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Home Brew Forums > Home Brew Market > Group Buys > South Jersey/Philly Group Buy Round 37! PREORDER/INFO/COMING SOON!

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Old 03-19-2013, 03:21 PM   #21
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Weeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeee



We're not worthy!!!!

Thanks again Jeff and Brett!!!
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Old 03-19-2013, 03:23 PM   #22
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On other news.... i'll post more info about getting round 37 rolling pretty soon!

If Country malt figures something out or not, Brett is still working out details to hep us out on his own!

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Can't wait for #37
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Old 03-19-2013, 03:29 PM   #23
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You guys are handling this well. I appreciate the effort and especially the honesty and transparency. I look forward to working this out.

Brett, I think having a separate order form as part of the group buy would make sense to me. I can then order grain and whatever else I needed and pick it all up at once. Think what makes sense to you and hopefully we can work it out.

Zacher

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Old 03-19-2013, 03:39 PM   #24
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If 40 people all came to my store looking for 1056 or saf 05 at the same time, we would both be screwed.
Simple solution. Save the US-05 for me and let everyone else use something else.
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Old 03-19-2013, 04:11 PM   #25
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Hello everyone,
I finally got a minute to respond. I have received a lot of emails from you guys. I appreciate everyone's high spirits toward the change in the buys. I just wanted to touch base and say hello and talk about what is going on. Jeff and I have been talking a lot about how this transition is going to work. I think we are getting pretty close to having everything ironed out. Jeff has put in a lot of leg work trying to get you guys the best deal that he can, I think everyone owes him a beer next time you see him.

I am going to be as transparent as possible with the logistics/finances of the new bulk buys. After speaking with my accountant yesterday he seems to think that $0.09-$0.11 per lb ,mark up should cover the income tax side of the buys. I think that an extra $.02-$0.03 per lb would be fair for my time and efforts, but I am open to suggestions. I think the difference in pricing from before to now will be minimal. Jeff spoke with the GM of NCM and it seems that they are going to make it a bit cheaper to begin with. So I thought that we could take the low side of the tax price ($0.09) and the high side of my compensation ($0.03) to get a constant price increase across the board $0.09+$0.03=$0.12 per lb increase. Those of you that know me well know that I am not in the market to make a killing quickly. If it turns out that these numbers are incorrect and there was more profit than first thought, I will drop it down to a more reasonable amount. But keep in mind that the $0.03 compensation will also be taxed, it really isn't much after Uncle Sam steals his part.

Now for the first buy. I think it would be fair to waive my compensation on the first buy. I would like to meet all of you, and get to know you, this way you can know what type of person I am. Also this gives me a chance to learn the ways of the bulk buy. I am all in for expanding this hobby and keeping it as affordable as possible for everyone while still staying in business.

Another idea I had was taking pre-orders for yeast,specialty malts, and what ever else as well. If the pick up for the grain is near BYOB I could see some of you guys stopping in to pick up a few things. Now I have never been to a pick up but I assume about 40-50 guys show up. If 40 people all came to my store looking for 1056 or saf 05 at the same time, we would both be screwed. Again I am open to suggestions here.

One thing I did want to gently touch base on has a common thread I saw in the email "thread" that Jeff sent out. I know that when you walk into your LHBS and see grains that are marked up 100/200/300% it seems outrageous, but I don't think you guys realize the cost of a store front or the volume of business the average LHBS does. Just for an example Belgian Pilsner, a 55# sack cost me $44.50 before shipping (yes you guys get grain cheaper than I do). So after shipping lets say an even $50 a sack. At $1 per lb that doesnt leave much room for profit. With liquid yeast it is roughly $4.60 per bag/vial. To ship 100 bag/vials it is $250. So that brings the total upto $7.10 per bag/vial. Now factor in spoilage about ten bag/vials a month, this brings it to around $7.25-$7.50 a bag/vial. Now if you come in and pay with a credit card that's $.25- $.50 per swipe plus 1-3% of the sale. You can see that adds up. Lets say that the mark up on average is 100% across the board for everything in the store. The average mom/pop LHBS does between$4000-$6000 in business a week. 50% goes back into buy new inventory. That leaves $2000-$3000, now subtract rent lets say $1000 a month, utilities $400, business licenses say $50 a month, insurance $50 a month, shipping, water, taxes, and so on. Trust me I love what I do, I get to brew everyday, I have the best customers, I get to play sherlock when some one brings in a funky brew and wants to know what they did wrong, I love my job everyday. But even at 100% mark up LHBS owners aren't living like kings. This isn't me griping, like I said before I like transparency.

