2. misc-audio
  3. 151641-68085

Dealer Discount

Hi all. Just curious - how much is a "reasonable" discount to expect from a local dealer on new, low mid-level audio equipment (say amp in $2500 range or turntable around $1500)? I'm a bit surprised that most, in my area, offer no more than 10% with some refusing to discount at all.

Look forward to your thoughts. Thanks!
gnoworyta
richopp
760 posts
 
@pgaulke60

Glad to hear you agree.
ebm
9,311 posts
 
I always get at least 20% or more.
benjie
329 posts
 
Dealer markup on an item is anywhere from 40 to 50 percent. So think about it, you buy a $20 k pair of speakers, the dealer is making about $10 k profit. That's ridiculous!

And how do I know this, my brother worked for a dealer for many years.
schubert
7,386 posts
 
Not when you consider the dealer has a LARGE overhead, pays taxes , has a family to support and likes to eat himself etc , etc .
Did your brother work for free ?
big_greg
6,665 posts
 
Most people don't have the first clue about business. They're not making $10K on a $20K pair of speakers.

Out of that $10K they have to pay for: 

Facility
Wages
Utilities
Taxes
Insurance
Business machines/computers/supplies
Web site
Marketing

Plus they may have to pay to be a dealer and/or for training, going to trade shows, etc. 
More to discover