# markup of data com componets..what percentage ? Vancouver BC market



## Black Dog (Oct 16, 2011)

lortech said:


> Not sure what the standard is for your city or north american market. I reside in Vancouver BC canada. It is expensive city in which to live. The housing is most expensive in north america but that may not have a bearing on cost.
> 
> I want to know what kind of markup I should place on DATA/COM parts in this market? I do not know what other data/com companies are charging. Nedco, a local electrical reseller, said for electrical "20-30%". But if the parts are cheap jacks at 5.59 each, thatwould mean I mark it up 30% or 7.75$ each.
> 
> ...


Bump!:thumbsup:


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## LoVolt134 (Dec 14, 2012)

I believe on most of the hybrid ip phone systems, pin 4 and 5 is analog, pin 3 and 6 is digital. Good customer that always have work and money, 20%. First timers and customers that are a pain, 30-50%.


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## FrunkSlammer (Aug 31, 2013)

I seriously recommend bidding jobs.. you will make more money.

But if you absolutely MUST do T&M, then how about:

500% on parts under $1
400% on parts $1-$5
300% on parts $5-25
200% on parts $25-100
150% on parts over $100

I dunno make up your own mark up scale.. or just make your own price list for parts.


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## Somewhere_401 (Apr 7, 2014)

FrunkSlammer said:


> I seriously recommend bidding jobs.. you will make more money.
> 
> But if you absolutely MUST do T&M, then how about:
> 
> ...


--

Because I primarily do smaller jobs for repeats / referrals, there is no direct need to come up with a standard price list.

I look at the job and just quote the whole job. No need to break it down.

It also depends on where you are wanting to make your money. Labour side or parts or a nice combination of both.

I look at the job, and since I have low overhead costs, I have the ability to charge what the customer is likely able to pay. For example, smaller client, being forced to relocate due to office space shuffle, needs everything redone, expecting to retire in less than 5 years client base dwindling, I am not going to charge the same as if it is a new venture with lots of funding behind them. 

Taking that all into consideration, basically if you are wanting to quote for whole job, as Frunk stated, those are reasonable markups for the smaller stuff. I will buy in bulk at times, say a few extra spools of wire if the supply house has something on clearance. I have bought many an item at a great discount simply because a LARGE order got cancelled. A different colour of wire, at 70% off, I will take, or an odd size patch cable pre-made for 50 cents. I will buy a few cases of that. 

If I have to buy something specific for a job, then if it is under $50 its pretty much atleast 100% markup. Have to make up for time and fuel.


Because of how I do things, I know it is different. IF you are doing this all the time, get a feel for what is "standard" for your jobs, and try to buy in bulk. This can make a huge difference in your profits.


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## lortech (Mar 7, 2012)

Okay, I stopped by mikes computer shop. 5.50 for a data jack from a supplier out of the US. I know that same jack cost me 1.50 and was a bit floored by the markup. So I am thinking, they can bill that amount, it pays for the rental of the space, and 3 employees. I can bill at 4.50 and still make a profit if buying in bulk. BTW, nedco bills 8 dollars for a IBDN jack ! yikes!


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## Edrick (Jun 6, 2010)

If you're installing data jacks that cost $1.50 you're buying some shady jacks


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## vinister (Apr 11, 2012)

IF you're counting your pennies on data jacks, you've lost the battle already I'm afraid. Maybe there is a way to get by with that business model, if getting by is what you're after.

I would never bother breaking this stuff out into line items. Look at the whole job, rougly estimate how much you need to charge to make a killing, round up to the nearest '000, and they can take it or leave it! If you're in the right market with the right talent, there will be no 'other quote'. If you're in such a tight market that the profit on your data jacks is in question, you're in trouble!


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## chewy (May 9, 2010)

First off, go do a certified installers course and then get cosy with the distributors and say you will only install their product (just let them think that) and you will find they have alot of discretion on the wholesale price to you. Cut your supply house out of the supply chain.


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## glen1971 (Oct 10, 2012)

Charge what the market will bear...


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## Somewhere_401 (Apr 7, 2014)

lortech said:


> Okay, I stopped by mikes computer shop. 5.50 for a data jack from a supplier out of the US. I know that same jack cost me 1.50 and was a bit floored by the markup. So I am thinking, they can bill that amount, it pays for the rental of the space, and 3 employees. I can bill at 4.50 and still make a profit if buying in bulk. BTW, nedco bills 8 dollars for a IBDN jack ! yikes!


--

Lortech,

You may want to check out your local suppliers.

I have used OnQ by LeGrand and found them to work quite well. Another supplier was about 5 per jack for IBDN. You need to watch the sizes. IBDN if I recall is slightly different that the OnQ and Leviton or other brands. 

When you buy from the states, the biggest problem is shipping / duties. Brokerage fees can easily exceed the value of goods shipped!

You should be using quality parts if you are wanting to be able to stand behind your work.

Also ask about buying in bulk, (sometimes that means in units of 10) the price can be significantly lower.

I have also had my supplier honour bulk pricing when ordering a few of this colour, and few of that colour so that it could be colour coded.


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## Somewhere_401 (Apr 7, 2014)

vinister said:


> IF you're counting your pennies on data jacks, you've lost the battle already I'm afraid. Maybe there is a way to get by with that business model, if getting by is what you're after.
> 
> I would never bother breaking this stuff out into line items. Look at the whole job, rougly estimate how much you need to charge to make a killing, round up to the nearest '000, and they can take it or leave it! If you're in the right market with the right talent, there will be no 'other quote'. If you're in such a tight market that the profit on your data jacks is in question, you're in trouble!


--

Breaking down most jobs does not make sense, but should be detailed enough to satisfy their ability to compare "quotes" and to make the tax man happy with respect to inventory control.

You don't want to chase running to the lowest bid. You should be able to make a good living if you are knowledgeable, friendly, professional etc.

Being the cheapest is not the best desire, nor is the most expensive. Offer good work, fair price, good service, and the money will take care of your needs. If you look at price first, you get the work seen in the other thread here in this section, how to fix this hack. You DON'T want to be known for that kind of work!


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## lortech (Mar 7, 2012)

*edrick the supplier has a really good reputation*

It is even talked among us techs with 20 years experience. I was even in a pawn shop looking at a 1,200 dollars fluke cable tester. Tested the cat6 and it tested at 1 gigabit per second speed. I think the company in California buys in bulk and resells in bulk hence the low price.


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