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Log sellers experience of last winter


gensetsteve
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I thought after selling logs for six years I would post my experience of last winter. It may help someone decide how to run their business. We have had a good and enjoyable time untill winter 2011. The winter did not really happen and our sales were down. We are just slightly more expensive than our local competitors at £130 for 1.5 cu metres tipped. Our logs are a mix of seasoned beech ash oak and sycamore now. Luckily logs are a side line to boost our income. I may have missed a trick and am open advice and views. We have a good advert which works a treat and we dont normally need to advertise but last winter we did. Most of our wood is bought in cord at around £40-£50 a tonne so if we drop our prices it wont be worth doing. My conclusion is if its a mild winter the cheap loads will last and business will be slow. If its cold and wood is short cash in and charge what you like. But last winter heating oil was 40% cheaper than 2010 so that did not help either. Logs are worth doing if you have arisings and time on your hands but the biomass market is pushing the price of cord through the roof because of their 50% subsidy. I have no idea how much we will do for this winter but I still have half the cord from last spring.

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I was busy last year so didn't get has much split and stored as I usually do and I pushed my prices up to £80 a cube. I didn't,t sell as much, but I cut out a lot of hassle buyers and I just had exactly the right amount to sell, I sold my last bag and have had no more calls.

 

Although I didn't sell as many as the previous year, I still made the same money, with less work so I,m happy. But again, as you say, you can only use firewood selling on the scale we sell it as a bonus

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I have sold similar amount to winter 2010, but thats with new customers added to the equation so overall I expected to sell more. Having said that, I have nearly got through my seasoned cord so probably could of done another 20-25 loads anyway.

 

I have only been doing logs 4 years but it is proving to be a very handy income as the farm work really slows down for the winter months. One thing I have noticed this year nmore then other years that most of my new customers are trying me for the first time as they have been stung with bad, unseasoned loads and although I am the most expensive in the area (only just mind you) they have been happy to pay for quality and for the seasoned hardwood I advertise. Seems that the couple of new suppliers this winter have shot themselves in the foot by supplying shite logs in their first winter.

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This aways happens.

 

A few years ago it happened with potatoes, there was a shortage and prices rocketed the following year every one planted spuds, the price fell through the floor.

 

happens every year, Oil Seed Rape prices were sky high last harvest, now everyone has upped there OSR acreage and now you see seas of yellow everywhere in the countryside!

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I thought after selling logs for six years I would post my experience of last winter. It may help someone decide how to run their business. We have had a good and enjoyable time untill winter 2011. The winter did not really happen and our sales were down. We are just slightly more expensive than our local competitors at £130 for 1.5 cu metres tipped. Our logs are a mix of seasoned beech ash oak and sycamore now. Luckily logs are a side line to boost our income. I may have missed a trick and am open advice and views. We have a good advert which works a treat and we dont normally need to advertise but last winter we did. Most of our wood is bought in cord at around £40-£50 a tonne so if we drop our prices it wont be worth doing. My conclusion is if its a mild winter the cheap loads will last and business will be slow. If its cold and wood is short cash in and charge what you like. But last winter heating oil was 40% cheaper than 2010 so that did not help either. Logs are worth doing if you have arisings and time on your hands but the biomass market is pushing the price of cord through the roof because of their 50% subsidy. I have no idea how much we will do for this winter but I still have half the cord from last spring.

 

:thumbup: Couldn't have said it better Steve. Sold more but expected far more! The customer isn't loyal will go for the cheapest price then creaps back. Lots of people doing logs taking more custom. Lets not forget we are in a double-dip which we all knew was on the cards and money is tight as well as a mild winter. I now sell my logs green with a 20% discount till august same as every year, I sold 16 cube in april! Where is everybody?

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I sell stoves, started doing a bit of firewood year before last, did maybe 20 cube. Last winter I did about 60 cube, mainly soft at 80 + VAT, bit of hard at 100 + VAT. All in cu m bags. This cord is locally sourced but I have had 80 tonnes of hard from Nick last autumn to process for late next winter or 2013/4.

 

Have about 30 cube of each left so that will go well into next winter. assuming the present monsoon ends sometime soon, I did 5 cu m this week.

 

All the arb guys locally are selling product cheapish, one at least is selling fresh felled ash as ready to burn!!. Their supply is though being limited by their customers having a queue of friends who want the timber, I only know of one who is a new set up who has a processer, looks like a big Hakki Pilke.

 

Selling the stove I have first crack usually at the wood supply if they have previously been using gas or oil.

 

A

 

A

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