rocketman Posted April 10, 2011 Share Posted April 10, 2011 I talked about this a long time ago, but I still don't understand this. Here is an ES-359 with a plain top selling for $3,009.00. Here is an ES-359 with a AAA top selling for $2,999.00! Before, I attributed this to supply and demand, but that was a long time ago. Can it still be a supply and demand issue? Note that the plain top 339 is going for $1,999.00 (see here), while the figured top is going for $3,249.00 (see here), which is $250 more than what it was last year. So what's up? I just don't this. Anybody else got examples like this? Link to comment Share on other sites More sharing options...
damian Posted April 10, 2011 Share Posted April 10, 2011 I fully understand............I shop carefully, I'm retired on disability, and I still buy geetars..............it's crazy for sure........ Link to comment Share on other sites More sharing options...
jnastynebr Posted April 11, 2011 Share Posted April 11, 2011 GC/MF does not like to keep stock around. I am not sure about their policies on Private Stock items, but I assume its centered on moving inventory. Both companies liquidate discontinued models and last year's units by offering discounted prices. When I lived in Lincoln last year, our GC had an R8 with some nice flame that had been in stock for almost 2 years and was clearance priced. They also had a recent arrival exclusive run R8 with a plain top. The clearance R8 with the flame was only $20 more than than the new plain top. Anyway, that's the only explanation that I can offer. I could be way off, but who knows? Link to comment Share on other sites More sharing options...
ChanMan Posted April 11, 2011 Share Posted April 11, 2011 It's MF... who knows the strange workings of their masterful marketing department???? Evil genious is still genious! Link to comment Share on other sites More sharing options...
jaxson50 Posted April 11, 2011 Share Posted April 11, 2011 Inventory is a double edged sword to all retail business. Even a company as large as GC or MF has to order large stocks from makers to get price point down. The problem is the makers demand that you buy a certain amount every quarter... It is common for the makers and major wholesalers to extend credit to companies to pay for inventory on what is called a 30-60-90....how it works is, lets say you have a car dealership, and you have to buy 150 cars every quarter but you don't have that much cash, the make will sell them to you on a contract where you pay one third of the cost of every 30 days, and must pay the balance for each quarterly order within 90 days. You get a buy back if you pay off the balance before the 90 day contract expires. there are also incentives to buy certain models and what are called "spiffs" for selling overstock the maker of wholesaler may have on hand. So....when you go by a car dealer always ask the salesman if they have any 90 day stock they are willing to deal on and chances are you will get a good deal...the same is true of music stores... When you hear about large chain stores like Circuit City or Best Buy having credit problems and you wonder how a large company can get in trouble? It is easy..Order a large stock of stuff that doesn't sell...Not only do you have the payment to the makers & wholesalers but in many states you also have to pay inventory tax... Ever wonder why sometimes you see a fully loaded car or truck on sale for less then the same model with fewer bells and whistles? That is why... For dealers of things like musical instruments, jewelry, electronics and fashion, the Christmas season can really kill you,,you have to place orders in Sept. or Oct. and hope you have good sales, if you don't you will be dumping some very expensive items for less then cost just to pay off you're inventory loan...then of course in order to keep the franchise or to remain a dealer for a maker like Gibson, you must make you're purchase obligation for the next quarter! Link to comment Share on other sites More sharing options...
Mojorule Posted April 11, 2011 Share Posted April 11, 2011 Great thread. Politics may be banned, but Economics is a fine subject for conversation. I shall read and learn! Link to comment Share on other sites More sharing options...
rocketman Posted April 12, 2011 Author Share Posted April 12, 2011 Wow, jaxson50, that is a great explanation. I'll stick to rocket scientry which requires less thought for me. I do understand what you are saying though, but the 359 price difference has been there for over a year. It may be that they haven't sold any AAA 359's but one would think they would have by now. I could be wrong though... Link to comment Share on other sites More sharing options...
jaxson50 Posted April 12, 2011 Share Posted April 12, 2011 Or it could be that Gibson has offered them a spiff to sell it cheaper to make room for new stock, or it could have been sold, returned and is being resold as new..GC does that all the time and they also ship stock from store to store... Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.