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Harley Dude
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14,651 Posts
Discussion Starter · #1 ·
There are many FFL's in this country. I am wondering if the gun companies give the bigger buyers a discounted pricing structure. Anyone know? Is that legal?

Can a small FFL's buy wholesale at the same price as the Sportsman's Warehouse down the street?
 

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Pro Gun Advocate
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10,940 Posts
I think that what would be illegal is price fixing--that is, the manufacturer mandating a resale price.

One would think that a hgh-volume buyer should be able to negotiate a discount, but I don't see much variation in pricing.

Having managed purchasig and inventory for a $500 million 55,000 sku pc reseller, I can tell you that what gets manufacturers into trouble is to circumvent their supply chain; that is, to go directly to large consumers and cut out their existing distribution/reselling relationships.

Can anyone here who sells guns tell me if they always buy factory direct, or are the distribution middle-men?
 

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Ancient Gaseous Emanation
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55,659 Posts
The VAST majority of firearms manufacturers do not sell direct to retailers. They sell to distributors, who in turn sell to retailers.

Some who do sell direct

Beretta and their subsidiaries
Benelli
Stoeger
Sako
Uberti

Kimber

SIG-Sauer - They also sell, exclusively, through RSR

Barrett - They also sell, exclusively, through Acu-Sport

There are others but this is off the top of my head.
 

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Ancient Gaseous Emanation
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55,659 Posts
Can a small FFL's buy wholesale at the same price as the Sportsman's Warehouse down the street?
Rarely. As with any business, the greater your volume, the greater discount you can negotiate.

Tiering pricing exists.
 
G

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Also, it depends on if the large warehouse wants to earn a customers business. The Bass Pro Shop near my house is about $40 to $50 high on most of there firearms. When I was buying my PT140 Pro, I shopped all of the sellers in my area. I checked Cabela's, Bass Pro Shop & 3 local small shops. Mike's Guns near my house had the best prices of all of the retailers. I was trying to talk to the salesman at Bass Pro about why their price was $399 & Mike's Guns was $349 & he could not have cared less. He says to me "You should probably buy it there", so I agreed & I did. I do see a reduced price in ammo @ the larger retailers. I will only buy from Cabela's when it comes to ammo, based on selection & prices.

With all of that being said, when Cabela's runs a sale, their prices are hard to beat. So if a large retailer wants to under sell the small guys, they can do so.

-Matt
 

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Ancient Gaseous Emanation
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55,659 Posts
MattK1, what you describe is defined as "loss leaders" and has very little to do with the cost of goods.
 
G

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OK, to answer the question more directly, I would say YES the large warehouse type dealer do get their firearms at a discounted price. In my opinion, I don't actually have facts to back that up.
-Matt
 

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Premium Member
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15,424 Posts
Popeye is dead-on. I'm direct with several manufacturers but most of the big brands are available to me only through distributors, who definitely take their cut. Some manufacturers such as Browning and others don't even allow their wholesale prices to be published. So we can't easily shop around, instead having to call every distributor to get every price on every variation of every model.

I can't say what the numbers are now, but just as an example, about 10 yrs ago, a seller like myself would have to purchase not less than $15K per year from Remington, in order to do so directly. The minimum from other manufacturers may be higher or lower.

To put it in dollars and cents, I have frequently seen Wal Mart and Sportsmens Warehouse selling Ruger 10/22s as "loss-leaders" for my cost and lower. Same for many Glocks and certain Remingtons (Mod 870 Express in particular). I wish I got a commission for all the folks I've ended up sending over there because I couldn't touch their price. They buy by the trainload -- I buy in oneseys-twoseys. Tha's Life, Folks!
 
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