What do a chipmunk, a buffalo (actually a bison) and an Indian have to do with Australia?
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Apple Lowers iPod Prices Up to 10% in Australia
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What do a chipmunk, a buffalo (actually a bison) and an Indian have to do with Australia?
The thing which I've observed in Australia recently is that say, 5 years ago, every retailer which resold Apple products such as iPods sold it at RRP or maybe $1-$2 less than RRP. Fast forward to 2010/2011 where we are now and it's not uncommon to find the big retailers such as Harvey Norman selling Apple products at a decent sized discount (maybe $10+ off RRP, usually with some kind of freebie like a travel charger). Apple Stores are willing to price match and there's been several times where I've used their high speed internet and Macbooks to show them Big W usually sells Apple stuff considerably lower than RRP (e.g. $20-$30 off RRP) so now I'm wondering if the lowering of prices is really just so that Apple doesn't look stupidly overpriced.
e.g. Big W sells iPod Touch 8gb for $268 (which is below the original RRP of $289) and includes Phillips earbuds, a game case, and free delivery. Refer to: http://www.bigw.com.au/electronics/...s/bpnBIGW_9999999000163/ipod-touch-8gb-bundle
Note to non-Australian forum users- Big W is kindof our equivalent to Walmart I believe. They are a large discount retailer chain selling some food/confectionery products, variety of white goods, electronics, clothes, etc.... but no fresh food.
e.g. Big W sells iPod Touch 8gb for $268 (which is below the original RRP of $289) and includes Phillips earbuds, a game case, and free delivery. Refer to: http://www.bigw.com.au/electronics/...s/bpnBIGW_9999999000163/ipod-touch-8gb-bundle
Note to non-Australian forum users- Big W is kindof our equivalent to Walmart I believe. They are a large discount retailer chain selling some food/confectionery products, variety of white goods, electronics, clothes, etc.... but no fresh food.
Hey I've just bought an engraved iPod for my friends birthday. Is there any way I can get the difference? I just bought it last week.
What most people don't realize is that all modern countries have a value added tax or VAT already included in the price.
In the US apple store, most consumers have to also add sales tax to the listed price. That can be as much as 10%.
As for exchange rates, apple has to sell items everywhere with a profit, obviously. When they choose prices, they have to set them to accomodate the fluctuations in the foreign currency exchange market. The only other option would be to continuously update prices 24/7.
It's just a fact of global trade and an example of basic macroeconomic principles.
In the US apple store, most consumers have to also add sales tax to the listed price. That can be as much as 10%.
As for exchange rates, apple has to sell items everywhere with a profit, obviously. When they choose prices, they have to set them to accomodate the fluctuations in the foreign currency exchange market. The only other option would be to continuously update prices 24/7.
It's just a fact of global trade and an example of basic macroeconomic principles.
Now here is the ******** Apple tax we get:
Mac Pro Quad Core standard:
$2,499 USD on apple.com ($2,407 AUD)
$3,199 AUD on apple.com.au ($3,320 USD)
Almost a $1,000 difference!
Now look at their top of the line Mac Pro
$4,999 USD on apple.com ($4,815 AUD)
$6,599!!! AUD on apple.com.au ($6,850 USD)
Over $2,000 difference!
This 10% discount on iPod's is welcomed, but meh. Though it is a good sign, the iPad's received a price drop, we're still paying almost $100 more on the base product, though $50 more including our GST which is pretty reasonable IMO.
I'm keen to see if they do some nice prices on the Mac Pro, when it finally decides to upgrade.
Though ofcourse Apple isn't the only company that does this, a nice example is the car I am after at the moment.
Nissan 370z. Japanese car, drive on the same side of the road as us (so no conversion or special model required).
RRP USD ~$37,000
RRP AUD ~$58,000
Not to mention the price on TV's at the moment.
WHYYYY!
Mac Pro Quad Core standard:
$2,499 USD on apple.com ($2,407 AUD)
$3,199 AUD on apple.com.au ($3,320 USD)
Almost a $1,000 difference!
Now look at their top of the line Mac Pro
$4,999 USD on apple.com ($4,815 AUD)
$6,599!!! AUD on apple.com.au ($6,850 USD)
Over $2,000 difference!
This 10% discount on iPod's is welcomed, but meh. Though it is a good sign, the iPad's received a price drop, we're still paying almost $100 more on the base product, though $50 more including our GST which is pretty reasonable IMO.
I'm keen to see if they do some nice prices on the Mac Pro, when it finally decides to upgrade.
Though ofcourse Apple isn't the only company that does this, a nice example is the car I am after at the moment.
Nissan 370z. Japanese car, drive on the same side of the road as us (so no conversion or special model required).
RRP USD ~$37,000
RRP AUD ~$58,000
Not to mention the price on TV's at the moment.
WHYYYY!
Yup so true we get screwed when it comes to prices of electronics.
For eg:
Toast 11 is the US is $79 and in AU its $179 100% markup.
AU: http://www.roxio.com/ena/products/toast/titanium/overview.html
US: http://www.roxio.com/enu/products/toast/titanium/overview.html
Because companies love to take advantage of us. the only way to fix it would be if every one just stop buying the products and when the companies start saying why then all we have to say it we are getting rip off.
Good news for us Aussie consumers (yes, not the miners and farmers though). Hopefully this will lead to a price drop for mac computers. See Devie's post above, the difference is huge considering 1 AUD = 1.03 USD at the moment.
Whenever I buy higher priced Apple items (iMac, MBP) I always check at David Jones as they will often give you a better price, 10% off MSRP.
