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Average mark up on new appliances?

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  • Jun 19th, 2019 2:08 pm
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Deal Addict
Oct 17, 2010
1174 posts
959 upvotes
Edmonton

Average mark up on new appliances?

I'm shopping for appliances for a new build and am wondering what the average markup on most appliances are? I'm in the Whirlpool budget range and from what I've read online it seems like there isn't a ton of markup on appliances in this range, maybe 20% or so. How accurate is this?

I'd be buying 7 major pieces, the current ask is around $9k before tax, delivery or installation.
3 replies
Deal Addict
Mar 22, 2017
3106 posts
4579 upvotes
West GTA
I'm not an expert in this, but when I bought my appliances I asked the salesperson about how the industry model works. The answer was a bit complex - shops get an appliance at wholesale prices, but they will also get incentives on things like volume, volume growth, accessory sales, etc that go into an equation and will spit out meaningful contributions to profit margins. This means that an individual appliance might not have a ton of profit baked in, but when you add in a contribution to various manufacturer incentives there might be more room.
Deal Addict
User avatar
Oct 2, 2018
3167 posts
3653 upvotes
Toronto
Go to some of the appliance warehouse stores that specialize only in appliances, then pick your brands and models and tell them you want a quote for ALL seven appliances, You then get a quote from a couple of other appliance stores and the lowest price vendor who you feel comfortable with should be in the ballpark.

Try Tasco, Canadian Appliance....they usually deal with customers who buy complete sets of appliances and offer deals to take this into account. You can also see all the major appliance vendors side by side, see new things like microwave drawers and determine what features would be really handy. Your price range seems reasonable, although personally I prefer to go with different appliance manufacturers as one may make the best dishwasher and another may make the best slide-in range or microwave drawer.

I originally went and bought 5 appliances (Counter depth Fridge LG LFX25991ST, Samsung Dual oven NE58F9710WS Slide in Range, Bosch Dishwasher SHV68T53UC, Sharp Microwave Drawer KB6524PSC, Range Hood) for $8K, you can then determine if the additional warranty is worth the 10% on top. The salesman looked each item up off the internet and extended the lowest sales price he could find, including sales at all the major stores and amazon. His thing was to make everything easy for us, extend volume discounts and make up for everything on referrals and future returns. We went back six months later and purchased the washer and dryer, was the best experience working with the right person.
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Deal Guru
Jan 25, 2007
12695 posts
7861 upvotes
Paris
grumble wrote: This means that an individual appliance might not have a ton of profit baked in, but when you add in a contribution to various manufacturer incentives there might be more room.
This is how automotive and agricultural dealerships work too. A single car or tractor sold at a loss might bump them into the next “reward” level and pay HUGE dividends. Volume discounts in agriculture used to make or break profit for a year for dealerships.

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