View Full Version : Sony: Australia Too Small to Make PS3 Affordable
Kamalot
02-22-2007, 03:25 PM
In a recent interview with Michael Ephraim (http://www.smh.com.au/news/games/ps3-price-is-right-sony/2007/02/22/1171733940010.html), Sony's managing director for Australia and New Zealand, claims that Australia has too small of a population to sell the PS3 any cheaper.The higher price was justified, he said, because factors such as Australia's currency exchange rate and small population size when compared with the US led to a higher cost of doing business.
"We have to realise that we live in a country with 22 million people, and the US supplies product to 300 million, which creates very different business dynamics," Ephraim said.He also discourages people from importing a cheaper version of the console from Japan."You can buy a Japanese machine, you can buy a game in Australia and play it on a Japanese machine, but you won't be able to play your movies," he said.According to the article, this is how the prices break down in Australian dollars:
Australia...($999.95)
Japan.......($640)....¥60,000
US..........($770)....$US599
Europe......($1000)...€599
Are these prices fair?
If you live in Australia and import, will it be cheaper after shipping and taxes? If so, that is the route I would go.
Heretic Machine
02-22-2007, 04:03 PM
Wait, I don't get it... Doesn't Australia use the same standard as Europe? What is so different about Australia that the PS3 has to be modified differently from every other region just to work there? Shouldn't both Australia and Europe share the same PS3 units, and thus be cheaper since their combined populations make up a fairly large number?
Smells of BS to me.
Snarboo
02-22-2007, 04:04 PM
To answer your question: No, those prices aren't fair. If most Americans refuse to buy Sony's overpriced console, why do they expect Australians to, at a higher price no less?
KamaItachi
02-22-2007, 04:04 PM
I brought over my 360 from Japan and even with the cost of a $200 transformer, I still ended up paying less than a domestic machine. I can also order Japanese/Asian games at half the price of the Australian releases.
There's no fucking way I'd ever consider planting down a grand for a PS3.
Fair? Nope, but will people buy it? No
OmegaVader
02-22-2007, 04:11 PM
price isn't fair here the states, much less there in australia.
gojira
02-22-2007, 04:16 PM
So, I guess Sony will concede Australia then?
Wait, I don't get it... Doesn't Australia use the same standard as Europe? What is so different about Australia that the PS3 has to be modified differently from every other region just to work there? Shouldn't both Australia and Europe share the same PS3 units, and thus be cheaper since their combined populations make up a fairly large number?
Smells of BS to me.
Yeah Australia and Europe use the same standard. The only changes they have to make is to ship a power cable with a different plug end.
I can understand having some overhead because there dealing with smaller numbers than else where, but $230 more than the US is a bit much. I gets worse when you factor in the extra cost of games as well. The prices I've seen for launch are $99 (US$78) for first party games and $119 (US$94) for third party.
Johan
02-22-2007, 04:18 PM
I wonder if there is any precedent for such a wide disparity in console launch prices across regions from past console launches?
It sure seems to me that Sony is opening the door to serious consumer complaints and unhappiness with the huge disparity in prices between continents/regions.
Make sure you bring tons of lube for Sony if you plan to move down under... maybe they took that term literally?
DaedalusFolly
02-22-2007, 04:26 PM
Are these prices fair?
One of the first concepts covered in studying marketing is "perception". What is entirely fair given market conditions, production, localization, etc - may not necessarily be perceived as fair by the consumer.
dirtbag
02-22-2007, 04:36 PM
If nobody buys them, Sony will have to lower the price to clear out the units. If the sheep line up and take it up the butt (I know, mixed metaphor), Sony has no reason to lower the price. The consumers ultimately get the final say-so on price, even if you have to out-wait the evil demon known as Sony.
By the way, how much are Wiis and 360s going for in Australia? Is there a similar mark-up, or is Sony the only one with that 'problem'?
Gamefreaks
02-22-2007, 04:48 PM
There's a mark up with both, but nothing near as drastic.
