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Trophy Fees in 2008
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I'm curious about trophy fees for 2008. How do you professionals handle that. Are all prices quoted now (2006) guaranteed for 2008? I'm not interested in booking hunts two years out with any financial terms open-ended.

I guess my worst nightmare would be to book a hunt, then six months prior to leaving get an update that my trophy fees just bumped-up 50%, due to factors "beyond my control". If you raise your prices, do you offer full refunds of deposits? What "out" do you give your customers? What's the norm?
 
Posts: 13919 | Location: Texas | Registered: 10 May 2002Reply With Quote
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Kensco,
I think you will find that most outfitters will have a clause that states that all rates are subject to change particularly when Gov charges go up on short notice. Most trophy fees are made up of Gov fees only or Gov fees + an anti-poaching contribution.

I would immagine that any fee in direct control of the outfitter would stay the same once an agreement has been signed and a deposit paid. However, if Gov fees go up, then they pass these on to the client unless its minimal in which case they may absorb it. A smart outfitter would not want/need to nickel & dime a client already booked with him


"...Them, they were Giants!"
J.A. Hunter describing the early explorers and settlers of East Africa

hunting is not about the killing but about the chase of the hunt.... Ortega Y Gasset
 
Posts: 3035 | Location: Tanzania - The Land of Plenty | Registered: 19 September 2003Reply With Quote
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Kensco

WE normally (work on the principle) that if a client books a hunt say in 2007 then if we get the deposit prior to the end of December 2006 then we HOLD the 2006 prices as quoted over to 2007 even if there is a 2007 price increase in the interum.

We dont normally book two or more years in advance BUT if we do, then we would first discuss some (amicable agreement) and (document it clearly) in the binding contract

Cheers, Peter
 
Posts: 3331 | Location: New Zealand | Registered: 27 February 2001Reply With Quote
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Picture of Jaco Human
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Calculating day fees 2 years in advance can be a tricky story.

What are all involved in day fees.

Price of renting the camp the camp and/or cost to set up the camp

Price of fuel. We have seen a price change of 23% in two months in RSA.

Cost of workers.

Cost of food and drinks.( the goverment hits us every year with higher sin tax on alcoholic beverages)

Inflation

Exchange rate. Fluctuations of 27% were seen this year in the $/R exchange rate.

There are more than one route to follow. One can take the your current prices and add to that the expected inlation, take an educated guess of what will happen to the exchange rate and work out a price.

The other option is to quote your current prices and give the client your view of expected inflation and exchenge rates. You agree to fix the price closer to the time the hunter will arrive.

By giving a fixed rate 2 years in advance one of the parties surely stand a chance of loosing out. Things like petrol price, exchange rates, goverment fees and labour costs cannot easily be linked to inflation.

Cost of goverment licences and permits can change overnight, we have seen it happen in the Limpopo province.

Cost of trophies can change dramatically from year to year. Some prices dropped a lot while others went up.

There are to many unknown factors to give out fixed prices so far in advance.

Any reputeable outfitter will explain to the client how his prices were calculated and will be able to explain the increase in price. If there was a decrease, it will also be passed on to the client.

If too many gaurentees must be build into the price, you might end up paying a lot more. I guess it is up to the individual to decide on what basis he wants to book.


Life is how you spend the time between hunting trips.

Through Responsible Sustainable hunting we serve Conservation.
Outfitter permit no. Limpopo ZA/LP/73984
PH permit no. Limpopo ZA/LP/81197
Jaco Human
SA Hunting Experience

jacohu@mweb.co.za
www.sahuntexp.com
 
Posts: 1250 | Location: Centurion and Limpopo RSA | Registered: 02 October 2003Reply With Quote
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All the above makes sense.
 
Posts: 13919 | Location: Texas | Registered: 10 May 2002Reply With Quote
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I just was looking at outfit's price list for 2006,07, and 08. Doesn't look like much except we want more down the road period!
 
Posts: 5338 | Location: Bedford, Pa. USA | Registered: 23 February 2002Reply With Quote
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As Bwanamich has suggested, for advance bookings, even two years ahead of time, the fees and costs set by and payable to the outfitter should be fixed at the rates payable at the time of the booking.

The outfitter trades the certainty of an advance booking, which is secured by a hefty deposit, for the incremental mark-up he would otherwise receive as a result of normal price inflation.

The hunter, by putting up that hefty deposit, and losing the use of his deposit money for a couple of years, benefits by locking in such fees and costs at the rates payable when the booking is made.

On the other hand, other fees and costs - including, in places like Tanzania, trophy and conservation fees - to the extent that they are essentially "pass-throughs" payable to governmental or quasi-governmental authorities, are beyond the outfitter's control, and should float.


Mike

Wilderness is my cathedral, and hunting is my prayer.
 
Posts: 13757 | Location: New England | Registered: 06 June 2003Reply With Quote
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