Forums > Stand Up Paddle General

The Aussie made hot potato

Reply
Created by CMC > 9 months ago, 29 Oct 2011
CMC
QLD, 3954 posts
29 Oct 2011 9:40AM
Thumbs Up

Right... This topic has always been a hot potato. Before you click the red thumb just bare with me and read my thoughts.

The major surf sites Coastalwatch and Swellnet right now both have as feature stories tales of the Aussie Industry doing it very tough and major manufacturers closing their doors. This topic deserves a mention here purely that I would estimate that 70-90% of shortboards in the water are Aussie made. SUP's on the other hand are probably 2-5% made in Australia.

I will make no tirade of Anti Asian rhetoric here, this is pro Aussie not Anti Import, there is a difference. Also those that know me also know that I work for a company manufacturing in Asia, we export from Australia 70% of our sales value to our producer in Asia in raw materials. We import to Australia 5% of sales and export manufacturing materials to domestic producers globally who also compete with completed imported products. It's a global economy and I am not ignorant to this fact.

To my point, I know that people need to make money to survive, this includes importers, distributors and retailers. These people are Aussies and feed Aussie families, they are regular good hardworking people spending their money in Aussie businesses. On the other hand there are Aussie manufacturers that share the same goals, many make as good or better product than what is imported yet struggle based on marketing and distribution to really get their product into peoples hands. EDIT: I am suggesting selling both, import and local, not one or the other!

The consumer I believe given an equal option of price, availability, quality and recognised design would happily purchase Aussie made products.

SO...... Here's the challenge: If the very clever people working in our amazing retail stores, distributors and wholesalers were able to work together in agreement with Aussie manufacturers to sell their product and each benefit from a win-win situation is it not possible that we could at least improve the situation for the Aussie manufacturing industry to at least supply 10% of the market???

The margins do exist for this to happen if it is structured correctly, if the consumers support it (very important!) the wholesalers and retailers actually increase sales as they do not access this market presently.

These are just thoughts of course but I know far too many people losing jobs already. If you are a local business owner as well these people are now not spending money in your business, it has a knock on effect and there is a solution to help each other in these times.

Are we prepared to help??


P.S. I have been ill and not surfing, my energy needs to be directed somewhere. Sorry about that.

CMC
QLD, 3954 posts
29 Oct 2011 9:54AM
Thumbs Up

Thanks for the 1st red thumb, I expect many more. Also that someone will probably report the post to Administrators.

Expect to see more on this issue.

At this time there are stories coming on ABC and it is 95% that there will be a feature on SBS Insight program as well.

The Australian surf industry contributes 3 billion per year to the Gold Coast economy and 11 billion to the Australian economy. Surfboard manufacturers are the backbone of this and part of Australia culture just as Vegemite and Cricket.

It deserves our recognition and support. This is not Us VS Them, this is a call to action to work together!

rager
QLD, 437 posts
29 Oct 2011 10:31AM
Thumbs Up

I see it a bit like this. Stand up paddling is only in its infancy as a sport so people getting into it are more likely to follow and go for well known brands that they see a lot of. As the sport progresses more and more people are going to be looking for equipment that suit their local conditions and specific needs. This is where locally manufactured boards will have a definite advantage. In saying that I think the local industry need to promote their products more and give the public more information if they want to compete.

CMC
QLD, 3954 posts
29 Oct 2011 10:36AM
Thumbs Up

P.S. Just another little tip for importers here.

It would be a great idea for you to now ensure that your country of origin labeling is up to scratch. As part of this media attention is the non compliance issue. This ball is now spinning and you will be hurt financially if you are not aware.

Here is the customs ruling and below a photo of a very obvious contravention.

www.homeaffairs.gov.au/

A bit like this:



chrispychru
QLD, 7932 posts
29 Oct 2011 10:37AM
Thumbs Up

cmc ,glad you posted your thoughts. its a tough world but we should always try and buy aussie made anything. unlike you,im to surfed out atm to go into my thoughts

62mac
WA, 24860 posts
29 Oct 2011 4:53PM
Thumbs Up

Good luck I say,Australians will always support there sporting teams and rightly so.
However the manufactures receive FA form both the public or government.

I was a passionate Australian Made manufacture for many years employed over 100 local hard working GC people only to get smashed by cheap imported products.
Now 4 years on I'm in the same industry but import and employ 4,so go figure with the sad unemployment figure here on the GC and wonder why.

I sat on the national board of directors for 6 years to try and save our industry but it failed we lost the fight.Does it hurt?sh-t yah and still does,many of the companies I was involved with over 20 years are no longer.

I ride and order custom Mctavish Longboards for the past 13 years and ride a PSH sup.

