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Old 26th Nov 2009, 11:23
  #253 (permalink)  
IO540
 
Join Date: Jun 2003
Location: EuroGA.org
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Direct sales is THE way to go these days, on every product which can be sold online.

Dealers are too slow to take up new products, and if you start selling via dealers, they will quickly spot that you are a newbie and will try to screw you into an exclusivity deal, which puts you into a politically difficult situation because if you say NO (which as a prudent businessman you must) the dealer will go off in a huff and will not come back.

One has to inflate - at the outset - the end user price by some 30%, because dealers will come on board later, when they have seen the product's success. They will then come on board much more on your terms The 30% is their reseller discount.

Been there, done that, many times since 1978
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