Tubs: Pricing
Have you ever wondered what you are paying for and how a hot tub is priced?
This graph is an example of how hot tub prices are formulated.
Other Hot Tubs (sold at dealerships) |
Moose Mountain Hot Tubs (sold direct) |
| Cost of manufacturing | Cost of manufacturing a Moose Mountain Hot Tub |
| Cost of brochures | No brochures - no cost to pass on |
| Manufacturers net profit 6% - 12% | Moose's net profit per hot tub 9% |
| Manufacture sells hot tub to dealer | Moose cuts out the middle man and sells directly to you. |
| Shipping from manufacturer to dealer |
Moose's selling price + GST |
| Dealer mark up 30% -40% is added on This will give the dealer a profit of 6% - 12% |
No dealer mark up |
| Selling price at dealership + GST | No shipping from manufacturer to dealer lower cost to you for the same product |
This table illustrates why a Moose Mountain Hot Tub is sold at such an incredibly low price. We cut out the middle man!!!
The best-run McDonald's franchise can make a net (after all the bills are paid) profit of 13%. Dealers need to have a minimum 30% - 40% mark up to cover their overhead (rent, taxes, salaries, home shows, commissions paid to sales people). This is in addition to the manufacturers mark up and net profit.
The dealer mark up adds more to a hot tub's price than anything else, So buy directly from Moose Mountain Hottubs and save! It's as easy as 1, 2, 3 to order your new Moose Mountain Hot Tub.