Why don't we pay GST on imported stuff?

[Padmei]

Why is the limit set at $400? I was thinking it isn't really fair on retailers here if the GST isn't included on imported stuff.

[nzspokes]

Because costs of enforcement are higher than what they would recover. True story.

Retailers here charge to much, ask Robert Taylor.

[FJRider]

Why is the limit set at $400? I was thinking it isn't really fair on retailers here if the GST isn't included on imported stuff.

The Goverment already got it's cut from import tax/dutys. GST is just cream ...

[Scuba_Steve]

Australia has 1000$ so if you're an importer stop complaining, & if you're a consumer definitely stop complaining the more saving to be had the better.

[Road kill]

I buy a lot of sporting gear from the states.
Most of what I'm buying can not be found in NZ,and what little can is bought from exactly the same people and is then on sold here at around 100% mark up by the one shop that brings it in.
The GST on any shipment over $400 is the same for the shop that brings it in as it is for me.
I do keep my shipments under $400 where I can but on larger items which I only buy once every two years or so,I get stung by customs every time.
The funny thing is the one shop that does bring in the gear I buy myself,provides such poor service that it was them that got me buying it in for myself in the first place.
Up until then I was buying from them,so they have no grounds for complaint.
Again,if I order from this one shop they more often than not get my order wrong,and then it can take two weeks to turn up.
But direct from the American supplier,it's "always" been correct and always get's to my door in 7 days or less,,,every time.
Fuck the shops,,this is the new world they created.

[Howie]

Because costs of enforcement are higher than what they would recover. True story.



What he said


The Goverment already got it's cut from import tax/dutys. GST is just cream ...

Except that under the $400.00 limit you don't pay any import tax or duty either.

The tank I brought in for my KLR in January attracted no extra charges, and would have been right on the $400 limit depending on what exchange rate they used to calculate the $NZ value.

Padmei I can't wait for Mr Taylor to see this thread.

[tigertim20]

Because costs of enforcement are higher than what they would recover. True story.

.

correct!

10 . . .

[Robert Taylor]

Australia has 1000$ so if you're an importer stop complaining, & if you're a consumer definitely stop complaining the more saving to be had the better.

Dont compain then if you lose your job if you are in an industry that is affected by private importation...................

[nzspokes]

Had to happen.....;)

[98tls]

Because costs of enforcement are higher than what they would recover. True story.

Retailers here charge to much, ask Robert Taylor.

God help you if ever customs grab something though,getting it back is a fucking nightmare,bought shitloads over the years with little trouble then when i bought a secondhand exhaust system of ebay for $500 the seller in the states for some reason put the value at $10 when he sent it,customs grabbed it then did nothing about telling me they had the thing,when i finally gave up waiting for it to arrive and tracked it down the fun really started.Never in my life have i had the misfortune to have to deal with a bigger bunch of idiots,thickest bunch of people god ever put breath into i can tell ya.

[Jantar]

I know I've said it before, but here goes again.

I WILL support local retailers and I am happy to pay a reasonable premium above importing an item my self. I consider 50% to be reasonable, and if the New Zealand price is more than that then I'll import from overseas.

A recent example is mirror extenders for my bike. Purchase price on Ebay US$9.99, freight US$6.00 With exchange rates this is equivilent to NZ$20. The same item from my local bike shop NZ$89.99.

Is it any wonder that more and more people are shopping overseas?

[98tls]

50%:eek5:Your a lot more generous than i.

[Jantar]

50%:eek5:Your a lot more generous than i.
Yeah, I know. But I figure the retailer has to pay the same as I do, then add his markup and GST. Also I do like to support the small local guy as he's the one who has to maintain a workshop to change my tyres etc.

[Madness]

But I figure the retailer has to pay the same as I do, then add his markup and GST.

But the retailer is almost certainly paying a lot more to the local importer/wholesaler than you're paying an Ebay trader from the U.S. In turn, the local importer is likely paying more than the Ebay trader due to economies of scale and because he's importing in bulk he's paying duties & GST each & every shipment.

[scumdog]

US price for small ignition part? - $86

NZ price for exactly same part? -$300:eek5:

[98tls]

Yeah, I know. But I figure the retailer has to pay the same as I do, then add his markup and GST. Also I do like to support the small local guy as he's the one who has to maintain a workshop to change my tyres etc.

