Comments on: Editorial: Be Careful How You Handle Pricing

By: Dmitry Borisov

Dmitry Borisov — Thu, 03 Jun 2021 15:27:09 +0000

I don’t see anything wrong if customer gets the product at the fair price they are happy to pay. Raising prices for everything including labor, shipping, parts will put much more stress on you going forward than you realize. Better build some $$$ cushion now while you can. If customer is willing to pay the price you offer, then it will make both of your happier, You will have a sale and customer gets a product today from you, and not from the buddy who bought from you 1 hour ago at MAP.
Our respectful Chinese suppliers do no shy to charge us 25x (!!) on some products.

By: Al

Al — Tue, 01 Jun 2021 15:03:04 +0000

So if you cannot get new product you should sell what you have at what you always have been selling it for so your customers don’t get upset? What happens when you have no more product to sell at all can you call up your customers to help pay the bills?

You should adjust price based on market conditions also I think..

By: Dear Abby

Dear Abby — Tue, 01 Jun 2021 14:55:47 +0000

Supply and demand always happens in a crisis, always has, always will. It’s how you adjust and pivot to get you through the difficult times. Some places thrive, others find it hard to stay afloat, and some can’t handle the swings

By: Bill

Bill — Sat, 29 May 2021 01:45:05 +0000

In reply to Caveman. That $130 annually could also be used for personal items in his home, his wife can use it, includes Prime video, Whole Food discounts, etc. So it's not exactly fair to say he's paying $130 for dash kit shipping. He also mentioned eBay. So, point proven.

By: Caveman

Caveman — Fri, 28 May 2021 21:37:30 +0000

In reply to Marty Jones.

I get your point, and I do it as well, but let’s be clear, YOU are paying $130 annually for that “free” shipping.If it’s not bound and sold by Amazon itself you still may be paying shipping, if it comes from an Amazon Marketplace seller.

Honestly, I’ve been burned plenty of times by Amazon’s Prime 2-day free shipping. Does anyone actually file a claim with them if it takes 3 days?

By: Andy Whinemore

Andy Whinemore — Fri, 28 May 2021 16:17:28 +0000

Ray makes a good point here. You can also tell your customers the truth. That usually works well.

By: JLsounds

JLsounds — Fri, 28 May 2021 15:55:41 +0000

I agree with everything said in this article. However, our manufactures should not advertise MAP pricing on their sites, especially in times like this! MSRP is what should be posted and then we have the choice to sell at MAP. This has always been a frustration for me and many others with manufactures. More than ever, now is the time for that to stop.

By: Marty Jones

Marty Jones — Fri, 28 May 2021 15:40:53 +0000

It’s unethical to take advantage of the customers by raising the prices on audio products. We always match prices with Crutchfield and even show the customers that we match the internet prices ( Love Crutchfield by the way). But some companies do stab their dealers by allowing the sale of their products on the internet way less than when we buy it from them directly as dealers. For example, Metra electronics. I sometimes buy their products from ebay or Amazon way cheaper with free shipping and no minimum order to get free freight. So, how embarrassing to see a customer showing me a dash kit sold by Amazon for $25.00 (shipped free) and my cost as a dealer is $38.00 from Metra.

By: Ray Windsor

Ray Windsor — Fri, 28 May 2021 15:19:06 +0000

Mr. Retail does a good job of explaining price methodology in these “opportunistic” conditions. That said a brick & mortar specialty retailer should be (must be in my opinion) always thinking about his long term profitable relationship with his current and target customers. Consumers are NOT STUPID contrary to the belief of some retailers. They almost always figure out how they have been treated by a retailer, value of the experience/price ratio. If they perceive a high quality experience the price becomes less of a factor in their decision about what they say to OTHER CONSUMERS (your target customer).
FOCUS on the CUSTOMER’s TERRIFIC EXPERIENCE, charge a profitable BUT fair price (that means you gotta know your gross profit margin AND all of your operating costs) and YOUR CUSTOMERS will remain your customers and do the word of mouth evangelizing that is the life blood of the brick & mortar specialty retailer.

Ray Windsor