Worst convenience store price mark-up

Stonk

£10.52 for a 5-minute mobile phone call, while roaming, to an international number (in the country I was roaming in).

Stonk

50 pence of interest on a credit card.

Wig

Just to be devils advocate...

A small shop has to buy it's products from the cash and carry, have you seen the prices in cash and carry's ? They are similar to Tesco, sometimes more expensive than Tesco.

So the small shop has overheads and has to feed his family, it's called mark up and profit. If he wasn't making any profit he wouldn't be in business and his shop would no longer be a convienience to you. Other retailers, in electronics or whatever have a markup of 100% at least. So why should the small corner store be any different?

The cigarette man comment was also unfair, so assuming the duty is paid in advance when the stock is bought from the cash and carry..... All shops allover the land will have increased the prices for opening time 9am the next day, none of them will have sold all of their stock in that time, so every shop does this, this man just did it after 6pm, so what's really so bad about that? it's going to cost you 5 - 6p more are you really so tight? if so give up smoking and save a fortune. Now assuming duty is paid in the accounts at the end of the tax year, he was doing no wrong. I've never been a shop keeper so I don't know if the duty is paid in advance or at the end of the year.

We will as a nation soon be paying the real price for having giants like Tesco, and who will you all moan to then?

IvanOpinion

Wig
As a follow on I have seen several small shop owners shopping in Tescos et al. because they can be cheaper than the local cash and carry (not quite sure if this is legal or not?).

As a rule of thumb many small shops price their goods using a 20% markup. if a dozen cans cost them £4.80 then they will charge 48p per can (i.e. 10 cans to cover the cost of the goods and then another 2 cans to cover the cost of running the shop, staff, lighting etc. and profit).

Ivan

Altarf

IvanOpinion wrote:

As a rule of thumb many small shops price their goods using a 20% markup.

It depends on what they are selling. Newspapers can be as high as 33%, cigarettes as low as 5%. And the petrol station quoted at the start of the thread might by lucky to make 1p a litre, which is 1% at today's prices.

Wig

Yes, food/corner shops are about 20% markup, I was drawing a comparison (not very well explained) with other retailed goods, and electronic items have markups of around 100% as do books and shops selling candles, calendars, and other homely nik naks.

So food/corner shops @20% really do have a hard time making it all work IMHO.

The petrol station should have a net profit of about 10p per litre which has to pay for all the overheads, leaving a gross profit of a couple of pence per litre.

Altarf

Wig wrote:

The petrol station should have a net profit of about 10p per litre which has to pay for all the overheads, leaving a gross profit of a couple of pence per litre.

10p a litre gross profit! Only in a petrol retailers wildest imagination.

Wig

I said net profit...

I might have my nets and gross the wrong way round :rolleyes:

The amount of profit depends on how much a delivery of 40,000 litres of unleaded petrol costs from a refinery.

Does anyone know?

Altarf

Wig wrote:

I said net profit...

I might have my nets and gross the wrong way round :rolleyes:

I assumed it was a typo so didn't want to correct you.

elvis_bloggs

I avoid buying small items in garages, not only are they terribly expensive but I can't understand the english that is spoken.