$3120 for a Gem Tang??!!???

[Forsaken77]

One of my LFS's had 4 Sea Dragons for sale at $2,300 each. They were in a roughly 400 gallon tank by themselves where the bottom was covered in all long hair algae because all they eat is amphipods. Gorgeous animals that look like a cross between a sea horse and a bunch of sticks, lol. They were pretty big to, like 12" long.

 

[mitch91175]

My friend owns a local fish store and i have seen his wholesale prices at which he buys you would be surprised to see the margins.
For example a $300 fish cost is about $50-75. A $40-60 fish cost is $5-15.

I will say this to everyone that complains about the pricing of fish and the margins that fish stores make, yada, yada, yada. DON'T OPEN A FISH STORE.

I am frugal just like the next person, but when you truly know the expenses involved in running a store, you see why the pricing is where it is for some items, others are still head scratchers (like the $3K price for a gem tang). For example, store A orders 2 boxes of fish. Those 2 boxes cost them say $800+shipping. Opens the box and out of the say 40 fish they order, 10 are DOA (depending on the source, hopefully they get full credit - which isn't always the case). So now the store has to cover the cost of those 10 DOA fish. So say each fish at that point sells for an average of $60. That's $1800. If the store has a guarantee of any kind (regardless of how wonderful they treat their fish), out of the 30 remaining fish, let's say 7 have to be replaced within the guarantee period (as we know some hobbyist just do not know what they are doing). So now the store has to cover those 7 fish so that drops the $1800 to $1380 with a approximate profit of $420. Out of that $420, they have to pay state taxes, employees, employee taxes, etc, etc.

So now do you wonder why many LFS go out of business? Although that fish you look at and want you think the price should be cheaper, sometimes you just have to be thankful that your have someone local to you where you can actually buy that fish and a price point that allows that LFS to stay in business; specially if that LFS does right by you as a paying customer.

 

[Dr. Reef Verified Sponsor]

Lfs don't get guarantee like hobbyist. They don't even get arrival guarantee because they are Paying wholesale prices. Which makes it even worse. Cost of running a business the rent the electric the water bill employees sales tax all that stuff has to come out of that fish that they have to sell I used to own a retail convenience store and I know how expensive it was to run that place people think we're making money they don't know we're just making pennies sometimes

 

[alton]

My LFS gives no Guarantees, I walk out of the store it is mine. Most of my LFS have been around for a long time with great business sense with a product or service in a location that is accessible. Those that didn't make it was because of financial burden and not enough starting capitol and or location. Some think if they build it they will come, and that is not always the case. The two Gem tangs were special yesterday because of one the price ($999 x 20% discount = $799.20 x .0825 My Sales Tax = $865.13), the 14 day guarantee, and two different collecting locations.

 

[shred5]

My LFS gives no Guarantees, I walk out of the store it is mine. Most of my LFS have been around for a long time with great business sense with a product or service in a location that is accessible. Those that didn't make it was because of financial burden and not enough starting capitol and or location. Some think if they build it they will come, and that is not always the case. The two Gem tangs were special yesterday because of one the price ($999 x 20% discount = $799.20 x .0825 My Sales Tax = $865.13), the 14 day guarantee, and two different collecting locations.

One local store has a guarantee by me but not on expensive or sensitive fish. I do not think they really get anything really rare. The others have none even though the store I work with knows me well enough and if I loose something they will in most cases replace it. They also get some rare fish like the gem tang and if I ask he will find me anything.

Lfs don't get guarantee like hobbyist. They don't even get arrival guarantee because they are Paying wholesale prices. Which makes it even worse. Cost of running a business the rent the electric the water bill employees sales tax all that stuff has to come out of that fish that they have to sell I used to own a retail convenience store and I know how expensive it was to run that place people think we're making money they don't know we're just making pennies sometimes

I will say this to everyone that complains about the pricing of fish and the margins that fish stores make, yada, yada, yada. DON'T OPEN A FISH STORE.

I am frugal just like the next person, but when you truly know the expenses involved in running a store, you see why the pricing is where it is for some items, others are still head scratchers (like the $3K price for a gem tang). For example, store A orders 2 boxes of fish. Those 2 boxes cost them say $800+shipping. Opens the box and out of the say 40 fish they order, 10 are DOA (depending on the source, hopefully they get full credit - which isn't always the case). So now the store has to cover the cost of those 10 DOA fish. So say each fish at that point sells for an average of $60. That's $1800. If the store has a guarantee of any kind (regardless of how wonderful they treat their fish), out of the 30 remaining fish, let's say 7 have to be replaced within the guarantee period (as we know some hobbyist just do not know what they are doing). So now the store has to cover those 7 fish so that drops the $1800 to $1380 with a approximate profit of $420. Out of that $420, they have to pay state taxes, employees, employee taxes, etc, etc.

So now do you wonder why many LFS go out of business? Although that fish you look at and want you think the price should be cheaper, sometimes you just have to be thankful that your have someone local to you where you can actually buy that fish and a price point that allows that LFS to stay in business; specially if that LFS does right by you as a paying customer.

Absolutely it is really hard, expensive and margin, long hours are bad. . LA probably gets a discount on volume too. It is hard to replace stuff when most people do not quarantine or even understand fish disease.

