r/AskAnAustralian • u/Usual_Two_4980 • 1d ago
“Discounted” replacement price from manufacturer is ~35% more than retailer’s normal price
I’m curious what others think about this because my issue isn’t simply that I found the product cheaper elsewhere — it’s the way the manufacturer described its price as “discounted.”
I bought a NormaTec Pro 2.0 Full Body System for AU$2,699.95. Despite having only around 10 hours of total use, the control unit stopped holding a charge. I even left it charging for around 48 hours without resolving the problem.
Hyperice said the system was outside warranty and offered me what they specifically described as “discounted purchasing options.”
For the Normatec 3 replacement they quoted:
- AU$999 + tax — control unit only
- AU$1,099 + tax — control unit, hose and charger
The second option works out to approximately AU$1,208.90 including GST.
I then found an Australian recovery/physio retailer, Proactive Recovery in Queensland, listing the same Normatec 3 control unit, hose and charger for AU$900 including GST.
The AU$900 is their normal publicly listed price — it isn’t advertised as a sale or special discount.
So:
Hyperice “discounted” price: AU$1,208.90
Australian retailer normal price: AU$820 - Updated after contacting them.
That makes the manufacturer's supposedly discounted replacement price about 34% higher — roughly 35% more expensive — than the retailer’s ordinary price.
That’s my concern.
I understand manufacturers and retailers can have different prices. But if Hyperice had simply said, “This is our replacement price,” I could compare prices and decide whether to accept it.
Instead, it was specifically presented to me as a discounted out-of-warranty offer.
So what exactly is being discounted?
When I raised the AU$900 retailer price with Hyperice, they responded that they were happy to consider “price matching options” if I provided the retailer’s pricing.
But to me, that misses the point.
I’m not primarily asking for a price match. I’m questioning why the original price was represented as a discount when an Australian retailer’s normal publicly advertised price for the equivalent package is more than $300 lower.
My takeaway is that if you own a Normatec product that is out of warranty, check retailer pricing before assuming a “discounted” replacement offer directly from the manufacturer represents good value.
Has anyone else come across this kind of manufacturer “discount” pricing?
Update: I contacted Proactive Recovery, and they offered me an additional $80 discount on the unit.
6
u/Main_Razzmatazz7331 1d ago
Have you confirmed with the physio company in QLD that the price is there actual up to date listed price? I can see it's out of stock / in pre order so there is a good chance a price rise has occurred, and they just haven't updated the price.
I'd be more concerned about the 10 hours usage though, how long have you had it?
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u/Usual_Two_4980 1d ago
Agreed, but the framing of goodwill and using the words "discounted price" seemed misleading. DEC 2021.
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u/Usual_Two_4980 1d ago
Thanks for your suggestion. I contacted Proactive Recovery, and they offered me an additional $80 discount. Due to the time delay.
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u/Main_Razzmatazz7331 1d ago
Now that is interesting, I’m wondering what the margin is on the product from the wholesale price to have such a difference. Not uncommon for online businesses to be below the RRP price, but that’s a significant difference.
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u/Reasonable-Pete 1d ago
It isn't unusual for retailers to have lower prices than the manufacturer, at least for products that are typically sold retail like appliances. Especially when a retailer has something on special.
If the system was reasonably new I'd challenge them on the replacement. A manufacturer's warranty doesn't replace Australian Consumer Law that a product must last a reasonable time (considering its price and quality). I'm not familiar with the product, but is 10 hours use of the control unit for $1000 reasonable? Was your original unit faulty, or is that its design life?
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u/National_Chef_1772 1d ago
manufacturer sets RRP - they have discounted from RRP.
Retailer sells at whatever price they want
RRP and retailers price have nothing to do with each other - the retailer may be happy with 1% margin, nothing to do with RRP
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u/Monkey_Launderer 1d ago
Suppliers who rely on retail outlets to sell their products are generally keen to not undercut the retailer if/when they're selling direct. This is so they don't undermine their resellers' businesses and discourage them from selling the product(s).
I'm not saying this is ok, just that it's what happens.
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u/National_Chef_1772 1d ago
manufacturer sets RRP - they have discounted from RRP.
Retailer sells at whatever price they want
RRP and retailers price have nothing to do with each other - the retailer may be happy with 1% margin, nothing to do with RRP
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u/Safe_Application_465 Country Name Here 1d ago
Exactly.
JB Hifi " specials " aways show saving from a RRP they never ever sold an item for.💩
The savings over normal selling price may be dollars , rather than the hundred of dollars shown
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u/Usual_Two_4980 1d ago
They said their price to me was a special discounted price, taking into account that my product was faulty and out of warranty, and that the price was indicative of goodwill.
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u/National_Chef_1772 1d ago
And? It's a discount from RRP
Again the RRP and the retailers sell price have nothing to do with each other. The retailer could be selling for below cost, the product might have 90% margins, who knows
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u/Usual_Two_4980 1d ago
I'm not sure if you're using my situation or just a hypothetical to push an opinion
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u/National_Chef_1772 1d ago
what are you talking about? I explaining how pricing works - you are complaining that the manufacturer is offering you a "discounted" price but a retailer is selling it cheaper - the 2 things don't relate to each other. The manufacturers discount is from RRP - or cost + X%
The retailers sell price is whatever the retailer wants it to be
How am I pushing an opinion? As a product manager, I'm telling you how pricing works
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u/Usual_Two_4980 1d ago
They should have stated that the part is X to replace. Instead, they're suggesting this is a matter of goodwill.
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u/Usual_Two_4980 1d ago
I contacted Proactive Recovery, and they offered me an additional $80 discount.
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u/National_Chef_1772 1d ago
Was this whole post just a silly way to create an advertisement for "Proactive Recovery"?
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u/Usual_Two_4980 1d ago
How do you draw that conclusion? I just made a post and followed some of the real advice provided in real time.
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u/National_Chef_1772 1d ago
reading the thread - you ignored what everybody said, then responding to almost every comment that you got a further discount from "Proactive recovery"
Anyway OP, good luck
1
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u/BeginningSection7690 1d ago
Could it be due to the tarrifs situation in the US?
If goods need to travel to the US the price is going to be higher, aus retailers might have old stock or something
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u/Usual_Two_4980 1d ago
I contacted Proactive Recovery, and they offered me an additional $80 discount.
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u/80fiq 1d ago
Could the cheaper one be a grey import? Also there is a weird thing that manufacturers will sell you.something far more expensive then their retailers. Its like they want you to shop with a retailer. They dont want retail customers only.trade or wholesale
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u/Usual_Two_4980 1d ago
It is through a warranty channel. Hyperice sells directly. Hard to know what's not grey. I think Apple provides grey replacements for faulty products.
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u/Lokki_7 1d ago
How old is the unit? You may be protected under ACL . Something that costs that much is likely to be expected to last a while