are we are own worst enemies?


Why do audiophiles sell their used equipment for 50% or more, off of the retail price. I feel that if a piece of used equipment is in mint condition, 65% of retail would be a fair asking price. Since most of the sellers on audiogon sell their equipment for 50% of retail, I am forced to do the same, if I want to make a sale. I find this practice strange, especially when dealers will only discount 10% of retail on new equipment. Anyone care to comment?
jazz_nut

Showing 2 responses by jadem6

Most high end audio equipment has a 40% mark-up over dealer cost. Cabling is closer to 50%, some dealers offer new equipement at heavily discounted prices. I bought my Sony SCD-1 just after it was introduced two years ago for $3200 un-opened with warrenty ($5000 MSR). Today I could sell it for about the same used. If $5000 had been the price I and anyone else paid, the price used might be higher. I think it's hard to expect re-sale pricing to be higher than dealer cost on anything when some people are able to buy at the dealer cost. Cabling is the worst in my opinion. New prices are all over the board. When you go to sell your cable people want 20-30% off the 50% they see advertised. At 75-80% off retail the consumer who pays full price takes a huge hit. The best thing the industry could do is to either hold the line on retail pricing or lower the mark-up across the board so the used costs retained value. As long as people have brick and morter shops, the price must remain where it is, it then becomes the responsability of the on-line retailer to hold the retail pricing. Of course this also will not happen so the only answer I see is don't pay retail!
Thank-you Cornfed for stating my responce in the right way. The numbers I was trying to state are the same as Kelly's, I think my lingo is wrong. I agree with the statement that if you can't get 20-25% off than look elsewhere, once you learn to buy at an acceptable price the used prices will make sense too.