5 Simple Truth About Cement Business - Business (2)

5 Simple Truth About Cement Business - Business (2) - Nairaland

Nairaland Forum › Nairaland General › Business › 5 Simple Truth About Cement Business (56965 Views)

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Re: 5 Simple Truth About Cement Business by Sammyashol(m): 9:04pm On Jul 06, 2016

I WANT MY DAD WHO IS OLD AGE TO DO THIS BUSINESS... WILL THIS BE OKAY FOR HIM AS AN ADULT

1 Like 1 Share

Re: 5 Simple Truth About Cement Business by DimFemmy(m): 9:04pm On Jul 06, 2016

mytime24:
can i drink it like ijebu garri

yea..u can as well drink it like lucozade boost.

9 Likes 1 Share

Re: 5 Simple Truth About Cement Business by ChiSun27(m): 9:05pm On Jul 06, 2016

Does it mean cement business is waste of time in Nigeria?

With the above analysis....I can't see any profit in venturing into it.

Re: 5 Simple Truth About Cement Business by Kenmatt(m): 9:06pm On Jul 06, 2016

If you are honest and your turn over is high, the distributor can even be giving you goods on credit or u pay in as low as u can and he or she can be supplying it to you.

This is also obtainable because he or she wants to be pushing out many number of trucks so as to pump up his or her monthly commission.

It can only take effect after you guys must have had a cordial relationship and he or she trusts you.

Most of my pals are into it, the profit depends on your turnover.

But there is a BIG question, what has happened to IBETO Cememt?

2 Likes

Re: 5 Simple Truth About Cement Business by Mekzyzeus(m): 9:09pm On Jul 06, 2016

mytime24:
can i drink it like ijebu garri

No!! You can use the cement bag as a tampon cool

Re: 5 Simple Truth About Cement Business by KnowMore: 9:09pm On Jul 06, 2016

nice business

Re: 5 Simple Truth About Cement Business by Fedric(m): 9:10pm On Jul 06, 2016

Titto93:
currently, The company sell to distributors @ #1,300,000

distributors sell to retailers @ #1,330,000 for 900bags, including transportation (you can do the maths now)

Retailers sell to consumers @ #1,600 per
bag

Note: Distributors makeup their profit at the end of the month, after calculating the number of trailers they sell for the month

lie the company that i work for bought theirs #1,430:00 cement is now expensive, final consumer buy it at the rate of #1,550:00. thought u said u are a distributor

2 Likes

Re: 5 Simple Truth About Cement Business by sonofthewind: 9:17pm On Jul 06, 2016

lukecent:
How do one become a distributor?

Re: 5 Simple Truth About Cement Business by ojialo(m): 9:25pm On Jul 06, 2016

Titto93:
currently, The company sell to distributors @ #1,300,000

distributors sell to retailers @ #1,330,000 for 900bags, including transportation (you can do the maths now)

Retailers sell to consumers @ #1,600 per
bag

Note: *Distributors makeup their profit at the end of the month, after calculating the number of trailers they sell for the month*

no wonder their trailers kill people anyhow in other to meet up with the monthly target

3 Likes

Re: 5 Simple Truth About Cement Business by dennisworld1(m): 9:25pm On Jul 06, 2016

Titto93:
it's called re-bag... That's the work of retailers in their quest for more profit.

them dey craze ni

Re: 5 Simple Truth About Cement Business by Theoflux(m): 9:26pm On Jul 06, 2016

Titto93:
it's called re-bag... That's the work of retailers in their quest for more profit.

Mtcheew... my own business be sey I go build house. Dangote just prepare 3 trailers of cement wait me.

Re: 5 Simple Truth About Cement Business by alizma: 9:28pm On Jul 06, 2016

Tunami:
so how much do they sell @factory and how can a distributor sell more cheaper than factory please explain.

the guy is right about distributors SOMETIMES selling cheaper. he stated their reason for that which is 100% correct. I worked in a company not dealing in cement but we were dealer(distributor) and we were being paid based on our ability to meet our target and as a result of this. we sometimes(especially towards d end of the month) sold below stipulated price just to meet the target and get our commission in full.

Re: 5 Simple Truth About Cement Business by nkemdi89(f): 9:30pm On Jul 06, 2016

Discouraging truth, for those who want to go into cement business let me tell you the truth.
1 you can start with as low as fifty bags.
2 you may not necessarily need a shop just get pallets and trampoline.
3 get a supplier who buy directly from the company.
4 situate your business in areas havin g lot of construction works.
5 watch out for competitors especially in lagos as an average yoruba seller consider good customer relationship than profit, they can sell a bag for little profit.
6 mobility is very important, wheel barrow or van as most customers put the bulk of responsibility in supplying the goods on the traders.
7 don't involve yourself in cheating customers by reducing a sand bag to refil.
8 sell more than one product as bricklayers consider some good for plastering while some for moulding.
9 have more than one supplier as alhaji or baba rasheed may disappoint you.
10 reach out to builders, contractors and politicians for marketing.

7 Likes 2 Shares

Re: 5 Simple Truth About Cement Business by dennisworld1(m): 9:32pm On Jul 06, 2016

if like i am building a house wants to order for 300bag direct. Who will i meet

Re: 5 Simple Truth About Cement Business by ojialo(m): 9:34pm On Jul 06, 2016

mytime24:
can i drink it like ijebu garri

lol u don kolo finish

Re: 5 Simple Truth About Cement Business by Nobody: 9:35pm On Jul 06, 2016

Titto93:
currently, The company sell to distributors @ #1,300,000

distributors sell to retailers @ #1,330,000 for 900bags, including transportation (you can do the maths now)

Retailers sell to consumers @ #1,600 per
bag

Note: Distributors makeup their profit at the end of the month, after calculating the number of trailers they sell for the month

so the gain for reteilers is = 122 per bag of 900. total=109800.

distributors is 3000#

not bad sha!

