Message to NVA from Hi-Fi Corner dealership (via Facebook)
- savvypaul
- Posts: 8743
- Joined: Tue Oct 11, 2016 7:14 pm
- Location: Durham
- Has thanked: 1668 times
- Been thanked: 3034 times
- Contact:
Message to NVA from Hi-Fi Corner dealership (via Facebook)
We've had a message (a public comment on a public post - see images), to our Facebook Page, from Struan Mackenzie, Director General at Hi-Fi Corner dealership in Edinburgh, in response to our posts about pricing in the UK hi-fi industry (NVA sells at 3 to 5 times parts cost, dealers sell at 7 to 10 times parts cost). The message from Struan reads... “I’d rather buy from a brand buying components in their thousands than a brand buying them in their tens. The cost of the part is negotiable, and not a gauge of musical performance. We have seen this type of industry bashing before”.
This is our response...
An argument about the individual cost of parts is a valid one, but it is somewhat diminished if the items you sell are at 7 to 10 times parts cost rather than 3 to 5 times parts cost. On the bigger picture of 'industry bashing'...far from it, Struan, we are promoting a positive alternative.
We have no shortage of respect for dealers who invest many tens of thousands of pounds in their business and provide excellent customer service – after all, we are making the same sort of investments in our own business. However, anyone who has any interest in our hobby will know that prices have increased dramatically over the past 10 years or so. In many ways, that is understandable – footfall is dramatically reduced, so margins must increase and ticket prices obviously follow suit. Dealer premises must become more luxurious to promote higher priced (luxury) items, which adds more cost, and the cycle starts over again.
Thanks to the internet, what is possible has changed, and that represents an opportunity for a different deal for both manufacturers and customers. We can offer 30 day home trial, buy now – pay later (so you don't have to make upfront payment to hear NVA in your own system), UK customer service via email and phone, a 100% cable trade-in scheme, component upgrades... and we can get a fairer price for our products and our customer can pay significantly less for those products. A win-win. We can't offer luxury premises, but we will make you a very nice cup of coffee if you want to collect your amplifier from us rather than having it shipped.
We believe in choice and transparency. We explain our offer as clearly as we can, including telling you the parts multiplier for each amplifier we sell. We don't want (or need) to bash the industry, but we will shine a light on it. In any market, knowledge is power. We think that enthusiasts should understand the value proposition and compare it to other options.
We wish you luck, Struan. We respect you as a fellow enthusiast.
Sincerely,
Paul Tiernan
Owner
NVA Hi-Fi
- These users thanked the author savvypaul for the post (total 3):
- Lindsayt (Wed Feb 23, 2022 8:00 pm) • CycleCoach (Wed Feb 23, 2022 8:29 pm) • antonio66 (Thu Feb 24, 2022 2:47 am)
- slinger
- Posts: 9330
- Joined: Wed Aug 22, 2012 4:30 pm
- Location: The Garden of England
- Has thanked: 4717 times
- Been thanked: 3178 times
Re: Message to NVA from Hi-Fi Corner dealership (via Facebook)
I think that's probably one of the most polite ways I've heard someone told "you look after your business, and I'll look after mine," Paul.
Amps - NVA P50, AP30, A40, Stanislav Palo Tube Headphone Amp BB 85
Speakers - Monitor Audio Silver RX2
Cables - NVA LS1+LS3, SSC, Gotham S/PDIF, IBRA Optical
Digital - NAD C516BEE, SONY ST-SDB900 DAB TUNER, TEAC UD-H01 DAC
Analogue - Pro-Ject Debut Carbon Esprit SB, Graham Slee Gram Amp 2 Phono
Cans - Grado SR80, ATH-M50X
Speakers - Monitor Audio Silver RX2
Cables - NVA LS1+LS3, SSC, Gotham S/PDIF, IBRA Optical
Digital - NAD C516BEE, SONY ST-SDB900 DAB TUNER, TEAC UD-H01 DAC
Analogue - Pro-Ject Debut Carbon Esprit SB, Graham Slee Gram Amp 2 Phono
Cans - Grado SR80, ATH-M50X
- CN211276
- Posts: 6566
- Joined: Tue Aug 09, 2016 9:29 am
- Location: Cardiff
- Has thanked: 1438 times
- Been thanked: 992 times
Re: Message to NVA from Hi-Fi Corner dealership (via Facebook)
I saw a comment on the Facebook page about how Richard Dunn would have responded. I can well imagine.
Goes to show that dealers see direct sellers as a threat and NVA's presence on social media, especially concerning margins, is getting under their skin.
Goes to show that dealers see direct sellers as a threat and NVA's presence on social media, especially concerning margins, is getting under their skin.
