Hi David,
The state of "flux" in dealer discounts is occurring because makers are taking a little bit more of a business approach. This is especially true of those with web sites.
The dealer discount is now being looked at a little harder. When I talk with makers or do seminars for makers I tell them to ask the dealer what they are getting for their money...because that is what they are giving up.
Obviously the discount for a dealer who merely puts a photo on their site should not be as high as the dealer who puts you on their site and takes your knives to shows where they actually set up at. The latter saves the maker both time and money. The dealer who only attends and does not set up, does the maker little or no good, as they are their primarily to buy or trade knives. They may brown bag and sell a few outside the show...but that is not their main objective of attending a show.
My niche is that of an Entrepreneur not a dealer. To me there is a big difference. Dealers buy and resell. Entrepreneurs exploit or create opportunities I approach my business as just that a business. Perhaps the greatest advantage is to be able to spot "diamonds in the rough". Through years of refinement I can talk to a maker and in 5-10 minutes be able to tell you if the maker has the ability to be successful. Success being different things to different people. This "talk" will have little to do with the makers abilities. The skill(s) will come...it is the character of the maker that will, for the most part not change.
Initially as I wrote in my book there were 7 questions I asked makers to get a feel for their work. However, as I learned some difficult lessons, I realized that I was only asking questions about their skills...not their character.
Another advantage that I have is having been full time for the last 13 years. I spend my days...with rare exception almost every day of the year talking with collectors.
Collectors have more input than they realize. Listening to collectors Bob Neal and myself to form LDC Custom Knives. This resulted in the only 10 knife tactical folder sets to ever be offered as and sold as a set. As well we offered a set of 5 fixed blades...3 of which were featured on the Cover of Tactical Knives.
From the lessons I learned from that project I started Vanguard knives. To date 54 different exclusive designs have been made in different numbers. These knives have encompassed Folders, D/A Folders, Fighters, Sub-Hilt Fighters, Hunters, Survival Knives and utility knives. Each has completely sold out.
Entrepreneurs don't wait for the market to come to me...they create the market.
This is done through a combination of finding quality makers, who will take advice in design, material selections, marketing strategies and value pricing. Combined with my abilities to promote these makers through forums like this, my web site, setting up at shows, being interviewed and mentioning their names when the article subject is asking specifically for makers within the context of the article, and writing for the magazines.
There is no real secret. Dealers generally come from the collector ranks. They start with a very good knowledge of a specialty area or types of knives.
The difficulty is trying to move outside that area of expertise. Having put years into one type of knives or even two...now you are going to have to shorten the time on the learning curve and try to make as few mistakes as possible. Each mistake helps with the learning curve...but costs you money. Obviously unless you are independently wealthy or Mom and Dad are footing the billshould you want to move into a new area.
While I am known best for tactical knives (folders and fixed blades) and more recently forged blades. I still sell presentation folders, Damascus Folders, etc.
Where as my buddy Bob Neal is best known for folders, but has an excellent working knowledge of fixed blades. He too is very active in the forged blade market. Between the two of us we have almost 50 years experience in custom knives. As well we have been setting up next to each other for at least 18 years. So purely through talking with each other about knives for hours and hours, we have a pretty good idea of the folder and fixed blade market. We are very fortunate that we have each other to bounce ideas, market trends, makers to watch, materials to use, hot designs (before the become hot) etc.
Between the two of us there are very few questions we can't answer about a custom knife.
Bob in his own right is quite a force in custom knives. I always tell him he is the second best dealer I know.
Hope this answered your question. If not ask some more. The only secret is doing your home work...12 hour days, looking at a couple of million custom knives...and figuring out 98% of the time which ones you will be able to resell...for a profit.
Les Robertson
Custom Knife Entrepreneur
www.robertsoncustomcutlery.com
