New Fishing Store

I have bee reading this thread with interest. What is making me wonder about pricing is the spread between prices in the US and prices in Canada. For those costs from the manufacturer that are going up, the increases should be the same on both sides of the border. Thusthese would not be in the equation for the differences.

Where a difference might be justified is extra shipping to Canada and any duty if it is applied. I also accept the fact that margins might need to be higher due to payroll taxes and other government immposed benefits. But what should that difference be? On the case where there is no duty, one might argue for a spread in the 10 to 15% range but the spreads we are seeing are a lot higher and they vary greatly from dealer to dealer.

For example, on an Eagle Seafinder 320 DF sonar;
American price $199
Canadian mail order price from Toronto $249
Canadian price in Nanaimo $299

Or on a Lowrance GPS
American Price $499
Canadian mail order price from dealer #1 $549
Canadian mail order price from dealer #2 $629

I could go on with examples like this, but it begs the question of how much more should we be paying here. Are some Canadian dealers, like the one for the GPS losing their shirts on these sales or are other ones making too high a profit. I also know we can talk about stocking costs and volume, here the small dealer here needs a higher margin to survive. How much more should we as consumers pay to support first local dealers, then Canadian dealers and finally US dealers?

I like to buy from people I know, but where is the cutoff?

Comments?
 
We've always used River Sportsman in Campbell River. Great store, real big, lots of selection for fishing, hunting, etc. Great staff...some cuties working in there in the summer too ;) haha. Plus if you're a guide, get an additional 10% off all merchandise. Saved us loads when we rigged up our new boat last summer.

David
Serengeti Fishing Charters
 
Not everybody is raising their prices as some of us are kinda stubborn that way. The markup from dealer to full retail is suggested at double. Wholesale cost $5.00 full retail is $ 10.00. Its impossible to force a dealer to hold to these prices as they are suggested. The best way to help keep them low is to offer the dealers incentives. Good luck to all the Tackle Stores Eh!
 
After 14 years in the retail sporting goods biz (not fishing!) and talking to many retailers you learn a few things that are common across sectors:
First, in the US a retailer can either buy direct from the mfr or go to several distributors - in other words the retailer can SHOP AROUND for a product. In Canada, virtually ALWAYS, the retailer has no option but buy the product from some distributor back east who has the SOLE RIGHTS to sell the product in Canada. As a retailer there were many times when I would try to purchase direct from the mfr in the US only to be told by the mfr that they had an exclusive arrangement in Canada with a big eastern distributor.
SO when you think that the local store is ripping you off realize that he is just trying to survive. If you appreciate the service that the store offers then it is often worth your while to pay the extra for SOME things - the local guy's good advice can save you many many hours and dollars over the long run! Can the mail order dudes tweak some nagging little problem for you on the spot?
Rant over, my $0.02!
Roo.
 
quote:Originally posted by goodoutroo
Can the mail order dudes tweak some nagging little problem for you on the spot?
Rant over, my $0.02!
Roo.
Nope!

To me, service is everything. I'd way rather pay the local retailer a few bucks more for that GPS unit or whatever I purchase so I can get first hand person to person help with it. And as goodoutroo says, taking it back to get problems dealt with is worth the extra $$$.

But when asking about about purchasing a depth sounder unit or the likes, I don't like to be told by the retailer when I ask which of two different units is better and I get the answer "this one is better because it costs more". [xx(] This recently happened to a buddy of mine here in Victoria.

That's the kind of stuff that causes me to take my business elsewhere.
 
RLN, you make a good argument, and I do not doubt what you have read in any way. Lets face it, Business in Canada is a tough racquet for distributors, wholesalers,retailers and the end consumer. No matter what catagory you fall into, we are all consistantly demanding cheaper prices.

This is what causes companies to get bought out or taken over. Luhr Jensen, gets bought by Rapala, who is owned by Normark. They take coyote spoons, and now ship them off to China, to get the cost down. The spoons were always made in China, but assembled in USA. Is quality giving away to price, and if there are savings made by shipping it to China, is the end consumer seeing the price change? I would think not. Someone is benefitting, and I bet it is not the final consumer.

Regardless of who is making what, it boils down to the fact that products in Canada are getting more expensive across the board, whether it be any type of industry. I agree that when you are dealing with metals and commodities, the price can rise dramtically, and it is this very fact that ends up putting a lot of businesses out of business. Shipping costs within Canada are in my opinion, out of control, but justified, because of the high price of being a Canadian living in Canada.

I don't have an argument, but I find this thread very intresting, because of the people posting. They all come from different areas of expertise in the chain of manufacturing to final consumer. Lets not damnpen the reason this thread started, and wish the new guys the best for the years to come. Competition is the key to success, because it keeps everyone in check. I will visit both stores and purchase something.:)
 
quote:They take coyote spoons, and now ship them off to China, to get the cost down. The spoons were always made in China,
Shouldn't they be tested for lead?
 
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