Components drops

[Ucsdryder]

I'm beginning to think midway, brownells, etc are playing games with us. I signed up for discord so I get alerts every day for primers and it sure seems like brownells and midway are dropping primers daily. Are they "selling out" daily to keep the frenzy going, or are shipments arriving every single day. I'm wondering if they're doing their part to keep the frenzy alive and well.

 

[J-B welder]

If were to put on my rose-colored Polyanna glasses, I might think maybe they were trying to give more people a chance to buy a few instead of making their whole stock available at once and have scalpers buy them all up and re-sell them at jacked up prices.

 

[The Oregonian]

No one has enough market share to alter the market by themselves. People severely overestimate the ability of one or two companies to 'keep the frenzy going.'

 

[Ucsdryder]

No one has enough market share to alter the market by themselves. People severely overestimate the ability of one or two companies to 'keep the frenzy going.'

if you're on discord I think you'd be surprised at how few companies are getting primers and how often those companies are dropping powder.

 

[Grizzly60]

Last week I ordered some LRX and some speer bullets from Midway. Limit of 2 boxes of each bullet.

 

[The Oregonian]

if you're on discord I think you'd be surprised at how few companies are getting primers and how often those companies are dropping powder.

So let's play out your example where Midway is wanting to extend this imbalance by limiting supply. How would that work? How would them sitting on a ton of primers really extend this? That plan lowers Midway's revenue, increase their costs, and opens the door for their competition to get stronger. Not to mention, Midway is taking on increased risk.

Vista is going to see what is happening and be able to tell that Midway isn't selling primers. That doesn't do Vista any good either. Remember those videos that the prez of Federal ammo made, the Q&A format? Next time he'll make a video that says 'you know why you aren't getting primers? It's because Larry Potterfield is sitting on a boatload of powder and primers', and Larry's biz all of the sudden has an adversarial relationship with an industry giant in Vista while also alienating their customers.

And if Midway wants to work with Brownell's on this, which would make it easier bc together they could impact the market easier, then you add in the risk of from breaking antitrust laws on top of the above.

To me, that's more like how it would play out.

 

[WildRose]

So let's play out your example where Midway is wanting to extend this imbalance by limiting supply. How would that work? How would them sitting on a ton of primers really extend this? That plan lowers Midway's revenue, increase their costs, and opens the door for their competition to get stronger. Not to mention, Midway is taking on increased risk.

Vista is going to see what is happening and be able to tell that Midway isn't selling primers. That doesn't do Vista any good either. Remember those videos that the prez of Federal ammo made, the Q&A format? Next time he'll make a video that says 'you know why you aren't getting primers? It's because Larry Potterfield is sitting on a boatload of powder and primers', and Larry's biz all of the sudden has an adversarial relationship with an industry giant in Vista while also alienating their customers.

And if Midway wants to work with Brownell's on this, which would make it easier bc together they could impact the market easier, then you add in the risk of from breaking antitrust laws on top of the above.

To me, that's more like how it would play out.

For the money they'd be losing I can't for a minute imagine either much less the 2 would collude to concoct such a conspiracy between them.

Even combined they are such a small fraction of the total market they could do nothing to alter the market dynamics and both are in business to make money. In this day and age the best way they could possibly make money on components is to be the two most reliable sources of said components and sell them at a reasonable price.

We're not big buds but I actually know Larry Potterfield and have for 3 decades. He built his business on serving, not screwing customers and would never tolerate such by those down the corporate ladder.

 

[The Oregonian]

For the money they'd be losing I can't for a minute imagine either much less the 2 would collude to concoct such a conspiracy between them.

Even combined they are such a small fraction of the total market they could do nothing to alter the market dynamics and both are in business to make money. In this day and age the best way they could possibly make money on components is to be the two most reliable sources of said components and sell them at a reasonable price.

We're not big buds but I actually know Larry Potterfield and have for 3 decades. He built his business on serving, not screwing customers and would never tolerate such by those down the corporate ladder.

Agree. The smaller they are the less likely this whole thing is, and the bigger they are, the more they have to risk for a smaller relative gain.

 

[WildRose]

Agree. The smaller they are the less likely this whole thing is, and the bigger they are, the more they have to risk for a smaller relative gain.

Not to mention just how much they'd stand to lose by engaging in such a market fixing conspiracy if it got out.

In this environment not only would state and federal regulators be all over both but they'd lose at least half of their client base for the next decade if not more.

The way things are in this country today it's easy to get wrapped up in conspiracy theories but as with most of them a little logic applied to this one and it fails miserably.

 

[Lefty7mmstw]

Agreed... if most of us simply put our CC back in our pocket and walked off if they really didn't need something this would likely be over in a couple of months.
There have been supply disruptions to be sure, but when the real frenzy hit October before last, it was mainly the hunters buying factory ammo around here that cleared the place out. Everyone went to buying a few, instead of buying 1 and that puts a lot of strain on a market. I understand why they did it, as a lot of ammo was short supply, but it still did damage. Reloaders seeing the empty shelves pretty much finished off the party.

