briarbuck
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Leave the gun...take the cannoli.
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Post by briarbuck on Oct 4, 2018 15:18:39 GMT -5
With the current shortage on many blends (for whatever reason) why do retailers sell for lower than MSRP? and in some case 20% off? It makes absolutely no logical sense + an increase of price would even help stabilize inventories. People are panicked + prices are discounted, this obviously will lead to hording. The store sells out in a day and make less profit...brilliant.
It's math and stuff...
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Deleted
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Post by Deleted on Oct 4, 2018 15:22:51 GMT -5
Welcome to America 👌👍👍👍👍. It’s definitely not only tobacco products.
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Post by Deleted on Oct 4, 2018 15:24:07 GMT -5
MSRP is for retail stores
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Post by Quintsrevenge on Oct 4, 2018 15:34:27 GMT -5
MSRP is for retail stores I guess that would be true in other avenues but most states have very few pipe tobacco stores. I have one in a 100 mile radius that sells mostly house blends has a selection of 20 different tins and or pouches. Maybe we are missing something here online retailers are holding up the industry I bet. I have been reading more and more of younger people taking up pipe smoking as a novelty hobby. Tough to read when not a lot of data available.. |
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Post by Deleted on Oct 4, 2018 15:45:44 GMT -5
Because then they would lose all the bottom-feeder "offer you can't refuse" sales to people who really don't need any more tobacco, but can't pass up $3.50 tins or 25% off pipes with free shipping etc. etc.  |
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Post by Dramatwist on Oct 4, 2018 15:51:21 GMT -5
...they make it up in volume sales... how many of us only order one tin of something without it being part of a larger order?
"Free shipping on orders over $100.00"
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Post by Quintsrevenge on Oct 4, 2018 16:00:43 GMT -5
...they make it up in volume sales... how many of us only order one tin of something without it being part of a larger order? "Free shipping on orders over $100.00" It has to be , I read somewhere recently all margin for tobacco products is in pipes and accessories .Believe me or not when I tell you I had a relative who worked for Davidoff cigars, he was given seconds no charge, as well as a 50% discount on everything in the store. |
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Post by That Falls Guy on Oct 4, 2018 16:01:33 GMT -5
I don't care why, I'm just glad that they do!
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Post by Dramatwist on Oct 4, 2018 16:03:54 GMT -5
...they make it up in volume sales... how many of us only order one tin of something without it being part of a larger order? "Free shipping on orders over $100.00" It has to be , I read somewhere recently all margin for tobacco products is in pipes and accessories .Believe me or not when I tell you I had a relative who worked for Davidoff cigars, he was given seconds no charge, as well as a 50% discount on everything in the store. ...typical retail markup is 50%... lots of room to discount and still make money... especially in volume... |
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Screaming Jazz
Junior Member
Enjoying a peaceful night
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Favorite Pipe: Tsuge Sandblasted Bent Billiard
Favorite Tobacco: HH Vintage Syrian
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Post by Screaming Jazz on Oct 4, 2018 16:13:33 GMT -5
I don't need the prices to rise. I don't have the money to spend $15 on every tin I want. I don't think raising the price would solve the supply issue. Look to flipping for proof. Tins and bags go for over double on the secondary market. Looking at the primary market too look at the price of Dan's Salty Dogs. Stuff costs $17 for 50g on SP. Doesn't stop it from being the first Dan's blend to sell out. Raising prices just bring more revenue in for SP, doesn't solve the supply issue.
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Post by Pistol Pete 1911 on Oct 4, 2018 16:23:50 GMT -5
Do we have any shooters on here? do any of you shooters remember paying 7 dollars for 500 .22 rounds? only to later find that the Walmart had sold out and you had to buy them from some shady dude in the parking lot out of his trunk for 75 dollars per 500 rounds? Not saying, just saying!
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Post by Deleted on Oct 4, 2018 16:25:33 GMT -5
It has to be , I read somewhere recently all margin for tobacco products is in pipes and accessories .Believe me or not when I tell you I had a relative who worked for Davidoff cigars, he was given seconds no charge, as well as a 50% discount on everything in the store. ...typical retail markup is 50%... lots of room to discount and still make money... especially in volume... Like I stated earlier....” Welcome to America “! PS
For all y’all that don’t know....many Countries that I’ve been to have what’s called “ fixed pricing “... the governments set a price and that’s it. It’s caused me issues in two Countries.
