PS Audio - remove dealer model?

[Foggie]

PS Audio going factory direct starting next month?

[George Hincapie]

2 hours ago, Foggie said:

PS Audio going factory direct starting next month?

 

Where did you hear that? Will be interesting to see if their prices are reduced accordingly.

[arcman]

Hmmm. I hope not

[Foggie]

Other forums - I guess wait and see what comes of this.  Doesn't impact me per se, was just curious really but it could be a significant going forward.

[vortecjr]

Maybe in the US only? A dealers might still be useful in counties with language barriers. 

[Doak]

Cutting out the dealer mark-up too? 

[vortecjr]

PS Audio has great customer support so why pay the dealers to pass along a telephone number to the customer while making ~40 points. 

[Doak]

1 hour ago, vortecjr said:

PS Audio has great customer support so why pay the dealers to pass along a telephone number to the customer while making ~40 points. 

My point, though possibly not clearly stated, is that consumer prices should drop considerably PS Audio is going “factory direct.” Maybe we are saying the same thing in different ways. 

[gdpr]

The only reason why they would go direct is to improve the bottom end, i.e. Improve margin.

There will definitely no (significant) price drop

Just my opinion

Dirk

[Perfect sense]

PS Audio has been offering "factory direct" sales in the US for years. This makes sense on the local market with a generous home loan and trade in program. Overseas is very different though where partners are needed to offer auditions, home loans, trade ins, financing options, service and support etc.

 

/ Marcus, www.perfect-sense.se (representing PS Audio in Sweden/Scandinavia)

[George Hincapie]

1 hour ago, Doak said:

My point, though possibly not clearly stated, is that consumer prices should drop considerably PS Audio is going “factory direct.” Maybe we are saying the same thing in different ways. 

 

I already posted that above. It is usual for direct prices to be less; taking the mick if they don't drop them.

[Foggie]

https://forum.psaudio.com/t/is-psaudio-going-direct-sale-only/12247/8

[firedog]

16 hours ago, ddetaey said:

The only reason why they would go direct is to improve the bottom end, i.e. Improve margin.

There will definitely no (significant) price drop

Just my opinion

Dirk

They stated in that thread that one of the reasons is dealers undercutting them on price in a big way. That means the margins are large and they didn't impose any price discipline on dealers they contracted with.

I can't see any reason to go factory direct (they already sell from the website if you don't have a dealer nearby) unless they are going to lower consumer prices. An all direct model should definitely allow them to reduce prices and also increase margin. Financial and other support of a dealer network is expensive . PSA is claiming the costs of going direct eat up all that's saved by ending the dealer network. I don't buy it. 

One thing I will give them: if they continue giving very generous trade in prices when you buy a new item, that would make the model more consumer friendly. 

[emcdade]

I know some will disagree but I haven’t found PS Audio products to be competitive at their full MSRP.

[John A]

If you ask, PSA will always find a way to give a discount.  I have never actually paid full price for anything I purchased factory direct.  That's why it was hard for dealers to make any money selling PSA.