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Is Wilson going to kill the retailers ?

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Created by jarvo > 9 months ago, 2 Dec 2010
Mr float
NSW, 3452 posts
2 Feb 2011 8:55PM
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Bigwavedave said...

The legislation is there. yes it is


Apple are walking a fine line. If retailers don't discount because they are asked not to, it's called collusion and there's hefty fines. It will only take one retailer to start the discounts. no it won't .they don't want to lose the ability to sell a popular and profitable product

When Allan Fells (sic) was in charge of ACCC he reamed many big companies for price fixing and collusion. yep and since he left its been business as usual

When a customer is big enough, no supplier will stop supply based on selling prices. Wesfarmers and Woolworths are the two hugest examples. No hardware supplier says no to Bunnings even if they are bastardising their brand by selling it at or below cost.
you got it

In the kiting industry, most shops stick to the wholesaler's RRP because thats the price they need to make a profit on. However, I mentioned the TPA because someone said the kite manufacturers need to control pricing.


Any kite shop can sell their product at whatever price they choose to. Look at the end of season specials. yep end of season not start

Funny how these threads always end up with kiters thinking the shops are ripping them off. Funny how kiters won't drop their wages to benefit their customers/bosses yet they expect the shops to throw away money just for one sale! And we try and screw the retailer for our once every two year purchase of a new kite !! yep

We are a unique insular community!! yep


ACCC only enforce it when they receive complaints. they will have a look but will only take it on if they think they can win (which isn't often)

I agree that anyone who thinks that shops are evil rip off merchants are deluded.there is plenty of worldwide competition that kite retailers have to deal with BWS is not the first to give retailers a run . .


Ryland
WA, 1222 posts
2 Feb 2011 9:13PM
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getfunky said...

harry potter said...

I am yet to see hoardes of BWS kites at my local ......




Try looking at water level. They take kn aaaaggeesss to relaunch so you are bound to see one floating past eventually.


i havent had a problem with relaunch!

Mr float
NSW, 3452 posts
3 Feb 2011 12:32AM
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Ryland said...

getfunky said...

harry potter said...

I am yet to see hoardes of BWS kites at my local ......




Try looking at water level. They take kn aaaaggeesss to relaunch so you are bound to see one floating past eventually.


i havent had a problem with relaunch!



wow. obviously not a problem with plenty of wind and when you can stand up

warwickl
NSW, 2357 posts
3 Feb 2011 7:46AM
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Fact most buyers want the feeling they have received an overall good deal and buy from retailers

Some buyers like to seek the best price and are prepared to sell items privately

Some are like voters they change their mind from time to time but most like convienience and good service

The second hand and new car industry has lasted this way for years and probably will for years to come. People trade cars at low prices and pay top $ for their next car

Check out this ACCC report on restrictive trading on distributors with both the Company and Directors fined. Sorry its a bit long but worth noting for buyers, distributors and others


Penalties totalling $1.36 million have been imposed by the Federal Court today concerning conduct by Navman Australia Pty Ltd * and its employees.

Navman is a supplier of marine, personal and in car navigational equipment and has dealership and retail arrangements across Australia. The Australian Competition and Consumer Commission had alleged that Navman and its employees had engaged in resale price maintenance.

A penalty of $1.25 million was imposed on Navman and penalties of $80 000 and $30 000 respectively were also imposed on Mr Christopher Baird, a former director of Navman and the former Australasian sales manager of Navman, Mr David King.

The penalty ordered by the court is one of the highest for resale price maintenance conduct and follows the record $3.4 million penalties against the Jurlique cosmetics companies in February this year, also for resale price maintenance

The orders were made with the consent of the parties.

Resale price maintenance is prohibited under section 48 of the Trade Practices Act 1974, and occurs where suppliers prevent or discourage retailers from discounting their prices.

In his judgment, Justice Jacobson said: "The details of the contraventions show that Navman's conduct was not merely deliberate. It was pursued in an aggressive and high-handed way by the company's most senior managers."

Navman admitted that in regard to its marine products, it sought to ensure that dealers did not sell below the benchmark which it used for the pricing of its marine products. Navman had actually cut off supply to some retailers.

In relation to its PCN products, Navman particularly sought to prevent discounting below specified prices by retailers via the internet.

"This is a case of deliberate systemic conduct occurring over several years," ACCC Chairman, Mr Graeme Samuel, said today. "The size of this penalty is indicative of the seriousness with which resale price maintenance is viewed by the Federal Court and the ACCC.

"Businesses must be free to sell their products at prices below suppliers' recommended retail prices.

"When buying items such as GPS and other electronic goods, consumers like to shop around (including over the internet) in order to get the best deal. This encourages businesses to compete on price and, by taking advantage of this competition, enables consumers to buy at lower prices.

"Price competition is fundamental to competitive markets and this behaviour does nothing but fetter this competitive process.

