Festool

[limpet9]

Hello
Due to the generally positive reviews here and on the Youtube reviews of Festool equipment I had been doing some research on the different tool options and the pricing of various bits of kit.
Here are my conclusions

I was particularly interested in firstly acquiring the Festool ETS 125 EQ sander and did a bit of shopping around. I found that the price in the UK was consistently around the £260 mark. Unfortunately I stumbled across a couple of U.S websites during my search and was astounded at the price difference.

Specifically-:
U.S. website ( one of several with the same pricing )
Festool ETS 125 EQ
Inc. Filter Bag
Power cord
Stickfix Sanding Pad
T-Loc Systainer 2 Tool case..........$195

Compared to UK website d-mtools
Festool ETS 125 EQ
Inc. Filter Bag
Power cord
Stickfix Sanding Pad
T-Loc Systainer 2 Tool case........£260

Now at the current exchange rate ( £1 = $1.53 ) $195 equates to £127.50.
Obviously the U.S. price is before sales tax so let`s add some tax and see what happens.
Sales tax in the U.S. depends on which state you are resident and appears to vary from zero to about 18%. So if we overdo it and add 20% ( the same as the UK ) the total comes to $234 ( this equates to £153 ).

So the price of identical Festool items, one in the U.S. and one in the U.K. in a like for like tax environment varies from £153 ( equivalent to $234 ) to £260 which is a difference of 70%!!!!!!!!
Is it any wonder that 95% of all the Youtube videos extolling the virtues of Festool equipment are from the U.S.....no-one else can afford them.

I have decided to keep the money in my pocket and do without as I don`t like the idea of being taken for a fool and being expected to pay over the odds for something so that people in the U.S. can have a better deal.

Perhaps globalism is only meant to work for a certain few.

Limpet

 

[HOJ]

Perhaps its because they are 110 volt, so half the price! :roll:

 

[deema]

I have run global businesses making and selling manufactured goods and can make a few suggestions for the apparent discrepancies.

Selling in different currencies is a pain in the bum. Exchange rates change and without a crystal ball you have to make an estimate of what is likely to happen over the next 12 months. Retailers catalogues are normally set about 4~6 months before they are published, so as a manufacturer you have to pitch your products to them 18 months before the last sale you will make at the set price occurs. The manufacturer takes all of the currency risk. In 2014 from Jan to almost September the dollar was falling in value against sterling and the Euro, with a continuous downward trend. It got to c $1.8 : £1 so whatever decisions were made on price where set against this back drop. To make comparisons now are a little unfair since if we all could have predicted the movement of the dollar against sterling we would have invested all our money in dollars in June 2014 and exchanged them back today. Beats working!!

The U.K. Is the biggest pain to sell anything to. The customer laws are punitive against the manufacturer. So, taking your product, you can buy a sander online, use it for a while and then send it back because it's 'faulty' or I just don't like it and get your money back. Guess what a lot of people do? Now guess who has to pay for it compared to a market where these laws don't apply...like the USA? Depending on the product return rates can be up to 25%!

Compared to the entirety of Europe, the U.K. Complains more, requests more compensation and returns more goods than any other country I dealt with. 99% of the problems are pure fabrications / try it ones, I've used it and now don't need it so I'd like my money back please, I've been injured because you didn't say for example 'boiling water would burn me' type claims. Needs a lot of resources and costs a lot of money to manage.

In summary, the U.K. Is justifiably more expensive for most products because of the publics behaviours and attitude (just think of all the injury claim lawyers that need to be costed into a product). Now I'm sure there will be lots of people that will say that if your products perfect it won't cost you anything...wrong! To mount a Small Claim costs the individual I think from memory £80 and five minutes of their time on line. To prove your product is defect free costs a lot more than the maximum penalty of £5K, so most just pay up if you push it.

The damage that is done through social media is emmense to a company's reputation and brand, so again to mitigate this effect they generally resolve problems even when they are not to blaim......and an awful lot of people know this.

 

[Doug B]

It's not just Festool gear, most of the brands of tools I've looked at in America end up being at least the same amount in £ as they are in $ by the time they get to Blighty, if not more, regardless of what the exchange rate is doing.

If you are going to restrict your tool purchases to those tools that have an equal value both in Britain & America you are going to have a limited choice.

 

[Jmac80]

Power tools / nuts and bolts sell that sander for £215. Bit cheaper than £260

 

[yorkshirepudding]

I've stopped doing such comparisons since I'm resigned to the fact I can do nothing about it. If you think the tool situation is bad just try motorcycle tyres other m/cycle parts. It will bring tears.

 

[Sporky McGuffin]

I recommend consoling yourself with thoughts of our much more generous employment, pension, holiday and healthcare systems & allowances. Also weeping quietly.

 

[vanitycat]

Or you could by the sander and send it back after a little bit of use ;-). Say the black and green, clashed with your outfit ...