BM going direct dealer only?

I can sort of see some benefits to this; it means they can better control the customer experience, have a more 'direct' path for warranty claims, and make sure the prices are the same everywhere (if they chose to force the retailers to sell at, or within certain limits of the MSRP like Apple does).

The down side to this is it does seem they'll have to increase the wholesale price to counteract reduced sales, cutting into the profits of retailers and/or ultimately meaning higher cost to the end user (especially if they force retailers to sell at MSRP).

It's a bad move for the distributors, customers and possibly even Benchmade if the sales drop enough... the authorized dealers should benefit from more sales, but whether that will translate into more profit depends on how the costs are going to work in this system (stores selling iPods and the like make next to no profit on them, they use them to increase footfall or count on selling in high volume).

It may also be the case that prices stay similar in order to compete with online sales of other brands... but I can't see how that would work seen as I'm sure this move will mean less overall sales.
 
Last edited:
trimcut123 said:
I was discussing with a friend.. That it probably wouldn't be that bad of a price hike..
Think about the fact .. you can pay 150$ for a VG-10 Japan Spyderco.. And "for example", you can still get a mini rukus for the same amount with S30V, G-10, micarta and US made...
I still think BM is producing a better US product for the price.. Along with kershaw.. That company does amazing things within my budget...
Click to expand...

$150 for what VG-10 Spyderco? You can pick up an Endura for $60 with VG-10. Show me a Benchmade for $60. :grumpy:

But I digress.

I believe the thing was that Benchmade would only be shipping to online dealers that started conforming their prices to the MSRP. This was supposed to help brick and mortar stores in their sales.
 
There are online dealers only that are also Benchmade authorized dealers as well. Just to confuse the issue further. But 42blades explained what's happening. The question is why. I have never seen a brick & morter sell for a price I would even consider. In fact, the only stores in my area selling QUALTY knives are gun shops. They are not distrubitors (I don't think) and they are not all that concerned about knife sales anyway. Never have been. Just stock a few dozen for the impulse buy. Floor space is at a premium.
 
710's on eBay jumped at one dealer from 106.99 shipped to 119.99.
While some Japanese Spydercos are fairly high they tend to have Carbon Fiber handles or Titanium and some lock unique to the company. I don't think the Spydercos made in the USA are as high on average as Benchmade's USA line, for steel type and other materials used.
 
Josh K said:
$150 for what VG-10 Spyderco? You can pick up an Endura for $60 with VG-10. Show me a Benchmade for $60. :grumpy:

But I digress.

I believe the thing was that Benchmade would only be shipping to online dealers that started conforming their prices to the MSRP. This was supposed to help brick and mortar stores in their sales.
Click to expand...

You answered my question as to why at the same time I was posting. Ya beat me by " " this much.

If it's true they are doing it to help out brick and mortar stores than that will end up being a really bad decision that results in much lower sales. To survive they will be forced to change policies in the future because the future and current knife sales market is online. IMO.
 
I went to my brick & mortar store and when I asked him if he was going to get more BenchMade in he emphatically said "NO". He said BM wanted him to buy so much stock he could not afford it, so he is dropping them.

A few customers entered in as I debated my purchase and when any of them wandered to the BM area he began bad mouthing their product. In fact, he was pulling the BM out of the case and showing customers how poorly they are designed and referred to them as "turds".

I was kinda in awe. He was doing everything he could to tear down Benchmade. I don't have a local dealer for BM now but after seeing how he reacted with customers I don't think I'll be back anyway.

So I guess my point is, here is a local dealer that is mad at Benchmade because of their new program and now you have a "Cutlery Expert" tearing down BM to customers. Not a good thing for Benchmade.
 
Brick and Mortar stores are mostly where? Malls! What are they saying on the talking head shows at night? Malls are dying from lack of consumers! Even the ones that aren't in malls are going to see a severe downturn in sales soon. I think that Benchmade really needs to rethink this idea.
 
I have my eyes on a few of the new '09 benchmade and they're all over the online shops for the usual online discount. I just saw the orange grip for $67. There is a lot gossip going around. Benchmade has clearly changed their policies but that doesn't effect us or online retailers.

They have seemed to institute a "minimum advertised price" policy that makes you add an item your cart to see the discount.

NGK and Benchmade have a beef with one another, I don't know what it is about, but who cares - it's not my business. We can still get Benchmade's great knives at great prices.

I gonna get the Lum folder in M4 with a titanium handle and a Rukus.
 
The worst thing is that this means no more dealer exclusives. The coated plain edge Kulgera was the most recent one...it's gone now.
 
It will be interesting to see how it works out. I've gotten the impression that they have been trying for a couple of years to get more consistent minimum pricing at their dealers after complaints from some of them that they were being undersold by margins they could not afford to match, but I could be wrong. That's mostly speculation on my part based on stuff I've read. It won't really affect me because I stopped buying Benchmades when they refused to even talk to New Graham when New Graham approached them at Blade a year or two back to try to patch up their differences. I suspect it won't matter much to folks who are going to buy Benchmade regardless of who they get it from, but will make a difference to folks like me who are loyal to a small set of dealers who will no longer be carrying Benchmade. I respect Benchmade's right to go with whatever sales model they think they will work for them, but this move is bound to alienate a few folks.
 
NGK is not authorized because they run too efficiently and are too customer oriented - ie, they had low prices and the competition complained to BM. BM dropped them, and then the business with de Asis being a tool to Mike Dye happened.

there are statements by dealers, not gossip.
 
My opinion?

deadhorsebm.jpg
 
popedandy said:
It will be interesting to see how it works out. I've gotten the impression that they have been trying for a couple of years to get more consistent minimum pricing at their dealers after complaints from some of them that they were being undersold by margins they could not afford to match, but I could be wrong. That's mostly speculation on my part based on stuff I've read. It won't really affect me because I stopped buying Benchmades when they refused to even talk to New Graham when New Graham approached them at Blade a year or two back to try to patch up their differences. I suspect it won't matter much to folks who are going to buy Benchmade regardless of who they get it from, but will make a difference to folks like me who are loyal to a small set of dealers who will no longer be carrying Benchmade. I respect Benchmade's right to go with whatever sales model they think they will work for them, but this move is bound to alienate a few folks.
Click to expand...

I don't know anyone at NGK but I have to wonder if Benchmade treated them so horribly, why would they still carry the BM manufactured HK and Bradley knives?
 
I was one of Benchmade's biggest fans.

But now, I'll never buy another knife from them.

This anti-competitive, protectionist sh#t just p#sses me off! :thumbdn::thumbdn:
 
FortyTwoBlades said:
I am in the knife business, and I can tell you it's true. I felt bad for our sales rep through our primary distributor, because their booth was right next to Benchmade's at SHOT. They can't get them anymore and he got to watch us sit at the Benchmade booth and spend $15,000. Poor guy.
Click to expand...

Has this affected your prices?
 
Ben Dover said:
I was one of Benchmade's biggest fans.

But now, I'll never buy another knife from them.

This anti-competitive, protectionist sh#t just p#sses me off! :thumbdn::thumbdn:
Click to expand...


no, its quite capitalist my friend. and besides if im a BM dealer, if follow all their corporate rules about product placement, advertisments, pricing etc why shouldnt i have exclusive access to thier knives?
 
I do not buy my knives from Brick and Mortar stores. I have a pretty large Benchmade collection. If I can't buy new Benchmades online through knifeworks, new graham, ebay, etc- I will not buy any more Benchmades.

At least the value of my collection should go up. Especially after they put themselves out of business. Thanks Benchmade!
 
You must log in or register to reply here.
Back
Top