Kite Mag
VIC, 154 posts
29 Oct 2011 11:19PM
Thumbs Up

I was just talking about this yesterday with a friend.
Names such as George Rice, Trigger Brothers and others are very much part of our heritage, just like Qantas is.
I can see the same happening is Laguna Bay an dale chapman and others.
I still ride a 1960's Byrne swallow tail short board and will never part from my early 90s Gash 6 8 Gun.
Both boards were bought second hand for around $30 but are worth more as collectors items now. Only problem is I will never part from them because there are too many good memories associated with them.
The key is to build a bigger surf industry and to make public the benefits and joy that comes with the sport.
Now that we can Sup anywhere there is water and there are more waves to surf, we can only expect participation to increase.

JonWest
QLD, 105 posts
30 Oct 2011 4:02PM
Thumbs Up

CMC said...

P.S. Just another little tip for importers here.

It would be a great idea for you to now ensure that your country of origin labeling is up to scratch. As part of this media attention is the non compliance issue. This ball is now spinning and you will be hurt financially if you are not aware.

Here is the customs ruling and below a photo of a very obvious contravention.

www.homeaffairs.gov.au/

A bit like this:






How do you label the blanks you import from Thailand Chris?

CMC
QLD, 3954 posts
30 Oct 2011 7:52PM
Thumbs Up

We use a distinctive flourescent colored stringer. It is impossible to permanently mark a blank given that the outside is removed. All resins and fiberglass are also imported, these are also impossible to label. As I said above as well our business is targeted at container direct business mainly in the Northern Hemisphere that the export of raw materials from Australia benefit from.

We make no misrepresentation of where they are made. When I took the job I visited each local (blank) manufacturer and explained what I was doing. I was even referred customers and have a dialogue with them. As the OP is about working together i try to practice what i preach.

The labeling issue as below is based upon people being led to believe a product is made in Australia or Hawaii etc via branding etc but the product imported. This may or may not happen in SUP as many people have come from a non surfing or windsurfing / kite background and are very comfortable with imported product.

My point here was an inside tip you might say, I wanted to make sure people knew of the laws and certain peoples pursuance of them via media outlets etc. I'd hate to see innoncent people harmed here.

Thanks for the chance to further clarify though Jonwest.

JonWest said...

CMC said...

P.S. Just another little tip for importers here.

It would be a great idea for you to now ensure that your country of origin labeling is up to scratch. As part of this media attention is the non compliance issue. This ball is now spinning and you will be hurt financially if you are not aware.

Here is the customs ruling and below a photo of a very obvious contravention.

www.homeaffairs.gov.au/

A bit like this:






How do you label the blanks you import from Thailand Chris?


Toadwhispera
QLD, 223 posts
30 Oct 2011 9:40PM
Thumbs Up

Select to expand quote
CMC said...

Right... This topic has always been a hot potato. Before you click the red thumb just bare with me and read my thoughts.

I've had lots of people over the past few years ask me about boards and what to buy, I give them my opinion .."buy something good quality that will last and also for re-sale value" but nine out of ten they end up buying the cheapest board they can find ..and you say what about the so and so and the blah blah brands that we disgust and they say ."Aw I just wanted something cheap just to get me out there on the water" so only a small minority are going to buy local custom boards, sad but true... besides stacks of people starting SUP have never even surfed before.. "oh I just want something that my family and me can paddle around in the creek it looks great for exercise"... then.. alas.. a month later you see them in the line up, haha

pandahill
QLD, 14 posts
4 Nov 2011 2:34PM
Thumbs Up

Not sure if this might warrant a new thread? (Admins feel free to move)

I would love to see a list of SUP brands made in Australia or designed in Australia, ie any Australian content clearly identified??

I have see a couple of sites claim to use Australian blanks, or Australian cores for their SUPs. Does this mean the board is "made in Australia"? or did they ship a blank overseas then have all the hard work done by cheap labour and imported back to us?

rager
QLD, 437 posts
4 Nov 2011 3:25PM
Thumbs Up

The main problem is that compared to shortboards or a mal a SUP when you include a paddle is relatively expensive (although I believe short boards are too cheap for the work involved but that's a whole other can of worms). For many surfers it will be something they have for when the waves are ordinary and therefor not warranting a big price tag and for the novice it will be something they have in the garage next to the fishing rods that they can pull out when the suns out a few times a year, put the family on and paddle up and down the creek. This will always make the imports attractive as the price difference in $ value between an imported SUP and a local SUP is a lot greater than with shortboards and mals.

teatrea
QLD, 4177 posts
4 Nov 2011 3:45PM
Thumbs Up

Facts are the Aussie made stuff will never compete with imports on price every one knows this , so the obvious comes down to what you get for the extra $$$ over and above just the satisfaction of buying Aussie. Is it quality , warranty , performance or service?Guarnanteed trade in value maybee?Aussie shapers need to find new ways to sell their products , if they try to sell on price , they go broke.

