Charging A Fee To Demo An Amplifier In A Brick & Mortar Store
I Saw a pair of pre-owned tube monoblocs for sale on an onlline forum for around $17k. The seller has a retail store for hiigh end audio. The seller mentioned that there will be an up-front fee for the demo if a prospect comes to the store the amps are not purchased. The demo fee may also be used for credit towards any purchase in the store.
This is the first time I’ve ever heard of this. Is this now a common occurance in high end audio stores? I sent a note to the seller asking what the demo fee amount was....two weeks and I didn’t get a response.
Does anyone know what amount of fees are charged for a demo?
That would be about one sold every 13 minutes for 12 hours a day for two weeks straight. A few minutes here or there. An achievement, indeed. One must wonder how many people were hired to do all the paperwork.
Maybe, just maybe, in these current times I could understand a charge for a demo. IF and only IF the store owner stated that the cost was to cover sanitizing the store/demo room/equipment to CDC guidelines before the demo and then also afterwards.
But they didn't state that so I would just go elsewhere.
Just a thought, which might explain the dealers reasons. How has the current economic situation and Covid, affected Hi fi retailers viability? I don't know the answer, but I suspect it isn't good. In theory, spending more time at home, you might look at an upgrade, but unemployment is rising, so buyers confidence is falling. If the retailer is doing his job, he should be doing some cleansing after a demo, which takes time and expense.
So I'm not supporting the charge for a demo, even in store, but maybe I understand it's part of a survival plan for the retailer
Was there a meter in the showroom where you have to keep inserting money for every 30 minutes of listening? Are you kidding me? This dealer is over the line. I could see a restocking fee for an amplifier you purchased then decided to return. Stay clear of this freak-zoid and shop elsewhere.
I think the dealer's business model is not "sound".
If the store is open, his time, like his inventory carrying costs, is simply overhead.
The biggest draw for a bricks and mortar store is to hear equipment and share info with supposedly knowledgeable people.
Given that a high end audio store does not have customer traffic like a discount or grocery store, you would think the owner would want to get people in and listening.
Combine that concept with an extensive used inventory and a bricks and mortar store can make it.
My guy even lets me take used pieces home for audition, at no charge.
Change the product to HE Real Estate. Realtor wants to charge a fee to "show" the house....Fee will be credited back at closing, but if you don't buy you forfeit the fee.
Wonder how many sales this realtor will have ?
Regarding the original post- the items in question are not unique and are available from other sources, but some effort on the part of the buyer will be required. Some referenced Auto Sales- yes I am aware of situations where the price included a "market premium" for a hot model in short supply- no negotiation, pay the price or leave. But sure as rain, 6 mos later the same model was in stock and available at a discount.
Seller can do what the they want, but unless the seller has a monopoly (this seller does not) the buyer drives the transaction. And this seller is driving potential buyers away.
Store in calif..SF charging 250.00 to listen to setup..for up to 2 hours. 250 csn be a credit towards purchase..must be paid in advance. Thst is utterly extortion. Raidho dealer SAN FRAN
Call me old fashioned but I think that this is ridiculous and I would literally get up and walk out. There are still plenty of full service audio dealers out there, many who are happy to set up a demo within reason. And if you are the type of buyer that is a "tire kicker" and wastes a sellers time, them shame on you too..... I never ask for a demo unless I am ready to pull the trigger on something.
If a store/dealership charges to demo equipment that is not a problem with me. It is my choice if I want to do business with that establishment. As long as that policy applies to everyone.
However, my opinion is also that if the dealer wants to or is trying to sell me something, then I'm not paying to listen. Depends on who is the driver here.
Just like with wineries. When I go to Napa, Sonoma, Paso Robles, etc. there are some small producers that will not let you taste, limited production wines. They expect you to buy based on their word alone. That does not happen with me. I tell them that If I like the wine, I will buy it, but I won't buy wine that I haven't tasted or am unfamiliar with.
this typically works at roughly 90% of the wineries I visit with my wine expert friends. They typically figure out pretty quickly that I am serious about wine and will actually open a bottle for myself and my friend to taste. The wine has to speak for itself. If it is good it is good. if it isn't well...
Same for audio equipment. Except a lot depends on the associated equipment connected and the room. All of which has to be taken into account in demo'ing equipment.
Stopping into a store just to listen is one thing and shouldn't be a big thing if the equipment is already connected and running. If it isn't, then yes, I can understand the issue. However, I will stop into stores to get a feeling as to how the salespeople react to me. How they treat me. Completely ignore me as if I don't exist or can't possibly afford their equipment and therefore, write me off? Discriminate? Whatever. I am feeling them out.
