Rite Aid Complaint - How much markup do they need? - Jodak FunSaver Camera

Posted by rhondam718732 on 2007-05-22:

Rite Aid isn't a bulk store...why should they buy in bulk rates then pass that price on? They are in it to make $ and $8.99 for the camera isn't horrendous.

Posted by grandma005 on 2007-05-22:

Unless you want to buy 10 cameras, you can't expect to get the wholesale price for one camera.

Posted by Sarah May on 2007-05-22:

I'm with you rhondam, I think that as consumers we should expect to be paying well over cost at retail stores. The $4.98 price was an each price for a carton of 10, plus it was direct from the maker. Was there an each price to buy them individually from Kodak, or was only possible to buy them in a carton?

Posted by shawnp80 on 2007-05-22:

This is a ridiculous complaint.

Posted by Ponie on 2007-05-22:

Hey, come on guys! I said I was all for capitalism, but I don't think the average markup for retail is 100%. (In jewelry, yes, but not in a drug store.) And even though Rite Aid isn't a 'bulk' store (what is that, anyway?), they certainly buy in large quantities which would make their price $4.96 or less. I'm all for making a profit otherwise I couldn't stay in business. But there's such a thing as pricing yourself out of the market, too. And I'm in business to make money! I don't expect a retailer to sell to me at the price they pay for it. If this were so, there would be no businesses around to feed our economy.

Posted by UrFriendlyPirate on 2007-05-22:

They're in it to turn a profit, not provide a service.

Posted by Stew.old on 2007-05-22:

Thanks Ponie for the heads up. I don't think this is a ridiculous complaint at all - I'd feel ripped off too.

Posted by heaven17 on 2007-05-22:

Drugs stores are notoriously overpriced on most things, so this is hardly a surprise. They're basically convenience stores (now there's a contradiction in terms) that happen to dispense drugs.

Posted by shawnp80 on 2007-05-22:

Stew, you're nuts too. I hope you were being sarcastic.

Posted by chemman on 2007-05-22:

I've worked in a few retail stores (mostly clothes) and I can tell you, Ponie you are correct, the average markup isn't 100%, it is usually more! Most shirts and pants that came in were marked up 200 to 300% from the original prices, if you were lucky you could get it on sale for a 100% mark up. Stores have to make money to pay for overhead, such as wages, the ever rising cost of gas and electricity, not to mention insurance in this sue-happy society. If you don't like the prices, don't shop there but don't complain when there are no more local stores and everything needs to be ordered from the internet in bulk and you wait for delivery. You pay extra for the convenience, you even started your complaint stating you were on you way to a graduation party, would you have rather went back home, ordered the camera for cheaper and waited for them to ship it to you before going to the party?

Posted by imjustasteph on 2007-05-22:

WalMart has a poster in their employee area (at least the one I worked at does) talking about all the various wonderful numbers associated with WM. Things like their rate of product turnover, etc. One of the things mentioned is that their AVERAGE markup is 200%.

Posted by zzrokk on 2007-05-22:

Ponie, I hear you. I wonder what 7/11 charges?

Posted by Stew.old on 2007-05-22:

What kind of consumer gripe site has members that tell other members not to complain about the price of something? Isn't this what this place is for... to provide feedback and warnings to other consumers about products and services?

I would totally disagree with the 'RETAIL' mark-ups you guys are quoting as being an industry standard. Maybe back in the day but not in today's highly competitive world. AGAIN - thanks for the heads up, Ponie!

Posted by rhondam718732 on 2007-05-22:

Stew my response to your comment "What kind of consumer gripe site has members that tell other members not to complain about the price of something? Isn't this what this place is for... to provide feedback" is that's exactly what we are all doing. Providing feedback. Some of us don't agree that Rite Aid charged unfairly for a product since they are not bulk buyers and we are voicing that feedback.

Posted by zzrokk on 2007-05-22:

Nice one, Rhondam....In your face, Stewart!!!!!

Posted by Stew.old on 2007-05-22:

rhondam718732 my response to you is - the same camera can be bought everyday at wal-greens for $6.99 (without coupon). Given this information if you were in need of a disposable camera and were presented with the choice of either Rite Aid or Wal-greens where would you stop? Probably wal-greens cause you've been educated by this review. Instead of throwing stones how about a simple - 'Thank you'.

zzrokk - why do you act like you're still in junior high?

