Why The Inflated Price?

Deskscape 11 Beta 55% more expensive for Canadians

from Stardock Forums

Could someone at Stardock please explain to me, with the exchange rate at 1.24 CAD/USD today, why the beta is more than 55% more expensive in $CAD ($4.71) than $US?  It's not as if you're shipping anything across the border for which you have to pay.  Even if I include GST and PST, and set the exchange rate to 1.30, it's still inflated.  And that's not including the exchange rate penalty I'll have to take on the credit card transaction.

It's not the actual amount that disturbs me, it's the principle which suggests all of my Stardock purchases could be overpriced this way.

deskscapes
46,882 views 13 replies
Reply #1 from Stardock Forums Top

Hello,
I have forward your problem/question to Stardock Support Team for their assistance. Please keep an eye on this thread for any updates. We appreciate your feedback and patience.

Basj,
Stardock Community Assistant

Reply #2 from Stardock Forums Top

Hello,

I am not passing the buck here (no pun intended) but we do not manage that - FastSpring, our processor, does.  They handle the exchange rate and any local taxes \ VAT you have for your region in real time (meaning, exchange rates vary).

Sean Drohan
Stardock Support Manager

Galactic Civilizations III
Reply #3 from WinCustomize Forums Top

Quoting sdRohan, reply 2

local taxes \ VAT you have for your region in real time (meaning, exchange rates vary).
Same thing for me living in Norway, Europe. Not many countries have the same price.

Reply #4 from Stardock Forums Top

Quoting sdRohan, reply 2

I am not passing the buck here (no pun intended) but we do not manage that - FastSpring, our processor, does.  They handle the exchange rate and any local taxes \ VAT you have for your region in real time (meaning, exchange rates vary).

Pun accepted :-).

Fair enough, you've contracted it out.  But perhaps Stardock should ask their processor on behalf of their customers so that everyone understands the rationale and address a potential disservice that could be being perpetrated by your contractor, for whom you are responsible.

I appreciate that we're a much smaller market than the US or the EU but it's not like there's a shipping charge.  While I understand that there are regional differences and country-specific taxes, there's still a difference even when I account for those.  At least for Canada, there should be no customs duty on items <$20 so I'm struggling with the accounting here.

I reiterate:  It's the principle I would like to understand, not the value of this particular transaction.  After all, it would take 10 of these to amount to a Happy Meal.:P  

Reply #5 from Stardock Forums Top

Quoting ddminnl, reply 4


Quoting sdRohan,
reply 2

I am not passing the buck here (no pun intended) but we do not manage that - FastSpring, our processor, does.  They handle the exchange rate and any local taxes \ VAT you have for your region in real time (meaning, exchange rates vary).



Pun accepted :) .

Fair enough, you've contracted it out.  But perhaps Stardock should ask their processor on behalf of their customers so that everyone understands the rationale and address a potential disservice that could be being perpetrated by your contractor, for whom you are responsible.

I appreciate that we're a much smaller market than the US or the EU but it's not like there's a shipping charge.  While I understand that there are regional differences and country-specific taxes, there's still a difference even when I account for those.  At least for Canada, there should be no customs duty on items <$20 so I'm struggling with the accounting here.

I reiterate:  It's the principle I would like to understand, not the value of this particular transaction.  After all, it would take 10 of these to amount to a Happy Meal.:P  

While I can't readily answer for the variable specifics (itemize all the costs), any purchase through FastSpring (FS) should have a breakdown of the costs, including VAT.  Any invoice (post purchase) produced from a purchase of yours I could have reviewed by FS if you so desire.

Sean Drohan
Stardock Support Manager

Reply #6 from WinCustomize Forums Top

One thing I can add [and I, too am not in the US] posted currency exchange rates are specifically for bank comparative accounting.  You as an individual will always get an inferior rate - quaintly never better.  Banks' processing fees cut into things as well.  This dribble effect oils the wheels of commerce to all of our detriment...;)

Reply #7 from WinCustomize Forums Top

This has a simple answer... Stardock tells FastSpring their price... then based on that price each country tells FastSpring what to charge in their country based on their excise taxes. Stardock cannot control that price, each country controls their price. Question answered.

Reply #8 from Stardock Forums Top

Quoting LightStar, reply 7

This has a simple answer... Stardock tells FastSpring their price... then based on that price each country tells FastSpring what to charge in their country based on their excise taxes. Stardock cannot control that price, each country controls their price. Question answered.

Afraid not.  For items under $20 there is no excise tax so all that's left is VAT and exchange.  Even with a pessimistic exchange rate, I still come up short.  $US 2.99 x 1.3 CAD/US = $CAD 3.89 x 1.12 GST+PST = $CAD 4.35 but I was to be billed $4.71.  That's almost 10% more than it should be.

For a $US 19.99 item that's ~$3.  Don't get me started on why book publishers can add 33% to the cost of a book in Canada.

Reply #9 from WinCustomize Forums Top

Quoting ddminnl, reply 8

4.35 but I was to be billed $4.71.  That's almost 10% more than it should be.

For a $US 19.99 item that's ~$3

OK...we're getting a bit rough and ready with the numbers there....Almost 10% of 19.99 is not going to be $3, not when I did maths ....[class of '71].  'Almost 10%' of 19.99 is also 'almost' 1.99.

I remember back in '72 on an Architecture course trip to Europe ....arguing over someone owing me 5 Centimes [in Paris] while we played Poker [and drank whiskey and coke]... until I realized that was 1/10 of a Cent....;)

Reply #10 from WinCustomize Forums Top

You could check with your bank to see if they add any sort of transaction fee.  It wouldn't surprise me.

Reply #11 from Stardock Forums Top

Quoting Jafo, reply 9


Quoting ddminnl,
reply 8

4.35 but I was to be billed $4.71.  That's almost 10% more than it should be.

For a $US 19.99 item that's ~$3



OK...we're getting a bit rough and ready with the numbers there....Almost 10% of 19.99 is not going to be $3, not when I did maths ....[class of '71].  'Almost 10%' of 19.99 is also 'almost' 1.99.

I remember back in '72 on an Architecture course trip to Europe ....arguing over someone owing me 5 Centimes [in Paris] while we played Poker [and drank whiskey and coke]... until I realized that was 1/10 of a Cent....;)

I would be from your perspective, but from mine it's $US 19.99 x 1.3 CAN/US = $CAD 25.99 x 1.12 GST+PST = $CAD 29.11 of which 10% is $2.91, close enough to say "~$3".

Maybe you should return your diploma :typo:  ^_^ <darn New Math>

Reply #12 from WinCustomize Forums Top

No, you specifically had 10% of 19.99 being almost 3.  Perhaps you needed to correct logic errors in the explanation in the first post I quoted.

My math's quite good...even managed long division in my head...and when calculators first came out I would still mentally double check as I was yet to be convinced they'd be right.  [Did I mention I'm old?]...;)

 

Reply #13 from WinCustomize Forums Top

Quoting Jafo, reply 12

My math's quite good...even managed long division in my head...and when calculators first came out I would still mentally double check as I was yet to be convinced they'd be right.  [Did I mention I'm old?]

When I was in high school(class of '71) they told us we couldn't use calculators in school because you won't have them in the real world.:S  

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