Triumphrat

seniorbiker

I just checked the exchange rate for Jan. 23, 2008 vs. Jan 23, 2009.

1/23/08 $1.95 to buy 1 English pound

1/23/09 $1.36 to buy 1 English pound

So, English currency is alot cheaper for us to buy in 2009 than at the same time in 2008.

Using the same logic, shouldn't their products be alot cheaper for us to buy, Triumphs included? So why are they more expensive this year?

TCL

In the middle of the year, metals and petroleum products (tires, etc) were at an all time high. They have since gone down due to a lack of demand, but most of the Triumphs on the market now were produced with these higher priced products.
Because of the global recession, Triumph is selling less and has to make up for it. Triumph's suppliers are selling less and have to make up for that and charge Triumph more for products.
You would think a down market would lower prices, but as we print more money/increase inflation to cover bailouts, etc, and as business has to compensate for lower sales by making more money on fewer goods, prices generally go up.
Harley has cut production to drive up demand and price for their bikes. GM and Chevy did this far too late and will probably not make it out of this mess. If you have a motorcycle now, be thankful that you bought it when you could afford it and understand that Triumph must raise prices to avoid extinction in a market like this.

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propforward

referring to the first post - it's never that simple. I'm not about to explain it, because I actually can't, but I have worked for manufacturing companies for quite a while, and somehow the exchange rate never seemed to figure into pricing stuff for sale in foreign markets, whether I was in a British company seeling to America, or an American company selling to Britain.

Probably why I wasn't in the finance department.

It would be nice if the price would come down, but then when the exchange rate swung the other way prices would skyrocket wouldn't they - and that never actually happened last time the exchange rate shot the other way.

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Nickwiz

Price stability is surely better. Wild ups and downs would ultimately devalue the product and piss a lot of people who bought at high price, off.

blight

I think the the 'bean-counters' just adjust the prices to what the market will bear in the USA. I think you'll find, however the USA vs. UK price for a new Triumph already shows us with a lower comparable 'dollar-equivalent' price.

Here's an example...on the USA Triumph homepage they show the list price for a new 2009 Thruxton at $8599 USD. On the UK Triumph page the price is 6119 UK sterling. The Brits also pay a 15% value added tax (VAT) on top of that, bringing their cost to a USD equivalent of $9570

So, it appears we're already getting a pretty good deal here in the States. I know we also have to pay a state sales tax, but depending on your state it ranges from 0% to over 8% like in California where I live.

When I bought my brand-new "leftover" Caspian Blue 2007 Thruxton 10 months ago in SFO they knocked $1000 off the list price bringing it to $6995 USD...I couldn't NOT buy it at that price!!! I think I got it for a STEAL!

Well, with the ongoing worldwide 'recession-depression' (it's really all in our heads because of the 'drive-by' media) I would fully expect price cuts and rebates on any unsold bikes. So...unless you're in a big hurry, sit tight and wait for a great deal to fall into your lap. You'll know it when you see it. I have saved literally thousands of dollars over many decades buying the "non-current" model of the bike I was interested in. It's a buyer's market for once in a great while....cash talks!

Cheers,
BLIGHT:

BigAl8295

Triumph didn't raise prices in the U.S. when the value of the dollar was lower so I wouldn't expect them to lower them now.

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seniorbiker

All very logical and salient explanations.

But I have to subscribe to Blight's analysis that with this global economic situation being so dismal.......it is a "buyers market - cash talks".

FrankW

Hi Guys, Heres the latest prices in Australia.

I am looking at buying a new Triumph America. All the following is based on todays exchange rates.

Factory base price $A14500
Dealer charges $A1000
State stamp duty $A450
First year registration $A500
Grand Total $A16450

$US10690

English Pounds 7900

How do these prces compare to yours?

blight

Hi'ya Frank... The USA list price for a single-color America is $8699 USD which equals $13304 AUD at the current exchange
rate. The difference of $1000+ AUD Probably equal to the extra cost to ship the extra distance to Australia.

By the way, I feel very fortunate to have visited your great country 3 times. I was there mostly along the east coast from Sydney on up to Newcastle and then eventually on to Cairns and the Great Barrier Reef...it's a really beautiful place with wonderful, friendly people.

I rented a Suzuki DR350 in Cairns for 3 days on a brief holiday and had a wonderful time exploring the area. Topless beaches everywhere are a definite plus!

One thing I readily noticed is that most Aussies actually like Americans! It seems they still remember our strong alliance in WW2, along with their historical, cultural, and physical similarities with our country.

Same goes for our British friends...however the rest of the world seems to have forgotten 1944! Our world today would be a very different, and actually a very horrible place if we had not all been the victors in WW2 with our strong alliance.

Cheers,
BLIGHT:

FrankW

G'day Blight, Thanks for the info on pricing. I don't feel to bad now after reading your reply.
I'm glad you enjoyed your time in Oz on the east coast. My wife and I have spent the last 2 years cruising a yacht along the Barrier Reef & Islands. We have decided to sell the boat and return to bikes after a 16 year layoff. Sold a Shovel head Harley in 1992 (never again, overpriced and over rated) We live just south of the Tropic of Capricorn so we never really get a winter. Never see a frost or snow so it is perfect bike country.One of the problems we have is that most of our Triumph dealers are also long standing Harley dealers. They have showrooms full of Harleys and they are not selling. My local dealer has 15 Harleys on the floor and 2 Triumphs. I am currently looking for an America but before I buy I would like to see one on the floor next to a Speedmaster. After ringing some dealers the only one that had both in stock is 5 hours drive away. When I ask the question about lack of stock I never can get a straight answer. I suppose they are just like used car salesman.
I am English myself and came to Oz in 1980 and never looked back. I have made quite a few American & Canadian friends while sailing and it is like you said we do have a very strong alliance. If it wasn't for countries like America, England, Canada and Australia (And quite a few others) the world would be a rather different place than it is today.

Frank

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