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| Alleged/fictional dive shop boat trip profits |
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Posted by Ken Kurtis on June 22, 2009 at 00:56:57: In Reply to: Are all of us on the this board just stupid or just brain dead? posted by Diverdan on June 21, 2009 at 20:30:23: "Diverdan" said: "For shops to make anywhere from 40 to 100% profit . . ." We don't. Plain and simple. I don't care what the made-up numbers were. The reasons fewer and fewer shops book charters is because they're LOSING money on them (for a variety of reasons). Look at it this way: If shops were REALLY making 40% (or more) on trips, don't you think they'd be clamoring for more and more trips. It's simply not happening. Diverdan: "It is time for the shops to help out the divers, instead of abusing them." Here's a thought: Maybe anonymous cowards should stop taking potshots and making stuff up. The boat charges the shop more for the trips than it costs the boat to run the trip. That's how they stay in business. The shop charges the customer more for the trip than it costs the shop per head for the trip because that's how THEY will stay in business. I can only speak for myself but I have certainly run trips (as those who have been on my light-load trips can attest) where I've lost money. I've certainly run trips where I've made money. My goal is to turn a 15-20% profit on local trips when all is said and done. In 2008, I ran a whopping 13% profit at the end of the year on my local trips, which grossed just under $65,000. (And that doesn't account for credit card fees - another 3% - or for costs of postage for receipts and stuff like that.) You can do the math to see how much I'm raking in. If you think you can run a business on a 13% margin, have at it. The boats certainly have the open dates available and since you know so much, you'll likely blow all of us out of the water. In the meantime, I'll stick with what I'm trying to do which is offer a quality service at a fair price where I can turn a reasonable profit. And if that's a problem for you, the solution is easy: Don't do business with me. - Ken |
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