Discount on Internet order


Ok so I've been told by an audio vendor that only foolish vendors who don't plan to be in business offer discounts. On the other hand a vendor from Eastern Canada regularly offers me 20% off retail. Lately I've been looking into a new component. It retails for $20,000 Cdn. I found it new in the box for $15,000 US. Then I found a US vendor offering it at a discounted price of $10,000. I asked for a firm quote. In a written quote they offered it for $8,500 including shipping and insurance. The interesting part is that they were shipping UPS and the quote showed Cdn taxes of 12% of $5,500. I asked if the full $8,500 was insured and the vendor said yes. The tax was based on $5,500 because he was insuring it so the value for insurance was his cost, not my price. So on a $15,000 US item this guy's cost is $5,500. Seems like huge margins are available.

dwcda

My bad, I confused 2 models. Still a high margin. It's the Whest 60Se Pro. In the US retail is $10,000, offered for $8,500, apparent cost is $5,500. Brand new, in sealed box. But as a result of the new Whest models I ordered a new Whest Titan Pro for $10,500 Cdn, retail was $20,000 Cdn/$15,000 US. That price came down as the new Titan 2 is available.

discount can be offered on inflated price. first you multiply it twice and then take 20% off. It will sound a lot cheaper than just offering regular price.

In this case the MSRP from Whest is roughly $10,000 US. And based on this vendor's quote, his cost is $5,500. I have been led to believe that margins on audio equipment are much lower.

Dealers get on most products around 50%  markup 

audio cables sometimes more. I don’t pay sales tax on any of my gear 

being an ex dealer thereis ways to work around this say as a open box or demo 

or trade in .these new Biden laws tax everything.

I think it’s a rip off even things even  used PayPal is charging tax. Why would they charge tax on anything even if sold 4 x itis judt a money grab.. 

@audioman58. What Biden tax laws? I thought sales are subject to state income tax and that's all.