Furniture Prices Markup - What is dealer cost?

[mickeysgal]

Does anyone know, in general, how much furniture is marked up compared to dealer cost? If a piece is marked 50% off, is this cost or is there still some margin of profit there?

 

[momof3disneyholics]

I'm sure they are still making a profit. I heard once the mark up was around 60%.

 

[lovetomow]

I work for a furniture manf. The last number I heard our dealers usually marked it up about 150% over wholesale.

So we sell sofa for $1000.00 to a dealer and they will price $2500.00 on the floor!

 

[richsilver]

I worked for Scan Design about 20yrs ago.If we use the 1k figure they would sell full price at 2k.Funny thing is in business terms that is 50% markup.

Got great employee pricing,and they have awesome stuff,but still could only afford a few things.


rich

 

[mrsv98]

My DSis used to work for a "discount" furniture place. She sais at times, the markup was 300%!!!!

Furniture and jewelry have to biggest markups so negotiate!

 

[Golf4food]

Most bigger/pricier retail items that I know of are at least a 100% markup if not more. So a 50% off sale would usually mean the seller is breaking even or still making at least some profit.

 

[ashjohnson80]

I used to own a furniture store and regular prices would be twice the wholesale price, but we always had things on sale, so most of the time things would only be markeup 30-40% and in the end we were selling things for 75% off and losing a ton of money. But we went out of business so I guess I"m not the best one to ask.

 

[tar heel]

The markup on higher end North Carolina furniture used to be 200%, which is why the dealers are still making plenty when it's 50% off.

 

[mickeysgal]

The markup on higher end North Carolina furniture used to be 200%, which is why the dealers are still making plenty when it's 50% off.

Darn. Here I thought I was getting a rock bottom deal on furniture from two stores that were going out of business. The furniture was 50% off. Either way, the prices were still good but I really thought I was getting the furniture at cost. The line is high end and specialized rustic/lodge decor. Even at the 50% I could hardly afford it.

 

[The Mystery Machine]

So what about "Direct Buy"? Is it really from the manufacterer????

 

[mickeysgal]

So what about "Direct Buy"? Is it really from the manufacterer????

Good question...

What is the discount rate with Direct Buy? Are you supposed to get furniture at cost if you buy with them?

 

[okeydokey]

I believe with Direct Buy you pay quite a hefty fee for membership, like $6000 or so. Maybe worth it if you were furnishing an entire house.

 

[livie1205]

it is like 200% mark up...ex husband used to work for a furniture store and we got our furniture for cost (great benefit) so we would get a whole living room set couch,love seat,table for 600.00 and it sold for 2500.00 ...good stuff too..and i have a friend who still works there so i got my dd2 bedroom set full size sleigh bed and a armoir to match for 400.00 total...they mark up furniture crazy high!

 

[Sleepy]

After seeing the cost of granite and wrought iron furniture here, I can definitely say there is a HUGE markup on those items sold in America.

 

[lovetomow]

Here is the sad part about US furniture manufacturing. These are actual numbers from Oct. 2007 mkt on a table.

Price to Manf in US Plant - $625.00

Landed Price to Import from Vietnam - $103.00


Hmm, where do you think it's coming from? This is the reason we have lost 14,000 furniture jobs in my county alone in the last 7 years.

 

[momof3disneyholics]

Holy Crap! I had no idea they marked it up so much! Where the heck did I get 60% from?
Ok, here's one. How much commission do the salespeople make and do they only work on commission?

 

[mickeysgal]

Here is the sad part about US furniture manufacturing. These are actual numbers from Oct. 2007 mkt on a table.

Price to Manf in US Plant - $625.00

Landed Price to Import from Vietnam - $103.00


Hmm, where do you think it's coming from? This is the reason we have lost 14,000 furniture jobs in my county alone in the last 7 years.

Here's an example. I looked at a large lodge-style dining table - the table alone at 50% off is $2800 and that's with no chairs. Made in the U.S. with a solid 2" slab of what they call Live Walnut. It's a true beauty, a work of art. [/I]On the other hand there is a dining table with 8 chairs - an import - made of "hardwoods"...total out the door price of $2200.

But I'll tell you, the U.S. made table is solid and you'd need a chainsaw to inflict any damage to it. The import table just isn't going to hold up.