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Old June 25th, 2009, 02:55 AM
Status: Offline
Join Date: May 2007
Location: Buffalo Grove, IL
Posts: 223
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Default Re: Maybe I'm Wrong....

[FONT=Verdana]Hey Zensilk,[/FONT]
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[FONT=Verdana]Your evaluation isn't far off. It's not that as vendors we don't want to pick up new, unique lines of products, but more so that the supply chain has been so inconsistent, that the capital expenditure which is required up front a lot of the times isn't worth the risk of not getting the product in a timely manner.[/FONT]
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[FONT=Verdana]It becomes an opportunity cost issue, where we would rather spend the money on products and features, like website improvements, that are reliable and provide better value to our customers. [/FONT]
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[FONT=Verdana]Khalil Mamoon has become very unreliable in the shipment times, and when they do come in, as vendors we end up cherry picking the loads to pick up the few that are welded properly and are up to standard...which a lot of times ends up being 1/3 of the shipment or less.[/FONT]
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[FONT=Verdana]Mya Saray in my opinion has become very expensive on our end to purchase, and for no true market reason. The price of commodities has not risen enough to support the relatively large increase in $/unit and the demand hasn't increased at any significant level. Mya Saray has always made good quality hookahs, but when prices are so high, and margins are significantly lower than other brands, we lose the desire to want to carry the product.[/FONT]
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[FONT=Verdana]Al Fakher is another issue onto itself. This is one product, I feel, has seen an increase in domestic demand, however this has not translated into an increase in supply causing the market to constantly be dry. With new laws, tariffs, and restrictions on importation of tobacco, we're seeing these products being held up in customs warehouses for extended periods of times; once again keeping money tied up and product unavailable.[/FONT]
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[FONT=Verdana]The reason a lot of vendors are carrying Sahara Smoke products, including ourselves, is because the supply chain is relatively consistent, and the quality is good. If, for instance you're looking to pick up Sahara products alone, you'll probably not find a better deal than what they can offer, and rightfully so...they make the products, but if you, like many customers are looking to purchase sahara products and other products, you would normally have to purchase from 2 separate sites, this is where having a vendor like ourselves carry the line pays off. It allows you as a customer to avoid doubling up on shipping costs and allowing you to rack up savings which come with higher order totals. [/FONT]
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[FONT=Verdana]As a hookah enthusiast myself, I would like to see some great new products put out there, but with a volatile market and a plateau in market demand, it's hard to justify it. I hope it changes.[/FONT]
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[FONT=Verdana]Hope this helps bring some light to a few things.[/FONT]
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[FONT=Verdana]Hookah Life[/FONT]
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