There is one lfs by me that does decent but they have great prices and compete with onlline and sometimes cheaper. They go volume vs the other stores who sell way less but make more per fish or product. He keeps the latest and greatest in stock too. This hard with companies that keep changing products because you can get left with hard to move inventory and take a loss just to get rid of it.


The store is packed and looks cramped but hey he knows his stuff and keeps rent low and allot of product.

 

[reefwiser]

I know German hobbyist talk about the price of yellow tangs being high.

 

[mitch91175]

One local store has a guarantee by me but not on expensive or sensitive fish. I do not think they really get anything really rare. The others have none even though the store I work with knows me well enough and if I loose something they will in most cases replace it. They also get some rare fish like the gem tang and if I ask he will find me anything.






Absolutely it is really hard, expensive and margin, long hours are bad. . LA probably gets a discount on volume too. It is hard to replace stuff when most people do not quarantine or even understand fish disease.

There is one lfs by me that does decent but they have great prices and compete with onlline and sometimes cheaper. They go volume vs the other stores who sell way less but make more per fish or product. He keeps the latest and greatest in stock too. This hard with companies that keep changing products because you can get left with hard to move inventory and take a loss just to get rid of it.


The store is packed and looks cramped but hey he knows his stuff and keeps rent low and allot of product.

If you sell someone a healthy fish, you can still offer a 14 day guarantee on that fish and it shouldn't die in their system within 14 days due to natural causes. A fish that is eating and disease free should ABSOLUTELY last 14 days even in some of the worse conditions.

 

[shred5]

If you sell someone a healthy fish, you can still offer a 14 day guarantee on that fish and it shouldn't die in their system within 14 days due to natural causes. A fish that is eating and disease free should ABSOLUTELY last 14 days even in some of the worse conditions.

Right but that doesn't happen very often and wont happen at most places because it would require more space to quarantine and treat diseases. Almost all LFS throw new fish in a system with other fish. It would push prices up requiring more space and meds to treat. It would mean more losses on their side too... By me some fish store put a date on the tank the fish was received, some will hold a fish for a few days too..

Most fish come in with something and if you treat and quarantine and look at the fish first there should have few losses. Observe a fish make sure it is ok before buying it. Most wont or will still buy the fish because they have to have.
I have one lfs with hospital tanks for a few fish.

Should something be done yes? Maybe someday when margins are better and people support a lfs.. People do not want it, most just will buy from the cheapest place and than complain a fish dint make it. They also wont quarantine and treat a fish like it should be.

 

[mitch91175]

Right but that doesn't happen very often and wont happen at most places because it would require more space to quarantine and treat diseases. Almost all LFS throw new fish in a system with other fish. It would push prices up requiring more space and meds to treat. It would mean more losses on their side too... By me some fish store put a date on the tank the fish was received, some will hold a fish for a few days too..

Most fish come in with something and if you treat and quarantine and look at the fish first there should have few losses. Observe a fish make sure it is ok before buying it. Most wont or will still buy the fish because they have to have.
I have one lfs with hospital tanks for a few fish.

Should something be done yes, with it? Maybe someday when margins are better.. People do not want it, most just will buy from the cheapest place and than ***** a fish dint make it. They also wont treat a fish like it should be.

So true, until their tanks get wiped out by velvet and they wonder what happened. Most people in the hobby don't even have a QT, yet alone a hospital tank. I have decided that if a store doesn't QT a fish I do not buy from them. I have found a great source locally that does exactly that and will not sell a fish if it doesn't meet his standards for selling that fish. He also offers a 14 day guarantee as well.

Guy is completely transparent too which I like. He isn't making a killing selling fish and other store owners have told him that he should change his practices (in other words, stop offering guarantee and QTing fish), but he is doing his own thing. That's what I like about the guy and support his business with my wallet. Haven't lost a single fish that I have purchase from him yet because of his process and my husbandry.

 

[Elgringodiablo]

I get that running a fish store is a dicey business at best... I am really talking supply and demand economics. Why would someone pay $3200 for a fish that can be bought elsewhere for $800... right?

 

[shred5]

I get that running a fish store is a dicey business at best... I am really talking supply and demand economics. Why would someone pay $3200 for a fish that can be bought elsewhere for $800... right?

I think it just got a little off topic as people discussed what happens when you loose a 1000.00 dollar fish and LA would cover the loss.

 

[mitch91175]

I get that running a fish store is a dicey business at best... I am really talking supply and demand economics. Why would someone pay $3200 for a fish that can be bought elsewhere for $800... right?

Don’t get me wrong, I’d never pay that much for a fish to put in my tank. There are people that will without question, but not this guy. I was mainly just referring to the generalization of pricing to make profit to remain a sustainable business.

Some people do not research the true value of fish and just use a single source no matter the price. That way they know if a fish is sick and can point directly to that source. I have friends that have bought fish from too many different sources and nuked their tanks and do not know which fish caused it.

 

[shred5]

Don’t get me wrong, I’d never pay that much for a fish to put in my tank. There are people that will without question, but not this guy. I was mainly just referring to the generalization of pricing to make profit to remain a sustainable business.

Some people do not research the true value of fish and just use a single source no matter the price. That way they know if a fish is sick and can point directly to that source. I have friends that have bought fish from too many different sources and nuked their tanks and do not know which fish caused it.

This goes back to what we were talking about, they should quarantine and treat especially with expensive fish.