Printz Cartoon - USM Forum -- Message Board

Reporter · Status: Offline

Printz Cartoon

Douglas Vours · Status: Offline

Sorry, you're wrong (but the subject is great Printz fodder). We've been through this before - the sales margins are EXACTLY the same as they were when we were "institutionallly" operated. And, yes, there is a audit done every semester to ensure the margins are in place. The contract language follows:

17. Sales Markup Basis:

(a) New textbooks will be sold at no greater than (i) the publisher's list price or (ii) a 25% gross margin on net priced books, inclusive of restocking fees, return penalties and freight surcharges.

(b) Used textbooks will be sold at 25% less than the new selling price.

(c) School supplies will be priced at or below manufacturer's suggested retail prices.

Barnes & Noble shall, upon request, provide proof of conformity to pricing policies as specified herein.

Now, this is the same exact pricing guideline the textbook center used BEFORE outsourcing. If you want to know the truth about increases in textbook costs, read the article below (it's been posted here before).

http://www.usatoday.com/news/education/2006-08-16-textbooks-college_x.htm

So stop with your silly assumptions.

Incredulous · Status: Offline

Books are 10-15% cheaper at Campus Book Mart. Being restricted to sell at list price is hardly much of a limit on profit. Do you pay sticker price for your car?

LeftASAP · Status: Offline

Douglas Vours wrote:

Sorry, you're wrong (but the subject is great Printz fodder). We've been through this before - the sales margins are EXACTLY the same as they were when we were "institutionallly" operated. And, yes, there is a audit done every semester to ensure the margins are in place. The contract language follows:

17. Sales Markup Basis:

(a) New textbooks will be sold at no greater than (i) the publisher's list price or (ii) a 25% gross margin on net priced books, inclusive of restocking fees, return penalties and freight surcharges.

(b) Used textbooks will be sold at 25% less than the new selling price.

(c) School supplies will be priced at or below manufacturer's suggested retail prices.

Barnes & Noble shall, upon request, provide proof of conformity to pricing policies as specified herein.

Now, this is the same exact pricing guideline the textbook center used BEFORE outsourcing. If you want to know the truth about increases in textbook costs, read the article below (it's been posted here before).

http://www.usatoday.com/news/education/2006-08-16-textbooks-college_x.htm

So stop with your silly assumptions.

Something doesn't seem right, Douglas. If B&N can make enough profit to make up their investment toward the building renovations, USM should never have given up this lucrative business. What was SFT thinking?

LVN · Status: Offline

Since Carey has also outsourced to B&N, I wonder what their experience has been? Also, I wonder if BookMart owns their building. That's a huge advantage for a small business.

Douglas Vours · Status: Offline

Incredulous wrote:

Books are 10-15% cheaper at Campus Book Mart. Being restricted to sell at list price is hardly much of a limit on profit. Do you pay sticker price for your car?

Incredulous, the point is that the pricing of textbooks hasn't changed. Yet, people somehow believe the evil outsourcing caused higher prices.

-- Edited by Douglas Vours at 16:18, 2006-08-31

Douglas Vours · Status: Offline

It's called economies of scale and more efficient, effective operations (better business model). It's not rocket science.

BTW, do you know the specifics as to what the university receives in return for B&N operating on our campus? You mentioned something about renovation investment; just what do you think that was?