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Businesses The Almighty Buck United Kingdom Apple

Apple App Store Prices Rise in UK, India and Turkey (bbc.com) 84

Apple is to put up the price it charges for apps in the UK, India and Turkey. From a report on BBC: UK costs will numerically match those of the US, meaning that a program that costs $0.99 will now be 99p. That represents a 25% rise over the previous currency conversion, which was 79p. "Price tiers on the App Store are set internationally on the basis of several factors, including currency exchange rates, business practices, taxes, and the cost of doing business," it said. "These factors vary from region to region and over time." The rise will also affect in-app purchases but not subscription charges. The cost of a $0.99 app will become 80 rupees in India, representing a 33% rise from the previous price of 60 rupees.
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Apple App Store Prices Rise in UK, India and Turkey

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  • Sounds about right (Score:5, Insightful)

    by Albanach ( 527650 ) on Tuesday January 17, 2017 @10:16AM (#53682337) Homepage

    With the Pound now trading [xe.com] at around $1.23, and the UK app store incorporating VAT at 20% while the US store doesn't include sales tax in the list priced, this sounds about right. Certainly the "UK premium" is nothing like the 50-100% that wasn't uncommon a decade or so ago.

    Apple look simply to be pricing in the devaluation in Sterling that has occurred since the beginning of Brexit. I'm not sure anyone can find much to fault with that. The real question is how quickly Apple will move to reduce prices if/when the Pound recovers?

    • by Maritz ( 1829006 ) on Tuesday January 17, 2017 @10:18AM (#53682347)

      The real question is how quickly Apple will move to reduce prices if/when the Pound recovers?

      lol. How quick is "never"?

      • Re: (Score:2, Interesting)

        by AmiMoJo ( 196126 )

        They will never have to make that decision. The Pound is going to be devalued a lot more than this. It's part of our transition to a third world, low cost labour economy. Basically like India but slightly better English skills and right on Europe's doorstep.

        • Basically like India but slightly better English skills and right on Europe's doorstep.

          We'll be a better tax haven than India too. I think the plan is something like this:
          1. Destroy local industry
          2. Invite companies to HQ here and pay no taxes whatsoever
          3. ????
          4. Profit!

          • by AmiMoJo ( 196126 )

            I think you give them too much credit. In May's case it's just:

            1. ????

            All she ever seems to say is meaningless gibberish like "Brexit means Brexit". Today we had the first hint that they know their position is extremely weak but still absolutely no hint of any kind of plan to get any of the stuff they seem to want.

            The most concrete proposal we have had was from Hammond, suggesting that we remodel ourselves as a tax haven but without the nice beaches.

      • by mjwx ( 966435 )

        The real question is how quickly Apple will move to reduce prices if/when the Pound recovers?

        lol. How quick is "never"?

        I'm not sure if he's talking about Apple reducing prices or the Pound recovering.

    • Reduce prices? That was a good one.
      • by Goaway ( 82658 )

        They've done it multiple times already. You just don't know because Slashdot hasn't spoon-fed the information to you.

    • Seems the same logic for Turkey and India. Prices in the US do not include the sales tax. Other countries include it. So Apple is just accommodating this policy. They are including the import and VAT taxes in the published price.

    • Apple look simply to be pricing in the devaluation in Sterling that has occurred since the beginning of Brexit.

      All lies! Shut up with project fear.

      (this is sarcasm)

      prices if/when the Pound recovers

      lol.

    • Now if only they'd pay what they owe in Taxes in the UK we could afford a second NHS just to wear on Sunday's!
    • The real question is how quickly Apple will move to reduce prices if/when the Pound recovers

      When the Euro was introduced, everybody used that as an excuse to raise prices . . . even in countries that didn't use the Euro! Now, prices in the EU will rise, "because of the Brexit costs, caused by the UK!" Prices in the UK will rise, "because the EU is punishing us for leaving!" So it will very convenient for all the governments: they call all blame problems on something and/or someone else beyond their control.

      But folks in the UK will be wealthier! They used to have apps on their phones only wor

    • With the Pound now trading [xe.com] at around $1.23, and the UK app store incorporating VAT at 20% while the US store doesn't include sales tax in the list priced, this sounds about right. Certainly the "UK premium" is nothing like the 50-100% that wasn't uncommon a decade or so ago.

      Apple look simply to be pricing in the devaluation in Sterling that has occurred since the beginning of Brexit. I'm not sure anyone can find much to fault with that. The real question is how quickly Apple will move to reduce prices if/when the Pound recovers?

      Prices tend to be sticky in terms of reduction, if simply if only customers get used to the higher prices so absent a steep decline companies tend to keep prices at the higher levels once they raise prices.

    • Apple look simply to be pricing in the devaluation in Sterling that has occurred since the beginning of Brexit. I'm not sure anyone can find much to fault with that. The real question is how quickly Apple will move to reduce prices if/when the Pound recovers?

      As a developer with paid apps in the store, I get an email every single time Apple changes its prices anywhere in the world. Most of the time, some prices go up, some prices go down.

  • Numerical matching is doing nothing more than making the number 99 appear everywhere, as if currency conversions and other taxes are suddenly and magically irrelevant. I guess the only thing that's truly irrelevant is giving a shit about the impact.

    Apple sure has one hell of an arrogant way of defining courage. I'd respect them a lot more if they were just honest about the change and said "Fuck You, that's why."

    • by Zocalo ( 252965 )
      It's got nothing to do with corporate arrogance and everything to do with boosting sales numbers. The ".99" thing is psychological and is connected with how the optical cortex processes the sequence of numbers we see into a value that we then equate to. Apparently, enough extra people will purchase an item priced at $x.99 instead of ${x+1}.00 than is necesssary to offset the $0.01 loss of profits, and where people are becoming aware of this marketing technique the simple trick of using .98 supposedly trick
      • It's got nothing to do with corporate arrogance and everything to do with boosting sales numbers. The ".99" thing is psychological and is connected with how the optical cortex processes the sequence of numbers we see into a value that we then equate to. Apparently, enough extra people will purchase an item priced at $x.99 instead of ${x+1}.00 than is necesssary to offset the $0.01 loss of profits, and where people are becoming aware of this marketing technique the simple trick of using .98 supposedly tricks the brain and brings the sale numbers right back up again.

        "Price tiers on the App Store are set internationally on the basis of several factors, including currency exchange rates, business practices, taxes, and the cost of doing business,"

        According to TFA, this has nothing to do with psychological factors of selling cheap shit to the masses. At all.

        The ultimate factor driving price is demand. When you have plenty of that, you can clearly afford to be arrogant.

  • That's only four red rupees. It's rather easy to get even with the wooden sword.

  • _That's_ why revenues soared 40% as they told us in the other article here.

He has not acquired a fortune; the fortune has acquired him. -- Bion

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