Camera shortages should prompt higher margins

Paul Lelliott (manager, Shepparton Camera House) presents a modest proposal: With the (relative) absence of interest in cameras from big box discount houses, plus scarcity, isn’t it worth considering lifting profit margins in the specialist channel…

‘Camera Production Slumps’…’Major Suppliers Forced to Cut Exports’...

Paul-Lell– Will the Big End of Town discounters lose interest in products they cannot get?
Will the specialist photo retailer seize the momentum shift and increase margins ?
Does it signal an end to brand marketing as we know it?
Is it time to make the consumer sweetheart cashback offerings obsolete?

Hopefully the lack of supply and lack of manufacturer communication will work to our advantage this time around. Remember Cyclone Yasi..Bananas were in short supply and were selling at $14 per kilo, up from an average of around $4 per kilo. Short supply meant prices went up. Now they sell at .99c. Margin opportunities were there for a little while at least.

Not so in our industry. We are still taking pre-orders at the same margins that were in place when stock was in abundance! We should be knocking on the doors of our favoured suppliers right now and we should be sneaking our margins up.

Sadly I can’t see it changing. We are all locked into being the cheapest whether we have stock or not.
– Paul Lelliott, Shepparton Camera House


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