09-19-2003, 08:55 PM
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Senior Club Cobra Member
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Join Date: Mar 2001
Location: Northport,
NY
Cobra Make, Engine: Kirkham, KMP178 / '66 GT350H, 4-speed
Posts: 10,362
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Not Ranked
Ernie... any distribution channel has a variety of reasons for tiers.
FFR sells a basic kit of parts designed for the hobbyist to complete with skill...for them the direct model is a good match. Little margin to support a dealer, and little opportunity for a dealer to add value to achieve sufficient margin. (...other than a turn key builder).
SPF sells a product way up the "completion-channel", at a higher price, geared more for the "end-user". Higher selling price, sufficient margins for a dealer network to work face-to-face with the end-user and facilitate a completed car.
Different products, different target markets, different selling models.
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