Call me Bob wrote:
> On Sun, 14 May 2006 17:26:42 +0100, Simon Brooke
> <[email protected]> wrote:
>
>
>>> I want a B&M Toplight for my rear rack (4D Permanent model). I've
>>> just been checking online prices and I find that the lamp is 18
>>> euros in Germany, about 12 quid, but double that here in the UK at
>>> £24.
>
>> This is a Common Market. Buy from a supplier in Germany.
>
> This is the problem, it doesn't feel very "common" to me in this
> instance. That terms implies to me some kind of equality, a level
> playing field that seems absent here.
>
> I've emailed AMBA who import the B&M stuff into the UK and asked them
> how they account for the doubling of the price.
How about, at a guess....
In Germany, shop buys from B&M.
In UK, AMBA buy from B&M. Shop buys from AMBA. Both AMBA and shop need to
make a profit.
The online German supplier appears to be a discounter, so one should compare
with equivalents in the UK. One UK online source has the lamp at £21. So,
rough and ready guess at how the prices could be split up between different
places:
German shop = £10.30 +VAT at 16%
UK shop = 17.90 +VAT at 17.5%
Assume retail margin of 80% operated by discounting shops
German shop pays: 5.72
UK shop pays: 9.95
Difference = £4.20, which covers a 75% margin at the importer/distributor.
Probably enough to keep their business running.
The above is a guess, I've no inside information on the businesses above.
- Nigel
--
Nigel Cliffe,
Webmaster at
http://www.2mm.org.uk/