Waterbox 0% financing hurting my LFS.

[Westside Guy]

Waterbox is advertising up to 0% financing if you purchase their tanks directly through their website.

Financing

www.waterboxaquariums.com

My LFS who has been featuring Waterbox for some time told me yesterday that they are switching to Red Sea because of this online financing approach. Potential customers are coming into their store to check out the various Waterbox tanks they have on display and then after asking a million questions are leaving and never return. The manager told me yesterday that he wasn't born yesterday and knows when someone has no intentions of buying, are picking his brain and in addition they are wasting his staffs valuable time. He feels that he is being used as he has no way to compete against a 0% financing offer like this on an expensive purchase.

If my LFS feels that way I am sure that other stores that feature "Waterbox"are feeling the same way.

 

[fcmatt]

Why does possible 0% financing on a hobby fish tank just sound like a bad thing. Either you can afford it or not. The tank and stand is often the cheapest part in a lot of cases. Can you tell i dont like people going into debt for something related to a hobby? Lol. Rates can be as high as 29.99%.

As for the lfs... no idea why water box did not assist them in offering the 0%. Why do that to your middlemen?

 

[Westside Guy]

Why does 0% financing on a hobby fish tank just sound like a bad thing. Either you can afford it or not. The tank and stand is often the cheapest part in a lot of cases. Can you tell i dont like people going into debt for something related to a hobby?

As for the lfs... no idea why water box did not assist them in offering the 0%. Why do that to your middlemen?

0% financing does make a difference for many people on an expensive purchase.
If they offered this financing to my LFS they wouldn't be upset and switching to Red Sea.

 

[SMSREEF]

They should offer the 0% at the local reef stores too. I was wondering why most stores are Red Sea distributors instead of Waterbox around me. I would like to see Waterbox in stores, but yes, I would certainly get the 0% financing after checking one out in person.

 

[Westside Guy]

They should offer the 0% at the local reef stores too. I was wondering why most stores are Red Sea distributors instead of Waterbox around me. I would like to see Waterbox in stores, but yes, I would certainly get the 0% financing after checking one out in person.

Tha is the point, Waterbox is biting the hand that feeds them.

I for one try to support and purchase everything from my LFS as long as the price is within reason.

 

[SMSREEF]

Tha is the point, Waterbox is biting the hand that feeds them.

I for one try to support and purchase everything from my LFS as long as the price is within reason.

For sure, I try to support my local store too, but compare interest on a credit card (even if you plan on paying off early) to 0% and it’s a no brainer for people.
I guess it’s a no brainer for the store too and I understand them dropping the line.

 

[TARHEEL78]

Why does possible 0% financing on a hobby fish tank just sound like a bad thing. Either you can afford it or not. The tank and stand is often the cheapest part in a lot of cases. Can you tell i dont like people going into debt for something related to a hobby? Lol. Rates can be as high as 29.99%.

As for the lfs... no idea why water box did not assist them in offering the 0%. Why do that to your middlemen?

You need to learn to make your money work for you. Any time you can get 0% financing on an expensive purchase you should take it, even if you have the cash in your pocket. Take the 0% financing, put cash in an interest bearing account and make money while using it to pay off the financing. It's a no brainer.

 

[Ento-Reefer]

You need to learn to make your money work for you. Any time you can get 0% financing on an expensive purchase you should take it, even if you have the cash in your pocket. Take the 0% financing, put cash in an interest bearing account and make money while using it to pay off the financing. It's a no brainer.

I never pay interest on credit card purchases, but I do let them pay me. I never pay cash for anything when I can get 1.5-6% back using my card. Just charge what you know you can pay every month and you come out the winner.

 

[fcmatt]

People keep saying 0% but if you read the fine print it all just depends. Interest can be as high as 29.99%. And most who qualify for 0% could just buy it outright. And currently the best savings account I can find with a reasonable bank is 2.2%. Without pulling out the calc I might be able to make a 100 dollars over 2 years after taxes which on interest is normal income. And if you make a lot that means you are in a higher tax bracket already. I follow your logic but we all pretty much know those who think like this are in good shape. This will just suck in people with 10% interest rates and then realize the real costs have yet to come.

 

[Joedubyk]

Being a business owner myself one of the things ALL businesses large (Apple for example) and small (LFS) always have to keep evolving with the ever changing climate. Selling fish and fish supplies is really tough since it's so niche. It's 100% luxury.. I KNOW that he could likely go to a financing company and see if they will offer his customers the same financing. Or similar. if there is a will, there is always a way.

 

[Joedubyk]

People keep saying 0% but if you read the fine print it all just depends. Interest can be as high as 29.99%. And most who qualify for 0% could just buy it outright. And currently the best savings account I can find with a reasonable bank is 2.2%. Without pulling out the calc I might be able to make a 100 dollars over 2 years after taxes which on interest is normal income. And if you make a lot that means you are in a higher tax bracket already. I follow your logic but we all pretty much know those who think like this are in good shape. This will just suck in people with 10% interest rates and then realize the real costs have yet to come.

