Why lhs charges so much for lipos?

[SlowIsFast]

I can get lipos a lot cheaper from a online store ni Hongkong. :D I want to support my lhs but
they just charge too much. :shock: Why?

[RFick73]

What do you consider as "Too Much?"

I also prefer to support my LHS. And I have as much as possible so far.

Don;t get me wrong, sometimes you do need to go to other sources. (Eg: other local stores & on-line)

Next time your in the shop, talk to Joeseph, or call him up.
I'm sure he'll setcha straight on why some LiPo brands are more expensive then others.

I believe in most of these cases, it's not all mark-up.
Your actually paying for the quality! :o

[npWave]

Lately many people have asked the same question. I will provide you the facts and let you be the judge.

LiPo cost charged by the factory = 100% (e.g. USD100.00)
Bank charges for wiring payment to factory = 3% (USD3.00)
Currency exchange premium charged by bank = 2.5% (USD2.50)
Export services fees = 3% (USD3.00)
Transit cost from factory to airport = 2% (USD2.00)
Freight (EMS/UPS) cost = 20% (USD20.00)
Canadian import duty = 7% (USD7.00)
Canadian custom brokerage fees = 2% (USD2.00)

Just to land the batteries at the door of the importer, the USD100.00 cost has ballooned to USD139.50. Let’s say the exchange rate is 1.10 then the landed cost will be C$153.45

Importer profit est. = 7% (wholesale price =C$165.00)
Shipping cost to LHS = 3% (C$4.95)

Landed cost at LHS’s door = C$169.95

LHS profit est. = 16% (retail price=C$202.32)
Credit card fees on product price+GST+PST = 4% (C$8.10)

As a LHS customer, you pay
LiPo 210.42 (202.32+8.10)
GST 10.52
PST(BC)14.73

Total = C$235.67

To order the SAME LiPo battery pack from the Hong Kong online store, you pay

LiPo price USD113.00 (online store profit est. 8% or less)
S&H est. 12.00

Total = USD125.00 (No GST and no PST)
Exchange=1.10
Total = C$137.50

You SAVE over C$98 by buying from that online store!

NO ONE should be blamed for saving that kind of money. After all, the unleveled playing field is not the fault of the LiPo customers/users.

[RFick73]

Woah! Too much math make my head hurt! ;)

Well written. I'm unsure about it all, but in the end to me, it doesn't matter ALL that much.
I still stand by ordering from my LHS as they need the business now a days, and they are a resource I just don't wanna lose!!!

[DVO]

I prefer to support the local guys rather than buy online for a few reasons... Yes... I WILL buy some things online if I can't find them here, but, I would rather pay a buck or 5 more to have it when -=I=- want it...

1: it keeps them alive and here
2: I know most of the owners and get along with them rather well
3: it's close to home; no waiting 2, 3, 18 weeks for something to arrive
4: no customs holds; once it's here, it's here.. No waiting for customs to get off they asses and do they jobs and pass things thru in a timely manner
5: it gives me a reason to go have a wander in the shops and see what else I can buy that'll PO the g/f...;)

[420sailor]

I think staying with the local guys is better Because they are already dealing with the ordering part and your supporting there buisness, plus you don't have to wait the week or two for them to come in. I have been running two different brand name of lipo, n.p. and apogee; I find that the n.p. last's longer then the apogee. Plus is a little easer in the pocket book :)