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spencer

dealer prices

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I'm after a new custom stiletto, some dealers have come back with the RRP from PD, what dealers then sell them for is up to them, customer service, then comes into effect, anyone out there know of a good deal on a custom stiletto??. I nmever pay the RRP for anything

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Dude, this is pathetic. If you want to score a deal and eliminate the 10% profit a dealer might make from the sale of a Stiletto, you really should do your own foot work and get on the phone to dealers.
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You're not as good as you think you are. Seriously.

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well Mr JP. whoever you are, whats wrong with shopping around for a deal, a simple answer to a simple question is all I needed. I don't see anything pathetic about that. " by the amount of posts you have on this sight you should maybe spend less time on your pc and get a life.

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I'm after a new custom stiletto, some dealers have come back with the RRP from PD, what dealers then sell them for is up to them, customer service, then comes into effect, anyone out there know of a good deal on a custom stiletto??. I never pay the RRP for anything

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A note to any dealers reading this - putting "Call me" as a price on your ads or websites is not effective in getting a person like me to call. I like to have a sense of prices before I call you up with lots of questions about the product and alternatives and if I like what I hear, I make the order. I don't like to waste a vendor's time just to hear it's selling for list and blow you off.

So I start with known prices and known vendors. Otherwise I get that feeling I'm at a gym where membership fees vary more than they do at the used car lot.

Added the relevent point - I ended up buying most of my rig from the vendor that I could see this information up front, to the detriment of the other DZs/dealers in the region. One even asked - why I went to that other person.

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There are several reasons a dealer might not advertise the price in thier ads and/or websites. For instance, some of the equipment may be imported, and the price varies with the exchange rate.

Another reason may be that there is an agreement between the dealer and the supplier that the only price that they may publish is the full-pop retail price. Some manufacturers (and not just skydiving gear-) set a "minimum advertised price" for thier merchandise. And they do check - I accidently posted an incorrect price on my website, and the manufacturer gave me a polite phone call a few days later asking me to correct it, which I promptly did.

Some dealers may use that to help weed out the tire-kickers from the more serious buyers, too. It doesn't always work that way, obviously.

I do offer discounts on some of the equipment I sell, espcially if you're buying in bulk or putting a complete system together, but you've got to get touch with me and talk about it.

Just my .02, I'm new in gear sales, and I've got alot to learn!

Easy Does It

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I'm aware of some of the valid reasons to do it - just pointing out there are some downsides when it comes to luring new customers.

Square1 and GravityGear are examples that for the most part show pricing. For someone like me, that puts them in the driver's seat. The ads in Parachutist lately showing package prices for container+primary+reserve are also good draws.

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On this note, what do you guys think about the price war from dealers?

You won't find anyone who sells anything at RRP unless the manufacturer make the dealer do so. The bigger stores sell more, get better discounts and can afford to sell for 5% or 10% profit at a lower price than most smaller dealers.
For those prices the customers cannot expect to get anything more than the item they paid for. Service has a cost; making $250 on a $5,000 system doesn't make any sense when you have to pay for your time, taxes, staff.

Furthermore it reduces the perceived value of the highly discounted items.

I think everybody would be better off paying a little more to get better service, better packages, more competition, etc.

Any thoughts?

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On this note, what do you guys think about the price war from dealers?



It's capitalism in action.

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Service has a cost; making $250 on a $5,000 system doesn't make any sense when you have to pay for your time, taxes, staff.



$250 is ludicrous for even an hour of labor requiring very little specialized knowledge and training. My lawyer only gets $200/hour in exchange for 8 years schooling, passing the bar, and a couple decades of experience from practising law. My accountant who cuts my tax bill by thousands only gets $70/hour. My favorite rigger doesn't get $250 in labor for the hours it takes to build a custom jumpsuit.

Businesses have inventory costs, although this is not applicable to gear drop-shipped from the manufacturer.

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I think everybody would be better off paying a little more to get better service, better packages, more competition, etc.



Gear prices including rentals until your equipment shows up, canopy insurance, loaners while gear is in for maintenance, etc. are worth paying for.

A tailor's measurements may be worth $20.

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Unfortunately, small dealers don't make $250 per hour like you said. You can't really say they sell 1 full system every hour, 5 days a week, 4 weeks a month.
If the guy is lucky he will sell a couple of full system a month... now you divide those $500 per the numbers of hours he spent answering questions, doing is taxes, advancing the money for inventory, advertising, calling manufacturers, paying for the phone, his time and his computer. Now we can compare your dealer with your lawyer or your accountant.

And the reaon he has to sell for that cheap is to be able to compete with bigger companies. Like you said, it's capitalism in action. I don't say it's bad, but it doesn't seem good either.

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$250 is ludicrous for even an hour of labor requiring very little specialized knowledge and training. My lawyer only gets $200/hour in exchange for 8 years schooling, passing the bar, and a couple decades of experience from practising law. My accountant who cuts my tax bill by thousands only gets $70/hour. My favorite rigger doesn't get $250 in labor for the hours it takes to build a custom jumpsuit.



Not all manufacturers are created equal when it comes to coordinating orders. Some are squared away, and little time is required to get the order correct. Others require what accumulates to several hours worth of time just to get some basic questions answered. Not long ago, it took me over a month of phone calls and emails to get the status on a custom container. While not all manufacturers are this difficult to deal with, it is not an isolated case (or manufacturer). It isn't accurate to consider the profit the result of an hour of work. Selling skydiving gear is only easy work if you don't have to do it.

Businesses have inventory costs, although this is not applicable to gear drop-shipped from the manufacturer.
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Some manufacturers charge for drop shipments (shipping directly to the end customer instead of to the dealer from whom the gear was ordered). This adds costs to the dealer even though it doesn't contribute to "inventory costs."

Just my $.02. :)

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$250 is ludicrous for even an hour of labor requiring very little specialized knowledge and training.



You have absolutly no concept of what it takes to be in the gear business nor the types of customers that contact you. The customer that not only knows EXACTLY what they want, but what they NEED, or are QUALIFIED for, is one in 100. Everyone else needs help.

On the average complete package deal I spent 10 to 12 e-mails, or phone calls, and 4 to 6 man hours just getting the rig ordered, not to mention follow up, assembly, and shipping.
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You're not as good as you think you are. Seriously.

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I'm after a new custom stiletto, some dealers have come back with the RRP from PD, what dealers then sell them for is up to them, customer service, then comes into effect, anyone out there know of a good deal on a custom stiletto??. I nmever pay the RRP for anything



I'd love to see you shop in a department store or other retail outlet after telling the cashier you don't pay RRP for anything.

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$250 is ludicrous for even an hour of labor requiring very little specialized knowledge and training.



You have absolutly no concept of what it takes to be in the gear business nor the types of customers that contact you. The customer that not only knows EXACTLY what they want, but what they NEED, or are QUALIFIED for, is one in 100. Everyone else needs help.

On the average complete package deal I spent 10 to 12 e-mails, or phone calls, and 4 to 6 man hours just getting the rig ordered, not to mention follow up, assembly, and shipping.



You hit the nail right on the head - I average about one complete system a month. I quote about 10 to 25 a month or more. But I really don't mind the work, it's fun, and I'm getting to know lots of new people, and most of all I'm learning a hell of alot.

Easy Does It

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