.mac membership why i have just been charged £68.99?

Discussion in 'Buying Tips, Advice and Discussion (archive)' started by marknicholls, Jan 20, 2005.

  1. marknicholls macrumors 6502

    Joined:
    Aug 7, 2004
    Location:
    Bristol, England
    #1
    .mac membership is $99 i have just paid for my membership and been charged £68 which equated to $128?

    Any have any ideas why?
     
  2. Duff-Man macrumors 68030

    Duff-Man

    Joined:
    Dec 26, 2002
    Location:
    Albuquerque, NM
    #2
    Duff-Man says....because the price at the UK Apple store is £69...that is the price in your country - and I believe that price *includes* your VAT...just as I get charged in Canadian $$ when I buy from Apple.....oh yeah!
     
  3. tubedogg macrumors regular

    Joined:
    Dec 18, 2003
    #3
    I'm assuming you paid using a credit card? If Apple (USA) is charging the memberships, and they submitted the charge to your credit card company in USD instead of GBP, the credit card company would determine the exchange rate and it's almost never going to be favorable to you.

    If Apple UK is doing the charging or the charge was submitted to your card company in GBP then I'd be calling Apple to ask WTH is going on.

    Edit: Or it could be as simple as what Duff said :p
     
  4. Sun Baked macrumors G5

    Sun Baked

    Joined:
    May 19, 2002
    #4
    Price is set by region, not always by exhange rates which change daily.

    So isn't £69 the right price?
     
  5. Inspector Lee macrumors 6502a

    Inspector Lee

    Joined:
    Jan 24, 2004
    Location:
    East Lansing, MI
    #5
    The Apple UK website states it is 68.99 pounds here

    The EU seems to be up in arms about Apple's pricing over there. There have been complaints about iTunes, the Mac Mini, etc. I think there are some petitions going around too like this

    edit: beaten to the punch
     
  6. Duff-Man macrumors 68030

    Duff-Man

    Joined:
    Dec 26, 2002
    Location:
    Albuquerque, NM
    #6
    Duff-Man says....the subject of Apple's prices in other countries comes up around here, and other boards, quite often. Yesterday there was an article on As the Apple Turns that touched on this subject and the petitions.....and I think it makes a very valid point that the cost of doing business in some countries is just higher than the USA and that gets reflected in the prices of the goods....does not matter that the stuff is actually made and shipped from elsewhere - Apple has to pay their UK (in this case) staff at the "going rate" in London, and the payroll taxes etc that go along with that. The poiint was also made that this price differential is not something that is unique to Apple.....the article is quoted below...oh yeah!

     
  7. marknicholls thread starter macrumors 6502

    Joined:
    Aug 7, 2004
    Location:
    Bristol, England
    #7
    As much as i love apple, that is BANG out of order. Admitidly it did ask me to confirm i was happy to pay £69.99 BUT i only set up the trial account as i thought when i was ready i would then be able to get the full memberhsip for only $99. Of course, i have now been using it for free for 2 months, so all my online shopping accounts, friends, forums etc have my new email address and i really cant be botherd to changed it again (plus i am happy with .mac) but it is slightly annoying
     
  8. Duff-Man macrumors 68030

    Duff-Man

    Joined:
    Dec 26, 2002
    Location:
    Albuquerque, NM
    #8
    Duff-Man says....but, that price included VAT did it not? What if you subtract that percentage from the price - how does it then compare to $99us? Apple does not have control over the UK tax rules you know.....oh yeah!
     
  9. Sun Baked macrumors G5

    Sun Baked

    Joined:
    May 19, 2002
    #9
    Computers are not gold, otherwise your computer's price would change daily.

    The prices of computers are set regionally, and production is shifted around the globe to squeeze the best prices out depending on exchange rates.

    Right down with the US dollar in the toilet, the goods going to the US are expensive for companies -- cars, computers, tvs, clothes, etc.

    And they are stuck with the current US price, they can't raise the price of the computer or tv -- because somebody else will steal their market share.

    ---

    Of course we do live in the world of eBay -- so you can always buy a US machine.

    Which don't have international power supplies, so you'll likely be posting a "Honey, I Blew Up the G5" thread soon after buying it.
     
  10. Chip NoVaMac macrumors G3

    Chip NoVaMac

    Joined:
    Dec 25, 2003
    Location:
    Northern Virginia
    #10
    Thanks for the article. It still does not answer the question of what added costs that Dell or Apple have in doing business there. Are there duties that we are not fully aware of? Are corporate taxes higher there? That could be the answer to the 10 to 15% difference.

    Now forgive me if I tread on thin ice here. But as an American, we hear so much about how much better paid we are in the States verses other countries in Europe. Even before taxes are taken into account. Does it make sense that Apple (or any company) would want to put themselves at a disadvantage?
     
  11. Duff-Man macrumors 68030

    Duff-Man

    Joined:
    Dec 26, 2002
    Location:
    Albuquerque, NM
    #11
    Duff-Man says....everything is more expensive there. For me, a lot of things that are $2cdn are £2 there...that is like $4.70cdn to me. And it is not just in England either....the coffee that I might buy at my local Starbucks for $1.75cdn I paid about 4chf for in Zurich - about $4 to me.

    To use another example...try comparing the price of fuel for your car. Hey, they are a lot closer to Iraq and Kuwait and Suadia Arabia so it should be cheaper there, right? Nope. Try 30 - 40% more.

    It is different wage structures, different corporate tax rates, different costs of living...the old saying about comparing apples to oranges....people really don't think abouit these things before they spout off about Apple Computer "ripping them off".....oh yeah!
     
  12. Chip NoVaMac macrumors G3

    Chip NoVaMac

    Joined:
    Dec 25, 2003
    Location:
    Northern Virginia
    #12
    Yeah you are right. In regards to gas costs, the other side of the Atlantic always points to the taxes paid on gas compared to the US. Can't the same be true for Apple computers?
     
  13. caveman_uk Guest

    caveman_uk

    Joined:
    Feb 17, 2003
    Location:
    Hitchin, Herts, UK
    #13
    It's mostly VAT.

    Apple (like the credit cards) does not use the headline exchange rate (I recently bought stuff in the US when the 'headline rate' was $1.95 to £1. The credit card used $1.85 to £1). It assumes a rate that means it's prices don't vary. The recent (overdue) price drops in the UK were a reflection that the rate Apple was using was changed to better reflect the weakness of the dollar.

    Apple has to charge to you VAT on internet purchases in line with European tax laws.
     
  14. Applespider macrumors G4

    Applespider

    Joined:
    Jan 20, 2004
    Location:
    looking through rose-tinted spectacles...
    #14
    I guess if it was only available online - so there was never any packaging etc - it would be easier to fluctuate the rates.

    The trouble is that .mac is also sold in a little box with a pretty leaflet in retailers so there's a set price.

    It's a pity you couldn't have waited tho. It's selling for £49 on Tuesday night at the Regent St store - although that could of course have been a one-off. Someone might have been able to get it and post it over to you!
     

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