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Why so expensive?

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  #1  
Old January 13th, 2009, 10:41 PM
rosc2112
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Default Why so expensive?

Figured I'd post a new thread about this, I asked it in a different thread where it'll just get buried.

If shisha tobacco is only 30% tobacco, why is it so expensive?

I can understand importing adds to the cost. But....It still seems really high, considering it's mostly sugar (molasses).. Honey is a bit more expensive, but... The domestic (USA) brands, well obviously they're just taking advantage of a new market and charging as high a price as the market will bear. High price of new fashion?

Now that shisha tobacco is really becoming popular, we as consumers need to drive the prices down
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  #2  
Old January 13th, 2009, 10:53 PM
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Default Re: Why so expensive?

Not all domestics screw people over like that. Tangiers is much more than 30% tobacco content and is only around 12 bucks a 250. And well worth it.
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  #3  
Old January 13th, 2009, 11:05 PM
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Default Re: Why so expensive?

its not that bad only shisha i know to be pretty expensive is Starbuzz and i believe Fumari..not so sure about that one though.
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  #4  
Old January 13th, 2009, 11:32 PM
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Default Re: Why so expensive?

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Originally Posted by Rob416 View Post
its not that bad only shisha i know to be pretty expensive is Starbuzz and i believe Fumari..not so sure about that one though.
Fantasia is pretty exspensive too. $3-$5 per 50g to $16-$20 per 200g.
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  #5  
Old January 13th, 2009, 11:40 PM
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Default Re: Why so expensive?

just stick with nakhla $5 for 250g
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  #6  
Old January 14th, 2009, 12:04 AM
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Default Re: Why so expensive?

I would venture to guess that american shisha is so expensive because americans are so greedy. The people making that stuff are probably making ten times as much as the foreigners who produce it overseas. You cant buy a mercedes on 4 dollars and a bucket of rice a week..
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  #7  
Old January 14th, 2009, 04:11 AM
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Default Re: Why so expensive?

I responded to this in the other thread... Its not just the tobacco we are paying for. We pay for the Production (manufacturing to packaging), tobacco, molasses, glycerin, and flavorings. And you have to also consider how much the US charges in Taxes/Tariffs for letting it in the country. Then how much to ship the products from overseas. Hell I have to pay 17% "excise" tax of my wholesale cost ($100 wholsale cost = $17 dollars to gov't) which is complete bullshit but anyway... Its really not that expensive when you break it down... do the numbers or open your own business of some sort lol things add up quickly.
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  #8  
Old January 14th, 2009, 06:05 AM
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Default Re: Why so expensive?

Quote:
Originally Posted by HookahFiend View Post
just stick with nakhla $5 for 250g
True words of wisdom. Also stick with Nakhla Sheherazade and Mizo for $7.50 for 250 G!
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  #9  
Old January 14th, 2009, 10:02 AM
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Default Re: Why so expensive?

Quote:
Originally Posted by HookahFiend View Post
just stick with nakhla $5 for 250g
+1 you can't go wrong w/ nakhla..
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  #10  
Old January 14th, 2009, 10:26 AM
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Default Re: Why so expensive?

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Originally Posted by esisomsun View Post
+1 you can't go wrong w/ nakhla..

+1 (earl grey though? uuugh)
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  #11  
Old January 14th, 2009, 10:34 AM
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Default Re: Why so expensive?

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Originally Posted by Cj Two A View Post
+1 (earl grey though? uuugh)
Earl Grey is great, don't be a wuss. LOL
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  #12  
Old January 14th, 2009, 11:38 AM
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Default Re: Why so expensive?

and give the double apple Nakhla a try that is in the jar...
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Last edited by yeags777; February 4th, 2011 at 01:13 AM.
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  #13  
Old January 14th, 2009, 03:39 PM
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Default Re: Why so expensive?

I've benn wating for my 3 cans/tins of nakhla for 1 week now. Damn Customs is slow in my country and a reason why moassel is expensive in the US
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  #14  
Old January 14th, 2009, 04:48 PM
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Default Re: Why so expensive?

I'd agree with the statement that most of the "premium" paid is due to state and federal tobacco taxes. Also, I've noticed that certain washed lines of tobacco cost more. I would think that this has to do with additional steps/labor needed in the washing process.
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  #15  
Old January 14th, 2009, 05:02 PM
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Default Re: Why so expensive?

Glycerin, molasses, flavoring, labor all cost money. 12 bucks is not a lot when you think about how great of a product Tangiers is to it's fans.
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  #16  
Old January 14th, 2009, 08:31 PM
rosc2112
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Default Re: Why so expensive?

AFAIK, there's no tax being paid on shisha tobacco when purchased online out of state (they sure aren't sporting a tax stamp like local bought otp.)

Sugar, molasses, honey, etc, do not cost that much, especially wholesale. Packaging? They can put the stuff in a sandwich baggie for all I care, if that's the lame excuse for the high prices =)
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  #17  
Old January 15th, 2009, 02:42 AM
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Default Re: Why so expensive?

