Accuquilt GoNO MORE SALES ANYWHERE!
#11
Wow. I'm glad I ditched my Go for the Big Shot Pro. I do like my Go dies but I like that I can also use Sizzix dies which do go on sale often. I'll have to pass this info on to my sister who does have the Go.
#13
Super Member
Join Date: Mar 2011
Location: Central NJ
Posts: 5,570
[QUOTE=citruscountyquilter;6715100]This is not price fixing. One must consider the two roles being played - is an eche role of the manufacturer and the role of the retailer. The manufacturer wants the consumer to buy their product. (Coke wants you to buy Coke not Pepsi) They don't care where they buy it but rather they buy their product. The retailer wants the consumer to shop at their store. (Walmart wants you shop there and not at Target) They don't care what you buy there (Coke or Pepsi) but that you come to their store over some other store. This often puts these two parties - the manufacturer and the retailer - at odds when it comes to pricing because pricing is often used to entice consumers to buy a particular product or shop at a certain store.
Pricing is also used to position a product as prestige, economical etc. Pricing is part of the whole package is setting how the consumer perceives the product. When a retailer sets too low of a price, either by the pricing or coupon discount, sale etc, of a product that the manufacturer wants to present as high end it can also cause problems.
In a 1911 US Supreme court ruling (Dr. Miles Medical Company) mandatory minimum resale price agreements between a manufacturer and retailers were per se illegal. This interpretation of the law held until about 6 years ago when this issue was again brought up before the US Supreme Court (Leegin Creative Leather Products Inc. v. Kay’s Kloset). In this case the Court agreed with the argument that economic environment had changed since 1911 and that now manufacturers could set minimum price agreements but the "law of reason" would apply. The "law of reason" meant that manufacturers must consider all the circumstances surrounding the agreement to assure that it does not restrict competition or facilitate other pricing which is considered illegal.
So, in a nutshell, it is not price fixing and it is not illegal. Probably more information that you expected. Sorry, got carried away. Used to be a professor in business at a university. At least you got the short lecture!
[/QUO
For the record, I don't own this product nor do I plan to only because I don't have a need. That said, this is an excellent explanation. Don't think it's too wordy at all. Very explicit and concise info...imo.
Pricing is also used to position a product as prestige, economical etc. Pricing is part of the whole package is setting how the consumer perceives the product. When a retailer sets too low of a price, either by the pricing or coupon discount, sale etc, of a product that the manufacturer wants to present as high end it can also cause problems.
In a 1911 US Supreme court ruling (Dr. Miles Medical Company) mandatory minimum resale price agreements between a manufacturer and retailers were per se illegal. This interpretation of the law held until about 6 years ago when this issue was again brought up before the US Supreme Court (Leegin Creative Leather Products Inc. v. Kay’s Kloset). In this case the Court agreed with the argument that economic environment had changed since 1911 and that now manufacturers could set minimum price agreements but the "law of reason" would apply. The "law of reason" meant that manufacturers must consider all the circumstances surrounding the agreement to assure that it does not restrict competition or facilitate other pricing which is considered illegal.
So, in a nutshell, it is not price fixing and it is not illegal. Probably more information that you expected. Sorry, got carried away. Used to be a professor in business at a university. At least you got the short lecture!
[/QUO
For the record, I don't own this product nor do I plan to only because I don't have a need. That said, this is an excellent explanation. Don't think it's too wordy at all. Very explicit and concise info...imo.
#16
Banned
Join Date: Mar 2011
Location: Colorado
Posts: 3,536
I had previously thought about getting one of these.
But quite frankly I REFUSE to spend that much money
on something that has to be done with manual turning.
Templates, scissors and/or rotary cutter works good enough
for me and is much cheaper.
But quite frankly I REFUSE to spend that much money
on something that has to be done with manual turning.
Templates, scissors and/or rotary cutter works good enough
for me and is much cheaper.
#17
Glad I never invested in one. I too think it s poor business,they are getting paid buy the stores buying from them at a set rate so to me they have their money, why do they care what it is sold for. The thing is already too expensive, I mean really
#18
Oh! That's too bad, I was thinking of buying one as my local quilt shop was having a special class and all, and I really have liked what I've seen, but I may as well pass as I don't fancy their full prices moving forward.
#19
Junior Member
Join Date: Dec 2013
Posts: 114
I had a scuba diving shop and while most of the brands carried had msrp and map (Minimum advertised price). Every once in a blue moon a vendor would get kinda uppity and launch this same shot over the proverbial bow of minimum allowable. What usually went on was two fold. 1. Some brick and mortar shop would get mad that bigger or online presences would sell at a discount. People would ask brick and mortar shop to price match and the owner didnt like the smaller margin. At 40% off I am guessing the smaller shops margin shrunk to less than 5% after price matching. And more than likely The product line has a poorly thought out reseller pricing tier that really sticks it to the smaller volume shops. This is usuallywhat is happening. Or 2. The accuquilt corporate sales were hurting the reseller because the pricing tier is not well thought out and the corporate sales were hurting their resellers and the resellers complained and said they wont support accuquilt as a product line any more.
I helped one of the dive industry manufacturers with their map/msrp policy and it forced minimum advertised pricing for everyone. Online, papers, magazines, etc all had one lowest price on non clearance products. But tht still allowed brick and mortar shops to have walk ins and sell to them at any price they wanted, because really it should be the resellers choice what margins they want to make in their own house. Online only shops had to meet the MAP pricing, and only in store sales could be priced lower. It meant the brick and mortar guys had freedom and the sandbox was the same for everyone when it came to advertising. We also reworked the tier pricing to be nicer to smaller shops and support smaller businesses.
I helped one of the dive industry manufacturers with their map/msrp policy and it forced minimum advertised pricing for everyone. Online, papers, magazines, etc all had one lowest price on non clearance products. But tht still allowed brick and mortar shops to have walk ins and sell to them at any price they wanted, because really it should be the resellers choice what margins they want to make in their own house. Online only shops had to meet the MAP pricing, and only in store sales could be priced lower. It meant the brick and mortar guys had freedom and the sandbox was the same for everyone when it came to advertising. We also reworked the tier pricing to be nicer to smaller shops and support smaller businesses.
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