Why doesn't the price of imported motorhomes come down as the exchange rates improve in our favour?

[BobtheBass]

The title says it all really. If, say a German motorhome is priced using an exchange rate of 1.2 euros to the pound and the rate improves significantly, who pockets the difference, as the price to the purchaser certainly doesn't come down. And yes, I know it can equally well work the other way as well.

 

[TheCaller]

I know that importers were delaying fixing the 2015 price lists because they didn't want to have to change them all if the exchange rate moved a lot further,

The importer/dealer is paying in euros, so they are the ones to gain or lose - in theory. But the buyer who is on the ball knows which way the rate has moved since the prices were fixed in the autumn, so they know whether the dealer will have more of less margin to negotiate with. So while the headline price won't change, the amount of cash finally handed over could well do. Or something extra off the options list chucked in for free, depending on your priorities.

 

[GJH]

I'm sure that's part of the explanation but, with a market affected not only by the seasons but also by the overall economy, I bet some dealers are taking the opportunity to make up for past and future lean times.

 

[DABurleigh]

UK headline prices are well up on German prices. I know nothing about UK discounts, however.

Dave

 

[The Wino]

There seems to be some confusion the price is what they can get away with/what someone will pay there's no such thing as a "correct " price regardless of the exchange rate. The price therefore varies in different markets exchange rates will play a part but most things will be way cheaper in countries like India as they would not sell at a european price (althoughb they do not have to pay european wages to their staff). The same will be true across europe but to a lesser extent.

David

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[steevie]

its just another case of rip off Britain. We are known for not daring to haggle, so prices stay high, when in fact the actual price can be considerably lower due to exchange rates. Best example is the price of British vehicles in the US. Such as Range Rovers are the same price in dollars as we pay in pounds, and they have had to transport them thousands of miles. Get stuck in and haggle, the worst thing they can say is no, and then you up it a bit. In times gone by, I have known people who have travelled to Ireland or Belgium to get their cars thousands of pounds cheaper, and had a bit of a holiday out of it aswell.

 

[Ber090]

Most Companies producing in Europe will agree the exchange rate ahead for the year and set the UK price on that.They are not currency speculators as remember exchange rates go down and up. Would you want to agree a price now for delivery next May based on a moving exchange rate?
Cheers
Bernie

 

[Badknee]

If I was buying new I would buy from the factory. We visited the VW factories in 1979 and there were loads of families picking their cars and campers up from them.

 

[Jamwitt]

Is it cheaper to pick up from factory no dealers involved

 

[The Wino]

Is it cheaper to pick up from factory no dealers involved

We bought a new imported Ford Galaxy years ago when the exchange rate made it a good deal from exeprience I would pay more and have a local dealer to go to when there's a problem. Given the reliability of the habitation part of some motorhomes I would say a factory direct deal (if available ) might be a good idea if its less than 50 miles down the road but trying to sort out warranty issues on a personal import strikes me as a fast way to a load of stress. As for rip-off Britain I usually find most people feel the industry they are in offer a good deal and good service but everything else is a rip-off!! if there was a land of high wages cheap goods low taxes and good social heath care we would all be moving there there isn't. Yes things are cheaper elsewhere someone was telling me how cheap it is to live in India..not if you earn a living there!!

David

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[scousebird]

Didn't Hobby reduce their prices or did I dream that?

 

[irnbru]

We are known for not daring to haggle

A good scot like me will have great haggling skills

 

[Littlewheels]

The Dealer/Importer would forward buy the Euros with their Bank, Say they have three units coming a month at €50k - €150k to pay they have booked the €funds at an agreed rate often months in advance.They cannot gamble on rate/market movements.

They then know exactly the cost of the MH and sell at price that reflects market conditions etc.