I hear what your saying and after spending years selling both bikes and cars have an understanding of the costs associated ie the bigger picture.Does get out of hand though eh,theres been plenty of times over the years ive come across nothing short of robbery when dealing with some retailers but the worst was 2 aftermarket rims/2 supersprox sprockets and 1 high end chain inclusive of post from America delivered to my doorstep for NZ $3000,cost of the same rims only here $4500 plus post,whatcha think i did.:wacko:

[98tls]

US price for small ignition part? - $86

NZ price for exactly same part? -$300:eek5:

How much did you pay for a lap dance T?

[Jantar]

But the retailer is almost certainly paying a lot more to the local importer/wholesaler than you're paying an Ebay trader from the U.S. In turn, the local importer is likely paying more than the Ebay trader due to economies of scale and because he's importing in bulk he's paying duties & GST each & every shipment.

I am buying off ebay from a retailer, he in turn has to buy from a wholesaler, so it must be the importer who is adding on such large margins.

Another example which I currently looking at. The lights on my bike are not up to standard, and I'm looking at fitting a set of Hella FF40s. Hella NZ do not list this particular light so when I enquired with my local retailer, he intially said that there was no such item. I showed him on the net that the FF40 does exist so he rang Hella NZ to enquire. They called him back and said that they could import them as a one off at $249 each. They are available retail in USA at US$150 for the pair.

[Edbear]

As the NZ sole agent I have minimum order quantities to meet and pay in USD so I am susceptible to fluctuations in the exchange rate and that can make a significant difference at the volumes I import.

Upon pick up by the freight company I am notified the GST and duties to pay immediately on the NZD value. At GST time I claim the GST amount back against sales but meantime I have had to carry the cost of the goods which I pay with my order plus the GST for up to two months or more.

I have deliberately held the NZ RRP as close as possible to the USD equivalent to avoid criticisms of profiteering but that means my margin to my dealers is lower than ideal. Fortunately my overheads are low and I do not have to pay for a warehouse, shop or staff but if the exchange rate drops I will have to increase prices.

So if anyone checks the US price be assured I simply cannot afford to be any cheaper.

[Madness]

I am buying off ebay from a retailer, he in turn has to buy from a wholesaler, so it must be the importer who is adding on such large margins.

The U.S based Ebay retailer is also likely buying 2, 3 or 4 times as much volume from the manufacturer and is likely getting a much better price for that reason. I recently worked for a U.S based manufacturer of industrial tools here in N.Z, selling to local retail outlets. As the importer we were making up to 80% GP on some lines that the retailer would in turn make between 30-40% GP. The 80% margin sounds unreasonable but once again, economy of scale - any less and they'd struggle to pay the bills with the turnover involved.

The world has changed and N.Z is none the better for it IMHO.

[tigertim20]

well that didnt take long, less than a page to make another why is shit in NZ so expensive.
Ill summarise the last 50 threads like this for you.

its the price of living in paradise. get over it.

[Jantar]

...The 80% margin sounds unreasonable but once again, economy of scale - any less and they'd struggle to pay the bills with the turnover involved.....

80% margin IS unreasonable. So unreasonable that your potential customers will bypass you and import directly. Now you lose even the small turnover you should have had, and so does the retailer.

[nzspokes]

80% margin IS unreasonable. So unreasonable that your potential customers will bypass you and import directly. Now you lose even the small turnover you should have had, and so does the retailer.

LOL, How many wholesalers are on a 80% margin? I dont think most people understand margins.

[98tls]

The U.S based Ebay retailer is also likely buying 2, 3 or 4 times as much volume from the manufacturer and is likely getting a much better price for that reason. I recently worked for a U.S based manufacturer of industrial tools here in N.Z, selling to local retail outlets. As the importer we were making up to 80% GP on some lines that the retailer would in turn make between 30-40% GP. The 80% margin sounds unreasonable but once again, economy of scale - any less and they'd struggle to pay the bills with the turnover involved.

The world has changed and N.Z is none the better for it IMHO.

Not so sure mate,retailers at times tend to take the piss,live in small town NZ and you see it every day,at work i listen to the local radio station,many of the ads on it have the "support your town/retailers etc etc" which is all good but falls down when you to compare prices ring someone in the big smoke who has a choking fit when you tell him what you were quoted locally,not uncommon to take a trip buy the same product stay in a motel have a night out and still come home better off.:wacko,case in point awhile back her indoors wanted a new washing line fair call i thought so shot down to placemakers $550 :crazy:next time i went up to Christchurch i bought the exact same thing for $250.Why the huge difference?Doesnt cost $300 to freight a washing line 250 kms.

[Robert Taylor]

As the NZ sole agent I have minimum order quantities to meet and pay in USD so I am susceptible to fluctuations in the exchange rate and that can make a significant difference at the volumes I import.

