With respect, the key to surviving and being successful in todays specialty cutlery industry is by producing fewer, but higher end knives in shorter runs that have good profit margins. Users and collectors are demanding quality workmanship and top end materials.
The success of companies like GEC, CRK and ZT are proof that this model works. Supplying cheap mass market knives to hardware and discount stores at low or no margins is a path to destruction and it has claimed the lives of almost the entire traditional US cutlery industry.
Agree. For the
specialty cutlery industry it is true that producing large quantities of knives is to their detriment.
However, producing limited runs of expensive knives is
not a guarantee to success.
Look at Canal Street, Queen, Schat & Morgan. They went head to head with GEC, and followed the same business pattern.
To be honest, I do not understand how a run of a couple hundred knives aimed at roughly 1% or 2% (at most) of the market while ignoring the other 98 ~ 99% is a good business model.
Schrade and its related brands did not go under because they made knives for the masses. They went under from a combination of issues, including the labor unions, management, among other issues.
There are several knife manufacturers that cater to the mass market, both here in the USA, and abroad. Victorinox, Opinel, Svord, Mercator, Rough Rider, (a USA brand made overseas), Buck, CRKT, and (for the most part) Case, are examples.
GEC, CRK, ZT, and others may make a very good product. They serve their nitche market well. However, they are out of most people's price range.
98% (give or take) of the cutlery market are not knife nuts. They need and want a product that is affordable, and will cut what they need to cut. Not everyone can afford to spend more than $20 or $30 for a knife; not even here in the USA.
The average user does not demand "top end" materials or "super steels". 10xx, 440A, 420HC, 420J2, 4116, with a good heat treat all meet or exceed all their needs, and are easy to keep sharp.
Most people do not care if there are minor gaps between the liners and springs, or that there may be minor blade rub. Contrary to popular belief, mass produced pocket knives made in the 1800's to the 2000's did not always have perfectly centered blades, nor were they always gap free. Even more amazing, people did not expect them to be perfect!
Case makes knives for the working man that wants a useable knife, that does not cost a lot of money. (personally, I think $50 for a knife is "a lot of money")
They also make limited runs of knives for the collector market.
Case's "bread and butter" is the non knife nut market.
Buck markets their products to the working man.
For the collector market, they also do a few limited runs, and they also have a Custom Shop, where you can order certain knives just the way you want. A "one off" if you will; Your choice of blades, bolsters, covers, with or without cover pins, with or without finger grooves.
Buck's bread and butter market is the non knife nut.
Utica does not do limited runs, that I know of. Their main market is the non knife nut.
Böker makes knives for the knife enthusiast (Tree Brand) and the non knife enthusiast. (Böker Plus, Böker Magnum, etc)
Like I said, I hope Queen, Schat & Morgan, and their other brands are able to restructure and come back.
I also hope they return to their roots and market to the other 98% of the knife market, not just the 2% of knife enthusiasts.