Local Vs. Internet price

Greenmind

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So I'm looking to buy a new lens. The Canon 70-300 IS. I'd really like to buy from the local shop because I like the place and appreciate local businesses and I would also get to try it out before I bought it. Unfortunately their price is about $150 more expensive than what I would pay from a reputable online shop like bhphoto.com etc and I would pay about $40-50 in tax. I called and asked about price matching and the guy I spoke to who is the owner/manager informed me that Canon would not allow them to sell the lens for less than $699. How is it online shops can sell for $550 while a "local" shop (there are multiple stores in multiple locations in the state) isn't allowed to sell for less than a certain price. He also told me that $550 is less than what he pays for the lens.

I don't know what to believe. Does this make sense?
 
So I'm looking to buy a new lens. The Canon 70-300 IS. I'd really
like to buy from the local shop because I like the place and
appreciate local businesses and I would also get to try it out
before I bought it. Unfortunately their price is about $150 more
expensive than what I would pay from a reputable online shop like
bhphoto.com etc and I would pay about $40-50 in tax. I called and
asked about price matching and the guy I spoke to who is the
owner/manager informed me that Canon would not allow them to sell
the lens for less than $699. How is it online shops can sell for
$550 while a "local" shop (there are multiple stores in multiple
locations in the state) isn't allowed to sell for less than a
certain price. He also told me that $550 is less than what he pays
for the lens.

I don't know what to believe. Does this make sense?
The more business you do the bigger the volume discount. The local guy's volume is probably 100X smaller than B&H, so he gets a much smaller discount.

Small stores cannot complete with a major retailer like B&H on price. The small guys have to provide better service and specialized skills that the bigger store cannot, or will not, provide. If not, the small guy goes out of business.

--
jerryk.smugmug.com
 
That makes sense. I guess I was more confused by how he said it. "Canon won't even allow us to sell at that price." I took it to be more of a contracted agreement to sell above a certain price when actually it was just his way of saying "we can't get it cheap enough to sell for that".
 
Unless you know what his agreement is with Canon you really have no way of knowing what his restrictions are and it is probably no use speculating.

Big retailers can make manufactures do all sorts of things that the small guy cannot. For example, Best Buy has made some flat panel TV manufactures change their model numbers. They give no reason, but one side effect is it prevents customers from exercising a "price match" guarantee, since no one else sells the same model.

--
jerryk.smugmug.com
 
That makes sense. I guess I was more confused by how he said it.
"Canon won't even allow us to sell at that price."
They need to make $100 profit to pay their staff and small store fees on a lens like that. Big stores are in: Walmart, Best Buy, Home Depot. Many small stores are going out of business and have gone out of business in other markets than just photography.
 
I feel pretty much as you do. I would like to support my local shop, but he stocks so little I can almost guarantee he will not have the items that interest me. The local shop owner always says he can special order a lens for me, but I can actually get the lens in my hands faster and far cheaper buying online.

I don't know how the little local guys stay in business.

I now buy online (almost exclusively). It's not worth my time to even stop at the local shop anymore; they don't stock anything of even moderate quality (all cheap stuff).

Good luck,

jgb
So I'm looking to buy a new lens. The Canon 70-300 IS. I'd really
like to buy from the local shop because I like the place and
appreciate local businesses and I would also get to try it out
before I bought it. Unfortunately their price is about $150 more
expensive than what I would pay from a reputable online shop like
bhphoto.com etc and I would pay about $40-50 in tax. I called and
asked about price matching and the guy I spoke to who is the
owner/manager informed me that Canon would not allow them to sell
the lens for less than $699. How is it online shops can sell for
$550 while a "local" shop (there are multiple stores in multiple
locations in the state) isn't allowed to sell for less than a
certain price. He also told me that $550 is less than what he pays
for the lens.

I don't know what to believe. Does this make sense?
--
Galleries: http://www.pbase.com/jon_b
 
yeah the idea of "supporting the little guy" is sort of an antiquated notion, why support someone who is not competeing in the same ballpark as an online merchant. i've been to a couple creve couer camera and wolf camera shops in st louis, and i've found that

their prices are ridiculously higher than those online. $600 for a 28-135IS? yeah, right.

the staff isn't as knowledgeable as you'd think, that hardly makes it worth it. you can go in there and say "i want to buy this" and they will try to talk you out of it or suggest something else. look, i did all the research already. just ring it up and let me pay for it. some woman at a CCC gave me the third degree when i tried to buy an air blower for my rebel, because it's suggested that you use a vacuum system. well i don't care, i want to buy this, scan it, tender my cash, give me my change, and keep your yap shut. i got home to read the procedure for cleaning the sensor, and sure enough right there in the manual it says that a blower is recommended.

they don't stock a lot of items. about 6 months ago i was in a different CCC and i asked about testing out a 70-300IS, they said they had none in stock. okay, well what about a 17-85IS? backordered. one of the other salesman chirped in, he has been waitlisted for one for 5 months. wow, these things must be in high demand, right? i get home, B&H has plenty of them.

if they can't compete with an online merchant in simple areas such as ordering a lens that is not in stock, helping me check out without second guessing my purchase or trying to upsell me on other items, or even keeping competetive pricing (no matter what the reason), then why should i buy from a local store just to "support the local guy"?

local guy needs to support himself.
 