Upon pick up by the freight company I am notified the GST and duties to pay immediately on the NZD value. At GST time I claim the GST amount back against sales but meantime I have had to carry the cost of the goods which I pay with my order plus the GST for up to two months or more.

I have deliberately held the NZ RRP as close as possible to the USD equivalent to avoid criticisms of profiteering but that means my margin to my dealers is lower than ideal. Fortunately my overheads are low and I do not have to pay for a warehouse, shop or staff but if the exchange rate drops I will have to increase prices.

So if anyone checks the US price be assured I simply cannot afford to be any cheaper.

Yes we are pretty much in the same boat, except we also provide a high level of backup for a product that needs to be set up for local conditions. Thats a hell of an investment in equipment and ongoing training at the factory in Stockholm. Fortunately we do not purchase in $US, we purchase in Swedish krona and that currency is a whole load more stable than North Mexico dollars.

Just yesterday we had a bloke in that purchased an Ohlins shock from offshore, he was pretty cagey about it all but nonetheless he was a new customer and treated as per anyone else, a job at a fair price and done properly. He might have made a small saving on purchase price, less than $100 or so. But the shock was oversprung for him and overvalved for our roading conditions. ( We had already identified with road and dyno testing ) Slightly short of $350 later he has a shock that is set up to work well on our roads, as it should have been excepting the resellers overseas have no conception of our market, nor do they care. They will just happily take our money and put it back into THEIR economy

So the guy is out of pocket compared to if he had purchased off us, but further to that if we had sold him the shock it would have automatically been set for him. But further again if he wasnt satisfied we would have changed the setting further at no extra cost.

There seem to be a level of people on this site that tar all business people in NZ with the same brush. NZ business employs people, let that not be forgotten.

[98tls]

There seem to be a level of people on this site that tar all business people in NZ with the same brush. NZ business employs people, let that not be forgotten.

To be fair RT in your defense of local business you tend to generalise yourself,theres plenty of them out there taking the piss.

[Edbear]

Yes we are pretty much in the same boat, except we also provide a high level of backup for a product that needs to be set up for local conditions. Thats a hell of an investment in equipment and ongoing training at the factory in Stockholm. Fortunately we do not purchase in $US, we purchase in Swedish krona and that currency is a whole load more stable than North Mexico dollars.

Just yesterday we had a bloke in that purchased an Ohlins shock from offshore, he was pretty cagey about it all but nonetheless he was a new customer and treated as per anyone else, a job at a fair price and done properly. He might have made a small saving on purchase price, less than $100 or so. But the shock was oversprung for him and overvalved for our roading conditions. ( We had already identified with road and dyno testing ) Slightly short of $350 later he has a shock that is set up to work well on our roads, as it should have been excepting the resellers overseas have no conception of our market, nor do they care. They will just happily take our money and put it back into THEIR economy

So the guy is out of pocket compared to if he had purchased off us, but further to that if we had sold him the shock it would have automatically been set for him. But further again if he wasnt satisfied we would have changed the setting further at no extra cost.

There seem to be a level of people on this site that tar all business people in NZ with the same brush. NZ business employs people, let that not be forgotten.

I need an office lady who knows MYOB and can keep a track of everything more efficiently but no way can I afford a wage even for myself at present. It will be at least a year before I can think of employing someone.

I am investing everything I can scape together to build stocks and living off my wife's wages and the rent from our flat while taking as little as I can in drawings. I am on target to triple last year's turnover if nothing improves further but realistically I am aiming to quadruple last year!

So far I have 37 dealers in NZ with calls every week from others wanting in. I am aiming for 100 by the end of the year if current restructuring goes well. Up to now I have had the handbrake hard on to try and limit the speed of growth but it's a losing battle...

[Madness]

80% margin IS unreasonable. So unreasonable that your potential customers will bypass you and import directly. Now you lose even the small turnover you should have had, and so does the retailer.

At that 80% GP we were actually undercutting 3-4 competitors in the same product segment. It's also very unlikely that any of the customers of my former employer would ever import this product range directly simply due to the nature of the product (lots of different sizes & relatively small turnover at store level).


case in point awhile back her indoors wanted a new washing line fair call i thought so shot down to placemakers $550 :crazy:next time i went up to Christchurch i bought the exact same thing for $250.Why the huge difference?Doesnt cost $300 to freight a washing line 250 kms.

I bet you didn't get the washing line for $250 at Placies in Chch - Placies are a pack of thieving cunts with their sticker prices.

