Norman86 wrote:
Shipping doesnt get VAT added on?!
Of course it does. If you are the end user, you pay vat on everything.
On a related note, when i was quoted R12k on a Fender Blues Junior, a $700 amp, i almost died!
Try add on the other stuff mentioned above and see how different they are.
distributors also do not buy at american full retail, so that also negates that.
Distributors
distribute - they do not retail. They import the products and sell them to the local retailers. They are an added link in the chain, but an important one, because without them they would not be available here at all. They are in business to make a profit (if you invest millions and work hard, you'd also expect to get something in return) and have their own overheads (their staff also are fond of the concept of getting paid for their work ...for some reason). As mentioned by others above, the local distributors often pay more themselves than someone like Guitar Center will and still have to sell the products on to the retailer (who also surprisingly likes to make a bit of a profit). This is true of
any product being sold in
any country other than the country of manufacture.
the $700 amp would cost R4816 here.
Without shipping, without duties, without VAT, without processing fees, without bank fees, without disbursement fees, etc. Please read what has already been written above by myself and others.
I dont see myself buying one of those any time soon!
So put your money where your mouth is and buy one off a US retailer. Save a couple of hundred bucks. For me I'd rather not have to worry about backup and service or extra bits of gear to get my equipment to work properly and the chance of me (or someone else) blowing it up with a momentary absentmindedness or stupidity.
Graeme Parfett wrote:
I'd say that's pretty conservative. They hit me over R110 for the $530 order from tube depot.
Last time I got valves from KCA NOS they did the same to me. VAT + 7% duties on "electronic items". Miscategorised by SARS to be sure, but if I had refused to pay, the P.O. would have sent them back to SARS and I would have had to drive for four hours to go and argue my case and pick them up - not worth it. This is why every importer employs a clearing agent, who helps avoid that kind of situation (and an additional overhead).
Jack Flash Jr wrote:
To me it seems that the issue is that the SA retailer does not pay USD 357 shipping so how does the price inflate so much (even with a middle man). Is the "middleman" the only difference between Fender and Marshall? If so, how do Fender guitars get in with a more reasonable markup?
The middleman has many other overheads like any business and deserves to make a profit too. Simple economics from there.
Basically, it's our fault for living at the arse-end of the world as far as delivery routes go. You want US prices for US products, you have to live in the US.
