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Are ammo prices done dropping?

Discussion in 'Caliber Corner' started by emt1581, Sep 27, 2010.

  1. emt1581

    emt1581 Curious Member

    19,885
    2
    Oct 17, 2002
    Penn's Woods
    Last year I sold a case of Blazer aluminum 9mm for close to $400. Today, it is significantly cheaper to buy the same ammo. Now that the panic is (temporarily) over about Obama outlawing everything gun related I'm wondering if the ammo bubble is done bursting or if we might see cheaper prices yet?

    Thanks!

    -Emt1581
     

  2. G19Pistolero

    G19Pistolero

    405
    0
    Jul 28, 2009
    FL CWP
    Certainly didn't look like that at the gun show last weekend...insane prices for premium SD ammo...:shocked:

    -J.-
     
  3. J_Rico

    J_Rico

    2,827
    448
    Aug 17, 2007
    From what I have observed, yes.

    WM is going up, but many online prices are dropping.
     
  4. freakshow10mm

    freakshow10mm 10mm Advocate

    Sales are decreasing and prices are falling. I predict over the next few months still there will be some changing here and there.

    On the dealer/distributor level, component discounts aren't as much as the dealers are raising prices to compensate for lower sales volume to maintain their margin. This increases costs for the smaller companies whom have to decide what is best: eat the increase cost or adjust price to compensate.

    In my case, bullet prices are the killer. My cost went up 10% as the discount amount was decreased. Now it's actually cheaper for me to buy bullets at the advertised retail price which includes shipping, than to pay the dealer price cash discount plus shipping.

    Gun shows used to be the way to judge market prices but in the last 5 years no way. Today it's the online dealers. Even the gun shops are stocking less ammo as most people seem to buy online in bulk, so they just stock a few cases for the new gun buyers that need ammo and that's about it.
     
  5. emt1581

    emt1581 Curious Member

    19,885
    2
    Oct 17, 2002
    Penn's Woods
    I know it's a limited selection, but what about Wally World? How are they comparing, in your opinion, to the online dealers?

    Me personally, I thought ammo prices were just going to keep going up and up and would eventually be unaffordable so I created a bullet mold/reloading setup for myself for EVERY .32acp-.50BMG I shoot! Now I haven't touched the setup in a while 1) Because I haven't been to the range in a few months and 2) Because I've been buying small amounts of ammo here and there and haven't needed to. But it seems like that setup was and still is a good backup plan...but now that prices have come down a little, it's intended purpose isn't needed.

    -Emt1581
     
  6. rwrjr

    rwrjr

    891
    0
    May 25, 2007
    Northern VA
    If somebody paid you $20/box (50 count box) for Blazer Aluminum, even at the height of the ammo shortage, they were just plain stupid. Good for you getting that price. Please give me their name, I need to sell this bridge I keep up in Brooklyn.
     
  7. freakshow10mm

    freakshow10mm 10mm Advocate

    Walmart is more expensive and can't resupply as fast as the online retailers. Walmart's profits are based on efficiency of supply and sales. In order to do so, they contract with one place to ship everything to Arkansas, then they funnel everything to the store that needs it. The online dealers aren't slave to agreements or contracts, so they have no loyalty to a particular supplier. They can order from whoever they choose.

    Palmetto might order 50 cases from Federal direct, 100 cases from Camfour, 35 cases from Zanders, and partner up with Ammoman and CDNN Investments for a trio-order of 500 cases.

    Corporations the size of Walmart swing a big bat, but it's a slow bat. The smaller companies with freedom of vendor choice can be supplied, sell, resupply, and sell before Walmart gets their next big shipment from there one source.

    Walmart's supply and distribution system is world class, however. When an item's barcode is scanned at the register in Maine, it's logged into inventory control in Arkansas where the stock is checked and a replacement product is routed to a certain truck to be routed to that store so that exact product quantity is replaced within days. This happens in literally seconds. Trouble is with so many stores it's hard to keep up when the little guys are gaining market share and having more buying power each time they order.
     
  8. OkieGunNut

    OkieGunNut

    2,135
    1,464
    Apr 18, 2010
    I track the prices at my Wal-mart and in the last month the Win WB have gone up one or two dollars per 50. That is across the board caliber wise.
     
  9. cadillacguns

    cadillacguns Millennium Member

    4,279
    236
    Jan 20, 1999
    Indianapolis, IN USA
    Wal-Mart up $1.00 on Federal 9.mm/.40/.45 as of 9-28-2010
     
  10. deathpriest

    deathpriest

    821
    7
    Dec 12, 2004
    Florida
    WM price increase had been slower than any other supplier out there. They are still less expensive than most.