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Old 05-10-2008, 12:52 AM   #1 (permalink)
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Default how little is little?

everyone says computer stores make very little profit on each piece of hardware they sell. does any know what the average profit is on a cpu, or on a motherboard? i'm talking about retailers of course, not the makers.

a recent study showed that the profit margin of tobacco was roughly 19% and water utilities was about 10%, but they didn't mention computer hardwares. hmm

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Old 05-10-2008, 12:58 AM   #2 (permalink)
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Default Re: how little is little?

Depends on the buyer, even 50% profit is possible.


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Old 05-10-2008, 07:16 AM   #3 (permalink)
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Default Re: how little is little?

As Peter said it varies. Circuit City makes more of a profit than NewEgg. Best Buy is also heavy on the profits. I dont think they get as high as 50% though. When i worked at Wal-Mart the highest markup on PC stuff was only 23%. Best Buy and Circuit City are more expensive but i dont think they hit 50%.

Helps to work in Retail to know some makrup %.
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