Does Leisure Pro ever sell fake stuff?

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frankc420:
I guess a real question here is, why would a LDS NOT meet a online retailers cost if it would get them the business?

Match LP, make $10, don't match LP, make $0. Honestly, the $10 profit makes more sense to me :)

Because the "loyal" customers who are currently paying the 100% and higher markups will learn about the discounts and also want the same deal and overall profits may well decrease. It is just not as simple as it sounds making the transition from high margin, low volume to high volume, low margin.
 
Splitlip:
I am a a believe in supporting your local shop.
Many manufacturers put limits on how much in discounts an authorized dealer can offer. Leisurepro is not an authorized Scubapro dealer for example, and that is why they can discount the product so much. The downside here is Scubapro will not support equipment purchased through anyone but an authorized dealer. Aside from the loss of the manufacture's lifetime warranty on regs and computer, you would also loose the free parts for life and free batteries. This adds up substanialy.
You should be able still to talk to your LDS.
One of my friends just purchased a $2000.00 Scubapro package from one of our authorized dealers for his son. It was discounted to $1800.00, the max Scubapro will permit. The same package on LP (I just priced it) would be $1500.00. But no Scubapro warranty and no parts for life.
But...... in addition to the 10% discount, the authorized dealer gave them $370.00 in their own "incentives".

That is the key. You appear to be supportiong a local shop that is willing to be seriously competetive. Unfortunately, I have seen SP shops that won't even give the allowable 10% discount unless you are an established customer. And even for established customers, they pretend that their hands are tied and they can't offer anything better than the 10% off. That is the kind of BS that sends smart shoppe3rs elsewhere.
 
awap:
It is just not as simple as it sounds making the transition from high margin, low volume to high volume, low margin.
Particularly in a small or medium size city, where the direct in-store retail sales of scuba gear will never be high volume, no matter how low the prices are. Contrary to what you might think looking at your gear locker, there really is a limit to how much demand there is for scuba gear. :)
 
frankc420:
I guess a real question here is, why would a LDS NOT meet a online retailers cost if it would get them the business?

Match LP, make $10, don't match LP, make $0. Honestly, the $10 profit makes more sense to me :)

It really depends on the mentality of your shop. If I paid $400 for a regulator and LP sells is for $410 its really not worth it to me to sell it to you for a $10 profit.

Once you sell the product you still own it. Anything that goes wrong with it is your responsibility. I know there is a MFR warranty, but things like that dont always work out. There also is a bit of liability that you carry with every product sold, so why would you want to take on that liability for $10?

I don't own a dive shop, but I have to compete with internet companies on a regular basis (and many big box retailers). I will never scare a customer into purchasing from me however like many dive shops do. If the scenario doesnt seem worth the trouble for me I will tell the client that the online price is a great deal and they should take advantage of it. I have yet to have a client complain to me while saying this.
 
awap:
That is the key. You appear to be supportiong a local shop that is willing to be seriously competetive. Unfortunately, I have seen SP shops that won't even give the allowable 10% discount unless you are an established customer. And even for established customers, they pretend that their hands are tied and they can't offer anything better than the 10% off. That is the kind of BS that sends smart shoppe3rs elsewhere.

Or to other brands. I wanted to buy a SP regualator but I refused a support a company that price fixes.
 
awap:
That is the key. You appear to be supportiong a local shop that is willing to be seriously competetive. Unfortunately, I have seen SP shops that won't even give the allowable 10% discount unless you are an established customer. And even for established customers, they pretend that their hands are tied and they can't offer anything better than the 10% off. That is the kind of BS that sends smart shoppe3rs elsewhere.
Agree completely.
Leisurepro is not an authorized dealer of SP and AL for example. So LP does discount more than the 10%. If an authorized dealer does that, he will lose the franchise. I have seen it.
I guess my post was more a response to Frank. Authorized dealers of many products are not allowed to match LP prices. If however, they don't offer incetives such as gas fills, they probably deserve what they get. When I bought my Mk25 and s 600, the shop gave me my 10% plus the equivilient discount in gas fills.
Another example. I bought brand new Jet fins from a LDS. I paid the $100. The shop however threw in and installed Manta spring straps for nothing. The package matched LP.
Some fault probably lies with the mfgs. Which is probably why as rumour has it, some are "sneaking" product to LP ("Iran Contra").
Well I realize this has all been said before. Did not mean to to drag it off topic.
 
Racket:
...so why would you want to take on that liability for $10?

Because scuba divers tend to be accessory junkies AND they tend to upgrade their gear often, especially for new divers like myself. Make a sale with little profit, get your foot in the door. Don't make a sale, most likely lose a customer, forever. I tend to go to the same place I received my good deal from the first time and stay loyal to them. I'm sure most people are that way as well, just assuming here!
 
Splitlip:
...Authorized dealers of many products are not allowed to match LP prices...

I'm sorry but this is incorrect. There MAY be manufacturers out there that say, MAP is the BOTTOM LINE, you CANNOT sell below it. But for the most part, MAP is exactly what the name says, Minimum Advertised Price. Meaning, they cannot put it on the shelf or online with price lower than XX.XX.

If I want a SP reg setup and LP has it for $350 and I go to a DS and say, LP has it for $350, can you give it to me for $275? They can look it up and judge for themselves whether they want to match it. $275 may be really close or below their cost, but that's where a counteroffer comes in, "I can't sell it for $275, there is no profit in it for me at that cost, but I can (a: offer you 10% off the $350 LP is selling it for, b: match it).
 
SP dealers here actualy go around busting each other with hidden cameras and stuff. My favorite shop lost their SP dealership when another dealer squealed about the undercutting...so now I go to LP for almost everything. It's not like the retail shops here do anything for anybody that I have seen, they just struggle to survive. I think the margin is too tight, the taxes too high, the leases prohibitive. The only people in the business of retail gear (here) are people who haven't figured that out (losing proposition) or have so much invested they cannot get out. Which makes it very cutthroat. They pour good money after bad, and then finally go under and a new guy comes along with the same dream and does the same thing. Propping them up just doesn't seem like it does them any favors, it just prolongs the inevidable.

In Hawaii, you are paying gross receipts taxes of 4% even when your business is losing money. It really isn't a viable business from what I've seen. Now maybe somewhere else...but retail costs here are not conducive to competing with a warehouse on-line retailer. So, why should I subsidize that, so I can buy my seven dollar gallon milk, again?
 
frankc420:
I'm sorry but this is incorrect. There MAY be manufacturers out there that say, MAP is the BOTTOM LINE, you CANNOT sell below it. But for the most part, MAP is exactly what the name says, Minimum Advertised Price. Meaning, they cannot put it on the shelf or online with price lower than XX.XX.

If I want a SP reg setup and LP has it for $350 and I go to a DS and say, LP has it for $350, can you give it to me for $275? They can look it up and judge for themselves whether they want to match it. $275 may be really close or below their cost, but that's where a counteroffer comes in, "I can't sell it for $275, there is no profit in it for me at that cost, but I can (a: offer you 10% off the $350 LP is selling it for, b: match it).
I doubt that. I believe it is you who are wrong my friend. LP is NOT an authorized dealer. If an authorized dealer discounts more than 10% on Scubapro they will loose their dealership. Perhaps you are dealing with unauthorized dealers (no lifetime warranty and no parts for life). Or perhaps discontinued items. If something is no longer in the catalogue, the dealer can move.
Otherwise, PM me with the name of your SP dealer. I prepared to drop a grand for my kid in the next couple of weeks. I will gladly admit I am wrong.
 

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