Avoid tripping up when buying abroad
D‘Give a girl the right shoes and she can conquer the world’’. Perhaps Marilyn Monroe wasn’t thinking of Asics when she said that, but it pays to listen and be fussy about your running shoes.
Most runners get puffed with excitement when they see the discounted prices on the website Wiggle. But puffy becomes huffy when you can only look, not buy.
Wiggle has the capability to deliver to New Zealand; they’ve just been prevented from doing so. Nike fans can fill their boots and sprint away with free shipping. Asics runners don’t make the start line. If you log on to Wiggle as a UK resident the price of Asicsand other shoes pop up.
Change the location to New Zealand and those three companies disappear.
As a fellow runner, the last time I saw a podiatrist, he was wearing an Asics-branded t-shirt. Like you, I left with a wee card that told me I should wear a model called Nimbus ($280 in New Zealand or roughly $80 cheaper via Wiggle).
It doesn’t take much to figure out Asics have ferreted their way into the heart of podiatry in New Zealand. You have to admire it as a business model and a tool for creating a prestigious brand. They’re doing a jolly good job of sorting pronating from supinating feet and saving our knees, achilles, shin splints and sciatica. Bless their cotton-socked bunyons for delivering Kiwi runners this level of service.
A little poking about on the web and you find that Asics in New Zealand are marketed by Auckland company Brittain Wynyard. No doubt they have an exclusive distribution agreement. The Companies Office shows Chris and Tim Brittain, along with J&M Kirby and LS Mayne, own it. So there are real Kiwis behind the prices of our sport shoes and no doubt they have their own commercial reasons for pricing them as they do.
Is it legal? I called the Commerce Commission, to get a statement and was provided with the dry tones of; ‘‘It does not breach the Fair Trading Act or the Commerce Act and is a contractual right Asics can bestow’’. Oh good, we’re all delighted to have to pay more. The high price, low volume business model has been bestowed. We cannot be saved by British knights like Wiggle shipping the shoes to our letterbox.
Oddly, the same sales restriction isn’t in place for our Aussie friends at slashsport.com. They’ll ship over that $280 pair of ASICS for $NZ$194.38, but unlike Wiggle the shipping isn’t free. They estimate $29 in postage. That’s close to the $225 limit for footware, imposed by NZ Customs.
Use whatsmyduty.org.nz before you buy. Customs waive any duty and GST charges under $60, but it’s easy to trip up.
The $225 limit on shoes is not based on your original purchase price. They add 10 per cent duty and your freight costs. Those charges might trigger the $225 limit and cause the duty/GST bill to tick over $60. Then they’ll pounce with an extra $46.89 fee for import entry and biosecurity. Ouch.
At the end of the day there is still a competitive market for running shoes in New Zealand. We can all wiggle our big toe at Brittain Wynyard and buy a pair of Nike or Mizuno online.
Plenty of long-time runners are doing just that. They know their size in a brand and use a combination of advice from podiatrists and websites like runnersworld.com and runningshoesguru.com, for information on the level of structuring in a shoe.
Despite the wealth of online advice and the heightened prices of high street stores, I still think new runners should avoid this route until they’ve worn through a few soles. The expertise of Asics, a podiatrist and stores like the Shoe Clinic could make the difference between a life-long runner and one who gives up with niggles. It pains me to say this, but sometimes the financial brain doesn’t win.
For those who see it differently, there are ways around the shipping issue.
Companies such as Prezoom and Youshop have solved the problem. Youshop is owned by NZ Post and will provide you with a UK or US address to enter into the retailer’s website. They seamlessly forward your parcel to New Zealand from this address. It’s one way of getting Asics to New Zealand, but Wiggle will ship Nikes all the way here for free.
There are two things to be careful of: The postage cost. If your shoe parcel weighs between 500 grams and 1 kilo, the postage is $NZ21 using Youshop. But there’s a funny little calculation called volumetric weight, which can increase the price. Put in the rough dimensions of a shoebox and the cost goes up to $36. You pay the greater of the two. Check Prezoom’s prices to compare. GST charges at the border. Most of us know you don’t get charged GST on online goods worth less than $400. Beware the limit for shoes (and clothes) is only $225. Duty, freight or a sneaky pair of socks added to the order can trigger the limit.
Email questions to starkadvice@gmail.com, subject line: Financial Agony Aunt. Anonymity is guaranteed.
Janine Starks is co-managing director of Liontamer Investments. Opinions in this column represent her personal views and are not made on behalf of Liontamer. These opinions are general in nature and are not a recommendation, opinion or guidance to any individuals in relation to acquiring or disposing of a financial product. Readers should not rely on these opinions and should always seek specific independent financial advice appropriate to their own individual circumstances.