This excerpt is taken from Loaay’s Two Cents column in Bazaar Magazine:
We’re dealers for a photographic cameras brand. Because our sales volumes are much smaller compared to the US dealers our prices are not as attractive. While many customers still purchase from us, some visit us but then decide to buy online. The Internet is killing our business. What can we do when our cost is higher than online selling prices?
LA: Price is what you pay for something. Value is what you receive from your purchase. Instead of focusing on price, let’s talk value. There are some obvious benefits that you can highlight. For example, customers who purchase online won’t enjoy the local warranty in many cases. The convenience of walking away immediately with the camera is an advantage over waiting a week or two to use it. However, on a deeper level, offering a free or discounted local photography club membership with certain benefits and tips for local purchasers of the brand might be exciting enough to attract some. Maybe offering an automated monthly installment for three to ten months with no interest on the higher-end models can be a winning factor for others since they have to pay 100% upfront online before their camera is shipped.
You can also negotiate with dealers in neighboring countries to make collective orders to lower the cost of all your products or at least some of your most commonly ordered items. As customers have a choice so do you. Instead of competing on price, which is a losing battle, compete on other grounds to win the war…and that’s just my two cents. [Source]
Although the example used here is with one local camera dealer this applies to other dealers as well. If you want us to buy locally instead of ordering from Amazon then give us a reason to. I’ve found a lot of things in Kuwait cheaper than the US so I don’t actually understand why some brands cost so much more. One example of something I found in Kuwait a lot cheaper than the US is Definitive Technology speakers. I got them for half the price of what people in the US pay. And just the other day I purchased a camera bag from a small local shop who was selling them for cheaper than what I would have paid for if I ordered it from Amazon. It’s doable.