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Thread: I really don't get NZ pricing.

  1. #1
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    I really don't get NZ pricing.

    Ok I understand getting stuff in NZ can be justifiably slightly more costly than overseas due to our location. I also understand economies of scale, we are a small market and we don't have the buying power. However it is now a global market, and major manufacturers have an obligation to supply parts in that market.

    So I wanted to purchase an OEM part for my bike. Checked online as you do to see what they are selling for and found brand new examples from retail shops (physical brick and mortar businesses) for around NZ$150-$200. Add in GST and shipping and I could have one here in 5-10 days for around $300. However I believe in trying to buy local when I can so I inquired with my local dealership and was told $829+GST ex Japan. I told them to recheck and gave them the part number but the prices was still the same. I explained the situation to my friend who works there, expressing that I want to buy from them but I can't justify that price. They gave me an option to go seafreight. 3mth wait and $550+GST.

    First up. This part doesn't cost more to make depending on which market it goes to. Their pricing structure may mean they attribute a higher cost to it due to the small size of our market but that doesn't change the costing of manufacture. If I can buy this part for $175 on average overseas then we can safely assume the cost to manufacture is well under this. Secondly why the $280 cost difference between airfreight and seafreight? This item is smaller than a pack of cards and would weigh little more. I can get 5 day delivery from the states for $50.

    I want to buy locally, I like to get things when I pay for them. I like to chat to the sales team. I like to go into a shop and look around and get good service. But I'm not paying 3 times the amount to do that. And the knock on effect of that is my money goes overseas. Businesses here lose out on that and the more that happens the more likely it is that they will go out of business. As I type this out it occurs to me that the manufacturers just don't give a fuck about a small market like ours, to the point that if it disappeared it would hardly raise a discussion in a board meeting. And that's not good for us.

  2. #2
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    its shit eh! I still just import because can't stand dealing with bluewing honda or the fucktard south african at botany honda.


    whats more most power OEM part suppliers already have linked into auto-pay GST from their site so there is no delay at customs--- partzilla still works out faster and much cheaper than local for parts ex-japan if not instock in the US

  3. #3
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    Quote Originally Posted by onearmedbandit View Post
    Ok I understand getting stuff in NZ can be justifiably slightly more costly than overseas due to our location. I also understand economies of scale, we are a small market and we don't have the buying power. However it is now a global market, and major manufacturers have an obligation to supply parts in that market.

    So I wanted to purchase an OEM part for my bike. Checked online as you do to see what they are selling for and found brand new examples from retail shops (physical brick and mortar businesses) for around NZ$150-$200. Add in GST and shipping and I could have one here in 5-10 days for around $300. However I believe in trying to buy local when I can so I inquired with my local dealership and was told $829+GST ex Japan. I told them to recheck and gave them the part number but the prices was still the same. I explained the situation to my friend who works there, expressing that I want to buy from them but I can't justify that price. They gave me an option to go seafreight. 3mth wait and $550+GST.

    First up. This part doesn't cost more to make depending on which market it goes to. Their pricing structure may mean they attribute a higher cost to it due to the small size of our market but that doesn't change the costing of manufacture. If I can buy this part for $175 on average overseas then we can safely assume the cost to manufacture is well under this. Secondly why the $280 cost difference between airfreight and seafreight? This item is smaller than a pack of cards and would weigh little more. I can get 5 day delivery from the states for $50.

    I want to buy locally, I like to get things when I pay for them. I like to chat to the sales team. I like to go into a shop and look around and get good service. But I'm not paying 3 times the amount to do that. And the knock on effect of that is my money goes overseas. Businesses here lose out on that and the more that happens the more likely it is that they will go out of business. As I type this out it occurs to me that the manufacturers just don't give a fuck about a small market like ours, to the point that if it disappeared it would hardly raise a discussion in a board meeting. And that's not good for us.
    presume its a suzuki part, had this argument with them back in 2009 with airfreight parts that i could buy from US dealers cheaper than i could from the distributor here, (i was a dealer at the time) not much has changed, i can understand your frustration,
    i

  4. #4
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    Quote Originally Posted by onearmedbandit View Post
    Ok I understand getting stuff in NZ can be justifiably slightly more costly than overseas due to our location. I also understand economies of scale, we are a small market and we don't have the buying power. However it is now a global market, and major manufacturers have an obligation to supply parts in that market.

    So I wanted to purchase an OEM part for my bike. Checked online as you do to see what they are selling for and found brand new examples from retail shops (physical brick and mortar businesses) for around NZ$150-$200. Add in GST and shipping and I could have one here in 5-10 days for around $300. However I believe in trying to buy local when I can so I inquired with my local dealership and was told $829+GST ex Japan. I told them to recheck and gave them the part number but the prices was still the same. I explained the situation to my friend who works there, expressing that I want to buy from them but I can't justify that price. They gave me an option to go seafreight. 3mth wait and $550+GST.

