So what gives with distribution/selling costs.

[bugbear]

Purchased two roller stands from Axi at the end of December 2013 @ £25.75 each, just been online to order two more they are currently out of stock, more to the point now £30.96 each a increase of 20% in less than 13 months :x :x :x

Will be looking elsewhere

How long had they held the price prior to Dec 2013? You may just be looking at a local step in a favourable graph (i.e. they held the low price as long as possible). Or not. It's impossible to tell from the facts given.

BugBear

 

[woodpig]

One of the reasons I stopped using Axminster Tools was because of the high cost of postage on small items. £4.95 for small orders is just far too much. It's not just Axminster though. I wanted a long reach T handle hex wrench and UK Tools had exactly what I needed. The postage though was £5.99! I've just ordered the same wrench on eBay from a dealer in the US and saved just under £2.00 on the total cost - the postage from America was £2.65. Some UK dealers just aren't trying hard enough. One shop over here wanted £9.00 postage ...

 

[Inoffthered]

My concern with the Axi model is that the overheads of their units must be huge compared with an online box shifter.
I compared router prices and ended up buying a Trend from D&M Tools who were cheapest in the market and it was delivered (free) within 24 hours.

If you happen to live near an Axi store then it is great to call in for small stuff (or bigger stuff if there is a sale on) but these days when a price comparison only takes a few clicks I think they may struggle on the more expensive items.

I do like the catalogue but pricing for a year in advance must be a nightmare. I wonder what proportion of their customers rely on the catalogue and do not have access to the internet.

 

[paulm]

If you happen to live near an Axi store then it is great to call in for small stuff (or bigger stuff if there is a sale on) but these days when a price comparison only takes a few clicks I think they may struggle on the more expensive items.

Unfortunately I've found my local store very expensive for small stuff and consumables too, to the extent that I have bought elsewhere on the internet and paid p&p and still been cheaper than the five minute trip to the store. I only buy small stuff there now if I really can't wait a couple of days for delivery but that's not often.

Bigger stuff on sale and discount days is often still more expensive than elsewhere also !

Cheers, Paul

 

[woodpig]

You really have to shop around these days. I bought a lot of stuff from D&M when I lived locally but I had my eye on a small Bahco socket set some years back, £29.99 from D&M, £19.99 from Amazon with free postage!

 

[Doug B]

My concern with the Axi model is that the overheads of their units must be huge compared with an online box shifter.
I compared router prices and ended up buying a Trend from D&M Tools who were cheapest in the market and it was delivered (free) within 24 hours.

Interestingly D&M have a high street store so not just an online presence further suggesting that having retail premises doesn't mean you automatically have to be dearer than an online only operator.

 

[ColeyS1]

I finally got around to having a mooch in the new Axminster catalogue last night. With this thread in mind I quickly searched a few random items to see if they could be had cheaper- they could, some saving quite alot !
Shame really cause I still get excited flicking through the pages seeing what new tools are available. It's good in that way as a resource to see new things available, just need to be a bit more careful where I buy them from

 

[woodfarmer]

All I can add is, with hindsight I would gladly have paid an extra £100 to have bought my bandsaw from Axminster.

 

[Inoffthered]

[/quote]

Interestingly D&M have a high street store so not just an online presence further suggesting that having retail premises doesn't mean you automatically have to be dearer than an online only operator.[/quote]


Yes, they have 1 shop which is a bit different to having six scattered around the country in Warrington, Nuneaton, Axminster, High Wycombe, Sittingbourne & Basingstoke.

 

[Doug B]

Yes, they have 1 shop which is a bit different to having six scattered around the country in Warrington, Nuneaton, Axminster, High Wycombe, Sittingbourne & Basingstoke.

This is true but Screwfix have significantly more stores than Axminster & as my post in Matt@'s thread showed they are considerably cheaper than Axminster on like for like products.

Incidentally if you have a shop or show room many manufacturers will give bigger supply discounts on their products over what they offer to online retailers as the sellers as they are displaying their wares to the public.

 

[jim_hanna]

The Axminster own brand planes used to be at very reasonable prices but now they are branded as Rider with a considerable price increase.

I purchased an Axminster Small Router Plane in November, cost me £26.94.

The new catalogue has an identical looking item, now branded as an Axminster Rider No. 271 Small Router Plane, and costs £44.96.

Jim

 

[Hemsby]

I do like the catalogue but pricing for a year in advance must be a nightmare. I wonder what proportion of their customers rely on the catalogue and do not have access to the internet.

Hi,

It is normal practice for companies to produce catalogues for the forthcoming year and when it is published it will probably already be months old due to production time.

