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  #1  
Old 11-22-2008, 05:04 PM
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I think I am Cynical

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I went to a local music store today and tried out a Peavey VB2 head. I have been tempted many times to bring one of these heads home with me but never pulled out the cash. In fact today was the first day that I wasted any salesman's time with me over one of these heads. The store has had 2 of them sitting there since July or so and I remember seeing stickers on them for $899 but no stickers today. I told the salesman I remembered what they were stickered for and he says the prices have changed because of the Canadian dollar falling against the U.S dollar. The new price is $1,034.00. I challenged him a bit and asked why these 2 heads would be affected by the dollar because they have been in the store for 4 months. Presumably that inventory would already be paid for. That caught him off guard, I could tell, and he stammered out something about the falling dollar and how the store gets their money from Peavey blah blah blah. Not a suitable explanation anyways.

Bottom line - the cynical side of me sees this as a cash grab by the store. I understand that new inventory will be higher with the change in value of the Canadian dollar to the U.S. but I don't buy hiking 4 month old inventory. Unless someone can tell me that Peavey don't require stores to pay for stock until the item is sold then I really don't think this store will get very much of my money in the future.

Too cynical? Is it just business?
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  #2  
Old 11-22-2008, 05:07 PM
Nihavend Longa Vita Brevis
 
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it's just business.
  #3  
Old 11-22-2008, 05:17 PM
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Stores will price goods according to what they think people are willing to pay. If no one buys the stuff at that price then they'll just have to drop the price.
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  #4  
Old 11-22-2008, 05:25 PM
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Actually that does kinda make sense. If the Canadian dollar was stronger back when the heads were bought, that means that those heads are worth more of today's dollars because today's dollars are worth less, hence a price increase. If the store sold that head at $899 now, they'd be making less money than if they sold it before the fall of the dollar.

Of course, I don't know whether the Canadian dollar fell enough to justify that much of a price increase, but at least the principle stands.
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  #5  
Old 11-23-2008, 02:25 AM
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You just pull out $899 (or less) in cash, and tell him you'll take one at the old price.

Chances are he'll remember that the old price is still good on the old stock...
  #6  
Old 11-23-2008, 02:33 AM
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Make the man an offer and be prepared to walk away if you does n't accept what you are willing to pay.
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  #7  
Old 11-23-2008, 03:27 AM
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Yes, you are cynical. Yes, it is business. Welcome to capitalism...
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  #8  
Old 11-23-2008, 04:03 AM
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You can't be that cynical if you were gullible enough to consider the purchase of Peavey products.
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  #9  
Old 11-23-2008, 05:08 AM
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I don't see where cynical enters this little story. If you are cynical, you are incapable of caring for other people's feelings.
  #10  
Old 11-23-2008, 05:36 AM
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It's just business.

If you wanted that Peavey head for $899 you should have bought it 4 months ago.
Or find a store that has them also and still has them priced at $899.

I own a store myself (not a music store), and this is normal, not unethical at all. <-- edti: I co-own a store
Everything you have in the inventory is an investment the store owner has to make. If you add it all up there is a lot of money invested in products that are in stock.

So if list prices of certain products rise, the sale prices will rise. This way a store can get a break and have more money income.

Okay, so this seems like a scam to the customer.

But most of the times it works the other way:

Most times a store buys a number of a specific item to have in stock. To get a good deal from their distributor. And they hope to sell it all before a new version of that product comes out.
If they still have some of that certain product in stock, the old version, they have to drop prices and in the end they may have to sell it with loss.
But in these case the customer isn't worried about a stores sales policy.
Then customers mostly go bragging around how cheap they got their product.

A store isn't a charity organization. Every square inch in the showroom and stockroom costs money. And each stores wants on every spot in their showroom products that sell well.

If you don't want to buy that product because the price is raised, the store owner and salesmen aren't going to lose their sleep on it. Another customer will come in one day and buy it at that price.
Unless you are a regular good customer you can negotiate on the price.

I give my regular customers often great deals. Customers that walk in for the first time I try to help as much as possible, and I hope they come back.
But again: I don't run a charity.
I've got to make a living too.


So you think you are cynical?
Try running a business or be a salesman.
THEN you will become cynical.

