The GST on online sales thing today was interesting BobD. Just checked it out.
The issue I have with retailers crying poor us over all the stuff that gets bought online is the fact that most brands are a complete an utter rip-off in NZ for no reason than they're trying to make much higher margins than retailers do most other places. Time and time again I ask stores if they'll match an online price (shipping included) and they often say they can't even get the item at that price for wholesale. So, either they're rorting people or their (often Australian) suppliers are rorting them.
I once had the offer of some headphones at cost from Sennheiser. When I said they were still cheaper to buy from an online shop they said I was wrong. When I showed them the first whole page of google results proved I was right they changed tack to the "oh, but you don't get a warranty.. bla bla".
Another case in point: Nike Drifit tennis socks. In NZ they're $25 per pair. Online at plenty of places they're US$13 for 3 pairs. Including shipping they're still less than half the price and work out about NZ$9/pair. Local Nike shop's response?: they're fake. They're actually from Nike's own website.
I have no problem at all supporting local retailers but, when the item is easily available online, you should ask them to cut their price: I even pitch it as such:
I'm happy to support local but the price disadvantage of normal retail is too much.. A few times they have done so. Buying a Outdoor Research jacket I got 30% off this way. After that I still go into their store to check stuff out and sometimes buy. Most brands could learn a thing or two from this attitude.