[Edbear]

To be fair RT in your defense of local business you tend to generalise yourself,theres plenty of them out there taking the piss.

You do wonder at times! If I do triple or quadruple turnover I will be in a strong position and making money so it is an exciting business to be involved in. Everything else is doing better this year as well though it is the batteries leading the charge for sure. Best investment I could have made!

[Scuba_Steve]

See I'm happy to buy from NZ if it's a reasonable price, but when I'm able to get a OEM part from Honda or Suzuki in the US at retail including overpriced shipping to my door at less than half NZD of what the local Honda or Suzuki are willing to give it to me for... yea someones taking the piss...

Paintball gear however I get from NZ, the price difference between US (after shipping etc) & NZ is usually so little (if any) you just don't bother looking offshore unless NZ shops don't/can't supply the item you want

[ducatilover]

I need an office lady who knows MYOB and can keep a track of everything more efficiently but no way can I afford a wage even for myself at present. It will be at least a year before I can think of employing someone.



I'll do it just for giggles mate, but you may go broke?
I'm currently gathering what I need to start my own small business, how that'll go, I have no idea.

Some people do take the piss though, no doubt. But some people (in my opinion) are worth their weight in gold.
I wouldn't go trying proper suspension work (rebuilding is as far as I go, no internal mods) if I needed that stuff, I'd send it to Robert Taylor.

[Edbear]

At that 80% GP we were actually undercutting 3-4 competitors in the same product segment. It's also very unlikely that any of the customers of my former employer would ever import this product range directly simply due to the nature of the product (lots of different sizes & relatively small turnover at store level).

That margin is dreamland for me but I understand your point. I have to stock the full range even though most of it is slow, or slower than some models, to sell and cannot just bring in the high volume models so I carry last year's turnover in stock. I need to carry three times that now.

[98tls]

I'll do it just for giggles mate, but you may go broke?
I'm currently gathering what I need to start my own small business, how that'll go, I have no idea.

Some people do take the piss though, no doubt. But some people (in my opinion) are worth their weight in gold.
I wouldn't go trying proper suspension work (rebuilding is as far as I go, no internal mods) if I needed that stuff, I'd send it to Robert Taylor.

Xactly my point in previous post.

[98tls]

You do wonder at times! If I do triple or quadruple turnover I will be in a strong position and making money so it is an exciting business to be involved in. Everything else is doing better this year as well though it is the batteries leading the charge for sure. Best investment I could have made!

Chuffed for you ED,all the best and will continue to reccomend you to anyone re batteries etc.

[Edbear]

I'll do it just for giggles mate, but you may go broke?
I'm currently gathering what I need to start my own small business, how that'll go, I have no idea.

Some people do take the piss though, no doubt. But some people (in my opinion) are worth their weight in gold.
I wouldn't go trying proper suspension work (rebuilding is as far as I go, no internal mods) if I needed that stuff, I'd send it to Robert Taylor.


To get a viable business you need one or more of three things. A better paper clip, which is a product everyone uses regularly without thinking about until they run out and go buy some more. It will be a cheap consumable that works better than what they have currently. We did that by importing a plumbing sealer from the manufacturer in Germany and it is becoming the industry standard because it is competitive cost-wise, but safer, cleaner and more versatile. It can replace three other products.

And/or you need a unique marketing angle that catches people's attention and imagination to compete with other similar products. You can't rely on a price advantage because the bigger players will drive you out.

And/or you need the latest technology in a product everyone needs that is so superior it makes the competition obsolete and that also must be value for money. People will pay more initially for a better product that is better value over it's expected life.

Finally you as a person/business must be open, honest and completely reliable. Back up your product with service that impresses the customer even if it costs you initially. People remember how you dealt with them and if they don't like you it doesn't matter how good your product is.

[ducatilover]

To get a viable business you need one or more of three things. A better paper clip, which is a product everyone uses regularly without thinking about until they run out and go buy some more. It will be a cheap consumable that works better than what they have currently. We did that by importing a plumbing sealer from the manufacturer in Germany and it is becoming the industry standard because it is competitive cost-wise, but safer, cleaner and more versatile. It can replace three other products.

And/or you need a unique marketing angle that catches people's attention and imagination to compete with other similar products. You can't rely on a price advantage because the bigger players will drive you out.

And/or you need the latest technology in a product everyone needs that is so superior it makes the competition obsolete and that also must be value for money. People will pay more initially for a better product that is better value over it's expected life.

Finally you as a person/business must be open, honest and completely reliable. Back up your product with service that impresses the customer even if it costs you initially. People remember how you dealt with them and if they don't like you it doesn't matter how good your product is.

