On 2002-11-18 14:54, vaporlock wrote:
(…) I would merely think of it as part of doing business.
I wonder why I think of it that way. Is my brain alone in this line of thinking?
No you’re not alone. Here’s the big-mouth Frenchie again. 
Take your shnorkel and wet suit, or skip this post : it’s a long dive, muddy waters…
I understand this is a passion board; hey, this why we all visit it, don’t we ? However, the controversy in this thread is about business. We’re not talking harmony, or interpretation, just money.
I happen to do a similar business to Mr Sindt’s. Except I sell photo prints, not whistles. When I exhibit them, any visitor can buy them at say, 100. Hundred Units (U) whatever they are. I sell direct and only limited runs, numbered 1-15.
However, art gallery owners also come in–some do and ask if they can exhibit/sell my work. I sell to them at the same price. I know they have to do a living, and respect it. So they’re welcome to hike the price at 200 U’s. This is a common raw margin for any retail business (clothes, novelties are much worse, start from a 300% multiplier). They know it’s the game ; they know they sell in places and to people I don’t reach, or not all year round. I also don’t have to pay their rent on a chic avenue.
I wouldn’t even mind them selling at U 300 or 400. This case hasn’t happened yet
or I would definitely have hiked my prices at my next show.
Now, what would be dishonest from my gallerist would be taking my whole stock, making me sign some exclusivity contract, paying me less than what I usually get, and not selling more pieces per year at that. I.e. I’d work more or same, and get less money. This would be your typical mass retail attitude with many small brands–called exclusive buyer’s market. In this case, you have to drop such a wholesaler, while you still can. Or find his direct competition so you don’t massively depend on one sole customer. This is different, and Americans used to enforce anti-trust laws, right ?
To me there are honest gallerists like the one who kept Soutine painting by buying his canvases when there was no market for them ; he paid cheap, but that kept the guy alive, unsober and painting. The dishonest one was he, who pushed Modigliani to death, than came and purchased the whole stock from a totally lost widow.
So, if you craftsman’s backorder list grows up to several years, it may be time for him to reconsider either his pricelist (and remain a craftsman) or grow industrial. Are you here for a charity, or merely keep your family going and keep fighting with the banker, or scrap your pockets to buy a new lathe? Or are you ready to take profit not only for your blue-collar time spent, but also for lore and invention, which has a price, too, and will feed further research and innovation. A music CD does not cost just $2 of plastic and paper, just as software doesn’t. Just as a photog does not ask time-based wages for his work, because 1/1000 th second shots would almost equal lawyers’ hourly wages 
Anyway, let the craftsman’s choices of 1) let his prices follow demand 2) grow in size 3) grow in back-order delays
be his own choice, like selling direct or through retailers.
Or, if he had but one American customer, putting a lot of money in a liability insurance, just in quite probable case ten years from now a customer sues him for choking on a high F, getting deaf or losing the divorce cause of a 3rd octave
or getting poisoned by sucking nickel in German silver, etc.
Now, thanks of course to all of them early customers who trusted you when you had a small hearsay reputation. They got their profit too, getting your production at close-to-cost price. They had gambling flair, just like early buyers of unknown painters.
Some already made an actual profit on craftsmen whistles by reselling directly, or E-bay auction. Good for them! So, if someone really makes part of his business out of it, i.e. putting cash in advance for half a dozen of the same model, it seems hard to forbid, especially on moral bases. The final customer who paid double is not ripped off : he paid what money he decided he could spend on his hobby, and thought was a correct deal for the money + service. Note there was service to the maker too : regular income, cash advance and… taking care of the customers. Some can be such a pain
that some artists craftsmen do prefer not to handle the sales pitch and pep talk and all the PR stuff when they don’t like it or if it’s not their primary talent.
B.t.w. we had that interesting thread on recorder vs. whistle prices… Part of the differential is here : we buy most our instruments direct, but just try and do it from Moeck or Mollenhauer, not to mention Yamaha !
With the development of Internet direct sales, many businesses will have to choose between direct or indirect sales. Many will start direct, but end up through retailers’ network. See for instance what happens with successful sharewares : they end up as regular software corporations. Of course, some vice-versa situations are bound to happen too.
I just think we should be pleased that Mr Sindt accepts to deal direct. This does not make necessarily a sucker from someone who enters a shop and think his craft is still a good deal at double the price.
I knew one country where everything had a fixed rock-bottom price calculated by accountants, even for hand-made musical instruments. Worksmanship was… let’s kindly say adequate, price was quite low. And waiting list years. Understandably, it challenged US for firm belief in its own moral prevalence. It was called Soviet Union.
Now, when I express this opinion, this doesn’t mean I disapprove of posting critics on one given dealer.
Consider I just like playing devil’s advocate.