The price drop wouldn't have anything to do with the fact that the high price of Apple products in Australia relative to the USA was raised in Federal Parliament this week would it?
You mean like a store ?
It has no relationship to Walmart except it contains a "W".
You could say Kmart is the same or even Target.
Although I will give credit where credit is due and that is BigW has the best implementation of an online store
i've seen in Australia and shipping is free a lot of the time and prices are low and discounts are genuine.
They still shaft you on App Store prices though
It's proper for Apple to be dropping their prices when the Aus Dollar is at parity with the greenback. But they'll never adjust their rates on the App Store pricing. I'll never buy anything from the Mac Appstore in Aus when I can get it directly from a developer's website. For example, if I were to buy OmniGraffle Pro from the Omni site, I'd pay just under $200 AUD. It's $250 AUD on the App$tore. For that reason, I hope the AppStore never becomes the prominent distribution platform for Mac software. How can they justify an extra $50 when the AUD is actually higher than the greenback?! Greed.
It's proper for Apple to be dropping their prices when the Aus Dollar is at parity with the greenback. But they'll never adjust their rates on the App Store pricing. I'll never buy anything from the Mac Appstore in Aus when I can get it directly from a developer's website. For example, if I were to buy OmniGraffle Pro from the Omni site, I'd pay just under $200 AUD. It's $250 AUD on the App$tore. For that reason, I hope the AppStore never becomes the prominent distribution platform for Mac software. How can they justify an extra $50 when the AUD is actually higher than the greenback?! Greed.
Love when these sort of stories come up and people whine about certain political choices leading to a weak US currency.
Anyone with half a brain should realize the USD has had basically the same position for years. The time of the USD on top or #2 behind the pound are long gone. Weaker currency = tempting for more international companies to invest in America, easier for good to be exported, etc.
People complain about China's rampant manipulation of the currency to reign in growth. The US with the USD is no different.
Anyone with half a brain should realize the USD has had basically the same position for years. The time of the USD on top or #2 behind the pound are long gone. Weaker currency = tempting for more international companies to invest in America, easier for good to be exported, etc.
People complain about China's rampant manipulation of the currency to reign in growth. The US with the USD is no different.
Apple also released the iPad 2 here at a substantially decreased price to the first generation (off my head the 64GB 3G is $100 cheaper than the iPad 1 was) and the 13" MBP released the other day got a $50 or $100 drop in price also from the previously released model.
So they are dropping prices elsewhere, and other products may see a drop when it comes closer to their product lines being refreshed.
http://www.wolframalpha.com/input/?i=AUD+vs+USD
I know our prices have to include the 10% GST, do consider though that a lot of Mac computers are 30-50% more than the states, and it's cheaper consumers to buy from the states, import and pay the 30% import tax.
Retail chains are pissed off that so many US companies haven't achieved their prices for Australia because now they are losing customers to online imports.
Our dollar will be at 1.20 at the end of the year.
I know our prices have to include the 10% GST, do consider though that a lot of Mac computers are 30-50% more than the states, and it's cheaper consumers to buy from the states, import and pay the 30% import tax.
Retail chains are pissed off that so many US companies haven't achieved their prices for Australia because now they are losing customers to online imports.
Our dollar will be at 1.20 at the end of the year.
Yeah, I've never understood why the Australian app store is not only so much more expensive than USA/Canada but it also never offers the same number of free TV episodes.
Low end, standard config 27" iMac
US price: 1700$ (note that this doesn't include state sales taxes)
Aust. price: 2050$
[US Price + GST (10%) + customs (5%)] / EXR (1.04) = Theoretical price in Australia.
1700 * 1.1 * 1.05 / 1.04 = 1887$.
And if you include some leeway in the cost of shipping, headroom for currency fluctuations, and that fact that the US price is missing sales tax, then Australians have a pretty good deal.
US price: 1700$ (note that this doesn't include state sales taxes)
Aust. price: 2050$
[US Price + GST (10%) + customs (5%)] / EXR (1.04) = Theoretical price in Australia.
1700 * 1.1 * 1.05 / 1.04 = 1887$.
And if you include some leeway in the cost of shipping, headroom for currency fluctuations, and that fact that the US price is missing sales tax, then Australians have a pretty good deal.
As in, it's a generic chain of stores which don't specialise in any particular types of products and they try to promote themselves as offering 'best value prices' (as opposed to premium shopping experiences). The reason I posted this was so that people in the US who read my post don't misinterpret Big W as being some kind of 'online only retailer' which can offer bigger discounts than traditional bricks and mortar stores- I was simply trying to help bridge the gap in understanding.
1. Luxury car tax
2. Cost of doing business here- i.e. shipping costs and smaller markets yet there are still similar marketing costs/advertising spend/regulatory costs/etc which need to be shared over fewer sales
That being said, it is a bit 'too much'. I get annoyed when I see kids who can barely speak/write properly in the states being given an Evo X as a 'normal' car only costing circa $34k usd from memory. This is a car I aspired to and bought (at 21 after working and studying full time for 3 years).
Um, there's a HUGE difference between China and the US - firstly, the US does not manufacture anything. Even if the $ dropped more than half.. what would we export? Besides weapons and wheat? Nothing.
Setting up manufacturing is expensive in the US because of all the legal and financial ramifications - 1. Pay minimum wage+benefits 2. Pay business insurance 3. Take environmental factors into consideration, etc etc
It's just expensive to do any kind of manufacturing here in the US. So if the $ goes down, our imports become more expensive, inflation skyrockets - and no one will invest here - why would you want to invest in a country where the currency is spiraling downwards? Lol