Why are Australian prices so much higher even provisions for exchange rates?
 

Is there some particular reason that Australian and NZ consumers seem to be getting screwed on price compared to our American friends? Is is simply the market size that is causing this? Based on and exhange rate of US75c, I'd not be expecting the price to be much more than $40k. Or I'm just missing something really basic!

I mean, most people here obviously bought one, so we think it's worth it, but the difference is big...

We're getting ripped off. Dave, chime in here at any time....... ;)

1. Within any brand sold in numbers in Australia, the importer/distributor has an effective monopoly, because our import laws do not permit so-called parallel or grey imports (legalised anti-competitive market)

2. The importer/distributor then looks at the market in terms of alternatives, and establishes a price point based on what the market will bear (common sense...at the heart of the capitalist system)

3. Personally, I blame Nissan's original pricing of the 350Z, which I reckon set the bar for the 8 :(

Not sure if its the same with Cars, but we also dont get the benefits of large volume discounts that the larger markets do.

Andrew

I'd also be interested to compare the taxes and duties slugged to the consumer between the USA and Australia/NZ.

But Timbo's got it essentially right - the price is always the highest the market will bear. Look what happened to the price of the Holden Adventra V8 when everybody ignored it and went out and bought a Territory instead.

If it were 40K I don't think there'd be anything great about the RX8.

It'd be all over the roads, although thats great, it'll be sickening to see so many.

And the Adventra's just another bloody commo, whereas the Territory is a whole new car.

I think.

Agreed, but it didn't stop Holden trying to charge 60k for the thing when they thought they had something 'niche' to flog.

supply & demand. The north american market is more than 10 times the size of ours. My canadian wife is always horrified at the prices we pay for stuff here in Australia, but so saying that, food is slightly cheaper and of a much higher quality (ie meat veggies etc) Computer equipment is also roughly the same price as well.

I think aust recently passed the 1million new cars sold in a year mark.... not bad for a population of 26million or thereabouts, now compare it with 270million? north americans who mostly earn the same amount as us, and who are getting taxed less... More choices, more mass markets and therefore competition that bring prices down.

fyi, the entire aust/nz book publishing market is just a little more than the greater new york area.....

If they've got so much money and choice...how come they still buy oversized, under-engineered, poorly made heaps of shit by the million? Or is that being provocative? ;)

Also, most American prices quoted do not include the local sales tax and other taxes possibly associated with the purchase. Australia has an import duty and possibly other taxes/charges paid by the importer (Mazda) and this will obviously get passed on to the consumer.

'cos they're cheap as...

No offense to our northern friends but do you hear how they complain they paid 30k for an 8? Imagine what the cost of one of those lumps of ugly steel on rubber costs on average.

It's also a state of mind. compare the styling differences between Japanese, American, French, and Italian cars. Says a lot about how people perceive the world they live in. But I digress, i'm a computer geek, not a sociologist. <- or however you speel that word. :o

Mazda charges an arm and a leg.

A bloody nut for the seat rail (the left front one) cost $1.50 :eek:

[QUOTE=Revolver]I'd also be interested to compare the taxes and duties slugged to the consumer between the USA and Australia/NZ.

I'm not a 100% certain about this but i think in NZ taxes are higher on new cars up to a certain $$$ value and also there appears to be no limit on bringing in grey imports. Therefore they sell more grey imports than new cars. Toyota NZ even offer factory warranty on imports sold through their dealership network. I've been told that in Aust. there are approx 550 different models of cars available excl different year models, whilst in NZ that figure is more than double - and there are certainly some unusual cars available!

Cheers Rick. :)

I understand Aus reduced some of its import duties and Mazda dropped prices on some models accordingly - this ring any bells with you guys?

Yes, there was a 5% cut in the general tariff, with effect from 1 January, IIRC. Mazda and many other importers started pre-emptive discounts around September 04, to avoid a last quarter drought

Ahh, that's what I was thinking of. Thanks Timbo. :)

Which makes it even better for a population of 20 Million :D Bureau of Statistics

Plus we also have the ridiculous Luxury Car tax which adds ... $5-10K

Andrew

LCT only applies to the Leather Pack. Another reason I bought the lighter weight cloth pack. Not only did you leather packs pay for extra weight you also contributed more to the government coffers than you should have :p

Ahh, yet another disgruntled pov pack owner attempting to rationalise his penny pinching ways... ;) :p :D :D

Thanks gentlemen and ladies. Good cross section of answers (reasons?). My read on it all is that really Mazda are charging what they are because they can, which is reasonable enough for them I guess in a free market economy. I sort of agree with the comment about not wanting too many on the road (but not sure I agree with the principle of that desire being worth $20k of my money!)

Wrt the comments on pov packs v leather packs, from a personal perspective, I think the leather (black or red/black) looks great on the 8, and the power driver seat adjustment is good. But the extra stereo, xenon headlights etc don't seem all that useful. A lot, not only for $6k, but also to push the 8 into luxury car tax territory!

IMHO of course

;)

The xenon headlights are the only extra of the Leather Pack I'd stump up extra reddies for. If you've got a spare set, let me know.

Oh come on guys!! what about the alloy pedals!!! :p ;) :D :D

Seriously, I agree about the xenons - fantastic. I also love the leather when one of my little darlings spills stuff.

Oh yeah, I forgot about the pedals! They are very cool.

I just read a comment in another post many moons ago that the xenon headlights are good, only if you do lots of night driving. So in general, people are pretty impressed with them? I've not driven with them in any car before...

I test drove both models at night and the difference is chalk and cheese (especially on unlit roads of course).