Actual build cost vs markup on US built off road trailers/teardrops.

[capturecolorado]

I think this was a gracious way of breaking it down @capturecolorado. Basically you are charging based off the concept of opportunity cost. People need to realize that because of the lower production volumes of most trailer manufacturers they are not able to really take advantage of economies of scale both for buying production materials or from more efficient mass production yet. So you have to pay closer attention to the supply and demand curves and know what he market will bear. Essentially, right now these trailers cost what they cost but as more consumers purchase them overtime prices should come down.

As far as building a trailer from scratch I have helped do two and the cost savings is not near what people think it is especially when you consider the amount of time spent that could be spent doing something else or some of the tools we ended up needing to purchase.

Exactly! Currently our biggest holdup is the economy of scale and buying power. As it is with many of the smaller trailer companies out there. Over time, as you said, if demand continues we, collectively all teardrop builders, will be able to overcome some of the large price barriers that keep our prices where they are.

I worked in bicycle shops for over a decade, and often was asked why mountain bike disc brake pads cost as much as brake pads for their car. It's the same raw deal we're faced with supplies... The manufacturer of bike products produce maybe 2% of the volume of pads when compared to a manufacturer of auto parts putting out hundreds of thousands.

Also getting wholesale prices that help us to keep our end price as reasonable as we can is difficult. Until we import lumber and other big expenses there's only so much we can do.

It's cool to see a good conversation about this all, and there's some great input here!

 

[Grump E-Vet]

I worked in bicycle shops for over a decade, and often was asked why mountain bike disc brake pads cost as much as brake pads for their car. It's the same raw deal we're faced with supplies... The manufacturer of bike products produce maybe 2% of the volume of pads when compared to a manufacturer of auto parts putting out hundreds of thousands.

Well bike manufacturers are kind of have other pressures and they have facilities near me. But they had to move manufacturing of most of their lower and mid range bikes overseas for two primary reasons. 1. They could not compete in those segments otherwise and people aren’t usually willing to pay a premium at big box retailers 2. Countries like China and in Europe who have orders of magnitude more adult bicycle riders than we do typically impose tariffs in foreign manufactured bikes.

https://www.politifact.com/wisconsi...walker-says-trek-makes-99-its-bicycles-overs/

 

[opp]

One off will be insane to much ass scratching on how it goes together. Some will stand still not upgrade how they do things are tools . It's fun to look at the spruce goose but would rather fly F-22 raptor
manufacturing should not have shop rates. It should be unit's per day
original question was Actual build cost vs markup One out fit did a lot of PR to get there high price and lived high on the hog. They will file bankrupt will come out better no bills NO warrantees to deal with Remember you can buy awards ,flood the web give kick backs to some hot shot on forums not to let anyone give real feed back. Also my sit smell like roses so I demand a high price

 

[The Artisan]

It all equates to the same shop rate or not. You know what you want to make per unit and you equate as such. You have built in R&D cost, materials, rent/mortgage, labor, utilities, etc. They know what they want to make per unit at the end of the day.
Kevin

 

[GkraneTX]

12k seems to be the sweet spot . . . https://www.curbed.com/2018/8/22/17768844/camper-trailer-for-sale-teardrop-timberleaf

afterall, it's got, uh, something

View attachment 467666

clearance. it's got clearance and it's 12,000$. howzat?

After reading the link and amenities I just cant find anything that justifies a 12k price tag.

 

[ottsville]

After reading the link and amenities I just cant find anything that justifies a 12k price tag.

The thing that justifies any price is the number of people willing to pay it.

 

[GkraneTX]

The thing that justifies any price is the number of people willing to pay it.

I suppose so. Maybe the attraction is that you can tow it with a 1983 ford escort.

 

[Louisd75]

I suppose so. Maybe the attraction is that you can tow it with a 1983 ford escort.

I don't feel like searching... do you have any posts that aren't complaints?

 

[GkraneTX]

I don't feel like searching... do you have any posts that aren't complaints?

Don't be so lazy.

 

[Louisd75]

Don't be so lazy.

Nah. I have a trailer that I like. And nobody sells exactly what I wanted either.

 

[s.e.charles]

After reading the link and amenities I just cant find anything that justifies a 12k price tag.

well . . . ahem . . . . obviously you don't place a high value on "clearance". just think where about half of the aftermarket companies would be with that attitude. why, why, we'd all be lake pipes draggin', bumper curb scrapin', steel plate clangin' . . . I dunno . . . OH! "lowriders". I knew damn well we'd be somethin'. or other.

 

[GkraneTX]

It all equates to the same shop rate or not. You know what you want to make per unit and you equate as such. You have built in R&D cost, materials, rent/mortgage, labor, utilities, etc. They know what they want to make per unit at the end of the day.
Kevin

Most of these trailers use the same or similar designs and parts so R&D shouldn't be a per unit cost, unless of course we are talking about a bruder, VMI, or something similar.

 

[ottsville]

Most of these trailers use the same or similar designs and parts so R&D shouldn't be a per unit cost, unless of course we are talking about a bruder, VMI, or something similar.

You've never run a business, have you? From your posts it appears like you have a fundamental lack of understanding what it takes to design, build, market, and sell a product and run a profitable business that draws on the the skills and knowledge of multiple employees while providing a safe workspace and a reliable paycheck.

 

[GkraneTX]

For many years I was the director of business development for a large electromagnetic compliance laboratory, so I think I have a firm grasp on marketing and sales.

 

[CampStewart]

For someone to cover their tail with overhead they need to charge at least 75 per hour but 100 per hour is probably more realistic. Tools, rent, taxes, insurance, equipment costs add up quickly. If this makes you angry then find out from someone above you what you cost your company per hour. Find out what skilled union labor costs a company per hour. Having said that most of these trailers look way overbuilt to me and they are not designed to be built quickly and efficiently. If you want them built efficiently you need lots of space for jigs and tools that are precise and can cut your labor costs. Those tools don't come cheap nor do they have small footprints on a shop floor. BTW I do custom fabrication with wood and metal for a living.