Here is a story that repeats itself. A client calls us. We visit the site, meet them a few times, write an assessment report, advise on options, and prepare a design and a bill of quantities. None of this is charged. Then we hear: “Your solution is too expensive.” The client takes our list and sources the items from Dubai or China.
I understand the wish to save money. But this approach usually ends badly, and I want to explain why.
What you buy abroad is often not what we specified
A model name is not the whole specification. The same product can come in regional versions with different power supplies, plugs, firmware, licences, accessories and, for wireless products, frequency bands. A small change in a part number can mean a different product. Items that work as a system, like a DSP, its microphones, its control panel and its software licence, need to match exactly.
When a client buys one item here and another item there, what arrives is often close to the design, but not the same. And close is not good enough for a system that has to work on the first day of the conference.
Why we no longer hand over full designs for free
Because of this, we changed how we work. Today our reports are correct in principle, but we do not release the full BOQ, drawings and settings until we are engaged. If a client uses our free advice and then buys elsewhere, they will not have the detail they need to make the system work, and the result will not be what we budgeted and planned. That is not to punish anyone. It is to protect the client from a half-copied design, and to protect the work of our team.
Comparing the online price with the local price
Many people compare a price on a foreign website with a quote in Kampala. That is not a fair comparison. The local price includes things the website does not show.
- Freight and insurance to Uganda.
- Pre-export inspection (PVOC) for regulated goods.
- Import duty, which under the East African Community common external tariff is 25% for most finished goods.
- VAT at 18%, calculated on the value including duty.
- Infrastructure levy and withholding tax on imports.
- Clearing, handling and local transport.
On top of that, AV and ICT items are sometimes classified under a higher tax code than they should be, and the importer pays more than the formula says. An official distributor imports regularly, knows the correct classification and pays all of this properly. A one-off importer often finds out the real cost only at the border.
Warranty and support do not travel with the box
Even when a client imports the exact brand and model we specified, local warranty and support are not automatic. Manufacturer warranties are usually tied to the region where the product was sold and to authorised channels. The local partner has no obligation to support a product that did not come through them, and the supplier abroad will rarely support an item in a country it was never meant to go to.
Let me give an example. A client has a 50,000 dollar system and tries to save 20%, which is 10,000 dollars, by importing it. A few months later a power surge damages a key unit. With a local warranty, it is our problem and we replace or repair it. With an imported unit, it is the client’s loss: shipping it back, waiting, maybe paying for a new one. Power problems are common here, so this is not a rare case. The 10,000 dollars saved can disappear in a single fault.
A word to procurement teams
- Value the advice, surveys, design and support of the local team as part of the price. They are a service, even when they are not on the invoice.
- Compare like with like: same model, same region, same warranty, delivered and installed in Uganda.
- Ask who will support the system in year two and year five, and who holds spare parts.
- If you want a design you can tender freely, pay for the design as a consultancy. Then everyone bids on the same thing.
Price matters. But the right solution is rarely just the lowest number on a spreadsheet. Support the local team that advised you, even if the cost is a little higher. In the end it costs less.
If you want an honest assessment and a design that will be supported locally, Talk to us at PRO AV Africa or message me on WhatsApp.
References
Chart: Boaz Shani.