In NZ for a PS3 (to be released late March same as Aus and Europe) we have to fork out $1199 which currently converts to about $844 USD
mkelehan
02-22-2007, 04:49 PM
They're absolutely shooting themselves in the foot. The main reason the PS3 exists is to get Blu-ray into homes (and even if you don't agree with me there, you'll admit it's a close second). Australians can import JP PS3s, and play all of their AU games, but no Blu-rays. So, all that happens is Sony loses the Blu-ray penetration.
There's really no reason for it to cost that much. I mean, Christ... Sony could import them right from JP store shelves for less money.
KamaItachi
02-22-2007, 04:50 PM
If nobody buys them, Sony will have to lower the price to clear out the units. If the sheep line up and take it up the butt (I know, mixed metaphor), Sony has no reason to lower the price. The consumers ultimately get the final say-so on price, even if you have to out-wait the evil demon known as Sony.
By the way, how much are Wiis and 360s going for in Australia? Is there a similar mark-up, or is Sony the only one with that 'problem'?
It's an across the board thing. 360s seem to float from $600-750, the Wii, $450, which for me negates the whole "cheap family console" angle.
Hell, even DS games go for about 70 odd dollars, more than what I'd buy a 360 game for in Japan.
Siraris
02-22-2007, 04:53 PM
AU$749.95 That was the price of the PS2 at launch. I don't think it's unrealistic with a $300 price increase in the US, for there to be a AU$250 increase in Australia.
boratika
02-22-2007, 04:53 PM
But in Australia it has been ruled that you can legally mod-chip (as reported on Evil Avatar) your imported japanese PS3 to play australian movies.
Kamalot, you should add this to your post.
rubek
02-22-2007, 04:57 PM
By the way, how much are Wiis and 360s going for in Australia? Is there a similar mark-up, or is Sony the only one with that 'problem'?
I got my Wii on day one for $379 AUS.
I know of plenty of morons in my workplace who WILL fork out this stupid amount of cash, just because they are blind playstation loyalists.
I'm not bashing the console so much as the people who like to associate themselves with this particular product, in some hope that it may discern them from all the other consumers out there.
And telling us we shouldn't import cos we can't play movies on blu-ray?
Boo-fucking-hoo, how many times are we expected to buy a shitty Adam Sandler back catalogue?
Sonic Wang
02-22-2007, 05:00 PM
If it wasn't for the fact i traded in old stuff i don't use anymore (had quite a lot. It did include my PS2 but since i have a ton at work i can use/borrow and wont really need one with a PS3, i didn't mind) and was able to preorder a PS3 for $540, there would've been no way i would've got a PS3 for $1000.
BTW Kamaitachi. 360 was $650 and Wii is $400, the same price as a PSP (at launch price).
KamaItachi
02-22-2007, 05:14 PM
BTW Kamaitachi. 360 was $650 and Wii is $400, the same price as a PSP (at launch price).
Hmm, maybe I'm just thinking of bundles for $750, and I still think 400 for the Wii is too expensive. Thanks for the clarification, but I'll still probably end up importing instead.
J Arcane
02-22-2007, 05:16 PM
But in Australia it has been ruled that you can legally mod-chip (as reported on Evil Avatar) your imported japanese PS3 to play australian movies.
Kamalot, you should add this to your post.
This, as well as a number of other pro-consumer decisions by the Australian government, is also the real reason why they're gounging the Aussie market so much.
It's extortion, basically.
Feltoar
02-22-2007, 05:25 PM
The prices arnt fair, but they rarely are. My predictions for the PS3 price were spot on not because I thought of a large round number but because we are so often ripped off you can safely assume the worst possible scenario.
When Nintendo Australia first announced a price range for the Wii, it was between $249 and $399. Just about all of us assumed the $399 it was eventually released at. No brainers all around really.
The biggest problem here in Australia isnt the price of games though but the game releases themselves. We may have gotten that stupid Wii Play before the USA but we only just got ExciteTruck yesturday, a game I much prefer. No elebits until April and no Truama Center period. Ill never forget the 6 month wait for Metroid Prime either, probably the most critically acclaimed game of its time and we got it after all the hype had gone. Hell, the PS3 isnt even out yet. That 'worldwide' release for the Xbox 360 didnt include us either. The situation is pitiful and annoying.
