'In Home Dealers' are the future?


Seems there is growing trend for various distributors to be doing business with 'in home dealers'. These appear to be audio hobbyist that are selling factory product from their homes, at 20 to 25 percent off list. Certainly not fair to the dealer network, but it seems to move additional product, especially at these soft purchasing times. Your opinion?
buconero117
It's clear that I have been either buying from the wrong dealers, or I have been a "lay down". I've not pressed for deeper discounts because the few items I have purchased new were offered with in-home trials, so I thought the ability to hear the products was worth the extra smaller discount.

Funny, because I'm just the opposite when buying a car.
I expect an 'In Home Dealer' to give me a 30-40% discount off list price, and allow me a free in home audition. I've had it, but I can't say from too many 'dealers'. I do know the 'In Home Dealer' that I will go to in the future though, the same one that I've dealt with in the past.

I really don't see how B&M stores can compete....and they do not in my area.

Cheers,
John
I know a guy that does in home audio. He carries all the esoteric brands. He is really struggling in this economy. He will let you take equipment home for a few days to try it out. The most discount he will do is 10%. I only know of one dealer that offers 20% off. He owns his own building so he has low overhead. Most other dealers want full list if it is a current product. If it is discontinued or demo I have seen up to 40% off.
I think for a dealer to make it in these times, they are also going to have to be proficient at internet sales, and will need access to a large number of manufacturer lines. There are a few such dealers here on Audiogon, who can also have the equipment drop shipped directly from the manufacturer to help limit their overhead and storage requirements. The dealers like that I have worked with provided pretty deep discounts for a buyer like me who knew what he wanted, paid in full and didn't require a lot of hand-holding.
So what we are likely to see in future is pure mail order. To get the lines I carry I gave assurances that I would not sell on the internet. At least some of the companies want to preserve a dealer network. I pay 60% + shipping. If I give a 40% discount and home trial I am losing money up front and donating my time and effort. If 40% off becomes the standard there will be no local dealers of any type.