Posted 13 November 2009 - 10:24 AM
Problem is... for him.. and for a lot of us in the gun world, he can't get wholesale bulk pricing as good as the bigger folks. The sad fact is.. your local store, selling that ammo for $7.99, is probably making a bigger profit margin on the ammo than this online dude is getting for his. Weird.. I know...
Who is worse.. the place that can get the lower prices, of say $4 a box, and sells it at 100% mark up? Or the place that pays $6.50 wholesale.. and sells it for 60% mark up?
To us consumers, the lower price looks best. Its something I ran into at WG a lot. Who is giving the better deal to clients? The factory that spends $2.50 on making a set of grips.. and sells them for $30 a pop? Or the shop that spends $120 on a set.. and sells it for $150 on the website? The high price guys look like jerks many times.. but if you look closer, the low price guys can be the bigger profit whores.
My local store is selling Prvi Partisan .380 for $39.95 a box.. a completely insane price. They order ammo by the pallet.. I know their wholesale price was about $11.50 a box.
My local Meijer's.. a large chain store up this way, is selling that PMC .223 for $9.00 a box as well... but they are the true rip offs.. as they, being a chain store, probably got it for about $3.99 a box when order a pallet of it from the supplier for their warehouse. This guy above probably got the case price.. and is still offering it at the chain store price.. and making a lot less for it.
AIM surplus just sold me a few boxes of .380 WWB for $17.99.. one online source that kept their prices halfway low. One big boy in the biz I know who stayed as low as they could.
Its hard to start a new business selling ammo... the only way to beat the big companies is to order pallets of cases of the same brand & size.. just to get the price down to be competitive. If anyone is crazy gouging these days.. its those big boys making 200%+ mark up!
Not to be contrary.. or be a jerk.. You know I got mad love for ya guys! Its just that owning two seperate small businesses now, I can tell you how f'd up the wholesale world can be.