YUP! Alcohol and leverage are mans worst enemies. Credit just gives people the option to live a life style whom otherwise wouldn't be able to live it. I cringe when people put things they don't need on credit. I pay my credit card in full though. I like getting the cash back, but I know most are just always carrying credit and paying a lot of interest each month

 

[SMSREEF]

I just called a store a little north from me that carries Waterbox. They offer a 0% option too. They said it’s not through the same company Waterbox uses. The LRS uses “Square” but I have never heard of it. Waterbox offers it through a different company “Bread”and I haven’t heard of that either.
Maybe the store near you can set up a deal with one of these companies to offer 0%...

 

[Joedubyk]

I just called a store a little north from me that carries Waterbox. They offer a 0% option too. They said it’s not through the same company Waterbox uses. The LRS uses “Square” but I have never heard of it. Waterbox offers it through a different company “Bread”and I haven’t heard of that either.
Maybe the store near you can set up a deal with one of these companies to offer 0%...

Square is a fintech company headed by Jack Dorsey (same CEO as twitter). A LOT of businesses love the product and it has grown exponentially

 

[ShaggyRS6]

Times change! People especially LFS seem to get scared by it. There is no avoiding it. WB wants to make money. ThAts why they exist!! If they sat on their laurels and waited for LFS to shift their tanks they would not sell that many! There is nothing stopping the local fish store offering 0%

I’m all for giving local places a go. But an example would be when I went into a store near me. Asked him to quote me for $2000 worth of equipment and I said he needed to be close to online. He just laughed at me!

LFS have to change like every other on the street store. You gotta move with the times!

 

[fcmatt]

What many of us do here is a niche of the hobby. With our high end gear and etc... that stuff just sits in the lfs. The bread and butter of a lfs is not us when discussing dry goods. We could get very deep into this discussion but I think is it pointless.

The one thing I will say is that lfs know their clients. They know the high end reefers. A lot of them just browse the live stock and corals trying to nickel and dime them on the best corals in the shipment, buy nothing dry goods wise except maybe food, and when they have an emergency or want a favor the lfs store kind of just rolls their eyes. We are not their best clients! We are sometime the worst. Lol.

So I try to support them. Carbon, gfo, rodi filters, food, corals/fish (and I rarely ask for a discount), anything used which catches my eye, heaters, salt, etc... buy that stuff often enough and then they will cater to other requests. The guys who manage and setup tanks... who come in weekly... now those are great customers. They get attention.

 

[Joedubyk]

Times change! People especially LFS seem to get scared by it. There is no avoiding it. WB wants to make money. ThAts why they exist!! If they sat on their laurels and waited for LFS to shift their tanks they would not sell that many! There is nothing stopping the local fish store offering 0%

I’m all for giving local places a go. But an example would be when I went into a store near me. Asked him to quote me for $2000 worth of equipment and I said he needed to be close to online. He just laughed at me!

LFS have to change like every other on the street store. You gotta move with the times!

Yep, I have a LFS that just sold 30 dollar kenya trees/xenia, duncans etc... now their salt store has shrunk by 50%...... Did not try and get better , more desirable corals.

 

[coralkurd]

Why does it matter? I don’t think anyone should be buying anything unless they can afford it up front anyways. These offers just make people bite into the instance self gratification of having stuff. I have waited over 12 years to have my tank and if I wasn’t on a budget and didn’t make sure I had the money up front to buy anything, then I would probably be few grands in the whole. It is a much better feeling and satisfaction knowing everything on and in my tank is mine and paid for.

Not saying this to judge or bring praise to myself, I honestly care about people and want everyone to be free financially. Don’t be a slave to debt.

 

[ca1ore]

You need to learn to make your money work for you. Any time you can get 0% financing on an expensive purchase you should take it, even if you have the cash in your pocket. Take the 0% financing, put cash in an interest bearing account and make money while using it to pay off the financing. It's a no brainer.

Yup, I do this all the time. HD card gives 6 months free financing which I then pay off at .... 6 months LOL.

 

[ca1ore]

That is the point, Waterbox is biting the hand that feeds them.

Are they though? I have no particular insight into the WB business model, but perhaps they already do most of their business on line and have made a strategic choice to prioritize that distribution channel over traditional (and dying) retail. Just a thought ....

 

[Westside Guy]

People keep saying 0% but if you read the fine print it all just depends. Interest can be as high as 29.99%. And most who qualify for 0% could just buy it outright. And currently the best savings account I can find with a reasonable bank is 2.2%. Without pulling out the calc I might be able to make a 100 dollars over 2 years after taxes which on interest is normal income. And if you make a lot that means you are in a higher tax bracket already. I follow your logic but we all pretty much know those who think like this are in good shape. This will just suck in people with 10% interest rates and then realize the real costs have yet to come.

If you read my opening post I said, "Waterbox is advertising up to 0% financing".