Margin on speaker sales by high end dealer


Many a times, you talk with a dealer and they order and deliver the product. So you spend 10k on a pair of speakers. Seems very simple to do by a high end dealer. And most often done without an Instore  visit.
So how much are they making?
emergingsoul

Showing 1 response by mrklas

My answer is "I don't know"

I'd expect the mark-up to be 30-50% - this is typical for consumer goods/electronics.

The range will differ at price points, according the distributor agreement and the like.

Many manufacturers provide specific requirements such as demo units, stocking levels and on top of that then include promotions based on annual volumes and such.

A dealer that doesn't abide by their distribution agreement can get dropped and companies with strong brand names will penalize poor actors.

Manufacturer's also have 'upgrade' programs to provide additional revenue opportunities for dealers.  This provides dealers incentive to promote their products.