2. misc-audio
  3. 190514-189728

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
rsf507
2,310 posts
 

I'd really be interested in hearing what piece of gear @dwcda is referring to. Has it been discontinued? B stock? Open box? Dealer demo? Curious minds would like to know

dwcda OP
116 posts
 

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.

czarivey
5,946 posts
 

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.

dwcda OP
116 posts
 

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.

audioman58's avatar
audioman58
4,129 posts
 

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.. 

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