GC Pricing...your opinion!!!!!!!!!!

[GGK]

Sales 101

I concur with the loyalty angle. I guess if you do your research and initiate cost expectations up front you basically start to build somewhat of a repore with the "seller". From my experience in sales (over 22 years) you never give anything away unless you gain something back. If it's a one shot deal, hard to get anyone excited about dropping margins. I know I probaly paid a little more for one certain featured item from my dealer, but when I look back over the past few months on some other purchased items I know I have done quite well. The best way a customer can give back to a seller is to continue to engage them in future purchases, most professionals know and respect this culture. If there is no reasonable profit in a sale how can you expect any type of future fullfillment or service on other purchases. There is certainly enough information out there where one should be able to get a pretty solid handle on what good value is for a product. Hankering around for a few points here and there may look good in the short term but real value shouldn't end when you walk out the store with your purchase, it just begins there. Pay Fair, Play Fair and Buy more...........

 

[Caca de Kick]

It's not like they're going to be tagging near-list prices as the fixed pricing here folks.
If it's going to a fixed matrix, then it will be priced according low to stay competitive. I have haggled on every amp, guitar, and bass I've bought there, and have always done good. But I know a good price when I see it, and would just buy it.
After all....when I buy my Musicmans from my favorite out of state dealer, I don't call him and haggle price, he quotes me a price and I just buy it. Same thing.

 

[amBASSador]

GC Pricing....your opinion

I can see the "fixed" price option and being able to negotiate the price.

I had purchased three basses through my local GC before buying my bongo 4HH. Each purchase was more enjoyable than the first. The staff was helpful each time.

They had the price on the item, I knew what my price was a and we were always able to come to a price that seemed good to us both.

That being said, since buying the bongo I have not had the need to go back.

 

[silverburst]

And the fixed price should INCLUDE the case. IMO.

 

[ptg]

But what if the GC price was $350? What if you KNEW you were going to get a fair deal before you even walked into the store? I think your reasoning works only because the GC in your example had an inflated price to begin with.

Fair point...But I'm guessing in that scenario my local Ash is going to make his price $350. What's my incentive for buying at GC? A rebate program may be nice, but for most of us it would take a long time to purchase enough gear to make it worth the while. Plus, I don't like stores tracking my purchases like I'm a number in a marketing scam.

That leaves customer service. Hit and miss. We all know that some salespeople (in any store) are great and some are, well...less than great. Does GC want to handcuff their staff and rely on them to charm customers into returning?

Just thinking out loud...

 

[kirkm24]

If they are going to do set pricing, I will just buy everything off the net. No sales tax and almost all of them offer free shipping plus between all of these stores you can pretty much order anything you would want or need.

 

[adouglas]

If they are going to do set pricing, I will just buy everything off the net. No sales tax and almost all of them offer free shipping plus between all of these stores you can pretty much order anything you would want or need.

Under the current system have you ever gotten a price for a new product as low as you can find on the net, even after you haggle? I haven't.

If not, then why aren't you already buying everything off of the net?

Being able to haggle does not automatically mean you're going to get the best possible price. What it means is that you have to work to get a good deal.

The whole psychology of this is to make the customer feel like they're getting a bargain when they really aren't. We've had multiple posts in this thread made by folks who were pleased to have talked the the GC staff down, but nowhere do we see whether they were able to get the actual price down to a level as good as what you can find on the net.

 

[LoEnd]

Well, I have to say that I am going to miss getting the Bass Slinkys (130-45) for $17 a set. Man, I loved that deal.

 

[T-bone]

Based on all the different responses, it certainly goes to show you can't please all the people.........

Marty,
This is a tough question. You're considered one of the most successful retailers in this country and it's quite an honor for you to ask us knuckleheads our opinion. And as you see, there's plenty of opinions to go around. So, I'll keep mine rather brief.

Nordstroms

We can't negotiate prices and I go there for the quality of product, world class customer service, and their return policy. Pure and simple. Something you'll never see from a web based fulfillment company.

When I purchased my LE Buttercream from you, your store manager handled me directly. Instead of offering all kinds of discounts, he "threw in" other items (chords, strings, etc....). I walked away feeling I had struck a very good deal. And hopefully, your company was able to maintain the margins required to stay alive in this competitive market.

