The clarity of our mission, vision and strategies; and our principles of transparency, fairness and consistency make it easy to explain our pricing strategy. And we are proud to share this. Even though we operate in a retail space we limit specials in favor of consistent and fair pricing. Creating trust is an important element of our team.
We do have product promotions where we aim to increase product exposure. Promotional awareness is communicated on Facebook and via email to our data base. Our distributors are informed in advance and they are encouraged to participate in promotions.
There are instances where we decide to discontinue a product line or product brand and offer prices to clear the goods. We do not expect many clearance sales because we test products thoroughly in advance and we stay with the golden thread of our strategy. We do however make mistakes, what matters is less the mistakes vs. how quickly we get back on the mountain.
In some cases we change our strategy like we did for our 2 brand strategy in clothing; we will no-longer carry an entry level local brand because this space is too crowded. Our resources are better spent elsewhere, hence our current pricing to clear clothing and focus on Chevalier. Clothing takes space, we do not have a space issue, but space must anyway be used effectively. Normal clothing can be purchased in most shops. We focus our attention on a premium quality and style of clothing from Chevalier that is not otherwise available.
Pricing of our imported products are adjusted when the Rand moves +-5% from the last adjustment in order to have pricing relevant and current to global pricing. For example, our optics cost the same in SA as in any other foreign country. The days are over where every country had its own pricing level, internet has created a global trading village. Rand weakness & volatility of 2016 was costly, but like Kahles optics we in business for the long term.
Huntex Gallagher Estate was an example of our discipline to keep to our business principles. Everyone around us was discounting products, we even had a first time gun buyer say that he was advised by a dealer to rather buy a 300 H&H vs. his choice of a 30-06. We focus on value and life-long customers vs. short term dumping of excess products. The success of our pricing strategy reflects in a 40 year legacy, we in business for the long term.