Price gouging or brand name mark up?

LewisM · #1 31-08-2015, 02:07 PM

I needed a set of pin punches and cold chisels for a restoration on an old item so went to Bunny's Whorehouse...errrr...Bunnings Warehouse.

They had the set I needed but sticker shock... $43!!!!! Stanley branded made in China. Yellow painted.

That was nauseating so thought I would go next door to Supercheap Auto.

SAME set only SCA branded and red painted.
Same plastic tray, same sizes. Everything same except name and paint colour. $26

Wonder who got my $$$$!!!!

Is this Bunnings gouging or horrible brand name mark up?

brian nordstrom (As avatar) · #2 31-08-2015, 03:08 PM

I had the same thing happen to me reciently as well Lewis , a small 3/8 drive socket set in a plastic holder , $49 in Bunnies and $21 in Super cheep , same set different colour .

Bumnnings are playing us for fools .

.

Brian.

AstralTraveller (David) · #3 31-08-2015, 03:15 PM

Same deal with lawn mowers and line trimmers. The local independent dealer got my money. They were cheaper even though the local store probably buys from the wholesaler by the dozen and bunnies buy by the hundreds or thousands.

"Where lowest prices is just a slogan!"

glend (Glen) · #4 31-08-2015, 03:33 PM

Ha ha, this is why Bunnings is smashing Masters in the market and returning good profits to its owners. Bunnings prides itself on guaranteeing the lowest price, so take a photo of the Supercheap one and show it to Bunnings - but you might have to establish its the same and not made out if recycled Coke cans. Sometimes we need to call them out on these things to keep them on their toes.

dreamstation (James) · #5 31-08-2015, 03:51 PM

I thought this was going to be a thread about Televue

LewisM · #6 31-08-2015, 03:51 PM

I have often wondered why Bunnies doesn't have security cameras (well many anyway) nor door chirpers. I reckon it is because they make such exorbitant profit they simply don't care.

LewisM · #7 31-08-2015, 03:52 PM

Quote:

Originally Posted by dreamstation

I thought this was going to be a thread about Televue

Or Takahashi

Atmos (Colin) · #8 31-08-2015, 04:21 PM

Quote:

Originally Posted by LewisM

Or Takahashi

I had my mind on Tak/TEC when I first saw it

I mean I could buy a couple of SW 150 Esprit triplets for the price of a TOA 150 and receive them months or years sooner

LewisM · #9 31-08-2015, 04:26 PM

Patience has its rewards....

rogerco (Roger) · #10 31-08-2015, 05:31 PM

I was looking for a small bench band saw a while back and was in Bunnings and saw two which looked alike (one Ryobi the other i can't remember). Opening the cover revealed they were the same. Same shape, size, casting numbers the lot, just different paint colour and brand stickers and a price difference $300 vs $400. I brought neither and went to a proper tool store.

Roger

Bassnut (Fred) · #11 31-08-2015, 05:36 PM

Ive seen this at Bunnings a few times. Even though they advertise they have the lowest price, you may only get a lowest price if you you present them with a lower one from another retailer, otherwise, other than volume advertised specials, Bunnings is often full RRP and far more expensive than anyone else. Harvey Norman operates like this too. For niche enginering supplies, I have often found my local Chain hardware store is cheaper (marked prices).

bugeater (Marty) · #12 31-08-2015, 09:48 PM

They also seem to get special bunnings specific product numbers on stuff, so you can't price match versus the few remaining other suppliers out there, even if it is effectively the same product.

I personally prefer Masters. A range of different stuff, plus you get the whole place to yourself

rally · #13 31-08-2015, 10:57 PM

I dont doubt that the markup is in Bunnings pocket, and I suspect the parts were probably the same.
. . but China is an artful copier of products, even their own !
Some manufacturers will go to great lengths to make a visually identical copy of a good quality item or an identifiable brand of product - with the exception of the quality.
Looks the same, feels the same, even some parts might be the same, but other parts are low quality castings, cheaper grades of steel or plastic, thinner wall thickness, poor quality electroplating, no undercoat, cheap paint jobs, almost non existent heat treatment etc

I suspect that Bunnings is the importer in many cases - they have bypassed the middleman - so they could sell it much cheaper if they wanted.
But why buy small items from them when you can get the same stuff/rubbish direct from China with free postage for 10-20% of the rrp price on the internet ?

multiweb (Marc) · #14 01-09-2015, 07:56 AM

Masters is Coles (westfarmers) , Bunnings, Mitre 10 ... all owned by Woolies now. Masters gives them a crack in the hardware building/reno side of things. Same mentality behind pricing. Sell cheap sh|t on volume until the local hardware shops are all dead then price premium for the same stuff. Bulldozer technique and aggressive marketing.

Terry B · #15 01-09-2015, 09:52 AM

Quote:

Originally Posted by multiweb

Masters is Coles (westfarmers) , Bunnings, Mitre 10 ... all owned by Woolies now. Masters gives them a crack in the hardware building/reno side of things. Same mentality behind pricing. Sell cheap sh|t on volume until the local hardware shops are all dead then price premium for the same stuff. Bulldozer technique and aggressive marketing.

Sorry but this is backwards. Westfarmers(Coles) owns Bunnings and Woolworths owns Masters and Home Timber and Hardware.

rogerg (Roger) · #16 01-09-2015, 09:55 AM

Quote:

Originally Posted by LewisM

SAME set only SCA branded and red painted.
Same plastic tray, same sizes. Everything same except name and paint colour. $26

I thought this was normal, that Bunnings is the expensive place

If I want cheaper I go to my local hardware, or anywhere else. Of course there are exceptions to every rule. It's just their clever marketing which makes them appear cheap.

Quote:

Originally Posted by multiweb

Masters is Coles (westfarmers) , Bunnings, Mitre 10 ... all owned by Woolies now...

Errr... I think you mean Masters is owned by Woolworths, Bunnings is owned by Westfarmers, as is Coles.

or maybe I didn't interpret the sarcasm

multiweb (Marc) · #17 01-09-2015, 10:09 AM

Seems I got them backwards indeed. Same result anyway. Woolies, Coles... Tomato Potato.

Meru (Michael) · #18 01-09-2015, 10:37 AM

Yup, sometimes bunnings can be really expensive for small items like this. Generally they are better at larger items but good you shopped around!

ZeroID (Brent) · #19 03-09-2015, 08:19 AM

Bunnings is the cheaper option over here normally. Market seems to be more competitive though with other players around. They've brought down the others prices somewhat over the years.

MarshMan (Adam) · #20 03-09-2015, 12:57 PM

Bunnings seem to have a good marketing strategy. It's interesting psychology. Great specials, and it gets you in the store, but, often other items are slightly more than, say Mitre 10 for example, but what the hell, while i'm in here, I may as well get that "other item"...... I will buy something I need knowing that I'm probably paying slightly more than somewhere else, but, the time, fuel, etc, etc.

They know this when they put together their marketing.

Its the same as going to a servo, you buy fuel, you need, say, milk or bread, i know its more expensive, but, its convenient.