CAN-AM (BRP) Discussions about CAN-AM ATVs.

Are the manufacturer's getting greedy with prices?

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Old Jul 13, 2006 | 12:05 AM
  #1  
cop's Avatar
cop
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Default Are the manufacturer's getting greedy with prices?

It seems that quads are getting out hand with regards to price. Three years ago $6000 +/- would get you the top of the line Quad. Now you need to shell out almost $11,000. I know that technology is better but a 50% increase is crazy. It seems that the manufacturers might be shooting themselves in the foot the same way they did with jet skis. Back in 1995-1998 you could get top of the line SEA-DOO jet skis for around 5000 - 6000 dollars. EVERYBODY had them!! The industry was growing like crazy because the price was right. Then crazy price hikes literally KILLED the jet ski market. Now you see only a few of them, and I live near lake Erie. They sell some cars cheaper then some of these Quads and jet Skis. Wake up BRP, Yamaha and Suzuki. You are pricing yourselves away from your customers.
 
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Old Jul 13, 2006 | 12:53 AM
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Default Are the manufacturer's getting greedy with prices?

Do you have reason to believe that the prices have increased at a greater percentage than the costs of manufacturing?

Here is a fact: If dealers are forced to regularly discount quads to move them, i.e. Raptor 700R retails at $6999 but is marketed at $5999 to encourage sales, the manufacturer is not making huge margins. Competition is doing its job.

What if due to the cost of oil and everything it effects, trucking, manufacturing, cost of goods, etc. the cost of manufacturing is up 50% and margins are equal to what they were percentagewise to that of 3 years ago. Would anyone call the manufacturers greedy at that point? Of course not.

I guess I would want to know how much of the increases are cost and how much are margin before I started throwing the "GREED" word around[img]i/expressions/face-icon-small-wink.gif[/img]

My $0.02[img]i/expressions/face-icon-small-smile.gif[/img]
 
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Old Jul 13, 2006 | 01:40 PM
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Default Are the manufacturer's getting greedy with prices?

Well put DSNUT.
 
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