I am going to be doing something I can offer at more than reasonable prices, at high quality.
But there's an advantage I have, I'll do it because it's something I love, my overheads will be next to none and I won't be drawing a wage unless it works out. :2thumbsup I also won't be disappointed if it doesn't work out for me, as I'm a realistic chap.
It's also something that not many people are making, probably because if it was done large scale there's not much profit to be made (setting up a huge workshop/production line) and I can always do it as a hobby/on the side.
I'm a polite person (rather unfathomable, I know) and honest, if my product sucks, I won't go all Quasi on my customers :D

[98tls]

Finally you as a person/business must be open, honest and completely reliable. Back up your product with service that impresses the customer even if it costs you initially. People remember how you dealt with them and if they don't like you it doesn't matter how good your product is.

Amen to that,How many older motorcyclists like myself rarely bother even going into a motorcycle shop these days after to many times walking through the door after advice which would lead to a purchase once given the right advice only to when after asking a question relevant to the motorcycle brand the whole business premises you just entered is built around you receive a blank stare surrounded by pimples.:2thumbsupNext time you want something would you even contemplate going back.

[Edbear]

I am going to be doing something I can offer at more than reasonable prices, at high quality.
But there's an advantage I have, I'll do it because it's something I love, my overheads will be next to none and I won't be drawing a wage unless it works out. :2thumbsup I also won't be disappointed if it doesn't work out for me, as I'm a realistic chap.
It's also something that not many people are making, probably because if it was done large scale there's not much profit to be made (setting up a huge workshop/production line) and I can always do it as a hobby/on the side.
I'm a polite person (rather unfathomable, I know) and honest, if my product sucks, I won't go all Quasi on my customers :D

Sounds good! And your point about loving what you do is bang on!

[ducatilover]

Amen to that,How many older motorcyclists like myself rarely bother even going into a motorcycle shop these days after to many times walking through the door after advice which would lead to a purchase once given the right advice only to when after asking a question relevant to the motorcycle brand the whole business premises you just entered is built around you receive a blank stare surrounded by pimples.:2thumbsupNext time you want something would you even contemplate going back.

Try dealing with my local shops, the wombats behing the counters couldn't find me some fork seal circlips/retaining clips, I had them in the mail to me within 15 minutes and from an NZ company :facepalm:

[Edbear]

Amen to that,How many older motorcyclists like myself rarely bother even going into a motorcycle shop these days after to many times walking through the door after advice which would lead to a purchase once given the right advice only to when after asking a question relevant to the motorcycle brand the whole business premises you just entered is built around you receive a blank stare surrounded by pimples.:2thumbsupNext time you want something would you even contemplate going back.

Perzackery! Your frontline staff is crucial to your success. They need to be knowledgable, friendly and interested in the customer.

[Robert Taylor]

To be fair RT in your defense of local business you tend to generalise yourself,theres plenty of them out there taking the piss.

Yes that is correct and Im not apologising for them

[mashman]

Damn this thread is making me ill (http://25.media.tumblr.com/tumblr_m6upqlvI011ry9ixfo1_1280.jpg)

[Edbear]

Chuffed for you ED,all the best and will continue to reccomend you to anyone re batteries etc.

Cheers mate! Thanks!


Damn this thread is making me ill (http://25.media.tumblr.com/tumblr_m6upqlvI011ry9ixfo1_1280.jpg)

Can you just feel the love..?

[98tls]

Perzackery! Your frontline staff is crucial to your success. They need to be knowledgable, friendly and interested in the customer.

If thats not possible then petite big breasted and Asian would suffice.

[Edbear]

If thats not possible then petite big breasted and Asian would suffice.

Darn, I don't qualify... :(

Mind you, Mrs. Bear did real well at one race meet in her T-shirt and cap... She's my secret weapon... :whistle:

[ducatilover]

Damn this thread is making me ill (http://25.media.tumblr.com/tumblr_m6upqlvI011ry9ixfo1_1280.jpg)
Honda convention! Faaaaantastic

[mashman]

Can you just feel the love..?

:eek5: ...........


Honda convention! Faaaaantastic

back scratching only ever leads to one thing...

[98tls]

Damn this thread is making me ill (http://25.media.tumblr.com/tumblr_m6upqlvI011ry9ixfo1_1280.jpg)

A family outing,thats lovely dear.

[Voltaire]

Amen to that,How many older motorcyclists like myself rarely bother even going into a motorcycle shop these days after to many times walking through the door after advice which would lead to a purchase once given the right advice only to when after asking a question relevant to the motorcycle brand the whole business premises you just entered is built around you receive a blank stare surrounded by pimples.:2thumbsupNext time you want something would you even contemplate going back.

