The Vape Den - No longer restocking TKO

[Pho3niX90]

So as of today, we will no longer be restocking TKO.

Sadly, it was brought to our attention that TKO has ended our partnership due to our pricing being too low (although matches to many other vape shops, and the spar group).

From the word go, my aim has always been to bring pricing down as much as possible, from liquids to hardware, so that vaping can be somewhat affordable again for the masses.

Please note that a order was delivered this morning, so pricing will remain the same until stock is sold out at the normal price of R180 and R185 for the tobacco range.

PS: To all vendors, please speak to me if you are not happy about the pricing. We can find a way forward. I cherish my vendors as much as I do my customers

Have a nice weekend everyone.

 

[Andre]

Sounds like vertical price binding, which is illegal as far as I know.

 

[M.Adhir]

Good on you for trying.

Said it before and I'll say it again.
This industry needs disruptors, not RRP pushers.

Vaping has become expensive as it is, with regulation pending and the probable implementation of excise/ sin tax, it will only become more expensive to the consumer.

 

[M.Adhir]

Sounds like vertical price binding, which is illegal as far as I know.

Yeah.Chapter 2 Part A of the competition act.

 

[Jp1905]

Im sorry but this is bullsh*t,in the end you pay wholesale price,and advertise at the retail price that you can afford,odd that no stock gets pulled when someone is too expensive?

Price fixing,thats what it is.

I have never seen Kellogs pull corn flakes from Checkers because they are cheaper than Pick n Pay.

The “bigger” guys are pulling a Gupta move here...we need a “Vape Capture Enquiry” to take place.

 

[RenaldoRheeder]

So as of today, we will no longer be restocking TKO.

Sadly, it was brought to our attention that TKO has ended our partnership due to our pricing being too low (although matches to many other vape shops, and the spar group).

From the word go, my aim has always been to bring pricing down as much as possible, from liquids to hardware, so that vaping can be somewhat affordable again for the masses.

Please note that a order was delivered this morning, so pricing will remain the same until stock is sold out at the normal price of R180 and R185 for the tobacco range.

Respect

 

[Jp1905]

@Pho3niX90 sell your last stock at R100 a bottle

 

[Jp1905]

Just kidding though

 

[Jp1905]

@KZOR what is your opinion on this?

 

[KZOR]

@KZOR what is your opinion on this?

I doubt it would be about the pricing because most vendors close to me sell TKO for R180. I know there is a recommended price but no vendor is forced to adhere to that.
What i think this is all about is the TKO Tobacco range that might have been made available earlier than what was supposed to be. The tobacco range is only being launched tomorrow and it could be that The Vape Den might have decided to sell them pre-launch and that angered the Gods.
Lourens is a fair person and from his side a blocked partnership would only be a temporary measure unless the vendor makes the final decision to terminate.
I know Lourens well and i think we need to get his side before jumping on the hate train.
Btw ..... have always received great service and assistance from @Pho3niX90 at the Vape Den as well.
I hope the partnership restores as TKO products is a asset to any business but i strongly feel that the vendor have the right to determine the pricing for their sales.

 

[Pho3niX90]

Sadly Lourens didn't speak to me about anything, I just had to hear it from 3 other vape shops and vendors that contacted me and sent me screenshots about the termination in the IAVA Vendors group.

Although the Tobacco range is available (Received today along with the rest of my stock from him), it will only get delivered tomorrow (launch day as I as I have it).

Anyway, I am not here to create hate. This was merely a notification to all customers from ecigssa.

If you do get the real reason, please let me know, as I believe it is price related.

 

[Chanel_tvc]

Bravo on that @Pho3niX90

 

[OnePowerfulCorsa]

I said it a while back and I was frowned upon by an ex-Vape Shop owner in the north of JHB. There is price fixing in the industry. The previous big juice makers did it and pulled stock when you priced too low, well now they are no longer big juice makers, they are actually not even relevant in the market. However you can slowly see the wheels turning, see how prices have dropped over the last year. The juice makers are seeing the decline because international juices are coming in at a lower price than their local juices (still prefer local over international personally - we have the best here in SA).

Cheaper prices move more quantity.

 

[StompieZA]

I said it a while back and I was frowned upon by an ex-Vape Shop owner in the north of JHB. There is price fixing in the industry. The previous big juice makers did it and pulled stock when you priced too low, well now they are no longer big juice makers, they are actually not even relevant in the market. However you can slowly see the wheels turning, see how prices have dropped over the last year. The juice makers are seeing the decline because international juices are coming in at a lower price than their local juices (still prefer local over international personally - we have the best here in SA).

Cheaper prices move more quantity.

100% agree, 30mls used to be R160 on average for top local brands....now you get 60mls from top local brands going for R160 to R180 which is awesome!

 

[OnePowerfulCorsa]

I've been told by a few stores that suppliers (juicers and distributors/ suppliers) set an RRP range per product.
If a store doesn't stick within the RRP range, the suppliers stop supplying them (whether this is true, or the stores are just looking for an easy scapegoat to justify prices remains to be proven 100%).

I've also heard stores complain that 'Store XYZ is killing the market with their low prices'. Sorry store, you should innovate and disrupt as well, competition favours the consumer (who is ultimately your customer), and in the long term, you should try to retain customers in the right way.

I've also had stores complain to suppliers about other stores undercutting prices- and then a week or two later you see that the cheaper store is no longer stocking the product (supply has been pulled).

