It's Official - BRP charges premium prices

[NorthStar]

Contacted BRP Canada today and asked why Canadian dealers in Ontario have to charge Canadian customers $5000.00 more than U.S. dealers charge their customers for an RT and Trailer package.

The official answer was that it was an economic decision based on volumes of units sold in the U.S. as compared to Canada. I also learned from a U.S. Dealer, that I contacted in Michigan, that their dealership contracts with BRP did not allow them to sell Can Am units to Canadian buyers.

On the plus side, the representative contacted me promptly about my concerns and promised to pass along these concerns to management. :chat:

BRP's pricing policies are not unusual with respect to volume discounts and I cannot argue that it is a bad business decision to alienate such a small market, even though it is located in their back yard. They must look at the bigger picture and put aside any nationalistic feelings.

The foul taste in my mouth will fade away like the winter snows and I will probably still purchase the RT come spring. I have that choice.......ahhhh it's great to live in a free society. :bowdown:

 

[Roaddog2]

:wrong:welcome

 

[fastfraser]

BRP can stick the RTS where the sun don't shine until the price is the same as U.S. dealers !!! ( Less exchange rate and taxes 13 % of course. )

How can it be cheaper to ship a :spyder2: to Florida than to Ontario ( 400 miles away ) ? Canada I'm sure sells a lot less :spyder2: than our American cousins, but I'm sure that a lot of the Canadian dealers that sell the :spyder2: sell just as many ( Spyder for Spyder ) as a lot of the American dealers.

 

[Dochands]

That's plain wrong and not allowing you to purchase in the US is probably illegal.

How can they legally stop you from putting your money down whether you buy it in the States or Mexico or anywhere you chose?

 

[Lamonster]

Be thankful you're not in New Zealand, I talked to a guy yesterday that said it was over 50K US for an RT :yikes:

 

[WackyDan]

Be thankful you're not in New Zealand, I talked to a guy yesterday that said it was over 50K US for an RT :yikes:

Yup. My company sells the same laptop model with exact same config for far different prices depending on the country it is sold in, including Canada versus US. On top of that market based pricing can be consideration or not for tariffs for the specific country, or province. Try buying a laptop in the US as a visitor from Brazil, and see what happens when you try to reenter Brazil. You declare what you actually left with and if it doesn't match up when you return, they slap the tariff and fine on you if you come back with something expensive, shiny and new. Bottom line, you charge what the market is willing to pay for an item. Basic economics.

In Singapore the $16,000 (here in US) base cooper mini sells for between $75000 and 100k USD due to gov't taxes, and fees.

 

[Smylinacha]

That's b.s.!

Contacted BRP Canada today and asked why Canadian dealers in Ontario have to charge Canadian customers $5000.00 more than U.S. dealers charge their customers for an RT and Trailer package.

The official answer was that it was an economic decision based on volumes of units sold in the U.S. as compared to Canada. I also learned from a U.S. Dealer, that I contacted in Michigan, that their dealership contracts with BRP did not allow them to sell Can Am units to Canadian buyers.

On the plus side, the representative contacted me promptly about my concerns and promised to pass along these concerns to management. :chat:

BRP's pricing policies are not unusual with respect to volume discounts and I cannot argue that it is a bad business decision to alienate such a small market, even though it is located in their back yard. They must look at the bigger picture and put aside any nationalistic feelings.

The foul taste in my mouth will fade away like the winter snows and I will probably still purchase the RT come spring. I have that choice.......ahhhh it's great to live in a free society. :bowdown:

 

[Rub]

Here's links to a three part article from Canadian Motorcycle Guide On-Line regarding the disparity between U.S. and Canadian pricing - in the motorcycle world at least. These were published the last time our respective dollars were at or nearly at par. It doesn't explain everything like why a Canadian made product is cheaper across the border, but it is interesting reading.

Part 1: http://cmgonline.com/content/view/154/51/

Part 2: http://cmgonline.com/content/view/462/51/

Part 3: http://cmgonline.com/content/view/1103/51/


Rub

 

[chris56]

euro-prices ..
here in austria a RTS is 45.000 USD (30T euros)..
in some countries its expensive to be a spyderlover..
chris

 

[boborgera]

There are no free rides. If you want socialism some body has to pay
the price. It's coming here soon. :yikes:

 

[tweeder]

Go figure, only the canadian govt could pull this one off. Even free trade is a joke. Just wait intill the HST get what little we have left. Prices are really gonna rise and demand will fall. We should be able to buy it in the states as it qualifys to be driven on canadian roads. Unlike some other vehicles that aren't allowed to be licensed here as they don't meet the safety requirements.

