Originally Posted by
Mr Wolverine
CZ EVO S1 Scorpion
After 4 years of work we have finally got the EVO 3 S1 Scorpion approved as a restricted firearm in Canada, the magazine capacity will be 5 rds as she is a CV. It is because of our efforts that CZ agreed to design a dedicated semi auto Scorpion. With their (CZ) first effort parts could simply be interchanged between the FA model and the SA model, this would obviously not meet the RCMP standards. CZ were not interested in making a large financial commitment in designing a dedicated SA model until we pointed out that this model would be good worldwide including the huge US market, so they went ahead and developed the EVO 3 S1. This Scorpion was put into production and was an immediate success in the US. Here in Canada we had to wait for the RCMP SFSS to make their determination.
For the last 10 days (since FRT issue) I have been “debating” with CZ about Canadian pricing! We were expected (by CZ) to retail her higher than in the US. I was not going to agree to that as I would be setting ourselves up for accusations of having a monopoly and then gouging customers. At IWA CZ told us that we had exclusivity for the EVO 3 and BREN for Canada, partly due to the fact we had guided CZ through the Canadian approval process and Wolverine has always had their special projects right from the first Scorpion (.380 ACP) and the CZ 858 and CZ 958 which again we assisted with the development of.
For simplicity all prices below are in US dollars.
Normally I would never quote our costs but after the events of the last week or so I feel it is time to set the record straight, as the vast majority of Canadian importers and distributors are not “screwing their Canadian customers.” Initially we were quoted by CZ, a cost of $659 US FOB the factory so I estimated a landed cost of $694. Checking a very vocal Grey Market importer’s web site they had a retail of $803, now remember this includes the US 11% FET so less tax their retail was $715. So they were retailing at $21 over my cost and I need to offer at least a 20% discount to Canadian dealers. CZ were directing me to retail in Canada for $950 + as the Scorpion was quote “A US model”! The maths simply didn’t add up. The daily exchange of e-mails between myself and CZ have, at least on my part, been extremely restrained.
Now we have a Grey Market dealer moving in on the market! I have no choice but to announce our pricing. Remember the above prices are for a Scorpion with no stock, our cost for the stock is $100. CZ have told us they are not interested in making a 18.6 inch barrel for the Canadian market. We are stilling talking to CZ about pinning mags to 5 rds and what that cost may be.
As of today:
Our landed cost $650 US
Canadian dealer $749 US
Canadian retail $849 US add on 35 % exchange rate and the retail is $1,146.15 Canadian dollars plus shipping and tax. If anyone us been screwed it is the Canadian dealer not the retail customer. This is with out the stock cost and possible extra cost for pinning mags.
We have placed an order for 350 pieces and we are told to expect a May delivery, this is part of our initial order of 1,000 units so do not accuse us as a distributor who fails to order inventory.
Any genuine Canadian dealer who carries his own inventory, runs a bricks and mortar retail store, pays good wages to full time professional staff, carries liability insurance, advertises, pays rent or lease and supports Canadian firearms associations will be running expenses of approx 15% so a 20 % return is a mere pittance.
CZ is an extremely important supplier to Wolverine Supplies and I pray that this post will not change our relationship, but the views expressed on CGN this past week have been very disturbing to me as the true nature of the Canadian Firearms Industry business is often untold, for many varied reasons. If the weaners and wankers on CGN insist on always supporting grey market importers they will kill their local Canadian dealers, do that and then you can really expect to get screwed.
Country to what some of you may think I do support free enterprise but as a self employed business owner I will fight tooth and nail for what myself and my team have built up. Read our warranty we stand behind what we sell, we don’t wait to send it back to the manufacture.
I make no apologies for my rant but if you follow CGN, this last week has been a bad week for the Canadian firearms industry.
If you think trucks in Canada our to expensive then why not open a Ford dealership from your Mummies basement, let’s sit back and see how Ford respond! Why should Canadian Firearms distributors react any differently?
Have a good evening.
Seriously give us time and we will see what we can do for you.
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