price increase for 09 boards??

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latedropeddy
latedropeddy
VIC
417 posts
VIC, 417 posts
3 Jul 2008 7:41pm
I just had to purchase a whole heap of plastic for an injection moulding die trial for work- the price has gone up from $10/kg to $28/kg in 4 months. The plastic is made in Thailand, the supplier is saying it is due to the cost of crude going thru the roof.

does anyone know of what type of increases we will see for the 09 boards?
sflack
sflack
VIC
574 posts
VIC, 574 posts
3 Jul 2008 8:09pm
Apparantly the boys at SHQ were saying that again due to crude the prices of the new JP boards will be nearly 3K!

There goes my plans for buying a new board!
Jman
Jman
VIC
881 posts
VIC, 881 posts
3 Jul 2008 8:30pm
sflack said...

Apparantly the boys at SHQ were saying that again due to crude the prices of the new JP boards will be nearly 3K!

There goes my plans for buying a new board!


I think they were talking about the pro edition jp's being around 3000 so maybe the other ones will be still affordable just. Maybe nows the time to get a runout model.
stehsegler
stehsegler
WA
3571 posts
WA, 3571 posts
4 Jul 2008 7:03am
welcome to the world were everyone is increasing prices based on the oil argument.

what really makes me angry though is that Aussies now seem to have the highest cost of living in the world while being bombarded with with second rate products.

I have just spend the last 6 weeks traveling in Germany and the US. Well guess what, the cost of living based on earning a wage in the respective countries is is about 20 to 30 percent lower than it is here in OZ.

Windsurf gear in the US for example is at least 20% cheaper than it is in OZ. Sorry, but I just don't buy the higher crude = higher board prices argument.

I think what will ultimately happen is that windsurfing will kill itself simply by pricing itself out of the market. Don't see too many kids buying a $3000 board.


FormulaNova
FormulaNova
WA
15100 posts
WA, 15100 posts
4 Jul 2008 7:21am
stehsegler said...
[br
Windsurf gear in the US for example is at least 20% cheaper than it is in OZ. Sorry, but I just don't buy the higher crude = higher board prices argument.

I think what will ultimately happen is that windsurfing will kill itself simply by pricing itself out of the market. Don't see too many kids buying a $3000 board.



I think the US and Europe have the advantage of greater population density and having many more people windsurfing and therefore the prices are cheaper.

I wouldn't worry too much about board prices though. If the boards are too expensive then the cheaper brands will find they will sell more, and the distributors of the more expensive boards will have to discount to sell their boards.

Of course if everyone wants the expensive boards and are willing to pay for them, you can't blame the shops for trying to make a few dollars.

I would think that the second hand market would tend to keep the price of new stock down too. There isn't that much difference between boards each year, so why upgrade to a board that is only slightly better but three times the price?




choco
choco
SA
4181 posts
SA, 4181 posts
4 Jul 2008 9:23am
Oh well the secondhand market will boom
frant
frant
VIC
1230 posts
VIC, 1230 posts
4 Jul 2008 10:23am
choco said...

Oh well the secondhand market will boom


I reckon that with all my windsurfing kit I might just about have the secondhand market sewn up. Or does anyone else also have a whole load of kit???... maybe we should all get together to regulate supply!!!
NSW, 1613 posts
4 Jul 2008 10:44am
US markets prices will for sure be up in windsurfing kit this year by a big percentage and it's not just oil causing this.

At the moment they are running on pricing set when their dollar was much stronger. When new pricing for 09 kit is announced is when you'll see pricing closer to AUS, as not only is their dollar worth less than before but they are also being charged more by Cobra and a lot of other suppliers.
Gestalt
Gestalt
QLD
14953 posts
QLD, 14953 posts
4 Jul 2008 11:15am
you can add to that that steel just went up 30% as well.
Zabongi
Zabongi
NSW
40 posts
NSW, 40 posts
4 Jul 2008 11:43am
So does that mean if my board weighs 8kg, the cost of the materials will go up from $80 to $225? I always thought we were being ripped off a little.
stehsegler
stehsegler
WA
3571 posts
WA, 3571 posts
4 Jul 2008 1:42pm
WINDSURFnSNOW said...

US markets prices will for sure be up in windsurfing kit this year by a big percentage and it's not just oil causing this.


I am not so sure about this... back in the early 90's the US$ was pretty weak compared to all major European currencies as well as the US$. Yet boards in the US generally sold at 40% less in the US than they did in Europe.