Where are you located? I shop almost exclusively at a "little guy" who matches B&H prices and usually has anything I need in stock. OK so I have to pay some taxes...BFD! I get a great selection, an expert staff, and decent prices plus don't have any kind of hassle if I need to return something. Plus, he has a good rapport with Canon!

Chris
 
The more business you do the bigger the volume discount. The local
guy's volume is probably 100X smaller than B&H, so he gets a much
smaller discount.

Small stores cannot complete with a major retailer like B&H on
price. The small guys have to provide better service and
specialized skills that the bigger store cannot, or will not,
provide. If not, the small guy goes out of business.

--
jerryk.smugmug.com
I have boughjt locally for 30+ years... long before internet online stores were an option. I kept up my local loyalty even though it cost more, I decided it wasn't going to "make me or break me", and it was worth it in terms of good advice, service, friendship, and good PR on both sides of the transaction. In turn, I received more llittle perks than you can imagine, from cleaning my sensor for free, to giving me the best price they could and shoveling little Canon freebies my way. Alas, in the long term, it didn't help, because as we speak my full service camera store is closing its doors.

What a shame that the mom and pop brick and mortar places where we could "feel the goods' is fast disappearing.

I did my part !

carolyn
--
Ranger a.k.a chammett
http://www.pbase.com/chammett

'elegance is simplicity'
 
Where are you located? I shop almost exclusively at a "little guy"
who matches B&H prices and usually has anything I need in stock. OK
so I have to pay some taxes...BFD! I get a great selection, an
expert staff, and decent prices plus don't have any kind of hassle
if I need to return something. Plus, he has a good rapport with
Canon!

Chris
I forgot to mention that in my reply above. That was a BIG plus in my local store dealings. The rep was in the store fairly often and was available by phone anytime to answer quesitons about availabilty of something I wanted to order.

I'm sad because the fun of camera talk is gone and purchases are so impersonal with the online guys.

carolyn
--
Ranger a.k.a chammett
http://www.pbase.com/chammett

'elegance is simplicity'
 
It's too bad really. When I think of the $ I've spent on camera equipment, my local camera shop could have made a great deal of money if they could compete.

Regards,

jgb
yeah the idea of "supporting the little guy" is sort of an
antiquated notion, why support someone who is not competeing in the
same ballpark as an online merchant. i've been to a couple creve
couer camera and wolf camera shops in st louis, and i've found that

their prices are ridiculously higher than those online. $600 for a
28-135IS? yeah, right.

the staff isn't as knowledgeable as you'd think, that hardly makes
it worth it. you can go in there and say "i want to buy this" and
they will try to talk you out of it or suggest something else.
look, i did all the research already. just ring it up and let me
pay for it. some woman at a CCC gave me the third degree when i
tried to buy an air blower for my rebel, because it's suggested
that you use a vacuum system. well i don't care, i want to buy
this, scan it, tender my cash, give me my change, and keep your yap
shut. i got home to read the procedure for cleaning the sensor, and
sure enough right there in the manual it says that a blower is
recommended.

they don't stock a lot of items. about 6 months ago i was in a
different CCC and i asked about testing out a 70-300IS, they said
they had none in stock. okay, well what about a 17-85IS?
backordered. one of the other salesman chirped in, he has been
waitlisted for one for 5 months. wow, these things must be in high
demand, right? i get home, B&H has plenty of them.

if they can't compete with an online merchant in simple areas such
as ordering a lens that is not in stock, helping me check out
without second guessing my purchase or trying to upsell me on other
items, or even keeping competetive pricing (no matter what the
reason), then why should i buy from a local store just to "support
the local guy"?

local guy needs to support himself.
--
Galleries: http://www.pbase.com/jon_b
 
I feel pretty much as you do. I would like to support my local
shop, but he stocks so little I can almost guarantee he will not
have the items that interest me. The local shop owner always says
he can special order a lens for me, but I can actually get the lens
in my hands faster and far cheaper buying online.
The one remaining local camera shop that sells Canon SLR gear
operates the same way. It makes sense to me: stock costs money,
and some of it is depreciated by handling by "prospective buyers."
In the meantime, a good percentage of those prospects come in
to touch & feel the merchandise before turning around and ordering
it online and then complaining on a bboard such as this about the
"greedy" or sometimes just plain "stupid" local shop owner for not
trying to compete on price with the on-line emporiums.

I put some of my business through the local guy, figuring that it's
good for the hobby/profession, and thus me, to have him around,
but it's probably only a matter of time before he goes under, or
just decides that he's had enough.
him anyway.
 