Quote:
Originally Posted by rosc2112 View Post
AFAIK, there's no tax being paid on shisha tobacco when purchased online out of state (they sure aren't sporting a tax stamp like local bought otp.)

Sugar, molasses, honey, etc, do not cost that much, especially wholesale. Packaging? They can put the stuff in a sandwich baggie for all I care, if that's the lame excuse for the high prices =)
tobacco taxes which are different from local state sales taxes are being figured in, for example, tobacco tax in CA is 45% and in TX 40%, those are figured into your final price, for example, if AF is being sold to a distributor at approx $4 per 250g, the distributor will have to charge the wholesaler 45% on top making it 5.80 to break even, then that wholesaler needs to mark it up to make a profit, what would a fair markup be (you decide $1 maybe) $6.80 to the retailer who needs to mark it up. retailers like to double their money at least, it should cost $13+, that's fair right? but then you factor in competition so the price is less than that. None of this has to do with sales tax which in CA is another 7.75%. hope that makes sense.
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  #18  
Old January 15th, 2009, 02:46 AM
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Default Re: Why so expensive?

with all them taxes, you figure we would be out of debt in the states, but who am i just a tax payer
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  #19  
Old January 15th, 2009, 09:04 AM
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Default Re: Why so expensive?

if you guys think tobacco is expensive in the USA then come visit denmark and give 45$ per 250 g nakhla and 12$ for 50 g of AF
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  #20  
Old January 15th, 2009, 10:58 AM
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Default Re: Why so expensive?

Haha we won't need taxes on anything else when the bastards start taxing online purchases across the states...
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  #21  
Old January 15th, 2009, 11:15 AM
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Default Re: Why so expensive?

Quote:
Originally Posted by ************* View Post
tobacco taxes which are different from local state sales taxes are being figured in, for example, tobacco tax in CA is 45% and in TX 40%, those are figured into your final price, for example, if AF is being sold to a distributor at approx $4 per 250g, the distributor will have to charge the wholesaler 45% on top making it 5.80 to break even, then that wholesaler needs to mark it up to make a profit, what would a fair markup be (you decide $1 maybe) $6.80 to the retailer who needs to mark it up. retailers like to double their money at least, it should cost $13+, that's fair right? but then you factor in competition so the price is less than that. None of this has to do with sales tax which in CA is another 7.75%. hope that makes sense.
Very nicely done John.
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  #22  
Old February 5th, 2009, 02:21 AM
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Default Re: Why so expensive?

Quote:
Originally Posted by rosc2112 View Post
Figured I'd post a new thread about this, I asked it in a different thread where it'll just get buried.

If shisha tobacco is only 30% tobacco, why is it so expensive?

I can understand importing adds to the cost. But....It still seems really high, considering it's mostly sugar (molasses).. Honey is a bit more expensive, but... The domestic (USA) brands, well obviously they're just taking advantage of a new market and charging as high a price as the market will bear. High price of new fashion?

Now that shisha tobacco is really becoming popular, we as consumers need to drive the prices down
Molasses is more expensive than sugar by far.As whole wheat bread after its been processed.Logically they would be cheaper, but not.Did you think that the factory workers in Jordan have to eat ?No 4 wheel drive jeeps for the!How about marketing?Advertising?Overhead, paying rent for warehouses, bank loans?BUT, of course you are right, there is no "Secretary of Shisha" in Washington D.C. or a lobby for shisha smokers so the companies want a profitt, and many put much back into developing a better product which is why the standard of shisha gets better by the year.There are companies like "Romman" and "Al-Fakher" which hike the price up to "show" what a good product they have.
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  #23  
Old February 5th, 2009, 03:31 AM
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Default Re: Why so expensive?

You complain about expensive. In the Netherlands tobacco is much more expensive. Recently the taxes got higher and we no have to pay $7,50 per 50 gram of Nakhla and I think 250 gram would be around $30 to $35.
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  #24  
Old February 5th, 2009, 01:14 PM
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Default Re: Why so expensive?

30% tobacco? u sure on all brands...?
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  #25  
Old February 5th, 2009, 01:57 PM
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Default Re: Why so expensive?

First of all i'd be surprised if any shisha other then Epic/Zona is only 30% tobacco. I'd guess that most moassels on the market are 50 -66% tobacco. In any case, you've got to build a plant and develop flavourings, buy tobcco (which is expensive), molasses or honey (both of which are expensive), glycerine and then actually make and package everything which is very expensive. I personally don't have any trouble paying what Americans pay for moassel as I think the prices are generally reasonable.

In Europa the taxes on any tobacco product are totally insane which is why I don't buy anything here. When I buy tobacco when traveling I don't care if the local prices are 10th of what they are in the states I always give the vendor a good deal more then what he asks for because I like to give what I think is a fair price.

With all that said, I think that a lot of more expensive brands are that way due to packing and the knoweldge that college kids are basically insensive to prices. It seems like simple price gouging that SB/Fantasia/Potion/Fusion etc. are literally several times the cost of truely great products like Desi Merli and Salloum.
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