Thoughts on authorized dealers raising GEC prices above the minimum sale price.

knife_fan said:
GP is standing by their previous statement saying GEC sent out an email last week requesting all dealers to charge suggested retail. Thinking about calling GEC to confirm this, as it seems like an odd thing to do from a company trying to provide a knife at a good value.
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GEC did send an email changing their nomenclature from "Dealer Suggested Retail" to "Suggested Minimum Retail" - which has been the standard pricing for 13 years. The "Manufacturer Suggested Retail" has not changed and is the same as it has been for 13 years. Thus, the factory now has an SMR and an MSR - although "suggested" is a bit of misnomer in in SMR as any price below SMR will be addressed quickly by the company. Thus, GP is correct, the Manufacturer Suggested Retail on the #19 micarta is $99.85 and the Suggested Minimum Retail is $69.90. It seems like "DMIR" (dealer minimum retail) and "DMXR" (dealer maximum retail) would be a better nomenclature and would solve a couple problems - but I understand that the factory does not want to dictate, at least on the high side, the dealer sales price (or venues).

As for dealers, it is totally up to them. Some use the MSR as a number to put a line thru on their web store to show you how much they are saving you. And others may need the extra margin to cover additional expenses, etc.
 
knifeswapper said:
GEC did send an email changing their nomenclature from "Dealer Suggested Retail" to "Suggested Minimum Retail" - which has been the standard pricing for 13 years. The "Manufacturer Suggested Retail" has not changed and is the same as it has been for 13 years. Thus, the factory now has an SMR and an MSR - although "suggested" is a bit of misnomer in in SMR as any price below SMR will be addressed quickly by the company. Thus, GP is correct, the Manufacturer Suggested Retail on the #19 micarta is $99.85 and the Suggested Minimum Retail is $69.90. It seems like "DMIR" (dealer minimum retail) and "DMXR" (dealer maximum retail) would be a better nomenclature and would solve a couple problems - but I understand that the factory does not want to dictate, at least on the high side, the dealer sales price (or venues).
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I strongly doubt any manufacturing firm is going to be able to dictate (or want to for that matter) the maximum price of its goods on the end user market.

The minimum pricing makes sense particularly if you want to have more then a few core dealer customers.

If we look at other knife companies, they have this arrangement as well. Benchmade and Spyderco have both been steadily raising their MAP (or SMR in your post.)
 
ooitzoo said:
I strongly doubt any manufacturing firm is going to be able to dictate (or want to for that matter) the maximum price of its goods on the end user market.
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Chris Reeve Knives does. The price is the same at all dealers. Obviously they can't control the secondary market though.
 
I'm pretty sure they do. Otherwise you would of had dealers jacking the price on the new Sebenzas when they were first released.
 
knife_fan said:
I'm pretty sure they do. Otherwise you would of had dealers jacking the price on the new Sebenzas when they were first released.
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They do...I mean, not on plain jane sebs but on the more limited style knives, there is absolutely a difference between dealers.
 
It appears to me GEC and others have a classic undersupply and demand situation, whether by design or capacity or both. It creates a rush of competition to buy and drives up pricing and eliminates the ability to choose vendors and display loyalty to those vendors. This has been hashed and re-hashed. It seems like after the fact is when one realizes all the factors of the sale, as in "I paid more than the next guy" scenarios.

Supply and demand along with disposable income is where this discussion seems to be based.
 
Fire King said:
It appears to me GEC and others have a classic undersupply and demand situation, whether by design or capacity or both. It creates a rush of competition to buy and drives up pricing and eliminates the ability to choose vendors and display loyalty to those vendors. This has been hashed and re-hashed. It seems like after the fact is when one realizes all the factors of the sale, as in "I paid more than the next guy" scenarios.

Supply and demand along with disposable income is where this discussion seems to be based.
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^^^BINGO^^^

This is the reason why threads that go <random dealer / person> is charging more then <$x> for <random thing> are generally pointless. Markets will respond to dislocations in exactly the way described in this thread.
 
ooitzoo said:
^^^BINGO^^^

This is the reason why threads that go <random dealer / person> is charging more then <$x> for <random thing> are generally pointless. Markets will respond to dislocations in exactly the way described in this thread.
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The point of the thread is to bring the talk/complaints about pricing to this subforum, rather than the traditional forum (where it is against the rules) so the mods don’t have to deal with the headache of deleting posts and chastising people.

I think it’s serving it’s purpose perfectly.
 
Fixall said:
The point of the thread is to bring the talk/complaints about pricing to this subforum, rather than the traditional forum (where it is against the rules) so the mods don’t have to deal with the headache of deleting posts and chastising people.

