Have you ever wondered to yourself, why has the price of this or that product took a big price hike? Why has the price of a simple balloon took such a dramatic jump?
I will get on my soap box and explain the price increase that is taking place now and in the future for the balloon industry.
A little background information first. Last September (2012) I was talking to my Helium supplier and he told me, “Charlie, I have been notified that there will be three (3) price increases for Helium in the year 2013. One in March or April, the second will be in June or July and the final one for the year will be in September or October.”
My statement was how does the Helium industry know when, where and how the price of a product will be increased. Certainly not by supply and demand, do they have a futuristic magic ball that can predict natural events like a tornado, flood or equipment failure. The answer is “NO”, it is purely simple “GREED”, “GOUGE” the customer till it hurts and then add another price increase.
Now when Helium was managed by the Federal Government the availability and price of Helium was stable. Since the privatization of Helium it has been anything but. Major shortages and price increases all the time.
This spring was the re-authorization of the Helium Act. The balloon industry, party stores and balloon manufactures were encouraged to write, call and email their Congressman and Senators to re-authorize this bill.
Without the re-authorization we were threatened that there would be no Helium for our industry. Can you imagine a little child not knowing what a Helium balloon is? What would a Birthday party be without balloons? How would you decorate a wedding or a Bar/Bat Mitzvah without balloons? Would you notice there isn’t a balloon arch at your favorite charity walk/run?
To make sure we in the industry understood the Helium industry meant business, they created a fake shortage right around Graduation time. This was to show us what it would be like to be without Helium. Naturally we had to turn customers away and our profits fell like a shooting star.
Well folks, we did what the Helium industry asked or threatened us with, and we called, wrote and emailed are elected officials. The re-authorization act was passed.
Did we get a letter or acknowledgment for our support? The answer is “NO”, we got another price increase instead. That is a total price increase of 65 per cent for me, others took a full 100 per cent increase in one year. One year, 65 per cent, that is plain and simple greed or price gouging in my opinion.
For you my customer, you now know why the price of a balloon and balloon decorating has jumped through the roof. If we are to stay in business, we have to pass these costs on to you. I feel your pain
I can hardly wait till September to see what and how much the Helium industry is going to gouge us again and the reasons they use this time.
PS. I dare the Helium industry to tell me I am wrong about their price gouging methods. When is enough profits, enough for the Helium Industry.