Author Topic: Questions re: Foreign purchase of Sherpa (USA)  (Read 10945 times)

Andre Jute

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Re: Questions re: Foreign purchase of Sherpa (USA)
« Reply #30 on: March 12, 2012, 05:17:52 AM »
I bought all three my most recent bikes sight unseen in different European countries for delivery to Ireland, an island off Britain which is itself an island off mainland Europe. Carriage is outrageously expensive, probably as much as shipping to the States, in some instances more. For my last bike I was fed up with Fedex/TNT/DHL ripping me and vented at the dealer. He suggested that he knew of a service that could cost as little as half the price of the household name couriers. There are these services where they make up a container load from various smaller parcels and at the other end split them up again. For a very large bike it turned out to be about 40% of what I was accustomed to paying, a saving of several hundred Euro, several hundred pounds sterling, many hundreds of dollars. And it was fully insured and guaranteed.

The hidden cost is that all the administration and collation takes up to four weeks. You get your bike when you get it. It is not, repeat not, an overnight service. Theoretically there is tracking but it never worked for me. Since the bike was insured for more than I actually paid (I negotiated a stiff "outgoing model" discount, a bit cheeky as my bike has been in production since 1936...), I didn't worry about that. The bike was promised if we all got very lucky for the last delivery day before Christmas or otherwise for the second week of January. All of this happened over Christmas/New Year a few years ago, and what with the festivities and other new things to distract me, I forgot all about the bike. At the end of the first week in January I remembered and called the local agent just to explain how to find my house; he called me back minutes later to report that my bike was in a container shunted to the rearmost corner of a sorting yard in a small Irish village not twenty miles from where I live, and had been sitting there since before Christmas, and they'd send it around as soon as the crane operator came back from his morning tea break. Next a monstrous trailer truck arrived in the street with my bike on a pallet standing all by its lonesome on a loadbed at least forty feet long.

The box was in a better condition than any other bike I'd ever had delivered, because it had been untouched by human hand, and in particular not thrown in and out of DHL/FedEx/UPS/TNT wrecking crew trucks at each of their "nodes", but handled on the palette by a palette crane, and then, according to route papers they obligingly looked up for me when I asked, only three times (your average couriered parcel -- including a bike -- is handled upward of thirty times, I worked out on an occasion when DHL stole one of my watches). By the way, the big truck came complete with a hydraulic lift gate and another trolley for moving the box to wherever I wanted it (as it happened on the sidewalk in front of my house because it was clearly in a rideable condition the minute I got the protective foam off), no nonsense about extra charges for moving the box a few feet out of the street, or round the back of the house to the stables if that was what I wanted. Altogether a pleasant experience.

So, if you can access such a service for a bike that has to travel to another country, I can report a happy experience. Whether you want to wait two or three weeks minimum, to a month for delivery to save a bit more than half the cost of couriering the bike, is something you must decide yourself. If Christmas hadn't intervened, I would in fact have had my bike under two weeks.

When i bought this bike, I didn't know it would become my all-time favourite bike; It was just another bike I bought because it has slightly odd engineering I wanted to study on my way to a full-custom bike of my own design, so there was no tearing hurry. If I'd known how well it would fit me, I'd have gone to Germany and fetched it back on the plane with me in a few suitcases and bugger the cost. In addition, this particular bike is sold to middle-aged comfortable men who will have it serviced by a dealer every year, and who lack the skills to put together a bike, so it is sold only fully assembled, which adds frighteningly to the carriage cost because the box is of course of an awkward shape. My understanding is that Thorn will for mechanically competent owners split the bike into two boxes, which already makes a huge saving, which a new Thorn owner in a hurry to ride his bike will probably want to investigate first.

But, if you're weighing every shekel, these palette-combining services may be just the ticket.

Andre Jute
box & wrapped bike on second page of
http://coolmainpress.com/AndreJute'sUtopiaKranich.pdf

Danneaux

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Re: Questions re: Foreign purchase of Sherpa (USA)
« Reply #31 on: March 12, 2012, 09:07:26 AM »
Andre,

A fascinating account, and much valuable information on a delivery method of which I was totally unaware. Well worth my keeping in mind; thanks!

As OP and in my last post to this thread, I promised to do an update with timeline and costs, so...

As it happened though I inquired directly, no other shipping method from Thorn was available to me at time of purchase last August, neither a two-box shipment or any less-expensive, non-tracked rate. In direct answer to my query, there was one available shipping method -- Tuffnells/TNT (who according to the stamps and bills of lading on the box, handed off to FedEx in Texas, with final curbside delivery by UPS) -- and I was advised by Thorn that...
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Unfortunately Tuffnells do not provide tracking numbers for third parties such as yourself as technically we are their customer and not you!
I sweat bullets, and arranged for other people to be here at all times over the course of a week so it would not be missed. As it happened, the bike arrived with a wealth of assembly problems that rendered it unridable for sometime after arrival, but that was unrelated to the shipping method or carrier handling.

