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creggur
08-03-2007, 10:42
How about a Scubatoys East right here in Jacksonville Florida... I don't have a ton of dive experience, but I do have tons of retail management experience, and I'm certainly willing to learn!!!! Just imagine linked inventories, reduced shipping times for the east coast, It'll be great, and Jax is growing like crazy....We're on the coast with the most extensive artificial reef system in the country, hour and a half away from world premier cave diving, weekend trips to the Keys, c'mon man, if you treat your employees anything like you treat your customers I'll gladly work for ya.............

I know I'm just dreamin' here, but that's what vacations are for, so there ya go....

ScubaToys Larry
08-03-2007, 10:54
We thought about trying to open more locations - but every time I crunch the numbers, it doesn't make much sense from a business standpoint. Twice the over head, and you would not get twice the business. It's just too easy to have everything under one roof.

Besides, the cloning experiments are not working out all that well.... we keep getting an evil Joe when we try!

Oh.. maybe it is working!

creggur
08-03-2007, 11:06
Well just keep crunchin' numbers until you get something that works, then let me know....

ReefHound
08-03-2007, 11:14
The Dallas locations could continue handling all online sales so other locations would only need an inventory level sufficient for walk-in sales. As for cloning, that's a matter of finding good people and training them and instilling your philosophy in them. Or perhaps it could be set up as a franchise type of thing.

PlatypusMan
08-03-2007, 11:18
Or perhaps it could be set up as a franchise type of thing.

Now there's an interesting concept...

CompuDude
08-03-2007, 11:48
I'd like to put my vote in for a Los Angeles store as well. :)

Black-Gorrilla
08-03-2007, 12:18
THIS WOULD SUCK!!! because i live in miami mainly... but also... most stores that do great as 1... suck when they open a second one!! it's too much overhead!

Harshal
08-03-2007, 12:57
I agree with Larry from business stand point having a second location does double you overhead, as you do have to replicate everything and the product they are selling is not like a fastfood that people want it right away, I mean worst cast if they do have to ship overnight then its still cheaper.

Now the other side of the coin is some people do like to feel and touch gear before they would buy. Then question is location, so some place in Florida…. Which is already swamped with dive shops, I don’t know much about NY, I have never dived there or know any body talk of diving in that area. There can be location but I m not a dry suit diver so there could be locations, where I can’t go, then LA same thing I don’t know if they dive in there locally or they come to south to dive.
So ROI would be real slow…..my guess…

medic001918
08-03-2007, 13:07
A Connecticut office would be nice...or anywhere in New England. I'd be willing to day trip it...
Shane

the gooch
08-03-2007, 13:44
We could use an ST here in Miami. You would be surprised at the lack of quality dive shops in the area.

creggur
08-03-2007, 13:45
I agree with Larry from business stand point having a second location does double you overhead, as you do have to replicate everything and the product they are selling is not like a fastfood that people want it right away, I mean worst cast if they do have to ship overnight then its still cheaper.

Now the other side of the coin is some people do like to feel and touch gear before they would buy. Then question is location, so some place in Florida…. Which is already swamped with dive shops, I don’t know much about NY, I have never dived there or know any body talk of diving in that area. There can be location but I m not a dry suit diver so there could be locations, where I can’t go, then LA same thing I don’t know if they dive in there locally or they come to south to dive.
So ROI would be real slow…..my guess…

I don't think it matters much how swamped the area is with dive shops, the way that ST does business will take care of that. However there is no doubt that the ROI would probably be relatively slow...

Franchising could be a good way to go, and one that I seriously would take a look at.. Larry could set up "Scubatoys University" at the mothership in Dallas to make sure training, sales, and customer service are taught to his specs.... It's really not a hard concept, take care of the customers and they will take care of you.. Sounds cliche, but generally every time it's tried it works like a charm..

ReefHound
08-03-2007, 14:24
I disagree that increasing stores creates a proportional increase in overhead. We live in a world of chain stores for a reason. Some overhead is duplicated but some is not. Policies, procedures, ordering systems, supplier contracts, etc. become more efficient. Greater purchasing volumes also helps.

But I mentioned franchises because it involves less risk and effort. You let someone else do the lifting while you get the franchise fees and/or percentage of revenue. There is still a lot of effort, some training and inventory processing but mostly enforcing corporate standards to ensure the brand name is not diminished. But in this regards, there may be established dive shop owners out there who would like to operate with the Scubatoys model but just hasn't had the capital to do it.

