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Old 01-15-2008, 05:04 PM   #9
dlove
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2000 Chevrolet Camaro
 
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Join Date: Sep 2005
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JUST BECAUSE ITS THE CHEAPEST DOES NOT MEAN ITS THE BEST OR JUST AS GOOD AS THE REST!!!

CHOOSING THE RIGHT PRODUCT AT THE RIGHT PRICE
In this tech article you will be given the knowledge to choose a nitrous system that best fits your needs and budget with out having to ask biased people or sales pitch throwing salesmen.

(Part one).
Over Head
First lets discuss some things that dictate what price a company has to sell there products for. Overhead is something every company has. Different companies have different levels of over head. For instance a home base single employee would have much less overhead than a shop based company with many employees. Below are just a few expenses a business may have.
1. Rent or Building -Expenses such as electricity, water, phone, etc.
2. Pay Roll- Sales, shipping, technical, accounting, marketing, employee’s
3. Marketing- Web forum sponsorship, magazine articles, goggle searches, catalogs, web development, web maintence , price guides, show expense, etc.
4. Product Development- New products brought to the market cost a lot of money when researching and developing from scratch.
5. Stock- To keep products in stock requires a great deal of cash flow to be tied up.

All the things above play a role in the quality of customer service you will receive from a company. You are investing into the company buy buying there products.
For Example.

Overhead Expenses.
Most companies that are established and based out of an actual building with employees are normally concentrating on making sure they are there in the future.
By investing into a established company odds are better that they will be there in the future when you may need to warranty a defective item or maybe just buy a part to match what you have. A established company is more than likely willing to go the extra mile to insure there customer is taken care of when the responsibility lies in there court do to being able to afford the expense.

Pay Roll
Have you ever been on the dyno or maybe getting ready to go the track and had some technical difficulties you needed help with? Then called the company you bought the product from only to find there was no answer or you had to leave a message with the hopes they call back in time. Or maybe there was no one there technical enough to give you the right answer. If so this one will make since to you. In order to have employees in house to take care of your customers it cost money. The more knowledgeable the employees are and the amount of employees the larger the company over head is. Companies that offer full time technical assistance will carry a larger expense than a company that does not they offer better customer support!! Having enough employees in order to run the business is a must when concentrating on customer service. While employees are taking tech calls sales, shipping, marketing, accounting etc still carries on.

Marketing.
Any company that is concentrating on the future survival has to invest into marketing. Reaching new customers is a must. With out marketing you would not reach new customers there for the companies sales would die off and the company would go out of business.


Product Development.
Companies that offer product development spend a lot of capital researching and developing new products. This is a large expense for a company. However it brings newer better products to market for your enjoyment. (Guys don’t mix this one up with companies that simply copy someone else’s ideas or designs. They don’t have near the expenses and they normally end up hurting the market making it hard for the companies they copy from to keep bringing newer and better products to market for you!)

Stock
Stocking products plays a huge roll in customer service as well. Have you ever needed a part and the company you did business with never seems to have what you needed when you needed it worse. The reason why is that a company has to tie up large amounts of capital in stocking products. In order to stay in business they have to have a profit return on there investment.(This is what makes the company be able to offer the customer in stock products, customer support, cover over head expenses, new products, product development, etc)

(Part Two)
Ok I am sure we all have the picture now on what kind of overhead expenses a company has. Now let’s talk about the product!

There are other items that determine a products cost other than overhead and advertisement expenses. While shopping for a new nitrous system I suggest checking these things before investing your hard earned money!

They are.
1. Product quality.
2. Product packaging.
3. Completeness of the product.
4. Instructions.
5. Warranty
6. Tech support

All of the items below raise the retail cost of the product.

Product Quality.
Better made parts cost a company more money. Plain and simple. Quality can be determained by many different factors. Mostly everything in this tech article will reflect the over all quality of a product.



Product Packaging.
Packaging is an investment to make sure the customer gets there product in one piece with no damages to the product. If a company vacuum seals a product to a back board and then packages it in a box with packing materials the odds are greater that the products will make it to the customer with no damages over a company that just simply puts items in a box. The better the packaging the higher the cost.

Completeness Of The Product.
This area can cover many areas. If the product is missing small pieces to work on your application odds are what started of cheap will add up costing more. (This will make more since in part three of this tech article.)

Instructions.
In order to install your product you will need detailed instructions. Putting together instructions require many man hours. It also requires printing cost. The better the instructions are the higher the cost.

Warranty.
Different companies have different warranty programs. Some companies offer no warranty. Offering a warranty of some kind is a companies commitment to there customers for supporting them and using there products. Offering a warranty cost a company the employee expense and product expense.

Tech Support.
Odds are you will need this at some time. Make sure you can get tech support on your product when you need it most. Tech support is something not every company can offer. Finding knowledgeable employees to sit in front of a phone to tie up large amounts of time cost a company a great deal of payroll and phone expense.
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Last edited by dlove; 09-15-2008 at 03:42 PM..
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