This open letter is well said and I think it worths to report it here:-
http://forums.dpreview.com/forums/readflat.asp?forum=1036&thread=41272015
The poster has said the very true indeed, since the beginning of 2010, I have only purchased my K-x kit and my K-5 body at local shops whilst all my other Pentax purchases during these two years and more were made online, these include the purchases of my K-r Gold and DA35/2.4, my DA70/2.4, yet another DA21/3.2 Limited, a DA18-55II, a ML-60 focusing screen and until very recently the DA40/2.8 XS lens as well. Besides, I have also purchased other camera items for my gear of the other brands online. So, internet and online purchasing is the irreversible trend, which I totally agree.
What Pentax and Pentax Imaging doing is actually completely against the trend and their consumers. I think a lose-lose-n-lose situation will be created for all parties, i.e., the users, their dealers and Pentax the manufacturer themselves in the end, unless they are to lower the current unreasonable high set prices of many of the Pentax lenses under their fixed prices policy, which is known as UPP officially!
Besides, 1001 Noisy Cameras have also made a very good "ranting" post:-
http://www.1001noisycameras.com/2012/04/sunday-rant-unilateral-pricing-policies-and-lessons-from-the-k-x.html
I also think that their observation is absolutely right, i.e., few photographic and gear site have made at least some sound to oppose that silly happening at Pentax! This time I think PF has also been honest and brave enough in this case, in contrast to what they have been doing and against the others.
Last but not least, I suggest someone can create a new open petition at the Petition Online, like the last SDM issue and firmware request (but which has never been acknowledged and responded by Pentax anyway), which might be a way to gather all our opposition to what Pentax is doing, which should ultimately show that how disgusting this policy is and how the brand is eventually hurt and damaged! Pentax and Ned, please wake up!!
Last Related:-
See What Ned Bunnell Has Explained (Re: US Lens Price Increase since April 1st)
Monday, April 23, 2012
Logging you in...
Comments by IntenseDebate
Subscribe to:
Post Comments (Atom)
frank · 672 weeks ago
Besides this is what a lot of people have wanted. Pentax in local stores. I think this price thing is really to hold back demand. Perhaps there is not enough supply to meet the demand so they raise the prices. Once the demand dies down the prices will drop it simple economics 101
RiceHigh 110p · 672 weeks ago
Also mind you that even the street prices of CNS gear are subject to be lowered than the MSRP at stores actually, instead of what now Pentax Imaging has strictly executed, i.e., the MSRP cannot be lowered, not even by one buck!?
I bet B&H sold most Pentax gear online before. What Pentax Imaging is doing is just hurting the relationship with B&H, and indeed the overall sales of themselves.
Alex · 672 weeks ago
- the 60-250 for $200 less
- the 50-135 for $380 less
(the 16-50 is currently at MSRP. And yes, I've only counted the lenses sold directly by Amazon.com)
Pentax also needs visibility, i.e. to be in B&M stores; they can't be satisfied to sell only from BH&co.
Ying · 672 weeks ago
Pentax isn't Apple, Who has a strong hold in their markets, they have very strong competitors. In the stores, it will be placed right next to Canon and Nikon, What makes it stand out? Certainly not the price.
They are now asking for the same or higher price as C&N without offering the same level of after sale service.
People want Pentax in local stores - but they didn't ask for the price increase, I think it's safe to say most ppl want to see them in stores with the old price tag - what's the point of them being in the stores and you can no longer afford one? Window shopping?
RiceHigh 110p · 672 weeks ago
Ying · 672 weeks ago
RiceHigh 110p · 672 weeks ago
Ying · 672 weeks ago
RiceHigh 110p · 672 weeks ago
But anyway I have no faith in Pentax' SDM as it is really too vulnerable to break.
Rob · 672 weeks ago
Look at the recent price change from the side of the online retailer. For years as B&M stores dropped Pentax, online retailers like Amazon, B&H and Adorama continued to carry Pentax gear. Low margin and low volume, they did not make huge profits from Pentax. But because they carried Pentax, people like me bought cameras, lenses and strobes (yes, I own a Pentax strobe!). And they also carried third party gear so I could buy lenses from Tamron, Sigma and Lensbaby, and strobes form Sigma and Promaster. Third party support is critical to any DSLR maker and without online retailers, those third parties would have dropped Pentax just like the B&M stores did.
So how does Pentax repay loyal retailers? Buy making them raise prices on THEIR customers so B&M retailers who showed NO loyalty can have an easier go at it. By making it unfair for them in the marketplace. Making them charge the prices of a full service B&M store without any ability to provide that service. So after years of carrying the water for Pentax, they are the ones who will be placed at a competitive disadvantage.
