WAY I would even get into that space. The only way you could hope to succeed is to create a large enough business to make one of the big boys want to buy you outright. Not many people see it right now, but Amazon is creating a very disruptive marketing strategy. One of its most powerful components is their FBA program, Fulfillment by Amazon. You give them your products, they store and ship them for you at rates, that anyone can't beat short of running out of their basement using child labor and a stolen shipper account #.



The first thing anyone considering selling products needs to think about is, how am I going to beat Autogeek. Lower prices? Better service? More variety? Good luck. As many fine people have figured out the hard way, once you get past the one or two guy operation, your costs skyrocket. Then you have Amazon, this giant looming beast that aims to be the sole product distribution mechanism of the future waiting to crush you, which I'm sure keeps Max awake at night. The only thing saving Autogeek is the fact it isn't big enough to swat down yet.



I certainly don't want to crush anyone's dreams, but the reality is, the market has shown how crowded of a space this really is.
 
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