valvedog Posted June 1, 2021 Share Posted June 1, 2021 I am looking to downsize my home so was looking for smaller speakers and am interested in the JBL L100. These have had good reviews in Stereonet 2019 and more recently in Tannhäuser Gate. Then the pricing caught my eye. The retail price in the US is $4000 AUD $5700 AUD $A570 GST AUD $A? for transport. Remember the US RETAIL price already includes transport from Indonesia (where they are made) Surely that cost would also be in that converted Australian price? So total so far is $A6270 let's round up to $A6500 BUT in Australia the RRP is AUD $8499!! Remember this AUD$2000 markup is on the retail not the wholesale price! WTF - the more things change the more they stay the same! Link to comment Share on other sites More sharing options...
audiofeline Posted June 1, 2021 Share Posted June 1, 2021 (edited) It's very frustrating observing these price differences, and easy to feel that we are being ripped-off along the way. The difference between Australian retail and overseas prices for audio gear is something that is periodically discussed on SNA. Below is a link to a recent thread, and several posts on the first page includes links to some other threads with similar content. Some posters in these discussions are or have been Australian audio retails who share their experience/knowledge. I've become aware that the reasons for the pricing differences are more complex than it initially appears. Edited June 1, 2021 by audiofeline 1 Link to comment Share on other sites More sharing options...
rantan Posted June 1, 2021 Share Posted June 1, 2021 This "Australian pricing" topic has been discussed ad nauseam and at times, comments have been made in a context where the poster may have honest intent,but may not understand the realities of doing business in the audio trade in Australia. Suffice to say that it is far,far more than just the exchange rate and shipping. 7 Link to comment Share on other sites More sharing options...
graham121 Posted June 1, 2021 Share Posted June 1, 2021 9 hours ago, rantan said: This "Australian pricing" topic has been discussed ad nauseam and at times, comments have been made in a context where the poster may have honest intent,but may not understand the realities of doing business in the audio trade in Australia. Suffice to say that it is far,far more than just the exchange rate and shipping. Indeed, and never mind the fact that the wholesale buy price often varies from country to country so all bets are off when it comes to trying to base things just on exchange rates shipping and taxes. Link to comment Share on other sites More sharing options...
Kaynin Posted June 1, 2021 Share Posted June 1, 2021 (edited) 10 hours ago, rantan said: This "Australian pricing" topic has been discussed ad nauseam and at times, comments have been made in a context where the poster may have honest intent,but may not understand the realities of doing business in the audio trade in Australia. Suffice to say that it is far,far more than just the exchange rate and shipping. Yeah, once every few weeks it seems Anyway, I look at it like this. I'm either happy to pay the price for the item, or I'm not. Who cares what someone else pays, good luck to them if they save money. At the end of the day, if they're not paying what I'm paying, then they're not living in Australia...poor buggers. It's either good value to you, or it ain't. Edited June 1, 2021 by Kaynin 4 Link to comment Share on other sites More sharing options...
valvedog Posted June 1, 2021 Author Share Posted June 1, 2021 I know it's more complicated but still hard to get your head around the fact that it costs more than $6000 to sell a $2000 product! 1 Link to comment Share on other sites More sharing options...
Volunteer sir sanders zingmore Posted June 1, 2021 Volunteer Share Posted June 1, 2021 22 hours ago, valvedog said: I am looking to downsize my home so was looking for smaller speakers and am interested in the JBL L100. These have had good reviews in Stereonet 2019 and more recently in Tannhäuser Gate. Then the pricing caught my eye. The retail price in the US is $4000 The US price might be quoted without state tax. Not sure on this as their taxes vary from state to state. 22 hours ago, valvedog said: AUD $5700 AUD $A570 GST AUD $A? for transport. Remember the US RETAIL price already includes transport from Indonesia (where they are made) Surely that cost would also be in that converted Australian price? there will also be duty which is paid on the item’s price + the cost of shipping. and regarding shipping, I imagine shipping costs from Indonesia to the USA would be cheaper because JBL has a significantly bigger market there and would be able to reduce the cost per unit. 22 hours ago, valvedog said: So total so far is $A6270 let's round up to $A6500 BUT in Australia the RRP is AUD $8499!! Remember this AUD$2000 markup is on the retail not the wholesale price! WTF - the more things change the more they stay the same! Not a huge difference but I’ve seen them for $8k and if you walk into a bricks and mortar store you will almost always be able to negotiate a discount. Even if you only get 10% off you’re at around $7,200 True, you’ll still probably pay more but I reckon a decent chunk of your $2k price difference goes away pretty quickly and you get local warranty and support. Link to comment Share on other sites More sharing options...
