- Joined
- Dec 30, 2000
- Messages
- 3,801
How does Buck do it? How can a 110 ($59.00 MSRP) sell for 20 bucks? This is a precision made knife with good materials, perfect blade and edge geometry, fantastic fit and finish, and it locks up like a safe. Now, add up material cost, US labor cost, packaging cost, distribution cost, other overhead cost (building, equipment, & tooling upgrades), and sell it wholesale to dealers. How do they make money on this model? Unbelievable!![]()
I don't think Buck has much to do with the prices offered by the big box stores. Retailers like Wal*Mart frequently sell specific items for less than paid for them (like a $20 Buck 110) in order to get you into the store. It's called a "loss leader," and the intent is to get your body on the premises so you buy other stuff (on which they'll make a profit) which will then offset the loss on the item that drew your attention.
People (like some of us) sometimes defeat the system by only buying the stuff on sale, but they're a minority.