Why Aussies are Buying Overseas. Amazon Service

[MAD]

Originally Posted by Road_Warrior

What if its a unique product that you'd really like but the US seller won't deal with you because you're not in America? There has got to be a way around it.

You can use a buying service.
I mentioned it above but you might have missed it in the large number of quick responses that occurred.

A couple I know of off the top of my head are www.priceusa.com.au and www.shipito.com
I have never used these services so it would be best to check out whirlpool.net.au for the best suggestions on which companies to use.

[SteveJH]

Originally Posted by MAD

Yes, Amazon would have better buying power than DSE.
But DSE has better buying power than Joe Public.
DSE can buy from a wholesaler.
Joe Public has to buy from a retailer.

Its not just buying power though. Amazon would have a single head office plus a few warehouses.

DSE has a head office, plus they have warehouses. However on top of that they also have retail outlets that need to be paid for (rent, wages, electricity etc), the retail outlet costs would be significant.

For example a 200m^2 shop @ $1,000m^2 pa is paying $200,000 just on rent. If they have 50% markup (which I doubt), that means they need to sell $300,000 just to cover rent. Then lets say they need to sell another $900,000 worth of stock to cover wages and electricity.

You are talking $1,200,000 in sales each year before you can even *think* about making a profit, and that doesnt take into account interest, marketing, account keeping fee's, refits, computers etc that still need to be added in.

Amazon wouldn't have any of these overhead costs, and the people they *do* employ @ the warehouse and head office, would be paid less then the equivilent position over here.

[Road_Warrior]

Originally Posted by MAD

You can use a buying service.
I mentioned it above but you might have missed it in the large number of quick responses that occurred.

A couple I know of off the top of my head are www.priceusa.com.au and www.shipito.com
I have never used these services so it would be best to check out whirlpool.net.au for the best suggestions on which companies to use.

Thanks MAD. I'd like to use sea freight because the item I have my eye on is heavy and I don't need it urgently. Air freight will work out to be too damn expensive - more than the item cost.

You guys who buy engine blocks and so forth from the US - how do you get these shipped here?

[TZENU]

Originally Posted by Road_Warrior

You guys who buy engine blocks and so forth from the US - how do you get these shipped here?

Buy enough parts/cars to fill a container !!!!! or ask around at your local importers to see whether you can transport your engine in one of their containers for a fee.

[Road_Warrior]

Originally Posted by TZENU

Buy enough parts/cars to fill a container !!!!! or ask around at your local importers to see whether you can transport your engine in one of their containers for a fee.

The thing I'm looking at is one of those collapsible motorcycle trailers (dismantles and goes in the car boot when not in use) which would probably be around 100kg or so.

[ebxr8240]

Looking at U.S debt ..
It's quite apparent they don't like paying much tax over there too..
I guess the guys on $6 an hour will be paying that ???

[MAD]

Originally Posted by SteveJH

Its not just buying power though. Amazon would have a single head office plus a few warehouses.

DSE has a head office, plus they have warehouses. However on top of that they also have retail outlets that need to be paid for (rent, wages, electricity etc), the retail outlet costs would be significant.

For example a 200m^2 shop @ $1,000m^2 pa is paying $200,000 just on rent. If they have 50% markup (which I doubt), that means they need to sell $300,000 just to cover rent. Then lets say they need to sell another $900,000 worth of stock to cover wages and electricity.

You are talking $1,200,000 in sales each year before you can even *think* about making a profit, and that doesnt take into account interest, marketing, account keeping fee's, refits, computers etc that still need to be added in.

Amazon wouldn't have any of these overhead costs, and the people they *do* employ @ the warehouse and head office, would be paid less then the equivilent position over here.

You're right once you get passed buying power there is tons of stuff to consider about why costs of buying in an Australian store are more, like having face to face service (if you could call it that at some places), local warranty and local support.

If you buy online from O/S you forfeit these luxuries and take on the risk yourself. Is it worth it to save $430 on what would have been a $700 part? Definitely.
How some companies come up with their pricing is beyond me. The example given by geckoGT is nothing less than astounding. And that example is using prices from a single item retail purchase with shipping. It would get even worse if you factored in the extra buying power of Repco and the multiple item shipping saving.