"This outcome should serve as a warning to other suppliers in this emerging GPS industry and to suppliers generally that if they attempt to impose a benchmark price, or stop resellers discounting their products, they run a significant risk of breaching the Trade Practices Act, and the penalty for that may be severe," Mr Samuel said.

warwickl
NSW, 2357 posts
3 Feb 2011 8:15AM
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The Navman case as my last post Issued: 21st December 2007
ACCC General inquiries
Infocentre 1300 302 502Release # MR 359/07

Saffer
VIC, 4501 posts
3 Feb 2011 9:37AM
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The fines are normally piss poor. If they fined companies and made it hurt, it might make a difference. I'd like to see companies lose everything they gained from the actions and then fines on top of it. I.e. if they get an extra $100 million, fine them $100 Million and then give them a 20-30% fine on top of that. That would make sure they get hurt and decide carefully before they do it again.

Surfer62
1357 posts
3 Feb 2011 6:45AM
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Two things are guaranteed;

(i) Tall poppy syndrome is alive and well &

(ii) There is no such thing as bad advertising

If anyone has a noisy kite that is bigger than stated and wont relaunch but definately drifts down the line in the surf, send it my way.

rfw1
NSW, 120 posts
3 Feb 2011 12:51PM
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I have had a 10m for 4 months now and had no problems at all re-launching deep water ..shallow water.. beach launch anyone who wants to try my 10m kite in newy area hit me up try for yourself no probs and yes I paid normal price for this kite so no kick-backs for this statement (added this for the kite cops out there)

getfunky
WA, 4485 posts
3 Feb 2011 11:43AM
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Mr float said...

Ryland said...

getfunky said...

harry potter said...

I am yet to see hoardes of BWS kites at my local ......




Try looking at water level. They take kn aaaaggeesss to relaunch so you are bound to see one floating past eventually.


i havent had a problem with relaunch!



wow. obviously not a problem with plenty of wind and when you can stand up





Even then it looked a tad reluctant. I'm not sure if Ryland is trying to differ from or re-enforce my point?

There was even a pimping post early on that showed extended logo time as the kite floundered and took it's sweeeet time to get up.

Hey, it's only one factor in deciding which kite is for you, but it's a biggy for me. I can't afford a new kite so want it up - pronto!

If you are happy with the kites/price/advertising/maximising BW's profit and cuttin out the local middle man etc etc - all good.

It's not Tall Poppy for me BTW - more a distaste of the cult of personality and outright pimping that has existed well before BWS perfected it.

Poida
WA, 1922 posts
3 Feb 2011 12:04PM
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Hey funky
Have you had a ride on the noise and experienced this or just seen a slow relaunch ?
I haven't had this problem, even in the current and light wind on the inside at triggs the noise seems to relaunch fine. It definitely helps if your not getting dragged along with the current with no wind. But that's the same for any kite.

gavo
WA, 127 posts
3 Feb 2011 1:09PM
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if anything relaunch could be a selling point for Noise kites! Ive had no probs at all, in fact I cant believe how quick Ive had my kite relaunch.

RayQ
WA, 636 posts
3 Feb 2011 2:02PM
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getfunky said...

harry potter said...

I am yet to see hoardes of BWS kites at my local ......




Try looking at water level. They take kn aaaaggeesss to relaunch so you are bound to see one floating past eventually.


You got to be F..n kidding, these are probably as easy to relaunch as the REVs were.


and what are all those smileys supposed to do to your postings, does that mean you not sure, just joking, or a bit worried your actually posting crap

BigBlock
53 posts
3 Feb 2011 2:36PM
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I have a rev, and can honestly say that it does relaunch well with a bit of wind still not as quick as the switchblades and other similar kites. but when the wind is lighter it is not as good as a lot of other kites you see like the delta kites.

bjw
QLD, 3687 posts
3 Feb 2011 5:43PM
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If anyone has probs launching a kite in 2010 the are just way too soft.

GalahOnTheBay
NSW, 4188 posts
3 Feb 2011 6:56PM
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bjw said...

If anyone has probs launching a kite in 2010 the are just way too soft.


or a 2010 kite in 2011...

bjw
QLD, 3687 posts
3 Feb 2011 9:07PM
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Im living in 2010. You should see my fashion.
It's like so last year.

sammyd
QLD, 101 posts
5 Feb 2011 7:46AM
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I dont have a problem with relaunching my Noise as the thing is so stable it never hits the water!!!!!
Or is it just my super kite flying skills????

dachopper
WA, 1802 posts
5 Feb 2011 2:56PM
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thats like saying cheaper cars are going to hurt the car industry..


Great wall car springs to mind

You pay for what you get in most cases.

Poida
WA, 1922 posts
5 Feb 2011 5:20PM
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dachopper said...


You pay for what you get in most cases.


I think thats a generalisation in a free market

normally you pay manufacture costs x 2 x 2
so if it is $400 to manufacture
then its $400 x 2 x 2 = $1,600 plus GST
this is just what I heard on the beach, so take that with a grain of salt

one of the bigger manufacturers brands can advise otherwise?

I'll let you know after two seasons if the noise is still running, seems ok so far after a few rinsings

Saffer
VIC, 4501 posts
5 Feb 2011 8:38PM
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Poida said...

dachopper said...


You pay for what you get in most cases.