+1 to that.....in fact bricks and mortar shops are my last resort......anyone who remembers the 70's and 80's will have no sympathy for 'wholesalers" and other leaching middlemen.

[Robert Taylor]

BUT, regardless of the disinterested pimplies in too many shops if you pay gst ''over the counter'' then it is only fair and proper that you should also pay gst on imported goods.

How many imports arrive with falsified invoices? How many reading this thread have colluded in such activity?

[RuoskaNZ]

Iridium plugs from anywhere in NZ, $35+ea
$7.50ea from the states.
Its just fkn stupid.

[ducatilover]

BUT, regardless of the disinterested pimplies in too many shops if you pay gst ''over the counter'' then it is only fair and proper that you should also pay gst on imported goods.

How many imports arrive with falsified invoices? How many reading this thread have colluded in such activity?

When I ordered the 300cc kit for my rubbish little GN, with a huge bunch of extras thrown in, I got it for the same price as a non OEM standard size rebuild kit and OEM gasket kit. I'd happily have paid GST on it, except it was all less than $200usd.
Suzuki prices were taking the piss, $70 for a chinese made cam chain? $7us from the bunch who make it.

[gammaguy]

I buy a lot of sporting gear from the states.
Most of what I'm buying can not be found in NZ,and what little can is bought from exactly the same people and is then on sold here at around 100% mark up by the one shop that brings it in.
The GST on any shipment over $400 is the same for the shop that brings it in as it is for me.
I do keep my shipments under $400 where I can but on larger items which I only buy once every two years or so,I get stung by customs every time.
The funny thing is the one shop that does bring in the gear I buy myself,provides such poor service that it was them that got me buying it in for myself in the first place.
Up until then I was buying from them,so they have no grounds for complaint.
Again,if I order from this one shop they more often than not get my order wrong,and then it can take two weeks to turn up.
But direct from the American supplier,it's "always" been correct and always get's to my door in 7 days or less,,,every time.
Fuck the shops,,this is the new world they created.

I used to buy some of my products from a NZ importer.

Things went well and I sold out of the product,so I went back to the importer and bought more.

I sold out again.This went on for a while until I went back to them and wanted all their remaining stock.They refused to sell to me "because it was unfair on their other customers"

bollocks

So now I import the product direct from the manufacturer my self,and laugh when I hear NZ Importers moaning about "tough times"

Its a brave new world out there and standing still is not an option

[gammaguy]

well that didnt take long, less than a page to make another why is shit in NZ so expensive.
Ill summarise the last 50 threads like this for you.

its the price of living in paradise. get over it.

there are more than one paradise on the planet

and some are cheaper as well

[Voltaire]

Maybe its time for motorcycle shops to move with the times, I'm guessing the importers and distributors have 'arrangements' with the manufacturers just like the old days....

I tried getting some Ikon shocks out of the US but was 'directed ' to the Auckland suppliers......more internet searching got them out of Aussie, strangely the manufacturers are happy to deal direct...:wacko:

The very piece of equipment that dumbs down the shop staff has become a very useful tool to the buyer.

Mr Taylors model is different, he is selling expert service, knowledge and products, that's his point of difference.

I worked for myself for a few years and it was service and experience that separated me from the rest.....but Kiwis as much as they like gold like cheap too......:eek5:, as you would expect in a low wage

environment.

My industry is now taken over by immigrants so have moved on.

[nzspokes]

BUT, regardless of the disinterested pimplies in too many shops if you pay gst ''over the counter'' then it is only fair and proper that you should also pay gst on imported goods.



Which we do.

[JimO]

Perzackery! Your frontline staff is crucial to your success. They need to be knowledgable, friendly and interested in the customer.
so where do you get the money to pay the front line staff, or the money for the shop rent or mortgage, acc levies, commercial insurance, holiday and sick pay, power, water rates etc etc

[nzspokes]

so where do you get the money to pay the front line staff, or the money for the shop rent or mortgage, acc levies, commercial insurance, holiday and sick pay, power, water rates etc etc

From the product that you knowledgeable staff sell.

[JimO]

From the product that you knowledgeable staff sell.
o i see, but you lot expect them to sell the product at cost plus fuck all cos thats what you pay for it and i can buy it on ebay for that and your just a robbing cunt

[nzspokes]

o i see, but you lot expect them to sell the product at cost plus fuck all cos thats what you pay for it and i can buy it on ebay for that and your just a robbing cunt

Wow thats a hard sentence to read. :eek5:

But yes, welcome to business in New Zealand.