Of course this assumes that all of us shop on price alone. I know I dont. I routinely pay more at places like REI, Apple and (before they closed) Borders because of service. I knew (because I have a smart phone) I could get those things for less online. But they provide a SERVICE I am willing to pay for. Pentax is assuming I don't shop at B&M camera stores because of price. The fact is no B&M camera shop wants me as a customer. I dont like being treated like I am slow or mentally defective because I am not using Canikon. I have literally been in shops with money in my pocket and turned away. I have run a small business and I can tell you I would have been on the phone to a distributer and gotten the item FedExed that day. Just break even and you win because you gain a customer.
B&M do have to compete on price, but that doesnt mean they have to match the price. It means they have to add enough value to justify their markup. For something like a camera body or lens, 30% is a very reasonable markup. Assuming no one was selling at a loss before, the majority of the "new" prices fall in that range. On the other hand, some are clearly insane. 50% or more for the DA 40 Limited, 40%+ for the DFA 100, 90% for the DA*16-50 and DA*50-135, and almost 60% for the DA*60-250. There is NO level of retail support that can account for a 90% markup on a lens - especially ones that have well documented and unfavorable repair histories.
A good B&M store is not just going to sell me a lens. If they earn my business, they will sell me a lens , a UV filter and maybe a CP and ND filter to go with it. After a few sales, they will get me to buy a bag. And when I need a umbrella RIGHT NOW, guess where I am going to go? So even if they "just" make 30% on that lens, they will make a lot more off me as a customer. But they dont want me as a customer because I dont use the "right" kind of gear.
The small business I owned was a computer store back in the "white box" days in the 90's. 100% of the computers I built were "Windows" systems. I am and have always been a Mac guy. But even back then, smart computer stores knew that 90% of what made a computer was common to both platforms (today its 99%). So I advertised and made clear that I was "Apple Friendly." A hard drive doesnt care what OS is on it. A monitor doesnt care what OS drives it. I made my highest profit margins on cables - USB and ethernet - that worked on everything. Guess what - memory cards dont care what camera they are in. Bags dont care what gear is in them. Filters only care about the size lens they are on, not the brand of glass. Smart camera shop owners would have figured out a LONG time ago that their market if photographers, not brand owners. Do the VERY minimum to bring me in as a Pentax photographer and I will spend my money with you. But they dont want me as a customer.
For me, I intend to be loyal to those retailers who cared about me without having to be bribed. I will continue to buy online from retailers who wanted my business when no B&M store did. Maybe a B&M store will try to earn my business but I doubt it. If they knew their market, they would not have lost me in the first place.
Ying · 672 weeks ago
Especially they are using OUR money to save someone else.
Alex · 672 weeks ago
Pentax is not "saving failing B&M stores", such charity is not in their business plans. However, they will re-enter in B&M stores (the surviving ones) and for this, they believe UPP is required. UPP which doesn't necessarily means the current MSRP.
I can't find much fault with B&M stores who had to compete with online retailers - a losing battle, from the beginning. And when Hoya asked them to order $$$$$ or give up on Pentax, did they had a choice?
And if you can point me to another source of funding besides OUR money (i.e. revenue from product sales), please do. It's not like they force you to buy, if you don't like the prices.
Ying · 672 weeks ago
Alex · 672 weeks ago
You fail to see the essential: Pentax is not any kind of ship, but a submarine. People see it "sinking", however it's more than able to fight against Canikon ULCVs.
Ying · 672 weeks ago
Alex · 672 weeks ago
But you're still funny, trying to make it look like Pentax is charitably helping B&M stores to survive.
Alex · 672 weeks ago
Ying · 672 weeks ago
Rob · 672 weeks ago
LOTS of B&M stores are successfully competing against online retailers. They win by offering service. Many people predicted doom for real estate brokers because the Internet was going to allow us to sell directly to each other. Instead realtors adjusted and are some of the best at fusing online and B&M. B&M photography stores would not be in the shape they are now if they had not ignored the trends in their market.
Actually, the rebates that Ned talked about are how Pentax can help B&M stores with PENTAX money, not ours. Car companies have been doing this forever.
Alex · 672 weeks ago
What you say could work, however I have a felling the customers rejected the idea of paying for those services. I would, not very much though... wait, I don't really need such services? - unless being able to touch the products without buying (and returning them later) counts.
The only way to "help" (in fact, make them sell Pentax) is to ensure enough margins so it would be profitable. Rebates can't do that, UPP can.
Ying · 672 weeks ago
Of course, the retailers has to balance between having a high profit margin but less sales or vice versa.
RiceHigh 110p · 672 weeks ago
Alex · 672 weeks ago