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Say it aint so Shimano ... PART 2
david- Yes, but it is reasonable to preclude anyone from doing so?
I don't think that it is. To me, it's price fixing. I certainly don't expect a shop to sell at a loss, but I expect to get a decent price. BRBR You do get a 'decent' price when you pay MSRP, a price determined to be fair and based on the shop's expenses. CK isn't trying to tell people what to charge, they are just trying to protect their distribution. Charge $80 for a CK HS, just don't expect to be able to BUY any more. Peter Chisholm Vecchio's Bicicletteria 1833 Pearl St. Boulder, CO, 80302 (303)440-3535 http://www.vecchios.com "Ruote convenzionali costruite eccezionalmente bene" |
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#12
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Say it aint so Shimano ... PART 2
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#13
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Say it aint so Shimano ... PART 2
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#14
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Say it aint so Shimano ... PART 2
It is illegal for a manufacturer make retailers agree to sell their product
for a given price. It is not illegal for a manufacturer to make retailers agree to _advertise_ their product only at a given price. This means you won't be able to get catalogs and print ads with King headsets priced much lower than your local shop. Ever wonder why you see "call for lowest price"? (BTW, you can get King headsets without the "King" written all over the races. It takes a special order but I didn't have to wait more than a week for mine.) I also agree, there are other fine headsets that cost less than Kings, they're just harder to find in stock and they won't be anodized to match your bike. -Dion "Bill Davidson" wrote in message news:9Xh0b.9950$kP.379@fed1read03... Donald Gillies wrote: Chris King recently changed their pricing policy. They now require all dealers to consent in writing that Chris King products will be advertised at a price that Chris King believes riders should pay. The new, fixed retail price would be the same for all Chris King dealers and higher than what we currently charge. In a recent phone conversation a Chris King representative stated that if we did not sign the agreement they would no longer sell their products to us. They would also ban their distributors from selling to us. |
#15
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Say it aint so Shimano ... PART 2
Peter Chisholm wrote:
You do get a 'decent' price when you pay MSRP, a price determined to be fair and based on the shop's expenses. For many products, MSRPs are set somewhat above a typical selling price. It's a game, it's a way of making the usual selling price appear to be a discount, and thus seem like a better deal. CK isn't trying to tell people what to charge, The hell they aren't. they are just trying to protect their distribution. Charge $80 for a CK HS, just don't expect to be able to BUY any more. Tom Ace |
#16
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Say it aint so Shimano ... PART 2
Peter Chisholm wrote:
Why don't they just ask the higher price? Sounds like they are making a political statement, not a business one...particularly if they think it's such a fine piece of gear. Why not just use a 'normal' mark-up, not trying to devalue the product? Yes, it is a kind of political statement. Is there something wrong with having principles? Tom Ace |
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Say it aint so Shimano ... PART 2
On Tue, 19 Aug 2003 11:19:16 -0400, Alex Rodriguez
wrote: A well managed bike shop will have lower expenses than a poorly managed bike shop. Not at all true. Rentals in places like Santa Monica are astounding. Helen's is a wonderful shop and sells some stuff at above MSRP. That is true for components, clothing and bicycles. They do have specials and still compete effectively with Supergo, about 1 mile down the street. Supergo's prices at the shop are no bargain normally either and they don't meet their own catalog price either. Most of the people in the shop are quite knowledgeable and their serevice is fine. I heard 2 in conversation refer to Supergo customers as "bottom feeders" but I'd doubt that is the prevailing attitude of the management there. They may be the #1 or #2 Cannondale dealer in USA. They have good inventories of many items. |
#18
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Say it aint so Shimano ... PART 2
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#19
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Say it aint so Shimano ... PART 2
I wrote:
The quality shop has a right to make more margin on one item to support lower margins on other things, not to mention the costs inherent in carrying inventory in the shop, so we can all go in and drool over cool gear and things. Mike S. at mikeshaw2@coxDOTnet wrote on 8/19/03 1:03 PM: That's called Labor. Where do you think shops make their money? It certainly ain't on parts! Parts is Parts. Labor isn't what we're talking about here. The issue at hand is that another poster stated that maintaining MSRP's somehow subsidizes shops which aren't well run. Not all margins are the same. Sometimes a superior product like the Chris King headsets have a lower margin, while the "bread & butter" replacement stuff has a great margin. When the margin is below a certain level, there's no reason for a shop to stock something. For the manufacturer of a quality product, the issue is that they have to ask a retailer to stock their product, which might sit there for a bit longer than the $20 no-name brand version. Why is it in the retailer's interest to do so if they are only going to make 5% on something? It seems like CK is weeding out the guys who want to place the order with them _after_ they take the customer's money. They want to support their dealers who have the stuff in stock - and they realize that costs money for the dealer. -- Jim ps - please take a look at your newsreader quoting. it ain't. |
#20
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Say it aint so Shimano ... PART 2
It's price fixing. Why not let the market decide the what it will fetch.
I gave 100 for mine and didn't have an issue with it because of the reputation and the quality of the headset. They don't need to go to these tatics to set a price. As a shop, you've got your cost on the part, if CK wants to bring the price up for all bike shops, they need to increase what they charge for the part and let the bike shops decide on what sort of profit they make. Not make the shops sign an agreement to maintain a certain price. Mark Qui si parla Campagnolo wrote: from branford- We have used Chris King headsets for over twenty years with excellent results. Like Phil Wood bottom brackets, Chris King headsets spin smoother and last longer than anything else available BRBR etc... Chris King recently changed their pricing policy. They now require all dealers to consent in writing that Chris King products will be advertised at a price that Chris King believes riders should pay. The new, fixed retail price would be the same for all Chris King dealers and higher than what we currently charge. BRBR Why don't they just ask the higher price? Sounds like they are making a political statement, not a business one...particularly if they think it's such a fine piece of gear. Why not just use a 'normal' mark-up, not trying to devalue the product? You can CK hs from me, btw..'cutting off nose to spite face' comes to mind. Peter Chisholm Vecchio's Bicicletteria 1833 Pearl St. Boulder, CO, 80302 (303)440-3535 http://www.vecchios.com "Ruote convenzionali costruite eccezionalmente bene" -- Mark Wolfe http://www.wolfenet.org gpg fingerprint = 42B6 EFEB 5414 AA18 01B7 64AC EF46 F7E6 82F6 8C71 "Anyone attempting to generate random numbers by deterministic means is, of course, living in a state of sin." - John Von Neumann |
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