Stihl changing tactics in Aus?

[deye223]

The best thing that could happen to Stihl Australia is for them to go bankrupt and pull out of the country. The end result would be quicker delivery, better service, and cheaper prces for everyone. Having Stihl represented here is worse in every respect than having nobody.

Shaun

ya hit the nail right on the head shaun

 

[Chris-PA]

It is possible that the high prices and apparent lack of coherent strategy is simply a sign that Stihl is having a hard time making a profit in a market that far away. I wonder how total sales volume is holding up, and how their market share is doing? Are the Chinese saws eating any significant part of the homeowner market? If so, then their overhead has to be supported by what is left - it can be a vicious cycle.

This looks to me like an early and exaggerated case of what I expect to happen world wide. Sales of high end saws have been boosted by the availability of easy credit, and while that was nice for them on the way up they've likely built an organization with too much overhead and costs to survive on what's left on the way down. It may be that Stihl has a cost structure that doesn't work without those high margin pro saw sales, and it would show up first in markets that are further away and cost them more to serve, and with competition.

 

[imagineero]

Is this the part where Donald Trump says 'you're fired!'?

The Stihl marketing guys are probably going 'you know, it's weird... Even though the US economy has collapsed, we're selling more saws than ever. It's only in other countries that sales are declining! Oh well, at least the total number has remained constant. It's almost like guys in the states are buying all the saws that guys overseas used to buy!'

 

[imagineero]

It is possible that the high prices and apparent lack of coherent strategy is simply a sign that Stihl is having a hard time making a profit in a market that far away. .

You're making a great argument for them pulling out of Australia. They'd make more money that way, and aus customers would get better prices and better service buying direct from the states too!

 

[ozflea]

Shaun, perhaps I can make the picture a little clearer for our overseas friends. Sydney has a population of 4,500,000. And no Stihl dealer!
####e.

Al.

Wrong how about Gordon Clarke at Morebank hes been a dealer for more years than you have been alive


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[Graham99]

I notice the "Stihl marketing guy" has gone to ground. No comeback for his BS.

I got my saw from a respected member on this forum who got it from the US. He was happy, and I am extremely happy. I figure it will only screw up if I do something dumb with it, then I will suck it up and deal with it. I doubt I will do something dumb with it though.

 

[MCW]

Hi Shaun.
Hey just a bit more on why you've seen certain Stihl dealers in and around the Sydney area lose their dealership(s) overnight...

The info below is from somebody in the know that I received today after asking...

Firstly they were selling MS 660's for:
a) $1650
b) on the internet and
c) were also secretly selling Husky.
They got a number of warnings and Stihl said if they didn't pull their heads in they would lose it, so they have. 5 stores gone so that's probably where that info came from.

Now like you mate I'm not the biggest fan of the dealer rules set by Stihl Australia but by taking on a Stihl dealership that is the line you have to tow. Out of interest a number of US dealers got warned for open online sales as did Honey Bros in the UK where I purchased two MS241C's online - that source has been shut like a bank vault and I can guarantee it was brought to Stihl's attention by open discssuion on this forum. Getting an overseas AS member to buy a saw for you is not gainst any rules however.
As for other members here I'd try to keep any direct dealings with overseas Stihl dealers very very quiet. A number of reliable and cheap sources for Stihl gear overseas have been shut down simply because of people flapping their gums openly on this forum (I'm guilty of it too with Honey Bros). If you have a direct, non 3rd party, Stihl source overseas then keep it to yourself. Stihl Australia (and globally) are all over this like a fly on a turd and that is straight from the horses' mouth. By the way I have no direct ties with Stihl but do know a number of people involved with them that give me information on what's going on in the land of Stihl.

On another note Stihl saw pricing in Australia being high can simply be pointed directly at Stihl Australia. Why the hell I can get Stihl saws from the states, via a 3rd party, and still land them here for 50% of the price of an Australian dealer's RRP and well below an Australian dealer's net cost is beyond me. Once you also factor in an Australian government taxing the arse off of small business with associated running costs well above most other countries in the world means that if an Aussie dealer can't make at least a 20% margin on any goods sold then he is going backwards.

Also for those who don't know Stihl USA and Stihl Australia operate completely seperate to one another and are classed as individual entities. I think Stihl Australia could learn a fair bit from Stihl USA...

 

[MCW]

The Stihl marketing guys are probably going 'you know, it's weird... Even though the US economy has collapsed, we're selling more saws than ever. It's only in other countries that sales are declining! Oh well, at least the total number has remained constant. It's almost like guys in the states are buying all the saws that guys overseas used to buy!'

