Thread: Why are parts so overpriced in Australia?

Originally Posted by isuzurover

Your assessment is far too simplistic - as I pointed out in my previous post - though I notice you chose not to quote that bit.

The same example holds in my work here (Australia). Whenever there is a substantial saving to be made I will purchase equipment for work from OS (where it is made). Or have equivalent equipment built locally. That has meant that (a) my productivity per $ of funding is higher, and (b) the savings go into the pockets of people I employ in extra salary (for more hours work of course). Note that the equipment I am talking about is well above the GST and duty thresholds - so your GST/Duty arguments are moot.

So instead of supporting salespeople who are only able to calculate a % and spin a good yarn, I have supported both (a) local (small-scale) manufacturing industries, and (b) skilled engineers and scientists.

i must admit, i am at a bit of a loss with your post here.
it appears you are a business that employs people. . i take it you make a profit and pay your staff accordingly.

this is exactly what i am trying to defend here. so good on you.
perhaps you have a vendetta against salespeople i don't know and don't really mind, but what you are achieving in your business is what i have been saying all through this thread will disappear. if what you are selling gets sold direct into the country bypassing you won't that cause a problem for you ? or do you charge enough for another service that can cover that loss of sales revenue on that equipment ?

retailers only have 1 source of revenue, that is product sales.
are you suggesting Gerry should go to Samsung, or HP or Toshiba or Acer in Asia and forgo the Australian distributor companies ??? won't that then mean jobs losses for those companies ?? are you even aware that all the major electrical brands have their own Australian based companies. are you aware that until the online software store, Harvey Norman bought all there product through australian channels ? perhaps you assume that the large retailers import direct themselves, and maybe that is where a lot of this misguided idea that the retailers are banking all the profit.

as i said, i am at a bit of a loss as to what you are arguing against ?

Originally Posted by Rosscoe68

i must admit, i am at a bit of a loss with your post here.
it appears you are a business that employs people. . i take it you make a profit and pay your staff accordingly.

this is exactly what i am trying to defend here. so good on you.
perhaps you have a vendetta against salespeople i don't know and don't really mind, but what you are achieving in your business is what i have been saying all through this thread will disappear. if what you are selling gets sold direct into the country bypassing you won't that cause a problem for you ? or do you charge enough for another service that can cover that loss of sales revenue on that equipment ?

retailers only have 1 source of revenue, that is product sales.
are you suggesting Gerry should go to Samsung, or HP or Toshiba or Acer in Asia and forgo the Australian distributor companies ??? won't that then mean jobs losses for those companies ?? are you even aware that all the major electrical brands have their own Australian based companies. are you aware that until the online software store, Harvey Norman bought all there product through australian channels ? perhaps you assume that the large retailers import direct themselves, and maybe that is where a lot of this misguided idea that the retailers are banking all the profit.

as i said, i am at a bit of a loss as to what you are arguing against ?

You should remember what I do from the free Provent???

I do employ people, and while I personally have no interest in making a profit, my employer think they need to...

As I have posted before, some companies I collaborate with (e.g. those who manufacture automotive filters) have commented on the "ridiculous" markups charged in Australia (I believe they were mainly referring to distributors).

I accept that overheads are often higher in Australia, however most of the reasons we are paying too much for many items are due to outdated cost structures, outdated warehousing practices, too many middle men, and greedy people like Gerry. You can be sure that he would be buying everything he can direct and not going through distributors.

If you go back to my first (?) post in this thread, I posted a quote from an Australian small automotive parts business owner who has adapted his cost structure to compete with internet sales (and indeed sells both online and through a shop front). He sells higher volume at a lower price, making more money overall.

seem to be going round in circles over the same arguments both ways.
i guess i need to agree to disagree.

i certainly don't like the model that small parts guy has presented, sounds too close to the Supercrap model. high turnover, low margin , gumbies selling product that don't even know the difference between acrylic and enamel. ( not saying he is the same, don't know the business, and perhaps he is a good parts interpreter, if so good luck to him )

although when i think about it, at least Supercrap are providing some jobs.

p.s. i think that package is still downstairs unopened. we are back home now and i am not going to use it so want me to ship it back or hand it on to the next person ?

There are so many reasons, good and bad for the reasons but it still find that we do get poor value here on auto parts. One example - need weather shields for my defender - I look in Australia and find prices ranging from $80.00 to $167.00 from eBay - that a lot of simple plastic bits. In the UK I can get a set for 25£ or roughly $40.00 and they will ship to me for another 10£..... Still a lot for plastic bits but little choice. Luckily a friend is visiting so he brings them for me. Now they arrive, albeit a month after the purchase but hey I saved over $120 over a comparable product sold here....but that is not the end of my tale. The end is a shock! On opening the parcel I see the sticker made in Australia! *Yes made by our own EGR and exported to the UK..... I'm hard pressed to find the good reason on this one.

Originally Posted by GEK064

There are so many reasons, good and bad for the reasons but it still find that we do get poor value here on auto parts. One example - need weather shields for my defender - I look in Australia and find prices ranging from $80.00 to $167.00 from eBay - that a lot of simple plastic bits. In the UK I can get a set for 25£ or roughly $40.00 and they will ship to me for another 10£..... Still a lot for plastic bits but little choice. Luckily a friend is visiting so he brings them for me. Now they arrive, albeit a month after the purchase but hey I saved over $120 over a comparable product sold here....but that is not the end of my tale. The end is a shock! On opening the parcel I see the sticker made in Australia! *Yes made by our own EGR and exported to the UK..... I'm hard pressed to find the good reason on this one.

The same goes for Australian Made Super-Pro bushes and also many Australian made ARB products.

However, as I posted elsewhere, I suppose when you buy Australian made products from OS, you help BOTH australian manufacturing AND the balance of trade. Rather than just lining the pockets of importers / wholesalers / retailers who aren't adding any value.

I would almost be willing to pay (slightly) higher local prices if there was at least a bit of customer service present...

When you order off-the-shelf items from 4 countries, one being Australia and two that are considered 3rd world and the Australian parcel (without fail) arrives at least 4 weeks after the last of the other three, you've got wonder why you bother. Especially if the post mark is only one week earlier than delivery!

I don't even get me started on the "You'll receive a confirmation e-mail shortly..." that never arrives!

PS - This rant does not reflect on any of the vendors on the forum who constantly remind us that there are people out there willing to provide good service!

hi guys im chasing parts for 81 RRC are there any businesses who stock LR & RR parts besides British Off-Road who i might say are a wee bit expensive any help will be greatly appreciated

Originally Posted by 81rangie

hi guys im chasing parts for 81 RRC are there any businesses who stock LR & RR parts besides British Off-Road who i might say are a wee bit expensive any help will be greatly appreciated

New or used? If new, then I use and recommend:

AUST:
Justinc on here (TAS)
All 4x4 spares (NSW)
FWD Motors (BNE)

UK:
Paddocks
LRSeries

Used: All recent used parts I have bought through the ads in the markets section here.