My loyalty is strictly with my bottom line. I couldn't care less about the whole "mom-and-pop" concept. They don't subsidize my income, so why should I do the same for them?

I understand nostalgia for a time in which things were different, but let's wake up and smell the coffee: the little shop around the corner is becoming less relevant by the second in this globally-connected marketplace. It is not cruelty on my behalf for thinking this; it is realizing obsolescence when I see it.

I have not made any significant purchases locally in several years (OK, except for our house and cars). I could not live with myself knowing that I paid more than I had to for an item. pricegrabber, nextag, google -- love these tools.

Mom and pop could get in line with the realities of our world, or they could just retire and go to Florida.

Nick
 
Well, there is no way you can't "touch and feel" the merchandise at the camera stores where I live. They only stock cheap lenses and accessories. You can only get your hands on the moderate or higher quality merchandise by having them "ordered in". In the mean time you can buy it for 25% less and have it in your hands in less than half the time by going to the internet. Try buying even some moderate priced lens like a Canon 85 1.8, or a Tamron 28-75, and it will take you at least a couple of weeks while the retailer tries to get one from his distributor.

If you are ever in Milwaukee, stop in at Art's Cameras and see what I mean.

Sad but true.
In the meantime, a good percentage of those prospects come in
to touch & feel the merchandise before turning around and ordering
it online and then complaining on a bboard such as this about the
"greedy" or sometimes just plain "stupid" local shop owner for not
trying to compete on price with the on-line emporiums.
--
Galleries: http://www.pbase.com/jon_b
 
I am in a similar situation but with a big twist since I am from the Philippines. I am looking at the 70-200 F2.8 IS. The best local price I can get is about $1916. Compared to BH's price, $1599, plus about $75 shipping, its a $242 difference.

Considering product knowledge and service, I would rate them even. BH can't provide me with this and my local store, or most of the stores here, is not manned by photographers so they don't know a lot of stuff either.

My only consideration is whether to save $242 and risk shipping damaged or faulty product. Does anybody think its worth the risk?
 
since you are in Phillipines, why dont you get it from Hong Kong,

http://www.tincheungcamera.com.hk/

you can get a better price as I do get my stuff from them only...
---------------------------------------------------------
Canon XTi
ef-s 18-55, ef-s17-85, ef-s 60mm Macro
 
Pricewise it seems to depend on the lens, ones in high demand seem to sell at prices competitive with the online guys while less publicised ones seem to carry a fairly high profit margin. It's a good idea to ask the guy at the counter what the pricing really is on some of the lenses. I say this because I man the camera section of a fairly large Canadian electronics chain and the guys high up occasionally will set a too-high profit margin on lenses as they are accesories according to some. I set my own prices according to what I see online and elsewhere (as much as possible anyway) For example, we have the 70-200 F4 non IS tagged at $1050 canadian, but I sell them to customers at $799 CDN because I know what the competitive prices are. Trust me, us brick and mortar guys appreciate the business and it's always nice to talk to fellow photogs and share tips or shooting locations. I think our customers appreciate the fact that they can try out their stock first as well. Also, as my store is more of a general electronics store I don't and can't stock everything, but we have the usual cheap stuff (75-300, 50 1.8, etc.) always in stock and for example my L's right now are the 16-35, 70-200 F4L, 70-200 F2.8 IS, 100-400L, as well as EF-S 10-22 and 17-55. So we're not that under stocked! Sorry I'm trying to sell you on brick and mortar, but I think people will be sorry if specialty camera shops all go under and retailers like mine stop selling DSLR gear. I've had enough issues with ebay. Thats my 2 cents.
-Scott
 
I also like to support local businessmen.

But don't want to get raped by them either, and won't tolerate poor service just to make myself feel good.

My personal rule of thumb is I'll pay 10% more for good personal service, be a local guy or otherwise.

But if I am going to get bad service, I'm not going to pay a premium for it.

I do not have a true local shop near me. I've hunted for one. Just a poorly staffed Ritz, and Circuit City. So I've gotten eveything from B&H. The service I want, and great prices.

--
http://www.pbase.com/amateurone
 
I haven't done all the math but I think I could fly to NYC the next time I have a large purchase and still save money buying at B&H.

Take the 70-200 2.8 IS. Including tax locally it would be $2,160 and at B&H $1,700. If you're buying multiple items of course it's even more compelling. (Though you have to pay shipping to your home state from B&H to avoid sales tax.)

It's a hassle, but I like visiting NY, and the service I've received from B&H towers over that I've gotten locally. There are good shops locally, and there are qualified salespeople, but they're rare where I live.

--Jeff
 
S the guy I spoke to who is the
owner/manager informed me that Canon would not allow them to sell
the lens for less than $699.

I don't know what to believe. Does this make sense?
Do not think this is true. Canon will not let him advertise for less than $699. But he can sell it for what ever he wants.

That is why the web sites will list $699 and then say click here for our low price.
 

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