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This article is regarding clothes, but the implication is that Games Workshop move to stop Maelstrom and Wayland Games from shipping to Australia in May 2011 may be against Australian competition law
http://www.theage.com.au/national/probe-into-retailing-on-the-net-20120517-1ytns.html

the Age wrote:
''We will make sure that the established players aren't doing anything against the [law] to block consumers from getting the benefit of the extra competition that they can get through buying online,'' he said.

Mr Sims said companies found to be engaging in these practices could face heavy fines.

''In some instances we might issue an infringement notice that requires them to pay $6600 per offence … but we could also instigate legal proceedings and, depending on the circumstances, the size of the company, and how much detriment was caused, they could be looking at fines of millions of dollars.''

The consumer group Choice this week called on the watchdog to investigate the growing practice among Australian fashion distributors to reach agreements with the international brands they import to lift prices or stop shipping here.

The Age understands the practice is widespread in the fashion industry, with local distributors successfully preventing dozens of well-known labels - including Paige Denim and Dr Denim - from being sold on popular overseas websites such as Asos and the Amazon-owned Shopbop.

The original post is locked to prevent thread necromancery, so I am starting a new thread

It may be worthwhile for Australian dakka contributors to file a complaint to the ACCC

The only problem is games workshop is not located within Australia. If they were an Australian firm that blocked the product coming in then I could see the aus government being able to do something. But as they are not its just bad GW business.

Couldn't Australia ban GW from selling anything if it's illegal to block internet trade.

Theophony wrote:The only problem is games workshop is not located within Australia.

Yes they are...

It's a slightly diffferent situation though, if I'm reading the article correctly. The companies that the ACCC would be going after are the importers, not the overseas companies. They can't very well issue a fine to an Italian company with any expectation of getting paid any time soon.

However, GW does have an Australian presence, so it's conceivable that the same principles would apply to them. The fact that they have an Australian presence and are blocking online purchases could very well land them in the same boat.

insaniak wrote:
However, GW does have an Australian presence, so it's conceivable that the same principles would apply to them. The fact that they have an Australian presence and are blocking online purchases could very well land them in the same boat.

Yes, if they do have an Australian presence they do have a liability to the ACCC... the case can be made that the local distributor is attempting to block parallel importing, which is legal in Australia. Whether blocking parallel importing is breaching Australian competition law remains to be seen with this test case on clothing importers.

And not just blocking purchases, but slapping enormous imaginary shipping fees on any orders from their own overseas webstores.

While I'm a hypocrite because I get my brother in the UK to send me stuff.......Like what is said in the article concerning the stores in question GW is just trying to protect it's retail stores in Australia they wouldn't be able to sell stuff at prices that are competative with overseas online retailers and still pay their operating costs. These "deals" are just band aid attempts to save Australia's doomed specialist retail store industry. Blizzard cottoned on to people direct downloading the WoW Cataclysm exp because it was $20 cheaper than retail after currency conversion. Now Diablo 3 is mysteriously $20 dollars more expensive to download for an Australian resident after currency conversion......but such measures still didn't stop the GAME franchise from going bust. If the ACCC pursue this it will just hasten the inevitable demise. Course I'm sure the reduced costs of imported goods will be cold consolation for the folks who loose their jobs but then as I say I think it's inevitable.

It's a cliché to say it, but they need to learn that "Resistance is Futile". Adapt and survive.

GW operates a distribution system and a number of shops in Australia.

Unless they are sole traders, they would be constituted as a company under Australian law.

Thus there is a legal entity for the Australian government to engage with.

Well, it's good news if it's true. Having been on the receiving end of the trade embargo when I was living abroad I can definitely sympathise with the position Aussies are in, although had it not been for the ban I had would never have discovered Infinity which I ended up buying instead. So, I guess thanks GW?

It might be worthwhile making a telephone call to the ACCC (or whichever watchdog organisation is involved with this) in any case and see what they have to say. From my reading of it, there would definitely be a case there.

Bout time someone did someting about this.

I'm sick and tired of GW monopolising here in Australia, Paying 50% more then everyone else is ridiculous

I really hope they stop GW from blocking other retailers selling here.

Yak9UT wrote:I'm sick and tired of GW monopolising here in Australia, Paying 50% more then everyone else is ridiculous

GW monopolizes GW products everywhere.