The good news was the duties bill came to a bit less than I had expected from a careful reading of the US tariff schedule (there is a premium charged for bikes with this wheel size), and was correctly based on the net cost of the bike alone and not the total including shipping, as is sometimes the case. There is an appeals process to US Customs to contest excess duties levied, but it is lengthy and convoluted and takes up to 90 days for a determination after the duties have been paid by the recipient. No one from the shipper or US Customs phoned me or told me when to expect delivery, and I was never asked for my SSN.

Before delving into prices and costs, it is useful for US buyers to remember: Costs are determined by Thorn's published rates at the time of purchase, by the options selected for a particular build, and by the prevailing exchange rate at the time. They are further affected by shipping rates and associated costs (direct and as a function of exchange rate), by individual customs duties levied (based on cost of the bike and whether they are levied on the net cost of the bike or overall purchase price including shipping), and by the foreign transaction fees/conversion rate of the credit card used for payment at the time of purchase.

I paid for my bike in full when I placed my order, to lock-in the price against fluctuations in the exchange rate (the US congress was deadlocked over a budget-funding bill at the time and the dollar was falling against the pound). In retrospect, I would not do this again. With the options selected and the exchange rate at the time, my Sherpa and shipping totaled USD$2,610.83. Of that, shipping accounted for USD$627 at the exchange rate in effect then. The foreign transaction fee added USD$78.32. The Tuffnells Customs Duty Invoice totaled USD$139.73, including a USD$15 handling service fee for TNT to clear and confirm the shipment with US Customs and another USD$15 whose code I cannot determine. So, for those who are curious, it cost USD$845.05 beyond the base price of the bike to get it to my front door. Total for everything, Sherpa delivered and with all debts settled was USD$2828.88.
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The main thing I am wondering from all of you is if anyone else was asked to pay the duty taxes up front before the package was released?
No, I was not. Christine, in regard to timing...
- I scanned and sent my order form 25 July.
- I confirmed the quote and paid for the bike in full 2 August, starting the order/build process.
- I received email notice it was finished 7 September.
- It was dispatched 9 September.
- It arrived 23 September via UPS curbside delivery (standard brown truck).
- The TNT Customs Duty Invoice was made out 24 September, due 24 October.
- The TNT Customs Duty Invoice arrived by post 4 October.
- I paid the TNT Customs Duty Invoice online at tntbillpay.com 10 October.

In talking and corresponding with Robin late last September, he told me Thorn would like to reduce their overseas shipping costs, had not found a less expensive carrier for overseas shipment, and was not particularly eager to greatly expand US sales. Thorn already pay a special extra charge to export to the Americas; if business in that market grew to more than a bare minimum of total turnover, the increase in charges would cause them to reconsider sales to this market. The US market is a particularly litigious one, resulting in increased costs for overseas firms to conduct business stateside. This is not the first time I have heard this from offshore firms pondering the advisability and ultimate profitability of increased sales here. Yes, other bicycle firms have negotiated better US shipping rates on their frames and complete bikes, but their situations appear different. This is often seen in large US firms with enormous sales volume like Nashbar and Performance Bikes negotiating unusually low shipping rates with major carriers. For example, I once purchased a Brooks saddle from Nashbar and it cost USD$5.95 to ship to me; the best price available for returning it when it proved defective came to USD$16.95. It is true for large UK firms like Wiggle, as well, judging by their posted shipping rates to the US at the time I purchased my Sherpa.

I'm sorry you had to experience a different angst (or any!). JimK had kindly clued me in on what I might expect, and when it didn't come to pass, I was a bit apprehensive, worrying another bill might arrive. It turned out well in the end, and we each got our beloved bikes -- yay! It is fair to say a US buyer has to be motivated to buy a Thorn over other bicycles available domestically. It requires extra work and cost, but for me and my own needs, a suitable substitute was unavailable among the offerings available stateside; Thorn was my choice and I am happy with the end result in my Sherpa. I do believe by sharing our experiences in this thread, we can ease the way for future US buyers by giving them a range of outcomes to expect. That certainly would have helped me, and was what I was seeking when I started this topic. At the time, JimK was the only American to answer my questions regarding US purchase of an entire bike and I remain grateful for his efforts; thanks again, Jim!

Best,

Dan.
« Last Edit: March 12, 2012, 04:00:40 PM by Danneaux »

Andre Jute

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Re: Questions re: Foreign purchase of Sherpa (USA)
« Reply #32 on: March 12, 2012, 10:01:39 AM »
The actual shipping that Dan quotes, USD627 is pretty much the equivalent of shipping a touring or city bike from Europe to Ireland, maybe a little less to the UK, by the standard couriers. By the method I described above it is about Euro 225n which comes to about USD300. I think the cost has less to do with distance than the number of times the box has to be handled. -- AJ