Videomaker – Learn video production and editing, camera reviews › Forums › General › Video and Film Discussion › Why is B&H increasing their prices? › Hank just about summed up
Hank just about summed up the sad truth of it all. It seems that every sale starts three days after your new product gets home.
Market prices fluctuate, and depending on the supply and demand, a camera can go up and down in price. You might not notice this very much on websites that really pad their prices, but shops that sell cameras at rock bottom pricing, such as B&H, will have a lot more fluctuation, because they’re already selling for as low as they can go and still have it worth their while.
In other words, think about it like this. In January, camera company A sells their product to companies B and C for $2000. Company B advertises it at $2100, making a tidy $100 profit, while company C advertises at the "Street Price" of $3000, making $1000 profit.
In February, thanks to supply and demand, Camera company A raises the cost of their product to $2100. Now, Company B has to raise their price to make money, while company C can just eat the loss and keep selling the camera at the street price.
Really, it’s a good thing tha you see fluctuations like this at B&H. That means that they’re actually trying to keep their overhead as low as possible, so you’re still going to get a good deal no matter what. The fault of the increasing price is probably not B&H’s, but rather the fault of the manufacturer. I’m sure at the B&H management tables, the managers all groan just like we do when they hear their vendors upped their prices yet again.