[Currawong]

Quote:

It sounded like you turn people away because they want to buy an HD800 for $1500 rather than for $1650. I just have to wonder how any physical store can stay in business sometimes with online stores being tax-free and effectively giving you 10% off by default. I know if I had a physical store I wouldn't expect to stay in business if I sold for 10% higher effectively than anyone else.
 
And if someone is telling you they can get a brand new HD800 for $900, then I don't blame you for not responding to that because it's obviously a lie.

When you buy in a hi-fi store, you are paying the extra for the salesperson's expertise and service, as well as the presence of the shop. If you're too selfish (and I don't mean you specifically) to understand this and just want to buy the headphones, then just go and buy them online, but don't expect to be given more than the minimum time and effort by the company, if any at all.  That was his point. 

 

[ac500]

Well my point is that services like Amazon.com go out of their way to provide absolutely stellar online service, and it's not an exaggeration to say they are quite successful at it -- furthermore it's not for a 10% premium in price (more like -10%). The only thing they don't do for you is research your purchase for you, and that's half the fun of head-fi anyway.
 
I don't have any local hi-fi shops that I know of to go to anyway, but the point is just that you may underestimate how good some online services are even for those who are fortunate enough to have local hifi shops. Competition is... competition. 
 
As for being "selfish" if one does not use a local hifi shop, that's a rather disturbing thought -- to be deemed selfish if someone doesn't buy everything from the most expensive local company they can find. I'm not against the thought of supporting local economy and I agree with you in general, but consider that not everyone has loads of money to spare. Guilt tripping people into supporting the local little guys only works if you can actually afford the premium of that personal service, etc. -- and not everyone can. Supporting the little guy is a great sentiment but when money is concerned, sentiment doesn't balance the budget.
 
Counterargument: Presumably those into hifi aren't that tight on the budget, but who am I to presume the financial situations of head-fiers.

 

[Gwarmi]

Quote:

But most audiophiles do tons of research online. As for warranty, Amazon.com will literally let you return anything pretty much no questions asked within 30 days. Anything beyond that, don't physical stores just revert to manufacturer warranty too? Also free 2 day shipping for those with Amazon Prime. As for extra service, that makes sense to me. That is one way you can be ahead of online services -- even ones as good as Amazon.

 That's the whole reason why some folk still persist with brick and mortar (including myself) - the ability to bring it
 back within the period of the manufacturer's warranty at the store's expense - not their own, bit like insurance really if a
 driver ever goes pop.
 
 Distributor retailers in particular have an obligation to take on the warranty unless the HQ stipulates that they prefer to
 handle it
 
 Eg, Shure Australasia ..

 

[vvanrij]

ac500 do you really don't get why a store has to sell for a higher price than a website?

 

[ac500]

There are electronics stores here with computer parts less than any online website you can find. Plus you get return policy, etc.
 
Anyway. This is getting a little off-topic.

 

[John Willett]

Quote:

 
As far as I'm concerned any physical dealer that doesn't respond to the online economy deserves to go out of business. Economy changes. Technology changes. You either adapt and respond appropriately, or you starve to death. Such is life.
 

I get very worried seeing comments like this.
 
How can a store with expensive centre of town premises, high overheads and high taxes compete with an on-line retailer with very low overheads and out of town premises and low taxes.
 
It can't be done.
 
Which is why the high street is dying and lots of businesses are going bust.  You can't compete, if you do you can't pay your staff or taxes and you still go bust.
 
At least Sennheiser are trying to support the local dealer with the top-end stuff.
 
 

 

[ac500]

> How can a store with expensive centre of town premises, high overheads and high taxes compete with an on-line retailer with very low overheads and out of town premises and low taxes.

 ​

That's exactly the question. I don't claim to be an economist, or business expert. All I see is that the Internet is changing things in ways that are most certainly frightening to many small businesses. My comments sounded harsh, but that was intentional because the situation itself is harsh. It's a very sobering reality and I personally know people operating small businesses who are experiencing similar difficulties competing. However it is possible to compete, with creative solutions.​

 
Don't blame me for pointing out a hard reality of the situation: that the problem won't just disappear if you close your eyes and try to wish it away. You must act; you must respond to the economy just like everyone else.
 
Not unlike the introduction of automated factory equipment, with any major technological revolution often comes massive and unnerving shifts in employment and business and economy. The Internet is most certainly a sufficiently significant revolution in technology to qualify in a similar category to this, IMO. So yes, the result will be small businesses having trouble due to online companies like Amazon.com.
 