Importing is definately the best solution no matter what console you have, but chipping isnt the way to go. Get an NTSC system right from the beginning.
Ilikecapcom
02-22-2007, 06:07 PM
Damn, it seems like it sucks down there, alot. I feel bad for ya guys :mad:
Kamalot
02-22-2007, 06:38 PM
And telling us we shouldn't import cos we can't play movies on blu-ray?
Boo-fucking-hoo, how many times are we expected to buy a shitty Adam Sandler back catalogue?
Actually, saving $340 to import sounds like a deal. If I could buy a PS3 for $350 USD cause it didn't play Bluray movies, I'd jump all over that.
DaXIthR
02-22-2007, 06:55 PM
To think, Sony pretty much owned Oz like no other region last generation.
A big, fat 'smell ya later' from Sony.
Kamalot
02-22-2007, 07:03 PM
To think, Sony pretty much owned Oz like no other region last generation.
A big, fat 'smell ya later' from Sony.
Well, they did state that market share wasn't important to them this generation. Sounds like they just gave the Eff up! ;)
Okamura_Takashi
02-22-2007, 07:09 PM
Hrmmm, even if you can't play Australian movies on the Japanese PS3, you can play American Blu-ray movies as Japan and North America are in the same region for Blu-ray. I don't see much of a reason NOT to import it.
archon
02-22-2007, 07:11 PM
It's okay Australians, there's nothing worth getting on the PS3 anyway. Plenty of fun to be had elsewhere.
Loganrapp
02-22-2007, 07:14 PM
It's an across the board thing. 360s seem to float from $600-750, the Wii, $450, which for me negates the whole "cheap family console" angle.
Hell, even DS games go for about 70 odd dollars, more than what I'd buy a 360 game for in Japan.
I'm usually quick to slam Sony, but really, for this issue alone, it seems about right.
It's just that $1,000 price tag is a large pill to swallow.
This really goes back to the old argument: the PS3 is overpriced in general.
Midda
02-22-2007, 07:34 PM
It's an across the board thing. 360s seem to float from $600-750, the Wii, $450, which for me negates the whole "cheap family console" angle.
Hell, even DS games go for about 70 odd dollars, more than what I'd buy a 360 game for in Japan.
Your post is a little misleading. Yes, those are the correct prices, if you're talking about AUD, not USD.
Though the RRP for the Wii is AUD$399 (usually sells for about AUD$380).
Stuff is more expensive here, but not THAT much more.
bapenguin
02-22-2007, 07:37 PM
What does a 360 cost in AUS?
revelation
02-22-2007, 07:39 PM
I've very quickly learned to get most of my buying needs from eBay here. I'm sick of the shit we're constantly dealt with gaming, be it the release dates or the prices.
I bought Phoenix Wright 2 for $42AU (after shipping) while Australia is still waiting for the first one to ship here (at a price that'll range from $60-70). Portrait of Ruin I picked up for $45AU while I saw my local EB selling it for $80AU.
My copy of Crackdown arrived this week for $66AU (again, after shipping) while the lowest price I can find is Target doing an "introductory" price of $85AU with everyone else listing it from $95-100AU. It's beyond silly.
A big effu to all of them.
revelation
02-22-2007, 07:43 PM
What does a 360 cost in AUS?
Looking at my Myer catalogue today, there's an XBOX 360 (premium version) bundle for $650AU that includes Dead or Alive 4 and PGR3.
DaXIthR
02-22-2007, 08:14 PM
I've very quickly learned to get most of my buying needs from eBay here. I'm sick of the shit we're constantly dealt with gaming, be it the release dates or the prices.
A big effu to all of them.
I'm glad you're fighting the good fight, but out of curiosity, have you ever tried calling or writing to Sony, MS or Nintendo offices there to let them know how you feel...and how you circumvent their buggery?
revelation
02-22-2007, 08:43 PM
I'm glad you're fighting the good fight, but out of curiosity, have you ever tried calling or writing to Sony, MS or Nintendo offices there to let them know how you feel...and how you circumvent their buggery?