I think thats a generalisation in a free market

normally you pay manufacture costs x 2 x 2
so if it is $400 to manufacture
then its $400 x 2 x 2 = $1,600 plus GST
this is just what I heard on the beach, so take that with a grain of salt

one of the bigger manufacturers can advise otherwise?

I'll let you know after two seasons if the noise is still running, seems ok so far after a few rinsings


Tend to agree that price sometimes has nothing to do with quality. Look at local brands that don't do nearly as well in Australia as imports. Similar cost to manufacture and similar construction yet there is an attraction to imported brands because people assume they are superior because they are imported. Chatted to Steve from Fluid and their kites are doing incredibly well overseas and not nearly as well in Aus (the opposite of what you'd expect given the support local attitude in Australia) which I'm guessing is partly to do with the "local" stigma. After a couple of season's of having Steve bug me to try them out and a baby knocking my kiting budget, I figured "What the heck" and tried them and surprise, surprise, they're exactly the same as their overseas "pay nearly double the price" counterparts. Bar may be more basic than something like a North but people are still happy to pay for imported pricing for basic bars on plenty of other imported brands.

The direct channel always makes a big difference to the pricing with someone like BWS, but also bare in mind that with the bigger brands you're paying pro riders to tour the world on the circuit, testing in exotic locations like mauritius, etc etc. I'm guessing that most kites are manufactured complete for around $500 and as mentioned, double that twice for importer and retailer margins so if you take one of those margins off, $1000 is quite feasible.

sebol
WA, 753 posts
5 Feb 2011 6:04PM
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I would relaunch my torch 2006 C kite just as easy under those conditions.

If you purposefully rest the kite on the edge of the window after waiting for the wave to get through,if you stand up so that your lines aren't in the water and the current is keeping them nice and tight(your body is not drifting downwind with the kite) does that actualy demonstrate the relaunching capacity???.

Don't know if it relaunches easily but that is prime bogus.

Crash the kite hard on the leading edge so it gets nicely wet, let it get washed over by a couple of little waves so it drifts full downwind of you (it always does when I crash mine in the surf) then show us the relaunch

Will await the vid impatiently

ps:I have nothing against the noise and I have seen plenty relaunch easily in the surf but that vid irritated me, it is like the army advertising the airforce by always showing footage of jet fighters

ok
NSW, 1089 posts
6 Feb 2011 12:16AM
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DOES ANYONE REALLY CARE THAT MUCH IF A KITE CAN RELAUNCH OR NOT?

OR IF ITS CHEAPER THEN THE REST?

PEOPLE WILL BUY WHAT THEY WANT NO MATTER OF WHAT THE PRICE OR THE LAW
NO NEED TO WRITE FOUR PAGES OF ADVERTISING FOR EFFIN BEER WINE SPIRITS MAKES ME SICK ENOUGH!

chadster
QLD, 136 posts
6 Feb 2011 7:40AM
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I got 2 Noise kites and they get off the water fine for me.

M apologies to OK for adding to this post but when people slag a product for no reason then got to have my say too.

This was on the vimeo bws site - full onshore conditions

dachopper
WA, 1802 posts
6 Feb 2011 6:21AM
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I think we are agreeing, and my quote was a generalization.

If you compare a water foil which has measurably no depower, poor upwind and costs $700 brand new - and the chicken loops keep braking, to most modern kites you get what you pay for.

most modern kites are in the 1400 - 1800 range.

Guys that are selling them for 2000 - 3000 are going through several other people who all have to pay taxes, import duty, stamp duty, and in the end the kite price has to pay for the store rental, insurance, employeees, the list goes on.

the 1400 - 1800 is the "good deal range" where less people are taking a slice of the pie

kites around 1000 brand new, in my experience - are missing bits !


either they are basic, basic , basic models that are actually cheap to make and you get what you pay for, or they are OK - but don't come with bar and line, or the pump is missing, or there is no bag included, or spares are extra, or there is 2 less struts so it's cheaper to make

let's face it - 1000 for a kite is relatively cheap, so is 1800 -

sleek1
VIC, 672 posts
6 Feb 2011 1:53PM
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he got the name right!! certainly making a noise on seabreeze.

troytam
QLD, 80 posts
6 Feb 2011 1:25PM
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Great product all round,,,, people will always knock someone shaking up anything that has been 'THE NORM' forevever ! Give it a go - who knows - YOU might actally like the gear..

puppetonastring
WA, 3619 posts
6 Feb 2011 12:28PM
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Lovely said...

BWS will sell well at that price.
The biggest kooks of this sport love cheap bridle kites like waroo, monkey, griffin etc

I remember Best were cheap then got expensive (and still have kooks riding them ha ha)
The moral of this story is get in quick before the price rockets.


couple of things
Waroos arent cheap - well not any more anyhow.
Monkeys are Griffins but bear very little in common with the early 'monkey' branded editions.

But you are defo right on the last point. I dont reckon the Noise will be cheaper once its made enough of it.
Clever marketing and a great way to build a bit of a bank roll to work forward on.
Anyone smart enough to rebuild and tweak the REV1 is destined to succeed. Best kite ever built.



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"Is Wilson going to kill the retailers ?" started by jarvo