[Paxton]

I bought a Camera off Amazon. I had it shipped to a third party, and then sent to me in Australia. Hardly Normals had it for $599, but the cheapest I saw was $419. I bought it, shipped it, and warranted it (through Panasonic Australia) for $299. I should have bought two, and forgot about the warranty.

[mcnews]

Originally Posted by trippytaka

Yes, but an Australian retail company will be selling much lower volumes than an American company.

When I have looked at making tees overseas the difference with volume is astounding. You're looking at 2-5x more expensive at the kind of volumes that an Australian retailer can move, compared to an American retailer.

Spot on, half the time with motorcycles American DEALERS are paying less for new units than HONDA AUSTRALIA pays for them let alone Australian Honda dealers. It is all down to VOLUME.

Pre GFC there were single premises H-D dealerships in America that sold more Harleys out of their one store than were sold in the whole of Australia....

[Franco Cozzo]

I used PriceUSA.com.au (based in Bendigo, excellent service) to get me something from Amazon the seller wouldn't ship overseas, worked out very well.

I also imported a lot of DeWALT tools from the USA a few months back, got all new tools (skins), 4 batteries for $850 AUD landed to my door, took 6 days to placing the order to arriving at my doorstep, god bless UPS.

The most expensive part was the bloody 240V battery charger which actually cost more than the freakin drill because I bought it over here, which took 2 weeks to come down from Queensland.

[DJR-351]

USA
http://www.binoculars.com/night-visi...ngogglekit.cfm

Australia
http://www.ozscopes.com.au/yukon-1x2...n-goggles.html

Interesting thing here is they are both part of the same company, hence the statement on the US site stating they cannot be shipped to Australia....

My cousin bought mine and sent them over for me.....$$

[earlybird]

The smart ones have been importing goods for years,mucsle cars are just one example...the rest of us are just waking up to the fact this is an option for all

[csv8]

Here's another 3 examples..my Philips electric razor cutters HQ9 are $89 here. Shipped from USA $42. Rockport walking shoes are $55us ..$225 here ??????Wages ,shop rent etc cann't justify a 100%+ markup. .I agree we should support Aussie shops, but when the difference doesn't make sense,you buy overseas.
Going to the darkside..Holden SS sold as a Pontiac GTO is nearly half the price in America ??? List is endless as the big discrepancies in prices between Oz and overseas.

[Franco Cozzo]

I seen my DeWALT drill in Bunnings the other day, $800 for 2 batteries, a charger and the drill, my drill cost me less than $150, two batteries $100, charger was $150 (from Australia, pfft).

Half price, shipping was only $150 but that included everything else I got, another two batteries, cordless wet/dry vac, cordless lead light and cordless 1/2" impact gun plus the other stuff I just listed, $850.

[buggerlugs]

Digital speedo for KTM bike, $470.00 here , $178,00 delivered off the net from the states...........

[Franco Cozzo]

Also Caterpillar steel capped boots that are $220 here, $70 on sale on Amazon + $15 shipping.

[nstg8a]

dont forget to add profit to the mix when trying to compare prices. retailers arent in business to supply joe average with as cheap as possible goods, theyre in it to make money. otherwise why put up with the stress of being in business.

so a $150 item landed from the states costing $400 here is quite understandable i think.

doesnt mean id pay it, but i can see why. its a fast changing retail market now days, and i wouldnt be at all surprised to see a vastly different retail setup in another 5-10 years. retailers have had it good for years, but with the advent of the intraweb its levelled the playing field. 'the ones that survive and prosper will be the ones that can adapt the fastest.

[AMGC63]

The bloke importing for $150 and selling for $500 when its avaliable off the net for $200 and is still struggling to stay in business.. what does that tell you????

[tex]

Originally Posted by Road_Warrior

You guys who buy engine blocks and so forth from the US - how do you get these shipped here?

Airfreighted my engine, $900 from memory

[Penelope Pitstop]

I feel no remorse whatsoever for purchasing goods online for a cheaper price.

I figure the money I am saving I can put toward my ever increasing electricity bill!

In todays day and age we need to manage our budget however we can. I would rather maintain my current lifestyle by being smart with where I spend my money and if that means sending it overseas for some items then so be it.

[flappist]

I am just wonder how many on here would be so positive about direct importing if the thing that was imported was YOUR JOB because YOU are too expensive.....