Actually, Aussie Nintendo (http://www.aussie-nintendo.com/) did a thing where they sent letters to the big three in Nintendo, Microsoft and Sony (as well as the many publishers) and from memory, only Sony gave a reply.
The reply (http://www.aussie-nintendo.com/forum/viewtopic.php?t=5498&highlight=letter+nintendo) (scroll down a little) was a generic one where they tried to feed the standard BS while completely side-stepping the issue all together.
The reason we get screwed is simply lack of information to the general public. If everyone that ever bought a game knew about how much we were getting screwed over by, they'd probably react by either doing what I'm doing or complaining en masse.
When I say everyone, I suppose I'm really speaking about the many uninformed mothers and fathers I see purchasing stuff at top price while a competitor's doing a better deal literally down the road. Then again, many of my gaming friends had no idea just how much we were being screwed by either...so I dunno.
The point is really, barring some sort of revolution where people simply holdout and refuse to buy games locally for an entire month to really show them that we're not to be taken for granted, nothing will change.
defiant
02-22-2007, 08:47 PM
Damn, it seems like it sucks down there, alot. I feel bad for ya guys :mad:
You have no idea.....everything here is a complete rip off when it comes to technology and gadgets.
Your retail prices for PC components are generally cheaper than our wholesale prices, which is ridiculous given that everything is manufactured just across the road from us in South East Asia! Part of the problem are the wholesalers.....there arent enough of them thus giving them reason to make substantial mark ups. Greedy fucking bastards :mad:
Same goes for things like LCD TVs, there is no such thing as a 1080P LCD for less than $3,500 AUD here. Really annoys the fuck out of me. Thankfully my brother has his own computer business which means I can get most things wholesale.
Ultima Thulian
02-22-2007, 09:26 PM
Man...an entire fucking continent not profitable enough? Reeks of bullshit...sorry Aussies, looks like Sony is taking a giant shit on you. On the bright side, you are close to and with japan...so you might be able to score an import (though you may have to mod it). From what I heard, PS3s are cheapest in Japan. So all isn't bleak, I suppose.
TrackZero
02-22-2007, 09:34 PM
Australia...($999.95)
Japan.......($640)....¥60,000
US..........($770)....$US599
Europe......($1000)...€599[/FONT]
WoW, just...wow. Here's an idea....don't buy a PS3 at these prices(unless you want to show Sony that the market is willing to bend over and take it).
TrackZero
02-22-2007, 09:41 PM
Hrmmm, even if you can't play Australian movies on the Japanese PS3, you can play American Blu-ray movies as Japan and North America are in the same region for Blu-ray. I don't see much of a reason NOT to import it.
Assuming you really, really want the console, then I'd agree. Though I don't think with the EvAv crowd I really need to point out the many reasons you don't need to own a PS3 right now.
JimmyDanger
02-22-2007, 09:42 PM
DVD Crave (http://www.dvdcrave.com.au/products/product.jsp?pid=32047)
have had Japanese PS3's for over 2 months now..
They started for 1499 (60gb Japanese model) - but they're now down to 899.95..and they've still got 10+ in stock..
Just shows you how much serious interest there really is down here..
Wasn't enough to make me want one.
Siraris
02-22-2007, 09:47 PM
There's an interesting chart on wikipedia of prices of the PS2 around the globe from launch to present. Here's Australia:
* AU$749.95 (Original Price; the price had begun to drop within weeks of its launch)
* AU$499.95 (September 28, 2001)[4]
* AU$399.95 (June 15, 2002)[20]
* AU$249.95 (October 29, 2004, slim PS2 launch)[5]
* AU$199.95 (June 1, 2006)[6]
It says it launched November 30th 2000 in Australia (I thought it was later), which means it dropped AUS $250 in less than a year.
Ultima Thulian: I just have to ask, but how could you make the statement that Australia is a profitable place to sell consoles? There's 20 million people spread over an entire continent, with land that equates to twice the size of India (here is some perspective (http://almcclymont.typepad.com/photos/population_density_maps/population_map_australia.html)). There is a massive amount of land between the only population centers on the entire continent. Oh, and the PS3 markup of the PS3 over the 360 is only a difference of $30, meaning in Australia, you're paying $115 more than you would in the US for a 360 premium, where for a PS3, you're paying $145 more than you would in the US.
