LGS's that fear gouge. Would or will you go back?

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7thCavScout

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Yesterday I went into an LGS that I have done pretty steady business with over the years. I asked if they had any Glock 19 fifteen round mags. I was was shocked when they said "We sure do!" I was even more shocked when he laid a couple on the counter and said, "$53.00 each." I passed and walked out.
I understand it's his store,...supply and demand...etc, etc. Just curious if you guys would or will avoid doing business with a store like this in future. I really liked the store and the owner (up until now that is).
 
I avoid any place of business that tries to use high-pressure or cheap sales tricks. I don't think conning new gun owners is a good welcome or representation of our community either.
 
I went to one the other day with that EXACT question. They guy working there said the "bossman" told him to pull them all off the shelf and not sell any till he can figure out what he needs to price them at. "We don't know what he banned the other day," (Nothing) "so he wants to make sure he marks them up right."

Exact words from the guy working there. I told him that I would not be back to find out what the new gouged prices are.
 
There are a couple LGSs that I'll do business with, but they are a couple hour ride away (motorcycle fun-ride). They've been gouging around here for years, and most of my firearms and ammo purchases have gone to online vendors.

The LGSs that I frequent have a great business plan: keep prices competitive and MORE people will come in. They WILL have more stocking work to do, BUT they have stayed in business with increased foot traffic.

Same has gone for the gun shows lately: $5 entry fee to look at $1 a round 5.56 and $1000 for Garands that have mismatched numbers, etc.? A $600 Hi-Point? They have every right to ask what they want, but a slap in the knowledgeable customer's face is just that! Now, $6000 for a SCAR-17? Pfft....
 
Is it gouging or normal business? A common business model is to price your current inventory at the replacement cost of the item. That way, you have the money to restock.

It wouldn't surprise me that his restock cost for hi cap magazines is quite high with all the increased demand.
 
Did he pressure the sale with scare tactics, or was it just a case of the mags being at 2x normal pricing?

Remember, right now most gun shops can't get much of anything in. My good friend who runs the LGS can't get a single Glock, M&P, XD or any black rifle from anywhere. He is staying afloat by selling off his personal stuff and with consignment guns. Obviously, some of the stuff is priced a bit high, and it needs to be if he is to stay in business until things settle down.
 
"$53.00 each."

Maybe he paid $45 each for them just to have some available for his customers.

To quote Arnold Jewell one more time, "They cost what they cost."
 
I had a local gun store owner go into a insane rant with a new customer, I was just standing there in awe as he dropped every racial term and stark raving mad per epsilon about revaluations in the bible, I had to quit frequenting his store. Sadly I spent quite a bi of money, usually $1500 every six to eight weeks on ammo and gear.


If it were just price gouging, I would simply mark it off as supply and demand. I either would or would not buy. I pass on a lot of firearms because they get marked up more by LGS' , I try to give them all the business I can without breaking my budget.
 
When I pull up to the pump the gas prices can easily be higher than yesterdays price. That is also for the same gas that was in their tanks from the day before.

It's not just what they pay for it, it is what they have to pay to replace it.
 
It didn't appear that the LGS in the OP was using deceptive or high-pressure sales practices. Sure, they marked up the magazines, but that's to be expected in today's atmosphere. You have the choice to buy, or not buy. By not buying, you're gambling that prices will come down soon. That's not a very good bet, even if no restrictive legislation is passed.
 
Considering the current state of supply and demand, I wouldn't consider that an unreasonable price if you "need" a spare mag. Otherwise I'd just wait for the current O'panic to subside.
 
I know price gouging is what will happen in a free market sometimes. But I will take pains to avoid that for the sake of my own wallet and I will steer newbies to where they can get a good deal.
 
Since you went in yesterday I'd be willing to bet that all of his original stock was long gone and when he ordered new stock, his prices jumped. The price you saw may be a mixture of higher costs on his end and not knowing if he can get a replacement if he sells it. These times a guy has to do what he has to so he can stay in business. You can't make profit selling from an empty shelf.
 
Just curious if you guys would or will avoid doing business with a store like this in future. I really liked the store and the owner (up until now that is).
Click to expand...
Click to expand...

Would you have been happier if when you asked if he had any magazines, he told you "No, they all sold out weeks ago at regular price. I have no idea when I'll get any more; could be weeks or months. Too bad you weren't here when I had them"?

You wouldn't pay the increased price because you didn't need the magazines that badly. The next guy in the door might need them badly enough to pay that price. Had they been priced normally, you, the-guy-who-doesn't-need-it-so-badly, would have the magazines and the guy-who-needs-it-badly wouldn't. I fail to see how that is a more desirable state of affairs.

Things are worth what someone is willing to pay for them. If no one will pay $53, they won't sell, and he'll lower his price. If people will pay $53, then that's what they're worth.
 
mnrivrat said:
When I pull up to the pump the gas prices can easily be higher than yesterdays price. That is also for the same gas that was in their tanks from the day before.

