Re: If you want to buy a new Fender...important info
Well, MAP refers to advertised prices. I'd imagine that you'll be able to find reasonable pricing in-store or over-the-phone inquiries. If they are raising MSRP as well then that's another issue as far as price-protected items, although retailers still play games there as well. Another unfluential issue would be with regard to dealer cost (which I imagine has gone up as well), but most dealers don't share that information with employees. Until very recently I was a sales rep in tthe SCUBA industry for a couple of dive gear manufacturers (one of them being part of the "Big Three") and alot of the same issues are happening between the two fields going by the discussions i've had recently with a local brick & mortar music store owner.
Cost of commodities are rising, which leads to higher production costs, which leads to higher prices for dealers, and then finally translates to higher MAP's and higher MSRP's to help everybody maintain some kind of operating margin. With the drop-off in sales across the board i'd bet anything you'll find dealers who will abide by MAP but will be willing to give you "deals" regardless (especially at the box stores such as Guitar Center that get better pricing for volume purchases). Nobody is going to turn away business right now if they don't have to. And if it means violating an MSRP policy then they'll absolutely do it. Guitar manufacturers have zero leverage right now with regard to their pricing policies. Companies like Gibson and Fender can't afford to bust the balls of Guitar Center or Sam Ash right now and hold their feet to the fire for in-store pricing violations and burn those bridges because if they lose that business they know **** well the brick & mortar guys won't be able to pick up the slack right now or any time soon. They'll do what the companies I worked for do......simply look the other way and pay a bunch of meaningless lip service to the brick & mortar guys along the way who can't possibly match the prices of the Big Box and stay in business.
