Rifle Scopes Euro exchange rate in our favor?

[gunsmithcat]

So, I notice the euro slowly creeping down in comparison to the US dollar. In fact, theres a lot of speculation the euro will reach parity with the us dollar.

Will that make it easier for us to purchase, say, a Schmidt and Bender from an overseas dealer and save money?
Anyone know any overseas dealers that sell in euros?

Thanks

 

[benjaminzero]

Re: Euro exchange rate in our favor?

You will most likely have to see a drop in price here in the states. I'm not sure of the exact procedure but if you ordered from overseas it's likely you will have to pay an import tax or other tax, thereby reducing any chance for a discount.

 

[mavrick]

Re: Euro exchange rate in our favor?

I am not much of a fan of buying things from over seas dealers. I would much rather spend it here with our site sponsors. But I wonder if it will help with their dealer pricing inreturn our final price you know "trickle down"

Dustin

 

[generalquark]

Re: Euro exchange rate in our favor?

You could probably get things cheaper on UK Ebay or something like that.

 

[USMCj]

Re: Euro exchange rate in our favor?

Dont count on it, they will find some bullshit excuse to keep the price the same for us US folks.

 

[TorF]

Re: Euro exchange rate in our favor?

Pete Lincoln posts here on the Hide:

http://www.webshop.roedale.de/index.php?cat=c106_Schmidt---Bender.html

These guys also export to the US. The prices have 17% (or 19%..) sales tax included. Export price is without german salestax: www.i-e-a.de

 

[BasraBoy]

Re: Euro exchange rate in our favor?

A couple of points to consider

1) VAT is not payable on export sales outside Europe provided the buyer is a registered company. For individuals,you may have to pay and then reclaim.

2) Be aware of the warranty policies on personal imports of the manufacturer concerned - you may find that your local US dealers will not cover this as they have not earned any money on the sale. This is a regular pitfall for "grey imports" in Europe and a way in which some manufacturer's protect allocated territories so as not to fall foul of EU competition law.

3) Manufacturer's can also quote LONG lead times to overseas buyers as another way to encourage local purchases.

4) Cost of transport and/or insurance can add considerably to the costs (depending on what you may be buying

I regularly buy in/from the US and 95% of the time it works out well either because of lower prices or breadth of choice that is not available in the UK/Europe.

It just needs a little homework.

 

[Rundownfid]

Re: Euro exchange rate in our favor?

Yes the decline in the Euro will , eventually, bring the price in dollars down. This may take some time but the market will work eventually.

 

[Dusty]

Re: Euro exchange rate in our favor?

When I used to shoot Cowboy Action, the cost of uberti imports from europe where constantly rising. The reason the importers where claiming, was that the exchange rate of the Euro was changing and not the initial cost of the rifles. I am sure the price will not fall as quickly as it rose back then.

 

[bachelorjack]

Re: Euro exchange rate in our favor?

The term is "sticky economics"....

 

[huntler]

Re: Euro exchange rate in our favor?

I do business in the EU. The price structures are completely different. For a Leica or Zeiss product to be cheaper in the EU (after VAT refund and assuming you got it in without any duty) the Euro would need to be about $.60. These products are sold at almost no markup in the US. Prices in the EU are fixed. So unless your friends with a dealer you will not save anything. The map pricing in the US is MUCH cheaper than in the EU. My German partners are always saying how they subsidize the US market. I always remind them that the US subsidizes their pharmaceuticals also (meds are about 10% of what they are here).

 

[HOGGHEAD]

Re: Euro exchange rate in our favor?

It did not take them long to raise their prices when the dollar dropped against the Euro. However it will probably take a longer period of time for the prices to go down since the dollar is regaining value. I do not think it will go to parity, but it might. But remember when the Euro first started, 1 euro was worth less than 1 US dollar. I am going to be in the market for a new scope this Dec. or Jan. So I hope the price does go down. This should also lower the prices on all the other scopes. But then Leupold has already taken one price decrease this year already. Tom.

 

[BugSniper]

Re: Euro exchange rate in our favor?

