Tried to buy local, no sale.

Started Feb 23, 2014 | Discussions thread
Aberaeron Senior Member • Posts: 6,016
Re: Tried to buy local, no sale.

Klarno wrote:

Legislators like to blame the sales taxes not collected on the Internet for the decline of local bricks and mortar stores. But the fact is, it's because the Internet offers a more consistent shopping experience, and lower prices in general even including those cases where you still have to pay sales tax and shipping and handling. Online sellers have much lower overhead then a retail sales floor. Their presence that isn't constricted to one awkward to get to location means they can move more product to a bigger audience. Having the thing now and being able to get your mitts on it isn't worth a 30% markup.

A few years back, the biggest local camera shop had a reasonably priced Leica X1-- $2000. In a case next to it, they had an Olympus E-420 kit (then over a year old) for about a thousand dollars. They didn't understand the basic principle of inventory turns-- they were so desperate to recoup both the price they paid for the camera AND their exorbitant margin that they wouldn't realize that the longer you hold onto a piece of merchandise, the more it costs you to keep around, right up until the point where you'd save money by giving the darn thing away and putting something else in its place. That's why big boxes always run clearance sales. That camera store isn't there anymore.

IMO the best thing to use a camera store for is shopping for camera bags. For cameras and lenses, they're more like porn shops. Fun as they may be to browse, online is just the better choice.

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Retail small/medium bricks and mortar stores really are in deep trouble and it will not get better. They are in competition with vast department stores and supermarkets along with big warehouses selling on the internet. There is just no way that they will survive, no matter what service and expertise they provide locally.

The times, they are a'changing. There is no going back. It is inevitable.  They either adapt to a lower cost structure and spread their costs over a far higher volume at very low margins, or they will almost all fail.

'Service', however good, will not pay the bills. People will touch and feel in their shops but the vast majority of potential customers will buy from the cheapest outlets. Retail physical specialist stores, even chain stores of that type, have high labour, building, insurance and theft costs compared to warehouse outlets.

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