Goex Upsetting Dealers

[maillemaker]

I would not be surprised if dealers are upset with Goex for staking out an expected price point for consumers.

It's hard for local mom and pop shops. None around here carry real BP anymore because you have to have special storage facilities, and special license permits, all for maybe $4-$5 in revenue per pound of powder.

I'll probably continue to buy mail order from Powder Inc. Seems to be the best deal when buying powder in bulk, which I do. I go through 15-20 pounds a year now with 3 competition shooters in the house plus making up ammo for new team mates as needed.

 

[BillyC]

That's part of the problem. People don't want to pay market value for anything. I work in a gun store, and we don't stock some ammunition because people won't buy it at the current price.

Market value is what customers are willing to pay. If they won’t buy it at that price then it is not market value. Now if the manufacturer can’t make a profit at lower than that price, then they should probably stop making it.

 

[DixieTexian]

Typically, guns and ammunition have a pretty low margin, while accessories and accoutrements have a more traditional margin of around 50%. The strategy most successful shops use is to try and sell guns and ammo at competitive prices so that the customer will also buy other stuff at better margins, however it sounds like some shops don't want to be in business that bad and would rather skip out on customers (who are willing to drive considerable distances to buy powder locally even if it means paying a little extra) coming in their door in the first place.

 

[SDSmlf]

I would not be surprised if dealers are upset with Goex for staking out an expected price point for consumers.

I wonder why we didn’t hear about the uprising with WallyWorld selling percussion caps for under $6 a tin with many other retailers asking and getting anywhere from $12 to over $20 for that same tin. I can’t imagine WallyWorld, even with their volume buying advantage, is paying CCI one price and others are paying two or three times as much. But somehow the market is limping along and selling caps. Supply and demand.

It would be interesting if @rangerzdral could provide the source of the rumor mentioned in their OP. Talked to three local shops that used sell blackpowder that no longer sell it. It’s just not worth the grief for what it takes to stock and sell it for the amount of sales generated. Nothing to do with Goex and Friendship.

Rumor has it Goex has upset many of their vendors/dealers by not stocking them up first before deciding to sell powder direct to customers at Friendship, at a lower price than most dealers sell it for.

 

[64Springer]

That's part of the problem. People don't want to pay market value for anything. I work in a gun store, and we don't stock some ammunition because people won't buy it at the current price.

Gun shops don't sell at market value or anything remotely close to market value. Those days are long gone. And gun shops are suffering for it. Due to self-inflicted wounds. Let them bleed out.

European powder is 20 bucks a pound. And that's after train and truck and ship and plane shipping costs to get it to American shores.

But low rent trailer park brick and mortar stores are charging 40 plus per pound for powder made their own GD backyard. With no shipping charges.

American gun shops have turned into shyster shops. Pure and simple.

I can't remember the last time I visited a brick and mortar gun shop. Due to outrageous, bend the customer over the counter, pricing.