nerdling

iTrader: (8)

Tyres will not be available at the track (from the organisers) for practice. We are only providing you with the tyres you will need for qualifying and if relevent, the finals.

You will need to acquire your own tyres for practice, I would suggest you contacct you local hobby shops, if they don't allready have stocks they soon will.

nerdling

iTrader: (8)

Ya know...... no one has asked the obvious question.

"Why do we have to pre-pay for our entries to the Nationals but pay for the tyres on the day where events line the NSW Titles we were able to pay for our tyres with out entry form?"

Glad you asked.

The reason is thus: Were quoting $45 as a worst case scenario and are expecting to be able to offer the tyres at a lower price, what the price will be? Not sure but it will not be higher then $45.

Rod M

iTrader: (4)

Hi All,

just need to clear up a few points as there are some people making assumptions without all the relevant information,

1, the only factor affecting the price of the Tyres is the Exchange rate,

When the tender negotiations started with ACTMCRC/CORMCC in July-August, (at the ACT State Titles (July 20) and ACT CC Round (August 17)) the exchange rate was significantly higher.

http://www.x-rates.com/d/USD/AUD/graph120.html

The first batch of Tyres have arrived last Thursday (for shop sales) at 0.64 AUD to the USD,

The bulk of the tyres for the event will be arriving around the first week of November,

At that point in time if the exchange rate is:

Higher than 0.75 AUD to the USD, a set should be around the $35 mark,
0.65-0.75 AUD to the USD, a set should be around the $40 mark,
Less than 0.65 AUD to the USD, a set should be around the $45 mark,
(note these are rough approximations based on exchange rate breaks, the final number will probably be rounded to the nearest whole dollar)

2, yes it would be nice to hold hundreds of tyres in stock and I wish (like everyone now) to of sent money overseas 1-2 months ago, who would of thought the AUD would drop so much? (benefit of hindsight):

As suggested it does not make any business sense to hold over 400 pcs of a single item when the turnover per month is a significantly lower number. Normal businesses like mine work on a 32-45DOS (days of stock) calculation plus 14DOS buffer, as good as the TOP tyres are they don't have the market knowledge hence turnover to warrant that level of stockholding, to suggest to hold three times that amount would be considered blatant business incompetence due to unnecessarily tying up so much working capital.

3, the wholesale price will be the same price that is being offered to the event organisers (ACTMCRC/CORMCC), (I will not be price gauging the event organisers as seen by other importers/wholesalers with previous events)

My business started back in late 2005 to provide RC/hobby shops and Racers with the best quality and priced products and to help grow the Australian RC community.

I am a racer like all of you, and around Sydney attend club meets on a regular basis, people who know me know that I am a pretty big tight ass when it comes to paying for some things and is one of the first to complain when something does not seem fair, the fact that the price is increasing due to the exchange rate really gets to me and I am working to try and ensure the final price will be at the best possible.

I look forward to see everyone at the Nationals and plan to do some serious racing in 10.5.

thanks and regards,

Hugh Jazz

iTrader: (4)

Thank You Mark.

Atomix

iTrader: (1)

Rod, your own explanation confirms that there have been correct assumptions made. Everything you have written confirms it.


So clearly you were aware that you would be getting the tyre nod, are you now saying we should pay more because you didnt order the tyres in July/August?
Thats terrific Rod, I wonder if you would have been charging less if the AUD went UP!!!!

YOU wish you sent the money sooner? What about the 100 odd people who now have to fork out more, even though the rules say that its $35max, because you sat on your hands / money till the last minute? A cynical person could suggest you waited till the last minute to see if the AUD actually climbed so you could work in some extra margin & you just gambled wrong.

Once again Rod, i dont think anyone is interested in your cashflow, business model or logic for not holding stock. The fact that the brand recognition of your product is low is not an excuse here. You arent a dedicated wholesaler, big deal. By your own admission, you were negotiating Tyre supply many months ago for a NATIONAL event, ample time to ensure that you could supply tyres at the mandated price.

Be specific, what event and what tyre? We just had the NSW state titles & the price was $35.


Rod, I dont know you that well, but what I do know of you I think you're a good guy & a fair man. That being said, everything you have said above is simply irrelevant to most people. The underlying message is the same - we are expected to pay more because you cant supply the tyres at the right price. On one hand you have referred to the lack of market awareness as a reason to not hold stock, yet you will sell god knows how many sets to shops (with margin) leading up to the Nats. Supply of tyres is a promotional thing for the wholesaler, just like advertising in a mag. Do you only place ads if you KNOW you will sell "X" amount of gear to recover the costs? The same applies with this.

