A Mac Among The Pigeons

Rugby World Cup at Kiwi cut-throat prices

The current furore in New Zealand about the country being a rip-off for tourists (so look out rugby World Cup 2011 tourists) should be taken seriously when a former All Black who played in 81 test matches says NZ is “really expensive”and suggests that pricing needs to be addressed. Former All Black Justin Marshall bases his comments on having lived in the UK for five years before returning to New Zealand. Now the UK is well-known as expensive, certainly so in my experience from having lived in England with a cringing wallet for a while.

The debate about costs to unsuspecting tourists got heated when UK rugby correspondent Peter Bills published an article titled “New Zealand: 100% pure rip-off” where he rather factually points out the fleece-worthy pricing on items at tourist attractions like the Auckland Waterfront. As a writer who has not been back to SA in six years I felt at home with some of the commentary he got, such as him being advised by a Kiwi to take a sexual hike back to the UK. They could easily have been Thought Leader commentaries. However, I stress that Bills was simply presenting the facts, the cold, hard figures printed on the right-hand side of juicy looking menu items. And to be fair, there were many Kiwis in the opinion and letter columns who agreed with Bills.

Bills points out the cost of a glass of wine at one of the Auckland Waterfront establishments. Fourteen NZ dollars. That is about seventy South African rands. One argument against New Zealand being a rip-off is that Bills is only referring to expensive places like the Auckland Waterfront. Well, for a start, tourists are not going to know where to go to find the cheaper places and they want to see the tourist sites anyway. The cost of a taxi to get to a more reasonably priced restaurant or pub would compromise the cheaper night out as well. And don’t start thinking that it is that much cheaper in the more homely, authentically Kiwi areas. Just yesterday I was taking a stroll through Browns Bay and saw a trendy looking bistro opposite the library, a crèche, and nearby a Chinese butchery with dinkum SA biltong. I mention the establishments nearby as Browns Bay is a smart area, but the bistro’s positioning was no great shakes, certainly not Sandton City. At this bistro, the cost for a bowl of muesli for brekkie, a creation toasted and prepared personally on their premises? Fourteen NZ dollars. It was my birthday, and I was thinking of treating Marion, but when I saw that price for a humble bowl of cereal, toasted on the premises or not, I immediately muttered, “gaan kak in die mielies” and stalked out. Sure, that was the biggest rip-off I could see on the menu, but in places like that you are highly unlikely to get a meal for two with one beverage each for less than forty dollars.

Let’s head to the suburbs to a typical franchise operation, a coffee shop called Cafe Etage, still trendy, and the kind of Kiwi place where I would imagine tourists would want to relax. After all, many have travelled half the world to get to New Zealand. At Cafe Etage, popular, found in many malls, say you decide to have a mere sausage roll for lunch or a bite on the run. That is five dollars and fifty cents for a sossie that could still be picked up with a toothpick. I’m not saying it is as small as a cocktail sausage, but a toothpick would still do the trick. An ordinary pub, a local area’s watering hole, will be seven dollars for a beer, probably more. No chance of it being that, erm, cheap in the tourist traps.

Now let’s try places like Kentucky Fried Chicken. Even though God alone knows what tourist would want to spend time in a carbon-copy food outlet the same as home after all that air travel to one of the most scenically fabulous destinations in the world. After sitting in a red plastic booth that squeaks just like the ones back home, it will be roughly six dollars a burger. Without the chips. An ordinary shopping mall food court price for a meal in an ordinary area where we live, Bayview, is unlikely to be less than nine dollars. That is for sitting in an often rowdy area with squealing children and it could be any cloned food court in the world with plastic seats and tables, primly practical, eat and go. That is not a negative criticism; that is just the nature of ordinary food courts and food outlets internationally. But again, what visitor keen to see some authentic Kiwi-land, would particularly want to go there to save a bit on a meal? He may just end up having to, and, as suggested in the debate, New Zealand does not want disgruntled tourists who do not wish to come back or give the country a bad name for tourist destinations.

