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Bulk salt sales?????

Discussion in 'Ice Management' started by ChicagoSnow, Sep 5, 2002.

  1. ChicagoSnow

    ChicagoSnow Senior Member
    Messages: 229

    Just wondering if any one would share bulk salt/per yard pricing?

    This year I have several independent contractors that would like to purchase bulk salt from me as they use(no room for storage), and just would like some low/high figures "per yard" so I can price right for re-sale.


  2. SnoJob67

    SnoJob67 Senior Member
    Messages: 384

    Call me the grinch who stole christmas, but I would not supply my competitors with bulk salt knowing that I was helping to reduce their costs and enabling them to be competitive with me. If they want to do that, they have to take the initiative to hunt down material, make concessions for storage, etc.

    The potential for lost revenue due to devaluation of service isn't worth the chicken feed you would make helping them to become a more efficient operation. There are other ways to look at the situation, but what I have said would keep flashing through my mind and ultimately would guide my decision making process.
  3. Taconic

    Taconic PlowSite.com Veteran
    Messages: 180

    bulk pricing

    I gotta agree with SNOJOB as there are a few on here who simply take the info they learn from others and then use it against them. I like to call them sublevel weasels or bottom feeders. This is in no way directed at you Chicago its just that there are those who simply have no business ethics. If you would like to discuss bulk pricing i would be happy talk to you via phone. You can call me at 845-485-4200
    John Parker
    New York Snow Pros
  4. Kurt B.

    Kurt B. Junior Member
    Messages: 29

    I'm not sure if your looking to help these other guys/competitors as others have mentioned or if you are thinking about making some extra money by providing them with salt. I can tell you that there are not many material places that are open all night when it snows and most of the suppliers charge around $50.00/ton picked up and loaded in your truck during business hours or $55.00/ton after regular business hours. If you have the storage space and a loader dedicated to it, why not supply them with salt at the going rate and pocket the difference. I remember when I was starting out the first year we didn't have a loader or a place to store bulk salt and I was always looking for a guy who was open and willing to sale salt when it snowed. I am always surprised when I drive by a material yard during a snow storm and see trucks rolling in and out all night paying the $55.00/ton. Its really not that high of a price after you add trucking onto our bulk salt price its not that much cheaper per ton so you might even have to charge a little more to make a worthwhile profit.
  5. Jay Kosack

    Jay Kosack Junior Member
    Messages: 17

    Establishing a gross profit margin is always a good start. Many of the successful distributors have an early buy price schedule and an in season price. Schoenberg Salt has followed this logic for over 80 years.

    Be careful about raising prices drastically when it snowing. Many states have statutes that protect consumers under "adversarial conditions." In the winter of 1995-1996, the NJ attorney generals office in conjunction with Somerset County investigated salt pricing concerns and prosecuted many involved for many discovered concerns. It is best to have a published pricing schedule and stick with it.
  6. landman

    landman Senior Member
    from NJ
    Messages: 185

    There is ways of doing this if you plan accordingly, I do it now for a couple of guys I know. Where we work out of there are no places that sell bulk salt. the only place is a landscape material place about 10 miles away, 15 minute ride (dry conditions) and about 30-45 mins (snow conditions) and they are not always open during a snow storm unless they get alot of calls they they will open. BUT if you purchase bulk salt from them during regular business hours the rate is $65.00 per ton, if you purchase it during the night of the storm the sell it for $85.00 per ton, or if you make arrangements ahead of time (by oct 15th and pay in advance the will have salt on hand for you (like a reserve program) and if you don't use that salt for the season you get no refund and no credit for the following season and if you don't order enough and need more than your allocation they charge the same emergency rates as everybody else. So being as though I have ample room, a loader, and I am local for alot of guys, I only sell to guys I know and not outsiders. It helps them as well as myself and I make a few bucks in the process. The more salt I order the better deal I get. Plus I even salt a few lots for a couple of guys that don't have spreaders, and they plow for me in return. I guess you have to be secure in your business to help others without fear of worring you will loose your customers to them. Plus remember if they do try something like that they always run the possibility of running into you around town and if you tell others about him they will avoid him as well and he will develop his our bad reputation and nobody will bother with him.
  7. ChicagoSnow

    ChicagoSnow Senior Member
    Messages: 229

    Thank you for all of your thoughts!

    I believe that one must be secure in business to be successful, yet allowing a "helping hand" without getting your hand chopped off is key!

    This season I will sell bulk salt to independent's that I work with or would like to build relations with only. It will be cash and carry, they take too much??? - return to remove salt from vehicle only (no refund or discount).

    Just as was said earlier, I have built very profitable relationships from associates in my day to day business dealings who see my actions(good will) first - my reward comes second.

  8. newlooklandscp

    newlooklandscp Senior Member
    from Midwest
    Messages: 473

    Chicago Snow,

    Are you still on the market to provide bulk salt to a small landscaping company? Im in the Franklin Park area and was looking for a place to purchase salt only right before the storms start. I dont have a the machinery to load it at my own place and this season I am looking to only use between 1-2 tons per snow fall. I take care of some hotels so I tend to salt whenever the snow hits the ground for safety reasons. If you interested that would be great.

    Thanks Ken
    New Look Landscaping

  9. HLS Wholesale

    HLS Wholesale Senior Member
    Messages: 111

    Ken -

    I'm in Forest Park and can help you out if you need. It's about 15 minutes from Franklin Park.

  10. newlooklandscp

    newlooklandscp Senior Member
    from Midwest
    Messages: 473


    That would be great. Im in the process trying to sell my Snow Ex 1075 and purchasing a Vbox. As soon as that goes through I would be ready to go with the bulk salt. I tend to do some work in River Forest and Forest Park and Ive seen your equipment around, by the way your company does great work. Also on Thursday's I used to past by your office/yard.

    How would it work out? Would you be open during the night or right before a storm, which ever is first? Like I said Im only looking for 1-2 tons per truck load and I only use 1 truck load each storm. Im not huge in snow removal but Im in the stage were bag is to expensive and bulk is just not enough. Also would you prefer cash, weekly/monthly checks, or an account? Possible Prices?

    If you would like me to contact your office if that is easier then I can do that. Or I have an email - newlooklandscp@aol.com

    Thanks Again, and hope to do business with you soon.
    Ken - New Look Landscaping
  11. exmarkdude

    exmarkdude Junior Member
    Messages: 8

    If you want to buy bulk salt in the Chicagoland area and have a place to store it, Russo Power Equipment at 1-877-do- russo will hook you up at $51.00 per ton delivered. At least this is my price delivered to NW Indiana.
  12. newlooklandscp

    newlooklandscp Senior Member
    from Midwest
    Messages: 473


    Thanks, I actually have a place to store it and yes I deal with Russo's all the time. Actually Russo's is about 6 blocks from my landscaping yard where I store all my equipment. The only thing is I dont own a loader to load it up in the middle of the night. Plus I would much rather purchase it only when I need it. But thanks anyways.

    Ken - New Look Landscaping