UK consumers complain of high price on Apple iPad

“The iPad seems like a pretty good deal in the US, where prices start at $499 (£309), but in the UK it costs from £429 ($692), and while the product’s selling like crazy here, a lot of Brits just think the price is too, too high to buy,” Jonny Evans reports for 9 to 5 Mac.

“A survey commissioned by Broadbandgenie confirms this, based on a poll of over 1,300 visitors to the price comparison site,” Evans reports. “Over 60 percent of visitors said the iPad wasn’t worth £400 or more while over 200 declared the Apple tablet wasn’t really worth the price.”

Full article here.

MacDailyNews Take: Never used it, probably never even touched one, really have no idea what it does; and yet they have an opinion about its value. It’s like Windows-only sufferers complaining about Mac prices. Here’s an idea we wish would catch on everywhere: STFU if you have no idea WTF you’re talking about.

66 Comments

  1. I always used to buy my dvds from amazon.co.uk to play in my hacked dvd player. they were so much cheaper because the powers that be decided they’d price them on what the market would bear, which in britain was never as much as the US.

    So the British might be accustomed to lower prices. It’s a cultural thing maybe?

  2. Sales tax/vat in the uk is 17.5% unlike in the USA average 8% it’s something you get used to but overall we the uk buyers do pay more for most of our apple gear, I bought the 3G 64 knowing this, if it had been the same price as the USA I would have bought the keyboard dock and case but alas see what Santa brings

  3. Exchange rates fluctuate. There will always be places where the same item may be cheaper or more expensive. The price stability is in your own country. You get paid in pounds, you pay in pounds. Regardless of exchange rates, the price is very stable. Retailers try to avoid changing the price as that triggers the most ire. Look at how much people complain about feel prices. Look at how much people complained about the EDGE iPhone price. And that only happened once after being in the market a couple months.

  4. @chabig

    You’re right. iPad in california will incur a 9.5% sales tax to take a 499 unit to $550. iPad in UK incurs a 17.5% VAT (included in price), which makes the pre-tax price at $576. That’s still $77 more than the Ca price so probably includes customs, shipping and currency fees.

  5. I think you all are thinking this is a tax issue and from what I read, it’s an Apple pricing issue. Apple is charging Brits far more than they are charging us here in America.

    Might be costs associated with export or import or being in a really high rent district.

  6. @ Ritman: Good question. MDN the British are paying (with tax variances accounted for) 27% more for iPads than Americans. That is just ridiculous and is something to be annoyed at.

    @ chabig: In the locality with the most expensive sales tax you’d pay USD$550 for the entry level iPad, which is still a steep discount off of the £429 (≈USD$689) price the Brits are paying.

    @ Ukpad: VAT is similar, but not directly comparable to sales tax. With sales tax only the end user pays the tax at the end, other participants in the value chain are exempt from tax. So if a widget costs $100 with 8% sales tax then you’d pay $108, while none of the manufacturers who put components into the widget pay any tax.

    VAT is charged every step of the way. So the guy who cuts down a tree adds VAT to the price of wood he sells to the mill (minus the cost of producing the wood including labor, real estate, and farming costs) who add VAT to the price of paper (minus the cost of producing the paper and amortized capital costs) to the paper distributor who add VAT to the price of the paper (minus the cost of buying the paper, warehousing, and transportation costs) to the printer who add VAT to the price of the finished job (minus the cost of paper and ink and amortized presses, etc.).

    VAT has fewer loopholes and ensures that B2B transactions are always taxed, but it is an accounting nightmare and is a horrendous burden on small businesses.

    Sales tax is more regressive, hits poor consumers the hardest, but is incredibly simple.

  7. The MDN take is wrong.

    I know the iPad, I have used an iPad, and I LOVE the iPad. But it’s too expensive here in the UK.

    This isn’t about price parity with the US prices: there are all sorts of reasons why things are a little more expensive here in the UK. But the UK iPad is just too much more expensive currently.

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