Lately I have been comparing prices between regular online shops and what some suppliers or factories actually sell for, and the difference is honestly surprising. Sometimes the “retail price” is two or three times higher than the real cost.
It made me wonder how people here usually check if they are getting a fair deal. Do you rely on reviews, price-tracking tools, buying groups, or certain websites that show more accurate pricing?
I am trying to learn how to avoid overpaying, especially for electronics and home items. Any tips from this community would really help.
Has anyone else noticed huge price gaps between online stores and factory prices?
byu/DapperAsi inFrugal
Posted by DapperAsi
5 Comments
It’s usually going to be at least double, when I worked as a purchasing agent I learned that they basically doubled the cost every step of the way
Manufacturer cost:$20
Distributors cost: $40
Retailer cost: $80
Consumer cost: $150+
Obviously this is not the case everywhere
No, I never see factory prices. How would I?
No kidding. They are in business to make money.
Keep in mind that there’s a lot more costs to running a business than the cost a company pays to buy it from the factory.
Logistics. Paying warehouse workers. Paying retail employees. Power bills, gas bills, water bills, rent, maintainance. Paying the people in corporate who design the marketing campaigns. Running commercials.
You’re never going to find a retailer who sells at their cost from the factory because they have to pay for a lot of other stuff.
How do you see the factory cost?