How to get swindled - The UPS/Canada Customs way

Tom Bellemare said:
retailers bear a large portion of responsibility for all the hassle-including Festool

At the risk of sounding picky, Festool USA is not in the retail business. They are a manufacturer's subsidiary that sells directly to retailers, without the traditional middleman (wholesaler). The supply chain is shrinking.

Having dealt with International sales and shipping in the past, primarily to Europe and Canada, it is not as easy for the retailer as just changing the country on the shipping label if using USPS. There is extra paperwork and standing in line, etc. If you are buying from someone in the States that does all of that free, they are bending over backward for you. It is not an insignificant hassle. If they aren't making a profit and the total of the monetary exchange is below a certain threshold (i.e., a friendly exchange), it's slightly easier.

I read about this thing called NAFTA quite some time ago. I have yet to figure out what the "F" stands for that can be mentioned in polite company...

Tom

Tom, it was my quote so I'll respond. You misinterpreted what I was meant. I should have said "Canadian retailers and Festool" as I was referring to entities who set high prices for Canada relative to their US peers thereby encouraging Canadians to shop across the border and incurring UPS-related hassle. Festool set prices in Canada which are excessive given current exchange rates, and Canadian retailers from car companies to clothes companies do the same.

This is nothing to do with extra paperwork that US retailers have to complete in order to export to Canada which I believe is the point you were making.

Richard.
 
Cars are a good one, example Chrysler 300 SRT8, built in Canada, shipped to Detroit. US price $48000, Canadian price $55000.

Sux
Lambeater
 
When I was a kid, it was the same. A Chrysler built in Canada cost more there than in the 'States. Maybe the "Mounties" are skimming...

Tom
 
Tom Bellemare said:
When I was a kid, it was the same. A Chrysler built in Canada cost more there than in the 'States. Maybe the "Mounties" are skimming...

Tom

When you were a kid, the Canadian dollar was US$0.75. It has been around par for five years now.

I am sure this is one of those topics that non-Canadian foggers roll their eyes at, but to those of us up North, it really is a hot button issue.

 
Tom Bellemare said:
When I was a kid, it was the same. A Chrysler built in Canada cost more there than in the 'States. Maybe the "Mounties" are skimming...

You mean the Mountie's masters (aka our government) are skimming.  ::)
 
junk said:
Sorry Richard, when I was a kid our dollar was $1.25.

John

I was quoting the rate per 1 Canadian dollar. You are quoting per 1 us dollar.

Same result- different method.
:)
 
Be sure the company you are working with knows what UPS does with shipping Ground to Canada.  Read on their website how they ship and if you get get them to ship post that is great but may won't. if they won't make sure you prepay your HST and Duty. They have control in negotiating with the carrier to lower those costs. Also, here is a blog that can help.  Calculate UPS Brokerage Fees I found this on Google. Hopefully it is useful.
 
Hi strtrk,

Welcome to the FOG !  [smile]

Thanks for the info.

Seth
 
No Richard, what I was saying is with 1 Canadian dollar you would get 1.25 USD in exchange at the bank (in the mid to late sixties). I don't think that is what your saying and I'm gathering that I have a few years on you if you only remember the CDN being lower than USD ;).

John
 
junk said:
with 1 Canadian dollar you would get 1.25 USD in exchange at the bank (mid to late sixties).
Well, I'm 57 and I seem to remember the Canadian buck being worth more than $1.25 US. I'm betting there's a number of people here that have quite a few years on me and remember it worth quite a bit more.
 
Wow junk thanks for correcting me. I had no idea the Canadian dollar had ever been that strong.
Sadly it does appear as if you have a few years on me!
 
Richard Leon said:
junk said:
Sorry Richard, when I was a kid our dollar was $1.25.

John

I was quoting the rate per 1 Canadian dollar. You are quoting per 1 us dollar.

Same result- different method.
:)

I recall also $1.20 or so when I was a kid travelling with my parents thru the US in the early 70's.  No clue if there were disparities at that time with items sold in Canada versus the US though, I simply wasn't a consumer at that age, nor do I recall my parents - now deceased - making mention of such, but then, back then most folks in Canada bought US items because they simply weren't available in Canada versus being simply being more economical from what I recall.

It's now been a prolonged time that the CDA has been relatively at par with the Greenback (fiveyears or so now largely), yet there are still overly significant price discrepencies in some items that would suggest to me that some items are simply being non-adjusted downwards for the resons of either; they don't have to and are enjoying the extra profits - this would be especially true of US based retailers who operate also in Canada to lessen their overall downward incomes/profits due to the US consumer lacksaidisical market.  They may in fact change their pricing in Canada as they see fit with an improved US operations increase in sales over time; They are in a highly ridgidized market situation, such as the automotive industry, and can't simply drop prices in line with US prices without derailing their Canadian distribution systems/network, especially without a colusion being implemented with their competitors which in itself would be illegal; They truly have to have higher prices, such as companies with limited distribution facilities and services beyond the US border which create ancilliary costs in distributing to Canada from bases that are largely or solely in the US, as well as being subject to custom and duties (potentially) and additional transportation costs in shipping into to Canada as well as additional costs in maintaining support and service/warranty for the Canadian customers......Gee!  Sounds like the later might be why Festool has higher prices in Canada.

Despite that last scenario, I still think that Festool prices in Canada.......are still a little too high in relation to their prices in the US.  I can still see a justifiable premium, just not what it is right now.  I'm just glad we don't pay comparitively what they do in the UK.  What's that all about?
 
Kevin D. said:
Despite that last scenario, I still think that Festool prices in Canada.......are still a little too high in relation to their prices in the US.  I can still see a justifiable premium, just not what it is right now.  I'm just glad we don't pay comparitively what they do in the UK.  What's that all about?
Be really happy you aren't in Japan where the TS55 is only ¥98,000 or $1,270
 
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