The published prices & specifications are only effectively current at the time of the catalogue inception and can if needed be changed at anytime due to the companies terms & conditions (in the catalogue) this includes AXI which enable prices to be increased or reduced as long as when an order is received the customer is advised of any changes and they can then accept of decline the change.

This is why many companies no longer produce catalogue hard copies much preferring online advertising of products enabling any changes to be made almost immediately and obviously the cost of catalogue production & distribution.

 

[Phil Pascoe]

Just hunt around - I paid £265 for my small bandsaw when Screwfix were asking £420 for one. Any loyalty goes out the window with that sort of difference.

 

[Inoffthered]

Just hunt around - I paid £265 for my small bandsaw when Screwfix were asking £420 for one. Any loyalty goes out the window with that sort of difference.

Thats the point I was trying to make earlier, a few clicks and it 's easy to find price comparisons. In the "old days" when the options were a catalogue or a trip to a shop it was harder for the consumer to find the best price. ...t'internet has changed all that.

Not sure I agree with the comment that suppliers give bigger discounts for displaying products. The supply agreements i have seen recently from some of the big retailers try to screw the suppliers into the ground. As an example one high street chain (never knowingly undersold) demand a discount on all items supplied, they then take a retrospective rebate up to 10% depending on the volume of sales, they also demand a 2.5% discount as a contribution to their marketing costs. There is a 5% fine if any deliveries are late for whatever reason. To cap it all they then have the right to claw back any margin lost if they choose to put items into a sale. When you add together the discounts/rebates etc that the store demands the suppliers margins have been shredded. Then with payment between 60 and 90 days, the cash flow isn't too clever either.

 

[Doug B]

Just hunt around - I paid £265 for my small bandsaw when Screwfix were asking £420 for one. Any loyalty goes out the window with that sort of difference.

Completely agree Phil, as I said in the other thread I don't find Screwfix cheap as you've shown yet they are still beating Axminster by a considerable margin on Bosch branded items.

 

[Doug B]

Not sure I agree with the comment that suppliers give bigger discounts for displaying products. The supply agreements i have seen recently from some of the big retailers try to screw the suppliers into the ground. As an example one high street chain (never knowingly undersold) demand a discount on all items supplied, they then take a retrospective rebate up to 10% depending on the volume of sales, they also demand a 2.5% discount as a contribution to their marketing costs. There is a 5% fine if any deliveries are late for whatever reason. To cap it all they then have the right to claw back any margin lost if they choose to put items into a sale. When you add together the discounts/rebates etc that the store demands the suppliers margins have been shredded. Then with payment between 60 and 90 days, the cash flow isn't too clever either.

But that sounds,all be it forced, that a supplier is agreeing to give bigger discounts to a shop displaying it's goods, whilst I don't agree with the way a lot of very large retailers do business, the supplier must want the shop to take its goods or they wouldn't supply them. At the end of the day the high street is where manufactures want their goods displayed, they need people to see their goods.

 

[themackay]

I have bought quite a lot from Axi this year including a Jet 3520 lathe most of my woodturning bits and pieces were bought through my woodturning club which gets discount so that helped.I have also bought a few items from Dieter Schmid at a good saving on UK prices and also from the USA.I spent @£350 on USA order asked small well known uk company for a bit of discount wouldnt knock a penny of so bought from states and still made a substantial saving even after paying duty etc.The thing that gets me about pricing is its $99 £99 or 99 Euro and it doesnt seem to mater where the item is made we would be ok if the Euro was 1.7 to the pound like it was at one time,it is going the right way so who knows.I also tried a German supplier to buy a Wivamac lathe at a large saving on uk price but after a few emails the just kept pointing me to the Toolpost and said they were unable to supply me with one illeagal methinks.

 

[Inoffthered]

But that sounds,all be it forced, that a supplier is agreeing to give bigger discounts to a shop displaying it's goods, whilst I don't agree with the way a lot of very large retailers do business, the supplier must want the shop to take its goods or they wouldn't supply them. At the end of the day the high street is where manufactures want their goods displayed, they need people to see their goods.

That may be true for some suppliers and for some products but the change in buying habits is beginning to have an impact. For suppliers it is a trade off between low margins and being screwed over for exposure in a big retailer versus lower volumes and high margins by using different routes to market. It is easy to become a busy fool chasing turnover and ignoring profit.


As for Axi, I have to give them a big thumbs up for their delivery service. I ordered a sliding table for my TS200 and it arrived within 24 hours. =D>

 

[Bodgers]

This is why many companies no longer produce catalogue hard copies much preferring online advertising of products enabling any changes to be made almost immediately and obviously the cost of catalogue production & distribution.

Exactly.