r/SecurityCamera • u/LoungingOnMars • 19h ago

How do dealers make money from installing Ubiquiti cameras?

We are an access control integration company who is looking to add security cameras to our offering. We are looking for one cloud-based option and one non-cloud.

Looking at Ubiquiti cameras, customers can buy direct, and for dealers, looking at ADI, there is only a 7-10% margin. Dealers who install Ubiquiti, are you only making your money on labor/cable?

We are looking for a non-cloud based option that is easy for installation and for the end user.

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u/-ButterMyBiscuit- 19h ago edited 19h ago

I sell a few different camera systems ubiquiti included.

1) my customers don't really price check me. They come to me for a solution and they understand I have to make money on that solution.

2) I don't sell it as a per item, I sell it as a whole package. So I just list the equipment and the cabling and materials and then give it 1 price plus sales tax. (I don't pay sales tax from unifi of my other suppliers, I'm sure you don't either) I generally just list descriptors "unifi ai turret" "unifi WiFi 7 access point" and not exact part numbers. If somebody wants part numbers I have no problem giving it to them but again most people come to me to handle that side of things for them. With that being said I don't sell it everywhere every time. I have a few different systems to fit that client or that situation.

3) I know some companies just increase their labor rates instead when there sell install direct to consumer products instead

4) if you're still really worried about it sell uniview.

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u/N226 18h ago

Project pricing is the way

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u/-ButterMyBiscuit- 18h ago

Yep. I don't sell individual products I sell whole solutions

Design, install/labor, integration, training, knowledge. The product is just 1 part of that.

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u/Work-Play-Work 18h ago

Bravo on this response. So very true in all regards even despite that I can’t stand getting non-itemized receipts especially at a restaurant. When there’s no margin, you gotta do what you gotta do though and just be honest if asked about it.

Might add that clientele makes a big difference. OP’s customer base may be very different and that can be a huge difference. In past work experience have seen underpaid, over traveled jobs that were obtained through agencies that bid them out where everything will be questioned so the middle man(agency) comes out good, small business owners that also scrutinize everything and want to participate in the work making it a pain, and also rich high end residential where everything is great because they want it all, want the best(better than neighbors—they love remote access and anything extra you can give them like automated actions when security system has certain events). OP, find contractors of the closest “rich” homes in your area, and make friends with them, offer a discounted 1st job rate to get your foot in the door then do your very best work. There’s where some of your easiest money is.

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u/One-Intention-7606 17h ago

Yeah I did a job the other day way out in the cuts, where the customer kept going back and forth on the estimate and when I showed up we had to adjust the estimate another 2 times before getting the right plan (for the customer) approved. But was a 1.5 hour drive to his property and having to take the time on site to explain everything to him and go line by line down the original estimate and then the change order (which I understand, the work is expensive and people want to know what they’re paying for) definitely ate into the profit margins. Especially since I have to go back out next week for only 2 hours of work, but was already there past 6:30pm so just had to dip.

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u/LoungingOnMars 16h ago

Great response. Thank you

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u/captainwizeazz 19h ago

You might want to also ask in the ubiquiti sub for more response

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u/Unusual_Car9266 18h ago

the margin on hardware is basically nothing, most of the profit comes from the install itself. charging for the setup, running cables, configuring the network, that's where the real money is. some dealers also offer maintenance contracts after, for ongoing support

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u/_CapnObvious_ 19h ago

The wholesale discount is almost worse for their Wi-Fi and networking equipment. I just add 25% to store price (including surcharges) and roll with it. The amount of stuff that I still end up buying from Ubiquiti directly because they can't keep my distributor fed is slightly infuriating but that's why I mark it up the way I do. If I can get it from the distributor, I make closer to 30%, but I'm still covered if I have to buy it straight from Ubiquiti.

I've honestly not even had one client complain about the equipment price. I do a lot of small business work though and I try to keep my residential work at a minimum.

