Aqualung's war with Online Consumers

[redacted]

I visited a local AL dealer yesterday and he was telling me that AL is encouraging dealers to deny any service to customers whose gear comes up in the Aqualung database as not purchased from an authorized dealer. That struck me as quite extreme. The kind of anti-consumer tactic used by a few bad shops looks like it is being endorsed and adopted by the USA distributor. I guess they have decided they can't control the AL distribution network and gray market retailers so they are going to take their fight to the consumer.

This may have an interesting impact on the value of used AL gear. I just don't see this working out to AL's advantage in the long run.

 

[PhilEllis]

I visited a local AL dealer yesterday and he was telling me that AL is encouraging dealers to deny any service to customers whose gear comes up in the Aqualung database as not purchased from an authorized dealer. That struck me as quite extreme. The kind of anti-consumer tactic used by a few bad shops looks like it is being endorsed and adopted by the USA distributor. I guess they have decided they can't control the AL distribution network and gray market retailers so they are going to take their fight to the consumer.

This may have an interesting impact on the value of used AL gear. I just don't see this working out to AL's advantage in the long run.

If Aqua Lung has an official position of "encouraging" authorized dealers to deny service for their products based on a search of their serial number database, I would be surprised. However, I WOULD NOT be surprised if that is the "unofficial" position, as advanced by sales reps and others.

While I know nothing about how Aqua Lung operates, there is distinct possibility that there could be an error in the serial number database. It likely requires warehouse personnel to scan serial numbers into a system as they are being packed. This could easily lead to errors. I expect it is highly likely that a box might show one serial number when the actual product is another. This would seem wide open for denying support to an otherwise completely legitimate buyer. Such a policy would also "inhibit" annual service, a policy in place as much to limit liability as any other reason. Certainly, this would be dangerous. Not to mention, it encourages a dealer to restrict income opportunities, all to save or protect some distribution principle that might not be remotely defensible.

Many scuba companies prospered very well under the system of the 1970's and 1980's. Then, all the typical diver knew about was the local scuba store. There could be a gigantic scuba center, with a different brand and different prices, in the next town and you might never know about it. Information didn't flow easily. This system resulted in a quasi-franchise system, even though there was no official franchise. Prices were high and money was made.....by everyone.

Clearly, things are different now. But, some companies long for the "good old days", so much so that they fight tooth and nail to preserve it, even in the face of ample evidence that the old days are gone forever.

Phil Ellis
Discount Scuba Gear at DiveSports.com - Buy Scuba Diving Equipment & Snorkeling Equipment

 

[Skooter]

The fun of internet rumors, deciding between fact and fiction. Over the years AL has put into place their global serial number tracking system to help control the grey market. AL is in no way suggesting to dealers thet they deny service for grey market items. If a dealer is telling you that, he is making that decision on his own and the consumer can respond accordingly to that dealer. AL IS encouraging the dealers to take a few minutes to use the system and track where the equipment is coming from to cut down on free parts service etc if it doesn't qualify. I am not trying to restart the grey market debate, just want the info to be accurate.

 

[Twistedarts]

Either way, if you are not willing to business in the 21st century, then I can not support your brand. I purposely do not own or dive anything from AL or SP for these kinds of reasons. You flow with the market or become irrelevant. In my mind they both are. There are brands of the same/superior quality for a better price that want you to buy their equipment. Yeah, I'm a Sherwood man.

 

[redacted]

The fun of internet rumors, deciding between fact and fiction. Over the years AL has put into place their global serial number tracking system to help control the grey market. AL is in no way suggesting to dealers thet they deny service for grey market items. If a dealer is telling you that, he is making that decision on his own and the consumer can respond accordingly to that dealer. AL IS encouraging the dealers to take a few minutes to use the system and track where the equipment is coming from to cut down on free parts service etc if it doesn't qualify. I am not trying to restart the grey market debate, just want the info to be accurate.

The dealer that I spoke with is a pretty straight shooter. He did say this came out in a sales rep meeting involving about 25 dealers so I suspect Phil is right about it not being an official manufacturer policy. It just surprised me that this was cropping up at a level above a silly initiative by a not-very-smart LDS.

