Emile Gregoire wrote:
You'd be an incredibly effective international salesman. Ever heard of purchasing power? Or do you mean that anyone with a yearly salary of 100.000 Algerian Dinar should be able to get the software for 199 Dinar (which equates to US$2.78)?
Sven Jeppesen wrote:
I too would like to hear that
Hi,
Regarding this issue, here the answer that I received from Nik Software Europe:
My question was:
If I were living in the US, the product upgrade would cost $US 99 (electronic distribution). Since I'm living in France, the price is 99 euros, that is, $US 137 at the current rate. And I cannot even apply coupon codes. Downloading the product from France instead of downloading it from the US doesn't cost you more. And I don't need a french version or any support from french representatives. VAT alone is not enough to justify a difference of 38%. This is not a fair pricing policy (similar to Adobe's, by the way), especially for existing customers. I was ready to pay for the upgrade but I can't accept this discrimination. For the requested price, I will not get more service than a US customer.
Their answer:
Thank you for contacting Nik Software. I apologize for your displeasure and did not intend to leave your query unanswered. As for the pricing, here are a number of factors contributing to the difference in pricing, one being VAT, but not limited to. Unfortunately, the pricing offered in the US and Canada is not available in European countries.
This is what I usually name a "non-answer". For the moment, I can't see any justification for the markup of about 18% (if VAT is taken into account) applied by the european branch office.
--
Patrick
Mar 22, 2011 at 02:57 AM
Lars Johnsson Offline • • • • • • • Upload & Sell: Off
Yes that is a "non answer"
And VAT has nothing to do with their pricing. Nik have the same price in a country with 5, 15 or 25% VAT. And Nik don't send any of those money when I download from their website to the different countries in Europe of course
If I buy it from B&H or any other shop in the US, I pay the same price as Americans. But Nik want to charge me more than B&H.......
It's just their greedy way of cheating the costumers from other countries. And that's one of the reason many people use illegal copies of their software. In the long run I belive they will loose money on it. I'm staying in Bangkok now. And here they sell Nik's full suite for $ 3 in every shop It's not legal but even police men in uniform go into these shops and buy it.
Other software companies like Microsoft, Adobe and most other, lower their prices a lot here to get rid of the illegal copies and make people buy the real thing. Nik try to do the opposite
Regarding this issue, here the answer that I received from Nik Software Europe:
My question was:
If I were living in the US, the product upgrade would cost $US 99 (electronic distribution). Since I'm living in France, the price is 99 euros, that is, $US 137 at the current rate. And I cannot even apply coupon codes. Downloading the product from France instead of downloading it from the US doesn't cost you more. And I don't need a french version or any support from french representatives. VAT alone is not enough to justify a difference of 38%. This is not a fair pricing policy (similar to Adobe's, by the way), especially for existing customers. I was ready to pay for the upgrade but I can't accept this discrimination. For the requested price, I will not get more service than a US customer.
Their answer:
Thank you for contacting Nik Software. I apologize for your displeasure and did not intend to leave your query unanswered. As for the pricing, here are a number of factors contributing to the difference in pricing, one being VAT, but not limited to. Unfortunately, the pricing offered in the US and Canada is not available in European countries.
This is what I usually name a "non-answer". For the moment, I can't see any justification for the markup of about 18% (if VAT is taken into account) applied by the european branch office.
Patrick
...Show more →
Yeah, an absurd non-answer. Sours the interest in fine products.
I am glad a Nik rep frequents this forum. Cant hurt.
--Scott
I don't follow the nature of your complaint. Is it your contention that all products, when adjusted for local currency, should cost exactly the same in all locations worldwide (except, apparently, those products for which you pay less in your location than others pay in their location)? Does this mean the manufacturers/producers must, on a daily basis, adjust their prices in every location to reflect fluctuations in the currency exchange? How should local costs, such as taxes, be integrated into the calculation?
If something is a discretionary purchase, and you consider it to be overpriced or priced unfairly, don't buy it.
Galibier wrote:
I don't follow the nature of your complaint. Is it your contention that all products, when adjusted for local currency, should cost exactly the same in all locations worldwide (except, apparently, those products for which you pay less in your location than others pay in their location)? Does this mean the manufacturers/producers must, on a daily basis, adjust their prices in every location to reflect fluctuations in the currency exchange? How should local costs, such as taxes, be integrated into the calculation?
1. The variation range of currency exchange rates over say a few months are certainly an order of magnitude lower than the markup applied by Nik Software Europe. So this is not the problem.
2. I admit that taxes have to be applied to the base price and that the consequence be a higher price because these taxes exist in Europe and not in the US.
3. If Nik Software have an explanation about why their european branch office has to apply such a high markup, I'm ready to hear.
Currently Nik Software, Adobe and some other software vendors are applying a simplistic scheme: 1 USD = 1 Euro. This is enough to absorb the VAT difference and to generate a generous markup. This is questionable as long as nobody sees a good reason for this, especially for a product distributed electronically. I guess their office in Hamburg is probably a one man shop or a very small shop.
Galibier wrote:
If something is a discretionary purchase, and you consider it to be overpriced or priced unfairly, don't buy it.
This is also a simplistic statement and you know that. If a product has no real competition, and if you need it, you'll purchase it. This doesn't change anything to the fact that the pricing is unfair and that at least some honest explanations should be given to the european customers.