GW's prices in Australia really are absurdly high.

So would that be a potental $6600 fine be for each customer who complains, or is it based on the number of lines they are using these tactics on?

Neither are good, but the former would require folks to actually complain in large numbers to do much damage.

Oh if it goes through based on the nature of the article what GW is doing is exactly what the ACCC are concerned about if the investigation results in the ACCC determining that such practices are in breach of fair trade GW will have to tow the line.

Of course there will be no reason for them not to lift the embargoes because it will ultimatly result in the majority of GW goods sold in Australia being imports because the GW retail stores will all close down.

Yak9UT wrote:Bout time someone did someting about this.

I'm sick and tired of GW monopolising here in Australia, Paying 50% more then everyone else is ridiculous

I really hope they stop GW from blocking other retailers selling here.

This ^ and the forseen price hike, is rediculous. I hate gw for this reason and have stopped using their stores since they stopped wayland from shipping here

KarlPedder wrote:
Of course there will be no reason for them not to lift the embargoes because it will ultimatly result in the majority of GW goods sold in Australia being imports because the GW retail stores will all close down.

Although if GW propaganda is to be believed, the only ones taking advantage of these deals would be Veterans they no longer care about anyways.

I am pretty sure, GW Oz, goes on the same ideal of new customers through their store fronts equals most of their income.

The embargo was pretty much a slap in the face of folks who have followed the company for years and where daring to save themselves some cash, even though GW was still earning money from the UK sellers selling the stock anyways.

I really can't believe this embargo has helped the Australian GW stores much at all.

When the next financial report comes out we can see how effective the GW embargo has been in boosting sales in Oz

zombie wrote:When the next financial report comes out we can see how effective the GW embargo has been in boosting sales in Oz

As I said in my previous post I reckon it will be about as effective in boosting GW AUs retail sales as similar attempts by video games publishers have been at protecting Australian Video Game retailers........http://thewall.com.au/topics/73843-report-game-australia-goes-into-administration

It's old school bussiness grasping at straws desperatly attempting to not have to evolve and adapt.....

I love the example the FDAA chariman gives in the article......If the government would just lower the GST tax threshold we wouldn't have these problems because importing would be too expensive....yeah buddy thats the soloution to the problem.....

In GAME's case it could be market saturation.

We have EB, and we have JB. Did we need a third?

Kilkrazy wrote:GW operates a distribution system and a number of shops in Australia.

Unless they are sole traders, they would be constituted as a company under Australian law.

Thus there is a legal entity for the Australian government to engage with.

Yep, GW owns a subsidiary that operates as the distributor and retailer in Australia. It's Games Workshop Oz Pty Limited.

H.B.M.C. wrote:In GAME's case it could be market saturation.

We have EB, and we have JB. Did we need a third?

If this were an SAT test question, I'd say OB. If filing a complaint with the government watchdog is free, it might be a good idea for someone to submit one regarding GW's policies. You might not be the best choice due to your work with FFG though.

zombie wrote:When the next financial report comes out we can see how effective the GW embargo has been in boosting sales in Oz

I very much agree with your point of view

This could be just what is needed...big enough to get GWs attention, but not big enough to do them in. Maybe if they get hit hard enough they will start to open thier eyes.

Nah, this is GW we are talking about...if they get nailed they will just close up shop in Aus, refuse to ship/sell any product there, and generally deny its existence...

Why would a group of people who have been given bad service campaign to get prices reduced so that they can buy the products of the company who gave them bad service in the first place?

Bloodwin wrote:Why would a group of people who have been given bad service campaign to get prices reduced so that they can buy the products of the company who gave them bad service in the first place?

You live in the UK. Have you ever had to pay the "Australia Tax"?

Log into the GW website and set your country to "Australia" to see what we mean. Look at the prices.



Australians pay 50-100% more on many imported items, simply because we live in Australia. The distributors conspire to set prices high for us. It made sense when the Australian dollar was $0.50 to the USD, but now that we're at parity the prices are still sky-high and we can shop online for half the price. Or get gouged at the bricks and mortar. It isn't about "bad service campaign", it's about principle that we don't like being ripped off by everyone, period.

