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Marin Oz

Guitar pricing

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Hello,

I'm an owner of a local eastern-European workshop that produces high-end electric guitars.

I want to offer our guitars to shops and dealers in the US and Western Europe.

Does anyone knows what considers common for dealers to charge from the final price to the customers?

Thank you

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Half of final retail price, maybe slightly more if you have something compelling, unique and proprietary, but it's an extremely competitive market and dealers here are under a lot of pressure. 

Many won't take much risk because their core business has moved from new guitars to giving lessons and renting instruments to school kids at a local level because ...well, that's a local thing and less subject to internet scrutiny.

The other issue is that your product can be quality (in terms of a finished guitar), but most custom makers are producing good stuff. The average consumer isn't looking to spend much unless something looks like and is fender/gibson, etc. The semi-custom buyers are usually looking to buy domestic here (collings, etc) and don't care as much about price as they do name and origin. 

In my opinion, you need to market your guitars directly first and establish that they will sell to the US and then find a situation that's better for you from a dealer standpoint than direct marketing them yourself (which probably won't occur). 

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My friend is a store manager at chain here in the UK, he said they aim to get 35% of RRP but they never really get that on the high end instruments, margins are tight especially competing with the online traders.

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