Whether it’s a necessity or a splurge item, before your next shopping trip take a minute to think about the markup that some items have. It’s another reason to lean on generic to save money…those items still have a mark-up, but not nearly as large as the name brands.
• Razor blades. They cost as little as 10 cents to make but consumers are charged up to $4 a piece.
• Bottled water. For the price of a single bottle of Evian bottled water, you could pay for 1,000 gallons of municipal tap water.
• Wine in restaurants. The average retail markup on a bottle of wine in a restaurant is 300 percent.
• Diamonds. Retailers mark up diamonds between 50 and 200 percent, and 100 to 400 percent for gold.
• Wedding dresses. They retail for at least 100 percent more than the wholesale price.
• Coffee shop coffee. Why pay $3 to $5 for a cup at Starbucks when it costs between 25 and 50 cents at home?
• Eyeglasses. Some opticians charge 1,000 percent over wholesale for designer frames.
• Popcorn. When a consumer has no other option, he’ll pay the 1300% markup on a large tub of theater popcorn.
• Jeans. Everyone owns at least a few pair. A $29 pair of jeans from Kohl’s still has a 120 percent markup from wholesale.
• French fries at restaurants. A 30 cent potato can bring in about $1.75 for a restaurant.