Thanks for taking the time to listen to us all.

tbone

 

[Frankie5Angels]

I'm not big on haggling. I'm the kind of guy that likes to know the best price you can offer up front. I don't want to have to beg you for it and I certainly don't want to feel like I could have a saved a few more bucks if I just pushed it a little further. Just give me your best price up front and let me decide if I want to buy it or not.

 

[ghunter]

I find negotiating with the average GC employee to be tedious and frustrating, which is why I haven't been into one of their stores in nearly two years.

Two suggestions:

1. Train employees in the proper art of sales and negotiation instead of just throwing them onto the sales floor. I can't remember the last time I was met by someone I would consider a "sales professional" at GC, and that includes managerial staff.

2. Eliminate negotiations if you don't think that your staffing model can handle #1.

Given that you should walk before you run, I think that GC should eliminate negotiations immediately and start focusing on basic sales techniques to simplify the demands on their staff. We know that employee turnover is a significant problem as it was mentioned frequently in their 10K filings when they were still public, so wouldn't this be a great way to try and stop that bleeding?

As for losses to internet sales, I agree with the Nordstrom analogy. If I knew I could get personalized, knowledgeable service locally I would be willing to pay the premium. I own a bicycle store on the side and we are thriving with a high-service model even though there are plenty of cut-throat discounters online eating away at our margins.

 

[whyachi]

Negotiating can be fun in a local market in Asia, but in a national chain music store I'd be happier to know that the advertised price is the best price, and if they are willing to match advertised prices from other stores, then that's good as well. I'd prefer knowledgeable sales staff who are paid a fair salary to sell quality gear, rather than commission monkeys who have to sell 4 Corts a week to make the installment payments on their most recent tattoo.

This is pretty much how I feel about it, too.

 

[backagain1]

"Hi All......wanted to get some input.....we (GC) are testing the idea of eliminating negotiation in our stores. We find that most but not all customers find it unpleasant. we have a price guaranty and could offer a loyalty program for frequent shoppers...do you all feel this is a good or bad idea ? Or are there suggestions on your part that you feel would make this work best ......love to hear from any and all...."

I would prefer not to have to negotiate to get the lowest price.

That said, when buying a product such as a brand-name guitar or bass, price is one of the key determinants of where I make the purchase. Thus, I would probably only purchase from GC if the "non-negotiated price" is lower than the advertised prices of other dealers (including reliable dealers on Ebay and the rest of the internet).

Thanks for asking.

backagain1

 

[MrMusashi]

I should add that I have not haggled on stuff at GC (can't do that on Bose stuff) - I have just asked at the point of purchase if they can do a bit better on the price. 99% of the time the salesperson looks at his computer and knocks a few bucks off. If he doesn't - no big deal, as I feel the prices there are in line with widely available info on "street price".

this is an interesting point to me... why cant you haggle the bose stuff?? its sold at gc, aight? you should be able to haggle at gc, aight?

if you cant haggle price it smells like pricefixing from bose. ive never seen any price tampering that goes the customers way.... ever!

haggling is good for those good at it and bad for those unaware of it even existing. for every penny someone cuts of the margin (read rebate) someone else must pay it back... poor unaware people

perhaps the music industry just should quit msrp and set the dealer agreement to not undersell the mslp (manufacturer suggested lowest price)?
but i guess that would ring some bells at some government agencies

MrM

 

[SR5Cam]

For full disclosure-i just applied & had an interview at the Chicago (Halsted) location. Also-despite how i don't post a whole lot here, i am on Talkbass as CamMcIntyre.

When i bought 2 basses-there i didn't even try to haggle. I thought that since GC is the brick & mortar version of MF, the price would be about the same. I was correct-so i didn't even ask the guy "So how much are you guys selling these for?" until i looked at the screen where i swipe my credit card.

I use the MF policy-if the store is charging what it would cost me from MF [pretax/preshipping]-it's a good enough deal. I did something similar to that w/my Ray5, except it was the Bass Central price. That shop [Guitars & More in Greenwood, IN] is no more, but when i bought the bass-they couldn't quite match the bass central price, however-it was well worth the customer service to pay their slightly higher price.

If i'm hired as a sales associate-would I be inclined to have the prices be switched from haggle-able to set? Yes. However, i agree with the idea that the demos that are on the floor should have their prices adjusted accordingly. If the bass/guitar is beat up-less than if it's still in great condition. If the strings are dead-throw in a free set & change them for the client. NIB basses-same price as MF.