In closing, I am looking forward to working with you guys in the future. If any of you have any concerns or questions feel free to voice them here, email me, or call the store. Info@brewyourownbottle.com or 856 858 6000.
It is not only the prices, it is the prices combined with the piss-poor attitude of some store-owners.

I also understand that grain is probably the product that you move most often. To make up for your overhead as quickly as possible, it is logical to mark-up the product you move the most, as opposed to, say... giant Blichmann boil kettles. Obviously, that item is not going to sell in high volume and it will probably take a while to realize a ROI on it, meanwhile, the bills still come every month.

We get it. We really do, but having a store owner tell you "We already discount it from the per pound price when you buy a whole sack", when you offer to buy 10-12 sacks (1/4 ton) along with an abrasive attitude towards customers in general, compels me to tell them to take their $75 sacks of grain and shove them up their ass. For $75 I can create an LLC and open a bank account and call myself whatever I want. Magic! I am now a LHBS. Check out my grain warehouse! It is in that PODS storage box in my back yard...

To quote Jeff "The Country Malt Group is focusing on bringing all of the group buy customers back into the homebrew shops in a way that will benefit everyone."

Exactly as I expected and have been hearing. Most LBHS are putting the screws to their suppliers because they have realized that they are moving less product due to these group buys. The customer base has spoken but, rather than reevaluate their pricing, they pressure the malting companies to not sell to anyone that isn't a LHBS. This will eventually bite them all in the ass, especially when there are folks like you around that do it, not only for a living, but because they have a passion for the hobby.

You seem like a pretty square guy, otherwise you wouldn't be worried about helping us out. It speaks volumes of your character and, down the road, I'm sure it will be to your benefit when you and like-minded contemporaries of yours are still in business and doing well, while your competitors will be standing in their stores, full of supplies and bereft of customers scratching their heads saying "What happened?"

Nobody likes being treated like an idiot.
Consumers vote with their wallets and for whom they open them...
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Old 03-19-2013, 06:09 PM   #26
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Some one didnt log out....

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Old 03-19-2013, 06:11 PM   #27
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I have been buying from Brett since he has opened his shop and I have to tell you guys that he is a stand up guy and would go out of his way to help any of us. He is deticated to see this hobby grow and is very knowledgable in this craft. I would also like to remind everyone that he is also trying to feed his family like the rest of us and his time is worth money, he could be taking advantage of this unfortunate development (like other homebrew stores) but instead he trying to help us the best way he can. So please keep all that in mind and welcome him and show your support for his store..
Thanks
Mike

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Old 03-19-2013, 06:41 PM   #28
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OK now that I am logged into my own account. On another note, make sure that you guys let me know that you are with the bulk buys when you come in for the $1 per lb grain. I do not offer this price to everyone. The reason I started up the $1 per lb was to try and help out the Barley Legal members that missed the grain buys because they filled up to quickly. I would hear people say that they couldn't brew until the next buy, not cool. The way I run it now is, you purchase the grain 50# at time, the cost is $50 cash-$55 credit. You could choose to take all of the grain at once or I would store it here for you and you could grab what you needed as you needed it. You could use the 50# to get any amount or type of base malt up to your #50 lbs. I would preffer to keep it running like this but I would adapt for any of you guys that needed me to. This is just for the $1 per lb grain out of the store, completely seperate from the bulk buys.

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Old 03-19-2013, 06:41 PM   #29
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yes, I would also be interested in the group grain purchase!

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Old 03-19-2013, 06:49 PM   #30
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OK now that I am logged into my own account. On another note, make sure that you guys let me know that you are with the bulk buys when you come in for the $1 per lb grain. I do not offer this price to everyone. The reason I started up the $1 per lb was to try and help out the Barley Legal members that missed the grain buys because they filled up to quickly. I would hear people say that they couldn't brew until the next buy, not cool. The way I run it now is, you purchase the grain 50# at time, the cost is $50 cash-$55 credit. You could choose to take all of the grain at once or I would store it here for you and you could grab what you needed as you needed it. You could use the 50# to get any amount or type of base malt up to your #50 lbs. I would preffer to keep it running like this but I would adapt for any of you guys that needed me to. This is just for the $1 per lb grain out of the store, completely seperate from the bulk buys.
That is awesome. I bet your regulars realy enjoy the flexibility to aply their discounted grain money to any base grain. I wish you were closer to Lansdale!
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