[gtxb67]

Originally Posted by flappist

I am just wonder how many on here would be so positive about direct importing if the thing that was imported was YOUR JOB because YOU are too expensive.....

it won't be because they are too expensive - it is because the boss is much too greedy. it is never anyone's fault but the bosses . . . . you know the guy that gives people the money in the first place

[AMGC63]

Originally Posted by gtxb67

it won't be because they are too expensive - it is because the boss is much too greedy. it is never anyone's fault but the bosses . . . . you know the guy that gives people the money in the first place

Of coarse its the greedy Boss's fault. Boss's hate staff, they'd sack them all if they could, Boss's are supposed to employ as many staff as possible, even when the business can only sustain less than currently employed because his business is going broke competing against imported products and eager internet shoppers.
Remember, employment is a right, not a privilige.

[Penelope Pitstop]

Originally Posted by flappist

I am just wonder how many on here would be so positive about direct importing if the thing that was imported was YOUR JOB because YOU are too expensive.....

I AM way too expensive - you don't get this kinda quality for nothing ya know.

Seriously though I do see your point, I really do but the fact is when you have a 400% mark up on a bottle of nail polish a girls gotta do what a girls gotta do.

But never fear I assure you I am well and truly stimulating the economy in Australia too - just to keep everything fair.

[Badcooky]

It's very obvious why we are buying OS i think.

[geckoGT]

Just playing the devils advocate here and looking at a variety of aspects of the issue.

Lets use my example of the O2 sensor. In that transaction I saved $430 buying online which means my local BMW dealer missed out on the profit. But that money saved has enabled me to spend elsewhere on things I would like, such as the $1500 I spent at a local bike shop on a new bike frame. Had I been forced to spend that extra money on the item I needed (the O2 sensor) I would have less money to spend on items I want (the bike frame). That bike shop as well as the distributor of the frame also employ Australians.

Sometimes someone's loss is another persons gain.

[MAD]

Originally Posted by AMGC63

The bloke importing for $150 and selling for $500 when its avaliable off the net for $200 and is still struggling to stay in business.. what does that tell you????

It tells me they probably need to rethink their business strategy.

Originally Posted by nstg8a

dont forget to add profit to the mix when trying to compare prices. retailers arent in business to supply joe average with as cheap as possible goods, theyre in it to make money. otherwise why put up with the stress of being in business.

so a $150 item landed from the states costing $400 here is quite understandable i think.

doesnt mean id pay it, but i can see why. its a fast changing retail market now days, and i wouldnt be at all surprised to see a vastly different retail setup in another 5-10 years. retailers have had it good for years, but with the advent of the intraweb its levelled the playing field. 'the ones that survive and prosper will be the ones that can adapt the fastest.

Don't forget, while it might cost the customer $150 to import the item privately, it wouldn't cost the company $150.

[AMGC63]

Originally Posted by MAD

It tells me they probably need to rethink their business strategy.

Don't forget, while it might cost the customer $150 to import the item privately, it wouldn't cost the company $150.

True, here's an exercise for you, head down to your local Westfields shopping centre and try to negotiate a lease on a shop.
Once you've waded through the mess of conditions, securities, % of sale skimming your till, rollover lease penalties, opening hrs conditions, then work out the wages bill for 7 day trading at agreed rates, then you'll be able to come back and explain why the $100 item in the US from the net is $200 in our shops....

You're right, it probably makes no sense to retail anything in Australia.

[MAD]

The main difference at face value that I can see is that a retail shop, primarily these days, is there to offer a service.
The supply can easily come from anywhere in the world, as we are seeing, so to remain competitive they need to offer something that cant be bought online.

It's not the consumers fault the gap in prices has widened so far that it has now attracted many people to the savings of online shopping.

[gtxb67]

Originally Posted by AMGC63

Of coarse its the greedy Boss's fault. Boss's hate staff, they'd sack them all if they could, Boss's are supposed to employ as many staff as possible, even when the business can only sustain less than currently employed because his business is going broke competing against imported products and eager internet shoppers.
Remember, employment is a right, not a privilige.

agree entirely - everyone wants more than they are worth . . . so everything costs more. to combat the higher prices, everyone buys from overseas and is proud of their saving . . . and when everyone loses their job, they look elsewhere to blame