I can understand that Australian wages are high and we need to support our local FLGS. At the same time, paying $2000 AUD to start an army is something significant for us.

KarlPedder wrote:I love the example the FDAA chariman gives in the article......If the government would just lower the GST tax threshold we wouldn't have these problems because importing would be too expensive....yeah buddy thats the soloution to the problem.....

He's not the first to suggest that. Which seems to suggest that basic maths skills have been lacking here for longer than just Generation Y's schooling... When your prices are twice as high as the rest of the world, adding a 10% tax isn't going to stop people from buying overseas...

New finecast thunderfire canon.

Based on prices from the GW site.

For those in the USA it will cost $56

For those in Australia it will cost $94

Currently the US and Australian dollars are about the same so those prices above represent the actual price difference.

Why are Australians expected to pay almost $40 more for the same product?


Automatically Appended Next Post:
I just checked the equivalent price for my country and it's around $85 and we're smaller than Oz yet same distance away.

I don't understand how GW can actually enforce this when australia is PART of the british commonwealth...

Doesn't the english goverment have a actual say on this as well?

severedblue wrote:

Bloodwin wrote:Why would a group of people who have been given bad service campaign to get prices reduced so that they can buy the products of the company who gave them bad service in the first place?

You live in the UK. Have you ever had to pay the "Australia Tax"?

Log into the GW website and set your country to "Australia" to see what we mean. Look at the prices.



Australians pay 50-100% more on many imported items, simply because we live in Australia. The distributors conspire to set prices high for us. It made sense when the Australian dollar was $0.50 to the USD, but now that we're at parity the prices are still sky-high and we can shop online for half the price. Or get gouged at the bricks and mortar. It isn't about "bad service campaign", it's about principle that we don't like being ripped off by everyone, period.

I can understand that Australian wages are high and we need to support our local FLGS. At the same time, paying $2000 AUD to start an army is something significant for us.

It's not that you are being ripped off. Just how do you expect brick and mortars to pay their employees Aus minimum wage of 14 dollars and some odd cents. Try living on a smaller minimum wage and prices would drop.

If that were the case, why wouldn't GW then sell to Australian retailers at the wholesale UK price, and allow them to have a good mark up on their goods?

The reason is pure profit. They had it good for a long while when the Australian dollar was low. Now it is high or above parity, their income is less.

It has nothing to do with the cost for operating brick and mortar stores. The retailers they sell to get gouged as much as the consumer who goes into a GW store. If GW had some grand altruistic gesture behind all of this, they'd make the prices better wholesale to brick and mortar retailers. But they won't because that's not what is driving this, it's profit and profit alone.

Also, consider that our stock is not boxed and shipped from the UK, nor is it manufactured here, which could account for the higher prices. Instead, it's made in China and boxed in Australia by low wage workers in factories (in an agreement with organisations for the mentally handicapped to give them work that can be done easily, so they aren't paying the best wages here as far as I know).

There aren't that many GW stores in Australia, and the ones that are here aren't huge mega stores with lots and lots of tables with terrain, a lot of staff on hand and the need for a large margin to support that. Instead they are smaller 'outlet' style stores with small tables and a few staff. Nothing which justifies the huge price increase of 75-100% on stock items. Especially since Games Day and grand tournaments are no longer being supported in Australia any more.

For the outsiders who don't live in Australia, you really need to drop this whole "but you get paid more per hour!" line because it's both getting old and also wrong. This is all about GW not having an easy market to poach any longer and them taking whatever steps necessary to maintain their high profits. They'd do really well if they kept prices competitive with the UK and the US. Probably see some expansion in their market. But they're set in their ways, so that's not likely to happen at all.

And also, suggesting we should start living on a smaller minimum wage just so international companies can choose to sell their products to us cheaper (which they won't) is just offensive. Sorry mate, but we actually give something of a damn when it comes to the standard of living in Australia, and recognise that paying bargain basement prices for labour is neither smart nor good for the long term. Companies, no matter how much they say they will, won't ever drop their prices for goods just because the local wage goes down. Especially when a lot of it is imported. To suggest that we'd be better off if we weren't so interested in making sure that people had a living wage, one in which you don't need 3 jobs just to survive, is too far to go. Preach that Libertarian claptrap to someone who can't see through it like a pair of Grandma's old underpants.