LDS can only discount 10%?????

I have been reading all of the posts concerning LDS vs Online purchasing.

I have been pricing Suunto computers from 3 LDS here in Maryland. All of them stated "we are not allowed to discount more than 10%".

Is the manufacturer (Suunto) telling them this? Is this not some form of Price-Fixing???? Why can't one LDS sell it at a 20% discount??? If this is done to "protect" the Authorized Dealers, the system is not working. If the LDS want's to make a lower profit margin on the product, then so be it.

I worked in the Automotive Parts Aftermarket for 15 years. If several stores in town all carried Bendix Brake Pads, we could sell them for whatever we wanted. Maybe our "purchase" price was lower due to larger orders, but we could discount as much as needed to sell the product.

Sorry if I am repeating what has been talked about on here. BUt I just have a hard time understanding the process.

That is a policy that is set by the distributor, they are often able to offer a larger discount if your buy more than one thing. IE if you buy a package deal you will most likely get a better deal.

Travis

Sorry but they are not being honest with you. Some LDSs will work with you more on price than others. You can get what I am assuming is the Vyper or Vytec from LP or others for much less than 10% off list. LP sells Vyper for $314 I believe. If they would meet you part way then buy it local. If not, Leisure Pro has great prices.

there are many ways to offer discounts.

Some manufacturers DO have maximum discounts they allow their authorized dealers to make. Breaking this agreement could cause problems for the LDS with the manufacturer.

A LDS does have the ability to offset by increasing the discount on other items you're buying (take additional money off of the BC even though they can't discount the reg) or offer incentives like free service (for regs) or free air fills. Maybe even a "store credit" for the difference.

Check out this thread. Very informative for me.

Jim

I buy everything, except BC and reg online, but I am an Internet junkie who buys almost everything online. Warranty shouldn't be a huge issue, since most online retailers (like leisurepro) have a proprietary warranty, instead of the manufacturers. I always had a good experience and saved sometimes a few hundred bucks compared to the LDS markup.

i work at a dive shop, so i know what's going on.

few companies; scubapro, aqualung, etc., have a price protection plan to eliminate competition from dive store to dive store, sport chalet to dive store, etc.

10% is the max. that they can discount IF you are still interested in warrenty. if not, they can pretty much sell it for whatever price they want. each equipment has a serial number and that serial number is recorded when sent out to a certain shop. thus, if you register your product with that serial number, they know where you bought it. they also ask for price of product for a reason when registering.

some people believe that product registration isn't important. it might not be if you wish to pay parts for ever and ever.