DaXIthR
02-22-2007, 10:05 PM
Out here, electronic stores conduct small importations from North America to feed the local demand. It's like that for the entire Caribbean because there is no Sony of (or Nintendo of, or Microsoft of) Jamaica.
Naturally, the electronic stores pay retail for the systems they bring in from the US, pay duty on the systems for importing them, and then mark-up about 100%.
A Wiimote costs over $150 here.
I always figured that's just the way it was because the big three expect us to leech off the NA supply, and none of them have official sales representatives here. Australia has all those perks, but they still get screwed.
Quite peculiar.
rubek
02-22-2007, 10:25 PM
WoW, just...wow. Here's an idea....don't buy a PS3 at these prices(unless you want to show Sony that the market is willing to bend over and take it).
The number of possible consumers for this type of product down here might number in the tens to hundreds of thousands I guess. Consider then, that only a small number of those consumers are actually "hardcore", well informed gamers, who make decisions on what they actually WANT.
The rest of the possible purchasers have been so isolated by anything other than the Playstation brand, that it's a no brainer for them.
As I mentioned earlier, I know of at least 10 people who have told me they'll be buying a PS3 "just cos", then rattling off PR junk about Blu-ray, HD, ra ra ra.
So yes, most of our market IS willing to bend over and take it unfortunately, and then brag about it afterwards.
Wolvie
02-22-2007, 11:01 PM
Sony, what the fuck happened to you? Seriously, you went from the smartest prettiest girl in town, to a crazy, fugly, meth head who still thinks your all that. It's so sad to watch a good girl destroy herself.
TrackZero
02-22-2007, 11:43 PM
The number of possible consumers for this type of product down here might number in the tens to hundreds of thousands I guess. Consider then, that only a small number of those consumers are actually "hardcore", well informed gamers, who make decisions on what they actually WANT.
The rest of the possible purchasers have been so isolated by anything other than the Playstation brand, that it's a no brainer for them.
As I mentioned earlier, I know of at least 10 people who have told me they'll be buying a PS3 "just cos", then rattling off PR junk about Blu-ray, HD, ra ra ra.
So yes, most of our market IS willing to bend over and take it unfortunately, and then brag about it afterwards.
Well, there's nothing you can do about what everyone else does. But I always say, just go your own way. Get the best platform for what you want, and show it off to anyone that'll listen. It's how I usually end up getting friends/family to actually play good games (I swear if I wasn't around they'd all just play sports games...*sigh*).
Hell, if I hadn't gotten my DS and shown it off...well, let's just say they'd be 5+ less DSes sold by Nintendo right now.
TrackZero
02-22-2007, 11:44 PM
Sony, what the fuck happened to you? Seriously, you went from the smartest prettiest girl in town, to a crazy, fugly, meth head who still thinks your all that. It's so sad to watch a good girl destroy herself.
I don't think they were ever the smartest. ;) Their only true addition to the industry was the optical drive on a solid console. So let's say Sony was the prettiest girl with the biggest knockers in town.....
bKangy
02-22-2007, 11:59 PM
Does anyone play their movies on it anyway? No?
JimmyDanger
02-22-2007, 11:59 PM
I don't think they were ever the smartest. ;) Their only true addition to the industry was the optical drive on a solid console.
Can you say..Saturn?
EDIT - Actually CD - I?
saulob
02-23-2007, 12:05 AM
ridiculous!
Too be honest I'm more angry about the wii. $400 AUD ($315 USD) for a console with graphics that can't even compare to the ps3 and 360. Then on top of that each extra controller (remote+numchuck) with cost you $110 ($86 USD). So if you want a wii with 4 controllers you'll be looking at $730 ($575 USD).
At that price I'd rather buy a 360. I've seen them in a few places for $580.
We really get screwed across the board though.
Damn, it seems like it sucks down there, alot. I feel bad for ya guys :mad:
yeah we're used to getting screwed over.
for example
- an iriver clix costs on average $300AUD ($236.71USD)
- ps3 is $800-$1000AUD ($631 to $788.9USD)
its a real pitty. :(
ridiculous!
