Monday, March 28, 2011

Sometimes We Guess Wrong

Being a small horse supply business in a world of companies that could buy us out with the cash in the change drawer presents it own set of challenges from day to day.

Late last year we recieved an email from Farnam that their Red Cell equine supplement would be going up in price this spring. Red Cell is a "high visibility" product. It's hard to discount deeply because of its weight and the freight concerns that entails. It's also hard to mark up much, because everyone sells it and people tend to remember what they are having to pay.

So, based on what we were told, we adjusted our price as little as we felt was safe to prepare for the upcoming price increases. The last thing we wanted to do was sell 10 cases at last years price and then have to pay this year's price to fulfill the order.

Come to find out, it hasn't gone up noticeably and it doesn't look like it is going to for a while. So we are running it on sale even cheaper than we had it listed last year. We don't know how long it will last, but we hope it helps in the mean time.

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