The Prices

[stevepoppers]

What motivates them? I know there's the whole supply-demand thing, but that's probably the simplest way of looking at economics that exists. I want to know what motivates any particular breeder to put any particular snake for sale at a certain price. Possible causes I see are:

-Supply-demand (definitely the biggest factor for a new morph)
-Cost to produce (often seems overlooked with low-end morphs)
-Kingsnake.com (ruining the industry?)
-Quality (health, feeding response, disposition, looks; Brian Gundy sells his "Gold Blush" normals for several hundred dollars)
-Temporary conditions (show prices, got-to-go sales, time of year)
-Age (older snakes cost more, but not enough more than hatchlings, it would seem, to offset the cost of raising it to that age)
-Breeding habits (sell off bad breeders for cheap, just to get them out of your hands)
-Reputation (people will pay more to deal with big names, though they often have the most interesting stuff)
-Anything else?

So, say cost to produce: Why is it so often overlooked? A big deal in this seems to be that nobody can turn much of a profit without either being big-time (debatable) or hitting it big with a new morph. Perhaps this problem wouldn't exist if breeders stopped competing directly with imports and petshops?

I know squat about economics, and I know not everyone's out to make a profit, but why shouldn't you at least get what you put into it? Whenever someone talks about making money off this, people say "You'll never turn a profit" or "It's near impossible to turn a profit" or "It'll be forever before you even break even" (<---most reasonable, and true with any business). Prices change altitude like a butterfly, and often just drop like stones. I'm just asking, "Why does it have to be this way, and why can so few people at least make up the cost of housing and feeding enough to produce a few hatchlings with those hatchlings?" If Brian Gundy can sell normals for a few hundred dollars, then why can't I if I think they're just as good looking, healthy, and cost me as much?

[dswinton123]

you couldnt have said it better i feel the same way it scares me to know this me being a newbie to the ball python world i have 5 snakes now and what if i cant get rid of the animals i produce i wanna keep a few out of each clutch but not all of them

[anatess]

If Brian Gundy can sell normals for a few hundred dollars, then why can't I if I think they're just as good looking, healthy, and cost me as much?

You can if you find a buyer willing to buy it.

That's the ONLY factor (outside of Local/State/Federal regulations).

So, in the world of economics (in a free market economy, regulated or otherwise), as a seller, your profitability solely depends on whether you can find a buyer. There are several "parameters" you can use to attract that buyer in the face of competition - Quality, Price, Reputation, Creative Marketing.

But, even after you perfect those parameters, you still have to watch for market saturation. Because, it doesn't matter how good a quality, how low a price, how stellar your reputation, and how creative your marketing is - when there are only 5 buyers for 500 snakes, the market is too saturated especially if you're a newcomer. Brian Gundy can sell wild types for over a hundred dollars because in a market of 5 buyers and 500 snakes, his reputation is such that he can sell 400 of those snakes to 4 of those buyers.

These parameters can be calculated using probability statistics to determine cost versus profitability. Most big companies and venture capitalists have to do this before they invest a good amount of money. For the relatively small businesses like reptile breeders - let's take Brian Gundy, for example - they know the product and the market so well that these calculations are instinctive.

[SERPENT_MASTERS]

GREAT POINT ANATESS........................

Brian Gundy can sell wild types for over a hundred dollars because in a market of 5 buyers and 500 snakes, his reputation is such that he can sell 400 of those snakes to 4 of those buyers.

[stevepoppers]

Ok. So that explains why Brian Gundy can make what he does on his normals (no offense to them, it's just easier to say than "wild-types", but I know where you're coming from with that). But what about everyone else who undercuts their own expenses to get the snakes out the door? Is it because it this buyer's market, the lowest seller set the price for everyone else? It just doesn't make sense, especially since pet stores can sell normals for so much. (I bought mine for $150 before I got into this fo' realz). If pet stores can sell for so much, why don't breeders? Granted, pet stores are often selling to uneducated or unaware customers; a "sucker" situation, if you will.

Could I not say to a potential buyer, "This is what it cost me to make this snake for you. This is what it's worth. Here's why"? It just makes no economical sense to me to sell for so much less than it's worth.