So again I’ll say......” Welcome to America “👌👍👍 |
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Post by roadsdiverged on Oct 4, 2018 16:29:19 GMT -5
Do we have any shooters on here? do any of you shooters remember paying 7 dollars for 500 .22 rounds? only to later find that the Walmart had sold out and you had to buy them from some shady dude in the parking lot out of his trunk for 75 dollars per 500 rounds? Not saying, just saying! I remember this and was just talking to my son about it the other day. I'm moving him up from the BB gun to my trusty .22. Went to the store to buy a cube of bullets and it was $35. Its still cheaper than they were a year ago when I couldn't find them cheaper than 69.95. Me and buddies used to shoot small targets at long distance. It was nothing to go through a few boxes in a weekend. MSRP is "Suggested." Personally, I like not paying full price. |
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Post by Quintsrevenge on Oct 4, 2018 16:36:05 GMT -5
Do we have any shooters on here? do any of you shooters remember paying 7 dollars for 500 .22 rounds? only to later find that the Walmart had sold out and you had to buy them from some shady dude in the parking lot out of his trunk for 75 dollars per 500 rounds? Not saying, just saying! I remember the craziness of .22 prices and Walmart. Now they gave away .22 like its nothing , supply and demand. |
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Post by Deleted on Oct 4, 2018 16:37:30 GMT -5
Do we have any shooters on here? do any of you shooters remember paying 7 dollars for 500 .22 rounds? only to later find that the Walmart had sold out and you had to buy them from some shady dude in the parking lot out of his trunk for 75 dollars per 500 rounds? Not saying, just saying! A few weeks ago I purchased FIOCCHI .22 WMR ammunition 50 rounds for $9.90. Me personally, I’d never purchase ammo from any street vendor....it’s been tried and I keep walking. But I do remember roughly four years ago .22 of any type was almost impossible to find. PS
Take a guess “ WHO “ controls tha amount of ammo released to the public?? You probably guessed correct and can not be discussed further on here!! |
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Post by Pistol Pete 1911 on Oct 4, 2018 16:39:57 GMT -5
Do we have any shooters on here? do any of you shooters remember paying 7 dollars for 500 .22 rounds? only to later find that the Walmart had sold out and you had to buy them from some shady dude in the parking lot out of his trunk for 75 dollars per 500 rounds? Not saying, just saying! I remember this and was just talking to my son about it the other day. I'm moving him up from the BB gun to my trusty .22. Went to the store to buy a cube of bullets and it was $35. Its still cheaper than they were a year ago when I couldn't find them cheaper than 69.95. Me and buddies used to shoot small targets at long distance. It was nothing to go through a few boxes in a weekend. MSRP is "Suggested." Personally, I like not paying full price. I'm with ya! ![]()  |
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Post by Pistol Pete 1911 on Oct 4, 2018 16:42:01 GMT -5
I saw it coming when he was in his first term and every time I would go into a Walmart I would buy a brick and now I have about 20,000 .22's
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Post by roadsdiverged on Oct 4, 2018 16:42:08 GMT -5
Now I gotta go dig mine out!
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Post by Pistol Pete 1911 on Oct 4, 2018 16:44:41 GMT -5
I had to move I kept shooting thru the big hole when breaking in the barrel  |
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Post by roadsdiverged on Oct 4, 2018 16:48:45 GMT -5
Nice group. How far? I need to shoot mine this weekend.  |
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Post by Pistol Pete 1911 on Oct 4, 2018 17:02:25 GMT -5
nice very nice
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Post by jeffd on Oct 4, 2018 17:29:40 GMT -5
Tobacco company doesn't ultimately care if you smoke it or cellar it, once you have bought it.
I think one motive for keeping the prices low is they know that there is this huge stock pile in everyone's cellar which they are competing with. At what price do you refrain from buying and live off the cellar until prices come down? With a cellar the buyer has much much more flexibility and can manage price changes within a wider limit.
If everyone only bought to use, and bought when needed, I don't wonder if the prices would be higher because, what are you going to do about?
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Post by monbla256 on Oct 4, 2018 17:46:07 GMT -5
To get back on topic, all of this "pricing" stuff is FREE ENTERPRISE! It's the GREAT AMERICAN WAY !! Yeah CAPITALISM !  |
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Post by zambini on Oct 4, 2018 17:52:02 GMT -5
With the current shortage on many blends (for whatever reason) why do retailers sell for lower than MSRP? and in some case 20% off? It makes absolutely no logical sense + an increase of price would even help stabilize inventories. People are panicked + prices are discounted, this obviously will lead to hording. The store sells out in a day and make less profit...brilliant. It's math and stuff... I've been curious about the low prices and chronic shortage question for a while now. I posted some numbers in another thread last year but the gist of the argument was that: a) the number of individual buyers is declining, b) the exit of competitors from the market place is creating plays for market share, c) tobacco use is habit forming, and d) with few other avenues to raise awareness of a product direct-marketing is still a worthwhile proposition for companies. Keep in mind that the US market is unique around the world for its size, legal diversity, and practices (e.g. bulk purchases and cellaring) as well. In short the tobacco companies seem to be aiming for customers willing to panic buy and cellar in order to raise the level of total sales not too dissimilar from the gun company example others have mentioned. I'm also not a fan of the secondary market as I don't think it's in the long-term interests of the industry (and mine). I remember sablebrush52 having a different take from my own on the issue.
In terms of individual blends, a lot of companies are buying crop at fixed prices ahead of time instead of relying on spot sales. Since agricultural production is cyclical they may be willing to unload product at a reduced profit if only to open up storage and processing space in existing facilities.
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Post by trailboss on Oct 4, 2018 17:57:41 GMT -5
I am all for the cheap supply we have now.... I would hate to pay what most of the world does .
The local tobacconist’s must hate the big distributors that can sell far cheaper than they can.
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Post by zambini on Oct 4, 2018 17:59:40 GMT -5
I am all for the cheap supply we have now.... I would hate to pay what most of the world does . The local tobacconist’s must hate the big distributors that can sell far cheaper than they can. Totally on board, how places like Iwan Reis, Wilke's, or Peretti's survive speaks to something else entirely. We have seen Kramer's close recently though. |
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Post by Deleted on Oct 4, 2018 18:25:51 GMT -5
Trust me, there making a profit, otherwise they wouldn't be in business very long.
And as others said, MSRP is only an inflated Suggested Price. One that makes you think your getting a deal when your not.
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Post by daveinlax on Oct 4, 2018 18:50:15 GMT -5
IMO there really isn't a standard MSRP for pipe tobacco and why most pipes are now cigar shops selling price protected cigars to guys who are happy just to have a place to light up in comfort.  |
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Post by McWiggins on Oct 4, 2018 19:00:16 GMT -5
I dont know enough about the economics of the business but I do know Im happy I dont pay the prices other countries do for tobacco let alone other products like food and I know to put away what I can, while I can before things go to hell.
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Post by Pistol Pete 1911 on Oct 4, 2018 19:04:40 GMT -5
to break in the barrel 25yds but it will shoot a Lil farther lol |
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