Buying from USA, now easier than ever

[tlgerdes (Trevor)]

http://mobile.crn.com.au/Article.asp...7492&type=News

Australia Post has revealed ShopMate, what it calls "a convenient and secure delivery service for Australian online shoppers, enabling them to buy from US retailers who do not ship to Australia".

[julianh72 (Julian)]

It's not particularly cheap (A$24.95 per parcel, plus A$5.95 per 500g, in 500g increments https://shopmate.auspost.com.au/our-...shipping-rates ), and there are numerous cheaprer "drop shipping" companies if you're game, but I imagine a lot of people will feel more comfortable signing up with Australia Post than some unknown (to them) alternative. It's probably not competitive for small purchases (especially if you can find the item on eBay or similar with free or low-cost international shipping), but for items where there aren't any vendors who ship to Australia, it could be handy.

Add it to a free 24/7 Australia Post Parcel Locker http://auspost.com.au/parcels-mail/p...rcel-lockers-1 (if they have them in your area), and it's a pretty convenient way of shopping on-line, without having to wait around for the courier to knock at the door.

[Renato1 (Renato)]

Thanks for that. It's certainly good for those wanting to buy high priced items, though the postage is pretty high. Sony DSLR lenses come to mind, which used to cost around $5000 each here, but were under $2000 in the US.

Not sure why the article is going on about this service as though it is something new and encouraging grey imports - a search on Google shows many such companies offering the same service, and they've been around for years. I miss the old "Shop-The-States" which closed up in the mid 2000s. They used to charge US$5 an item and gave you the choice of high and low postage costs. I bought quite a few astronomy items through them before the prices dropped here.

If the store rejects Australian credit cards so that this company can't ship it, one can join other America address/shipping companies who, for a fee, will buy the item with their credit card and then charge your card.
Regards,
Renato

[julianh72 (Julian)]

Originally Posted by Renato1

Not sure why the article is going on about this service as though it is something new and encouraging grey imports - a search on Google shows many such companies offering the same service, and they've been around for years.

Typical "journalists" - very little attempt to actually understand what they're reporting on. Note that ShopMate won't handle "dangerous goods", which includes lithium-ion batteries and ink-jet cartridges, so this service probably won't be much help if you're trying to buy phones, tablets, notebook computers etc. (You MIGHT get away with it, but don't be surprised if your parcel is "held" in the USA, and then costs extra to ship to Australia.)

See the FAQ page https://shopmate.auspost.com.au/tips...sked-questions :

What goods can’t be sent to Australia using ShopMate?

Goods that cannot be sent via ShopMate include:

• food or perishable goods
• items requiring cold storage shipping
• dangerous or prohibited items as determined by the Australian Customs and Border Protection Service. These commonly include perfume, items containing lithium-ion batteries, ink cartridges and aerosols.

More information on dangerous and prohibited items is available on the Australia Post website.

If your item cannot be delivered for any of the above reasons, you will be notified that you have an ’Erroneous Package’ and provided with alternative delivery options.

[julianh72 (Julian)]

Originally Posted by Renato1

If the store rejects Australian credit cards so that this company can't ship it, one can join other America address/shipping companies who, for a fee, will buy the item with their credit card and then charge your card.
Regards,
Renato

The FAQ offers some suggestions if the vendor won't accept a credit card with an Australian address:

How do I order from a US merchant that does not accept Australian credit cards?

You should contact your bank or credit card provider to see if they can add your ShopMate address as a secondary billing address on your account.

Alternatively, you may wish to consider using an international travel card such as those provided by Australia Post. These foreign currency cards give you all the convenience of shopping in another currency with greater security.

https://shopmate.auspost.com.au/tips...sked-questions

[Renato1 (Renato)]

Originally Posted by julianh72

The FAQ offers some suggestions if the vendor won't accept a credit card with an Australian address:

How do I order from a US merchant that does not accept Australian credit cards?

You should contact your bank or credit card provider to see if they can add your ShopMate address as a secondary billing address on your account.

Alternatively, you may wish to consider using an international travel card such as those provided by Australia Post. These foreign currency cards give you all the convenience of shopping in another currency with greater security.

https://shopmate.auspost.com.au/tips...sked-questions

Thanks, that's an option I hadn't thought about because I avoid those international cards like the plague - rip-off exchange rates relative to the GE Money 28 Degree Mastercard (whose rates are those at www.xe.com , and without any international transaction fees and no annual fee).