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: HOGGHEAD</div><div class="ubbcode-body">It did not take them long to raise their prices when the dollar dropped against the Euro. However it will probably take a longer period of time for the prices to go down since the dollar is regaining value. I do not think it will go to parity, but it might. But remember when the Euro first started, 1 euro was worth less than 1 US dollar. I am going to be in the market for a new scope this Dec. or Jan. So I hope the price does go down. This should also lower the prices on all the other scopes. But then Leupold has already taken one price decrease this year already. Tom. </div></div>

Granted, I don't know historical S&B prices, but the Euro has had a 100% swing (from like .70 to over 1.5), and I doubt you saw that reflected in prices (it would be an indicator of something really being wrong). The reason you see prices increase is because the cost of manufacturer rises. It has to happen immediately or they will go out of business with any demand fluctuation. Now, when their currency weakens relative to us, they can keep prices the same because we have the same 1K sitting in the bank, or they can lower them if once the market catches up and they can't sell at that price because someone else is competing for position.

 

[aqualung]

Re: Euro exchange rate in our favor?

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: rundown</div><div class="ubbcode-body">Yes the decline in the Euro will , eventually, bring the price in dollars down. This may take some time but the market will work eventually. </div></div>

Don't you believe it brother!!

Ever heard of the "Rocket and Feather" theory?

When it helps companies make money, the change in the exchange rate causes prices to rise like a rocket. Straight up, <span style="font-style: italic">VERY</span> fast. But when the exchange rate goes the other way, when it should drop and help US, the consumer, it comes down like a feather.

Don't believe me? Check out gas prices vs the cost of crude.

Neil B

 

[mdmp5]

Re: Euro exchange rate in our favor?

If anything, the weak euro will cause the price of goods and services in europe to rise, not fall. So while you may get a better exchange rate from dollars to euros, prices will be higher anyway, so you won't save anything when all is said and done. I don't think the euro will last another 5 years anyway.

 

[huntler]

Re: Euro exchange rate in our favor?

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: palmik</div><div class="ubbcode-body">If anything, the weak euro will cause the price of goods and services in europe to rise, not fall. So while you may get a better exchange rate from dollars to euros, prices will be higher anyway, so you won't save anything when all is said and done. I don't think the euro will last another 5 years anyway. </div></div>


This is exactly what will happen. As I said before the German customers subsidize the exported German goods through higher prices. I also think the Euros days are numberd. Since adopting the Euro the German economy has done nothing but decline. It is very bad there right now. The only thing that kept them alive this long is that the German people had a large savings account balance. That is largly wiped out now.

 

[HOGGHEAD]

Re: Euro exchange rate in our favor?

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: palmik</div><div class="ubbcode-body">If anything, the weak euro will cause the price of goods and services in europe to rise, not fall. So while you may get a better exchange rate from dollars to euros, prices will be higher anyway, so you won't save anything when all is said and done. I don't think the euro will last another 5 years anyway. </div></div>


What?? First of all oil is based on the dollar. Not the Euro. So when the dollar is stronger it will cause oil prices to go down. Which is exactly what has happened over the past couple of weeks. Oil is down $15 a barrel. Lower oil prices make things cheaper around the world. And these countries own enough dollars to buy oil.

Second. We are not concerned about what prices do in Europe. We are concerned about European goods prices in America. And with a stronger dollar-pure market forces will put pressure on the European goods prices to go down.

Third. A week Euro makes US goods more expensive in Europe, that is true. But we are not talking about American goods. We are talking about European goods. Tom.

 

[mdmp5]

Re: Euro exchange rate in our favor?

Tom, trust me on this one. I used to trade stocks, derivatives and currencies for a decade. Everything in the world is intertwined. Bottom line is that no matter how cheap the euro gets, you will not save a dime on an S&B.

 

[mdmp5]

Re: Euro exchange rate in our favor?

And the dollar is no where near "strong". It is strong relative to a basket of 6 currencies, which doesn't mean squat. If the dollar truly gained strength, we would stop seeing rapid price hikes for no reason on bullshit like a bottle of snapple iced tea. Look at the price of commodities across the board. From sugar to cocoa to fcoj, all higher and they aint stopping anytime soon. The dollar is worth shit. But the euro will fail very soon.