God knows i'm not the fastest animal in the forrest

[mrerick]

If you have saturated your percentage of market share, you grow the pie by making additional offerings of related products.

They have production of the components in volume. If you're not going to buy their loaded ammo because you reload, why not sell you components? As long as you make incremental profit, you do fine since you wouldn't have bought their loaded ammo anyway.

The lack of projectiles is interesting. They must think that they can interfere with the reloading marketplace that way and drive more sales to loaded ammo. Of course, other sources would interfere with that play.

[rhuff]

Most all of the major American ammo companies (Winchester, Remington, CCI, Speer, etc.) have been selling their brass and projectiles for years and years to handloaders. It is just the near obsolete calibers that suffer, and for obvious reasons. These companies don't care much about the 30 Luger shooters, as there is not much profit involved for them.

[DonVoigt]

Originally Posted by mrerick

If you have saturated your percentage of market share, you grow the pie by making additional offerings of related products.

They have production of the components in volume. If you're not going to buy their loaded ammo because you reload, why not sell you components? As long as you make incremental profit, you do fine since you wouldn't have bought their loaded ammo anyway.

The lack of projectiles is interesting. They must think that they can interfere with the reloading marketplace that way and drive more sales to loaded ammo. Of course, other sources would interfere with that play.

For the last "x" years, loaded ammo has been in relatively short supply; under which circumstances it makes eminently good sense to sell the highest value/highest profit items while your factory is running at capacity.

I fully understand the economics of production and markets, but thanks for the lesson anyway.