Harshal
08-03-2007, 15:55
I don't know personally I just find this weird we all discussin what ST should and how they should do the business...... I don't know.....

creggur
08-03-2007, 16:04
I don't think anybody is telling them how they should or what they should do with their business.. Obviously they have a formula that works for them and their customers.. I think most of us just wish we had a shop like them near us because the other dive shops, while usually staffed with good divers and instructors, aren't owned by people with an understanding of how a good service based business should be run....

ReefHound
08-03-2007, 16:14
I don't know personally I just find this weird we all discussin what ST should and how they should do the business...... I don't know.....


Hey, we're not telling ST how to do business, we're just day dreamin'.

It's easy for us to have ideas and suggestions, it's not our money on the line! Larry will do what he is going to do based on his analysis, not ours. And he's spent a million more times than any of us thinking about this stuff but you never know where a good idea is going to come from.

Harshal
08-03-2007, 16:18
I don't know personally I just find this weird we all discussin what ST should and how they should do the business...... I don't know.....


Hey, we're not telling ST how to do business, we're just day dreamin'.

It's easy for us to have ideas and suggestions, it's not our money on the line! Larry will do what he is going to do based on his analysis, not ours. And he's spent a million more times than any of us thinking about this stuff but you never know where a good idea is going to come from.

I did not literally how to do business...... I meant like coming up with ideas and stuff.....but you got what I was saying......

Harshal
08-03-2007, 16:19
[quote=Harshal;16220]I don't know personally I just find this weird we all discussin what ST should and how they should do the business...... I don't know.....


Hey, we're not telling ST how to do business, we're just day dreamin'.

QUOTE]
I guess I am lucky one I don't have to day dream about ST since I am in Dallas.......lol

creggur
08-03-2007, 21:08
I guess I am lucky one I don't have to day dream about ST since I am in Dallas.......lol

You don't know how lucky!!!:smiley7:

3rdEye
08-03-2007, 22:13
just don't open one in PA....then i'd have to pay 6% sales tax

creggur
08-04-2007, 14:35
I'd be willing to pay the sales tax to have a dive shop nearby that actually had some inventory.... I mean why would you pay a premium from a local storefront when their answer most of the time is "I can order that for you"... I can order stuff, I want to feel it, touch it, test drive it in the pool...
ST envy for all of you Dallasites!!

frankc420
08-04-2007, 15:26
I'm not sure why no1 else has thought about this (they may have above me, I didn't read the whole thread! :D) But, why not open fill stations/service centers all over the southern US. You would need very minimal space, you could setup PC's in the front of the store for ordering, surfing, etc while they wait for fills. Kinda like an internet cafe fill station... I like that idea!

Call them, Scubatoys.com, Express. If Larry likes this idea, Michael (mwhities) and myself will probably be the first to open one! :D

medic001918
08-04-2007, 17:13
Why just southern US? What about us in the northeast? I'm sure one here could get some business...

Shane

ReefHound
08-05-2007, 15:54
I'm not sure why no1 else has thought about this (they may have above me, I didn't read the whole thread! :D) But, why not open fill stations/service centers all over the southern US. You would need very minimal space, you could setup PC's in the front of the store for ordering, surfing, etc while they wait for fills. Kinda like an internet cafe fill station... I like that idea!

That's similar to an idea I once had for the LDS. Since people will often say that they would be willing to pay 10% more to a LDS than online just to support their LDS, then maybe a LDS could do better by just being a online shopping advisor. A diving advisor would talk to you about your diving and what you want, take you over to a PC station, browse around to find you the best deal, then order it. Charge the customer 10% over shipped cost (plus tax), have it delivered directly to customer or the shop where they could inspect it on receipt.

tx.lakerat
08-05-2007, 17:42
Well...maybe Larry is trying to say... "if it ain't broke.. we ain't going to fix it." ( but don't count what I say.... I live down the street from ST)!

nferra2
08-06-2007, 21:06
I would have to believe if I owned scubatoys I would try to grow my online business and leave the B&M as is. I just don't think niche hobby stores are the kind of business you start a retail chain with. I think I would start with my own line of gear, you could lower prices, increase margin, and control quality.