How We've Been Working On Pricing
Author: Graeme Olsen Date Posted: 28 October 2015
Most of the products you’ll find at Hurtle Gear are made in first world manufacturing facilities in the USA, UK and Germany.
But due to the steady decline of the Aussie dollar exchange rate, this means that pricing for these products has risen significantly over the last 12 months.
We get that this hurts, but of course there’s nothing that can be done about the exchange rate. As our cost prices rise, so does the retail price.
However, we’ve been working hard to cut costs in other ways, so that we can keep our retail pricing as sharp as possible. Some of the changes we’ve been able to implement recently include:
- Where appropriate, we now have items shipped to us by sea instead of by air. This results in quite a significant saving on shipping costs, which we can then pass onto you. The downside of this is that we have to increase our stock levels to have several months supply on the shelves for particular brands. We’ve got a system in place for this, and soon we hope to have the shipping pipeline full, with a bunch of orders on the water at any given time.
- We’ve been able to slash our foreign exchange fees recently. Any business out there who makes regular payments in foreign currency, we highly recommend that you check out Transfermate, who not only have a better exchange rate than the banks, but also don’t charge any foreign exchange fees. For us, this represents a saving of around 4% per purchase, which may not sound like a lot, but when you’re spending tens of thousands of dollars in foreign currency every month, that adds up. Again, these are savings we can pass onto you.
- Other internal procedures and structural changes have improved our efficiency and reduced costs.
All these combined mean that we can reduce our pricing as much as possible, which has hopefully negated a lot of the exchange rate increases. Our gear is good, strong, high quality, and in some cases comes with a lifetime guarantee. For that kind of quality you will pay a premium, but we’ve worked hard to keep your price as low as possible.