I don't think market volume works in this case as the US has a very very small number of active windsurfers compared to most European markets. So what gives? Are OZ dealers being ripped off by the sailboard manufacturers? Or perhaps are we now seeing the drawback of a quasi monopoly for board manufacturing kicking in.

Probably the later being the case.

First it was the Colea/Meyer and Woolworths duopoly ripping off consumers.
Then it was Telstra and Optus having a field day.
I think Windsurfboards are just the next logical step...

On a positive note... custom made boards are now starting to become a cheaper option then buying a production board.

Just face it. Australian consumers are being f...ed over by corporate greet like there is no tomorrow.

BTW, I am not saying windsurf retailers are the rip off artists in this case. I think it's a combination of manufacturers and brands trying to make up for lost market share by increasing prices and blaming it on the oil price increase.
aus301
aus301
QLD
2039 posts
QLD, 2039 posts
4 Jul 2008 4:26pm
Just remember that it is definitely not the retailer that stands to profit out of any increased cost to the consumer, and no I don't work in retail, or anywhere in the industry for that matter.

Retail prices and margins are set by the manufacturer and wholesaler, and the retail margins are pretty poor as a % of overall price, It's far more lucrative for shops to sell clothes than windsurfing gear.

The Windsurfing Shed
The Windsurfing Shed
NSW
294 posts
NSW, 294 posts
4 Jul 2008 6:29pm
Unfortunately the raw materials for any windsurfing product are predominantly derivatives of crude oil. So it looks quite unlikely that production costs will come down.

As for the variation in prices across the globe, let's have a look at this very simple approach:

EXOCET Cross II 07/08:
- US market, RRP US$1450
- France, RRP €1399
- Oz, RRP AUS$1998

VAT (GST equivalent):
- US no VAT
- France 19.6%
- Oz 10.0$

Exchange rate (a year ago, at the time 08 prices were decided and being conservative):
- 1 AUS$ = 0.80 US$
- 1 AUS$ = 0.60 €

Comparative prices in AUS$ excluding VAT:
- US market, AUS$1813
- France, AUS$1950
- Oz, AUS$1816

All in all the Australian market is competitive with the rest of the market even where the market shares are high (Europe). This being said, this is only representative of that particular brand.

Cheers,
Remi
mineral1
mineral1
WA
4564 posts
WA, 4564 posts
4 Jul 2008 5:03pm
The Windsurfing Shed said...

Unfortunately the raw materials for any windsurfing product are predominantly derivatives of crude oil. So it looks quite unlikely that production costs will come down.

As for the variation in prices across the globe, let's have a look at this very simple approach:

EXOCET Cross II 07/08:
- US market, RRP US$1450
- France, RRP €1399
- Oz, RRP AUS$1998

VAT (GST equivalent):
- US no VAT
- France 19.6%
- Oz 10.0$

Exchange rate (a year ago, at the time 08 prices were decided and being conservative):
- 1 AUS$ = 0.80 US$
- 1 AUS$ = 0.60 €

Comparative prices in AUS$ excluding VAT:
- US market, AUS$1813
- France, AUS$1950
- Oz, AUS$1816

All in all the Australian market is competitive with the rest of the market even where the market shares are high (Europe). This being said, this is only representative of that particular brand.

Cheers,
Remi



Somebody actually had the guts to put his pricing up for scrutiny.
No idea on quality or performace of these boards, but its there for perusal
Well done
Mobydisc
Mobydisc
NSW
9029 posts
NSW, 9029 posts
4 Jul 2008 10:52pm
I reckon windsurfing gear is generally cheaper now than what it was ten or twenty years ago. Based on medium incomes the average board probably costs about one or two weeks earnings. The average sail is probably around a week or less of medium income.

Now we have a second hand market where second hand boards and sails over five years old are virtually worthless.
stehsegler
stehsegler
WA
3571 posts
WA, 3571 posts
6 Jul 2008 2:52pm
been thinking over this whole board price argument again and come to the conclusion that:

a) retailers always seem to be on the receiving end
they need to deal with consumers complaining about price increases and also need to deal with the consumer when something goes wrong with the products they bought

b) having a single company manufacturing the majority of windsurf boards sold worldwide can't be good for end consumer prices.

While I don't dispute that oil prices have gone up a lot, I am still suspicious that some companies play the oil price card to slip in a few extra % in margins. But then again, companies would never abuse their market power. Why would they?

