Quoted: So whats Magnum's excuse for $50, even to military and LEO customers?
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Correction: $50 or 10% of amount paid for gun, whichever is higher. In other words: if you bought the gun for over $500, you are paying 10% of the purchase price. Had a gentleman pay over $300 recently to have an SR-25 transfered through the store because the price he paid to the seller on the mainland was over $3,000.
There are a couple of reasons Ready on the Right will charge $25 to transfer an SR-25 and Magnum will charger over $300 for the same gun:
#1 is overhead. I'm not sure exactly what the figure is, but rent for just the land that the store sits on is between $10K-$15K per month. Salary for employees. Mandatory health care for any employee who works over 20 hours a week. A shooting range that cost $500,000 to build. Art and Brian built, mostly by themselves and at a cost only to the store, the ENTIRE shop that you see now. An electric bill of at least $1k per month that shows no signs going anywhere but up, up, and even further up. Water. Sewer. Website
www.magnum50.com that costs a few hundred a month to keep running. Maintenance... and on and on and on. We like to joke during the past few months when the temps in Kakaako are almost unbearable that we should charge customers who pace around the store not buying anything for hours at a time an air conditioning usage fee. Again, the word is
OVERHEAD! Ready on the Right has almost no overhead. He is one of the smart and lucky ones who was grandfathered in as a out-of-the-house FFL. Al bought his house in Kailua long ago, when you could actually get one for under $1M. He is the only employee. No website. No range.
#2 is the fact that people like convienience. They look in the yellow pages under "gun" and call the shop with the biggest ad. They go to the shop closest to where they live. They go to a shop with a range so they can shoot their gun while they wait for the 14 day waiting period to transpire. They either don't have or don't want access to the internet to find stuff like this out on forums like this. You would not believe how many people do not use the internet for researching these kind of things. By reading what I am writing here, you have taken a step that many people will never take in their lifetimes. It is too much work to learn to use the internet efficiently. People pay for the ease of going to one store for all their gun needs. You can't argue with the fact that Magnum provides for those needs an order of magnitude greater than any other gun shop in the state - but at a cost.
#3 is economics. Have you ever taken a class in this subject? Aside from supply and demand is the cold hard fact of the price of goods and services:
the price of a good or service is whatever people will pay for it. If people didn't pay $50 or 10% for a FFL transfer, Magnum would cease to charge that amount. But guess what?
PEOPLE PAY IT ALL THE TIME! That "Magnum's excuse" for charging that amount. That is the only reason. It is not about greed. It is not about taking gun enthusiasts for every penny we can get. It is about buisness. It is about economics. It is the reason Magnum has grown from a VW accessory store to the largest gun store in the state. It is the reason Magnum has the only indoor shooting range in the state. Arthur Ong (the owner and el Presidente) became a gun enthusiast
AFTER he went in to the gun buisness, not before. That is the reason, I believe, that Magnum has succeeded as much as it has.
Disclaimer: I DO NOT set any of the prices at Magnum. I was an enthusiast before becoming an employee. Not a day goes by that I don't wish I could sell stuff for less or do FFL transfers for free. That's the reason it's not up to me. Besides, I don't want to loose my employee discount, range privilages, or free FFL transfers.
I really hope I don't get in trouble for posting this.