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Old 02-28-2016, 07:48 AM   #91
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Re: Another price hike Really?


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Quote:
Originally Posted by my1stflight View Post
it is not fair and companies will keep doing it because they know people will pay the price. I do not shop there no more because of there pricing policies and shipping policies.
What's not fair??????? The retailer probably earns his money in CDN but pays for his product in US funds. As the cost of purchasing fluctuates the retail cost in CDN has to as well or he will not stay open long.

If you watch the market the cost in US dollars changes very little the purchasing power of your shekels however can and does fluctuate quite a bit against the US dollar. It doesn't mater where you make your purchases; your shekels will only get you so much value of the day so to speak.

With shipping, blame Canada Post or who ever the shipping company happens to be. Canada Post has implemented a gas surcharge on large packages. So now they charge you according to weight and size which ever is the greater then on top of that wanted to charge in my case an extra $25 gas surcharge for delivery.

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Old 02-28-2016, 01:07 PM   #92
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Re: Another price hike Really?

With large volumes of rotating stock sold online I don't know if it's feasible to track individual items and what was bought when? Any IT types want to weigh in on that?

Some smaller hobby shops just leave the sticker price on their goods, a price that was set when the inventory was purchased.

The other wild card is the banking system on both sides of the border and their exchange mechanism. My EAA membership fee was converted using $1US = $1.44C!!
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Old 02-29-2016, 01:56 AM   #93
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Re: Another price hike Really?

Quote:
Originally Posted by John M. View Post
With large volumes of rotating stock sold online I don't know if it's feasible to track individual items and what was bought when? Any IT types want to weigh in on that?

Some smaller hobby shops just leave the sticker price on their goods, a price that was set when the inventory was purchased.

The other wild card is the banking system on both sides of the border and their exchange mechanism. My EAA membership fee was converted using $1US = $1.44C!!
Very feasible to track. No problem.
I had some 1.48 conversions but things have changed a little.
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Old 02-29-2016, 11:02 AM   #94
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Re: Another price hike Really?

Quote:
Originally Posted by my1stflight View Post
it is not fair and companies will keep doing it because they know people will pay the price. I do not shop there no more because of there pricing policies and shipping policies.
This kind of comment really really bothers me. I run the LHS here in Halifax, so I know the business very well. And here is how it is.

EVERYTHING in the hobby world is purchased in USD. We are at the whim of the current exchange rate which, I'm sure you know is terrible. Hobby companies are very well known for putting prices up as well. Example, just last year (2015) Tamiya announced a 15% blanket increase in its products. Most of the manufacturers do this to some extent constantly.
Also, The major distributors/manufacturers are constantly slimming our margins. Like very substantially. It's very difficult to compete in the Canadian market.

As far as shipping goes, there is no control over that. If Canada post raises it's prices, then that's that. For example, it used to cost 8-10$ to mail a small package in NS. Now that same small packet costs MINIMUM 12$. And you know all those broker fees you get charged when you order something from the states? well guess what, so do we.

This hobby is expensive, plain and simple. It always has been. I have been in this business for quite literally my whole life. My dad has owned this shop since the late 70's and I will soon be in line to try and keep on the legacy of the oldest LHS in Canada. (70 years this Sept) I have seen changes like crazy. As a matter of fact, I came across some old pics of our shop in the early 80s. A 4ch futaba radio was in the neighborhood of 450$. So think about that the next time you price check. It's still tons lower than it ever was.

Anywho, end rant.
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Old 02-29-2016, 12:45 PM   #95
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Re: Another price hike Really?

Quote:
Originally Posted by greghatt View Post
This kind of comment really really bothers me. I run the LHS here in Halifax, so I know the business very well. And here is how it is.

EVERYTHING in the hobby world is purchased in USD. We are at the whim of the current exchange rate which, I'm sure you know is terrible. Hobby companies are very well known for putting prices up as well. Example, just last year (2015) Tamiya announced a 15% blanket increase in its products. Most of the manufacturers do this to some extent constantly.
Also, The major distributors/manufacturers are constantly slimming our margins. Like very substantially. It's very difficult to compete in the Canadian market.

As far as shipping goes, there is no control over that. If Canada post raises it's prices, then that's that. For example, it used to cost 8-10$ to mail a small package in NS. Now that same small packet costs MINIMUM 12$. And you know all those broker fees you get charged when you order something from the states? well guess what, so do we.

