Feedback: The Problem With POOLCORP

by AQUA Editors February 14, 2012 11:26 AM

I could be wrong, but POOLCORP's polices toward the manufacturers has been a major factor in the increases we have seen in the past few years. POOLCORP's purchasing policy (pricing) causes the manufacturers margins to drop, thus they raise their prices to cover the lower profits, which of course get past along to the dealer. It is a vicious circle in which the pool dealer/builder/service company loses!

Past four years my pool prices have not gone up $1; yet my costs have increased every year. I keep asking, "How do they increase prices in a recession?" I guess they don't care. I hope they wake up soon, or we will all be out of business, including POOLCORP. POOLCORP has raised the cost of doing business due to its very large, inefficient management and overhead.

When I started in this business, there was very little distribution. Now we have more distribution than we need, or can afford.

John Salvo, salvopoolandspa.com



AQUA Editors

:

Comments (4) -

2/14/2012 4:38:38 PM #

If you aren't passing price increases on to consumers, you are doing yourself an injustice. Everything has gone up in price.  Everything.  If you aren't raising prices due to the guy next door not raising his, he's lowering his costs somewhere. That somewhere is usually in quality. Do you match that drop in quality?

Scott Bair

2/15/2012 12:15:25 PM #


Everything goes up from the major manufacturers annually. This is a normal occurance every year except for a few rough years where raw material cost sky rocketed and they went up 3-4 times in a year. Fuel, health insurance, vehicle maintenance, etc have all increased.  If your not raising your prices to cover your ever increasing cost you'll drive yourself out of business.

Ken Moyer

2/22/2012 8:51:49 AM #

Join or create new buying groups and gain power over the manufacturer when you combine all of your purchases with others then you get better discounts and a voice that will be heard by the manufacturer.
As a group create standards of doing business and adhere to those standards.

Ok where do I join?  send me a email and off we go.

Bob Dutton

2/23/2012 3:54:07 PM #



John - you really to sit down and take a look at your business.  Business 101 tells you if cost of supplies goes up so does cost to consumer.  Take a look a some local business classes and sign up QUICKLY!!!

Doug

Comments are closed
Latest

 

 

 

 

© AQUA Magazine 2012 All Rights Reserved