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Trade in value to a dealer

I have some items I would like to liquidate and reinvest the proceeds into upgraded equipment.  I have no feedback on Audiogon and wouldn't enjoy selling if I did.  I am interested in experiences you have had with trade in value to a dealer.  Let's say I have an amplifier which I would normally sell for $3,000 and a set speakers which would sell for $1,500 if I were to sell them to an individual.  What expectation might one have if trading these items in on more expensive pieces? 

I have no experience in this area, but in comparing it to the automotive market, I would be getting a wholesale trade in value.  Do most audio dealers operate on the same basis, wherein they feel they must make a profit on the inventory they receive via trade in, or might they allow a fair market value if they are making a profit on the item I am buying from them?  I am sure it varies from dealer to dealer, but am interested in other's experiences.  Should I expect to take a big hit?  Or maybe just a slight cuff?  Thanks.
abnerjack
Ag insider logo xs@2x
cleeds
5,957 posts
 
testpilot
It all depends on the value you put on your time and effort.
Agreed. Frankly, I don't have the patience to deal with tire-kicking audiophiles. I expect businesses that I deal with to make a profit, and that includes audio stores. When trading equipment, I certainly don't expect to receive retail value for the trade.

While shopping for a headphone amp least year, I was astounded to discover that Stuart's Audio in NJ wouldn't accept in trade some fine used equipment that I had - at any price. Steven told me if they hadn't sold me the gear in the first place, they weren't interested in a trade. So I bought the Moon SHA-430 at Audiolab, who was happy to take the trade. Go figure.

At Audio Connection, Johnny was happy to list my trade on consignment. He sold it and gave me a store credit, which I haven't yet used.

As the old maxim goes - of quality, service and price, you can only choose two. Price is usually not the most important consideration for me. Of course some others choose differently.
garrettc
40 posts
 
Dealers aren't called dealers for nothing.  Also, the only dealer near me charges 40% commission for consignments.  You'd be better of to sell whatever you have on ebay or some local craigslist or such.  From what I've learned, stereo gear is much easier to buy than to sell, so make sure that when you buy, you buy at a good price.
gdhal's avatar
gdhal
1,641 posts
 
I do have some first hand experience in this regard...

Generally speaking an authorized dealer for any particular manufacturer can discount the MSRP of a brand new item by no more than 20% (and sell as new for MSRP-20%).

If you then wish to sell an item (in excellent condition and within two years of newly released) back to the dealer, the dealer will typically offer about 45% less than MSRP.  

If you look to sell privately, expect to get around 30% less than MSRP.

If the gear you're looking to sell is in poor condition and/or is very old (with respect to when it was manufactured), all bets are off and other variables such as vintage, market demand and phase of the moon come into play.
chlv0ter's avatar
chlv0ter
31 posts
 
I typically just buy/sell on here but I have done a few trades with The Music Room in Colorado.  Rob there is great and all my deals with them have been stress free and met or exceeded my expectations...

octet11
41 posts
 
Selling to a retailer will always intail a loss. For me it's not worth, though their are some great people to deal with. I suggest if you want to work with a dealer, find something you like they have for sale to negotiate your trade against. 
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