Like I said in my initial post, racers shouldnt have to underwrite your poor/sloppy supply arrangements out of their own pocket.

And on another note - anyone care to guess how much carnage would be on the forum if the tyre was a Sorex & the importer did the same thing?

FYI- Even Fisher is RETAILING Xenon Tyres/rims/inserts for under $35aud a set (there you go Fish, some cross promotion - you can have that for free!!!)

Dragonfire

iTrader: (1)

If you have such a big problem then take some of your own advise...

Don't enter.

luc

iTrader: (1)

Not here to comment on the tires however Troy i have some "advice" for you before you offer any idea's maybe a spell check is in order first ? Then at least it is a mild challenge for Tomic to flame you.........

Atomix

iTrader: (1)

Luc - It wouldn't matter how well Troy spelt, I would still have no shortage of material to "flame" him, if that was the intention. Im sure I dont have to tell you that.

Im actually surprised that he has posted twice in a row without mentioning his recent "win"

Troy, maybe you can throw some of that luck (if you didnt use up your lifetime supply) Rod's way so the AUD climbs up a little bit.

luc

iTrader: (1)

Hmmm yes i do agree, just trying to give him some hope lol.

lignum vitae

iTrader: (7)

im sure a lot of people will take that advice, not only for the tyre reason. bring on the claytons nationals.

Besercoe

iTrader: (9)

well this is a turn up for the books, feeling the need to have a crack at friends.

It feels like the whole Nats has been a bit of a slap together.

- offered to a club without a track
- A nats offered to a track that has not held a recent state titles (as far as i can remember a requirement)
- a month out and no prac events
- The tires are not here
- Tires have not had a set price

I hope the running of the event is a success, and that people make up for the shortfall in the pre race preparation.

I think Ellis did a remarkable job in enacting the control tire price cap, it has been done for EFRA, at an even further reduced price. And helps to reduce the cost of an event.

I have been privy to the wholesale cost of the current shipment of tires and as such there should be no concern of supplying the tires at $35 a set as prescribed.

As many have stated a control tire event is not just about making money or even breaking even on tires but as a marketing excercise, there could even be grounds for tax relief to further sweeten the pot.

If the control nats tires are not provided at the presecribed list price i would be very disapointed with all involved, and i would dare say that other importers would have a right of reply as the tender requirements have been breached. e.g I have been told that HEI refused to offer Sorex tires at $35 a set, this would have opened up another possible competitor to the tender.

Rod use this as a chance to get your tires into the mainstream, step up and provide them at the $35 price you sgned on for.

Now i am sure people are going to take this as a personal attack, take it for what it is constructive criticism, flame away.

fastolfart

Ah here we go again, the stirring has started by those who weren't going to attend, and those who just can't get on with life without a winge.

To start with, I was talking to the biggest supplier of tyres today, and they could not supply enough stock from their warehouse and is in agreement with the current situation.
For all the experts, the suppplier is ask to supply tyres for the event on consignment until the meeting is over and then the club may take weeks or more to finalise payment. This is a big ask of any supplier no mater how big they are, and naturally they are not going to pay for the product up front when they know they will not get a return for over 3 months. And there are suppliers that won't even go there because of these reasons. Another issue that comes to light is those who feel that it is fair that one supplier monopolises the market with his product, and get real with the back yarder remarks as well, just about all Aus suppliers to the RC market started somewhere.
The price cap was set for the inttention of keeping the costs down, now do you think that it is going to realistic to keep it at $35 if the AUD is still below $0.70 in 2009?
Do you think the we would we get our value per dollar for tyres supplied at these prices in the future?
I have stated before and will always encourage that the clubs make a couple of dollars out the handling of the tyres, remember that they are putting in a lot more hard work than those who frequent these threads and winge.
It is simple, if the clubs don't exist, the tracks will die off. If you are not happy with supporting the clubs when they host a major event without the childish carry on, I would suggest you start looking for some thing else to occupy your time.

Peter Ellis

Besercoe

iTrader: (9)

Peter i will have to disagree with the point about the club being allowed to add a few dollars for profit out of the tires. The club is meant to make their money off the entries, and more profitable, the canteen sales. On the second point the greater majority of clubs do not even bother having a proper canteen in operation, so giving them a price break on the tires seems preety ludicrous there.

fastolfart

Brad, may I remind you that not all clubs have the luxury of having spare people available to run canteens.

Besercoe

iTrader: (9)

again incorrect, there are always wives, grlfriends, mums and sisters. if all else fails contract it out to a association like the scouts which has been done before.