Re: 5 Simple Truth About Cement Business by Nobody: 9:35pm On Jul 06, 2016

Nice one, but please can we talk about the standardization here so that people will become aware of what they are really buying especially now that houses are collapsing like no man's land.

Dear distributor have you ever bothered carrying out sample test on your own to confirm the exact product that puts food on your table so that you can proudly live for it any day any time or we are just after the money we make out of it.

I believe that Nigeria will change for better one day with the likes of Dr. Dora Akunyili of blessed memory and some one if not many will be held responsible for services rendered to unsuspecting masses.

Nigerian youths, please stand up for your rights now else there will be no place to call home in the near future. Be wise!

3 Likes

Re: 5 Simple Truth About Cement Business by Titto93(op): 9:36pm On Jul 06, 2016

Fedric:
lie the company that i work for bought theirs #1,430:00 cement is now expensive, final consumer buy it at the rate of #1,550:00. thought u said u are a distributor

#1,430 × 900 bags = 1,287,000

So what's the difference with my above quotation when cement price is unstable...
my emphasis is on those who deceive the public that you can get cement at #1,150

4 Likes

Re: 5 Simple Truth About Cement Business by Jethrolite(m): 9:42pm On Jul 06, 2016

ednut1:
Dangote is a bad ass man. He sells a truck of cement higher dan the selling price. You then apply for rebate after selling it. E.g u buy at 1.2m. U sell it 1m. Then u apply for lik 250k in rebate later

Please explain further.

Re: 5 Simple Truth About Cement Business by oladele239(m): 9:43pm On Jul 06, 2016

mytime24:
can i drink it like ijebu garri

y not! U can even sip it with straw like kunu

Re: 5 Simple Truth About Cement Business by Titto93(op): 9:44pm On Jul 06, 2016

Sammyashol:
I WANT MY DAD WHO IS OLD AGE TO DO THIS BUSINESS... WILL THIS BE OKAY FOR HIM AS AN ADULT

If you get shop in a good site or along the road... you have enough capital (like 1.5million - 2 million)... you're known by your neighborhood
Then, you're good to go

Re: 5 Simple Truth About Cement Business by lakaplonto: 9:44pm On Jul 06, 2016

On what basis can a distributor sell below company price. I need some mathematical or theoritical explanation. I really need to understand the rational behind this.

Re: 5 Simple Truth About Cement Business by Nobody: 9:45pm On Jul 06, 2016

mytime24:
can i drink it like ijebu garri

yes u can drink it with sugar and kuli kuli!

Re: 5 Simple Truth About Cement Business by ijeshaboy: 9:45pm On Jul 06, 2016

Fedric:
lie the company that i work for bought theirs #1,430:00 cement is now expensive, final consumer buy it at the rate of #1,550:00. thought u said u are a distributor

I bought 50 bags at the rate of 1550 per bag lastwk thursday

Re: 5 Simple Truth About Cement Business by Titto93(op): 9:46pm On Jul 06, 2016

ChiSun27:
Does it mean cement business is waste of time in Nigeria?

With the above analysis....I can't see any profit in venturing into it.

As a beginner, you need to start as a retailer to gain ground and enough customers before thinking of distributorship

1 Like

Re: 5 Simple Truth About Cement Business by manny4life(m): 9:51pm On Jul 06, 2016

Titto93:
If you get shop in a good site or along the road... you have enough capital (like 1.5million - 2 million)... you're known by your neighborhood
Then, you're good to go

But you said you can NEVER buy one trailer of 900 bags from Dangote? If this is the case, 1.5 million isn't enough, or is it?

Re: 5 Simple Truth About Cement Business by lakaplonto: 9:52pm On Jul 06, 2016

lakaplonto:
On what basis can a distributor sell below company price. I need some mathematical or theoritical explanation. I really need to understand the rational behind this.

pls I need expaination

Re: 5 Simple Truth About Cement Business by Titto93(op): 9:56pm On Jul 06, 2016

lakaplonto:
On what basis can a distributor sell below company price. I need some mathematical or theoritical explanation. I really need to understand the rational behind this.

* The company sets monthly target for distributors.
*Once you reach your target your commission is guaranteed
*Thus, distributors sometimes reduce certain amount esp. towards the month end to ensure they reach their target in order to benefit in the commission

1 Like

Re: 5 Simple Truth About Cement Business by Titto93(op): 9:58pm On Jul 06, 2016

manny4life:
But you said you can NEVER buy one trailer of 900 bags from Dangote? If this is the case, 1.5 million isn't enough, or is it?

Distributors can't buy just one trailer from the factory but retailers can buy one trailer from distributors

Re: 5 Simple Truth About Cement Business by Nobody: 9:59pm On Jul 06, 2016

Tunami:
so how much do they sell @factory and how can a distributor sell more cheaper than factory please explain.

D may sale cheaper so that pple will buy through them than going to the factory. Thats d policy of most coys that are into production.
This will also make d product reach consumers in any location.
Most companys dont even sale to consumers but those that sale to consumers, sale at higher price so that ppl will patronise their distributors all over d country

2 Likes

Re: 5 Simple Truth About Cement Business by Flameneo(m): 10:08pm On Jul 06, 2016*

Be careful of the dealer you deal with because there is what is known as Rebag.

1 Like

Re: 5 Simple Truth About Cement Business by YOLO1(m): 10:20pm On Jul 06, 2016

ojialo:
no wonder their trailers kill people anyhow in other to meet up with the monthly target

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