Funeral Director Tells All About Industry..

[VolAgent]

Well your mark up is 200% per the rant so I'd like to think you'd do some discounting.



I'm just kidding btw

Of course, what always fails to get mentioned in anything like this:

Rent, payroll, taxes, utilities, non-billed supplies, professional fees, etc.

 

[FEproducerKen]

Of course, what always fails to get mentioned in anything like this:

Rent, payroll, taxes, utilities, non-billed supplies, professional fees, etc.

You are correct. In many cases it costs the Funeral Home $3,500+ just to provide a basic funeral.

A good example as a comparison is when an optometrist sells a pair of contact lenses, it may surprise many to know that the cost of manufacturing those is a few cents in costs. It's the education, costs of operation, staff, etc that the customer pays for.

 

[VolAgent]

You are correct. In many cases it costs the Funeral Home $3,500+ just to provide a basic funeral.

A good example as a comparison is when an optometrist sells a pair of contact lenses, it may surprise many to know that the cost of manufacturing those is a few cents in costs. It's the education, costs of operation, staff, etc that the customer pays for.

Unless insurance is paying and bundles the exam and contacts/lens, there is absolutely no reason to buy from the optometrist.

I remember what made me finally go to Costco was the optometrist complaining they sell it cheaper than she can buy wholesale. Apparently her mark-up wasn't that much. I gather contact lenses are just another retail item. Not a lot of mark-up at each step, but lots of steps between manufacture and retail outlet.

 

[johndf]

I can't comment on specifics regarding his comments on how the Funeral Directors or sales associates handle the family and the mark-ups on the goods and services or for that matter what the hard costs are. However I do realize that everyone including Final Expense Agents are in business to make money and a Fair profit. The difference is in the greed. With that being said I do agree with his statement about SCI and Stewart merging. In the Southeast SCI controls 40% of the market without Stewart.

 

[jerryrut]

Wow, that is so much BS, I think the guy is trolling. I’ve heard that the corporate FH can be Sleeze bags when it comes to up selling grieving families but I suspect that is rare in locally owned mom and pops. As I’ve said, I’ve worked at a couple of FHs even meeting with families many times to help them with the arrangements and none of that ever happened. FHs make too much money to risk losing the golden goose. Yes, blood and excess embalming fluid does go down the drain but internal organs are not removed from the body, not in Mississippi. FHs are required by law to have a minimum inventory of caskets on display. FHs are monitored by state and feds and are subject to substantial fines for even minor offenses. I could go on and on about the BS in that post. It’s either a troll or somebody with an axe to grind. Sorry for the rant.

 

[jerryrut]

Corporate FHs don’t do well in rural areas, the local guys eat them alive.