With the oz$ so high compared to to uncle Sam's - has anybody noticed reduced prices for sailing gear?
I was just following a thread from a US based forum.
For expample their "latest" (not close outs) boards sell for around $US1600 this would claculate to $AU1770 if not better at current conversion rates. http://windsurfing-direct.com/USA/index.html
Are the latest boards selling for this?
Someone care to shine the light
When were the boards bought and what was the exchange rate at the time ?
Most boards are bought a season prior... in bulk by shops who then sell them to the public over the coming year.
Off to Maui in July, exchange rate is awesome for booking stuff online.....one for one almost!
But ordered is not the same as bought for sure.
Shops often buy a shipment of boards and then have to wait for them to arrive into the country and then clear customs.
Due to world demand, boards are often bought way before they are due to reach our shores.
In Australia most new boards arrive Sept/October but would have been paid for way back in June just after the board launch and wholesale demo days are held by the manufacturers.
You also need to factor in freight, licensing fees, import duty, rent, wages ect ect
You can get very good deals on new (last season) boards out of europe with the big shops shifting stock at very low prices... but this is a result of them buying them super cheap because they have to take a huge number to gain the reduced price.
In the end, stick with your local store and support them when you can otherwise you will be left with little to no choice at all !
Nice thought mate,
I don't think windsurfing gear in Oz is really a follower of monetary trends.
I once had a delusion of owning a windsurfing business, so I went and hung out and learnt how it works.
I have since found a new love of my office job and have great admiration for anyone that can survive or thrive in the retail industry.
A windsurfing retailer is basically gambling, he has to order and pay for gear up to 6 months ahead. This is because the manufacturers only produce limited amounts of equipment, first in best dressed. (i.e. Only 200 5.3m ????'s are produced annually)
The retailer has to predict what will sell and gamble.. If at the end of the season he ends up with left over gear he has to wear it !!
Bottom line is any short term currency gains go to the retailer (fair enough).
If the dollar remains this high you will probably see a prices drop slightly next season.
Be nice to your retailer and don't begrudge them their profit, they put their money on the line every season.
Yep - understood - but this thread wasn't about supporting your shop or not. It was about price differential.
Surley the rules you state, apply to shops in Oz, as they do in the US.
I was just wondering if there is going to be a pice reduction in gear as a result in the Climb of the $AU (or fall of the $US) - or the wholesalers are going to pocket the benifit (uno like the oil companies, always an excuse)- oops now I've done it - sorry guys I'll go hide under my rock now. Its my boss's fault not giving me enough work before easter.
BTW I'm not even considering buying any new gear (breakage aside) for the next year or two, so by then who knows.
It also depends whether the stock is purchased in US$ or Euro . the shift in Euro has been negligable .
Depends on the product. If it is something with a small profit margin, and lots of sales, then the market would demand a price cut. But windsurf equipment sells quite slow, I suppose, and there would be no great turnover by the shops, so I suppose the shops wear the $$ increase/decrease, and I dont know how much comes over directly related to the $US, as I suppose most would come from what ever Asian country all our stuff comes from. See it was worth going to Footscray TAFE.
remember guys that all of the products that are getting made require shipping. As a result of oil prices going sky high shipping costs are going to increase SUBSTANTIALLY, thus negating any possible cost reductions as a result of a stronger dollar. I see this all the time in my line of work. We import a lot of product directly out of Asia and the manufacturers are constantly upping their freight costs and as I understand this is the region responsible for the production of most boards being made and also a little further around in Sri Lanka are the main sail manufacturing lofts.
Swings and roundabouts fellas....
hey lads I actually trade currency, bit of a heads up the call is for parity of the aud vs usd ! US economy is beyond ratsh1te, the end of the trouble is far from over, great time to buy or travel to the USA!
i think that windsurfing gear has fared pretty well over the years and hid from inflation pretty well, when F2 sputnik's where realeased they cost about $2,000 and Bic's where up there too, and a new Isonic 2008 costs $2,399.00 thats not too bad being 15 or so years later.. some boards have come down this summer, but remember the price of carbon has gone up a fare bit in the last 12 months, thanks to those big ass planes there building now, so anything with carbon should realistically should go up, not down.
Just about everything that goes into your Windsurfing gear is an oil by product and we know whats been happening there . Also , as I mentioned before , Importers do not neccessarily pay in US$ . The product I import is costed in Euro , and that has only moved a few % in 12 months .
there seems to be a big markup in the chain of supply of boards to australia,somewhere from the manufacturer to you buying it the retailer.boards are made in cobra factory-low wages-low manufacturing costs and retailed on the price of british pound,highest priced currency in world.board bought in the uk-1000.pounds,board bought in us-1800. us dollar,australia board around 2500.dollars.australia is geographically closer than other two,ie less petrol to get here.so i think australian retailer is the bunny here,somewhere along that supply chain is a big markup
To take advantage of the strong Aussie dollar, and the discounted windsurfing equipment available in the U.S.A., and too avoid the exorbitant transport costs due to oil prices etc, I have decided I will fly my hot air balloon stateside to fill windsurfing orders
. Please send me a list of the equipment you would like and cash and i will collect the kit for you
I also require a crew member to help man my hot air balloon and will be taking applications. Please include any and all relevant qualifications you may have
(hot air balloon experience not required).
You might also want to let your mum now you wont be home for dinner. We leave next tuesday!
(Note: message above may, or may not be true)
All points are valid - but forget, oil, carbon, whatever material, freight charges because the US has to pay those too - and Asia still trades in $US.
The original post is actually fairly simple if you read it properly. I'll say it again.
Compared to the price of boards in the US, Why are paying more here in oz maybe 20% more. Why other than profiteering along the line somewhere ( a few direct to public imorters aside). Volume surely can't account for all the price difference.
In the company I work for, we ship from China/Thailand/India reguarly, plenty of container boats leaving for variuos ports in OZ.
Maybe duties and import tariff's, but I though GST was suppose to abolish most of that.
Free trade? is a falsity.
Don't think the Governement would be interested in finding ways for us to spend our money at the moment.