I agree
jbavon
02-23-2007, 01:30 AM
So if 1000$ US is because Australia is a small market, then why is the price 1000$ US in Europe, which is a (potentially) bigger market than the US?
TrackZero
02-23-2007, 01:31 AM
Can you say..Saturn?
EDIT - Actually CD - I?
Yes, but CD-I was horrible, just horrible. I don't even consider it a real console.
And yes, the Saturn DID come out first, by a week and a half. Huzzah. But it was more expensive and a bitch to program for, and well, you know the rest.
Edit: Hunh...I just realized I can equate the reasons for the Saturns "failure" to the PS3....nice.
Housemixer
02-23-2007, 01:32 AM
The news posts makes it look like australia is the only country getting shafted, but we have to pay exactly the same price in europe too. But that is hardly newsworthy, it's always been like that.
Uniqueusername
02-23-2007, 01:51 AM
If you live in Australia and import, will it be cheaper after shipping and taxes? If so, that is the route I would go.
You can get a PS3 in Japan for as little as $417. The only option is $999 in Australia.
You could probably fly to Japan and buy one cheaper.
That price it a complete rip off, plain and simple. Shipping costs are a trivial part of the overall price.
I bought my 360 for $379. Convert the currency and you'll find that is actually a few dollars cheaper than the US price.
KidCactus
02-23-2007, 03:02 AM
The news posts makes it look like australia is the only country getting shafted, but we have to pay exactly the same price in europe too. But that is hardly newsworthy, it's always been like that.
Not only the news post, most of the people in this thread seems to just ignore that it's the same as in Europe.
DangerousDaze
02-23-2007, 03:10 AM
/edited - nvm.
Oddmaker
02-23-2007, 03:21 AM
AND you wounder why people fucking download games and not pay for them.
Gel214th
02-23-2007, 03:26 AM
Yes it's Fair.
Australia probably has Import Duties and Taxes added to an electronic item such as the PS3. In some countries this can be as high as +35% or more. Then add shipping from Europe onto that price.
Then add any warehousing, cost to pay to clear goods, transportation costs, stocking fees to get the product to the stores and on the shelves. Now finally add a mark-up for the retailer so that they break even and make a profit.
This is true of the cost of items in every single country outside the US and not just for consumer electronics.
For example in my country you typically look at the cost of the item in US and multiply it by TEN to get the cost of the item in local currency.
PS3s were selling for the equivalent of US$1000.00 in the Caribbean.
Uniqueusername
02-23-2007, 03:45 AM
Then add any warehousing, cost to pay to clear goods, transportation costs, stocking fees to get the product to the stores and on the shelves. Now finally add a mark-up for the retailer so that they break even and make a profit.
This is true of the cost of items in every single country outside the US
...And it's also true for the US. These things aren't magically free there, you know.
The PS3 is made in China. It's actually cheaper to ship it to Australia than the US, since it's so much closer. Checking the shipping routes- right down the coast. Storage is cheaper, too.
Of course, other things may be more expensive.There certainly are differences in costs between countries, but they are not as huge as people make out. Highly competitive items (Like PC parts) don't have these massive price differences, because they can't get away with charging them.
Not only the news post, most of the people in this thread seems to just ignore that it's the same as in Europe.
Well, it proves the Sony line is BS... What else is there to say? Wanna borrow a tube of anal lube? ;)
KidCactus
02-23-2007, 04:53 AM
Well, it proves the Sony line is BS... What else is there to say? Wanna borrow a tube of anal lube? ;)
Naah, I imported mine from the US. No lube needed, didn't hurt too much.
jbavon
02-23-2007, 04:57 AM
Naah, I imported mine from the US. No lube needed, didn't hurt too much.
Is imported anal lube cheaper than domestic???
;)
KidCactus
02-23-2007, 05:08 AM
Is imported anal lube cheaper than domestic???
;)
I wouldn't be suprised if it was, most things are cheaper to import when you live in Sweden. :D
Magnanimous Gnome
02-23-2007, 05:37 AM
Dang, Australia and Europe always get screwed by Nintendo, MS, and Sony.