[JimO]

or welcome to going out of business in New zealand

[Howie]

o i see, but you lot expect them to sell the product at cost plus fuck all cos thats what you pay for it and i can buy it on ebay for that and your just a robbing cunt

Nope. I expect them to sell a product at a competitive price. AN extra 100% is not competitive. The current NZ Retail Business model needs to become more efficient to combat the ease of overseas purchase. If the difference in price was the 15% GST a lot of people wouldn't bother with online shopping overseas. However when the difference in price is up around 100%, and you get a yes we can have that here for you in 6 weeks then my money is going to the market where I get the product cheaper, and in a week or two at the most.

Just like the Manufacturing industry has been annihilated in NZ by cheap imports it is now the turn of retailing, So retailers either need to become competitive in a Global market place or face the alternatives.

Here's a link (http://www.stuff.co.nz/dominion-post/business/7008128/More-shop-online-and-overseas) to a recent article in the Dominion Post. A pair of shoes $229 at Rebel sports, or NZ$143 from United States-based Foot Locker. We are a low wage ecconmy so guess where I'd spend my money if I was after them.

[JimO]

Nope. I expect them to sell a product at a competitive price. AN extra 100% is not competitive. The current NZ Retail Business model needs to become more efficient to combat the ease of overseas purchase. If the difference in price was the 15% GST a lot of people wouldn't bother with online shopping overseas. However when the difference in price is up around 100%, and you get a yes we can have that here for you in 6 weeks then my money is going to the market where I get the product cheaper, and in a week or two at the most.

Just like the Manufacturing industry has been annihilated in NZ by cheap imports it is now the turn of retailing, So retailers either need to become competitive in a Global market place or face the alternatives.

Here's a link (http://www.stuff.co.nz/dominion-post/business/7008128/More-shop-online-and-overseas) to a recent article in the Dominion Post. A pair of shoes $229 at Rebel sports, or NZ$143 from United States-based Foot Locker. We are a low wage ecconmy so guess where I'd spend my money if I was after them.
i doubt any NZ retailers could stay in business no matter what the product was if a widget made and sold in Arsefuck USA cost $50 you expect a NZ retailer in NZ to sell it at the same cost at todays rate $61,oo plus the Gst. and run a shop, pay staff etc yer dreamin mate, anyway nobody is forcing you to buy local but dont complain when the local guy isnt there

[Coldrider]

There was a news item this week, the retailers are lobbying the Government to make banks tax collect the GST on overseas sales on the credit card transaction. The banks want nothing to do with it .....at this stage.

[Howie]

i doubt any NZ retailers could stay in business no matter what the product was if a widget made and sold in Arsefuck USA cost $50 you expect a NZ retailer in NZ to sell it at the same cost at todays rate $61,oo plus the Gst. and run a shop, pay staff etc yer dreamin mate

Nope I'm realistic, NZ has a low wage economy by international standards. Because of that Most people are going to try to shop smarter. So just like other sectors of the NZ economy the retail sector needs to get more competitive or understand that it is going to become smaller. I don't have the answer to the problem, but it is bigger than the 15% GST on smaller purchases. Like it or not online purchasing local and international is here and it appears to be growing steadily. So the retail sector needs to react to that to remain competitive and keep market share or accept it is going to get smaller. Of course Online international sales also affect the importers, and wholesalers. The answer is probably for all three Importers, wholesalers and retailers to look at how they can increase there productivity and reduce costs then pass those savings on to consumers by reducing retail prices.

[Coldrider]

Nope I'm realistic, NZ has a low wage economy by international standards. Because of that Most people are going to try to shop smarter. So just like other sectors of the NZ economy the retail sector needs to get more competitive or understand that it is going to become smaller. I don't have the answer to the problem, but it is bigger than the 15% GST on smaller purchases. Like it or not online purchasing local and international is here and it appears to be growing steadily. So the retail sector needs to react to that to remain competitive and keep market share or accept it is going to get smaller. Of course Online international sales also affect the importers, and wholesalers. The answer is probably for all three Importers, wholesalers and retailers to look at how they can increase there productivity and reduce costs then pass those savings on to consumers by reducing retail prices.

+1, Manufacturers and Processors are sourcing cheaper materials and ingredients, substituting for materials etc for price reduction across all levels of the logistics chain for increased profitability, so why should not the consumer do the same?

[Howie]

There was a news item this week, the retailers are lobbying the Government to make banks tax collect the GST on overseas sales on the credit card transaction. The banks want nothing to do with it .....at this stage.