Posted by Ponie on 2007-05-22:

Whoa! I didn't mean to start World War II, or is 4 or 5 by now? Perhaps I'm being educated by this forum. My experience regarding retail pricing is limited to hardware stores, jewelry stores, and gas stations.

My late father-in-law was in the hardware business and we often discussed what his markup had to be to make a decent profit after expenses were paid. A relative of mine has a jewelry store and he's the one who told me of the 100% markup in fine jewelry (especially diamonds). A neighbor of mine is retired and works part-time at a gas station. The owner makes 3 cents on each gallon pumped. (Anyone read the story of the station owner in WI who lowered his price and the state stepped in and told him he couldn't do it? He had to charge 'x' cents above his cost.)

Newspaper articles and TV segments often cite the margins in supermarkets--I think the latest I'd heard was 3%. It may not apply in this case.

rhondam, I don't quite understand what you mean by: '...Rite Aid...are not bulk buyers...' Are you saying a huge corporation like Rite Aid buys throw away cameras individually as we consumers normally do? There were at least 15 cameras on the rack from which I took mine and there was more than one rack set up in the store. They have some pretty big trucks that cruise our highways.

zz, I'm with you. The price at 7/11 would probably have been double. But, if nothing else is available, we'll pay the price. Such as tomorrow I'll do a fill-up, even though cheapest in my area right now is $3.49/gal.

Another thing this forum has taught me: PROOF before you post!! Look at that title. Whoever heard of a Jodak camera. :)

Posted by Lidman on 2007-05-22:

Ponie, good post!

rhondam, good anwser to Stew and again, In your face,Stewart!

shawnp80, About Stew, you are right he is nuts and to prove it he is French Canadian!

Posted by zzrokk on 2007-05-22:

Ponie, it's not your fault, Stewart just needs a hug and a pair of shoes that aren't so tight......

Posted by Lidman on 2007-05-22:

Ponie, Stewart also needs a pair of panty hose.

Posted by jktshff1 on 2007-05-23:

I probably would have purchased the camera when I had time to shop around if the price was that big a deal

Posted by imjustasteph on 2007-05-26:

Stew-
I agree it's a bit silly to tell someone not to complain about almost ANY given thing at a gripe site.

As for the retail markup- I can't say whether it's an industry standar but that's for sure what the sign said in the back of WalMart 3 years ago when I worked there, and the prices haven't changed much since. Now, I can't say whether the wholesale prices have changed- but the retail hasn't much.

Posted by Ponie on 2007-05-27:

I find this humorous. My w/e bird cage liner contains all the store flyers, CVS among them. This week, the identical camera is listed at $5.99 in the CVS ad! Many of their items have fine print which says something like 'without Extra Care card: $X.XX.' For this one, you don't have to use the card which tracks your purchases. And before someone flames me, I'm not complaining about their being able to track what I buy. Since I don't plan to purchase bomb making ingredients there--I don't care if they know--I'll take the lower price. :)

As far as 'shopping around if the price was that big a deal'--that was not the point of my posting. I knew I was going to stop at a drug store along the way to pick up a camera, no matter the price. Having the $1 coupon gave me the incentive to purchase a 'brand name.' My posting had to do with the tremendous markup I discovered by accident when I went to the Kodak site.

Gosh, Stew, if they say you need a pair of shoes and panty hose--I'll see what I can do, but it really doesn't sound as though you have your panties in a wad, so I might pass on it.

Steph, I don't consider my3cents to be a 'gripe' site. I've asked questions, posted compliments, suggestions, etc. But I do wonder if we're defeating its purpose by swiping at each other. Just MHO.

Posted by FYI10 on 2007-07-09:

Pointless post. You can't complain about the bulk price offered on the website versus the store price for one camera. This is a non-issue.

Posted by Ponie on 2007-07-27:

Ah, yes. Agreement between two very inciteful individuals--NOT! Those blog pages tell it all. TTFN

Posted by JasonJD on 2007-12-18:

Giving that CVS offeres the Funsaver at $6.99 regular and Walmart I think for $5.99, it is a huge rip-off to pay $8.99, some sale!