06-15-2009, 10:49 AM
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#1
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Often Thinks About Pickles
Join Date: Jan 2007
Location: Okotoks
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High price in Canada - Low price in USA - same item.
I'm currently looking at purchasing a KitchenAid side x side ss counter depth refrigerator #KSCK25FVMS.
FutureShop is selling it for the exorbitant price of $3,999. The best deal I can find so far in Canada is $3689 + shipping.
I went on the web and was able to find this same fridge for $2235 US out of the States. What a difference!!! (the problem is that I don't think they will ship up to Canada.)
However, Bestbuy in the USA has this fridge on sale now for $2422 US (which would be approx $2800 CDN) and there is a BestBuy in Kalispell Montana. Frankly for the $1000 difference in price I might just take a drive down to Kalispell and buy it there.
http://www.universal-akb.com/ksck25fvms.html
http://www.bestbuy.com/site/olspage....egories&ks=960
http://www.futureshop.ca/catalog/pro...91&catid=19535
Last edited by Rerun; 06-15-2009 at 12:46 PM.
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06-15-2009, 10:57 AM
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#2
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Often Thinks About Pickles
Join Date: Jan 2007
Location: Okotoks
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One question though... do refrigerators have to be transported in the vertical position or can you ship them on their back?
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06-15-2009, 10:59 AM
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#3
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Franchise Player
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Have you factored in any duties or fees you may have to pay at the border? I have no idea how that works, but I assume they won't let you slide through without paying anything.
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06-15-2009, 11:00 AM
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#4
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Franchise Player
Join Date: Jul 2003
Location: Sector 7-G
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Vertical is best, but I think horizontal is possible if you give it 24 hours for the refrigerant to settle afterwards. I'd give it more than that if you're driving it far.
It is a sham how Canadian consumers are getting the shaft on pricing though.
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06-15-2009, 11:09 AM
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#5
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Scoring Winger
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I was trying to google this... It looks like you will pay an 8% tariff on this (refrigeration equipment) and who knows if there is an environmental levy on top of that for the refrigerant in the appliance. (OF course, I'm no expert on importing stuff.)
This stuff is built into the Canadian price, as is an $.80 dollar and additional transportation and distribution costs.
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06-15-2009, 11:14 AM
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#6
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Often Thinks About Pickles
Join Date: Jan 2007
Location: Okotoks
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Quote:
Originally Posted by valo403
Have you factored in any duties or fees you may have to pay at the border? I have no idea how that works, but I assume they won't let you slide through without paying anything.
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I am making the assumption that a KitchenAid refrigerator is manufactured in the USA and is therefore eligible for entry into Canada duty free. Therefore the only fee I will have to pay at the border will be the GST.
Edit : I called Canada Border Services. If it is made in the USA (check the Name/data plate on the back of the fridge) there is no duty. If it is make outside of the USA there is an 8% duty. No environmental charges.
Last edited by Rerun; 06-15-2009 at 12:34 PM.
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06-15-2009, 11:29 AM
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#7
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Lifetime Suspension
Join Date: Apr 2004
Location: Market Mall Food Court
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US population: 330 million people
Cdn population: 30 million people
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06-15-2009, 11:34 AM
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#8
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One of the Nine
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Quote:
Originally Posted by Bertuzzied
US population: 330 million people
Cdn population: 30 million people
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Really?
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06-15-2009, 11:36 AM
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#9
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Franchise Player
Join Date: Aug 2005
Location: Calgary
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http://ths.gardenweb.com/forums/load...451931924.html
According to this site you will only need to pay GST. Not sure how you get around the Evironmental levee from Alberta.
Also warranty looks to be an issue with some.
__________________
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06-15-2009, 11:55 AM
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#11
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Lifetime Suspension
Join Date: Apr 2004
Location: Market Mall Food Court
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Quote:
Originally Posted by 4X4
Really?
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I'm sure if we had 3.3 billion people living in Canada prices would be alot lower.
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06-15-2009, 11:56 AM
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#12
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Franchise Player
Join Date: Jul 2005
Location: in your blind spot.
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Quote:
Originally Posted by Bertuzzied
US population: 330 million people
Cdn population: 30 million people
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It isn't like you are rubbing elbows with people the second you cross the border.
Population of Kalispell - 22,000 (Population of Monotana - 967,440)
Population of Calgary - 1,000,000+
So you are telling me it is reasonable that a city that is 2.2% the size of Calgary, and is at least as remote (if not moreso) should get commercial goods for 2/3 the cost of in Canada?
Yeah, Canada is a huge country. But a huge proportion of the country has population density very similar to the US. 41% of our land mass holds 0.3% of our population.
Saying the US has a more population is, I think, an easy answer to give without really considering everything.
__________________
"The problem with any ideology is that it gives the answer before you look at the evidence."
—Bill Clinton
"The greatest obstacle to discovery is not ignorance--it is the illusion of knowledge."
—Daniel J. Boorstin, historian, former Librarian of Congress
"But the Senator, while insisting he was not intoxicated, could not explain his nudity"
—WKRP in Cincinatti
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06-15-2009, 11:59 AM
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#13
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Playboy Mansion Poolboy
Join Date: Apr 2004
Location: Close enough to make a beer run during a TV timeout
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Quote:
Originally Posted by Bobblehead
Saying the US has a more population is, I think, an easy answer to give without really considering everything.
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Yes, but if a store chain in the US has 8 times the customers, they do have increased buying power. The fact that the states that border our prairie provinces are small is just a cost of business for those big chains.
Part of it is also that the purchase orders here would have been made when the US dollar was a lot higher. The fact that they bought that fridge for $3000 then and could buy it for $2700 now doesn't mean they can turn around and re-sell it for less now.