But it may be cheaper getting one of them than paying the month's membership fee some of those shipping companies charge.
Regards,
Renato

[Stardrifter_WA]

Oddly, I never have any real trouble getting anything out of the US, or from anywhere else overseas. Some things I have to do a work around, but it isn't that hard. There are loopholes if your smart enough to look for them. And no, I ain't going to say what they are, as if everyone knows, then they will tighten up on those loopholes. I keep my mouth shut on that, as I would only shoot myself in the foot by telling. If you haven't already noticed, news travels fast via twitter and facebook. If you are in the know, keep it to yourself, otherwise you will be the loser. Some loopholes have been plugged though, but that takes time, so get in while you can, I say!

Yes, there are some products I am unable to get like Meade and Celestron telescopes, but I wouldn't ship one of them anyway. By the time you add freight, insurance, duties, taxes and the risks you take not having a warranty, it simply isn't worth it. However, I have no issues with obtaining accessories though. There are certain things I would never buy from overseas anyway, like anything that has sophisticated electronics, i.e. DSLR cameras.

I had to get smart, to find workarounds, since I made the decision to stop dealing with an Australian astro store. The only way I would deal with them again would be if I simply couldn't get what I want from elsewhere, but fortunately, nearly everything they have can be obtained elsewhere. It is a global marketplace now!

Of course, apart from the one business I refuse to deal with, I do look locally, to see if I can buy it locally, but there is a distinct lack of competition in Australia. So, it only leaves overseas businesses, of which OPT is the best.

Before you have howls of protest about not supporting local dealers, let me tell you a little story. I used to get nearly everything locally, as I strongly agree we should support local businesses. I even paid higher prices for items locally, especially when the dollar was low. An example of that is Tele Vue eyepieces. At one point I was buying Tele Vue Nagler eyepieces locally and when the dollar was at 75 cents. It didn't matter to me, if it cost more I would have to save a little longer. But, I bought locally and spent many many thousands with local astro stores (I still have all the receipts).

Now, I mostly deal with OPT, who give excellent service and actual values my custom. I placed a largish order with them in the past week and they gave me a discount for valued service. I didn't even ask for it, but get it as a valued customer.

If Australian companies showed a bit more respect for their customers they may not lose business to overseas companies. Giving good service is being respectful to your customers and delivering quickly, but, after all, that is what they are supposed to do; that is their job! However, giving excellent service goes well beyond just doing their job, it is treating the customer as a valued client, and that takes skill that is definitely lacking in Australian businesses. Times are good, so it doesn't matter that much, but those times they are a changin' folks, and that is when a lot of companies will fail.

Frankly, I do expect a high degree of service, after all, it is my money I am parting with and at my discretion who I give it too; and I will add, I actually don't mind paying more if I am getting that service, and I am truly valued as a customer. But, I refuse to pay more if only what they are only doing is their damn job! I should know, superior customer service is an art form, and those that don't practice it in the good times will not be able to maintain their customer base in the bad times. Accepting mediocre service perpetuates the problem. And, I might add, there are many Australia businesses (non astro) that I support, regardless of the fact I can get stuff cheaper overseas, as they respect my custom and I have a great relationship with them.

In regard to Australian credit cards not being accepted, I have also had that problem, so I have funds in a Australian travel account, based in US funds (for which I pay no fees) which gets around that small problem. And, oh, I nearly forgot, those few places that don't accept my card, I simply use Pay Pal, and one the one occasion that they didn't accept either, I did a wire transfer.

So, it seems to me that this new service is just doing what I already do, and charging for the privilege. It will be good for those that don't know how to work the system though.

Cheers Peter

[jenchris (Jennifer)]

My aister travels to usa 6 times a year and owns property in USA.
That gets round most problems.

[Renato1 (Renato)]

Originally Posted by Stardrifter_WA

I used to get nearly everything locally, as I strongly agree we should support local businesses. I even paid higher prices for items locally, especially when the dollar was low.