FYI, the second rate product argument in an earlier post wasn't aimed at windsurf products.
P.C_simpson
P.C_simpson
WA
1492 posts
WA, 1492 posts
6 Jul 2008 3:26pm
well last year a lot of boards dropped in price, e.g mistral, fanatic, f2 from around $2,500 down to $2,150 mostly freeride boards and anything with carbon stayed around the $2,500 mark. this compared to a sputnik from the early 1990's at around $2,100 when they where new, so as i see it inflation has not realy increased the price of boards as the boards on the market today are built 100 times better than they where in the 90's and not realy that much more expensive. i work in the windsurf industry and find that people who are right into the sport don't mind paying this price for a board, i have noticed that the customers who do winge about the price are the ones driving into the car park in brand new $45,000 dollar cars, why not spend the money on something you love and something that makes life so much more enjoyable and you more healthy.
You could spend all your spare time at the pub buying $6 beers sliding $50 notes into a poker machine and i'm sure this bill at the end of the year would be much much higher, and so would your risk of a heart attack or liver damage, think i would rather risk sun burn..
Java
Java
VIC
14 posts
VIC, 14 posts
6 Jul 2008 6:16pm
I checked the new prices for jp twin fin 84ltr at shq $2700 and at neilpryde maui $1899 which is about $1970aus not a bad saving i know what i will be buying when i head over to the US later in the year
curac
curac
WA
1160 posts
WA, 1160 posts
6 Jul 2008 5:26pm
might be a great time for people to think about customs.
Rider5
Rider5
WA
567 posts
WA, 567 posts
6 Jul 2008 5:51pm
3 litres of resin, a sheet of pvc, a block of polystyrene and some plastic boxes would be the petro chemical parts per board, the manufacturing factory in Thailand would buy this in bulk, which I reckon would add up to easily less than $200 per board. So what percent has oil gone up ?
Maybe it's all in the transportation of the goods as that uses oil.

Hmm glossy brochures, web site upkeep, sponsored riders, warranties, marketing personel, packaging, R&D, mistress on the side, accountants, rent, directors lifestyle, more brochures and more sponsored riders...
WINDY MILLER
WINDY MILLER
WA
3183 posts
WA, 3183 posts
6 Jul 2008 6:39pm
what a rip.

3G for a board???? no thanks - stick to customs and get a board tailor made..

bj u might have to give up your 1 day a week job


p.s i've got 2 new (ish) boards for sale 1100 and 800....GET IN QUICK,,,unfortunatley due to the malaysion oil price index, prices will be going up very soon,

evlPanda
evlPanda
NSW
9207 posts
NSW, 9207 posts
7 Jul 2008 12:08am
curac said...

might be a great time for people to think about customs.


Yeah, customs'll charge you 10% GST, so you're saving about $800 smackaroos which is like a free flight to Maui... hmm.
sailpilot
sailpilot
QLD
787 posts
QLD, 787 posts
7 Jul 2008 9:59am
evlPanda said...

curac said...

might be a great time for people to think about customs.


Yeah, customs'll charge you 10% GST, so you're saving about $800 smackaroos which is like a free flight to Maui... hmm.


Are you buying $8000 board panda? gst on 3k = $300, your flight to maui just landed in Noumea
Pugwash
Pugwash
WA
7733 posts
WA, 7733 posts
7 Jul 2008 9:08am
sailpilot said...

evlPanda said...

curac said...

might be a great time for people to think about customs.


Yeah, customs'll charge you 10% GST, so you're saving about $800 smackaroos which is like a free flight to Maui... hmm.


Are you buying $8000 board panda? gst on 3k = $300, your flight to maui just landed in Noumea




~2000 (over there) + gst (on return) = ~2200. ~2200 is ~800 less than the ~3000 for a board here.

Is there some kind of rule about bringing back used sporting equipment vs brand new stuff
555
555
892 posts
555 555
892 posts
7 Jul 2008 10:54am
Pugwash said...
Is there some kind of rule about bringing back used sporting equipment vs brand new stuff


The secret (as shared by a French windsurfer I met) is to get your new board, wet the straps with salt water, chuck it in an oldish looking bag with a small handfull of sand.

New? Nope.. it's definitely been used - see.. the straps are still wet, and it's got sand on it.

Also, post any receipts to yourself rather than carrying them with the board. I've seen 'Border Patrol'.. even carrying too much documentation can get you in trouble getting into Australia!

DavMen
DavMen
NSW
1510 posts
NSW, 1510 posts
7 Jul 2008 2:26pm
The Fed's will probably lump a "Carbon Tax" on our equipment too, soon. Bunch of killjoys[}:)] finding new ways of increasing GST by stealth.
choco
choco
SA
4181 posts
SA, 4181 posts
7 Jul 2008 2:50pm
555 said...

