Toadster61,
Your right, the start up costs and risks are high, but I have spoken to many vapors here locally over the last few months that have said they wished their was a local place to get parts, refer friends, etc. If your friend paid $40 each for a 510 kit in 100 quantity, I'll take a guess and say he wasn't buying them direct from Joye Tech. I have talked to Joye Tech (the original maker of the 510) and my cost per kit is around $15 in quantity (still $1,500 to stock one model). My problem is the minimum order requirements for parts and accessories, that's where I start spending the big bucks on items that most people already have and would usually only purchase if their accessory died (chargers, batteries, etc). I'm also lucky to have an e-liquid manufacturer just down the road who is knowledgeable, decently priced, and has a wide selection of completely customizable e-liquid (Ozark Fresh). Most of the retail space available around here is way to large, but I have found a few that are in the 400-500 square foot rang for $400-$500 per month. If I sold 2 kits a day, on average, I think all of my expenses would be covered, except advertising. Advertising to let the public know I exist would be my largest expense. With my other companies, I've had good luck with radio, and especially print (except the yellow pages. I never made a single sale due to my yellow page ads, that I know of). I have thought about opening an e-cigarette "section" in one of my existing stores, but they are cramped already.
Thanks,
Sean
Your right, the start up costs and risks are high, but I have spoken to many vapors here locally over the last few months that have said they wished their was a local place to get parts, refer friends, etc. If your friend paid $40 each for a 510 kit in 100 quantity, I'll take a guess and say he wasn't buying them direct from Joye Tech. I have talked to Joye Tech (the original maker of the 510) and my cost per kit is around $15 in quantity (still $1,500 to stock one model). My problem is the minimum order requirements for parts and accessories, that's where I start spending the big bucks on items that most people already have and would usually only purchase if their accessory died (chargers, batteries, etc). I'm also lucky to have an e-liquid manufacturer just down the road who is knowledgeable, decently priced, and has a wide selection of completely customizable e-liquid (Ozark Fresh). Most of the retail space available around here is way to large, but I have found a few that are in the 400-500 square foot rang for $400-$500 per month. If I sold 2 kits a day, on average, I think all of my expenses would be covered, except advertising. Advertising to let the public know I exist would be my largest expense. With my other companies, I've had good luck with radio, and especially print (except the yellow pages. I never made a single sale due to my yellow page ads, that I know of). I have thought about opening an e-cigarette "section" in one of my existing stores, but they are cramped already.
Thanks,
Sean
