Just curious about something. What is the usual mark up on current production guns?

I noticed a Stoner M4 that's for sale. The original price asked was $1795.00, but now it says it's been reduced to the dealers cost of $1295.00. Seems like an original mark up of $500.00 is a little bit much. Is that the standard?

Anyone have any experience with dealer mark ups, and what is considered a reasonable mark up from the dealers cost? I know this depends on the gun for sale, but on an average what's reasonable and what's not?

I had a RSR dealers catalog and the ARs were
$600.00 and change and suggested retail was
$800.00 and change.
Colts were 100-300 dollars below retail.

That seems real high to me at about 38.5%.  Most of the dealers I have dealt with are in the 10% - 20% bracket.

I guess it depends on the dealer. I foolishly bought my first AR at a gun shop/range, and paid well over $200.00 too much for it. Oh well, I love the gun, but you live and you learn! Pirate

So does that mean that the guy marking up the original Stoner, from the first post, is just flat out greedy?

He did tack on an additional $500.00 to the price. Seems that way to me.

Not too long ago the standard markup was 10%. This is unusual because most retail markups are about 40% in almost every other market. But fewer and fewer sales mean no FFL could survive on 10%. As a result prices have gone up. If you sell 3 $100.00 shotguns in a day, you make $30.00. this times 5 working days equals $150.00. Can you live on this? I know so many FFLs who have not renenwed because there is no market and people wouldn't pay more than 10%. Eight years of Bill Clinton and four years of George Bush Sr. have effectively killed the gun market. Ron wasn't perfect but at least you could make a living when he was president.

If I have the guy that normally does ffl transfers for me order a gun, he gets 10% plus
shipping.

moo

That's a valid point. Still, a $500.00 dollar mark up is a wee greedy in my opinion. FFL's do deserve decent pay though.

Man M4 you are going to slam me everywhere you can aren't you. [beer] I said retail list price is 1795 and the guns are for sale at dealer cost for 1295.00 greedy...I am loosing money on the deal. If I was going to ask 1795 I sure would not have been stupid enought to tell everyone what dealer cost is. I guess I am going to have to take a picture of Knight's dealer price sheet and post them to prove my point, and get you off my back. I really wish people would read adds before they try and talk bad about people, or even worse the ones that post on peoples adds and say "man that is high". DONT"T BUY IT THEN: ONCE AGAIN I NEVER TRIED TO SELL THESE STONERS FOR 500 OVER DEALER COST... Yes I have sold many for 1795 in store, because the dealer down the street sells them for 2000 and will not budge. Most of my guns are at 15% over cost unless they are used then they are 5%.

My dealer charges, $20 for a transfer, about 10% over wholesale, and 10% commision on guns you give him to sell.
But he beleives in volume and there is always buying customers in the store.
One thing I have noticed is since he charges 10%, he tries to push the higher cost stuff. But I am okay with that since much of the cheap stuff, especially semi-auto is junk.
[uzi]

I think that most guns shops that ive seen here in the prk usually have a 20% mark up