    First up. This part doesn't cost more to make depending on which market it goes to. Their pricing structure may mean they attribute a higher cost to it due to the small size of our market but that doesn't change the costing of manufacture. If I can buy this part for $175 on average overseas then we can safely assume the cost to manufacture is well under this. Secondly why the $280 cost difference between airfreight and seafreight? This item is smaller than a pack of cards and would weigh little more. I can get 5 day delivery from the states for $50.

    I want to buy locally, I like to get things when I pay for them. I like to chat to the sales team. I like to go into a shop and look around and get good service. But I'm not paying 3 times the amount to do that. And the knock on effect of that is my money goes overseas. Businesses here lose out on that and the more that happens the more likely it is that they will go out of business. As I type this out it occurs to me that the manufacturers just don't give a fuck about a small market like ours, to the point that if it disappeared it would hardly raise a discussion in a board meeting. And that's not good for us.
    I just bought one OEM bar end from a local supplier. I could have got them cheaper overseas, or bought after market.

    But I wanted OEM. So I went local, paid too much, and got poor service.

    It's not hard to guess what I'll be doing next time.

  5. #5
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    I think I know the cause of the strange discrepancies in Pricing....

    Physics; Thou art a cruel, heartless Bitch-of-a-Mistress

  6. #6
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    (I've also seen the issue where - even if the dealers' parts person helped order the part - it's "tough luck" if it turns out to be wrong.

    Another reason why buying locally can be no advantage.)
    Measure once, cut twice. Practice makes perfect.

  7. #7
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    Way back you had to have a government issued import licence to import anything, they were hard to get, impossible for you or me, and consequently having one was a licence to print money. NZ middle men don't seem to have ever got the message that those days are gone.

    Some things cost a similar price to overseas, others are much more expensive, and I used to wonder about that. Back when I last checked, fishing gear for instance, was hugely expensive here in comparison to other markets. It turned out that the reason for that was that the manufacturers had big minimum order quantities. No NZ importer could stock those quantities, so they bought their stock from the Australian importer, thus inserting an extra middle man into the deal between the factory and the customer, a shit load extra money on the price, but no extra value. It would be cheaper to buy from an Australian retailer (or on 'special' from a huge US retailer) and miss out the Kiwi middle man.

    Another similar example, the importer of a popular motorcycle related product couldn't deal with the order requirements of the manufacturer, so he bought from a US retailer then he too added an extra mark up into the price before he unsold to NZ retailers who bunged their markup on. You could potentially buy from the same US retailer he did and save hundreds.

    A comment about Blue Wing specifically. They are not owned by Honda as most other national Honda importers are now apparently. As a consequence they may miss special deals and other advantages through being outside the 'family'. That's before their own strange decision making enters the equation. I get the strong impression they just want to sell farm bikes. Road bikes are just a bloody nuisance.

    I'm in favour of supporting local businesses but...
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  8. #8
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    Well I was kind of expecting reasons why I should pay that much etc but it seems as though I’m not alone in my thoughts. I’ll keep trying local when I buy parts but I can see that’s more than likely not to be a successful endeavour.

  9. #9
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    Quote Originally Posted by onearmedbandit View Post
    Well I was kind of expecting reasons why I should pay that much etc but it seems as though I’m not alone in my thoughts. I’ll keep trying local when I buy parts but I can see that’s more than likely not to be a successful endeavour.
    If there is special expertise or back-up involved, as sometimes happens, then paying the extra becomes more attractive.
    There is a grey blur, and a green blur. I try to stay on the grey one. - Joey Dunlop

  10. #10
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    Quote Originally Posted by pritch View Post
    If there is special expertise or back-up involved, as sometimes happens, then paying the extra becomes more attractive.
    Agreed. I had both ends of my bikes suspension updated and set up for me by New Zealand suppliers (although one told me to get the components myself from overseas rather than through him as I would save money) for this very reason.
    Last edited by onearmedbandit; 25th February 2020 at 16:28.

  11. #11
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    I generally go to an OEM for initial pricing and if the item is in stock then see if overseas prices are cheaper including shipping. It can go either way and has. And customs still do random checks which can double the price of an item.

  12. #12
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    Quote Originally Posted by Bonez View Post
    I generally go to an OEM for initial pricing and if the item is in stock then see if overseas pices are cheaper including shipping. It can go either way and has. And customs still do random checks which can double the price of an item.
    Took my local dealer 3 days to get back to me with that price. Also if your goods are under $1000 now there's no duty charges.

    https://www.customs.govt.nz/personal...uty-estimator/

  13. #13
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    I've used megazip for oem Suzuki parts, they are pretty cheap , but do take awhile to send them, I believe they do all jap m/c parts, I got a full set of rings delivered for $300nz, Suzuki wanted $750

  14. #14
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    Quote Originally Posted by onearmedbandit View Post
    Took my local dealer 3 days to get back to me with that price. ]
    That is either piss poor service or a shitty system.
    Lets go Brandon

  15. #15
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    Quote Originally Posted by jasonu View Post
    That is either piss poor service or a shitty system.
    I rang three times but each time it went through to a message system. On the last call I left a message, that was Friday. Tuesday morning (today) I got a reply. I think it's a combination of both.

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