Virginia Gun Owners Forum - VGOF

Just got this in an email from Cheaper Than Dirt.


Here's what you see if you go to their site:


Is Colt ammo a collector's item?

I've seen even worse ammo pricing there. Given their ammo prices the last eight months or so, Cheaper than Dirt apparently thinks dirt is filled with diamonds. They are on my avoid list.

I hate cheaper than dirt for so many reasons, this is one of them. But if people didn't pay it they wouldn't sell it for that.

I actually don't have a problem with them raising their prices. Would I pay that price for ammo? Absolutely not, but we're 10 months into this most recent shortage and in some areas it still looks just as bare as day 1. As soon as ammo is made it's shipped out and as soon as a shipment comes into the store it is blown out in minutes if not hours so there is no way manufacturers or store warehouses can fill up their reserves.

Manufacturers are leary of big capital investments to create additional production lines as they feel this is just a short term spike in demand, so the only thing that will slow the demand enough to actually keep product on the shelf again is to raise prices. Unfortunately, the government doesn't like the free market and instead chooses to prosecute retailers under "anti-gouging" laws.

Maybe it's "tactical 22LR" ammo

Whatever that is.

Maybe it came from Samuel Colt's private stock !

I, for one, refuse to pay that premium for ammo. I can see maybe a couple bucks more a box with the shortage, but that price is just absurd.

IMHO... the whole operation is cheap. That title is indicative of their business practices, not their prices.

Friend of mine said, "They ain't cheaper than dirt, they're dirtier than cheap.".

ShotgunBlast wrote:I actually don't have a problem with them raising their prices. Would I pay that price for ammo? Absolutely not, but we're 10 months into this most recent shortage and in some areas it still looks just as bare as day 1. As soon as ammo is made it's shipped out and as soon as a shipment comes into the store it is blown out in minutes if not hours so there is no way manufacturers or store warehouses can fill up their reserves.

Manufacturers are leary of big capital investments to create additional production lines as they feel this is just a short term spike in demand, so the only thing that will slow the demand enough to actually keep product on the shelf again is to raise prices. Unfortunately, the government doesn't like the free market and instead chooses to prosecute retailers under "anti-gouging" laws.

+1

I won't buy it, but apparently someone is, so the price system of rationing scarce resources is working.

At the gun show this last weekend I was looking around and came across one table that had a lot of .22 LR and they were selling the 1400 round buckets for $170 and the 325 Swamp People boxes for $60 and I just walked away shaking my head as I watched someone by three buckets and 2 bricks of 325 at that price. Free market works but I am not going to pay that price for .22LR.

I just called their 800 number (800-421-8047) and asked for a price check on AMM-023 and was told that $29.59 is the correct price for 50 rounds of Colt .22lr.
I even asked, "Fifty rounds for $30?"
She said, "Yes sir, that's correct."
I cleared my throat and said, "OK, thank you." and hung up.

They've got 500 round bricks in stock for $90 - $100.
What makes the Colt .22lr worth $295.90 for 500????

At that price my 1600 round ammo case of CCI .22lr Mini-Mags is worth close to $1000!

That crap is ridiculous.

Boxes of Federal 375 lead rounds at the local wal-mart for $14. A local gun shop has Federal 400 round bricks of high velocity JHP's for $24. Even if the price was close to the same, there is no reason to pay shipping and wait...

Taggure wrote:At the gun show this last weekend I was looking around and came across one table that had a lot of .22 LR and they were selling the 1400 round buckets for $170 and the 325 Swamp People boxes for $60 and I just walked away shaking my head as I watched someone by three buckets and 2 bricks of 325 at that price. Free market works but I am not going to pay that price for .22LR.

What most people miss is that rationing of a scarce resource always happens, it's just how it happens. If the ammo were priced cheaper, you and a thousand others before you would likely have bought it all up. When the guy you saw came to buy it there wouldn't be an left and obviously he wanted/needed it more than you because he was willing to pay the inflated price. The fact that you didn't pay the inflated price simple means that you don't want/need .22lr that much. The higher price reduces the demand for the scarce resource. Supply and demand will be balanced or there will be shortages/gluts of the resource.

A "sale" is the exact opposite of what you described. Granted there are lots of other reasons to run sales, but one of the best reasons to run a large discount sale is to move an excess of product. Again, at the current price (pre-sale) there isn't enough demand to consume the available supply. Thus, to solve this the sellers reduce their profit, or in some cases make break even or take a loss, in order to increase the consumption (demand) of the resource. The lower price encourages people to buy more. It works both ways.

So, gunderwood, you're basically saying we're fools for passing on such a fantastic deal? LOL

[ Post made via Mobile Device ]

GeneFrenkle wrote:So, gunderwood, you're basically saying we're fools for passing on such a fantastic deal? LOL

[ Post made via Mobile Device ]

Not at all. You shouldn't expect normal prices or a deal when there is a shortage. The price should go up to ration the resource. People who really need/want it will buy it at the highly inflated price, everyone else (myself included) will pass. The high prices also encourage people like me who had previously purchased large quantities to sell off some excess, thus increasing the supply.

You are not guaranteed the ability to buy .22lr at a price you like any more than healthcare.

gunderwood wrote:

GeneFrenkle wrote:So, gunderwood, you're basically saying we're fools for passing on such a fantastic deal? LOL

[ Post made via Mobile Device ]

Not at all. You shouldn't expect normal prices or a deal when there is a shortage. The price should go up to ration the resource. People who really need/want it will buy it at the highly inflated price, everyone else (myself included) will pass. The high prices also encourage people like me who had previously purchased large quantities to sell off some excess, thus increasing the supply.

You are not guaranteed the ability to buy .22lr at a price you like any more than healthcare.

It boggles my mind how many people don't understand how this works (or understand it but will fuss anyway). Without an increase in prices, the necessary signals aren't being sent to the market that say "hey we need more product here!" If a manufacturer can sell their ammo to a store for $5/box or they can sell to a store for $10/box, where do you think they're going to allocate their limited resources?

Dudes.... it was a wisecrack.

Besides, 300 rounds of Winchester in a limited edition oak box was going for $20 at Cabelas.

http://www.cabelas.com/product/Shooting ... =cj3946285

Overall, market rate is about $0.16/round ( http://www.slickguns.com/category/ammo?caliber=3) So, $0.60/round for Colt? At what benefit?

[ Post made via Mobile Device ]

I've never ordered anything from CTD... Tried once about 14 months ago , was told item was out of stock and I could go ahead and PAY for it and it MAY ship in a month or two... No Way !!! I got lucky today ...Walmart in Petersburg had 2 - 325 rd. bx. Fed . .22 LR for $14.97 each. Not to Bad !

I have a co-worker that orders often from CTD and I normally order from Midway, Brownells, Northeast Reloaders, Wideners, Grafs, etc. I don't like their shipping charges especially if you order items from different warehouses.