Archived posting to the Leica Users Group, 2005/06/29

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Subject: [Leica] where oh where is the DMR?
From: York915 at msn.com (Stephen York)
Date: Wed Jun 29 03:24:46 2005

You may be correct.  I'm speculating a bit.  But how can you explain Tony 
Rose selling an M body w/ USA warranty for about $2650, and making a profit, 
and B&H selling the same body and warranty for $2895?  The same is true for 
the price of lenses when you compare them between the same two retailers.   

What would be interesting is to discover how much mark up there is by the 
importer.

The Leica dealers in my area (South Florida) do not even carry Leica  
products anymore.  They tell me they cost too much to have as inventory.  
They can order anything I want, but it will not be on the shelves.  And yes, 
I agree with you, sales for these items will dwindle, if they do not have it 
in inventory.   

----- Original Message -----
From: Daniel Ridings
Sent: Thursday, June 30, 2005 6:16 AM
To: Leica Users Group
Subject: Re: [Leica] where oh where is the DMR?

20% sounds like a _lot_. That's what we were marking things up with
when I worked at a camera store in St. Louis (Jerfferson Camera Shop)
in the seventies. I have a feeling the profit margin isn't as much
now-a-days, but who knows.

20% isn't much at all if you have to tie up money in inventory for a
long time. You need to have an M7 in stock when the customer comes,
but the customers don't come in every day, so the turn-over is slow.
You can lose your 20% margin in a hurry. If the profit margin is even
less than 20% ... well, you better start looking for another business
to run or a way to keep things just touching down on the shelves
over-night.

Daniel

On 6/30/05, Stephen York <York915@msn.com> wrote:
> Do you mean the profit margin?  I just purchased a Leica rangefinder at 
> dealer costs from a store which was liquidating it's Leica inventory, and 
> it was about $500 less than the price for the  same item  from a store 
> like B&H.  And Tony Rose (www.popflash.com) is always selling his stuff at 
> a couple hundred dollars less than everyone else, and he's still making a 
> profit.  So I figure that the "normal" retailers are making about a 20% 
> profit on Leica items. This would be consistent with the price of the 
> camera and lens which I purchased at this fire sale.
>


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Replies: Reply from richard-lists at imagecraft.com (Richard) ([Leica] where oh where is the DMR?)