Posted by Wayne on November 22, 2000 at 13:30:56:
In Reply to: Re: Economic model - Cheap classes, expensive gear posted by ken Kurtis on November 21, 2000 at 23:05:31:
I agree with your analysis. It shows what goes wrong when the classes are a loss leader. I see more classes in the $200 price range for loss leaders and, in the money making arena, $450 with all boat dives (which is interesting since these newbies have never walked into surf with gear on!).
I think the $200 price makes it a little easier on the shop's budget. But the place with the $400+ price tag is filling its classes and sometimes has trouble keeping up with demand. They are also selling lots of AOW and Nitrox classes. They have decent turn out for their Rescue and a few DM candidates at any time.
For me, I would rather see the industry all charge these higher rates and keep the shops healthy. Discounts hurt our industry. Not that I complain when I get free air and such, but I do not ask for discounts on gear, nor do I expect them. When I have a problem with purchased gear, the shops I have dealt with ALWAYS help me out and for that reason I will never buy mail order.
Wayne