It's not just what they pay for it, it is what they have to pay to replace it.
Click to expand...
One must also take into account the cause, direct or indirect, that causes the inflation or fluctuation in the first place and ask "is this right, or am I being screwed?"
 
mrvco said:
Considering the current state of supply and demand, I wouldn't consider that an unreasonable price if you "need" a spare mag. Otherwise I'd just wait for the current O'panic to subside.
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Best post of the thread. Plus, I'm gonna steal your "O'panic" quote.
 
I had a "tale of two cities" experience with two separate gunstores this morning. One in the boonies, one closer to downtown DFW.

The place in down town has about a dozen ARs, M1As, AKs, FNARs, and other EBRs of various alphabetical nomenclature. They have multiple dozens of shotguns, bolt rifles, lever guns, many kinds of pistols, and lots of ammo.

They have 50rnd boxes of 5.7x28mm SS197SR ammuntion for 100$--I'll leave it at that.

The other store deals more with used/milsurp guns than new stock. Ordinarily has a couple dozen Mosins and other historical bolt guns, several dozen ARs/AKs, a decent supply of fairly expensive ammunition, and a good smattering of lever guns and pistols (long guns are their primary focus). They were out of damn near everything. The only non-oddball ammo they had was Persian surplus 30-06 corrosive-berdan-primed, which will be too hard on my FN49. The only bolt guns left were a Steyr M95 (in weird chambering), an Italian Carcano (in weird chambering), an Arisaka. Even their K31 had sold. Even their MAS49/51 in 7.5 French had sold (quickly). And now they have nothing left to sell. The owner is reducing the number of days a week he opens; there's plenty of business, but nothing for customers to buy. He says that he will hopefully get some new stuff from his distributors in a couple weeks. I sure hope he can pay his bills and retain his employees that long.

I saw a Five-seveN pistol sell for 4000$ dollars at a gun show today. It's incredible what even the smallest hint of fear for one's self will do to peoples' sanity. Any seller who doesn't exploit this irrational demand is only hastening their own demise, righteous though they may feel to the end.

TCB
 
I'm not in need of anything at the moment, but when I went into the LGS to see if there was anything I might like to spend my year end bonus on and saw an M&P15 sport for sale for $3000, I resolved not to patronize that particular shop again. Someone along that supply chain was making a rather extreme margin on that firearm (likely the end link), and I'm not going to reward any particular link in that chain. They can learn from that what they will.

Let's say the panic subsides, and M&P15 Sports are again selling for $600-700. Is the one in the shop going to still be marked at $3000 (reflecting the dealer's supposed acquisition cost), or is it going to drop back where it was the day the shop owner took the $650 tag off and put on the $3000 tag?

Yes, 'free' markets allow for gouging. Yet another reason 'free' markets aren't all they're hyped to be.
 
That $3000 price tag means that there is still an M&P15 available for sale. If it was still priced at $700, it would be long gone.

Remember that the gun dealer probably can't replace that M&P15, not at any price. It may be the last AR-15 he'll be able to lay his hands on for weeks or months. If it sells, he may have to pay his mortgage and feed his family on the proceeds from that rifle for quite some time, because if there's nothing for him to buy, there's nothing for him to sell.

And of course once the panic is over and supply can once again meet demand, prices will drop back to normal. But right now, when there are ten buyers for every one gun, how do you propose the imbalance be dealt with? Should dealers just sell to the first guy in line, ignoring the other customers who offer to pay more for scarce items?

If you had a new-in-box unfired M&P15 that you wanted to sell today, what price would you be asking? $700?
 
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I agree Birch Knoll, I sold a S&W M&P15 standard model (not sport) to a guy I know from my LGS. He called asking about it, I told him I didn't want to part with it. He kept on, then finally offered $1800 for the rifle. I promptly ask him where he would like it delivered.

My point is, that I know unless I pay an outrageous amount of money I cannot replace it. I luckily have a few more that fit the bill. I just hate to get rid of any firearm, but I have no problem doubling my money on a used rifle either. While I will miss it, I had already replaced it with an Hk.
 
I can see his side. Like JohnBT said, he might have paid $45 for them just to have them for his customers. Even in cases where the store does raise it's prices don't forget that the store owner is probably looking at not having any product to sell once his current stock is depleted. In his mind, and very likely in reality, he is looking at going out of business when his current supply is gone.

I have a friend who owned a gun store a few years ago. He didn't raise his prices in 2008 when we had the last run on guns and ammo. When he ran out of ammo he found that he couldn't get anymore at a decent price. As he explained to his customers "Yes I could have gotten more .22 ammo but I would have had to charge $24/brick just to break even and I didn't think tha was fair to my customers who had been paying less than half that just 6 months ago." He couldn't get any more guns either and he lost his store.
 
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