What can I say? Things are changing. Amazon.com etc. exist, and aren't going to disappear. Things change, and this is how business works. If I could say nice words and make it all better, I would, but it doesn't work that way. I'd rather be brutally honest here about the truthful situation, even if it sounds harsh -- because the reality is harsh.

 

[GiacomoHoldini]

Well, this is interesting.  With all this talk of the Internet economy, I decided to see what Amazon is currently charging for the HD800.  They claim MSRP is $1799.95, and they give a whopping $300 discount and sell them for the crazy-low price of $1499.95.  Of course, Sennheiser is still listing MSRP at $1499.95.  So, anyway, back to the discussion about impossible-to-beat online store prices.

 

[vvanrij]

 Ah the world is going to end this year anyways, nothing to worry about.

 

[Beagle]

Quote:

Well, this is interesting.  With all this talk of the Internet economy, I decided to see what Amazon is currently charging for the HD800.  They claim MSRP is $1799.95, and they give a whopping $300 discount and sell them for the crazy-low price of $1499.95.  Of course, Sennheiser is still listing MSRP at $1499.95.  So, anyway, back to the discussion about impossible-to-beat online store prices.

Amazon.com sells the HD598 for $249. Amazon.ca sells them for $351.67. Canadian dollar is about at par with the US. Amazon.com will not ship Sennheiser to Canada. So Sennheiser has obviously fixed it this way.
 
If that's not a total ripoff, I don't know what is.
 

 

[Nick01]

Quote:

> How can a store with expensive centre of town premises, high overheads and high taxes compete with an on-line retailer with very low overheads and out of town premises and low taxes.

 ​

That's exactly the question. I don't claim to be an economist, or business expert. All I see is that the Internet is changing things in ways that are most certainly frightening to many small businesses. My comments sounded harsh, but that was intentional because the situation itself is harsh. It's a very sobering reality and I personally know people operating small businesses who are experiencing similar difficulties competing. However it is possible to compete, with creative solutions.​

 
Don't blame me for pointing out a hard reality of the situation: that the problem won't just disappear if you close your eyes and try to wish it away. You must act; you must respond to the economy just like everyone else.
 
Not unlike the introduction of automated factory equipment, with any major technological revolution often comes massive and unnerving shifts in employment and business and economy. The Internet is most certainly a sufficiently significant revolution in technology to qualify in a similar category to this, IMO. So yes, the result will be small businesses having trouble due to online companies like Amazon.com.
 
What can I say? Things are changing. Amazon.com etc. exist, and aren't going to disappear. Things change, and this is how business works. If I could say nice words and make it all better, I would, but it doesn't work that way. I'd rather be brutally honest here about the truthful situation, even if it sounds harsh -- because the reality is harsh.

All this talk about harsh reality, so I guess Sennheiser fixing the price at $999 for the HD700 & $1499 for the HD800 is a good thing then. Level the playing field.
 

 

[ac500]

Does it? My question I guess is, do physical stores have to sell for the price-fixed price? Because if so, then $1500 + tax at a physical store costs a lot more than $1500 + $0 shipping at something like Amazon.com -- and therefore the advantage is against the physical stores -- quite the opposite of leveling the playing field, in fact.
 
Now if Sennheiser lets physical stores sell under $1500 for the HD800 and forces online stores to keep at $1500, then that would definitely level the playing field without a doubt.

 

[ThrillerUSA]

I was just about to buy a 650 but will now buy a 700.
 
Thanks for taking the time to write such a fine piece.
 
 

 

[Dixter]

Quote:

I did that the other day to a customer because I could see it in his eyes he would buy it online lol! Either way, he wasn't a "customer"; he just wanted to hear some HD800's for his own conveniance.
 
Can't blame him though, they sound pretty good and it's not your everyday friend who has one for you to discover
 

Just curious...  the next time you need to purchase a new car... will you go into the dealership and offer the first sales guy full price on your new car???
also just curious,  when was the last time you purchased something from the internet..  for a discount...  Just curious, thats all
 
 

 

[maverickronin]

Quote:

I get very worried seeing comments like this.
 
How can a store with expensive centre of town premises, high overheads and high taxes compete with an on-line retailer with very low overheads and out of town premises and low taxes.
 
It can't be done.
 
Which is why the high street is dying and lots of businesses are going bust.  You can't compete, if you do you can't pay your staff or taxes and you still go bust.
 
At least Sennheiser are trying to support the local dealer with the top-end stuff.

In the big picture is there a reason why they shouldn't go bust?  It certainly does suck if you're one of those businesses driven out of business but why is this any different from other sorts of market changes that no one bats an eye at?
 
The economy is always changing.  It can't be stopped and usually the harder you try to stop it the bigger the disaster you cause in the attempt.