Note: This column represents the opinions
of the writer and as such, is not purported as fact
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Back in the olden days (before the dot-com collapse) it was thought that
just about any Net-related venture would make money, you just had to
keep pouring cash into it until profits came out the other end.
Of course (now) we all know that isn't true and that profitable Net-based
ventures are the exception rather than the rule.
However, there are some people out there making a quite satisfactory
living through their clever use of the Net and all the power it offers.
No, I'm not talking about idiot spammers who try and pitch fake pills and
potions at us. I'm talking about genuine business people who provide
goods or services that are really worth paying for.
The Aardvark PC-Based Digital
Entertainment Centre Project
Yes, at last, this feature
has been updated again! (31 Mar 2003)
One example of this is the website
PriceJapan.com.
As far as websites go it's nothing exceptional, but the concept and execution
of the service being offered are rather good.
The idea is that PriceJapan.com acts as your shopping proxy -- a cyber
"rent-a-shopper" so to speak.
You tell them what you want and they'll run around, find the best price
and, if you decide to purchase, they'll go out and buy on your behalf.
Then they bundle up your new item and courier it off to you for the cost-price
plus freight and a small 5% margin.
But why would you want to do this rather than buy directly from the supplier?
Well there are a number of reasons.
Have you ever tried to deal with an Japanese retailer with an online store
that looks like this?
What's more, few Japanese companies are prepared to ship outside of Japan anyway.
Mr Kaneda, the founder of PriceJapan.com told me that the operation was started back in 2001
after he realised the degree of difficulty many foreigners were having in
dealing directly with Japanese suppliers.
The site now employs four people on a full-time basis yet does no promotion
outside of the website, most of the business now coming from regular customers
and their referrals. And a quick check of Google's usenet archive shows that
they do indeed have an excellent reputation.
When I asked Mr Kaneda why PriceJapan.com was so successful he told me "Simple
name, reliable shipment, clears statement of purchase condition, link to
lowest price in Japan, and quick reply to customer's inquire".
I think, despite his slightly broken english, Mr Kaneda has spelt out some of the key
attributes of any successful business: Price, performance and service.
My own experience with PriceJapan.com has been very positive. I was looking
for a "genuine" manufacturer's-brand lens that was not available in NZ because
the distributor was out of stock. Within a few hours of emailing them,
PriceJapan had responded with a price (including service charge and courier fee)
that was less than the local retail for the item, the savings being even
greater because it cost less than the threshold at which GST is levied on
private imports.
I received another email (complete with the courier's tracking number) when the item shipped
and a couple of days later the lens was in my hand. Meanwhile, the NZ importer
was still "out of stock" and trying to charging a small fortune for the same item.
Of course when you live in NZ there are some caveats with buying consumer
electronics direct from Japan.
If your item has a manual, you'll get the Japanese language version. If it's video
gear you're wanting, be aware that Japan uses NTSC so you won't find any
PAL (NZ standard) equipment there. I believe they also run 100V mains at 60Hz,
although much (but not all) of it will run happily on our 230V/50Hz power.
However, sourcing other accessories such as lenses, filters, batteries, digital
still cameras, etc., direct from Japan may sometimes save you a few dollars or some time if the
local supplier is out of stock.
For example:
an Olympus C-750 Ultra Zoom digital camera
will currently set you
back a cool NZ$1,427 (RRP) or $1,269 (plus freight) from
a local online retailer.
A quick Froogle
turns up a lowest price of USD$575 (NZ$974.90 plus freight/courier to NZ, plus 12.5% GST)
PriceJapan will send you one for around AU$752 (NZ$839 +GST = $944) including courier delivery
to your door. That means you'll save nearly three hundred bucks over buying locally
but remember that the manual and onscreen prompts will probably be in Japanese and
the warranty might not be honoured locally.
Let me make it quite clear that this isn't an advertisement for PriceJapan
or any other company -- simply an example of how and why some people are
doing very well with their Net-based businesses, while others have to resort
to spamming.
If any Aardvark readers want to share an opinion on today's column or
add something, you're invited to chip in and have your say in
The Aardvark Forums or, if you prefer,
you can contact me directly.
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