Canadian Fur Company offers better prices and quality that the fur departments at Saks and Macy’s, other specialty stores and large auditorium, traveling sales promoters.
1. Not a ‘Lease Department’
The fur department in Saks and Macy’s are leased departments or concessions that are not owned by the department store. These outside vendors pay the department store 15% to 20% of each fur purchased by a customer without exception, instead of paying rent.
Canadian Fur Company pays rent and real estate taxes that translate to less than 5% of a fur’s purchase price paid by a customer. This ‘lower overhead’ cost structure translates to at least a 10% to 15% savings on the same quality item sold at a department store.
2. Lower Overhead
The overhead at Canadian Fur Company is also substantially less than other specialty stores whose payments on mortgages, other secured debt and real estate taxes translate to much more than the 5% of each purchase paid by Canadian Fur Company.
More often than not, other specialty stores need all the money at the time of sale to replace inventory, pay overhead bills, or feed the owner’s family.
Interest Free Financing
“Customer friendly’ Canadian Fur Company makes the best brand’s affordable with 12 months ‘interest-free financing’ for Western Pennsylvania residents because Canadian Fur Company does not need all of a customer’s money at the time of a sale. Canadian Fur Company also does not sell its ‘accounts receivable,’ the money owed by customers is paid to Canadian Fur Company.
Department stores charge 18% interest annually or more on furs purchased with a credit card after a few months grace period. This can amount to $540 in interest added annually to a $3000 charge.
Large auditorium traveling sales promoters also charge 18% interest annually or more on furs purchased with a financing agreement. These financing agreements are immediately sold to finance companies at a 10% to 15% discount and this discount has already been reflected in a +10% to +15% higher sale price for merchandise.
3. No Consignment or ‘Memo’ Merchandise
Most department store and traveling sales promoter’s inventory are ‘consignment’ or ‘memo’ merchandise. This means that the lease department or traveling promoter does not pay the manufacturer until after the fur is sold, many times 6-12 months later.
Manufacturers routinely charge a +10% to +20% premium for consignment or memo merchandise because of the delay in receiving payment.
Canadian Fur Company sells only owned and paid ‘invoiced merchandise’ purchased at the best ‘prompt payment 10-day’ discount allowed by the manufacturer.
By paying promptly, Canadian Fur Company pays -5% to -15% less than the invoiced price of merchandise, while consignment merchandise is sold at a +10% to +20% more than invoiced merchandise.
This 15% to 35% savings “spread” on merchandise at Canadian Fur Company also translates to a substantial savings for its customers.
And finally, consignment merchandise is many times left over or of lower quality than invoiced merchandise selected by retailers for store inventory.
Let the Buyer Beware!
“Caveat Emptor’ in Latin or “Let the Buyer Beware” is probably more true today for the fur industry than ever before.
The next time a consumer sees a department store ad in the newspaper or an auditorium sale TV commercial for a $20,000 mink coat at 75% off for $5,000, beware!
The same quality mink coat can be purchased for $4000 over 12 months – interest free, including a written ‘wear and tear’ guarantee and 10-day full refund at ‘customer friendly’ Canadian Fur Company.