CyberDruid

Hi guys. I gotta be honest, trying to compete with the established vendors like Jab-Tech, Performance-PCs, Petras, FrozenCPU, Sidewinder and the like is about impossible. The margin on Liquid Cooling is miniscule. To try and match or beat prices I am many times making nothing on a small sale or maybe a dollar or two on a large one.

Maintaining an inventory has proven to be a real disaster as the market is very fickle when it comes to parts...and the parts are very expensive.

My Forte has always been Case Modding and Conversions to Liquid Cooling.

I am seriously considering phasing out the merchandise altogether and focusing exclusively on service. At least with service I do not have as much competition...I know I can do as well or better than 99.9% of the modders out there.

I want to offer powdercoating and painting services, case modding, and LC conversions as well as turnkey builds. You guys know me and I have always been interested in strengthening the community here. If I can continue on strictly as a case modder without the hassle of inventory I think the business would be healthier.

Please weigh in and let me know how you think this shift would effect the business and I appreciate any useful criticism or suggestions.

Thanks

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xdaseinx

Supply and demand.
All companies that want to make a profit in a pre-existing industry start off by taking losses to move volume.

Only Apple charges out the arse for new products because they have followers not customers.

Your distributors should give you better prices for more volume. Best way to get going and moving products is either gambling on losing profits for a period of time or finding that one new product that no one sells and making profit of that and selling everything else at a loss.

If you take volume from other sellers they will raise their prices and in turn you can too. I say don't give up. People will buy if the price is right.

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CyberDruid

Thanks for that well reasoned reponse. I understand the mechanism but up to this point the store has yet to make a dime. So far merchandising/sales has been a total loss. I never wanted to be a Newegg or w/e and Volume is not where I am headed as far as the type of gear I am niched into selling...how many PA120.2 rads can one hope to sell in a lifetime anywayh?

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Havegooda

I hate to say it, but I think when people see a price that's higher than a more "well known" site, they leave it. I always check your site/Tankguys to see if there's parts that I need before I check NewEgg and I wouldn't mind paying a higher price, but not everyone is like that.

I say you do what you do best, and Mod your heart out! If keeping the store open is too hard/too little returns, then drop it if that's what you're thinking. Focusing your time on Mods will probably earn you more income than if you split your time between the two

~Gooda~

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Chipp

My 2c are to do what you enjoy, and find people who will pay you for it. I believe the original title you used way back when was "CyberDruid goes pro", not "CyberDruid goes reseller".

You do something incredibly well; and from what I've seen you enjoy doing it, so why not make that your main focus?

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rabidgnome229

Do what you do best - drop the rest. Margins in the computer world are ridiculously low even for huge bulk retailers. When you do mods you're adding value that can't be matched or replicated by anybody but you.

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SpcCdr

IMO, You have enough of a loyal following just here on OCN, that you could do very well, just, offering your superb services!
"Get back to your roots"
Inventory cost/control is always a bugger (especially in this fickle market and this crapshoot economy.)
You could still have a sort of inventory- Scale it up/down according to what you have "on-hand"
CyberDruid's Slightly Used Parts!
You'll still be able to get all the latest gear/ new toys, and would be able to sell them very quickly here in FS
(top money paid for CD parts- as we can trust that they have come from a caring "nurturing" home, and have been "thoroughly" tested.

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onlycodered

If it's becoming a burden like you said, I'd say drop it. That way you will have more time to do what you do best.

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Wankerfx

I say drop the store, so you can save your time and money. You're already well-known around here and XS for case modding, so now people will come to you =)

Again, case modding is what you have fun with and it's what you do best, so keep at her!

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Bindusar

If you find products that you find particularly cool or helpful you can always bring awareness to them without specifically supplying them. Depending if you want it available to just OCN members or to the entire internet community you could have either a page on your website or a thread here that lists those more unique items you have come across and their vendors...heck, maybe you could even negotiate deals with the vendors to supply you at a lower cost due to you advertising their product.

Oh, and my vote was for dropping the store and sticking to the specialized service.

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