Of course, I don’t have the temerity or depth of wallet to actually eat in these places; I am simply pointing out the costs. There are many things you can fall in love with about New Zealand, from the wonderfully friendly down-to-earth people to the magnificent, well-cared for scenery, but eating out is not one of them. Sitting on lovely, litter-free beaches with a lunch made at home is definitely one of the pleasures here.

If the successful SA world football cup is anything to go by, this is a chance for a hosting country to scrutinise itself and have an honest group conscience overhaul. The cost of eating out and many other living costs need a thorough examination.

By the way, based on my four-month experience here, there is a huge opportunity for well-priced coffee houses to take off in the right places. For a start I have yet to come across a place with bottomless coffee, like good old Mugg & Bean and even some Spur and Steers outlets in SA (is it still like that?) I’m not even sure if the average Kiwi knows what a bottomless mug of coffee means.

14 Responses to “Rugby World Cup at Kiwi cut-throat prices”

  1. um, those high prices are high, in part, to pay for that wonderful health care you mentioned on a previous post.

    but you knew that already.

    July 20, 2010 at 6:12 pm
  2. Steve #

    @Rod – Those prices don´t seem to be much higher than most establishments in Johannesburg and Cape Town… I think you may have gotten to used to the Chinese prices for food and drink… But I agree we are also being ripped off. That coffee shop seems like a good idea – why dont you go for it?

    July 21, 2010 at 9:01 am
  3. kiwi abroad #

    Travellers from SA had better brace themselves. NZ prices are higher, especially in Auckland. The trend towards creeping Americanisation on the menus in terms of prices and flowery descriptions for some very average eating on the plate is also a problem.

    You are a bit spoiled in SA it seems, with your fantastic local produce at very reasonable prices, bottomless coffees included.

    Best bet for budget aware travellers is as always to visit a supermarket and carry your own water. Dont expect SA prices in the shops though either!

    That said, outside the main centers things are a lot cheaper, especially if you avoid the obvious tourist traps…

    July 21, 2010 at 11:07 am
  4. deena #

    Hey, not all of the establishments are a rip off. Try NANDO’S Mt Eden. We still give you an good 1/2 Chicken meal with a healthy side dish (Chips or Salad or rice etc)and drink for NZ$16.90. Coffee for a special price of NZD2.00. Limited choice of local and imported beer for $6.50, all bottled wines @ $7.00 a glass. And we are pissing distance from Eden Park Rugby Stadium. We won’t be doing a Rip-Off during the WCR either.

    July 21, 2010 at 11:12 am
  5. Whitey #

    Kiwis: Do learn from the South African WC 2010 experience. They raised accommodation prices double, triple and far more, also in B&Bs, private accommodation, etc. What happened? A disaster. It was all empty during the World Cup. The foreigners got a fright, esp the Brits, and didn’t come. The South Africans got a fright and stayed at home, although it was a long school holiday. Most of these places were empty–occupancy BELOW other years. Can you believe that. The airlines did the same. Moral of the story: Don’t rip the tourists off. Rather lower your prices and work on quantity. If a good bet, the tourists will come. I am considering it myself. And taking careful note!

    July 21, 2010 at 2:01 pm
  6. John #

    I would gladly pay NZ$3.50 for an excellent barista-made coffee in Wellington – one of the coffee capitals of the world. Last time I was in SA most of the coffee was almost as expensive and tasted like tepid dishwater.

    July 21, 2010 at 9:36 pm
  7. Mundundu , um , why would the high prices in private sector establishments be a result of (government sector) wonderful health care?
    I thought readers might relate the two blogs but I dont see how. Tax here for middle class does not seem exorbitant. Please connect health care and restaurant prices for me. Tayla Storm’s family does have a large bill to pay.
    Hi Steve – you say the prices dont seem to be that much higher that Joburg or Cape Town? How much higher?
    I agree with you on China! Absolutely! A typical little Chinese shop can cost twenty rands for both of us, no the smarter ones of course, but quality was always unbelievable and nothing like kiwi prices. Not top hotels of course. So SOME Chinese prices are really reasonable, even dirt cheap…but not if you go to fine Western restaurants in Shanghai of course…but still not as crippling as NZ
    Deena, Nandos is not as bad, agreed.
    I went to a shopping mall in Auckland central (in Sky City) and looked at food court prices. Astronomical to me: 15 dollars or about 75 rands for a SMALL chicken curry. But then you can go to a nice spot round the corner and sit down and have a pie at Hollywood for three dollars. It was run by a Chinese, “almost” of course!

    yeah Whitey, it is all about greed. I trust many kiwi establishments will learn form SA.You have the right idea.

