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Discussion Starter · #1 ·
Does anyone know what the dealer cost is for the 42 inch Panasonic TH-42PWD4UY?


That'll give me an edge when I go to negotiate the purchase of one.


The Panasonic website says the MSRP is $7,000. I'm thinking the dealer cost is probably about half of that.
 

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Discussion Starter · #4 ·
Thanks.


If the dealer cost is $5,000 then the Dell deal was one of those fine opportunities I just missed out on.


Maybe something else will come up as we get closer to Christmas...
 

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I believe the dealer cost at around $5,000 is correct.


When I visited my local discount dealer, (who normally sells with a 6% margin) he said Dell (at $4750) was selling below his cost.


The basic story is that large dealers like Dell pay lower prices than the mom and pop shops.


My sales person at Dell mentioned that they would have a 10% margin on a Plasma like this (at $4750).


When you back out the cost of shipping (around $100) I figure Dell pays around $4200-$4300.


For the folks that got the sale 20% off and repeat customer extra 10% off, those units pretty much moved at cost.


Bottom line, if you value local service (and I do), you will pay a higher price
 

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"Dealer cost" isn't necessarily the same for all dealers. Some buy through distributors, some get better deals due to quantity, etc. Dell may buy for $4k, while the rest of the world buys for $5k. It happens. Best Buy and Circuit City don't necessarily pay the exact same price for that 32" Sony TV.
 

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Discussion Starter · #9 ·
Yeah, you're taking a chance buying through the mail. If there is no damage and everything works, you did okay.


If there's something wrong, then its a big pain to get resolution.


I sure hope Congress passes that National Sales Tax Holiday. That'll make buying local not so painful.
 

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I negotiated the price down, but he

started at 5250. I found the

dealer using the panasonic web site

and clicking on dealers.


You might try that approach as well.

First contact I did was by email.

It worked out well for me.
 

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I know what the Panasonic's wholesale pricing is, and even I'm confused by what's going on with the retail pricing of this unit. Take it from me, oferlaor, the margins are very, very thin at the numbers that have been thrown around on this thread. Dell clearly gets a quantity price break (but it isn't huge and the credit card discount further eats into some of that) as I'm sure they order several hundred units at a time. But that's not true for all the rest of the vendors, whether they're buying from Panasonic direct or through distributors (the prices from either source aren't much different, frankly).


Why any retailer (including Dell) would want to be exposed for several thousand dollars just to make a few hundred dollars is beyond me. But the guy who takes the cake is the brick and mortar retailer xorcist refers to. I can only assume that:


1. He's insane and likes making 10 cents; or 2. Like Dell, he buys huge qualities (highly unlikely); or 3. He was selling his "demo" unit and had a bit more room to maneuver; or 4. There's more to this story than xorcist is telling us -- as in, xorcist purchased other items, or install services at the same time or in the past and the dealer made it up on those transactions, or xorcist traded something and the trade was undervalued to make up for the lack of margin on the Panasonic; or 5. The dealer just wanted to get rid of it because he was dissolving his relationship with Panasonic, or he needed to raise cash, or he was going out of business or moving and didn't want to take the unit with him; or 6. The dealer didn't want to hold on to the unit because it had been previously returned for repair, or had a dead pixel, or a noisy fan.


Whatever the reason, the price is almost too good to be true. Perhaps xorcist will kick in with additional information.
 

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Alchymie-


Unfortunately most of the above responses were not answering your direct question - excuse me, but the keyword was 'KNOW'. I know what it was last month via the largest wholeseller in the country. It is (or was) within $407.86 of the average of the above responses.


Maybe a more important question would have been 'How many buyers negotiated a different price than advertised?'


PF (Paul) and I have discussed pricing a little in the past and I, like him, am perplexed at some of the deals out there. But, I too am convinced that there must be different pricing structures. Not good for the Ma and Pa shops out there. And I agree with Paul, at least in context, why a brick and mortar store would try to compete with internet sales!!!


If you can buy one for $5100 - $5300 and get it delivered safely, I feel you made a reasonable deal, it is worth it. I think the saying goes something like this 'Shop it to death, and/or wait for price reductions = -($ few hundred maybe), vs. Buy it now and start enjoying the experience, price = "Priceless"'


Good luck, Bruce
 

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Discussion Starter · #16 ·
So $5100 is the fair low end price for this unit.


Another intriguing angle regarding Panasonic "deals" are those attractive low prices I've seen in the internet classifieds/auctions.


The seller always accept cash, check, money order, PayPal, or wire transfer. As soon as you suggest an escrow service, you never here from them again.


Wassup with that? A fool and his money is soon parted? I think there are bottom feeders out there looking for suckers.


I'll admit the deals are tempting, but the terms are terrible.


I'd prefer to buy locally but the state sales tax hurts. The next best thing is to buy from a reputable dealer with a credit card, and hope the shipping company doesn't bollix it up.
 

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PF,


Deal was for the plasma and the plasma only

Unit was new in box


I gave him a 50% deposit on a credit card

I paid the balance when the unit arrived

He did not have a unit in stock and had no

demo units. This shop is one of a chain

and I was told that this came out of a

purchase of 17 the chain made.


I spent 3 months educating myself on net

prices and yes, he was willing to compete

against net pricing which I do admit is

a bit unusual for most shops, but that is

how I got the reduction below his initial

offer


The store is not a home theater shop,

it is a shop that sells professional

production and presentation equipment.


Price was quoted and deal was done mid-Sept

I waited 30 days to actually get the unit


I came in with a clean deal, did not need

assistance or demonstrations, just product.


Not much else to tell, hope this is helpful

in allowing someone to reproduce this.
 

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Hi all


Complicated question trying to guess why the price of goods arrives at where it does in different outlets but just a couple of thoughts.


I think it was Ofer LaOr who reckoned dealers are making big margins on plasma - I wonder what everyone would consider a fair margin?


The variations in pricing reflect a very fragmented and sometimes confusing supply chain - remember 'Big Co USA division' is a separate company from 'Big Co Head Office' in Japan and when the going gets tough if the managers at Big Co USA are not seeing inventory shift they panic and will take big orders at cut down prices from cash rich companies happy to make a few (5-7) percent.


I suppose 5-7 % of 1000 sales at $4500.00 is an OK return on your capital outlay.


I wonder also if Ofer LaOr considers how many sales at big margins a dealer has to make to cover the cost of dem stock - usually sold off at very reduced prices, In today's market I may have up to six panels on dem and a few in stock - a fair outlay of capital.


To cover the buy price of a typical 42" panel for dem stock I will have to sell between 6 and 8 units before I am into profit! And when I have to keep a range of panels in stock you can soon see how many panels you have to sell and why the temptation to cut prices if kit is not shifting.


Unless as someone else pointed out I have a strong customer base who are willing to pay above the norm for quality of service!!!!


Not a thought through argument really just some thinking out loud.


Joe
 

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Discussion Starter · #19 ·
Of course you don't need much service if the darn thing works; and keeps working.


I guess we should be willing to pay a bit more though for the ability to actually see and compare models.
 

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alchymie,


I learned to use trade shows to see a bunch

at a time. Specifically SID, really a trade

show for the companies and engineers that

build various types of displays. Booths

were staffed with engineering types mostly.


See www.sid.org for that show.


Cedia and CES are other candidates.

I know there is also a production

equipment trade show where these tend to be

featured, I forgot its name. I recall

it was pricey ($100) to get in without a pass.
 
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