This hobby is expensive, plain and simple. It always has been. I have been in this business for quite literally my whole life. My dad has owned this shop since the late 70's and I will soon be in line to try and keep on the legacy of the oldest LHS in Canada. (70 years this Sept) I have seen changes like crazy. As a matter of fact, I came across some old pics of our shop in the early 80s. A 4ch futaba radio was in the neighborhood of 450$. So think about that the next time you price check. It's still tons lower than it ever was.

Anywho, end rant.
Hobby shops that have been in business for a long time know they have to keep acceptable margins and stock the stuff most asked for. Guys like me who build odd ball stuff know full well we may not find it at the local hobby shop so when we order it the owner may have to single source it and I will have to bear the brunt of the full cost of shipping. That is why for those one of purchases most hobby shop owners understand why we just might mail order on our own.

If the hobby shop is operating within a reasonable margin you are going to find that after all the shipping and taxes that the prices are competitive. If you not paying taxes at the border and picking it up from a local US hobby shop thus avoiding shipping costs there is no way the local hobby shop can compete. Then again your not comparing apples to apples.

I've been to quite a few suppliers in the US and many operate from Warehouses that have no traditional store front. Some only have an order desk where shop orders are filled and shipped. If you want something you have to know what it is there is no browsing. Someone goes down the rows of kits picks it out and brings it up. You get a bit of a discount but the supplier has to be careful he doesn't undermine his regular customers by low balling with over the counter sales. His advantage is the lack of overhead in not having to work from a traditional store front. Some I have visited are cottage industry even more basic operating from his garage or basement even less overhead.

It costs money to have a professional nice looking retail establishment with knowledgeable and patient staff where you can brows to your hearts content.

Dennis
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Old 02-29-2016, 01:34 PM   #96
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Re: Another price hike Really?

Sure, you can track what was purchased at a lower price quite easily, but how you would like to be the guy second in line buying the same thing and the guy in front of you is told $200, but you get to the till and that will be $275?
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Old 02-29-2016, 02:46 PM   #97
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Re: Another price hike Really?

Quote:
Originally Posted by HAL9KPCM View Post
Sure, you can track what was purchased at a lower price quite easily, but how you would like to be the guy second in line buying the same thing and the guy in front of you is told $200, but you get to the till and that will be $275?
Sounds a lot like "You snooze you lose" (?)
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Old 02-29-2016, 03:05 PM   #98
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Re: Another price hike Really?

Quote:
Originally Posted by HAL9KPCM View Post
Sure, you can track what was purchased at a lower price quite easily, but how you would like to be the guy second in line buying the same thing and the guy in front of you is told $200, but you get to the till and that will be $275?
In the case of my shop, it would be the lowest sticker price for both customers. Simple.
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Old 02-29-2016, 05:45 PM   #99
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Re: Another price hike Really?

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Originally Posted by greghatt View Post
In the case of my shop, it would be the lowest sticker price for both customers. Simple.
Might be fine for one or two items, but if you have stock going out all day long at a loss, it doesn't make a business very viable.

Sure, sounds simple until you start losing a lot of money. Reminds me of the sign I saw in a friends shop of the bum with the stick with the pouch of his belongings. "When I was in business, I gave everyone a deal".
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Last edited by HAL9KPCM; 02-29-2016 at 06:37 PM.
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Old 02-29-2016, 06:47 PM   #100
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Re: Another price hike Really?

Quote:
Originally Posted by HAL9KPCM View Post
Sure, you can track what was purchased at a lower price quite easily, but how you would like to be the guy second in line buying the same thing and the guy in front of you is told $200, but you get to the till and that will be $275?
The smart shop owner is aware of large price differences when he orders his product. Simple to hold the new stuff off the shelf for a few days after the old clears. When he replaces with the new stock the price reflects the increase he has to pay. One shop I know puts new Dubro stock behind the old that has the cheaper pricing. You pay the sticker price. Lucky you if get to clear out all the old stock at a slightly better price. He can afford to do this with small ticket items only. It shows he only increases prices when he has to pay more and he doesn't jack up the prices on old stock to make extra. He knows if he tried it with big ticket items the second customer would be up in arms about the sometimes large price increase. Ever think this may be why many shops wait until you want something to order it? You get it at the latest pricing.

This rapid price change happens in Canada all the time. Take for instance recently I purchased my new 2015 F250. Received a dealer incentive and employee pricing discount as well as being a Costco member discount. Over $11,000 off list price. 60 months 0% financing. The next week a friend went to the same dealership Employee pricing was over dealer incentive was $3700 and Costco was still $1000. The identical truck was over $6000 more with only regular financing, welcome to Canada economics 101.

Dennis

Last edited by Lazy Ace; 02-29-2016 at 06:59 PM.
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