Quote:
Originally Posted by magman
Where I live there are no competing hobby shops...only one. Their prices are so high the real rc enthusiasts in my area shop else where ( and the manager wonders why the rc part of the business is suffering ). Only the newbies are the ones that buy gear there. If they were willing to lower their prices a bit...more business, simple.
Just for kicks, I compared 3 products (Truck kits) from hobby shops, 5, not online and w/in 200 miles for me. I have one local and the nearest one is 50 miles away. My local hobby shop was an avg. of $85- to a high of $ 110- MORE for the same kit! So, your theory does have some credibility. Even with the 4 remaining shops the prices varied greatly.. One hobby shop had kits cheaper, only by a little, than anywhere on the web I'd seen. The manager of that shop told me that he could barely keep up with his demand. His shop supported 2 different rc brands. So, it goes back to the Market Basket theory of business...keep prices down, which keeps customers happy and coming back which is key..and make profits on sheer volume .
So if one company wants to sell for a bit less, his competition may be upset, but as a customer, he would have my business.
|
I personally go for volume sales but, I do not violate the M.A.P.s in the process. There is another shop about 20 miles away. They price everything at max retail. They don't get really high volumes and stuff is slow to sell over there. When it sells they make maximum profit on each one. I also feel that it's wrong to squeeze people for every dime.