andrewinbriz Posted June 2, 2021 Share Posted June 2, 2021 Wasn't gas from Australia shipped all the way to Japan and South Korea for less than half the price than what Australian consumers paid? I believe even the ACCC mentioned price gouging. Wasn't there a Senate inquiry into pricing in Australia, eg where Apple couldn't explain why songs downloaded here were much dearer than elsewhere? A download, no storefronts or local customer service staff there. There may well be reasons that justify such things. Or there may not be. Link to comment Share on other sites More sharing options...
was_a Posted June 2, 2021 Share Posted June 2, 2021 (edited) Yes, there are other factors at play than currency rate, GST and a bit of shipping... A local warranty is nicer than having to send back a faulty item to far-flung destinations... But there IS often a substantial mark-up for locally bought products that allows the distributor to make a profit. How much of a markup depends on manufacturer and distributor. Sometimes we have the advantage: Chinese products in Europe are ridiculously expensive compared to Australia. But on the whole we do get stung. There are some local distributors who really try to keep prices down and they will always be in the front page of my blackbook... If I was a manufacturer promoting my brand to overseas customers, I would ensure that prices were competitive and perhaps make a little less profit in doing so. Edited June 2, 2021 by was_a Link to comment Share on other sites More sharing options...
DJGopal Posted June 2, 2021 Share Posted June 2, 2021 Just be grateful you don't have to pay NZ pricing. You don't know how lucky you are... 1 1 Link to comment Share on other sites More sharing options...
FR DRew Posted June 2, 2021 Share Posted June 2, 2021 I remember the discrepancy with Mission 753 speakers back in the mid 90's and the gouge was truly breathtaking at that point. We are a small market, a long way from the US or UK. Shop rents are high, freight costs are high, staff wages are high... Supply demand... But in Australia, yes, we expect that we will bleed for our hifi purchases. That said, look at any second hand hifi stuff listed on ebay coming from Japan. Seems to be double if not triple what everyone else is selling things for... 1 Link to comment Share on other sites More sharing options...
Hydrology Posted June 2, 2021 Share Posted June 2, 2021 (edited) Yes @rantan these threads are tiresome. To the OP, JBL represent themselves in America (i.e, there is no middle-man wholesaler bringing the product into the country and selling to retailers). So by definition, with less mouths to feed, the price will always be "better". It works both ways - take the Krix MX-10 speaker system. AUD$10K here, but TEN THOUSAND POUNDS in the UK. You work out why that may be. Edited June 2, 2021 by Hydrology 1 Link to comment Share on other sites More sharing options...
audiofeline Posted June 2, 2021 Share Posted June 2, 2021 11 minutes ago, Hydrology said: Yes @rantan these threads are tiresome... In fairness to the OP, he(/she?) is new to SNA and would not have seen the other threads on this topic that are familiar to longer-term members. 2 Link to comment Share on other sites More sharing options...
valvedog Posted June 2, 2021 Author Share Posted June 2, 2021 OK, sorry I mentioned it - only did a perfunctory search and will not comment further - but if it does cost $6000 to sell a $2000 product but the end result is "no sale" who wins? Link to comment Share on other sites More sharing options...
Hydrology Posted June 2, 2021 Share Posted June 2, 2021 5 minutes ago, audiofeline said: In fairness to the OP, he(/she?) is new to SNA and would not have seen the other threads on this topic that are familiar to longer-term members. Thats what the search function is for. Link to comment Share on other sites More sharing options...
Hydrology Posted June 2, 2021 Share Posted June 2, 2021 1 minute ago, valvedog said: OK, sorry I mentioned it - only did a perfunctory search and will not comment further - but if it does cost $6000 to sell a $2000 product but the end result is "no sale" who wins? No need to be sorry, but how do you expect it to work otherwise? Are distributors expected to commit to product for the good of the planet and make no money but incur all the costs, headaches and responsibility associated with being in business? It's simple - if you're unhappy with the cost, dont spend the money. That is your right to do so. Link to comment Share on other sites More sharing options...
Volunteer sir sanders zingmore Posted June 2, 2021 Volunteer Share Posted June 2, 2021 18 minutes ago, valvedog said: OK, sorry I mentioned it - only did a perfunctory search and will not comment further - but if it does cost $6000 to sell a $2000 product but the end result is "no sale" who wins? I’m trying to understand this. Why does it cost $6k to sell a $2k product? Link to comment Share on other sites More sharing options...
Recommended Posts