I recently had a kitchen planned by Howdens and as they only supply to the trade, I ended up giving my kitchen fitter/ builder a checque for Howdens. The cheque was for the price quoted by Howdens when we had the plans drawn up.
Would the kitchen fitter get some sort of commission or rebate?
Couldn't say for sure, but it seems highly plausible. But normally, you'd pay the fitter direct (using a Howden's pricelist) and he'd buy the stuff from Howden's himself. How come you did it this way - was it at your instigation? Or maybe as a way of the fitter keeping his turnover below the VAT threshold?
When I blagged myself a Howden's account a few years back, I was given a copy of their catalogue and pricelist, together with another 'discounted' pricelist which I was supposed to show the punter, and that was the price the punter paid (naively thinking they were getting the trade discount). However the reality was that actually the tradesman received a very substantial discount on the so-called 'discounted' pricelist.
It wouldn't stretch the imagination too far to suggest that having accepted your cheque for full-price gear, Howden's could offer your fitter an extra-large discount rate on his next, direct purchase of stuff. All supposition, of course.
Who knows? That's a commercial decision between fitter and supplier. Your contract is presumably with the fitter, unless you have the goods supplied direct and pay the fitter for install only. In such a case the fitter could charge a fee for collecting the bits.
Many years ago I was involved with a house extension/repair which was managed by a pukka surveyor. The contract for that had very precise margins the contractors were allowed to make on supplying things.
But it is so very difficult to be sure that the person didn't get a second boiler for free, or a month-end bonus for the total amount they put through. All that can realistically be used to check against is the invoice to the supplier - which in that case might have been shown to the surveyor/client and might have shown the expected amount - i.e. more or less 'trade price'.
We chose the units at the branch and were given a price (showing inflated prices with large discounts to make us think we were getting a bargain). The builder was sent the plans and itemised list to quote us on fitting. To reduce VAT liability we paid Howdens directly. Just wondering if the Builder got anything from the deal. Sounds likely that his next order may get a bigger discount.
Sounds like you did what you realistically could to minimise cost. If you are happy with kitchen, that is not the main thing.
In message , at
20:23:52 on Mon, 24 Jun 2013, DerbyBorn remarked:I've seen plausible claims that Howdens offer anything from 50%-70% off to the trade.
Large discounts are commonplace in the building supplies industry, and even "crossover" sheds like Wickes have huge discounts[1] during regular sales, which shows what their margins must be at the 'list price'.
How these discounts filter through to the consumer is a matter between them and the kitchen fitter. Some of the sheds seem to a different marketing model where they price the units lower, but then virtually insist you use their own highly-priced fitters.
The most transparent pricing is Ikea, but kitchen fitters don't like their units anyway, because many of their units don't have voids at the back for fitting pipes and electrics.
[1] Currently a 50% off, plus another 10% off that, "Summer Sale". (So I suppose that's 55% off).
I hate these 'fake' sales. I just wish they publish a price and stick to it. I have been in the position on more than one occasion that the items were not on sale at the time I wanted to purchase. Either I wait or the retailer loses the sale.
Another annoyance, although I can't recall any retailer trying this one on me.
And they are often non-standard[1] sizes.
[1] Whatever that means ;-)
I doubt it's a question of a fake sale. They just want to deal with fewer customers ordering more - and more knowledgeable customers (in the main), at that.
Couple of years ago we had the utility room redone. Our builder ordered all the stuff from Howdens after we'd been down there, picked up a catalogue, and specced it. By him ordering, taking delivery, and installing it, it was his responsibility until the job was complete. He charged us 15% over the Howdens price to him, which seemed reasonable to us.
That avoids questions of who's gonna sort it out if items are dinged etc.
I've fitted three Ikea kitchens. The sizing and lack of a void at the back haven't caused any problems even when installing other manufacturers' laundry and cooking equipment alongside.
In message , at 10:05:55 on Wed, 26 Jun 2013, Mark remarked:
I've not noticed that, unless they mean the position of the hinges (and their holes). The widths and depth[3] seem in perfectly normal increments.
[3] Mindful of the 'no void' issue, so if you mount base units not-against-the-wall (because of existing pipework) they'll stick into the room further.In message , at
10:28:39 on Wed, 26 Jun 2013, Tim Streater remarked:Sounds like a sensible scheme. But you got the units way below the Howdens "list price" in that case.
I had a Howdens estimate recently, via a fitter - hugely discounted to the point that the original figures were meaningless. The fitter has had several calls from them, each beating the previous price. Apparently they have targets, and phone round people who haven't confirmed an order.
I'd expect the fitter to take a cut, although I'm not sure how it would work - I have an itemised quote from Howdens.
That said, I was impressed with the kitchen design, and the price didn't look too bad. About double a roughly by eye equivalent Wickes kitchen.
Rob
Sure. The discounts are marked on their paperwork.
If he placed the actual order, then he would have got it for his price rather than yours - the fact he cheque came from elsewhere hardly matters - it may just mean that his account with them was in credit.
I recently had a kitchen planned by Howdens and as they only supply
We have Howdens kitchen units, purchased via a friend in the trade with an account. He asked me to pay them directly against his invoice and gave me the statement (mine was his only transaction that month) so I could use the payment advise slip. The invoice showed a discount of 25% from Howdens original quote and the statement the same net figure.
Mike
HomeOwnersHub website is not affiliated with any of the manufacturers or service providers discussed here. All logos and trade names are the property of their respective owners.