On 11/5/2012 11:13 AM, Mike Marlow wrote:
Leon wrote:


Sure it but you think that the $1 screw price can cover all of the
expenses to ship it? Probably does not ever cover the stamp price.

Yes there are bigger ticket items to make up the difference but if the
piddley profit stuff costs you every time you sell one and ship it the
smart retailer will stop carrying the part.


But the difference in our points of view is not so much centered around them
making a bit to cover costs of handling, but it was about the UPS (or like)
charges for something that could have gone into an envelope for a lot less.




But back on track, I mentioned screws and diamonds, about the same
weight and size.

But... considerably different value which makes your analogy ill
fitted.


What does value have to do with the cost of shipping a like sized and
and weight item?

Just that value has a big effect on what people would accept as a method of
shipment. For high value items, most people are comfortable with the
charges associated with a more secure method of shipment. For something
like a screw - why bother?


Exactly my point. But why are people more inclined to pay more for
postage for a $100 item than a $1 item of the same size and weight?

Now lets think about that. I ship a screw to you and because it is
cheap I don't charge you enough to really cover the real cost for
shipping. It gets lost in the mail. Now you expect me to do this again
except this time I cover the cost of shipping again and give you the
part for free.

If we teach retailers to not expect to cover their true cost of
shipping a $1 part they are going to learn to not ship that kind of
product. If you want it, go and get it.

Just because a person believes that it does not cost more than a $1 to
create a sales invoice, pull the part, package it, and pay for delivery
does not mean that it does not cost much more.