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#664771 - 01/31/08 10:44 PM Inflated prices in the US market
faucon Offline
Full Member

Registered: 10/13/07
Posts: 285
Loc: Missouri USA
I went browsing recently in a St Louis piano shop that specializes in Roland DPs. Although he was nice enough, the sales person made me an unrequested 'deal' on a KR103 in the range of $3,500 US. This actually included trading in two other digital pianos I own (I never said I wanted to get rid of them---he just made the assumption). I was angered to find that this same model, nowhere near the top of the line, can be bought in Europe for about $2,200. But Roland, Yamaha, et al seem to have forbidden their European dealers from selling to the US market. This used to happen, but apparently doesn't much any more. These marketing practices are so greedy IMHO that I've become very reluctant to support companies with such an unfair discrepancy in their pricing. I'd be curious to hear other people's experiences and opinions.

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#664772 - 02/01/08 03:31 AM Re: Inflated prices in the US market
BazC Offline
500 Post Club Member

Registered: 01/04/08
Posts: 709
Loc: Cambridgeshire, UK
Welcome to the club! It's usually the other way around, nearly everything is more expensive in Europe than America, computing is particularly bad. Adobe products (Photoshop, Acrobat etc can be more than twice the price in Europe compared to America. Most keyboards I've looked at are cheaper in the US as well. Many retailers have to sign an agreement not to sell outside their region too.

I agree it's unfair but what you gonna do?
_________________________

Korg SP200, Pianoteq

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#664773 - 02/01/08 04:44 PM Re: Inflated prices in the US market
faucon Offline
Full Member

Registered: 10/13/07
Posts: 285
Loc: Missouri USA
I lived in Europe some years ago and you're right, many goods, especially electronic, were quite a bit more expensive there than in the States. I'm not sure why certain keyboards (some Yamaha and Roland in particular) are so much more costly in the US. I guess the most we can do about such things is to look for the best deals we can find, wherever we can find them.

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#664774 - 02/02/08 02:37 AM Re: Inflated prices in the US market
theJourney Offline
3000 Post Club Member

Registered: 02/22/07
Posts: 3574
Loc: Amsterdam
Perhaps the difference you are seeing is caused by the distribution choices made by Roland for their different models. In the US most cabinet-style digital pianos are sold by piano dealers which based their business on selling an instrument every once in a while at a huge markup. The stage pianos and consumer keyboards are often sold with higher volumes in mind through multiple channels including the internet at competitive prices. Another complication is caused by the volume/bulkiness of these instruments. You can't send them by mail or even sometimes by UPS. So, it can be easier to have a truck deliver to a store and have the store do the local delivery in their van or through their normal piano delivery company.

I notice that the Roland model you mention is sold in Europe also through web dealers and can be indeed bought for euro 1699 or around us$2500.

The difference is your contribution to keeping an increasingly obsolete distribution model in place, namely the specialized piano store. For this money you get to try the instrument first on the floor, get 'advice' from the salesperson and after-sale service.

My 'advice' would be to only buy an instrument that is sold in multiple channels at a competitive price. In the US that means you need to shy away from the cabinet model pianos (unless you find a hungry dealer willing to deal) and build your own setups from competitively priced components (stage piano, own stand, damper pedal, amp&speakers if needed, etc.) However, when you add all the cost up of the components you want to have, do another check on the price difference for the cabinet style; if your significant other demands good looks, you may be better off biting the bullet and paying the extra for the instrument you want.

I predict that as piano stores become fewer and far between that the piano manufacturers will also start to sell the cabinet style digital pianos through additional, more efficient sales channels and that prices will come down.

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#664775 - 02/02/08 02:45 AM Re: Inflated prices in the US market
theJourney Offline
3000 Post Club Member

Registered: 02/22/07
Posts: 3574
Loc: Amsterdam
By the way, I have been looking at this problem in the opposite way trying to see how I can profit from the low dollar by buying an instrument in the USA (e.g. Roland 700GX or Kawai Mp8II) and have it shipped over. Even these stage pianos are very inconvenient and costly to move across the North Atlantic. Checking as luggage requires buying an expensive shipping case ($400+) and paying very high unusual baggage charges ($800+) plus the cost of airfare. So, you probably are better off seriously shopping around and trying multiple dealers in your own country/continent for your choice of instrument.

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#664776 - 02/02/08 03:37 AM Re: Inflated prices in the US market
faucon Offline
Full Member

Registered: 10/13/07
Posts: 285
Loc: Missouri USA
 Quote:
Originally posted by theJourney:
Perhaps the difference you are seeing is caused by the distribution choices made by Roland for their different models. In the US most cabinet-style digital pianos are sold by piano dealers which based their business on selling an instrument every once in a while at a huge markup. The stage pianos and consumer keyboards are often sold with higher volumes in mind through multiple channels including the internet at competitive prices.

My 'advice' would be to only buy an instrument that is sold in multiple channels at a competitive price. In the US that means you need to shy away from the cabinet model pianos (unless you find a hungry dealer willing to deal) and build your own setups from competitively priced components (stage piano, own stand, damper pedal, amp&speakers if needed, etc.)

I predict that as piano stores become fewer and far between that the piano manufacturers will also start to sell the cabinet style digital pianos through additional, more efficient sales channels and that prices will come down. [/b]
Thanks Journey for your thoughts, which are quite interesting. I actually did put together my own setup with a digital stage-type piano and separate stand and pedal. I do agree that the piano store model has seen better days. Stores do have overhead to think of. Still, if a piano can be sold for $2,200 to $2,500 and still bring a profit to the dealer, selling it for $1,000 more than that is just greedy. I can't be the only person to have researched prices and found out how grossly some stores overcharge.

Sales tactics as well can be insulting. The salesman in the piano shop wanted to know what I do for a living. Not because he had any interest in me, but because he wanted to find out if I could afford the Petrofs I was admiring, or whether he could sell me a Roland instead. I was so annoyed with his not-very-subtle tactics that he didn't sell me either, and I won't be going back. I might have bought something like the Roland I saw if the price had been at all fair. But they lost my business, and they're losing the business of everyone who doesn't want to be manipulated and overcharged. I know there are ethical piano shops out there. But one bad experience can make a customer very leery. I hope you're right about the manufacturers changing their distribution models. I believe that these companies would do better in the long run with more honest, equitable pricing and marketing.

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#664777 - 02/02/08 04:15 AM Re: Inflated prices in the US market
BazC Offline
500 Post Club Member

Registered: 01/04/08
Posts: 709
Loc: Cambridgeshire, UK
 Quote:
Originally posted by faucon:
[QUOTE]Originally posted by theJourney:
[qb] But one bad experience can make a customer very leery.[/b]
I'm with you there! Nothing puts me off more than sales tactics and pressure. I'll happily take my custom to a more expensive retailer that treats their customers with respect!
_________________________

Korg SP200, Pianoteq

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#664778 - 02/03/08 03:01 AM Re: Inflated prices in the US market
faucon Offline
Full Member

Registered: 10/13/07
Posts: 285
Loc: Missouri USA
 Quote:
Originally posted by BazC:
 Quote:
Originally posted by faucon:
But one bad experience can make a customer very leery.[/b]
I'm with you there! Nothing puts me off more than sales tactics and pressure. I'll happily take my custom to a more expensive retailer that treats their customers with respect! [/b]
I totally agree, BazC. I might be willing to pay a bit more (but still a fair price) for truly respectful, personal service. But high-pressure sales tactics AND overcharging? No wonder the retail piano business is in trouble. I'm sure there are stores that aren't like the one I visited. But now I would truly rather buy something over the Internet or from an honest technician or owner.

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