Why did the price for the hydras change from 189.99 to 220.99??
Hydra 120
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Castle emailed me on Thursday, to tell me that I was in violation of the map pricing agreement. Which means that we could not advertise lower than a set price. This is to stop price wars. The price I had was $177 and was set at the same price tower hobbies was selling them for when they were released.
So the long and short of it is that we had to raise the price.
The good thing is that we can have sales. I will also be having a sale on those in 2weeks. But email me if you need one right away. I can work something out to your liking :-)Steven Vaccaro
Where Racing on a Budget is a Reality!Comment
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I dont know about in the States but here in Aust once you purchase items wholesale you can sell for whatever you like. Recomended retail price is just that, recomended and in no way can you be made to sell at what the wholesaler says. That would be PRICE FIXING. What does Castle care, they are selling at thier wholesale rate and you should be able to sell them for what you like. With the chinese esc getting better all the time and the prices of these slowly coming down Castle could find sales dropping sooner rather than latter!!Comment
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I am in agreement also. In a perfect world I would tell them to just go pound salt and sell them for what ever I wanted. The reality is they can just drop you as a dealer. Then you would be stuck buying them indirectly and would still have to charge more. Personally I couldn’t bring myself to go 180 on them let alone 220. I will eventually have to pick up a 240 or an HV 110 but I am trying to put it off as long a possible. Until I have a hex fail I'm using them.Comment
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Castle emailed me on Thursday, to tell me that I was in violation of the map pricing agreement. Which means that we could not advertise lower than a set price. This is to stop price wars. The price I had was $177 and was set at the same price tower hobbies was selling them for when they were released.
So the long and short of it is that we had to raise the price.
The good thing is that we can have sales. I will also be having a sale on those in 2weeks. But email me if you need one right away. I can work something out to your liking :-)
One of the local hobby shops now has all his parts labeled,with" MAP" example: $199 map. and the same parts were not like that last year, cost more toComment
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I really don't understand what it's ment to controle. All I see it creating is a problem for vendors here in the states. Like Andy stated if we start getting hit hard here the Chinese will be our only option. Other than just getting out of RC. Lets just hope this is an isolated case.Comment
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Guys this is meant not to devalue a product. Its complicated.
In a highly competitive market where products go so low that retailers cant money, what happens is the retailer looks to the wholesaler to cut their margins. The margins drop and the value of the product deprecates. When margins decrease, so does the customer service. Or worse yet the retailers stop selling the product because there is just not enough markup.
I will abide by their requests and rules. I understand their reasoning. And can still offer sales at the old pricing.Steven Vaccaro
Where Racing on a Budget is a Reality!Comment
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They are trying to control the price of there merchandise so it does not become undervalued on the market.
There are many items that are this way in the electronics industries were sales are the only way you can lower a price. A few examples Bose, Alpine as well as whirlpool.
They all frown on driving the price of there item down, meaning if 1 sells it for x amount the other will have to come down and then that becomes the new normal price. And they loose the value of the item.............
Again it is (usually in my 13 years of retail exp) only advertised prices most of the time, as Steven said call him he will take care of itComment
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I get it. Thanks for the explanation. Had MrsSjfe been home she would have clued me in on it. @ first glance it appeared you where being coerced into charging a rate in witch you didn’t feel was fair Steven. Ya learn something new every day.Comment
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I was corrected. If I want to play the game, I play by their rules.Steven Vaccaro
Where Racing on a Budget is a Reality!Comment
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