I love Boozebud.
Just wondering if anyone actually knows, how do they get their prices pretty much inline with Dan Murphys for most items, and yet offer 5-15% off certain products
plus all these welcoming credits
I've been told that Dan Murphys products, many are sold at a loss or a few % margins and for Boozebud to come in and match and undercut. Seems pretty amazing to me.
They are also burning cash to gain new customers. CUB bought them a year ago and needs to show strong growth to justify it.
CUB bought them a year ago
I thought it was InBev AB - One of the world's biggest liquor manufacturers. They're basically trying to get a foothold into the Australian retail market and break the Coles/Woolworths duopoly.
Correct, AB purchased both. Then Asahi purchased CUB and boozebud was included in the deal. Will be interesting to see if asahi holds onto boozebud. A bit scary for independents if asahi hold onto boozebud with the brand's the company now controls.
They are burning cash and pretty much only looking at Dan's as their key competitor.
yet offer 5-15% off certain products plus all these welcoming credits
The 5-15% is just a 'sale' or 'promotion'. Dans/First choice have them all the time (take a look at the ebay sales).
The welcome credits come to ~$25 of $100 (depending on shipping, groupon vs ref code, etc). That's pretty cheap in terms of customer acquisition costs. Look at how much Uber/Ritual/HeyYou and some other companies offer - $20 off no min spend.
Just wondering if anyone actually knows, how do they get their prices pretty much inline with Dan Murphys
One of the live chat reps said they screen scrape other websites and automatically adjust their prices. Dan's does the same. A few months ago, they use to adjust their prices online when you sent a price match request, but that lead to a vicious cycle of discounting. Now they refund you the difference if you ask for a price match, but the list price remains the same.
All in all, their sign up bonus is okay, but their prices aren't that fabulous. If you google the prices for most items, you can normally find it cheaper at Nick's or GoodDrop.
nicks and good drop is pretty expesnive, ive yet to see anything thats cheaper at nicks than dans, except for clearance products,
I can only think of Glenfiddich 18 which is always cheaper than dans
nicks and good drop is pretty expesnive
I guess it depends on what you're drinking. I can see several whiskeys that are substantially cheaper at Nick's than Boozebud. My point was it doesn't take too much effort to find a site cheaper than boozebud for most things. Of course, there's exceptions like the longmorn deal a few days ago.
have you got any examples, that are cheaper at nicks?
im genuinely curious
@Samsungnote10: I just checked a few whiskeys that I like:
Aberlour 10 $70 (nicks) vs $99 (bb)
Ardbeg 10 $83 (nicks) vs $90 (bb)
Port Charlotte 10 $100 vs $115 (bb)
Lagavaulin 8 $90 vs $93 - Although lagavaulin 16 is cheaper at boozebud
Laphroaig 10 $80 vs $93 (bb) - all the Laphroaig's are on sale at Nicks at the moment and some of the price differences are more egregious.
It would ship from a warehouse, so no retail space or retail staff. Large volumes and owner with deep pockets.
The concept is pretty simple, they don't have to pay as many staff to run and stock stores, or rent/buying of buildings that the stores occupy. Instead they pass the savings on to the customer by offering cheaper stuff, where the problem can lie is delivery fees but i think if you spend over a certain amount it's free. The welcoming discount is just to get their brand out there. I love them and often use them, unless I need alcohol straight away.