Over the last few years here I have read quite a few threads where people have said that $50 for a blank drill, and that $220 for a high end ball WITH drilling is just a ripoff...let me share a few things.
Like your Ipod?
Well Apple keeps the market competitive, and the markup for an Ipod at the retail level is low (less than 8%)....but god help you if you buy aftermarket headphones, or a workout holder, as these items are marked up well over 100%.
Like your clothes (Polo, Affliction, Gap, etc)?
Average markup in this industry is 100%....so a wholesale shirt costing a retailer $20 will get sold for $40.
Like your shoes (Nike, New Balance?)
Average markup in this industry is 100%...I worked at Sports Authority in High School and we bought Air Max's for $68...sold them for $139.99.
Now mind you the comparisons here are not in bowling. They do all have one thing that bowling DOESN'T have:
NO LABOR, meaning that there is noone providing a service. You're paying double what the store paid for it, and their cost in skilled labor is a cashier?
Now in bowling average cost for a high tech ball is about $125...the shop offers it for $160...plus $45ish to drill it. This makes the total price to $205. Add in grips and slugs and it's $225, which cost the shop another $5.
So cost is $130, and it's sold for $225...let's check the math:
$130/$225 = 57% markup
In the retail industries I talked about, there is no labor involved. Only a storefront with racks and cashiers. They have very little skill....so why do they charge a higher markup than bowling retail? This is why anyone that thinks a shop charging for drilling, and a markup needs to take an economics class at the local community college.
I don't know of any pro shop owner that is driving a Bentley to the shop...do you?
Little known fact: In Russian "Hope" and "Change" translate to "Tax" and "Spend"