Cheers Peter

You must be a youngish chap. Back the early 90s, when our dollar was around US 80 cents, one would read US Sky and telescope and see nice Celestron and Meade eyepieces (pretty much the standard back then) and binoculars and other gadgets. And one would see their prices in US dollars.

So one pretty much knew what they'd cost over here - just multiply by 3.

Fortunately, one could use slow mail back then, send a letter to Wholesale Optics in Pennsylvania or Pocono Mountain Optics with one's credit card details, and a month or two later a parcel would show up in the mail.

I had zero interest in supporting local dealers back then. Really, it wasn't till Andrews undercut everybody by miles that prices got realistic down here.
Regards,
Renato

[Stardrifter_WA]

Originally Posted by Renato1

You must be a youngish chap. Back the early 90s, when our dollar was around US 80 cents, one would read US Sky and telescope and see nice Celestron and Meade eyepieces (pretty much the standard back then) and binoculars and other gadgets. And one would see their prices in US dollars.

So one pretty much knew what they'd cost over here - just multiply by 3.

Fortunately, one could use slow mail back then, send a letter to Wholesale Optics in Pennsylvania or Pocono Mountain Optics with one's credit card details, and a month or two later a parcel would show up in the mail.

I had zero interest in supporting local dealers back then. Really, it wasn't till Andrews undercut everybody by miles that prices got realistic down here.
Regards,
Renato

Hi Renato,

Wish I was a youngish chap. I know all about the 80's and telescopes, as I used to work in the industry then. Things have certainly changed since then. I started collecting Sky and Telescopes magazines from the early 80's, so know what you mean. Actually, I have just given them all away.

Cheers Peter

[Renato1 (Renato)]

Originally Posted by Stardrifter_WA

Hi Renato,

Wish I was a youngish chap. I know all about the 80's and telescopes, as I used to work in the industry then. Things have certainly changed since then. I started collecting Sky and Telescopes magazines from the early 80's, so know what you mean. Actually, I have just given them all away.

Cheers Peter

Hi Peter,
Thank heavens things have changed.

Oh - I just remembered that we actually got closer to US prices when Meade got rid of York Optical as their sole Australian distributor and just started selling direct to individuals Australia, with an Australia Desk and an individual at their company solely responsible for selling here. Prices tumbled.

Then cheaper Chinese imports came along which made things better. And it was then that Andrews undercut everyone even on those cheaper prices.

I really wonder how many more people would be into astronomy now if for two decades the hobby hadn't been so unaffordable in Australia relative to its cost in the US.
Regards,
Renato

[Stardrifter_WA]

Originally Posted by Renato1

Hi Peter,
Thank heavens things have changed.

Oh - I just remembered that we actually got closer to US prices when Meade got rid of York Optical as their sole Australian distributor and just started selling direct to individuals Australia, with an Australia Desk and an individual at their company solely responsible for selling here. Prices tumbled.

Then cheaper Chinese imports came along which made things better. And it was then that Andrews undercut everyone even on those cheaper prices.

I really wonder how many more people would be into astronomy now if for two decades the hobby hadn't been so unaffordable in Australia relative to its cost in the US.
Regards,
Renato

Hi Renato,

Unfortunately, it wasn't as simple as you suggest, but I cannot actual say why, due to certain confidentialities. Things are often more complicated than they appear on the surface.

When I worked in the industry I was selling Meade and the profit margin on them was extremely low, so low, in fact, I often wondered why we even bothered. Costs to do business in Australia are extremely high, but then, so is our standard of living. The Chinese have certainly changed the dynamics though, with very low cost overheads and production efficiencies.

A major advance is the increased quality that is now coming out of China, it is improving, but the price reflects that though. Chinese costs will go up over time, as the quality of the output increases; it is only natural. The old adage still applies, you get what you pay for. Having said that though, my Williams Optics FLT110 is an example of excellent quality vs price. It is a magnificent scope, and sure it ain't no Tak, but then, it was much cheaper.

When I was a kid, a very long time ago now, the words that were bandy about back then was "cheap Jap crap", and that changed over time. Now, Japanese is synonymous with quality, however, the cost reflects that too.