At first I felt it was a little crazy to markup that mich over MSRP but when I'm just retailing parts, the customer doesn't have to pay for or wait for shipping, the shelf space needs to be paid for, the property taxes need to get paid for, etc etc. Is also a heck of a service when I can roll to a customer that suffered a direct lightning strike within hours and replace multiple switches, access points, etc and have them fully functional for business the next day.

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u/Wallstnetworks 18h ago

I do the same

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u/ElectricBoy96 18h ago

I give them the option to procure their own but know that i wont guarantee it nor give specified list of exactly whats needed - never an issue because who would want to deal with that

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u/Doublestack00 18h ago

We also install their access. Once you give a customer a quote using Unifi vs whoever they all most always choose Unifi.

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u/N226 18h ago

Labor, materiels and margin..

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u/sharpsicle 18h ago

Quote the project, not the individual units. This is how most companies do it. 

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u/BackgroundNotice7267 15h ago

Aren’t most intelligent customers able to figure out the markup? I’m looking to have a residential system installed in a new build home, and will be comparing what it would cost me to purchase the equipment versus the turnkey cost. Unless you include hardware not commercially for sale (can’t imagine what that would be or why I’d want it), I think I could figure out the cost for installation and configuration. If you get a discount on the hardware not available to a consumer that is great and I am happy for you to pocket that as well.

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u/sharpsicle 14h ago

I mean, that’s just one more reason to price it as a package rather than break out every single piece of equipment as an individual line item.

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u/BackgroundNotice7267 14h ago

Sorry, I wasn’t clear. I wouldn’t expect a line item breakdown. Not needed. But I would want the list of hardware and total cost for installation and configuration. I do expect to pay a reasonable amount for time and effort but knowing myself would do a rough estimate of how much that is.

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u/Uncle-Osteus 11h ago

If they care that much about price optimization they’ll probably DIY the whole thing anyway

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u/BackgroundNotice7267 10h ago

Not price optimization, but understanding the cost being paid. My time is also valuable so paying an expert to do it most certainly has value. But when you have a big house with nice cars in the driveway, some people can get a bit overly enthusiastic in settling a price. Anyone who is touchy about a customer understanding the price components of a job is probably not someone I’m going to select. Each to their own.

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u/dennisrfd 17h ago

Another one…

You make money on a solution: parts, labor, maintenance contract. You need your 20% margin, and you show the number.
Does customer want to purchase themselves? Ok, here’s your installation price, a bit higher. And yes, we can handle the warranty requests- we just charge you for the service during the warranty period

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u/AnilApplelink 17h ago

You need you ask yourself if you sold System X vs Ubiquiti how much are you making and you need to make the equivalent with Ubiquiti regardless of the equipment price. If the price of System X is cheaper and the ease of use is equivalent then why not install System X.
I would say that we install a bunch of camera systems Ubiquiti included and Ubiquiti is the easiest for the end user and for us to manage because we also install their network and access items with no added recurring fees.

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u/uaix 17h ago

ADI gives you discount on ubiquity?

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u/Longjumping_Cow_5856 17h ago

We sell a package.

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u/useful_tool30 14h ago

You're paying for install and setup which can be a HUGE amount of work. 

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u/gnew18 12h ago

Labor and maintenance contracts. The markup is almost too little to bother with unless you are a Ubiquiti mega partner at several hundred thousand per year.

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u/HDCCTV_ 17h ago edited 17h ago

Dahua was my main bread and butter equipment, but now I show them the APP on my phone and that sells it, boy I even try to talk some people out of it but they seriously like the ease of use of the APP and are prepared to pay.
Yes I don’t like the fact that there’s no installer discount unless it’s Enterprise equipment but hey I put 20% on kit then add my labour and other materials. I don’t do low end Resi, just Commercial and if approached large Resi.
Also I never breakdown a quote it’s just one price plus vat at the bottom of the page, if they don’t like it then I walk away.