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Saturday, April 09, 2011


CINEMA OWNERS/OPERATORS are under the delusion that if they 'buy direct' from a manufacturer they are getting a great deal.  I noticed this - buy direct spiel - being practiced by several manufacturers on the trade show floor during the CinemaCon convention.

Let's set the record straight. Manufacturers normally sell direct to an end user at list price.  Whereas, purchasing that same product through a full-service dealer would be at a discounted price.  For example, a cinema dealer, which represents many different manufacturers, receives discounts which can vary from 35-65% off list price.   In turn, the dealer passes a significant portion of that discount on to the cinema customer.  Why?  Because that full service dealer is also providing other value added services, such as installation, training, and on-going maintenance.  Customers also benefit in other ways.  For example,  Entertainment Equipment, the company I manage, provides free extended warranties, extending any manufacturer's warranty for a full year at no cost to the customer. - a huge plus and savings when purchasing a big ticket item.

So, if you think 'buying direct' saves, think again - you'll be surprises!

Best and Happy Movie Going
Jim Lavorato

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