What do you think it cost?
Welcome guest, is this your first visit?
Member
Discoveries
 
Results 1 to 9 of 9
  1. #1
    us
    Jun 2011
    Minelab Safari. Garrett 350
    148
    5 times

    What do you think it cost?

    What do you think it cost for a Company like Minelab, Garrett or other companies to make a metal detector.
    Swingin a Minelab Safari

  2. #2
    us
    Sep 2007
    Sal Sagev Adaven
    E-TRAC,,,, SOVEREIGN GT,,,, GP 3500,,,, GB PRO.
    2,941
    49 times
    Metal Detecting

    Re: What do you think it cost?

    Quote Originally Posted by Georges Minelab Safari
    What do you think it cost for a Company like Minelab, Garrett or other companies to make a metal detector.
    What do ya mean ? The cost of R an D then manufacturing it into productoin.
    Or the cost of making one from parts and marketing it to the consumer.
    I'll just follow you with My E-trac, Sov GT,or GoldBug Pro.

  3. #3
    stefen

    Re: What do you think it cost?

    Since no two manufactured products are the same, nor the assembly process, or the research or the personal money put at risk, the actual cost is irrelevant...

    The manufacturers, however, have selected to place various models at given sales levels to maintain competitive marketing...it's therefore irrelevant if the manufacturing cost is 10 cents a unit but is set to sell in the $250 to $300 range...

  4. #4
    us
    Jul 2010
    Middletown, Pennsylvania
    Spectrum XLT
    213
    5 times
    Metal Detecting

    Re: What do you think it cost?

    I don't know how true this is but I was told by someone I find reliable that one of the very top of the line detectors costs it's company $19 in parts and components. The technology, research and development is incalculable.
    Dispenser of sage wisdom

  5. #5
    us
    Oct 2005
    Northern, Michigan
    willow stick
    6,797
    144 times
    eating

    Re: What do you think it cost?

    The cost per unit materials is probably very low but then when everything else is figured in they're lucky to make a profit.

    A search coil for a top detector could cost (in materials) under $10 to make. Now figure in the many thousands for machines to make and assemble all the parts and the cost rises significantly. Then add in labor, etc., etc., and the pain in the butt via the IRS and you see why the cost. And too one needs a smart design in the first place.

    I used to gripe about detector cost until one day in Jay's Sporting Goods my son showed me a middle range common bow that cost over $1,000 (and this was just the stripped down bow!).

    If detector making were FREE money they'd be a brand for every dollar of our National Debt. In my 40+ years in the hobby I've seen plenty of brands go out of business.
    "Everything is an anomaly" Michigan Badger

  6. #6
    stefen

    Re: What do you think it cost?

    As with any business, the owner must put his personal money at risk.

    It is not important what the MD unit costs to manufacturer, the price is a compilation of a plethora of other costs.

    The sell price is not simply an anal-pick.

    As an example, I have a design service business and my average personnel billing rate is now 4.45 times the average hourly salary...This includes a 5.00% profit margin...


  7. #7
    us
    Mar 2011
    NEPA
    garrett ACE350 (traded off!), minelab E-TRAC, AT-Pro
    572
    8 times
    Beach and Shallow Water Hunting

    Re: What do you think it cost?

    honestly what does it matter? - we are living in the end times buddy, you might as well just live it up a while and enjoy what freedoms you have until there gone, or things get so bad you can't do it anymore.

    I decided that I enjoy detecting...I started with low end junk, upgraded to a good middle of the road detector used it a few months and decided to buy a minelab. not because I could afford it, or because I thought I 'might' make my money back on digging gold or silver- the real reason is I've never had the cash for a new car, truck or bike- and I decided that if I could finally get one a good price new I should just do it. Mike (4H) from woodland detectors hooked me up with a better price then any place I could find...

    - I indulged because you know what?!?! life is too short not to!!!- I spent cash on it, I didn't go in debt and I was hurting for a month over buying it- but I don't regret it for a minute-mainly because it's something I enjoy doing.


    I'm sure the company that makes minelab makes a profit - if they didn't make a few bucks on everything they sold they go under...alot like our government... :P


  8. #8
    stefen

    Re: What do you think it cost?

    Quote Originally Posted by mfitzy111
    honestly what does it matter? - we are living in the end times buddy, you might as well just live it up a while and enjoy what freedoms you have until there gone, or things get so bad you can't do it anymore.

    I decided that I enjoy detecting...I started with low end junk, upgraded to a good middle of the road detector used it a few months and decided to buy a minelab. not because I could afford it, or because I thought I 'might' make my money back on digging gold or silver- the real reason is I've never had the cash for a new car, truck or bike- and I decided that if I could finally get one a good price new I should just do it. Mike (4H) from woodland detectors hooked me up with a better price then any place I could find...

    - I indulged because you know what?!?! life is too short not to!!!- I spent cash on it, I didn't go in debt and I was hurting for a month over buying it- but I don't regret it for a minute-mainly because it's something I enjoy doing.


    I'm sure the company that makes minelab makes a profit - if they didn't make a few bucks on everything they sold they go under...alot like our government... :P

    Any businessman that demonstrates a sustainable entrepreneurial endeavor should become the posterboy for what a political leader and government should emulate.

  9. #9
    us
    Mar 2011
    Chandler Tx
    White's VX3, Garrett AT PRO, Tesoro Cibola
    376
    53 times
    Metal Detecting

    Re: What do you think it cost?

    I dont know about metal detector profit margins..... but I work in a small retail business and basically it works like this...

    a manufacturer produces at 1/2x and sells at 1x. The retailer charges 2x-2.5x. Unless you are in the Jewelry trade where the retailer charges 12-14x

    SO... lets say $600 is the sales price..... at 2x.... then 1x is $300... then 1/2x is $150.

    If you ever hit the big one detecting....follow the 3S rule. Shoot. Shovel and Shut up.

 

 

Sponsored Links

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  

Search tags for this page

what profit margin does the hobby metal detector market operate

Click on a term to search for related topics.
Powered by vBadvanced CMPS v4.3.0