[safado]

I'm relatively new to handgun purchasing but something I've noticed in my research is that pricing for new handguns (at least the brands I'm looking at) all seem to fall within a 3-5% range regardless of where you look. I've called around to local shops, browsed the web (gunbroker etc.) and found that all the prices out there are within 3-5% of each other and most times it's even less than that.

Are prices tightly controlled by the arms manufacturers? I just can't believe that there's not more disparity in pricing.

[firestar]

Give me an example and I bet I can find someone selling a gun for a lot and someone selling the same gun for a lot less! What are you talking about? 3-5%? Sounds like you looked at about 2 dealers and then came to that misguided conclusion.

[safado]

For example, new Glock 36.

3 local vendors:

1 @ 519.00
1 @ 529.00
1 @ 530.00

There are lots of NIB Glock 36's on gunbroker and all of them are around the 525.00 to 550.00 range.

[gudel]

i notice that gun prices tend to be higher in the area where i live compared to other state but not so significanly different. although there's some difference, pretty much the prices are similar from the 3 dealers we have here. (yeah we only have 3 gun dealers in this town).
living in a known expensive town and in california, that doesn't help with pricing either. however, the difference is not worth the hassle of doing ffl transfer etc. (say the difference is $50, but for transfer they want to charge up to $50 or so, just for example)

i saw glock 21 for about $600, while the hk usp 45 is between $789 to $829. sig p226 is at $579. is this about right?

[safado]

I don't want anyone to think I'm making a negative statement here---just saying I'm surprised that the market is either a) that competitive or b) price controlled or c) I'm just new and don't know what the heck I'm talking about. :D

[LiquidTension]

I think the answer is 'C' :D

Seriously, jump on GunsAmerica and you'll see a HUGE range of gun prices. Example: FN HiPower MkIII - $645 +shipping/transfer on GunsAmerica, I just bought one for $397.95 (out the door) NIB from FN. Big difference, me thinks!

[Jmurman]

Are prices tightly controlled by the arms manufacturers? I just can't believe that there's not more disparity in pricing.

What are you expecting? Wouuld you think that firearms companies would post "invoice" prices they they do the the auto business? 3-5% isn't a bad markup for anyone in business....especially this kind.

The more stores you have the greater the competition for your dollar, and tighter the prices. WITH THE EXCEPTION of MD. Here, with the passage of STUPID laws, prices are artificially high.

[Traveler]

3-5% isn't a bad markup for anyone in business....

Are you kidding!?

3-5% is a horrible markup. In most cases you would be paying a sales tax higher than the amount you expect the businessman to make a profit on. Wages and overhead alone require a higher markup for anyone with a storefront. (Remember the store? That's the place you go into to fondle all that stuff you're going to buy somewhere else.)

If you have an employee making $10/hour he will have to sell $3000/day just to pay his wages. Double that for the overhead and operating taxes. Double it again if you want to order a new product and have it delivered. At this point your employee must sell $12000/day, and you still are not making a profit.

Now that kind of sales equals out to over $3,000,000/year in sales. Darn few gunshops (let alone other companies) do that kind of business.

If it's a one man shop the guy is drawing less than $10/hour. He has hours of paperwork that he is required to do. Plus assorted fees and bills that are part of doing business.

The basic markup generally accepted to be profitable in any business (rule of thumb) is 100%. This is called keystone. The majority of the items you buy have an even higher markup.

The greatest reason that the gun industry is in the shape it's in is the lack of profit to be made.

[Jmurman]

I am the Internet Sales manager for a Honda dealership...3-5% is about what we do. You are right, with a low volume, lower priced product, you will definately need more gross profit.

[Traveler]

Sales of higher cost items usually derive profit from sources other than the actual difference between wholesale and retail pricing. These can include interest on loans, interest on the actual payment date, etc.

[blades67]

I don't want anyone to think I'm making a negative statement here---just saying I'm surprised that the market is either a) that competitive or b) price controlled or c) I'm just new and don't know what the heck I'm talking about.

The answer is both a and c. :neener:

[MikeJ]

In my neck of the woods (Az.) prices vary substantially. My last purchase was a S&W 640 .357 and they ranged from $399 to $519. I'm a shopper and have found several dealers that are right in line with each other and a few that amaze me they can stay in business due to their pricing structure. In fact there is a pawn shop here that sells new as well as used and what they are asking for some guns is so outrageous that I like to stop in once in a while just for a laugh.

[cratz2]

I don't know... around here there are a couple dealers that say they sell for 10% over cost and that cost varys about $10 to $30 per gun. There are also a couple other shops that offer good prices and those prices are flexable. Down south, there is a very large store, probably the physically largest gun shop in the state. I was wanting a CZ75B SA in 9mm. Local shop had one in 40S&W for $399. My preferred shop said he could do either $379 or $389 to order it. Shop down south had a 9mm in stock priced at $480 if I recall and swore to me that $379 was under his actual cost. I mean... come on. This is a major retailer and internet shop. Supposedly the largest LEO shop in the Midwest telling me that their cost is over what a smaller shop has as an asking price?

I know we live in a capitalist society and everyone should be able to put food on the table, but some gunshops are lying thieves. And that's all I have to say about that.

[Geech]

Example: FN HiPower MkIII - $645 +shipping/transfer on GunsAmerica, I just bought one for $397.95 (out the door) NIB from FN. Big difference, me thinks!

Of course, if you're buying direct from FN then you're getting a dealer price...

[MoNsTeR]

I've seen the exact opposite. Huge disparities everywhere I look. CZ-75B's selling for as much as $400 locally and as little as $300 online. SIG P226's from $575 to $750 or more. Walther P99's from $490 to $570. Kimber CDP's between $900 and $1050. BHP's from $500 to $650.