Asian bat prices compared to Western bat prices.
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japanoj

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Asian bat prices compared to Western bat prices.
« on: December 26, 2011, 10:48:03 PM »

hi all

I have been playing league cricket at adult level for about 16 years now.

And throughout those 16 years i have always used Asian cricket. The reason being this is based on price of the bats compared to the likes of GN, GM  ETC...

What interested me the most has been , not only there is a huge difference in price but i thinking is that if i paid £150 for an Asian bat, this bat would probably be top of its range for that manufacturer. Top quality English willow etc..

For that amount of money i would probably get a grade 1 or 2 bat made by a NOn-asian manufacturer.

I know there are labour differences in western countries and Asian countries, however does this account for a massive difference in price?

Example.

CA 12000 Test bat, retails around the£ 220 mark.

Gray nichollas Legend bat retails around £400-500 mark.

Probably made with similar grade wood but yet almost double the price?
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Johnny

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Re: Asian bat prices compared to Western bat prices.
« Reply #1 on: December 26, 2011, 11:32:03 PM »

I think you'll find that the likes of GM and GN spend a lot more money on marketing and endorsements which get absorbed into the price of the bats.
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kaustav

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Re: Asian bat prices compared to Western bat prices.
« Reply #2 on: December 26, 2011, 11:37:45 PM »

More than endorsements I think the cost of labor is really important here. A reliable source had once told me that one can get a Grade 1 bat made in Pakistan for a cost of 20 dollars. Plus the cost of the willow that is. And to be honest there is also this special markup for a bat made in the UK I feel.

Not talking about quality but Asian bats do give a lot of value for the money.

CA, SG etc endorse a lot of players too.

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Johnny

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Re: Asian bat prices compared to Western bat prices.
« Reply #3 on: December 26, 2011, 11:46:37 PM »

Many of the 'Western' brands are actually Indian made though, so Labour can't be that big a factor
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kaustav

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Re: Asian bat prices compared to Western bat prices.
« Reply #4 on: December 26, 2011, 11:53:14 PM »

Yeah-- that is why many of us get infuriated----I mean who would pay so much for Sondhi made Slaz or SG made Adi and Nike?

So there are two factors involved:

a) Labor

b) Brand name
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yvk3103

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Re: Asian bat prices compared to Western bat prices.
« Reply #5 on: December 27, 2011, 12:16:13 AM »

Yeah-- that is why many of us get infuriated----I mean who would pay so much for Sondhi made Slaz or SG made Adi and Nike?

So there are two factors involved:

a) Labor

b) Brand name

Cost of

1. Shipping clefts to India
2. Shipping of final bats back to the UK + customs + VAT etc
3. Cost of developing new style of grips each year
4. Cost of tooling of new profiles
5. Increase in sponsorship wages in line with inflation :)
6. Wages and costs  of reps visiting dealers
7. Replacement/returns
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kaustav

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Re: Asian bat prices compared to Western bat prices.
« Reply #6 on: December 27, 2011, 12:17:20 AM »

Now that is thorough mate  ;)
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Johnny

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Re: Asian bat prices compared to Western bat prices.
« Reply #7 on: December 27, 2011, 12:21:39 AM »

Surely all 7 factors apply to both types of brand?

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yvk3103

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Re: Asian bat prices compared to Western bat prices.
« Reply #8 on: December 27, 2011, 12:29:34 AM »

Surely all 7 factors apply to both types of brand?



Not all 7 apply.

Not heard of a single Indian company having reps visiting shops for orders and PR. A rep gets paid anywhere between £18000-£30000 p.a. plus bonuses and possibly fuel/company car.

How many new shapes have you seen in the SS, or SG or BDM, CA ranges?

Have not seen any of the above companies changing their grip styles in the last 2-3 years

Indian companies are entitled to duty clawback in lieu of the value of the exports, which GN, Kookaburra, Adidas etc are not entitled to.

SS and SG would benefit from the volume of clefts that they import - possibly get better prices, lower cost of shipping per cleft etc.
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Johnny

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Re: Asian bat prices compared to Western bat prices.
« Reply #9 on: December 27, 2011, 12:33:02 AM »

Fair points Yash - SS have some reps don't they, though having said that I have a feeling they are ICC employees, not SS.

The economies of scale is definitely a good point.
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yvk3103

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Re: Asian bat prices compared to Western bat prices.
« Reply #10 on: December 27, 2011, 12:43:34 AM »

Fair points Yash - SS have some reps don't they, though having said that I have a feeling they are ICC employees, not SS.

The economies of scale is definitely a good point.

I am sure SS would not be paying for the reps :) Moreover the cost of the reps could well be divided between SS, Albopn and County :) (Same as Aero and Nike are done).


Assuming a company has 5-6 reps and each with a CTC of £25,000. Then this alone adds £125,000-£150,000 to operational costs. Assuming they sell 5000 senior bats a year, this on a average adds £25-£30 to cost of each bat. It could be £60 for a top of the line Players or LE bat and £10 on a Grade 3/4 bats or other lower grades.

So a top of the line SS/CA bat that sells for £270 is now £330 with this single factor alone. This will push the rrp to £400 mark
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Tom

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Re: Asian bat prices compared to Western bat prices.
« Reply #11 on: December 27, 2011, 06:24:05 PM »

If you're paying £150 for an Asian bat, the chances are you're buying it from Asia and importing yourself.

They're cheaper out there because there's less people in the supply chain. It's manufacturer who sells to the store. Also in India, retailers work on lower margins - 30% compared to the almost 50% here.

In the UK there's generally 3 people all wanting to take a cut. The maker, the brand and then the store. One of the main reasons why prices are higher (people will pay higher prices here too)
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