Mar 23, 2011 at 12:19 PM
Lars Johnsson Offline • • • • • • • Upload & Sell: Off
Galibier wrote:
I don't follow the nature of your complaint. Is it your contention that all products, when adjusted for local currency, should cost exactly the same in all locations worldwide (except, apparently, those products for which you pay less in your location than others pay in their location)? Does this mean the manufacturers/producers must, on a daily basis, adjust their prices in every location to reflect fluctuations in the currency exchange? How should local costs, such as taxes, be integrated into the calculation?
If something is a discretionary purchase, and you consider it to be overpriced or priced unfairly, don't buy it.
That's not at all what we are talking about. When people download and buy Niks software from their website, all people should pay the same. If we buy it from B&H or any other shop we pay the same price. But not when downloading it from from Nik. Only Nik charge more for their software. No other shop selling their products have different prices. I don't mind different prices when I walk in to different shops in different countries.
It seems like you don't really understand the complain. Or do you belive that B&H should check our passport and charge different nationalities very different prices in their shop also. Maybe we should have different prices depending on color of the skin and religion also........
When I download software from other American companies I pay the same price as Americans. For example the OnOne photo software that are very similar to Niks.
Galibier wrote:
I don't follow the nature of your complaint. Is it your contention that all products, when adjusted for local currency, should cost exactly the same in all locations worldwide (except, apparently, those products for which you pay less in your location than others pay in their location)? Does this mean the manufacturers/producers must, on a daily basis, adjust their prices in every location to reflect fluctuations in the currency exchange? How should local costs, such as taxes, be integrated into the calculation?
If something is a discretionary purchase, and you consider it to be overpriced or priced unfairly, don't buy it.
I'm not buying the software in my location and my currency as you write. I'm downloading it from another country in their currency. But Nik still like me to pay more. And it's not VAT they charge you for. I asked about their companies VAT number, but of course they would not give it to me or answer. VAT is deductible if you are professinal or have a company. That's why every company have a VAT number and also put it on their receipt......but not Nik
Lars Johnsson wrote:
That's not at all what we are talking about. When people download and buy Niks software from their website, all people should pay the same. If we buy it from B&H or any other shop we pay the same price. But not when downloading it from from Nik. Only Nik charge more for their software. No other shop selling their products have different prices.
As referenced earlier in this thread, Adobe do exactly the same thing, so it's hardly a unique situation.
Mar 23, 2011 at 02:18 PM
Lars Johnsson Offline • • • • • • • Upload & Sell: Off
1. Adobe have different prices in different European countries. They have the exact VAT of that country. The prices on their website shows the price with and without VAT. This is compulsory and the only legal way to charge VAT. (Nik don't do this)
2. You get a recipe from Adobe with the VAT amount. And Adobes (VAT number). The company must give you the VAT number because the VAT is deductible. If you are a professional photographer or have a company you deduct the VAT amount and get it back. (Sometimes you don't even pay it from the start) This is the only legal way. (Nik don't do this)
3. You must have the price on your website with and without VAT. It's the law. And show your VAT number. (Nik don't have this)
4. With Adobe I get the software in my own language. (not with Nik)
I also get support in my own country from people speaking my own language (not with Nik)
Number 1.2. & 3 is required by the law. (compulsory) And Adobe and all other companies/shops that I buy photography software/hardware follow it except Nik
miccullen wrote:
Beat this: Adobe have PS CS5 for $299 in the US store, $1139 in the Australian store. Dollar is at parity. Downloaded off the same servers. Right.
If I look at Adobe Store North America the PS CS5 cost $ 699 and Ligthroom 3 cost $ 299
Although this is an aging thread, I still thought I'd share my experience.
I was looking to buy Nik Software's complete collection, which is $500 in their US store. If you throw in a freely available coupon, that price is cut by 15% so it comes down to $425.
The regular price for the exact same bundle in the European store is 600 Euros which translates to $760. And since the Euro store does not accept coupons, that translates to a whopping 80% markup.
When I contacted customer support, they first gave me the now infamous "we have to comply with European tax and customs regulations" runaround, so I asked them 3 direct questions:
1) Why do I have to pay a "Euro-fine" for Nik products while I can buy software from Topaz, onOne, Alien Skin, HDRsoft, Imagenomic, etc. for the exact same price no matter where I live?
2) I never had to pay customs duties for a software download. Why do I have to pay them for Nik products?
3) European VAT is 19%. What do I pay the remaining 60% extra for?
I repeated these questions in three separate mails to both their US and European branches and did not get a single answer to even just one of them. Instead they just kept repeating their boilerplate "European tax and customs regulations" dogma, which quite frankly is a blatant insult to any informed and discriminate potential customer. Clearly, there is some hidden agenda which they refuse to disclose.
I don't condone piracy, but in the face of such disdain and arrogance towards their clientele, it is not hard to imagine why it proliferates. I really like their products, but they will not see a cent of my hard earned money with that kind of attitude.
rvdw wrote:
I repeated these questions in three separate mails to both their US and European branches and did not get a single answer to even just one of them. Instead they just kept repeating their boilerplate "European tax and customs regulations" dogma, which quite frankly is a blatant insult to any informed and discriminate potential customer. Clearly, there is some hidden agenda which they refuse to disclose.
I don't think it's malice, just sheer stupidity.
Adobe do exactly the same thing, in general. (They dropped the price on LR3 a couple of months ago from AU$400 to $136, at which point I immediately bought it, as that was in line with the special price in the US, but before then, they didn't even reply to emails asking why downloading the exact same software off the exact same servers cost three times as much in Au as in the US.) Photoshop is still a huge premium down here compared to the US.