Main System
NVA BMU, P90SA/A80s (latest spec), Cube 1s, TIS, TISC(LS7)
Sonore OpticalRendu, Chord Mscaler & Qutest, Sbooster PSs
Network Acoustics Eno, ifi iPurifier3, AQ JB FMJ, Cisco 2940 & 2960
DH Labs ethernet, BNC & USB cables, Lindy cat 6 US ethernet cable
Second System
NVA P20/ A20, Cubettes, LS3, SSP, SC
Sonore MicroRendu, Chord Mojo 2 MCRU PSs, AQ Carbon USB cable & JB FMJ
Headphones
Grado SR325e/Chord Mojo, Beyerdynamic Avetho/AQ DF Colbat
RIP Doc
NVA BMU, P90SA/A80s (latest spec), Cube 1s, TIS, TISC(LS7)
Sonore OpticalRendu, Chord Mscaler & Qutest, Sbooster PSs
Network Acoustics Eno, ifi iPurifier3, AQ JB FMJ, Cisco 2940 & 2960
DH Labs ethernet, BNC & USB cables, Lindy cat 6 US ethernet cable
Second System
NVA P20/ A20, Cubettes, LS3, SSP, SC
Sonore MicroRendu, Chord Mojo 2 MCRU PSs, AQ Carbon USB cable & JB FMJ
Headphones
Grado SR325e/Chord Mojo, Beyerdynamic Avetho/AQ DF Colbat
RIP Doc
-
- Posts: 1010
- Joined: Thu Jul 04, 2019 1:06 pm
- Location: Industrial waste lands of the north west
- Has thanked: 559 times
- Been thanked: 488 times
Re: Message to NVA from Hi-Fi Corner dealership (via Facebook)
An intelligent and well balanced reply Paul. I think it's great that you are reaching out to new audiences and offering some insight to various cost models. In my one and only meeting with the combative Alan Sugar in the early 90's he made me chuckle when he said "tell em as little as possible, where there's mystery, there's margin" to which I smiled and nodded my head in total agreement.
Modified Airlink BPS 3110S with LDA DC filter
TTs, Kenwood KD 8030 with AT OC9XSH, Opera Consonance Wax Engine mk2 with modified Apheta 2 MC cart, PT TOO awaiting restoration.
LDA MCJ3 phono,Schiit Freya plus pre amp, NAD M23, Audiolab 9000 CD transport, Denafrips Pontus 2 DAC, Mano Ultra2 streamer, Cisco switch, Audio Technica ATH 70 cans, Serhan Swift Mu2 mk2 speakers & NSNO W48.5 speaker cables
TTs, Kenwood KD 8030 with AT OC9XSH, Opera Consonance Wax Engine mk2 with modified Apheta 2 MC cart, PT TOO awaiting restoration.
LDA MCJ3 phono,Schiit Freya plus pre amp, NAD M23, Audiolab 9000 CD transport, Denafrips Pontus 2 DAC, Mano Ultra2 streamer, Cisco switch, Audio Technica ATH 70 cans, Serhan Swift Mu2 mk2 speakers & NSNO W48.5 speaker cables
-
- Posts: 532
- Joined: Fri May 19, 2017 11:03 am
- Has thanked: 358 times
- Been thanked: 332 times
Re: Message to NVA from Hi-Fi Corner dealership (via Facebook)
It says a lot that being transparent about your own business model is perceived as an attack on the industries food chain.
- r3xj0hn570n
- Posts: 198
- Joined: Fri Jun 25, 2021 4:54 am
- Has thanked: 52 times
- Been thanked: 129 times
Re: Message to NVA from Hi-Fi Corner dealership (via Facebook)
"Director General" ? Hmm.
- These users thanked the author r3xj0hn570n for the post (total 3):
- karatestu (Wed Feb 23, 2022 8:46 pm) • slinger (Wed Feb 23, 2022 8:58 pm) • NSNO2021 (Thu Feb 24, 2022 1:23 am)
- Lindsayt
- Posts: 4237
- Joined: Fri Jul 13, 2012 9:06 pm
- Has thanked: 1117 times
- Been thanked: 703 times
Re: Message to NVA from Hi-Fi Corner dealership (via Facebook)
Struan Mackenzie doesn't have the high moral ground.
The margins are what they are.
Buying components in bulk wouldn't get you anywhere near to closing the gap between the direct sales vs via dealer mark-up differences.
His argument is that he'd rather save 10% to 30% of the cost and then multiply that by 7 to 10. Instead of forgoing the 10% to 30% discount and multiplying by 3 to 5. That doesn't make sense to me. Maybe Mr Mackenzie can explain it?
It's over-sensitive of him to label you marketing your company as "industry bashing". Or if it's not over-sensitive, it's him deploying siege mentality tactics, or saying anything he can in an effort to undermine what you're saying.
Otherwise you could say that any marketing where a company or product has an unusual feature is "industry bashing".
