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1 November, 2010

you can't believe retailers' new dirty tactic

Most Australians are happy that the Australian dollar (AUD) is pretty high recently, and almost on a par with Don's American dollar (1 AUD almost equal to 1 USD). What does that mean? Most Australians are taking the advantage and shop online instead of getting the same item locally. Many people realise that even adding all the internal postage and a few more days waiting for delivery, it is still much cheaper to get the goods offshore.

Despite the fact that retailers are getting cheaper imports, they are still not happy. They figured out a way to deter consumers from buying overseas... demanding law changing.

Just to list some of the benefits of getting goods from oversea: more choices, many goods (gadgets in particular) are simply NOT available in the small Australian market (How lucky Don is who lives in the United States of America), and best of all, can be quite a fair bit cheaper than getting the same item locally.

Currently, all Australian travel overseas (or shop online offshore) can enjoy AU$1000 duty-free (GST-free) threshold. Retailers want that abolished completely.

news source: Retailers call for GST on overseas sales (1 November 2010)

One news.com.au reader commented nicely:

Maybe we consumer can start hitting back and demand the govt to put a cap on product margin for Australian retailers, see how they like it.

Well said.

Speaking about GST (and duty), it reminds me that Mozilla Store were ripping Australian customers. The Mozilla Store was very happy to charge the non-applicable Duties and Taxes when the value of the item was clearly under the threshold. I documented the detail here.

Posted by Antony on 1 November 2010 11:31 AM |

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comments
Very interesting, but not being an unbridled consumer like certain people I know, it won't affect me.
However, I was shocked to my boot-straps this afternoon by the Australia Post's rip-off tactics!
I was sending a package to Japan which weighed 2.540Kg.
Now, because it was 40gms over the 2.5Kg threshold, they wanted to charge me an extra $A10.00!! I protested and said it was already well over the price I paid for a similar weight package just a few months ago. The kind Asian lady post person, re-weighed it manually and put 2.5Kg as its weight, charging me a whopping $A48.60! I used my Amex to pay and got full points on my Qantas F.F account!
Posted by Rev.Dr.Wu Yi on 1 November 2010 12:42 PM.
When the current global is not in their favour, they decided to call the Government to change the law to suit them. Such behaviour is extremely unethical.
$A48.60 for 2.5kg package to Japan? It is a lot! Did you send it via express?
Posted by Antony on 1 November 2010 8:18 PM.
No Antony, it was the "economy" Airmail rate. However because it is city to city by air, my friend normally gets it in 3-4 days, which is not to bad.
Posted by Rev.Dr.Wu Yi on 2 November 2010 9:33 AM.
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