I feel that with no-haggle pricing it would allow the associates to shift their focus from "selling gear" to my much preferred "helping people buy" model. Yeah-i stole that info from Jeffery Gitomer's "The Little Red Book of Sales", but if you think abotu it-it makes total sense. If an associate is focused on selling a person on a piece of gear-probably not gonna take the most time to learn their needs, where as if the associate is helping them buy a piece of gear-the whole continuum changes. Plus-the client puts more trust and developes a relationship with the associate-what some of the guys who have posted already have & much more of what we associate with the Mom & Pop Shops (at least the good ones). Pretty hip eh?

all the best.

 

[steve21]

I've never felt uncomfortable negotiating. It's what kept me going there (and spending ludicrous sums of money for a teenage kid) since I was 14.

That said, a loyalty program would be cool, I guess. I already kinda get that though, because I only go to one GC, and that's where I get everything (new, that is)

 

[petch]

I dislike negotiating and prefer not to. I have 29 years in sales and I have always worked for employers of the no-haggle variety. Give me quality salespeople, a friendly shopping environment, a good selection, no pressure, and a fair price.

 

[RMS]

This is a tough one. I am sure about the same ratio of people hate as like the haggle. I am in the middle. If the tagged price is fair or low, I won't haggle beyond saying "Is this the best price you can do on this?" If I really like the item but it is tagged at the normal or too high price (relative to what I can find online) I usually won't even bother to haggle. I'll walk.

I hate the price match policy. I feel inconvenienced having to prove I can find the same item at the same or slightly lower price. Maybe it builds confidence for the uneducated consumer, but does nothing for me.

I would like to see the used and closeout item pricing reduce a fixed percent that increase the discount the longer the item sits in the store until it sell.

On new items, if the pricing is set at the same levels as the online catalogs, I would not shop at GC. It would need to be at least 10% cheaper (pre local sales tax) to get me to purchase from the store.

Thanks for opening the discussion Marty.

 

[slow roasted]

Marty,

It takes a lot of courage to go on a public forum and ask a question like this. And it also shows a lot of intelligence on your part, to ask the opinion of a posse of smart shoppers like the knuckleheads.

The crux of your situation nowadays is how to stay on top of the market, and you have a lot working against you. Savvy web dealers, a diminishing middle aged market, and we are presently in one of those " guitar lulls" like we saw in the late '80's- early '90's before the Nirvana thing...

Not to mention the poorest educated, and least sophisticated retail workforce I've seen in 30+ years of shopping GC. That's not entirely a GC problem, mind you, but you can't expect to train a 20 year old kid how to do a street buy on a '72 SVT in a week either..

Here's my two cents if you really want to do "fixed pricing":

- Don't sell used gear. Period. You can't expect a guy like me not to haggle on a used piece, because you almost never price these pieces correctly. At least 90 -95% of the time, you are at least 20-40% too high for the local market. You've improved here in the last 18 months or so, but still have a ways to go...

- Scrutinize the web market better. Most of us here can find a better price on anything you sell in your stores in less than 20 minutes. You have the "hands -on " advantage. I can go into your store, and play the instrument. If it rocks my world, I drop coin in your till.

The bottom line? You have the upper hand here. Use it!

Thanks for asking for my opinion Marty!

 

[Marty Albertson]

All....this has been extremely useful. As always I can count on the knuckleheads for candid feedback. It is clearly a complicated issue and one that we will be testing in our stores over the coming months.

We have two significant goals...one is to provide the best service of any store in an honest and integral way....and second is to insure our best customers always have reasons to shop our stores because their purchasing frequency and volume is rewarded.

As to integrity....there were several points made regarding gear that is damaged or shop worn....we fully expect to always discount this gear approriate to its condition....however the biggest aspect of haggling that I dislike is the fact that the price can be different from one customer to the next just because one is inexperienced. I find this distasteful and bordering on dishonest. I DO believe that some customers deserve a better price basesd on how much and how often they purchase and we will be introducing some form of a loyalty discount program.

As with any change some will like it and some will not.....but at the end of the day one's integrity should guide decisions.

I consider all of you in the ranks of our best customers and therefore I invite all of you to introduce yourselves to the store manger in your area. They have been instructed to help you through any changes or tests so that your experince with us is unaffected until we make a final determination of the direction we are going.

Thanks for all the help.....

Marty