 

[Neez]

The Great Canadian Ripoff has been going on as long as I can remember, and living only 15 miles north of the border, as I do, it is especially annoying. Among other things, BC has a dairy quota system that protects the local farmers and screws the consumer. This caused cheese purchased in Washington state to be a terrific bargain. British Columbians bought so much cheese there that some unkind locals started calling us Cheeseheads. "Here come the Canadians! Lock up your wimmin and your cheese!". Just kidding. I love ryding in WA and the local ryders are good folks.

 

[dltang]

I also learned from a U.S. Dealer, that I contacted in Michigan, that their dealership contracts with BRP did not allow them to sell Can Am units to Canadian buyers.

So it's not that you can't buy a Spyder in the US, it is a contractual agreement with the dealerships and BRP. So what's to say you come on over and give me the cash and we go into the dealership together and I buy the Spyder. Then after the title comes in, we just transfer into your name as the sale of a "used" spyder. Even if you had to pay a wee bit of a premium to your US buyer to cover the "income" from the sale regarding taxes, you would still be coming out ahead. Just something to think about. By the way, I only live an hour from Sarnia.

 

[medican]

Here is a quote from my dealer on a RT-S (Canadian prices)

rt-s e/s $ 29 999
trailer $ 4 879.99
hitch kit $ 609.99
cb/comm sy$ 974.99
gps $ 1464.99
xm $ 549.99

sub total $ 38 474.95
gst $ 1 923.74
total $ 40 402.89 :yikes:

The GST is our sales tax here in Alberta

 

[Derwin]

Be thankful you're not in New Zealand, I talked to a guy yesterday that said it was over 50K US for an RT :yikes:

Holy Moly! And I thought 20 Grand was high!

 

[Neez]

So it's not that you can't buy a Spyder in the US, it is a contractual agreement with the dealerships and BRP. So what's to say you come on over and give me the cash and we go into the dealership together and I buy the Spyder. Then after the title comes in, we just transfer into your name as the sale of a "used" spyder. Even if you had to pay a wee bit of a premium to your US buyer to cover the "income" from the sale regarding taxes, you would still be coming out ahead. Just something to think about. By the way, I only live an hour from Sarnia.

You have to be careful with that, Deb. When the Canadian dollar was at a low value, Harley began selling product in Canada at deep discounts, I assume to hold market share. A friend a mine began buying Harleys, holding them for 6 months, as per law, and reselling them Stateside. The result was a blacklist and she is no longer able to purchase Harleys in Canada. Didn't upset her that much as she doesn't ride anyway.

 

[NEWARKSPYDER]

euro-prices ..
here in austria a RTS is 45.000 USD (30T euros)..
in some countries its expensive to be a spyderlover..
chris

25.000 is to much for me!

:2thumbs: I love the front of your Spyder! does it run hot like that?hyea:

 

[NorthStar]

The cost of capitalism

Some pretty good responses. Enjoyed reading every one of them, especially the reference to socialism which cracked me up.
On the plus side, I take comfort that if this issue drives me completely insane I will be able to afford the stay in the local psych hospital on the public's dime. Thank heavens for OHIP!

The rant is over and I will push forward with my efforts to purchase a Spyder this spring and just live with the fact that the playing field is not always tilted in the right direction for all teams.

M

 

[mrb]

Be thankful you're not in New Zealand, I talked to a guy yesterday that said it was over 50K US for an RT :yikes:

About $38k Aus here (92 Aus cents to the US dollar) for the RT only. I really dont think the pprice has anything to do with how much it costs to land a Spyder here. I think it is more to do with what the market will pay. The price is around the same as a fully loaded Gold Wing here - $38- 42k. For many people that is a full years wages (average wage here is around $55k but most find that hard to believe).

 

[docdoru]

That's b.s.!

:agree: ...too little ambition, too much of Karl Marx.