 

[mike_s]

I visited a local AL dealer yesterday and he was telling me that AL is encouraging dealers to deny any service to customers whose gear comes up in the Aqualung database as not purchased from an authorized dealer. That struck me as quite extreme. The kind of anti-consumer tactic used by a few bad shops looks like it is being endorsed and adopted by the USA distributor. I guess they have decided they can't control the AL distribution network and gray market retailers so they are going to take their fight to the consumer.

This may have an interesting impact on the value of used AL gear. I just don't see this working out to AL's advantage in the long run.

Any dive shop that won't service AL gear that is "not under warranty" is just stupid...

They might think they are "winning", but in the end it's just the dive shop that looses. They loose sale of the service, they loose a future customer, they loose all kinds of future sales.

A LDS can make more money selling parts kits at full retail and service labor than they can doing an "annual service" under warranty.

Aqualung might be suggesting doing this... but they are just doing this to promte themselves.

heck... everyone knows that LP gets their product direct from AL anyway, why would AL want add such policies that deters sale of their brand is beyond me.

The dealer that I spoke with is a pretty straight shooter. He did say this came out in a sales rep meeting involving about 25 dealers so I suspect Phil is right about it not being an official manufacturer policy. It just surprised me that this was cropping up at a level above a silly initiative by a not-very-smart LDS.

I bet Phil is right also.... Although Aqualung is not liked well for their customer policies, I doubt they want to put out a written policy that could cause them issues.

this is just AL trying to get the Dive Shops to drink and sell their "Kool-Aid".

 

[rstofer]

Why don't we just assume the rumor is true and avoid AquaLung at every opportunity. Just stop buying the stuff. The survival of AquaLung is not important to divers, there are other manufacturers.

Now, we can't extend the idea to simultaneously include ScubaPro and Oceanic because we have to get quality stuff somewhere. How about just avoiding AquaLung forever and putting the other two on notice. If things don't change, Oceanic is next. I'm saving SP for last simply because they make a couple of decent regulators. In terms of BCs and such, who cares? There is an industry full of small BP/W players.

And just avoid LDSs that even suggest that they won't service your gear. The first hint that there's going to be an issue and you just walk out the door. Just the slightest suggestion that there might possibly be an issue and you're gone. "See ya!" Perhaps the demise of a couple of thousand LDSs will do a lot to change the industriy's point of view on service; customer and equipment.

One thing the customer has is leverage - we have the money and the industry wants it. They need it, have to have it, it's an addiction if they want to stay in business. We, the divers, control the money. We can spend it any way we want.

To put my money where my keyboard goes, I promise to avoid AquaLung on ALL future purchases. Forever...

Richard

 

[beanojones]

Something seems funny about this idea.

Grey market comes from gear bought in one market and trans-shipped to a higher priced market right?

How could AL tell the difference between gear I bought at a AL dealer in the Philippines, and gear LeisurePal (Used as an example here, I have no idea how any place gets their gear) buys from the PI distrbution center?

Is every dealer supposed to key in serial numbers at the point of sale? (That seems very unlikely to ever happen, and even if it did, a place like LeisurePal could just key it in when they bought from the distributor in the Philippines).

Have I got the basc concept of how online places are getting grey market stuff to sell?

 

[JKPAO]

After reading some of this post, I called "my shop". They will service any and all Aqualung regs.
BUT Any regs that are purchased online,(gray market) will not get free parts!
I'm told A policy AL is trying a get a handle on the "free parts"!

 

[PhilEllis]

After reading some of this post, I called "my shop". They will service any and all Aqualung regs.
BUT Any regs that are purchased online,(gray market) will not get free parts!
I'm told A policy AL is trying a get a handle on the "free parts"!

That makes perfect sense and is what I figured the program is about. In that case, it is perfectly reasonable that they would preserve this benefit for merchandise purchased thorough their "official" channels.

Phil Ellis
www.divesports.com