I think it’s serving it’s purpose perfectly.
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I don't think that's the case.

The purpose is what? To have a cry because the price of a knife has gone up? In that case, yes I suppose so but why are grown adults complaining about such things. Other then that, I am struggling to see the point.
 
ooitzoo said:
Respectfully, I don't understand. Why does it matter that its a new release? If there is a secondary "scalper" market that means the knife is under-priced, right? If so, what's the difference whether its a new release vs. something that's more established?

I can't believe how much smarter the people are in NYC....... I'm from Rochester and 71 years old and I'm in awe.... I've seen you educate people today one after another..... It's pleasure to have such a well educated individual participate in this thread....




You're calling GEC to confirm what precisely? I mean, the price is the price. If they want to charge you the price of a small aircraft for the knife that's their prerogative. You're under no obligation to buy it but the pricing is the dealers call.

Essentially, without knowing it, you're doing precisely what's expected in a free market. You're choosing to give your business (a $ vote effectively) to a dealer that either has better pricing or a better rep (both I think from reading your statement.)
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HEMI 49 said:
I can't believe how much smarter the people are in NYC....... I'm from Rochester and 71 years old and I'm in awe.... I've seen you educate people today one after another..... It's pleasure to have such a well educated individual participate in this thread....
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I'm glad that my genius is FINALLY being recognized ;)
 
ooitzoo said:
I don't think that's the case.

The purpose is what? To have a cry because the price of a knife has gone up? In that case, yes I suppose so but why are grown adults complaining about such things. Other then that, I am struggling to see the point.
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It's a knife forum. Specifically a sub-forum for "This is your area to tell about your experiences (Good or Bad) with dealers, sellers, and individuals you've bought, sold, and traded with".

Some folks find it useful to hear about what dealers are charging more than others.

Why are you even here reading this if you don't want to hear about it? Find a short pier and take a long walk on it.
 
Vote with your money. I’m choosing not to buy anymore GECs because I have 9 great users/keepers and literally can’t justify having anymore. It’s just a coincidence all of this is going down now. There is way more demand then what GEC can and chooses to pump out of the factory. It’s 2020, would anyone else expect any less!!??
 
We need all of our GEC dealers to stay in business. Price fixing never works. If you do not like the price of a knife , do not buy it. My dealer always charges always little more. If a knife cost $80.40 , he charges $81. It makes it easy on him round off to the nearest dollar. I bought two hats from him today. I had to buy an orange one during the check out. GEC is sending him his first batch of Kingwood #19 knives and a few more blue GEC hats. So when I receive my Kingwood #19 , the two GEC hats will be blue in the box. I am giving one to my neighbor's child that makes straight AAAs in private school. Hank is pocket knife Krazy. My dealer tries to find me the phattest Sambar Stag so I can open the knife easier.
Fixall said:
Funny you bring that up. On the last order from Gunstock I was charged a $5.50 shipping fee and $9.45 WA state tax ON TOP of the 30%+ markup.

So a knife that would cost me $69.90 at DLT or KSF would cost me $102.33 at Gunstock Jack's (and the markup on the Sambar stag GEC #74 was even bigger). Even if I add tax and $5 shipping to the DLT/KSF price I only end up at $81.
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Mr. Barry is a Blade Forums supporter. Mr. Barry was the first dealer that I purchased a GEC knife from. He is trying to survive . 2021 will be the worst time in American History to own a small business. Taxes , gas prices , cost of materials , and crazy regulations are coming ahead in 2021. Every GEC dealer is scared of losing everything they own. Every knife that they sell is their property until you pay their price. The GEC dealers are the real risk takers. GEC dealers are not getting rich from selling knives. If you don't like the price , don't buy it. Some GEC dealers sell knives to better their knife collections. None of us might be able to buy knives in years to come. Look at the school teacher that sold antiques and GEC knives on line. She went of business in early 2019. Without the GEC dealers and the internet ,GEC could not survive. If you live in WA State , you have to pay that state tax or Mr. Barry will have to pay it. I live in S.C. If buy anything for a S.C. business online , I have to pay S.C. state tax. The average Joe wants a $20 to $50 knife. I am going to buy as many GEC knives from GEC dealers that I can afford. I love to buy from the smaller GEC dealers , even if it cost me a little more. I want to help out my fellow Americans. Bill Howard and the GEC Dealers are job creators. I feel wonderful when I buy a new GEC or CASE XX knife. I makes me feel Patriotic . "Buy American or Starve !"
 
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Yeah Barry is good folks. He hooked me up with my first Beer Scout years ago. No problems, fair price.

Complaining about stuff like tax and shipping seems a bit well can't say more without hurting some feelings.
 
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