CMC
QLD, 3954 posts
4 Nov 2011 5:21PM
Thumbs Up

Teatree and Rager are correct, on price alone imports particularly lower models will win every time. For a part time rider or Novice the added price will probably never be justified.

Aussie boards can probably only be viable at the top end of the market for the more discerning customer. Using this site as a test case the best surfing on video performance apart from Jacko is all happening on custom boards. Casso, Goatman, Dogman, Keahi (even though it's painted as a production board), Noel, Kizza, The guy in Vicco on his 4wd boards, he guy with Hobie now and riding Nick Blair boards with Hobie stickers. All on Customs. There are more guys for sure. As I said in that Board vs Skill thread these guys could ride anything for sure but to squeeze the last drop of performance out they choose to customise.

In the race scene it's Danny Ching, Travis, Jamie, Kelly, Slater, Connor baxter etc all on customs or to be politically correct here Prototypes at the pointy end of the big races.

The key for the Aussie shaper is supplying customs and the top end, people seeking higher performance or those that don't wish to look like a Droog from A Clockwork Orange and look the exact same as everybody else. Comply!

Teatree and Rager both made good points above as well that if Aussie shapers want to do well they will need to offer something different or have better info supply.

Hence the nature of my original post, if the imported boards satisfy the mass market and the custom stuff is the top end I think there is room for a retailer or wholesaler to market to the top end with customs as well as the stock stuff. It's a different market with a different price point. Edit: They will probably stock a bottom end cheapy punter board as well. It's just supplying the whole market.

CMC
QLD, 3954 posts
4 Nov 2011 5:31PM
Thumbs Up

pandahill said...

Not sure if this might warrant a new thread? (Admins feel free to move)

I would love to see a list of SUP brands made in Australia or designed in Australia, ie any Australian content clearly identified??

I have see a couple of sites claim to use Australian blanks, or Australian cores for their SUPs. Does this mean the board is "made in Australia"? or did they ship a blank overseas then have all the hard work done by cheap labour and imported back to us?


Will never happen until Aussie shapers (or their distribution partner)punt up and advertise here.

I can tell you from a fairly educated opinion that there is nobody shipping shaped EPS cores to China to be glassed and re-importing them. EPS is freely available in many forms everywhere, so are shaping machines. There is no need for this at all.

I read that site and I think they were making a play on words that they designed them in Australia. This is actually an example of the misleading nature discussed in the customs document above, I guarantee that brand imports without the required by law country of origin decals. By telling people that they are Aussie shapes, Aussie brand etc as well it's kind of misleading eh???

aus301
QLD, 2039 posts
4 Nov 2011 9:48PM
Thumbs Up

CMC said...

Aussie boards can probably only be viable at the top end of the market for the more discerning customer. Using this site as a test case the best surfing on video performance apart from Jacko is all happening on custom boards. Casso, Goatman, Dogman, Keahi (even though it's painted as a production board), Noel, Kizza, The guy in Vicco on his 4wd boards, he guy with Hobie now and riding Nick Blair boards with Hobie stickers. All on Customs. There are more guys for sure. As I said in that Board vs Skill thread these guys could ride anything for sure but to squeeze the last drop of performance out they choose to customise.

In the race scene it's Danny Ching, Travis, Jamie, Kelly, Slater, Connor baxter etc all on customs or to be politically correct here Prototypes at the pointy end of the big races.



The problem at this end of the market is that shapers, board manufacturers and shops don't make a great deal if any money from these guys. So those that create the market for high end designs end up sponsored, or at least getting looked after, then that market doesn't really create a sustainable business model.

Teatree's point about how they differentiate themselves is spot on the money. The Aussie guys need to look at strategies that don't see them competing dollar for dollar, but embracing what they can offer, even to the punter, that is a selling point over an import. And honestly, they also need to advertise. It is really easy to find out everything you might want to know about the big multi nationals, but try to find out the same amount of information about some of the local brands and it just isn't there. It really isn't that expensive to build a web presence and keep it up to date.

Its probably also worth noting that unlike surfing that had 40 odd years to establish itself prior to having to deal with imports, SUP is vastly different. in SUP the imports came at the same time as the sport started, this in itself will be a huge hurdle for many local guys to overcome. The brands that were on board from the start already had a lot of experience in importing boards through their links to Windsurfing and they had the money to back them, along with an established loyalty through their existing business. Surfing I don't believe has ever had this sort of an attack from imports, primarily due to the difference in the evolution of the two sports.



Subscribe
Reply

Forums > Stand Up Paddle General


"The Aussie made hot potato" started by CMC