Thread: The prices we pay

Originally Posted by Jim Ferrous

Yes.

But your argument would hold more weight if I was purchasing say a 3" machinists vice that was local company by employed Australian workmen. I would happily pay a premium for such a vice.

It becomes much more sticky when a 'business' just buys the exact same item from China, same packaging, same everything and literally only on sells that item after putting an inflated middle man profit on the item. Naturally, if there is a possible way to cut this middleman out of the loop, it will happen and we see it happening now as buyers become, through the internet, more educated as buyers.


The world is changing, more and more people are able to deal closer to the source of where items actually originate from and feel quite happy purchasing without touching and actually holding a product. Hence, why there are so many review sites by savvy informed buyers on the internet.

There's no way that the face of the middleman, on selling business's are going to be the same as they are in another 10 years from now.

My point is the cost of doing business in Australia is far higher then most places in the world... For all sorts of reason....

Plus the US sellers have the economy of scale..... They might sell 1000 1,2,3 blocks to every sale of one set in Australia... I mean lets face it, who even knew about such things as 1,2,3 blocks before the internet... I doubt many ever get sold in Australia due to their obscurity...

.RC. whilst I acknowledge that there are lots of "on costs" for businesses in Oz, surely you are not suggesting that businesses in America do not have costs for transport, storage, warehousing, rates, taxes etc etc etc?

The fact of the matter is that goods are sold in Oz for far higher prices than in most overseas countries, this even extends to software downloaded over the internet, where all these "on costs" simply do not apply.

Why, because they can and we are silly enough to cough up.

The ACCC is not having an enquiry in to these practices for the hell of it (yes I know that nothing will come off that..........)

There are lots of countries with higher taxes and social security imposts than Australia, go look at some of the European countries, and most of those have higher company tax rates than we have here too.

Making emotive statements about 30% wage cuts doesn't really mean anything, most people would love to take a 30% wage cut (and pay less tax etc) if they could buy everything for half price wouldn't they?

Another example: Compare the cost of buying an iPhone here compared to in the US. The iPhone S is supposed to be an inexpensive version of the standard iPhone, costing several $100 less than it's dearer counterpart yet here it's hardly worth a look as it's merely $100 cheaper.

Cost of music & movies from iTunes. Why would items that are downloaded on the internet direct from iTunes store cost more here than the US?

I wouldn't so much mind paying a premium if the item was made in Australia. But when a retailer simply purchases the same item from China as what I can get and then charges an extra 100% after they have the buying power of a retailer then forget it.

I'm sick of hearing Harvey Norman bitch and moan about such things and telling me how hard it is in retail! He doesn't look like he has gone without a feed lately! You only have to look at the sale prices to know how much fat is in their system. I also just bought a tent from Kathmandu (made in China) for the kids, 50% off and I bet they still make enough on it. Also bought a Leatherman for the GW (well it's got a bottle opener, tweezers & nail file) from the US for about 70% of what an Australian online store were selling them for, delivered to my door. I'm sure if I bought a 100 of them I would get an even better price.

Simon

I recently bought a couple of digital voltmeters for $2.50 each on aliexpress. The exact same voltmeters in Oz are $25 - that's an absurd markup, no wonder so many people are shopping online and overseas..

Some of the US postage rates demanded are an absolute ripoff.

I needed 2 angular contact bearings today, a reasonably common size of 7207B. Quality brands in US from $27 to $44 each. Postage from $60 to $127? each. I couldn't be bothered trying to get postage combined in the same flat rate box. I paid $144 for the pair locally and didn't have to wait around for 2 weeks plus.

We are being ripped off here with the cost of product as well as the overseas postage. There is obviously huge markups for postage by a lot of US suppliers.

Ken

Originally Posted by Toggy

We are being ripped off here with the cost of product as well as the overseas postage. There is obviously huge markups for postage by a lot of US suppliers.

US postal has current and looming pension payouts that is (or may even already has) sending it bust.
To cover this they are closing down many small post offices and jacking up OS postal rate since this does not cost too many votes.
So think of yourself as paying for what Uncle Sam should have budgeted properly for instead of wasting money of (insert appropriate items here)

To everyone whinging about prices and postal charges you can always migrate to the US.
I know where I'd rather live.

To be fair to US Post, their charges are still well below those Aust Post charges to send similar weights to the US.

BobL

You may care to read my post again. I thought that I stated clearly the postage costs requested by the seller. A big difference between $60 and $127 for the same small article by different sellers. At no time did I mention the USPS postage rates other than state a seller wanted to charge and post separately in medium flat rate boxes for 2 bearings when they weigh about 2lb and each box carries 20lb.

Ken

US Post (USPS) rates are actually quite fair. The problem is that some sellers do not want to queue up at the post office and/or fill out the customs declaration. They rather use the more expensive courier services (like UPS / DHL etc) that come and pick up the goods. I rarely buy from a seller if he does not offer USPS. Chris

Sorry toggy - I agree there's lots of funny business with postage rates between sellers.

Originally Posted by .RC.

Hands up those that would like to take a 30% pay cut?

Well I'd nominate wharfies for starters.

Placed an order with CTC last night. It would fit in one of those USPS medium boxes; but the postage is dearer at $70.15. postage out of HK has been dearer than the US for quite a while. It has been said that the English postage is about the cheapest at the moment.

I can not understand the thinking of some of these sellers with their huge postage costs. Why would anyone pay $127 each for smaller $30-40 items when they could be put in the same small flat rate box for about $45. Would ensure repeat custom you would think.

I think Chris may be onto the reason; pure laziness. This attitude must be costing them sales in their dying economy and must surely send buyers elsewhere where they will be treated fairly.

Was going to order some plastic cement moulds for pavers and alike from a QLD seller, total weight was around 5kg packing size around 45cm x 45cm x 20cm and wanted to charge me $97 to Sydney. Can buy the same from the UK for 15 pound postage 1st class.

This price gouging has been going on for quite a while. It is not only for products that are sold but also for services and etc. There are may pros and cons living in this beautiful country. I have lived in various parts of the world and I would not think twice where I would choose to settle. Many factors drives up the cost of living.

Of course Greed has nothing to do with inflation right???? It's chain effect. So many of the big companies eager to bring their products to this continent yet we are forced to pay higher prices than other countries. I don't think buyers are silly at all they know it but do they have a choice when time matters most? Also, have you seen how the prices matche one another when products don't even match in terms of quality? The consumers buying power here is trememdous.

Tooling stuff gets most markup there's so few sellers and buyers. But they are usually heavy making it costly to ship. I spend my money the way I like, if I find a local shop selling same items many times higher than overseas it gets into my Greed blacklist. I rather pay for postage and wait for my postie friend.

I always pay and support Australian made product. Unfortunately it doesn't prevent those greedy shareholders from moving manufacturing offshore.