Quote:
Originally Posted by cyvros
You're forgetting about GST, which brings that price difference down to about $17, going by Collins' launch pricing. Then there's all the usual additional about higher wages, the smaller market slightly affecting import costs and the almost certainty that it'll stay at RRP for about a month before Officeworks and JB start discounting.
All in all, far less of a price difference than, say, Kindle pricing.
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After I wrote that, I did think of the GST. But Collins (the distributor) is paying the GST on their cost, which will be somewhere in the 30% to 50% of the retail price (the Canadian price).
Import costs are relatively minor. Since the units are coming from Taiwan/China, it shouldn't cost that much more to ship to Australia, even if they are air freighted (the product doesn't weigh that much, and airfreight will be under $5/pound ($10/KG)).
The higher wages thing is a furphy. Collins doesn't have that many people dealing with the product (roughly equivalent to the people needed to handle pbooks). There is no real marketing in Australia.