Duane,
I think you're saying the same thing as I am in different words.
The same economic pressures apply to the JA companies, but they aren't
doing direct sales. They could set up US direct sales channels if
they wanted. I suppose they would find it hard to provide sale &
after-sale support that TT does so well. They are playing
"IBM/Lenovo" to Ten-Tec's "Dell".
73 Martin AA6E
On 7/23/05, Duane A Calvin <ac5aa@juno.com> wrote:
> I think you're getting confused. They would sell to the dealer at the
> same price they sell to us minus the small percentage the returns program
> costs them. At the current margin rates in the dealer/mfgr arrangement
> of ~10%, you'd be paying at least 10% more each for a TT rig. With no
> return priviledges. The reason they went direct was so they could be
> more competitive. The returns policy was to balance out that you
> couldn't go to a dealer and spin the dials to see if you liked it.
> That's funny because almost none of those dealers are left because us
> cheap hams would rather save a few bucks and buy from HRO.
>
> 73, Duane (risking being called a TT koolaid drinker! Color of
> koolaid? Red dot, of course.)
>
>
> On Sat, 23 Jul 2005 16:45:47 -0400 "Martin, AA6E"
> <martin.ewing@gmail.com> writes:
> > My 2c worth
> >
> > When thinking about TT's loss on these deals, we might keep in mind
> > that TT decided to go with the direct sales strategy. If they were
> > still using dealers, they'd "lose" xx% (?) on each unit to keep the
> > dealer happy. I expect the average cost of returns is well less
> > than
> > xx%.
> >
> > I suppose the return policy is meant to be a cost-effective
> > alternative to having a showroom and demos at a dealer. It
> > certainly
> > made me more confident when ordering my Orion.
> >
> > 73 Martin AA6E
> >
> > On 7/23/05, Toby Pennington <toby423@earthlink.net> wrote:
> > > Perhaps this new policy by Ten- Tec should be layed out for all to
> > see, so
> > > there are no misunderstandings. If you purchase a rig and return
> > it for
> > > credit which is a part of their advertising and company policy,
> > then you
> > > are doing what they are allowing you to do.
> > >
> > ...
> > _______________________________________________
> > TenTec mailing list
> > TenTec@contesting.com
> > http://lists.contesting.com/mailman/listinfo/tentec
> >
> >
>
>
> --------------------------------------
> Duane Calvin, AC5AA
> Austin, Texas
>
> http://home.austin.rr.com/ac5aa
>
--
martin.ewing@gmail.com
http://blog.aa6e.net
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