An announcement from SG Ammo:
We have seen a massive spike in demand this past 5 days, with double ‘normal’ sales Saturday and Sunday, then triple normal on Monday, quadruple on Tuesday, and today is way up as well, when it will slow down is hard to say at this point as demand seems to continue to rise. If order volume continues to overwhelm the warehouse crew’s capacity to fill orders over the next few days we will have to make choices on how we reduce volume, which could involve increasing prices 5% to 15%, limiting selection to cases only, removing popular ammo options that are sold at extremely low profit margins from the website menu, minimum $$ orders, etc, all of which are highly unpopular with segments of out customer base, but necessary to maintain synchronization of warehouse capacity with order volume. We guarantee the advertised price in this email until noon CST on October 12th or while supplies last, however prices are subject to change after that. In my course of many conversations with clients, I commonly see that there is wide spread misunderstanding of ‘how it works’ in the ammo business, which is understandable because it takes decades of experience to learn the deeper details, and even then, there are always surprises along the way. One thing that a lot of people do not know is that the ammunition business is a fear-driven market, not consumption driven. Fear leads to stockpiling and hording beyond manufacturing’s capacity, which leads to shortages and price increases. This also strains capacity within the distribution system, and price increases are commonly used to slow down order volume while maintaining profitability. The masses react to scares of various types, driving demand up quickly, sharply and almost instantly, within minutes to hours of a disaster, swarming ammo suppliers like us with abnormally large order volume. Such is the case this week in reaction to the Israel – Palestine conflict, where sales skyrocketed Saturday morning and remained at double to quadruple ‘normal’ order volume since then. How long this sort of elevation of demand lasts varies and depends greatly on ‘aftershocks’, as in shocking events that drive additional fear in the wake of what happened just before. It take a series of events to drive the market way up like it was in 2013, or 2020 and 2021, and a single event typically will not do it alone. That said, should a series of shocking events unfold, this could drive the market up in a substantial way. I have seen people on the gun forums often make fun of the people who ‘panic buy’ the day of the disaster, however in my observations over the years, the people that buy in the first hours or few days of the panic beat the potential price increases and almost always come out ahead of those that wait and buy later in the short term, especially if the market prices are down at the time of the panic like they are these days. In my opinion, the market prices could turn back up so quickly and go up so far, that it is a safe to say it is a great time to buy ammo these days. Prices have come substantially from their peaks in 2021, and while it is always possible that they go slightly lower, there is currently a lot more room to go up which can happen in what seems like the blink of an eye. Stack it deep while it is selling cheap!! We have tons of low cost ammo options in stock so you can be ready for your next trip to the range, including all the popular calibers and with FREE SHIPPING on orders over $200. It would be wise to make your purchases while the market cycle is slow, profit margins are in the mid single digits and before demand elevates. With supply up and prices down, it is currently the best time to buy ammo that we have seen in the past 3 and a half years. We have discount prices on bulk ammo in stock with fast order processing, secure shipment packaging and free shipping on any order with over $200 worth of product, making for a more straight forward transaction without expensive surprises in checkout. We thank you for your support of our family owned and operated business, please stay subscribed for future SGAmmo newsletters. If you have some spare time please take a few minutes and look over the online catalog at www.SGAmmo.com
Thank you, Sam Gabbert, SGAmmo Owner
He’s not wrong.
We watched as Israel experienced the worst terrorist attack since 9/11 as thousands of Hamas breeched their border.
Simultaneously, Americans have been watching since the beginning of the Biden administration as millions of military age males poured over our border with no checks to see who they are.
Putting two plus two together and coming up with there being a chance that the US could see border related terrorism and violence wasn’t hard to do.
Americans responded in a uniquely American way, buy buying a shitload of ammo.
I don’t see this slowing down any time soon.