Inflation
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Unless its food (which I doubt) I wouldn't even consider purchasing then.
Can guarantee they never passed on the price reductions when the AUD was rising
Can guarantee they never passed on the price reductions when the AUD was rising
Unless its food (which I doubt) I wouldn't even consider purchasing then.
Can guarantee they never passed on the price reductions when the AUD was rising
I can actually say that's not true.
During the time that the aussie dollar was rising, we were also experiencing an almost equivalent increase in the buy price of most products - thanks to the rise of commodity prices, and the reform of labour laws in china, and the removal of export tax exemptions from China.
- commodities went thru the roof (some doubled!)
- labour laws in china increased the cost of labour significantly
- export tax rebates were removed from China, adding 13% accross the board on pretty much all china exports.
I work as a buyer for a large electronics retailler, and this was a problem for us. Each time we went to lower our price thanks to a better AUD, we would be hit with a price rise from our China suppliers due to any of the above reasons.
On top of that, in our business we have a fast moving product range - meaning we add a lot of new products all year-round. For the past year we have been adding products and pricing them based on our high exchange rate. Thus consumer goods have been getting CHEAPER, as we've been able to source and price them on a strong AUD.
Now with the fall of the AUD, we have absolutely no choice but to raise prices, and we already know our competitors are doing the same. This is particularly a problem for all these products that have been added to our range in the past 12 months.
25-30% rise at wholesale, and 10-15% rise at retail.
Trust me, you arent going to be able to avoid it. Some retaillers will hold off on price rises until after xmas... but come jan/feb, if we dont have a better AUD, then prices are going to go up!
That's just how it's gonna be for a while.
With the 40% drop in the AUD from it's highs, pretty much all imported products are going to go up by 30-40% or more.
All products from China/Asia trde based on the US dollar.
When the AUD became strong, competition in the market did force sellers to drop their selling prices from previous highs when the AUD was about $0.65-0.70 a few years ago.
With consumer goods prices rising high and fast, and a large amount of the population watching their dollars closely in the current climate, I can imagine there will be a big drop in retail markets.
With the 40% drop in the AUD from it's highs, pretty much all imported products are going to go up by 30-40% or more.
All products from China/Asia trde based on the US dollar.
When the AUD became strong, competition in the market did force sellers to drop their selling prices from previous highs when the AUD was about $0.65-0.70 a few years ago.
With consumer goods prices rising high and fast, and a large amount of the population watching their dollars closely in the current climate, I can imagine there will be a big drop in retail markets.
