Thread: A right royal rogering - Nightforce

Originally Posted by Bol Tackshin

You are probably right. From the little I know, military procurement is taught as a dark art at Hogwarts.

Government sales (eg. Police & military) are normally quoted direct from the manufacturer via the NZ agent, the goods are delivered direct from manufacturer to the Govt, and payment is made direct to the manufacturer via the local NZ Embassy. The NZ agent picks up a commission payment from the factory (usually about 15%) but never sees the goods. On a large procurement it is good coin for a bit of leg work. Normal commercial sale means buying stock and having a commercial premises, having reps on the road, etc. which is a lot more work and expense. That makes agencies struggle unless they have a broad range of quality products. I was lucky in that I was dealing with a largely captive market and could do most of my selling via targeted advertising, enhanced by attractive pricing. my shipments were usually 80% pre-sold before I got them. Having to go out and push a product costs money.

Originally Posted by vulcannz

I have worked extensively in the import business (not firearms, but tech), as both a retailer, a distributor and for a vendor (manufacturer). The cold hard truth is NZ sales amount to sweet fa of nothing. For most vendors operating in NZ is simply not worth it, and the NZ distees buy less than a typical single store in the USA. And that was in tech, not the firearms market where I suspect rules and regulations make it more difficult.

Same with outboard motors too by the sound of it...

Originally Posted by vulcannz

I have worked extensively in the import business (not firearms, but tech), as both a retailer, a distributor and for a vendor (manufacturer). The cold hard truth is NZ sales amount to sweet fa of nothing. For most vendors operating in NZ is simply not worth it, and the NZ distees buy less than a typical single store in the USA. And that was in tech, not the firearms market where I suspect rules and regulations make it more difficult.

This in a nutshell explains the 'parallel importing' arguments that happen in NZ. It's by far cheaper for a NZ company to go overseas, purchase a bulk lot of a product at retail discount in country 'A' who moves more than the entire NZ annual consumption in a few days (and who is also geographically close to the manufacturer/lead distributor) and then box it up and freight forward privately to NZ. Often they are getting a higher spec product than what is presented locally by the approved distributor and at a significant discount, which allows them the luxury of either selling at a significant discount and moving bulk product undercutting the official channel, or selling a higher rated product at a slightly lower price and making more off each item. The issue comes from the integrity of the parallel importer and how they handle warranty issues...

Originally Posted by No.3

The issue comes from the integrity of the parallel importer and how they handle warranty issues...

From what I have witnessed generally the parallel importers FLEE, then the disgruntled owner approaches the local distributor who usually ends up resolving the issue out of there own pocket to "protect the brand". Manufacturers usually provide equipment at cheaper wholesale, and local distributor assumes the labor cost of providing warrenty service IF required for the product they stocked.

My CZ 223 bought several years ago from a "reputable" Auckland dealer I worked out to be a grey import later on. They're still in business.

Originally Posted by No.3

This in a nutshell explains the 'parallel importing' arguments that happen in NZ. It's by far cheaper for a NZ company to go overseas, purchase a bulk lot of a product at retail discount in country 'A' who moves more than the entire NZ annual consumption in a few days (and who is also geographically close to the manufacturer/lead distributor) and then box it up and freight forward privately to NZ. Often they are getting a higher spec product than what is presented locally by the approved distributor and at a significant discount, which allows them the luxury of either selling at a significant discount and moving bulk product undercutting the official channel, or selling a higher rated product at a slightly lower price and making more off each item. The issue comes from the integrity of the parallel importer and how they handle warranty issues...

Some vendors load or discount (depending on how you view it) into regions. One I worked for loaded anything outside the USA with another 15%, which effectively encourages parallel importing. Some vendors discount the shit out of their product, like software in markets where piracy is rampant - if you look at the price of microsoft products in china it's absolutely insane (1/10th of the price here).

Originally Posted by No.3

This in a nutshell explains the 'parallel importing' arguments that happen in NZ. It's by far cheaper for a NZ company to go overseas, purchase a bulk lot of a product at retail discount in country 'A' who moves more than the entire NZ annual consumption in a few days (and who is also geographically close to the manufacturer/lead distributor) and then box it up and freight forward privately to NZ. Often they are getting a higher spec product than what is presented locally by the approved distributor and at a significant discount, which allows them the luxury of either selling at a significant discount and moving bulk product undercutting the official channel, or selling a higher rated product at a slightly lower price and making more off each item. The issue comes from the integrity of the parallel importer and how they handle warranty issues...

so to throw that one out..whats stopping NZ distributer from doing the same thing???

Where is Andy when you need him! He would say its all worth it!

Originally Posted by Gibo

Where is Andy when you need him! He would say its all worth it!

Cheap at twice the price!


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Originally Posted by Micky Duck

so to throw that one out..whats stopping NZ distributer from doing the same thing???

It's risky. Usually if it creates a problem for the genuine distributor they can rattle the legal cages, the vendors will usually shut the supply line down. Then if you have been parallel importing you might run into problems with warranty claims.

Basically the approved distributor will be likely violating their contract with the manufacturer if they parallel import outside of the approved supply line. They can do it, but it risks the contract...

Originally Posted by gundoc

Government sales (eg. Police & military) are normally quoted direct from the manufacturer via the NZ agent, the goods are delivered direct from manufacturer to the Govt, and payment is made direct to the manufacturer via the local NZ Embassy. The NZ agent picks up a commission payment from the factory (usually about 15%) but never sees the goods. On a large procurement it is good coin for a bit of leg work. Normal commercial sale means buying stock and having a commercial premises, having reps on the road, etc. which is a lot more work and expense. That makes agencies struggle unless they have a broad range of quality products. I was lucky in that I was dealing with a largely captive market and could do most of my selling via targeted advertising, enhanced by attractive pricing. my shipments were usually 80% pre-sold before I got them. Having to go out and push a product costs money.

@gundoc - Hmmm... I wonder whether we could register the forum as a militia and get some amazing deals on awesome kit...

Unfortunately it's a consequence of living in paradise.

It's the same across every product we import. Which is pretty much everything.

I'm okay with it. I like living in NZ, and I'm happy to pay more for the nice shit that I want as a consequence.

Hunting/shooting is never gonna be a 'cheap' hobby. If you want cheap, take up tiddlywinks.

Originally Posted by Proudkiwi

Unfortunately it's a consequence of living in paradise.

It's the same across every product we import. Which is pretty much everything.

I'm okay with it. I like living in NZ, and I'm happy to pay more for the nice shit that I want as a consequence.

Hunting/shooting is never gonna be a 'cheap' hobby. If you want cheap, take up tiddlywinks.

Have you seen the price of tiddlywinks chips lately???????????? (Obviously not...)

Originally Posted by vulcannz

It's risky. Usually if it creates a problem for the genuine distributor they can rattle the legal cages, the vendors will usually shut the supply line down. Then if you have been parallel importing you might run into problems with warranty claims.

you misinterpreted my meaning...whats to stop the genuine distributor from sourcing his products in the same parrallel importd way,eg go and get them from overseas...SURELY if he or she can show whoever they normally get them off..that it is entirely posible and feasible to do so,there is very good chance they can renegotiate the terms/price they are paying
not a lot diffrerent to the corner dairy owner buying trolley load of cocacola from paknsave when its on special and on selling in dairy..seen that done many many times over the years