Funny you say that mate. A customer of mine was in the US on holidays last year and dropped in on a boat dealer near or in Las Vegas somewhere. He'd heard this guy does good deals from another Aussie. Anyway this guy in the US knew more about Australian trailer laws than any Aussie boat dealer (he legally had to narrow the track 1" to be legal in Australia or something like that?). He organised all custom's forms and freight to Australia. All this guy had to do was pick a boat and pay the man. He took care of absolutely everything else apart from Australian rego.
This dealer thanked him for buying a boat there and actually told him that it is the extra Australian business keeping his doors open.
Oh and the clincher was that after all of this he saved $20,000 over buying the exact same setup in Australia. Australian dealers hardly gave him the time of day...

 

[SawTroll]

I know this probably sounds bad but we all wish we had a dealer like that. In reality any dealer that has enough time to sit around drinking coffee either has other employees or isn't busy enough to be profitable. The successful dealers I've seen haven't got time to scratch their arse

That sort of fits with my experience, but only sort of - the really good ones always have time to talk with good costumers, and easily find out who that may be - then it develops from there.....

The last order I placed with my current dealer, I purposely "played dumb" regarding the part numbers (I knew them), but the parts nevertheless turned up timely - even though it was parts that aren't common on the market here.

 

[Stihlman441]

I wonder how many Stihl dealers,employees have been reading this.
If anything was going to change it would have by now.:frown:

 

[MCW]

That sort of fits with my experience, but only sort of - the really good ones always have time to talk with good costumers, and easily find out who that may be - then it develops from there.....

Yeah it certainly isn't the case all the time however in my experience the ones who want to sit around having a coffee and wasting your time are generally the ones who do the least amount of business with you. Where there are other employees to serve and answer phones then this rule doesn't apply
Put it this way Niko, if or when you come to Australia I'd make the time to sit down with you and have a coffee

 

[MCW]

I wonder how many Stihl dealers,employees have been reading this.
If anything was going to change it would have by now.:frown:

The dealers and employees have no ability to change pricing unless Stihl Australia agree to it.
Also just remember that if every Australian AS member started buying Stihl saws via the US Stihl wouldn't even notice as we total about 0.0001% of the Australian Stihl dealer's business

 

[Stihlman441]

Coffee :msp_unsure:
The US has about 90% of my dealings.

 

[StihlKiwi]

What are you guys even using saws for? I thought Aussie burned to the ground last week?

Does Stihl Australia have Stihl Shops, the big green ones?

 

[MCW]

Coffee :msp_unsure:
The US has about 90% of my dealings.

With many of the Stihl dealers I've visited over the years in Australia I'd still buy overseas even if they DID match the US price
Some dealers are useless but remember the biggest hurdle we face in Australia isn't the dealer but Stihl Australia themselves. The average Joe doesn't buy MS660's or MS441's, they buy MS230's and MS171's etc. I've priced these from the states too and the smaller end saws nearly aren't worth importing when freight is taken into account and the fact that the average homeowner user will claim some warranty issue 50% of the time when it was caused by their own stupidity or lack of knowledge.

 

[MCW]

What are you guys even using saws for? I thought Aussie burned to the ground last week?

Nah that was Andrew running amok with his 241 and 441...

 

[StihlKiwi]

Nah that was Andrew running amok with his 241 and 441...

Tell him to put the damn spark arrestors back in and piss on those embers. The fire officer at work is making us do pack tests in case we get to come for a visit, and I'm in no hurry to run around in overalls in 40 degree heat.

 

[SawTroll]

... they buy MS230's and MS171's etc. I've priced these from the states too and the smaller end saws nearly aren't worth importing when freight is taken into account and the fact that the average homeowner user will claim some warranty issue 50% of the time when it was caused by their own stupidity or lack of knowledge.

No surprice there, the costumers that you didn't really want in the first place are the ones that claim warranty on their (mostly own) mistakes, regardless of the quality of the product. They buy cheap consumer stuff, and expect it to be good, as it is a "good" brand - reality is of course not that way...:msp_rolleyes:

 

[WidowMaker1]

The US has about 90% of my dealings.

not a option for me, I only deal with cash & have no patience when i buy something, just old school I like to pay and carry on the spot , Now if just someone in the US would deliver to me door and take cash id be much obliged.

 

[MCW]

not a option for me, I only deal with cash & have no patience when i buy something, just old school I like to pay and carry on the spot , Now if just someone in the US would deliver to me door and take cash id be much obliged.

For $3000 cash I'll deliver an MS660 to your door, honest