US Supreme Court case could affect Festool

[putttn]

Lets all keep our fingers crossed that one of the offsprings doesn't get in and start "running" the company the "new way".  If the company is making acceptable profits, the dealers are making profits and are servicing their customer base then we will be a happy bunch of guys who don't mind paying full bore.  That seldom happens, but when it does it's a good thing.  It's also good that Festool makes exceptional products.

 

[Tinker]

Quote from Bob Marino

 

[putttn]

Tinker, I agree 100% with your sentiments.  IF and I repeat IF they can keep this type of business going and not be tempted to change course we will all be better off.  I haven't seen it come out that way too often but it sure would be a breath of fresh air if it does.

 

[LaserGecko]

i don't shop around for cheap.

...with Festool, you can't. eBay is your only hope of paying less than retail, but that's for a used product.

I can see both sides of the argument much more clearly after reading the responses from the dealers in this thread. Here's my problem with the price fixing, though.

I bought an RO125 yesterday and, after using it (and seeing how some of the accessories are priced), decided to return it and upgrade to the RO150. I now have a $20 box of 5" Rubin 80 that has 48 virgin sheets in it. Woodworkers Emporium could not accept that as part of the return because they could not sell it as "new". That's fully understandable, but the fact that they could lose their dealership for "discounting" a partial box of sandpaper is crap.

I had planned to buy the five pack of Rubin 80 for $2, then replace the two used sheets, and get $20 (net $18) for the trouble of finding out that I preferred the RO150. Of course, they don't carry the five sheet packs in stock, so I have to order it from the internet now.

There's also a "used" RO125 at their shop that now has to go through the Festool return procedure (whatever that is). Of course, I would've asked about any "demo" models, but I knew better to even ask since that was discontinued through FestoolUSA (another crock, IMHO, punish everyone for the sins of a few), so if they aren't doing it, I knew a local dealer couldn't.

There are two downsides to the "everyone charges the same price". I've probably talked to four different companies so far and I'm only buying two major items. So, I have to rotate my purchases through the people who've helped me, then decide who I like best after that.

Secondly, I think it puts local vendors on a very unfair playing field, especially if it's an item that isn't in stock. The tax on my first purchase was $57. Heck, that's enough to get a Systainer to hold the sandpaper. It's nice to be able to use it immediately and play with everything, but there ought to be a way to make buying locally more competitive with buying off the 'net and getting free shipping.

If I were making a living with these tools, local availability is a key issue. I'm not (at least not right now) and the tax and gas adds up when you're talking Festool prices.

 

[HowardH]

Bingo.  Sorry, local Woodcraft, I do like dealing with you guys and I do buy other stuff there but for major tool purchases, the tax is significant enough to warrant buying from the net.  In addition, I had ordered simple part for my CT-22, a hose holder, and it took a month to get in.  They simply don't keep much of anything in stock other than some sandpaper so it forces my hand a bit.

 

[Corwin]

It is hard to know for sure just how any future ruling will affect our beloved line of Festool products.  I’m sure each person has his or her own take on how this would play out based on their own views and life experiences.  My thoughts in this issue have turned towards concern for the dealer network that has provided such excellent service in their role between customer and manufacturer.  And this is somewhat troubling to me.  But I believe there to be hope that these dealerships will survive the ordeal.

When I first learned that Festool was more a family based business, this somehow provided me an explanation for the quality of design and craftsmanship that went into their tools.  And reason is what I perceive to be pride in their product.  I can identify with the family run company as my father started his own business when I was a small boy.  This was a contracting company for industrial firebrick work.  A rather obscure industry, but after a few short years he invented a jig – something he excelled at – that soon there after propelled him to world-wide recognition within his field.  He certainly was a most accomplished man.  But both his product and the manner in which he did business had been offered forth and back up with pride.  And thus, I view the Festool products as also being offered forth with pride.

I started with McFeeley and later switched to Bob Marino for my purchases.  This was simply a move on my part to support these Festool dealers – there most certainly was no other reason for this change, and both have proved themselves to be excellent.  And both seem to also display this pride thing…  So, in the end I hope we will find that the company, the dealers and all of us customer will all continue to benefit from these fine products that the Festool line has offered. 

Best wishes too all,
Corwin

 

[Jim Becker]

Price-fixing by an industry (collusion) is definitely a no-no under US law. But I'm not sure that a single vendor setting required pricing for their own products through their own dealers is or should be illegal. I suspect this would have been challenged long ago, otherwise--there are examples in multiple industries where it exists. So it truly will be interesting to see how this case proceeds.

I hope that the Festool model stays as it is...my Festool source gets my business because of excellent service that is above and beyond. Further, a local tool retailer that I've done a lot of business with over the years pretty much got out of the hand-held electric tool market years ago outside of convenience selling to trade customers because they couldn't compete with the big-boxes and online sources. There was no incentive to sell. Now, they too, have picked up Festool because it gives them something to promote with their own excellent and personal service...and make some money doing it.