A nice idea in concept, and Government might go for it as it puts the compliance onto Banks. presumably the banks can tell if the charge to the account originated in NZ or if the user was actually overseas at the time?

The first thing that popped into my mind with this was maybe I should set up an Australian credit card on my Australian Bank account next time I'm over there. However to me it is not about the minor 15% difference in price it is because it is 50%-100% cheaper on a lot of items.

[rustic101]

I won't buy into the argument of buying here or overseas as I do both. Its a question economy from my perspective. Yes it has risks but I'm willing to accept those.

Two areas which annoy me are; Poor/Inconsistent customer service, and the lack of on-line access. An example of each:

Purchased a new bike of a dealer and was offered a 10% discount. So far I've spent around $4600 on extras and not one of those extras has come from the dealer as what I want is not able to be discounted buy them. Take the GoPro Hero2 I just bought, I ended up buying it from RaceTec and got a good deal. I will continue to always go to the bike shop first and give them a chance, but its disappointing they see no value in my repeat business. Btw they are a good bunch of guys.

On-line access grates me, and its not just restricted to bike. Prior to buying I like to 'let the fingers do the walking' by searching the net. There are only three bike website that have a good level of content, most just have a wireframe. The content of the 'good ones' is so bloody misleading/ out of date its not funny. I joined one a number of years ago and was entitled to a good level of discount made a purchase and the item was faulty and took me bloody ages to get it replaced. I compare that to an overseas on-line purchased I made that the product had a fault and it was replaced in just under two weeks. The guy even threw in a freebee to say sorry.

Personally I think the NZ bike industry needs a boot in the arse and to wake up. A fair days trade for a fair days dollar, but more importantly modernise your business and attitude towards your customers.

My 5c...

[Coldrider]

The first thing that popped into my mind with this was maybe I should set up an Australian credit card on my Australian Bank account next time I'm over there. However to me it is not about the minor 15% difference in price it is because it is 50%-100% cheaper on a lot of items. The retailers think that the GST is going to solve their problems, because they can't fix the major price gaps that are causing the overseas purchases in the first price. They'll just stick their head in the sand over that one.

[Robert Taylor]

The retailers think that the GST is going to solve their problems, because they can't fix the major price gaps that are causing the overseas purchases in the first price. They'll just stick their head in the sand over that one.

GST wont fix the problem but it would expunge one inequity and god only knows the Government can do with more revenue on what its missing out on. Yes retailers ( not only in the motorcycle sector ) often need a good boot in the backside. 100% markup on especially big ticket items,........... if only! If I had 100% markup on suspension units Id be dead in the water

In many cases what was wholesale is the new retail, just so you have any chance against the net. Certainly in our case the greatest percentage of our sales are direct and if Im cynical about it many retailers are simply just taking the order ( the customer has done the research ) and clipping the ticket. Try as I might I cant get any dealers to both have stock and provide backup to the standard we would expect, it is perhaps in part because they are wary of the difficulty of selling product with a traditional second markup, wholesale to retail. In certain industries like mine youve got to be very wary of impartingtoo much knowledge as too often you are training competitors that will end up undermining you in such a small market.
On the flipside it would be nigh impossible for counter staff to be proficiently conversant in every single product line on the worldwide web.

But also the effect of currency is major and shouldnt be underestimated. If our exchange rate against $US was more like 55 to 60 cents this thread probably wouldnt have started. That is especially true if the manufacturing source of the product isnt through the US.

The US has been a land of flatulence and excess for too long, and that is why as much as is possible and realistic I prefer to put money for personal items back into local retailers, who in turn put that money back into our local economy, or what is left of it. Rather than ( tongue in cheek ) to fat people driving pickup trucks! But yes, local retailing needs to radically change to challenge this insidious reality. But again be fair guys, not all retailers are tarred with the same brush.

[Jantar]

I'm watching the Sunday program on cheap chinese copies. It looks like you can get very cheap Ducati parts as long as you are happy for them to be spelt Dukati.

[Edbear]

I'm watching the Sunday program on cheap chinese copies. It looks like you can get very cheap Ducati parts as long as you are happy for them to be spelt Dukati.

You can get cheap Chinese batteries too if you don't mind buying them frequently and having them catch fire and blow up occasionally... :wacko:

I have a few Chinese tools such as a skil-saw, drill and jig saw and they work well for what I use them for but if I were a tradesman using them daily I would not consider them at any price.

Where concerns over personal safety arise, choose reliability and quality over cost every time.