Why do we price drop?!?!

[Smithyworld]

true, though presumably Smithy infers that 'getting a good deal' involves 'knowing you have a good product' ??

just saying...GT

We're on the same page Heath!


Chris and Angie
Ford Ranger Wildtrak & Jayco Outback Eagle 2013
Www.chrissmithphotography.com.au

[murmar]

Doesn't hurt to ask a high price. You only need one sucker

And that my friend is why i will never pay what you ask. You refer to your consumer as a sucker and wonder why you stuff will not move

Not sure what you think you're buying from me.     

No one is forcing anyone to buy anything. If the buyer is happy to pay an inflated price, good. They can always keep looking.

[gypsymama]

From recent personal experience selling out 25 year old caravan... we looked around at what price others had on similar vintage vans (and got surprised and excited at the high prices!), then thought about how much it had cost us and added in what we had spent. We then came up with a price that we thought we'd really like to get for the van. And it sold at that price.

I think (to answer the original question) that we start out asking what we'd be really excited to get, then as reality sets in we start asking a more realistic price... thats my thoughts anyway!

[murmar]

I think (to answer the original question) that we start out asking what we'd be really excited to get, then as reality sets in we start asking a more realistic price... thats my thoughts anyway!

Yep, we all have an 'emotional' price which is probably higher than the true value, we hope (and sometimes get) the 'emotional' buyer to pay the big dollars.

If not, we price drop

[Brad_m]

The retail market has condition people into thinking cheap is good and that if you what long enough it will go on sale or the price will drop.  The internet has only made this worse.

So that's exactly what most people do. they wait for the price come down or buy cheap imported crap.  (Arc trailer accessories anyone?)



Personally I don't let the buyer dictate the price of anything I sell. I'd rather not sell it if no one will pay what it's worth.

[fishfinder]

What's this nonsense about suckers? Willing buyer, willing seller equals win, win and beauty is always in the eye of the beholder.

Having said that recreational products are a luxury item and when times get tough they're the first market sector to suffer a fall in demand and when that happens, where is the bottom and at what point on the slope are you selling. On the other side of the coin you have hungry Chinese suppliers offering a cheap alternative, further depressing prices. I don't know my Jayco's worth because I want to use it til I or it drops so it's value is somewhat academic.

I always thought it was beauty is in the eye of the beer holder

[McGirr]

"A seller wants too much and buyers want to pay too little, somewhere in the middle is the truth. "

Mark

[dazzler]

My opinion is that it doesn't matter what price you pay as long as you walk feeling that you got a good deal.

I am kind of with you. I think it's a karma type of thing. I tend to pay what I think it's worth and not what I can get it for and am yet to buy lemon.

[cruisindub]

Gypsymama,

If you held onto the caravan for another 25 years, it'd be priceless. Our old camper is worth a couple grand, if we're lucky. To us, its priceless and not for sale.
keep it another 25 years and it would be worth a fortune, it'd be so rare.

I'm not so sure it would last another 5 years..........

[Rodt]

Sometimes it's better to sell it cheaper, sell it quicker, then you can use that money for other prospects.

Good point if you sell and then buy in the same market. Just have to look at the real estate market. A lot of people (poor buggers) bought in a high market thinking they had better get in quick and then couldn't sell when their standard of living caught up with them or circumstances changed.

We possibly set our prices higher because we expect people to negotiate and offer less. Most of us though have our fair dinkum 'price' though so as long as that is realistic I reckon everyone usually walks away feeling OK. 

[Brad_m]

A lot of people (poor buggers) bought in a high market thinking they had better get in quick and then couldn't sell when their standard of living caught up with them or circumstances changed.

Thankfully the overall trend has always and always will be up, sure dips along the way, but long term no mater what you paid for a house it will always make a good return if you stick it out.

I did buy not long before the market peaked, but not for any other reason than I liked the house and could afford to do it with out having to live on rice.   

[Bird]

My opinion is that it doesn't matter what price you pay as long as you walk feeling that you got a good deal.

BINGO.. Exactly.

[gypsymama]

Gypsymama,

If you held onto the caravan for another 25 years, it'd be priceless. Our old camper is worth a couple grand, if we're lucky. To us, its priceless and not for sale.
keep it another 25 years and it would be worth a fortune, it'd be so rare.

I'm not so sure it would last another 5 years..........

Totally agree! We had a bottom price where we said that if we can't sell it for "X" then we don't sell it, and stick it in a shed at home for a spare room. We were all set to continue on and taker her home, and someone offered us "X"! 

And yes, I don't think Dodgy Dorothy the Caravan would last much longer either without some serious love and attention. ;-)

[Dragonfly]

I think my original point got lost somewhere... If anything is advertised here on MySwag, I expect it to be "price-dropped" inside of a week. We all do it, so it's reasonable to expect that is what will happen...

I know why we set the price we do and why we drop, but the behaviour is counter-productive IMHO.

And I'm not a sucker, so I will wait for your price drop murmar...

[terravista]

Sorting the right price can mean a bit of research, but there is a problem advertising a fair price to start with because pretty much everyone expects a price reduction from negotiating.
If you put your real price up first and are not willing to negotiate down, many buyer's are unwilling to proceed because they need to perceive they have done a good deal.
Dropping  a price after a week or so smells of desperation, and that can attract a buyer. It's up to the seller then to decide on dropping further or not, but at least there is a better chance of selling something if you have a buyer to talk to.
Cheers   

[Barry G]

I am kind of with you. I think it's a karma type of thing. I tend to pay what I think it's worth and not what I can get it for and am yet to buy lemon.

Totally agree about The karma thing. My aim is never to screw down the seller.
Possibly could've got the Monterey for 'under' $7000, but $7250 was fine by me.
In the case of the Heaslip I had no desire to try to screw down a fellow Myswagger, and if I had've tried to hold out for less, I would've missed out as there were others who had become interested in it after me.
In both cases I was more than happy... and I now have an excellent off road touring set up, tug and CT, for under $19,000!    

[Bird]

I think what the OP is saying is that why buy something when it is first advertised, wait a week or 2 or in some cases several months, and save a few grand.

[murmar]

And I'm not a sucker, so I will wait for your price drop murmar...

Maybe I'll hold out a bit longer for a sucker. haha 

[Spada]

Two sides to the coin.

Seller has priced at what they would like to get, but usually has an idea of what minimum they will accept.

Buyer knows what they would like to pay, but usually has an idea of a maximum they will pay.

The dance we all do is finding that magic number that fits somewhere between like and will for both parties.

[Mallory Black]

X2 what McGirr said.
thanks to the internet and forums buyers can be a lot better armed with an opinion of fair value than ever before so any seller who thinks that the market is crawling with wood ducks and suckers is dreaming.
Unless he's selling rare and unobtainable stuff, he has to met the market or not get a serious buyer.

Unfortunately the only wood ducks out there are soome of our disadvantaged minority who might have money but are not the full dozen and are totally gullable.
They generally need to be looked after and protected.

(did I spell gullable rght?)
cheers

[murmar]

did I spell gullable rght?

Gullible has actually been removed from all dictionaries.

[Nomad]

I always know when a sale is right.

The seller is a little disappointed in the price they accept and the buyer always think they paid a little too much....................but in the end their all happy to have done the deal.

Cheers Nomad.  

[McGirr]

I always laugh when a buyer says " I would have paid more", I always say " I would have taken less"

Mark

[Nomad]

Or the ten people who ring you up after you have sold it saying.....I would have paid more for it.......and its always the same clowns.