 

[smokey3]

I guess I am a conspiracy theorist then, but it seems now days what is decried a conspiracy theory is sometimes proven to be true just a few months later. It seems to me that by limiting the amount of products that a person can buy at one time these companies are adding to their profit margin simply by making their inventory last longer, not about how much product they actually sell. With supplies being what they are right now, these companies know that they will sell out of any reloading products, especially powder and primers, they put on their websites, therefore by limiting the amount you can purchase at one time, they are increasing their profit margins simply by charging you multiple times for shipping and the hazmat fees that would normally cover anything being shipped under a one time charge. We all know it doesn't cost what they actually charge because different companies charge different fees with some places being much more reasonable than others. This is just my opinion and I do not have anyway to prove it, just something to think about and before everyone says that the price of all these products have risen exponentially I just bought 2 boxes of SRP at Sportsmen's Warehouse for $4.94 a piece and powder at Bass Pro for $34.00 per pound.

 

[Tommyrexx]

So let's play out your example where Midway is wanting to extend this imbalance by limiting supply. How would that work? How would them sitting on a ton of primers really extend this? That plan lowers Midway's revenue, increase their costs, and opens the door for their competition to get stronger. Not to mention, Midway is taking on increased risk.

Vista is going to see what is happening and be able to tell that Midway isn't selling primers. That doesn't do Vista any good either. Remember those videos that the prez of Federal ammo made, the Q&A format? Next time he'll make a video that says 'you know why you aren't getting primers? It's because Larry Potterfield is sitting on a boatload of powder and primers', and Larry's biz all of the sudden has an adversarial relationship with an industry giant in Vista while also alienating their customers.

And if Midway wants to work with Brownell's on this, which would make it easier bc together they could impact the market easier, then you add in the risk of from breaking antitrust laws on top of the above.

To me, that's more like how it would play out.

All good points, except for the last. Companies don't care about antitrust laws. The big 4 packers and big pharma have been doing it for years with little accountability. JBS just settled an antitrust issue for 52 million, but made billions in the interim period. So they got a slap on the hand. American consumers and taxpayers alyways carry the load. Disgusting.

I doubt Midway and Brownells are trying to control the market.

 

[Mike Matteson]

All the big box store seem to behind or not available on the products to sell. Look at reload equipment, die's, and other items. I kind of think that items are coming up, and being sold out as quickly. I know I order out 2 280AI bushing dies. It took a few months to get them. They had them in stock for a short while. Now they are gone again. Order two additional sets of FL 280AI bushing die (Note Order). On back order now. A lot of items are short supply. I've seen it before, and not quite like this I think. I don't feel that the stores are sitting on supplies. They can't make money if they are not selling there stock. Supplies have to turn over or there on profit, workers have to be paid. I feel it hard on them too. Not selling anything no funds.
I order out 500 280AI Peterson cases, and it took about a year to get them. I wrote Peterson about the cases. They told me about when they were making a run of them. They did and I got them. Look around and see if you can find them now.

I know that Scheel open a store up in Missoula Mt. They had primers for awhile, but at $149.00 per Th. In about the same time Sportsmen Warehouse open a store up in Murrieta, CA. Primers while they lasted, were about $45.00 per thousand. Limit of 1 th per day. Note the different in Price. In now what I call Mexico North that included sales tax of about 8%. No sales tax in Montana.
I run into no supply all the time, and not just powder and primers. Factory Ammo probable I feel is first inline for components to make ammo with. We get what's left is my thinking.
I guess we should take up fishing. There seem to be lots of supplies there.
So I don't think the Sporting good stores are sitting on item to sell.

 

[The Oregonian]

I guess I am a conspiracy theorist then, but it seems now days what is decried a conspiracy theory is sometimes proven to be true just a few months later. It seems to me that by limiting the amount of products that a person can buy at one time these companies are adding to their profit margin simply by making their inventory last longer, not about how much product they actually sell. With supplies being what they are right now, these companies know that they will sell out of any reloading products, especially powder and primers, they put on their websites, therefore by limiting the amount you can purchase at one time, they are increasing their profit margins simply by charging you multiple times for shipping and the hazmat fees that would normally cover anything being shipped under a one time charge. We all know it doesn't cost what they actually charge because different companies charge different fees with some places being much more reasonable than others. This is just my opinion and I do not have anyway to prove it, just something to think about and before everyone says that the price of all these products have risen exponentially I just bought 2 boxes of SRP at Sportsmen's Warehouse for $4.94 a piece and powder at Bass Pro for $34.00 per pound.

And how much does it cost to have people ship stuff out 2 hrs after it is ordered? Is that free? The costs that UPS or USPS charge to ship is not what it costs to ship a product.

I don't know why people always think companies are out to screw them. Does it happen? Sure. But successful companies want a symbiotic relationship where the customer and company are happy with and loyal to each other.