Pugwash said...
Is there some kind of rule about bringing back used sporting equipment vs brand new stuff


The secret (as shared by a French windsurfer I met) is to get your new board, wet the straps with salt water, chuck it in an oldish looking bag with a small handfull of sand.

New? Nope.. it's definitely been used - see.. the straps are still wet, and it's got sand on it.

Also, post any receipts to yourself rather than carrying them with the board. I've seen 'Border Patrol'.. even carrying too much documentation can get you in trouble getting into Australia!




Good idea "but" if they see the sand then Quaranteen will step in.......get your credit card out!
graceman
graceman
WA
323 posts
WA, 323 posts
7 Jul 2008 6:01pm
Any boards using carbon will have gone up as carbon has been rare to find and expensive.
I have a mate who builds hockey sticks made of carbon and he was having terrible trouble sourcing and purchasing carbon.
He was told it was that Boeing was buying so much of it they caused the shortage and price rise.
I think the A380 has a lot of carbon in the wings and spars.

My 2c which is now 1.8c
Mark _australia
Mark _australia
WA
23647 posts
WA, 23647 posts
7 Jul 2008 6:12pm
555 said...

Pugwash said...
Is there some kind of rule about bringing back used sporting equipment vs brand new stuff


The secret (as shared by a French windsurfer I met) is to get your new board, wet the straps with salt water, chuck it in an oldish looking bag with a small handfull of sand.

New? Nope.. it's definitely been used - see.. the straps are still wet, and it's got sand on it.

Also, post any receipts to yourself rather than carrying them with the board. I've seen 'Border Patrol'.. even carrying too much documentation can get you in trouble getting into Australia!




Even better, take a busted up $100 board with you and leave it there, then bring your new one back. Luggage shows you left with a board and came back with a board (which had salty footstraps etc)

stehsegler
stehsegler
WA
3571 posts
WA, 3571 posts
8 Jul 2008 7:19am
graceman said...

Any boards using carbon will have gone up as carbon has been rare to find and expensive.
I have a mate who builds hockey sticks made of carbon and he was having terrible trouble sourcing and purchasing carbon.
He was told it was that Boeing was buying so much of it they caused the shortage and price rise.
I think the A380 has a lot of carbon in the wings and spars.

My 2c which is now 1.8c


oh no... not the carbon is more expensive because "Boeing and Airbus are buying it up" card as well.

Firstly, the carbon used in the aeronautical industry is of higher grade. Secondly, if what you are saying was true than prices for certain car models that use carbon should have gone up as well... guess what, they haven't. This is just another one of those myths.
FletcHuz
FletcHuz
VIC
300 posts
VIC, 300 posts
8 Jul 2008 12:20pm
Java said...

I checked the new prices for jp twin fin 84ltr at shq $2700 and at neilpryde maui $1899 which is about $1970aus not a bad saving i know what i will be buying when i head over to the US later in the year


Before you get too carried away I think you should check again and make a fair comparison.

The price you are quoting above from Neilpryde Maui is 2008 pricing and you're comparing that to 2009 pricing from SHQ. As has been mentioned above prices are going up in Australia due to increases in production costs (oil etc). Prices in the US will also be subject to this production cost increase as well as the impact of a weakening US dollar.

I've been in touch with Kevin from Neilpryde Maui and he confirms that $1899US is the 2008 price for pro edition boards and that 2009 pricing will not be released until 1st August but they are expected to increase by 20-30%.

So if you do the comparison again you'll see that Australian pricing is comparative to the US and if you can think beyond the short term of saving a dollar then you'll realise that supporting the local retailers will be much better for the sport, not to mention that getting a warranty on a board bought overseas will be near impossible!

Just to be clear:
2008 Pro Edition from Neil Pryde Maui = $1899US
Add 25% for increasing production costs and weakening dollar to get 2009 cost = $2374US
Add 10% for GST (they don't pay that in US but you will when you bring through customs) = $2611US
Convert into Aussie Dollars at 0.95 exchange rate = $2749AUD

Compare that to $2799 for 2009 pro edition from Australia and that leaves you with $50 to pay for postage and excess baggage (good luck). And you've got no guarantee that it'll get to Australia undamaged plus warranty claims and after sales service will be a nightmare - don't expect local retailers to support you if you've bought overseas.

that's my 2c worth - hope it helps!
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