Price comparison LATELTIN 2
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This is a continuation of the previous article, "Price Comparison LATELTIN (Moncler)".
- LATELTIN was indeed the cheapest, but can you always offer it at the lowest price?
That's difficult. I don't think I need to explain it, but it's heavily influenced by other factors that can't be managed through mere management effort.
- Using common sense, it is hard to believe that products can always be sold at the lowest price. Isn't it a little too convenient to only pick out products that happen to be available at low prices and advertise them as "lowest price!"?
You're right. It's not right to arbitrarily pick out only the data that is convenient for you.
We will continue to post price comparison articles, but we will not only pick out products that are favorable for our store.
- It seems strange that all the cheap stores are Blue. Why?
Did you notice it? Let's start with this clue.
The selling price is heavily influenced by distribution.
This is the store that was listed in the "Top 10 LATELTIN Lowest Prices" on BUYMA last time. This time, we have added the purchase location and shipping location. We will not reveal the store name. (As of August 15, 2024)
Ranking | Product Price | color | size | Purchase location | Shipping location | access | Add to Favorites | Sales volume |
1 | 248,000 yen | Blue | 1,2,3,4 | Italy | Ibaraki | 0 | 0 | 0 |
2 | 251,500 yen | Blue | 1,2,3,4 | Italy | Italy | 5 | 0 | 0 |
3 | 251,600 yen | Blue | 1,2,3,4 | Italy | Italy | 39 | 1 | 0 |
4 | 254,000 yen | Blue | 1,2,3,4 | Italy | Tokyo | 136 | 8 | 0 |
5 | 273,600 yen | Blue | 1,2,3,4 | Italian Authorized Dealer | Osaka | twenty two | 0 | 0 |
6 | 280,500 yen | Blue | 0,1,2,3,4,5,6,7 | Madrid Official Store and Authorized Distributor | Madrid | twenty one | 2 | 0 |
Taupe | 0,1,2,3,4,5,6,7 | 0 | ||||||
Brown | 0,1,2,3,4,5,6,7 | 0 | ||||||
7 | 280,650 yen | Blue | 0,1,2,3,4,5,6,7 | Moncler store in Austria | Austria | 6 | 0 | 0 |
Taupe | 0,1,2,3,4,5,6,7 | 0 | ||||||
8 | 283,490 yen | Blue | 0,1,2,3,4,5,6,7 | Spanish authorized dealer/distributor | Spain | 2 | 0 | 0 |
Taupe | 0,1,2,3,4,5,6,7 | 0 | ||||||
Brown | 0,1,2,3,4,5,6,7 | 0 | ||||||
9 | 291,000 yen | Blue | 3,4 | ※Exhibition suspended | ||||
Taupe | 0,1,2,3,4 | ※Exhibition suspended | ||||||
Brown | 0,1,2,3,4 | ※Exhibition suspended | ||||||
10 | 303,800 yen | Blue | 1,2,3,4 | Italian Authorized Distributor | Fukushima | 18 | 0 | 0 |
A. The stores ranked 1st to 5th and 10th in price all carry Blue in sizes 1, 2, 3, and 4. However, they do not carry Taupe or Brown. And they buy from Italy.
Stores that carry B. Taupe are "official direct stores, direct stores, and authorized stores."
Why does this difference exist?
This is due to the way Moncler sells its products. On their official online site, they state:
Night Blue 0,1,2,3,4,5,6,7
Taupe 0,1,2,3,4,5,6,7
Brown 0,1,2,3,4,5,6,7 Online Exclusive
The following can be gleaned from these:
Ideally, retailers would be grateful if there were as few restrictions as possible on the colors and sizes that they could sell, but the reason they are limited is because they purchase from distributors, not from so-called "direct stores."
In other words, Moncler limits the colors and sizes for wholesale to authorized dealers. In this case, only Blue is wholesaled, and Taupe and Brown are not included. "If you want Taupe and Brown, please buy them at our official store or online store!" They offer sizes 1, 2, 3, and 4, which are in relatively high demand, so the dealers are probably satisfied with their products.
In addition, distributors face other constraints: although the goods purchased are a one-time purchase, rather than being able to purchase only the products they want, distributors are often contractually obligated to accept any goods delivered by the brand, even if they do not want them.
This is a very strict constraint.
The agents are professionals, so they can roughly distinguish between products that are likely to sell without any effort and products that, at worst, will end up being put on sale at the end of the season.
They sell products that are likely to sell at list price, and plan to sell products that are unlikely to sell quickly even if it means cutting the profit margin a little. Of course, there are also businesses that liquidate popular products early in order to efficiently turn over funds.
However, because of contracts with brands, they cannot openly sell items at a discount, so they hold secret sales exclusive to their store's registered members, and even though the prices displayed on their online site remain the regular prices, they devise ways to automatically discount items when they are added to the cart.
Another option is to sell to merchants on a B2B website, which is only viewable by a select group of registered members and therefore less likely to be flagged by brands.
It is quite popular for agents to create a separate page on their own online site for exclusive B2B sites and discount codes for merchants, and because there is such demand for agents, it is also quite common for agents to create membership-based B2B sites for agents and invite them to join .
Given these circumstances, the "Blue, 1, 2, 3, 4, Italy" phenomenon is in a sense quite natural. In other words, since Moncler has similar contracts with the distributors, it is likely that the products are purchased from those distributors. It is even possible that they are from the same supplier.
We started off by comparing prices, but then we moved on to talk about distribution, which actually poses risks.
I will write about that again next time.