Stereo Design in San Diego was great (owner retired and closed the shop). They knew I was serious and had no problem letting me sit and listen to their top of the line stuff.
Optimal Enchantment in Santa Monica is the same way.
Even Stereo Exchange in San Diego has no problem letting me listen to the top stuff.
They can't possibly know if you are a tire kicker with no intention of buying anything of a high roller. So, easy questions help. Are you in the market for anything in particular? What do you currently have? Are you seeking to upgrade? What is your musical taste? What is your budget? Are you willing to hear equipment slightly outside your budget that may be better that what you wanted?
Just getting to know the customer.
Also, I would bet a lunch that this particular dealer doesn't treat every customer this way. If a "beautiful person" walked in or an associate or recommended customer, they would probably set up the equipment and let them listen free of charge.
When I visit Audio Classics, they will set up anything I want to listen to without any fuss and after set up, leave me alone to enjoy. That is the kind of dealer you want. When I wanted to hear the Legacy Valors, they took out the big McIntosh speakers and hooked up the Valors to the 1.25kw McIntosh mono blocks with a smile and told me to"enjoy"..
Um, part of the reason you carry these products. A large part..is the markup. If one buys system 10k...the markup is 40 percent...4000. Most who go to a store spend more
It’s their store, they can pretty much do what they want, no matter how stupid. I am thankful that I have a dealer that is as accommodating as the one I go to. With that, they have earned my business time and time again. Mutual respect is what we have.
Back in the late 70's/early 80's I worked in a high-end store and we would take someone's credit card number or a check we would hold onto, in case the customer didn't return the loaner, but I've never heard of having a potential customer having to "rent" a demo unit.
One of the dealers I visited when shopping for speakers, on a hot, humid, rainy day in August asked me if I had "an appointment". Though the store was empty they would only allow me to audition speakers in their secondary room, the models I was interested in were in their high end room. Too bad for them, as I spent my $ elsewhere.
The fact that he gives in-store credit solves the problem for me.
Personally I would really value a good shop and a salesperson who could give me critical information, guide me in my purchases as well as offer second-hand deals. They meet people all day... clients, reps, technicians and quite often know things in and out.
If you are seriously considering to buy those 17k amps then why not spend several hundred dollars on something you something and then ask him if he would do a brief demo. If he sees that you are a genuine high-end client with the budget, he'd be stupid not to serve you.
A amp demo can be very brief or it may take one hour or more with different speakers, DACs and cables etc. With the previous shop I was dealing with, they would routinely loan me expensive items for multi-day demos and let me know when some great second hand item came into the shop.
If a shop spends considerable effort in giving me good advice and service I will do all my purchases there meaning I will even pay extra than going to the dealer of that product but use them as an intermediary. Good advice and extensive demos saved serious money for me by making proper purchases.
I've been in the retail automobile business for over forty years. While I realize that the two businesses are different, if we treat all of our potential customers with courtesy and respect we might have a chance to earn their business. While I realize that not every looker can afford to buy something he may have an interest in, we try to offer guidance and information too all who come to our dealership. No, we don't let every Tom , Dick, and Harry drive a Charger R/T, but you'd be amazed when treated well how many come back and do business with us, or at least give us an opportunity. They might even recommend a friend or relative give us an opportunity too! Business is hard enough today without having a bad reputation. Then you don't have a chance in hell to be successful.
Tire kickers are the price of doing business, thats just the way it is. If you have an issue with it or are incapable of selling to someone who might not be "real" then its time to find a new business to deal in. I was a salesperson at Sound by Singer in NYC and we dealt with tire kickers all day. You educate and show people the difference between high end and the junk they listen to and you maybe earn a sale down the road
Most of these problems can be solved by putting audio sales staff on salary or salary + commission.Most of the remaining problems can be solved by the customers who fail to realize the importance of "cultivating" a likeable salesman by showing something more than adversarial attitudes. I always try to come up with something I need before going into the store. If you get a lot of good attention, pay the guy by buying something on the way out: cables, accessories, etc.Everyone deserves to be treated with respect, even salespersons! All stores owe everyone that deference. But if you want a salesperson to set up special demos, cart stuff to your house, do research with suppliers, and THEN cut you more than a token discount--which will usually come out of his paycheck--then you should expect to show the guy that at the very least he has a CUSTOMER and not a stroker.
I'm in sales. I would love to be compensated every time I pitch a client but it doesn't work that way. Sometimes I spend months courting new business and end up with a donut. The point is I have made a choice and this is the process in the business I have chosen. I went into it with my eyes wide open and accept the fact that sometimes I will spend time that I will not be paid for.
If I ever walked into a shop and was told I'd have to pay for a demo I'd be deeply offended and NEVER spend a dime with those people at any point in the future. Just my 2c.
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