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What is you shop's overhead increase in the last year?

rb07565

Aluminum
Joined
Oct 16, 2011
Location
Western Nebraska USA
His customers are end-retail. And, he is right.
He really isn't sure they will pay the difference. What good will it do him to raise the price, only for them to sit in inventory not selling.

He will likely find someone cheaper. I've definitely seen an increase in the "race to the bottom" as of late. I cant criticize the guys who have machines in their garage because I started that way around the same time you did. However, there are some who will do it just to see the spindle turn and break even on cost. I think Xometry is more than partly at fault for the surge. Just my opinion
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CarbideBob

Diamond
Joined
Jan 14, 2007
Location
Flushing/Flint, Michigan
.... I've definitely seen an increase in the "race to the bottom" as of late...
Of late?
1980s and out looking for work. Potential customer asks what is your shop rate for manual mill and lathe work.
I try to explain that is end price not shop rate and some are more efficient than others.
He presses on and I say it is 32 to 36.
His answer that blew me away "We do not buy from anyone charging over 24 per hour and we have people down in the teens. You need to lower your rates".
This is not a new thing.
Bob
 








 
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