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MSRPs vs actual prices

I

Ivanovich

Will Design for Leaf
Joined
Jan 24, 2006
Messages
146
Location
Flagstaff, AZ
Hi all. Curiosity from a newcomer. I found a B&M locally to have very varied markups over MSRP. I got the MSRPs mostly from the Ulitmate Cigar Reference thread. (I usually go for singles since I'm trying, masochistically, to pace my investment in smoking. Man it's tough to resist.)

Basically, most of the Punch and Punch Rare Corojo (some of my favs) were only marked up 50 cents if anything.

I've been researching on this site and a few other places for suggestions for other smokes to try. AF seems to be quite popular around these parts. I'm not dissapointed at all with the few I've tried.

The A.Fuentes, Hemingway and Don Carlos selection seemed to be marked up significantly – sometimes a couple bucks, sometimes practically double MSRP.

I understand that some shops want a little extra if they can get it. No harm done there. I understand rarity/availability and demand can push a price up as well. Every B&M around me seems to carry a decent selection of AF (in fact, know that I think of it, they usually have more AF than anything else) so I don't preceive a significant lack of availability with those.

What's an appropriate markup on an single AF smoke? To make this easier, lets say Hemingway or Don Carlos more specifically.

Are AF actually in limited availability and I live in some sort of vortex?

How can one learn more about the rarity/availability of certain smokes?

Muchas Gracias.
 
Hemingway and Don Carlos are not that "rare" of cigars. You should easily be able to get them at MSRP or even better. My B&M sells them at MSRP to customers he doesn't know, typically MSRP is a 100% markup from cost anyway (from the invoices I have seen and what he tells me.) If you get to know the guys at a B&M you frequent they sometimes will give them to you at better than MSRP.

The more rare types (BTL's, Opus X, WOAM and Padron Anniversary ....) should still be able to be had at MSRP or very close if it is a reputable dealer. Some do like to gouge customers, especially ones they don't know.

Everyone is willing to pay a certain amount for a cigar, some more than others. Just do your research and know what to expect. If it is too high don't buy (my new mantra) an opportunity will come along sometime.

Taxes also add to the price, know what your tax rates are.

Search is your friend...


Regards,
-D
 
Welcome to CP and welcome to the world of cigars. Look around with your eyes wide open and you'll find all that you're looking for and more.

Funny that you mention the Punch Rare Corojo. There's a shop just down the road from me in Santa Monica that'll charge $9.95 for a Rare Corojo Rothchild. :laugh: :laugh: :laugh: Look... I know I live in an expensive area, but that mark-up is outrageous. Needless to say I have never bought anything and won't buy anything from a shop that does business like that.

When there's a cigar I really want to try I do some research online or even better... I ask a FOG on this board via PM.

Good luck!
 
Thanks for the clarification. I've been looking online for some boxes and samplers. I appreciate the suggestions so far.

Part of the enjoyment for me is stepping into a walk-in humi and feeling the humidity and aroma hit me. Or peaking inside a display of dozens of boxes laying open and slobering on the glass like they were gold dubloons. I like picking one to smoke right away and a handful more to take home to the humi.

The online purchasing doesn't quiet that full experience.
 
Ivanovich said:
Thanks for the clarification. I've been looking online for some boxes and samplers. I appreciate the suggestions so far.

Part of the enjoyment for me is stepping into a walk-in humi and feeling the humidity and aroma hit me. Or peaking inside a display of dozens of boxes laying open and slobering on the glass like they were gold dubloons. I like picking one to smoke right away and a handful more to take home to the humi.

The online purchasing doesn't quiet that full experience.
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Then paying a premium for a premium stick might be OK for you. If you truly enjoy the whole experience you have, then who is to put a value on it? But maybe you yourself. Enjoy what you like and like what you enjoy! :thumbs:
 
AVB said:
Здравствуйте!
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You do and you get to clean it up! :laugh:

100% markup is quite common in retail and isn't necessarily gouging. Many of the finer cigar makers are dynasties. They have their list of "authorized" retailers. Others who want to sell those brands pay a "retail" price, theoretically the same as you would if you bought by the box from one of these favored retailers. Thats where some of that comes from.

Negotiate with your B&M if you intend to continue to do business. Just as in any other business, the price marked is for the average schmuck off the street. If he knows his stock and he wants to do business, he'll work with you to keep you as a regular. Keep in mind that you're paying tax at the B&M that (at least so far) you aren't paying over the Internet. In Colorado, I think thats something like 30%.
 
I hadn't thought to try negotiating if I'm showing up regularly. Good idea, thanks.

I've been satisfied so far with what I've been paying, just wanted to be sure I wasn't been too naive.
 
Master thanks for that link. That is very very helpful. :thumbs:
I had no idea I was paying that much over msrp on some of those smokes. I think I pay 9 and change for a hemmingway classic, plus tax. :0

Brandon
 
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