This sort of thing is not new. I remember way back in the 1990's when a colleague of mine was buying Authorware 4.0 and realised that the US version was over $1000 cheaper than the UK one. He complained to the mailing list and got several replies offlist. Most were from US based software suppliers saying "call me on this number with your credit card and we'll ship a copy to you directly". One was from Macromedia UK which said "Please don't buy from the US - we won't support you if you do". Given that he wasn't aware that they were providing support anyway you can guess what he did.

My feeling is that the price difference comes down to the dollar exchange rate. Adobe are a US based company and need to get paid in dollars. As far as I can see the dollar is currently at pretty much an all time low compared to the Euro and Pound. Adobes accountants have set the Euro price so that the dollar can rise to its previous level without Adobe losing out. For the accountants this makes sense as their job is to maximise revenue - not to worry about customer relations. It also assumes that the dollar will bounce back - which may or may not happen.

So why doesn't Adobe just change the Euro prices as the dollar exchange rate changes? Well historically, distributors and customers really hate it if the price keeps changing - they have to reprint catalogues or put "phone for a price" which is unpopular. However those same distributors and customers are noticing that they hate it more being overcharged by hundreds of dollars and the customers are considering buying from abroad which isn't good for the distributors either. The other big change is that these days I'm willing to bet that most software is bought over the web anyway which makes updating the price much simpler. So my suggestion is that Adobe should abandon fixed prices for non-dollar customers and instead say "we will recalculate prices based on the exchange rate every 6 months and will tell you the dates when we do this". That way customers don't feel that they're being ripped off, the process may be more complex than they're like but at least its transparent and open. Macromedia and Adobe have really pushed the whole "open and honest" approach over the last few years with things like the beta preview programme, blogs and people like John D. Its a shame that the price people haven't caught up. By the way has anyone noticed that Microsoft's pricing of Vista in the UK is roughly double the US price - of course the difference is that I would like to use the new version of Flash...

Well that's my 2 cents or £4.50 for those in the UK...

Joe



Joe Cutting
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