I feel for you guys. :(
Kamalot
02-23-2007, 05:40 AM
Can you say..Saturn?
Wasn't Saturn $100 more than the PS1, and the games were just as good in the eyes of the average consumer?
Who would pay more for a console that does the same thing as a $100 cheaper console?
...And it's also true for the US. These things aren't magically free there, you know.
The PS3 is made in China. It's actually cheaper to ship it to Australia than the US, since it's so much closer. Checking the shipping routes- right down the coast. Storage is cheaper, too.
Of course, other things may be more expensive.There certainly are differences in costs between countries, but they are not as huge as people make out. Highly competitive items (Like PC parts) don't have these massive price differences, because they can't get away with charging them.
Well, it proves the Sony line is BS... What else is there to say? Wanna borrow a tube of anal lube? ;)
Nice to see more aussies in the forums now days. which city do you live in? (i know it's totally off topic)
Shifter
02-23-2007, 06:03 AM
By the way it is very common for companies to sell the same product at vastly different prices from market to market, region to region, even within the US. Shipping alone can account for over a 10-20% difference in retail price in the US for many products.
It's simply true that the cost of exporting goods to Australia is incredibly high. This isn't news and shouldn't really serve as anti-Sony fodder.
Trazzlo the Magnificant
02-23-2007, 07:38 AM
What are the various tariffs and duties around the world on consoles?
As I recall Canada has no tariffs on electronics from most nations, since the general direction is one to reduce or eliminate them.
I thought the US had a fairly high tariff on electronics, but that is probably old information.
Uniqueusername
02-23-2007, 07:43 AM
Nice to see more aussies in the forums now days. which city do you live in? (i know it's totally off topic)
Perth.
It's simply true that the cost of exporting goods to Australia is incredibly high.
It really isn't.
Australia has an export driven economy, so ports are well connected to rail networks. Many main roads allow up to 3 trailer road trains through the cities, and up to 6 in regional areas. Despite the distances, shipping really isn't too expensive here.
Plus, China is really, really close to Australia. If I can use regular postage to get a PS3 to Australia so much cheaper than Sony can using bulk shipping, then something is seriously wrong with them. Seriously.
Also, notice we're getting a cheaper-to-produce PS3 with crappy backward compatibility. So we're paying more for less.
Siraris
02-23-2007, 09:59 AM
It has to do more with competition there. Sony has faced next to 0 competition there, so they can afford to rip off the consumer. On the other hand, LCD TV's in Australia are DIRT CHEAP. You can get a 40" Bravia LCD for $1700 AUS there, while it costs $3000 US here.
It's also important to remember that there's only 20 million people, and for the most part, everyone is pretty well off. So as opposed to selling to a country where there are 150 million people, with a pretty big part of the population who aren't well off, you're selling to a country with 20 million people who are pretty much well off.
[VSK]BadCRC
02-23-2007, 10:26 AM
I don't know, I think I'd like a little more perspective on this. It's easy to do the current currency value conversion between AUD and USD, but that doesn't really give us any real insight into how bad/good the whole console thing is.
I mean, yes, dollar for dollar they pay more, but not being a native to Australia, I don't know what the cost of living is like for them over there. For all I know, their minimum wage could be higher than it is here in the US. Maybe they make the equivelent to $8-10 to the $6-7 job equivelent here in the US.
Any Aussies care to comment on the income differences? In the US, $14,000~$16,000 a year or less is considered to be around the poverty level, $65,000-$75,000 and you're pretty well off.
Smithersnz
02-25-2007, 12:45 PM
You think you Aussies have it bad? The Wii costs $400 over there, but in New Zealand it costs $500. That's a 25% increase when the exchange rates are almost the same, and we don't have the same high duties.
The only reason for that is that Nintendo supplies through one company, who is free to charge whatever they want. In my mind that's why Nintendo consoles never seem to take off over here.
Sl1pstream
02-25-2007, 02:57 PM
This is true of the cost of items in every single country outside the US and not just for consumer electronics.
But why? They don't even make those things in the US. They're being shipped there too.
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