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Old 03-09-2010, 02:24 PM   #1 (permalink)
Sierracrew
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Default Say Goodbye To Burton Discounts

As you may or may not be aware of yet, Burton has pulled the plug on their agreement with SierraSnowboard.com.

This means that at this time we no longer have the opportunity or ability to buy or sell any additional product of theirs. This includes all of their affiliates as well – Forum, Anon, RED, Analog…

Let’s start with the facts– we take responsibility for discounting Burton products below market value after February. But why not… they are our products, we are making money, and we are passing our savings to you. If this is to protect the little guys in the industry (the mom & pop shops that are considered the 'local shops' to many), why have they waited so long and allowed us to do various other pre-season discounts without any action what-so-ever? Why have they continued to sell us large quantities of their product from all 8+ brands that they oversee, and continue to add to the list of what we carry from them? Wouldn't they have restricted us before to give us some warning that we were dealing with serious business? Wouldn't they have restricted us before to give some of the smaller fish a better opportunity to make the close-out purchases that we've taken and make us feel the effects of not buying the quantities that we desired? And, why on earth would they have produced thousands and thousands of snowboards based on their very own models to be sold as our own line of snowboards if they were having problems with us? Is this Burton trying to protect the little fish, or is this Burton trying to protect themselves?

We all know damn well that Burton has planted their 'flagship' stores in various cities across the States and has become their own online retailer this season as well. Are they trying to protect their own retail sales and online pricing game, because this is sure what it's looking like. This season Burton is making dealers sign an agreement upon all purchases to not sell any Burton product more than 40% below MSRP at ANY TIME. Even though the retailers pay their bills to Burton, giving them their wholesale profit, B is trying to still dictate pricing rules and tell the retailers how much profit the retailers should make over their wholesale cost. Why do we not have a right to discount the product that we've paid for to give our customers the best deal possible? Why does B feel that they can dictate our profit margin as a retailer? Is this an attempt to keep everyone on que with their own online retailing this season so that they can make an even larger profit margin when retailing themselves if they can now dictate final sale prices of all retailers with their product? Does this not sound a bit like price fixing to boost their own profit?

If we want to discount our product that we've paid for, we shouldn't have restrictions on that. We should be able to make all of our customers stoked and get them all on the hill for a fair price. This sport should not be an elitist sport, it should be for all to enjoy if they have a little bit of extra time and money to throw at it. We need to make the point to Burton that the industry will not thrive, nor survive with this sort of action taking place.



On another note - check out our NEW Burton sale at SierraSnowboard.com. Extra discounts on 2010 Burton products and cheaper international shipping rates. Have at it!
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Old 03-09-2010, 02:30 PM   #2 (permalink)
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Burton is going to HELL.


















Thanks man.
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Old 03-09-2010, 02:37 PM   #3 (permalink)
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Burton is Vertically fixing the price for their products. They don't want them on sale.

In the words of Laurent Potdevin (CEO of Burton) "Burton is a premium luxury brand". Kind of like the premium luxury brand he use to work for Louis Vuitton.

Which means snowboarding just got a lot more expensive.



Here is another something to chew on:

Burton made an exclusive deal with the House to allow them to buy all closeout product and the House signed a contract that they can only sell that product at a max discount of 30% for up to 3 years.

That means no more than 30% off even 2 year old product and all the shops in the country won't get offered the good deals any more, just the House.
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Old 03-09-2010, 02:38 PM   #4 (permalink)
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wow....freaking ridiculous...sounds like Burton is copying Apple's pricing strategy...way to go..
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Old 03-09-2010, 02:38 PM   #5 (permalink)
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That might be the biggest load bs thats gone down in a while. If you go into an agreement and it states don't water down the market, guess what don't water down the market. Don't go on a slander tyrade because you breached an agreement. After 2 years of doing this you finally get called on it. I bet you guys slay it too with Burton product. Have fun with the cutbacks....
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Old 03-09-2010, 02:39 PM   #6 (permalink)
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This is pathetic.
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Old 03-09-2010, 02:40 PM   #7 (permalink)
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this is corperate proganda and also probably idiot people that know nothing of the sport that are dictating what has to be done, with this i feel burton will be crashing soon.

if this ever gets out to press. oh the torture, burton gone,

anyways what do they actually make? i don't think a single product is manufactured by them anymore, everything is made elsewhere and just stamped burton?
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Old 03-09-2010, 02:45 PM   #8 (permalink)
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This my friends is the smartest man on the internet!!!


Quote:
Originally Posted by mpdsnowman View Post
I see it from Burtons side actually. Now keep in mind I am a businessman so you most likely wont like what I type.

Your an online retailer no?? Quite frankly you guys have low overhead compared to mom and pops or bigger stores. You can sell at very low margin cause you have very little overhead..again compared to other non internet channels.

By you doing what you are doing your hurting others around you. Particularly if you have stock! Most likely inventory wasnt an issue to you because you can invest in it more efficiently than your non internet competition because again your overhead comparative to others is nothing.

Is it price fixing...sure it is, can you stop it. No more than any mom and pop store could stop you from cutting prices drastically on the internet...

People will still be able to buy Burton products without you. In fact what they are doing is making the bigger picture more competitive by eliminating the price whore internet retailers like yourselves from taking margin that could be spread throughout the industry.

And if you were doing that good it even makes more sense business wise. I would restrict you as well. You will survive...unless all you are known for is selling products way below margin values industry wide.
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Old 03-09-2010, 02:51 PM   #9 (permalink)
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ha well that is a shame. too bad I just ordered a Rome from sierra.
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Old 03-09-2010, 02:54 PM   #10 (permalink)
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You entered into a binding agreement, get over it.
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