In my business we sell to retailers and wholesalers, some of the retailers are tiny, like a LHS, they utilize all the sales channels available, an actual storefront, web stores, paid advertising in publications likely to reach their customs (not unlike OGR), they also use YouTube and social media like Facebook and Twitter to keep in regular contact with customers- in a two way dialog manner- and they are doing well, growing and seeing profits increase. The little guy is not a victim of the current economy they are witness to the greatest opportunity in the history of retail, they can sell world wide, reaching more customers than ever possible, with one of the lowest customer acquisition costs in decades. If the retailer makes a choice to not take advantage of the web, social media, and every sales channel available then they will struggle, go under, and replaced by others who can see the opportunity, adaptation is the key. Those who don't will not last.
This is not a business where any dealers should be leap frogging each other to see who can sell at the lowest price point, the community seems to be willing to pay full rate, it is reaching the customer and offering good service in the process, regardless of where that customer might be. I fully appreciate that this is a generational issue, older customers are less likely to buy on-line, although that too is changing rapidly, but the only way to reach new customers is to reach out and stay in touch with those customers.
This forum alone shows how some dealers are engaging with customers and prospective customers in new ways, I would venture that RMT can clearly show a long between postings here and sales.
If any dealer can not survive on the margins provided by MTH, Lionel, etc, with a reasonable sales volume then they should explore another business or attempt to renegotiate their pricing. Blaming the buyer for not being willing to support any dealer by paying a premium, is a little nutty, LHS welfare, really?