This applies to local and international brands- there are some international brands which require you to request written permission from them before you sell their product below their RRP range.

I've seen stores set their stock prices based on what nearby stores are selling their stock at.

All I see when i look around locally, is price fixing and protectionism (whether its supplier or retailer), to the detriment of the consumer and general public.
So I've pretty much drawn up a mental list of stores and brands which i refuse to support anymore as a result of all the above, and sadly the list gets longer as the days go on.

I'm now almost at the stage where I'm willing to get rid of all my gear and start smoking again.

I feel similar, although not smoking but I sometimes have the urge to sell off my stuff and just stop completely.

 

[Dela Rey Steyn]

Most local juices are in the 220 - 240 per 60ml range, and some stores even sell them for 250. Those juices are rarely priced under 200. i see a lot of stores want to start selling their TKO cheaper, why not the other brands? and then, the tko is already more value for money being a 75ml and not a 60ml, so why would you want to sell this specific brand under priced below other local juices at a lower qty? This not specifically aimed at Vape Den, I've seen this at a few vendors recently. I just think we need both sides of the story. Lourens is a stand up guy in my experiences with him.

 

[ace_d_house_cat]

Most local juices are in the 220 - 240 per 60ml range, and some stores even sell them for 250. Those juices are rarely priced under 200. i see a lot of stores want to start selling their TKO cheaper, why not the other brands? and then, the tko is already more value for money being a 75ml and not a 60ml, so why would you want to sell this specific brand under priced below other local juices at a lower qty? This not specifically aimed at Vape Den, I've seen this at a few vendors recently. I just think we need both sides of the story. Lourens is a stand up guy in my experiences with him.

I think the point trying to be made here is that vendors should be able to sell juices at whatever pricing they want without being bullied by suppliers.

If you can sell it at a lower price, why not?

 

[Pho3niX90]

Most local juices are in the 220 - 240 per 60ml range, and some stores even sell them for 250. Those juices are rarely priced under 200. i see a lot of stores want to start selling their TKO cheaper, why not the other brands? and then, the tko is already more value for money being a 75ml and not a 60ml, so why would you want to sell this specific brand under priced below other local juices at a lower qty? This not specifically aimed at Vape Den, I've seen this at a few vendors recently. I just think we need both sides of the story. Lourens is a stand up guy in my experiences with him.

I can only speak for myself and not other vape shops.

I understand your reasoning, however the price drop started when Spar started selling at R189.

So for vape shops to still be relevant and move stock as well, the prices on TKO had to be adjusted accordingly to be competitive.

I won't lie, I was happy when this happened as I thought the industry was moving in the correct direction.

But I would also love for Lourens to comment.

 

[Dela Rey Steyn]

Found this on another Social Platform:

 

[Jengz]

I can only speak for myself and not other vape shops.

I understand your reasoning, however the price drop started when Spar started selling at R189.

So for vape shops to still be relevant and move stock as well, the prices on TKO had to be adjusted accordingly to be competitive.

I won't lie, I was happy when this happened as I thought the industry was moving in the correct direction.

But I would also love for Lourens to comment.

Totally agree here bud, seen the controversy on FB around the whole spar debacle and soon after seen the drop in the tko range across the vaping community, bar a few vendors.

The reality is that business is business. More competition initiates better quality and pricing, that concept isn't new. As in any industry its what we see and accept. It was not the Vape Den that initiated the price drop so this makes no sense to me as to why vendors have issues with it and regardless, if your competitor beats your price by a healthy margin then contact your supplier and query if they are getting the product at a cheaper price, if yes then haggle your supplier, if no then drop your margins or just deal with less sales.

It's great to see price drops without the quality of products dropping.

 

[CMMACKEM]

So as of today, we will no longer be restocking TKO.

Sadly, it was brought to our attention that TKO has ended our partnership due to our pricing being too low (although matches to many other vape shops, and the spar group).

From the word go, my aim has always been to bring pricing down as much as possible, from liquids to hardware, so that vaping can be somewhat affordable again for the masses.

Please note that a order was delivered this morning, so pricing will remain the same until stock is sold out at the normal price of R180 and R185 for the tobacco range.

PS: To all vendors, please speak to me if you are not happy about the pricing. We can find a way forward. I cherish my vendors as much as I do my customers

Have a nice weekend everyone.

Because of the highlighted above and top notch service, most of us are with you.

I know of some juice makers that will not supply some stores only because other stores don't like them.

 

[Dela Rey Steyn]

Can I be Devil's Advocate on this post?

 

[Pho3niX90]

Can I be Devil's Advocate on this post?

Always

 

[traulstone]

And that's why for the last few months my hard earned bucks has almost exclusively been going to The vape den!

Sent from my ANE-LX1 using Tapatalk

 

[Dela Rey Steyn]

Always

Thank you @Pho3niX90 ,

just 2 things that stand out for me,Firstly is that this announcement was only made here and not on your FB page where Lourens and his team seems to be more active, where they can actually reply, so we only hear the one side unfortunately.

Secondly:

Sadly Lourens didn't speak to me about anything, I just had to hear it from 3 other vape shops and vendors that contacted me and sent me screenshots about the termination in the IAVA Vendors group.

Did you receive any actual communication from TKO that this is in fact the case? and not just speculation or hear say? They have publicly anounced that they do not enforce a RRP on stores.


It would be sad to see you no longer stocking TKO, because you have very good pricing, and I'm all for good pricing on good juice .