Originally Posted by skipdavidson
...If I offered a group buy discount, I would not be treating those dealers well. It wouldn't take much of a discount to eliminate any profit margin they would have
Profit is profit and there's not much you can do about your margins on a product that is not produced for the masses or produced in mass.
As for treating your dealers respectfully, I manage what amounts to group buys and "ambassador sponsorship programs" for professional working motorcyclists. These products range from high end helmets to lighting systems, shocks, wheels etc.. The way our manufacturers protect their dealers is that the manufacturer takes the order direct but the fulfillment happens on a local or closest dealer level. The dealer has the option of fulfilling from stock and replenishing with an appropriate discount from the mfr or the dealer simply fulfills the order on a drop ship level. The dealer gets a sale and the client gets a deal.
What I do as program administrator is review and approve all orders to make sure the rider has a current association race or officiating license and/or their event resume is authentic.
The rider in turn must agree to "like" the manufacturers FB page if they are on FB and/or place two decals on their bike and submit a photo of their bike with decals to the manufacturer.
We've never had a complaint from dealers when handling it this way.
The question is what is the manufacturer getting in return for the "deal" that gives them reason to lower margins and longer term benefit. For the races our bikes get millions of eyes worldwide on them at the events either live, via TV or other media exposure.