KTM Pricing

Joined
Oct 12, 2003
Messages
2
Likes
0
#1
Does KTM have an international price guide line?

Can somebody explain the following to me please?

All the prices below are quoted in USA$. I have used an exchange rate of 7 South African Rands to 1 USA$. The current exchange rate is SAR6.93 to USA$1.00. Also keep in mind that all KTM bikes have to be imported to the USA as well as South Africa, so transport should not be a major factor.

Model USA Price in USA$ South African Price in USA$
------- -------------------- -------------------------------
50sx Pro Jnr. 2698.00 2700.00 (SAR18900.00)
50sx Pro Snr. 2948.00 3071.00 (SAR21500.00)
65sx 3248.00 4271.00 (SAR29900.00)
85sx 3398.00 5700.00 (SAR39900.00)
125sx 5098.00 7128.00 (SAR49900.00)
200sx 5748.00 8143.00 (SAR57000.00)
250sx 5998.00 8557.00 (SAR59900.00)

450sx 6498.00 9986.00 (SAR69900.00)
525sx 6698.00 10129.00 (SAR70900.00)

Take note these prices are quoted from a KTM dealer in the USA and compared to the retail price quoted from a bike magazine in South Africa.

I have only listed some MX bikes but the Enduro bikes also have huge prices differences.

Thanks
 
Joined
May 20, 2001
Messages
870
Likes
0
#2
Small market = more fixed costs / unit and less competition. Maybe you also have some kind of import duties and taxes that have to be paid. We are getting screwed in Finland, too.
 
Joined
Oct 12, 2003
Messages
2
Likes
0
#3
Do you think it is KTM that are selling units to different parts of the world at different prices?

Or is it the local dealers that a taking advantage of a supply and demand issue?

I know in Venezuela they also have a similar problem.

Don't you think that KTM should control the pricing structure?
 
Joined
Jun 25, 2003
Messages
7
Likes
0
#4
Remember that the importer would have ordered around July and taken forward cover on the rate for probably 3 months. So a rate of 8 to 1 is closer to reality. But valid point even so.