Demand pushing prices up?

Helly

Helly

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Just an observation..

I recently purchased the M&P Sport II (still waiting on the transfer, sitting at 3+ weeks and counting) while on sale from a sit sponsor. I’ve been keeping an eye on things since and just today noticed prices across the board for this specific rifle have gone up. Two places online have it “on sale” for north of $700 and the cheapest I could find was Cabela’s at their regular price of $699. Just found it interesting and wondering if demand (and possibly C-71) are starting to push prices up. Wondering if anyone else has noticed a similar grand for any other firearms?

Also an FYI if you’re on the fence about this specific purchase, grab one now before they creep even higher.

Just a though.

-Helly
 
Don't think it's c-71 demand since it is and stays restricted.
Perhaps it's our not so great cad usd conversion rate or the overproduction (they ran when everyone was afraid HC was going to be potus) drying up?
 
Helly said:
Just an observation..

I recently purchased the M&P Sport II (still waiting on the transfer, sitting at 3+ weeks and counting) while on sale from a sit sponsor. I’ve been keeping an eye on things since and just today noticed prices across the board for this specific rifle have gone up. Two places online have it “on sale” for north of $700 and the cheapest I could find was Cabela’s at their regular price of $699. Just found it interesting and wondering if demand (and possibly C-71) are starting to push prices up. Wondering if anyone else has noticed a similar grand for any other firearms?

Also an FYI if you’re on the fence about this specific purchase, grab one now before they creep even higher.

Just a though.

-Helly
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I doubt demand has much to do with price increase. It is not as though manufacturers can't keep up with demand! Firearms are second only to pharmaceuticals in overpriced product. Consider how much precision and technology there must be in manufacturing, say, a ball bearing, and you can buy one for 20 bucks. A Rifle is one hundred times more and still sells because it is a "firearm". (if it was a garden tool, it might be $200) The price increase, if any, must be then a result of expected increase in cost of administration; keeping records etc.
 
Helly said:
I actually read this article, in its entirety, twice trying to find where it said the Smith and Wesson M&P Sport II, when sold at $699CAD was a loss for S&W. It doesn’t. This article actually said the M&P line was the bright spot for the parent company, indicating it actually made them money. So where is the evidence to say the Sport II is being sold at a loss?
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Focus on the fact that the prices have been discounted quite a bit for the last four months of so. They may not be selling them at a loss, but the discount is substantial. As for show the evidence of a loss, who cares if mebiuspower was speaking factually, or rhetorically, bottom line is they are selling them dirt cheap in the grand scheme of things, and the price is bound to go up.
 
Management accounting 101 - sometimes the company needs to pump out product just to cover overhead, even if it is not making money. Not making anything means inability to cover overhead cost and no cash inflow.

Companies cannot go on forever like this. It is bad for the industry as a whole. Capacity will eventually need to be cut, or demands need to up. Also, after city group, Bank of America also stops doing business with manufacturers that make scary black rifles.

Buy an AR, save the industry.
 
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Perhaps it has more to do with inflation, advertisement, tariffs, and politics. These factor might account for a slight increase in pricing but I don't think there will be a dramatic jump in demand. I don't think that S&W would price themselves out of the entry level AR market when prices for Bushmaster, Diamondback and Colt are coming down and Norincos are values staying put. Colt is still a bit expensive at around $1200 but a bnib Bushmaster is around $799 and a Diamondback $750. If the M&P15 jump from $700 to $750, it will be suicide for this AR in the Canadian market.
 
redshooter said:
Focus on the fact that the prices have been discounted quite a bit for the last four months of so. They may not be selling them at a loss, but the discount is substantial. As for show the evidence of a loss, who cares if mebiuspower was speaking factually, or rhetorically, bottom line is they are selling them dirt cheap in the grand scheme of things, and the price is bound to go up.
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I get they’re selling them at a discount. Was pointing out a possible interesting trend in increasing price and received an answer supported by no factual evidence.
 
Helly said:
I get they’re selling them at a discount. Was pointing out a possible interesting trend in increasing price and received an answer supported by no factual evidence.
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This is actually interesting as I posted this in another thread and it got knocked down by another member. I bought when they where 650 and watched them slowly climb. But according to him they never did and won't.
 
The price drop has nothing to do with us. The buyer demand dropped in
America because manufacturers made a lot of ar15 type rifles in 2016 and 2017 plus other guns. Trump becoming President , gun control
fears dropped. So they have to sell off inventory
 
Garaldtao said:
Perhaps it has more to do with inflation, advertisement, tariffs, and politics. These factor might account for a slight increase in pricing but I don't think there will be a dramatic jump in demand. I don't think that S&W would price themselves out of the entry level AR market when prices for Bushmaster, Diamondback and Colt are coming down and Norincos are values staying put. Colt is still a bit expensive at around $1200 but a bnib Bushmaster is around $799 and a Diamondback $750. If the M&P15 jump from $700 to $750, it will be suicide for this AR in the Canadian market.
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I don't think S&W bases their business models over the insignificant AR market that Canada is.
 
I'm currently at 5 weeks on a Ontario pistol transfer.... I called NB because they had not sent a certificate on something else after a long period.. . The clerk on the phone said They are very behind.
 
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