I think Laurie (LarryP) probably said it best, some time ago, that you can get 90% reasonably cheap, but the other 10% is much more expensive. (apologies to Laurie, if I got that wrong, as I am going by memory alone). I would never pay the price increase for such a small gain, as I am only a visual observer, so it becomes difficult to tell, with these old eyes.

We are indeed fortunate in this country to have a high standard of living, but with the global market place, we are currently taking advantage of that, by getting high wages and being able to buy at low prices overseas. It probably won't last. The dollar is heading south with some predictions it will go as low as 75 cents again. Fortunately, I am reaping the rewards, as I bought US currency when it was 96 cents, as I knew it would go down; well, I was gambling on it going down.

Cheers Peter

[GeoffW1 (Geoff)]

Originally Posted by Stardrifter_WA

Oddly, I never have any real trouble getting anything out of the US, or from anywhere else overseas. Some things I have to do a work around, but it isn't that hard. There are loopholes if your smart enough to look for them. And no, I ain't going to say what they are, as if everyone knows, then they will tighten up on those loopholes. I keep my mouth shut on that, as I would only shoot myself in the foot by telling. If you haven't already noticed, news travels fast via twitter and facebook. If you are in the know, keep it to yourself, otherwise you will be the loser. Some loopholes have been plugged though, but that takes time, so get in while you can, I say!

Cheers Peter

Hi Peter,

Just a observation on life, and wanting to keep it in perspective, but if you have worked out an especially good workaround that you wish to keep secret from all other IIS members, then, please do just that, keep it a secret would you?

It is not good form, I believe, to skite about it here, preen yourself, and then say "but I'm not going to tell you, nyah nyah". Why mention it at all in the first place?

Irritating.

[Stardrifter_WA]

Originally Posted by GeoffW1

Hi Peter,

Just a observation on life, and wanting to keep it in perspective, but if you have worked out an especially good workaround that you wish to keep secret from all other IIS members, then, please do just that, keep it a secret would you?

It is not good form, I believe, to skite about it here, preen yourself, and then say "but I'm not going to tell you, nyah nyah". Why mention it at all in the first place?

Irritating.

That is a fair point Geoff, and I accept your criticism.

However, I have heard others telling that they know about these workarounds, my point being that they should keep it to themselves, it is in their best interest to do so. Having looked at it this way, I discovered a workaround that worked really well until the company was made aware of their error and closed the loophole, and now won't ship to me.

Anyway my main point, which I obviously failed to convey, was that there are ways around it that the service in question is charging a premium for, so I was indicating that you should look for these and not just accept the status quo.

What I do get annoyed at is companies, like Celestron, telling me where I have to spend my money. It is particularly galling when the Australian distributor doesn't stock the particular item I want and can't even give an estimated delivery, that is, it was too small for them to bother with, at least, it seemed that way. That is the downside of not having an astro business (in this case, Sheldon and Hammond) as the Austrlian distributor. So, I should be able to go and get the item from someone who stocks it.

Okay, one thing I did mention that will be of use, is that I have a credit card in US funds and because I order on a US credit card, on which I have deposited funds onto, the orders mostly go through, but not always. I pay no fees for this card, however, the funds sitting in it are not earning interest, but with the falling dollar, I am far better off, as I can only get 4.5% in cash management, and since transfering the funds, I am about 8% better off, and gaining with the slide in the Aussie dollar.

As you made a valid point Geoff, I can tell you about one other way I get stuff through, as this isn't a loophole that I am exercising, so can't be shut down, but an extraordinary service that is being provided to me.

I have an excellent relationship with a US company (non-astro), and when I can't get a particular astro or other item, I get them to order it as a special item. However, sometimes they can't get it at a wholesale margin, so they just order it from a retail outlet and charge me a mark up, and send it to me along with my next order on that company, as I order regularly. Of course, I take full responsibility for this item, so there are risks involved, albeit minor. I only usually do this for items I actually can't buy in Australia. That is to say, I don't abuse the privilege extended to me. This is a great method for those hard to get items, but you would need to have a good relationship with a company to do this.

Oh, and I will point out another way I used early on, and that is having a PO Box service in the US, but I had a lot of issues with that and dropped that service, due to on-freight problems. If anyone knows of a reliable PO Box system in the US, I would like to hear about it.

