Started By
Message

re: Raise the price of ammo

Posted on 3/29/14 at 11:06 pm to
Posted by weagle99
Member since Nov 2011
35893 posts
Posted on 3/29/14 at 11:06 pm to
quote:

What the frick is artificial about .22lr being cheap? It costs next to nothing to make



You are forgetting about demand, which is being fueled by lack of ammo at Walmart, which is the result of people scalping the shelves at low prices.
Posted by Coach in Waiting
Sixth Ward
Member since Oct 2009
601 posts
Posted on 3/29/14 at 11:17 pm to
quote:

Cant believe this thread is still going and how many think these stores are selling at market prices when there is enough margin left for a reseller to profit.

Exactly. If it were priced appropriately by the retailer, there would be no profitable secondary market.

Posted by Hammertime
Will trade dowsing rod for titties
Member since Jan 2012
43031 posts
Posted on 3/29/14 at 11:22 pm to
So the solution is to jack up the price until barely anyone can afford it? Seems logical because they are soooo likely to drop the prices back to tolerable levels once supply catches up

Have you ever bought gasoline? It was something like $0.79/gal when I started driving. Now, people get excited about $3.25/gal(12 years later). People will get used to the higher prices and keep buying. Then, prices will increase again. Simple as that.

If I was making or a dominant player in the bullet sales industry, I'd get in touch with everyone else and do exactly that. Be thankful that places like Walmart and Academy are keeping prices "artificially low"
Posted by CoastieGM
Member since Aug 2012
3185 posts
Posted on 3/29/14 at 11:24 pm to
It was worth clicking through this thread just for the awesome gifs.
Posted by Eon Blue
New Orleans
Member since Feb 2007
384 posts
Posted on 3/29/14 at 11:36 pm to
quote:

So the solution is to jack up the price until barely anyone can afford it?

Who advocated that?
Posted by H.M. Murdock
B.A.'s Van
Member since Feb 2013
2113 posts
Posted on 3/30/14 at 7:03 am to
Posted by weagle99
Member since Nov 2011
35893 posts
Posted on 3/30/14 at 7:18 am to
quote:

So the solution is to jack up the price until barely anyone can afford it?


The solution is to let the price rise to reflect current demand. That way people who are completely out of ammo are able to find it for sale after those who are buying out of habit or casual want decide not to pay the higher price.

I will use myself as an example. I don't really need any .22LR at the moment, but if I happen to come across some at a 'low' price I will buy a brick or 3. I don't really care if the next guy gets any or not (and honestly, most everyone is the same way). If the price were higher to reflect market conditions I would pass up the bricks because I don't have a pressing need and the next guy who shows up behind me with zero rounds has a chance to decide if he wants to pay the higher price and get some ammo.

quote:

Have you ever bought gasoline?


Apples and oranges. BTW, in a time of gasoline shortage (like before or after a storm) the price should also rise to reflect demand so that more people have access. There should be no laws against 'price gouging.'

quote:

Be thankful that places like Walmart and Academy are keeping prices "artificially low"


Both of those stores have other motivations to keep prices lower instead of some altruism for shooters. The lower prices are exactly why .22 gets cleaned off the shelf and people who really 'need' the rounds can't find them.
Posted by H.M. Murdock
B.A.'s Van
Member since Feb 2013
2113 posts
Posted on 3/30/14 at 7:41 am to
Many retailers know if they raise to neckbeard prices many customers will remember and shop elsewhere in the future when the supply is way high. The shooting community is a unforgeting bunch.
Posted by SpeckledTiger
Denham Springs
Member since Jul 2010
1482 posts
Posted on 3/30/14 at 9:44 am to
quote:

If the price were higher to reflect market conditions I would pass up the bricks because I don't have a pressing need and the next guy who shows up behind me with zero rounds has a chance to decide if he wants to pay the higher price and get some ammo.


The "secondary market" already provides for this exact mechanism. People are just pissed because they aren't willing to put forth the same effort as someone else and have lost the convenience of big box shopping. It's not so much an issue of capitalism and economics as it is laziness and entitlement. .22lr is a nonessential good and as such is not constrained to normal economic practices (which is why the gas example doesnt won either).

And btw buying from a retailer is already buying from a "secondary market".
Posted by TigerTatorTots
The Safeshore
Member since Jul 2009
82055 posts
Posted on 3/30/14 at 9:53 am to
quote:

Many retailers know if they raise to neckbeard prices many customers will remember and shop elsewhere in the future when the supply is way high. The shooting community is a unforgeting bunch.

Yep...most of the forums I follow have shunned the retailers who took advantage of the price hikes
Posted by Pepperidge
Slidell
Member since Apr 2011
4388 posts
Posted on 3/30/14 at 10:16 am to
the retail price of .22lr has risen in direct correlation to the increase in cost of manufacturing, maybe a little more due to demand...if CCI makes an extra 1/2 cpr due to demand, they are making billions more per year...any increase in the wholesale price is a profit increase for the retailer as they work off of margins...that 1/2 cpr equates to a price increase of $2.50 on a brick of 500 which is a profit increase of just over 80 cents based on a 30% margin(it could be much higher) on that brick at the possible millions of bricks sold by Cabela's or Academy etc...The manufacturers and "true" retailers know this, and know where the breaking point would be that the consumer will know they are being "had" so they are the only price increases we should see as a consumer of a non essential good is when the cost of manufacturing goes up due to raw material price increases or labor increases etc...

first pageprev pagePage 5 of 5Next pagelast page
refresh

Back to top
logoFollow TigerDroppings for LSU Football News
Follow us on X, Facebook and Instagram to get the latest updates on LSU Football and Recruiting.

FacebookXInstagram