    July 21, 2010 at 10:28 pm
  8. Bulldog #

    Mr MacKenzie’s been in NZ long enough to realise the minimum wage is $12.75/hour which is R67/hour at today’s exchange rate so bound to be reflected in prices. I bet Steers/Spur/Mugg & Bean aren’t paying their wait staff that? BTW Spur & Steers opened here in the late 1980s, closed pretty soon after realising that paying a living wage & complying with health standards was too hard. Good luck with that venture!

    Next time in Browns Bay try La Tropiezenne for the bottomless coffee. Don’t forget the $5 Fish & Chips at the local Chinese takeaway you can eat after dark on the beachfront at Browns Bay & use a clean toilet facility as well without fear of being mugged. Try eating a Bunny Chow on Durb’s beachfront after dark! What price do you put on that! Oh, my annual rates are $1300 (R6,900) for a 4 BR house with sea views in the Bays – for which I get beautiful, clean, safe, litter free public facilities.

    So, should I feel ripped off paying an additional few dollars for my meal?

    July 21, 2010 at 10:54 pm
  9. Rod of Sydney #

    good point re health system costs. also consider the minimum wage…. businesses can charge only what the market will bear. eating out is heavily over-rated anywhere.

    entertain and be entertained in beautiful public places …. yup, much better than artificial decor somewhere

    July 21, 2010 at 11:22 pm
  10. Felicity Potgieter #

    Rod, try La Tropezienne at 92 Clyde Court – genuine French patisserie – food is fantastic (can’t get enough of the coffee/caramel eclairs), prices surprisingly low and last time I was there they still had bottomless cups of filter coffee, but by now you probably know, most people go for “flat whites”. Don’t give up :-)

    July 22, 2010 at 2:44 am
  11. Qminati #

    @Whitey: my experience of travelling around the country to watch matches at different venues suggests a different picture to the one you’re trying to create. Almost everywhere that I went or enquired, they were either full of awaiting confirmation from persons who had booked but yet to confirm. Yes, it is reported that there were some establishments that were empty or not at full capacity during the tournament…but these were mostly privately owned / run Bed and Breakfasts where the owners were demanding ridiculous prices as you say.

    As for your comment on the British not coming…I beg to differ. I was in both Rustenburg and Bloemfontein on the days that Englands played there…all accommodation establishments were FULLY BOOKED, even those in the townships, where most of these guyts partied before and after the game.

    Point is: you were probably locked up in your bunker for the duration of the world cup and never ventured out to see what was happening outside.

    July 22, 2010 at 10:44 am
  12. Mark P #

    Luv it that the Nando’s humour is still in place, even in NZ: “within pissing distance” :)

    One slogan for my new coffee shop @ Aukland Waterfront might be: “Bottomless coffee, as bottomless as the kitty jar used to protect Richie Mcaw and his referee cronies from censure” :)

    Thanks for the tip Rod

    July 22, 2010 at 11:06 am
  13. Will try La Tropezienne sometime….

    July 22, 2010 at 12:22 pm
  14. All businesses price their products and services to make a reasonable profit throughout the year. (Some, though, make more reasonable profit than others.) That being the case, I fail to understand why they need to raise prices even in-season. In-season (or during WC) reasonable profit should improve, based on numbers. Raising prices when higer sales are expected is totally unethical and the sooner that businesses worldwide realise this small but important fact, the less likelihood there is of another and bigger recession, as has been forecast by US economists for between 2018 and 2025.
    Question: why would we really want the 2020 Olympics during said predicted recession, when there’ll be another during the following boom that has also been predicted?
    It’s pretty clear that few got over their greed during the recent recession, which is doubtless why there will be another.

    July 23, 2010 at 12:37 pm

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