(Man, the stories I could tell. )

I have had my share of difficult customers.
I sometimes spend a lot of time talking to customers that in the end end up buying nothing.
But I know that comes with the job, and I love helping people with questions about our products.
I am not a disgruntal sly salesman, at least I like to think so myself.
I also get a lot of satisfaction from my job. I also have a lot of satisfied customers, which who I mostly have casual chats with besides business. And these people spread a good word around the area to give us a good reputation.
(Also I'm happy if I close my bookyear with a lot of profit which I can invest in offering my customers more in the next year.)


So GeddyFleaHarris, try to look at things from other peoples view sometimes.
I understand you don't like the price raises, as do I when I am a customer in another store.

Prices on all products will rise, that is inevetable (sp?). It's the economy.

My advice: keep looking out for great deals, and don't miss them.

Last edited by René_Julien : 11-23-2008 at 05:56 AM. Reason: excuse the typos
  #11  
Old 11-23-2008, 09:24 AM
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Originally Posted by C'thulhu View Post

So you think you are cynical?
Try running a business
Actually I do and maybe that's why I am.

In reality i know it is just business but in my business (heavy construction) we never seem to be able to boost prices 15% almost over night. I know, different business, different market forces etc. In fact this past summer we ate a lot of the run up in diesel fuel prices because we were locked into contacts with various agencies where there was no mechanism for adjusting fuel costs.

*Sigh* I lament the good old days of an even par dollar!
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  #12  
Old 11-23-2008, 09:25 AM
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Originally Posted by Unrepresented View Post
You can't be that cynical if you were gullible enough to consider the purchase of Peavey products.
Ouch.
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  #13  
Old 11-23-2008, 09:34 AM
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Doesn't the cost to replace inventory also go into setting the selling price? If it's more expensive now to replenish his stock, then he has to raise the selling price or his profit on that unit will be eaten up by the cost of replacing it. Right?
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  #14  
Old 11-23-2008, 10:07 AM
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Originally Posted by Geddyfleaharris View Post
Actually I do and maybe that's why I am.

In reality i know it is just business but in my business (heavy construction) we never seem to be able to boost prices 15% almost over night. I know, different business, different market forces etc. In fact this past summer we ate a lot of the run up in diesel fuel prices because we were locked into contacts with various agencies where there was no mechanism for adjusting fuel costs.

*Sigh* I lament the good old days of an even par dollar!
Ah, LOL.
Cool, I didn't knew offcourse if you ran a business or not.

Okay, now I believe you are cynical.
(Judging previous posts of you, yes you are cynical from time to time. )

Heavy construction, I used to work in that sector as a mechanic. (Trucks, cranes,...)

A few years ago my father and me took over a motorcycle dealership.
A different world actually.
A lot of fashions and trends we have to keep up with. Kinda like a music store actually.

So you have a clear view on how the economy works.
Sorry if I implied otherwise in my previous post.
  #15  
Old 11-23-2008, 12:01 PM
Nihavend Longa Vita Brevis
 
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get this:
I bought a house 4 years ago, now it's worth 3 times more. More money than I made working during that time.
  #16  
Old 11-23-2008, 12:03 PM
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Quote:
Originally Posted by Unrepresented View Post
You can't be that cynical if you were gullible enough to consider the purchase of Peavey products.


Workhorse gear that's reasonable with GREAT service.
  #17  
Old 11-23-2008, 12:11 PM
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Quote:
Originally Posted by Geddyfleaharris View Post
Ouch.
The correct response was actually "OH SNAP!"
Quote:
Originally Posted by fenderhutz View Post


Workhorse gear that's reasonable with GREAT service.
Eh, I never liked any of the peavey stuff I've run through, but was mostly just being an ass rather than making a real slam against the company.
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  #18  
Old 11-23-2008, 12:28 PM
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PEAVEY GFH????? I think I'll keep that a secret from the GK board
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  #19  
Old 11-23-2008, 11:22 PM
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I'd say you should hurry up and grow a lawn so you can tell people to get off of it.
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  #20  
Old 11-24-2008, 12:32 AM
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Quote:
Originally Posted by Geddyfleaharris View Post
Too cynical? Is it just business?
Ive actually seen this quite often around the city. Actually had a salesman tell me that if i wanted to pick up an epiphone guitar, that i should do it before he gets the time to go around and mark them up, due to the dollar changing. (Weird, because i really wasnt looking at a guitar at the time, but knew the stock had sat there for atleast 2 or 3 months).
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