Some examples from my experiences in the local area (SW Ohio)-
In the not too distant past, I have dealt with a very nice guy who runs a home shop rather than a storefront - $15 fees for transfers, scheduled at mutual convenience (never has taken me more than a day or so to get our schedules synced to make the pickup). If it's something he can get I usually offer him the chance to match. At least once I found something cheaper than he could get (let alone make anything on) so he happily took delivery and did the transfer for $15.
There is a local smith who does them for $30 (he is closer). Basically, he's the best around here (and has the 4- to 5-month backlog to prove it), so he's not planning to do a lot of transfers - from what I can tell that's just his opportunity cost to move off finishing somebody's rifle long enough to handle, store and process the transfer.
A newer shop in the area (closer to my house than my first example) was doing $15 transfers coming and going, but they sell range memberships (indoor range) that includes a no-transfer fee benefit. Guess where all my transfers go now
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Because they are new they can't get the very best deals from manufacturers and distributors yet (and may never have the volume to truly do so). Hence, they can't match places like Bud's on price (and they do get this) so they go for customer service, a clean, bright, well-lit store and range area and a pretty decent selection. Nobody (and I mean nobody) hits the door without somebody saying hello, and you should see how nice the range officers are to my wife and kids (e.g., a range officer giving my daughter a high five when she had a good grouping). I've never seen them talk down to anybody (e.g., my wife and kids), and they're most tolerant of dumb questions - one can probably guess how I know this
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They also run classes, have nationally-known individuals in to give shooting clinics, and listen to their customers for ideas. Given that they have the range, people end up spending a lot of time in their store (which obviously helps them move ammo/targets/accessories and as well arms). Smart.
As a result, when I'm looking for something new, I always check their prices before trying someplace else. Yes, I do get stuff elsewhere sometimes too, but the price had better be a LOT better (I generally think in terms of 10%) or something they can't readily get. Since I'm one of those people that actually pay use tax, that particular benefit of shopping online is lost on me.
To me, saving money has utility. However, having a great LGS that provides excellent service, convenience, selection and expertise and a place to shoot when it's either 95 or 15 outside has utility as well. I always to try to think total cost versus total benefit; not just the price on a given purchase. But that's just me.