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06-15-2009, 12:10 PM
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#14
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Franchise Player
Join Date: Aug 2002
Location: Calgary, AB
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Quote:
Originally Posted by Bobblehead
It isn't like you are rubbing elbows with people the second you cross the border.
Population of Kalispell - 22,000 (Population of Monotana - 967,440)
Population of Calgary - 1,000,000+
So you are telling me it is reasonable that a city that is 2.2% the size of Calgary, and is at least as remote (if not moreso) should get commercial goods for 2/3 the cost of in Canada?
Yeah, Canada is a huge country. But a huge proportion of the country has population density very similar to the US. 41% of our land mass holds 0.3% of our population.
Saying the US has a more population is, I think, an easy answer to give without really considering everything.
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I think there are three major issues in Canada for consumers.
One, protectionism. We've had our own type of "Buy Canadian" framework in place which allows retailers to overcharge and be extremely sluggish in altering currency exchange related costs, since the alternative is met with restrictions, forms, duties, levies, shipping costs, and other hidden costs. By strongly encouraging Canadians to buy from Canadian retailers, they are ensuring a more vibrant industry and not allowing Canadian consumers full access to the North American market.
Two, transport subsidy. While its totally true that the overwhelming majority of Canada lives in four zones (Southern Ontario (Ottawa-Windsor), Montreal-QC Corridor, BC Lower Mainland and Edmonton-Calgary Corridor), the prices in Canada reflect the transport costs to those in the hinterland regions that have relatively limited buying power.
Three, taxes. Simply put, we tend to have more of them to pay. Manufacturers and retailers tend to pass their tax burdens onto the consumer.
Last edited by Thunderball; 06-15-2009 at 12:18 PM.
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06-15-2009, 12:12 PM
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#15
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Lifetime Suspension
Join Date: Aug 2005
Location: CP House of Ill Repute
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Quote:
Originally Posted by Bobblehead
It isn't like you are rubbing elbows with people the second you cross the border.
Population of Kalispell - 22,000 (Population of Monotana - 967,440)
Population of Calgary - 1,000,000+
So you are telling me it is reasonable that a city that is 2.2% the size of Calgary, and is at least as remote (if not moreso) should get commercial goods for 2/3 the cost of in Canada?
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Because of how widespread online retailers are in the US, it doesn't matter where the city is located or what its population is. Big box retailers have to be somewhat competitive with the online retailers who are usually only able to differentiate themselves by price.
More competition in the US means lower prices. Because online retailers are way behind those in the US, we get the shaft when it comes to prices.
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06-15-2009, 12:13 PM
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#16
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Franchise Player
Join Date: Jul 2005
Location: in your blind spot.
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Quote:
Originally Posted by ken0042
Yes, but if a store chain in the US has 8 times the customers, they do have increased buying power. The fact that the states that border our prairie provinces are small is just a cost of business for those big chains.
Part of it is also that the purchase orders here would have been made when the US dollar was a lot higher. The fact that they bought that fridge for $3000 then and could buy it for $2700 now doesn't mean they can turn around and re-sell it for less now.
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And those are valid arguments, but the whole US>Canada answer is a lazy answer.
But I'm pretty sure I saw a Best Buy or two around town; I would imagine that they should get similar wholesale costs. If they bought the stock when the dollar was depressed then that is indeed a valid reason, but I'm not sure that would account for such a massive discrepancy.
__________________
"The problem with any ideology is that it gives the answer before you look at the evidence."
—Bill Clinton
"The greatest obstacle to discovery is not ignorance--it is the illusion of knowledge."
—Daniel J. Boorstin, historian, former Librarian of Congress
"But the Senator, while insisting he was not intoxicated, could not explain his nudity"
—WKRP in Cincinatti
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06-15-2009, 12:24 PM
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#17
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Franchise Player
Join Date: Oct 2006
Location: Calgary
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Plus another reason is that they need people to go through the added paperwork and to deal with any border issues. That costs money. Not necessarily the entire amount for the difference, but a part of it anyway.
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06-15-2009, 12:28 PM
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#18
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Often Thinks About Pickles
Join Date: Jan 2007
Location: Okotoks
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In a lot of cases its the manufacturer that is gouging the Canadian consumer. They sell the same product to their Canadian distributors for a higher price than they sell to their USA distributors... because they can because their just isn't the competition for lower prices here in Canada.
I bet Future Shop (owned by BestBuy) here in Canada pays a lot more for the same item that BestBuy distributors do in the USA.
As in all free trade commerce... sellers will charge what they believe the market will bear. ... not a price that has any correlation to the manufacturing and distribution cost.
Sometimes it really sucks to live in Canada.
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06-15-2009, 12:28 PM
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#19
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Playboy Mansion Poolboy
Join Date: Apr 2004
Location: Close enough to make a beer run during a TV timeout
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And the dollar difference is only part of it.
The thing to remember with Best Buy here- it is a different company than in the States. All that Best Buy here is Future Shop stores, and Future Shop has paid licensing/royalties to Best Buy- US to be able to use the name.
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06-15-2009, 12:31 PM
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#20
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Often Thinks About Pickles
Join Date: Jan 2007
Location: Okotoks
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Quote:
Originally Posted by Caged Great
Plus another reason is that they need people to go through the added paperwork and to deal with any border issues. That costs money. Not necessarily the entire amount for the difference, but a part of it anyway.
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The cost of paperwork and time is minimal. I import stuff into Canada all the time from the USA, here at work. Its no big deal... very easy. Do the paperwork (nafta certificate of origin) once for the year and you are good to go for the next 12 months
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