Impact of selling at BestBuy, Amazon, Audio Advisor and Music Direct, etc.

Mike

Mike

Audioshark
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What is the impact on a brand and their products selling at BestBuy, Amazon, Audio Advisor and Music Direct?

We saw the determinant to a premier product for PS Audio - their BHK Sig Monos. Amazon dumps products at cheaper and cheaper prices (even for a loss) until it moves. $15k amps selling for $5k. If I was Joe consumer (not our Joe) and paid $14k from my local retailer, I would be royally pissed seeing them on freaking Amazon for $5k. Amazon isn't going to give two sh!t's about what PS Audio thinks, their impact on their dealers and customers. They are the big bully in the room.

Does seeing McIntosh haphazardly setup at BestBuy jeopardize the brand?

What impact does it have on brand integrity? What impact on second hand sales (supply/demand)?

Of less importance to many of those here, what about the impact of the "buy in bulk for a discount" vs traditional B&M store?

Is this move by some manufacturers, short term gain and long term pain?


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I'd love to find out what the return rate is for McIntosh at those online retailers. I'm not comfortable doing that, free demo sort of, especially considering possible shipping damages. I'm pretty sure I'd want the piece in the first place, but it's nice to see you have an out.
 
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The exposure a brand gets from an outlet like the ones mentioned is significant. The trade-offs you have mentioned. There should be a happy medium.
 
Mike said:
Amazon dumps products at cheaper and cheaper prices (even for a loss) until it moves. $15k amps selling for $5k.
Click to expand...

Can you post a link ? I can only see the Stereo version listed for $5500 (not sure what is the retail).
 
Adam, the monos were $5924 per pair, plus NY sales tax. Delivery was free and to my door was $6453.49


With Amazon you can buy an item again, I tried but price was already again back up to retail.
 
joeinid said:
Adam, the monos were $5924 per pair, plus NY sales tax. Delivery was free and to my door was $6453.49


With Amazon you can buy an item again, I tried but price was already again back up to retail.
Click to expand...

So it might have been an error.
 
Elberoth said:
So it might have been an error.
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No it wasn't. Paul explained to me that Amazon keeps dropping the price until the product moves - even if it means at a loss.

What's odd is that I thought it was a third party via Amazon. Turns out, it was Amazon directly.
 
Mike said:
No it wasn't. Paul explained to me that Amazon keeps dropping the price until the product moves - even if it means at a loss.

What's odd is that I thought it was a third party via Amazon. Turns out, it was Amazon directly.
Click to expand...

If Amazon is doing the fulfilling, meaning you have sent them product to stock and ship for you, you are at their pricing mercy when the product does not move at your asking price.

If you are self fulfilling (shipping to the consumer directly from your facility), you do not have this issue.

There are varying advantages/disadvantages to the seller for each method.
 
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