Another common way, for large and expensive items is through freight forwarders, but that route can be quite expensive. For instance, if I was going to buy a Celestron or Meade SCT, I would buy it locally, as I get a warranty and don't have the expense and hassle of shipping it. Remember that you are also paying GST on the freight component as well.

So, is that now fair Geoff? As for skiting, that wasn't my intention, but then, I do see people doing it on here all the time, so don't see the fuss.

Other ways I won't divulge because I would be shooting myself in the foot. But, they are there if you actually look for them.

Cheers Peter

[GeoffW1 (Geoff)]

OK,

Accept all that. Anyone can go look as you suggest.

GeoffW1

[Renato1 (Renato)]

Originally Posted by Stardrifter_WA

Hi Renato,

Unfortunately, it wasn't as simple as you suggest, but I cannot actual say why, due to certain confidentialities. Things are often more complicated than they appear on the surface.

When I worked in the industry I was selling Meade and the profit margin on them was extremely low, so low, in fact, I often wondered why we even bothered. Costs to do business in Australia are extremely high, but then, so is our standard of living. The Chinese have certainly changed the dynamics though, with very low cost overheads and production efficiencies.


Cheers Peter

Hi Peter,
I just have a hard time swallowing the notion that if Meade dealers sold an eyepiece in the US at US$100, which at the time equated to A$125, dealers in Australia couldn't make any money selling that eyepiece here at A$300.

Yes, import duties may have been higher before the GST, but even if they'd been as high as 45%, that would have been applied to the wholesale price of US$50 or US$60. Then add transportion costs which should have been less than what I was paying for mail from the US, and there should have been an ultra healthy profit margin on each eyepiece sold.

In my opinion, either the local dealer was getting a super lousy deal from Meade (as was the Celestron dealer) or some odd accounting practice was in place for taxation purposes.

Well done with your foresight on the AUD- USD exchange rate!
Regards,
Renato

[Stardrifter_WA]

Originally Posted by Renato1

Hi Peter,
I just have a hard time swallowing the notion that if Meade dealers sold an eyepiece in the US at US$100, which at the time equated to A$125, dealers in Australia couldn't make any money selling that eyepiece here at A$300.

Yes, import duties may have been higher before the GST, but even if they'd been as high as 45%, that would have been applied to the wholesale price of US$50 or US$60. Then add transportion costs which should have been less than what I was paying for mail from the US, and there should have been an ultra healthy profit margin on each eyepiece sold.

In my opinion, either the local dealer was getting a super lousy deal from Meade (as was the Celestron dealer) or some odd accounting practice was in place for taxation purposes.

Well done with your foresight on the AUD- USD exchange rate!
Regards,
Renato

Hi Renato,

It is much more complicated than that.

To properly illustrate that, you would need to understand what a "break-even analysis" is, which includes fixed and variable costs. It isn't as simple as cost plus freight plus duties, of which there was a 30% duty back in those days, plus the tax on top of that.

To work it out you need to include all the inputs such as wages, penalty rates, holidays, rent, insurance, both normal and workers compensation, marketing, storage cost (including the cost of maintaining inventory), rates, water rates, electricity and other, not insignificant, costs for running the business. These input costs have to be paid somehow, otherwise you quickly go out of business. A lot of these costs are very high here, compared to the US, for example, so some of the disparity in costs in is reflected in this. Not to forget the exchange rates either.

It is actually costs a lot to run a business in Australia, and I haven't included all the Government compliant costs and other legal issues.

Then on top of all that is your profit margin, which is, in a lot of cases, not that big a percentage, and quite small in some cases.

You also have to taken into consideration that our market is small and we simply do not have the buying power or turnover, which also affects the disparity in costs. Volume trumps small qualities because of volume discounts, and it is cheaper to ship larger quantities too. Also, if you are turning things over quickly, you can make smaller margins, but hold stock for a lengthy period, before in moves, has a cost against that too.

So, you may now see that it isn't as simple as it seems.

Cheers Pete

[Stardrifter_WA]

Originally Posted by Renato1

Well done with your foresight on the AUD- USD exchange rate!
Regards,
Renato

Oh, and as far as buying US dollars, it wasn't foresight, but a gamble, which could have easily gone the other way. When I went to the US in May I just made the decision to buy more, as I guessed that the dollar is likely to drop.