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Pro Audio
Junior Varsity
Becoming an equipment dealer
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<blockquote data-quote="John Roberts" data-source="post: 48068" data-attributes="member: 126"><p>Re: Becoming an equipment dealer</p><p></p><p><img src="https://cdn.jsdelivr.net/joypixels/assets/8.0/png/unicode/64/1f642.png" class="smilie smilie--emoji" loading="lazy" width="64" height="64" alt=":-)" title="Smile :-)" data-smilie="1"data-shortname=":-)" /></p><p></p><p>We are watching a moving playing field.. back in the good old days dealers were actual stores with physical store fronts, and inventory in a warehouse, and a repair/service support staff, and.........</p><p></p><p>But the market has been changing for about as long as I can remember... Away from the old school established dealers to more modern sales channels. </p><p></p><p>Another point of confusion is that small companies are hungrier so will sell to anybody with a pulse and money (and the pulse is optional), while large established manufacturers will (usually) have more long term respect for their distribution channel (ignoring Langston's recent fun with yamaha).</p><p></p><p>I will keep this unusually short for me, since most of what I know first hand is more than a decade old and surely different by now... </p><p></p><p>Good luck... </p><p></p><p>JR</p><p></p><p>PS: there is a reason I sell direct... to avoid dealing with all the whores (sorry), i mean dealers who have little interest in managing the street price of my product, and routinely don't carry any inventory of my product, simply marking up a pass-through transaction a thin slice above their cost basis for the very quick turn on that piece. In fact if it is pre-sold they may have zero cash outlay in the transaction for pure profit and even less reason to protect their operating margin with my product's price. I realize I will eventually need to use distribution to reach the larger market, and give the dealers payment terms too, but not yet. I know too much about how they operate. Sorry if this sounds cold, been there done that.</p></blockquote><p></p>
[QUOTE="John Roberts, post: 48068, member: 126"] Re: Becoming an equipment dealer :-) We are watching a moving playing field.. back in the good old days dealers were actual stores with physical store fronts, and inventory in a warehouse, and a repair/service support staff, and......... But the market has been changing for about as long as I can remember... Away from the old school established dealers to more modern sales channels. Another point of confusion is that small companies are hungrier so will sell to anybody with a pulse and money (and the pulse is optional), while large established manufacturers will (usually) have more long term respect for their distribution channel (ignoring Langston's recent fun with yamaha). I will keep this unusually short for me, since most of what I know first hand is more than a decade old and surely different by now... Good luck... JR PS: there is a reason I sell direct... to avoid dealing with all the whores (sorry), i mean dealers who have little interest in managing the street price of my product, and routinely don't carry any inventory of my product, simply marking up a pass-through transaction a thin slice above their cost basis for the very quick turn on that piece. In fact if it is pre-sold they may have zero cash outlay in the transaction for pure profit and even less reason to protect their operating margin with my product's price. I realize I will eventually need to use distribution to reach the larger market, and give the dealers payment terms too, but not yet. I know too much about how they operate. Sorry if this sounds cold, been there done that. [/QUOTE]
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Becoming an equipment dealer
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