2. misc-audio
  3. 149190-2693

What is a lowball offer? How low is low?

Recently I was looking at 2 -3 preamps. One was particularly interesting which was a Conrad Johnson 16LS2. The asking price was $3500. I have always wanted the 16LS2. But it was out of my price range. I couldn't make a serious offer. So I didn't and moved on. A few days later I see that it has sold for $2500! What? That was in my budget. But I would have considered that more an insult than a offer. And because I didn't want to insult the seller, I lost a good preamp to someone who was willing to take the chance. So what is the lesson learned here? Apparently I should insult more sellers . The seller wasn't insulted after all. he sold it for $2500. Or is the lesson that I take this stuff too seriously?Should sellers be insulted when offered 50% of their price?  I had thought that 10-15% below the asking price was a realistic offer. Now I'm not sure. So what do you consider a low ball offer? And please, I understand that a product is worth what someone is willing to pay. So no economic lessons please
artemus_5

Showing 4 responses by snapsc

snapsc
686 posts
 
I think that "low" is a relative term....if a generally well thought of piece is being offered for 50-60% of its retail value...that offer price seems reasonable and a counter offer for 50% is probably lowball and won't be taken seriously.

If the piece is being offered for 80% of retail, and its not some unique piece like a Philharmonic BMR, then the asking price is unreasonable and offering 50% is probably not unreasonable.

Also, I think that it is sometimes how you say it....example:  you are asking $2000, I'm offering $1000 take it or leave it.....vs... you are asking $2000, I'd really like to buy it, the best I can offer is $1000 which I know is low...if for some reason no one buys it and you can get closer to $1000, I'd appreciate a message.  They same the same thing but the level of respect is different.
snapsc
686 posts
 
Another situation is where a replacement model is more expensive... example... item A is $100 new and the “updated version” has jumped to $125....item A may now sell for 60-70% used because the replacement is more expensive. 


One one final thought that sometimes I think is ignored... it’s not what you pay, but what you can resell it for in a couple years when it’s time... examples... you know that KEF, Audio Research, parasound and others hold their value pretty well over time... so if you can resell for 50% then who cares if you have to pay 60%... your real cost was only 10%!!!
snapsc
686 posts
 
@elizabeth 

i more or less feel that audio has become like many other products... bring out new models every few years and hype them as though they are better... even if they are not... Many new products are better... some are not. 


I’ve offered products for 70% and had to drop to 60%... and I’ve offered products for 40% and had to drop to 30%. 


Where does that leave us?  Ultimately, the market sets the price... if I offer a product at 60% thinking it is a fair offer and buyers don’t agree, then my product won’t sell.     


If im buying a product, frankly, I’m thinking as much or more about what I can resell it for down the road../ hoping to keep my cost of ownership below 20%.... sometimes it happens... sometimes not. 
snapsc
686 posts
 
 

I'm not sure the statement that no one pays retail is accurate....I'd be interested in hearing from some people who have purchased products from companies like Tekton, Salk, Modwright, PSAudio, Ascend, Rythmik and some of the more well known internet companies....were you able to buy direct from the company, not b stock, at a 10% discount or more...other than when they had some kind of an annual announced sale/clearance?

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