EG you sell non-ported speakers and point this out in your marketing, along with the benefits of this approach. Is that industry bashing because of all the speakers on sale today with ports?
The margins are what they are.
Buying components in bulk wouldn't get you anywhere near to closing the gap between the direct sales vs via dealer mark-up differences.
His argument is that he'd rather save 10% to 30% of the cost and then multiply that by 7 to 10. Instead of forgoing the 10% to 30% discount and multiplying by 3 to 5. That doesn't make sense to me. Maybe Mr Mackenzie can explain it?
It's over-sensitive of him to label you marketing your company as "industry bashing". Or if it's not over-sensitive, it's him deploying siege mentality tactics, or saying anything he can in an effort to undermine what you're saying.
Otherwise you could say that any marketing where a company or product has an unusual feature is "industry bashing".
EG you sell non-ported speakers and point this out in your marketing, along with the benefits of this approach. Is that industry bashing because of all the speakers on sale today with ports?
- CN211276
- Posts: 6566
- Joined: Tue Aug 09, 2016 9:29 am
- Location: Cardiff
- Has thanked: 1438 times
- Been thanked: 992 times
Re: Message to NVA from Hi-Fi Corner dealership (via Facebook)
From the information on their website his predecessor, who must be his father, was recommended by Ivor T. Says it all.
Main System
NVA BMU, P90SA/A80s (latest spec), Cube 1s, TIS, TISC(LS7)
Sonore OpticalRendu, Chord Mscaler & Qutest, Sbooster PSs
Network Acoustics Eno, ifi iPurifier3, AQ JB FMJ, Cisco 2940 & 2960
DH Labs ethernet, BNC & USB cables, Lindy cat 6 US ethernet cable
Second System
NVA P20/ A20, Cubettes, LS3, SSP, SC
Sonore MicroRendu, Chord Mojo 2 MCRU PSs, AQ Carbon USB cable & JB FMJ
Headphones
Grado SR325e/Chord Mojo, Beyerdynamic Avetho/AQ DF Colbat
RIP Doc
NVA BMU, P90SA/A80s (latest spec), Cube 1s, TIS, TISC(LS7)
Sonore OpticalRendu, Chord Mscaler & Qutest, Sbooster PSs
Network Acoustics Eno, ifi iPurifier3, AQ JB FMJ, Cisco 2940 & 2960
DH Labs ethernet, BNC & USB cables, Lindy cat 6 US ethernet cable
Second System
NVA P20/ A20, Cubettes, LS3, SSP, SC
Sonore MicroRendu, Chord Mojo 2 MCRU PSs, AQ Carbon USB cable & JB FMJ
Headphones
Grado SR325e/Chord Mojo, Beyerdynamic Avetho/AQ DF Colbat
RIP Doc
-
- Posts: 532
- Joined: Fri May 19, 2017 11:03 am
- Has thanked: 358 times
- Been thanked: 332 times
Re: Message to NVA from Hi-Fi Corner dealership (via Facebook)
Somewhat grandiose for a hifi dealer.
- CN211276
- Posts: 6566
- Joined: Tue Aug 09, 2016 9:29 am
- Location: Cardiff
- Has thanked: 1438 times
- Been thanked: 992 times
Re: Message to NVA from Hi-Fi Corner dealership (via Facebook)
They have another shop in Falkirk. Still a bit OTT.
Main System
NVA BMU, P90SA/A80s (latest spec), Cube 1s, TIS, TISC(LS7)
Sonore OpticalRendu, Chord Mscaler & Qutest, Sbooster PSs
Network Acoustics Eno, ifi iPurifier3, AQ JB FMJ, Cisco 2940 & 2960
DH Labs ethernet, BNC & USB cables, Lindy cat 6 US ethernet cable
Second System
NVA P20/ A20, Cubettes, LS3, SSP, SC
Sonore MicroRendu, Chord Mojo 2 MCRU PSs, AQ Carbon USB cable & JB FMJ
Headphones
Grado SR325e/Chord Mojo, Beyerdynamic Avetho/AQ DF Colbat
RIP Doc
NVA BMU, P90SA/A80s (latest spec), Cube 1s, TIS, TISC(LS7)
Sonore OpticalRendu, Chord Mscaler & Qutest, Sbooster PSs
Network Acoustics Eno, ifi iPurifier3, AQ JB FMJ, Cisco 2940 & 2960
DH Labs ethernet, BNC & USB cables, Lindy cat 6 US ethernet cable
Second System
NVA P20/ A20, Cubettes, LS3, SSP, SC
Sonore MicroRendu, Chord Mojo 2 MCRU PSs, AQ Carbon USB cable & JB FMJ
Headphones
Grado SR325e/Chord Mojo, Beyerdynamic Avetho/AQ DF Colbat
RIP Doc