Why does a $79 Kindle cost £89 in the UK?

Why does a $79 Kindle cost £89 in the UK?

Summary: How does $79 in the US translate into £89 in the UK?

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It seems like a minor point, but I've seen so much nonsense written about this on Twitter that I thought a quick post was in order.

The base model Kindle costs $79 in the US. That works out to £50. But if you look at the new Kindle over at on Amazon.co.uk you'll notice that Amazon's new shiny thing costs £89 in the UK.

Rip-off, right? Wrong.

The $79 price being thrown about during the press event was for the ad-supported 'Kindle with special offers' (details of the old deal can be found here). If you don't want the ads then the Kindle sets you back an extra $30, taking the price to $109.

The problem is that 'Kindle with special offers' is currently not available outside of the US, so the UK version is the ad-free version. $109 works out at £70, which means that those in the UK are still paying a premium ... but wait a minute, you gotta add on top of that 20% VAT (sales tax), so the price is now up to £84.

So you're not really paying that much of a premium after all.

Topic: Social Enterprise

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11 comments
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  • RE: Why does a $79 Kindle cost £89 in the UK?

    It's always handy comparing apples to apples. Sometimes you have to dig in and review the fine print before realising it's not 100% rip off Britain.
    Greedoe
    • Still, it is almost $10 pricier in the UK, even you compare exactly the ...

      @Greedoe: ... same thing.

      Why?
      DDERSSS
      • RE: Why does a $79 Kindle cost Ã?£89 in the UK?

        @DeRSSS Maybe because there are different custom duties, import agreements with countries, special consideration for certain types of devices and numerous other variables.
        1773
    • RE: Why does a $79 Kindle cost Ã?Ã?£89 in the UK?

      @Greedoe:<br><br>Exchange rates + trade/import fees. What country are the completed devices being sent from? (not the US I think)

      GBP1.56 = US$1.00 currently.
      jlt0x
  • RE: Why does a $79 Kindle cost &Atilde;?&Acirc;&pound;89 in the UK?

    It appears that the base model can be ordered from Amazon.com (unlike the Touch or the Fire). If you manage to squeak it past Customs you might have a bargain....
    mjoyce16
    • mission impposible

      @mjoyce16 to avoid customs, in EU, since several month all deliveries about few tens Euros pass over custom
      ThatIsMePetr
  • So many factors here

    Value added taxes and tarriffs come to mind immediately. The same device manufactured in one country will not cost the same in every country.
    Your Non Advocate
  • RE: Why does a $79 Kindle cost &Atilde;?&Acirc;&pound;89 in the UK?

    It's still a poor deal at ??89 - it has half the storage and half the battery life of the Kindle 3 which is ??109 for the WiFi version. And it doesn't seem to come with a power supply (currently on offer at ??8.49, reduced from ??16.99) according to the amazon.co.uk website.
    Grumpy Bob
  • RE: Why does a $79 Kindle cost &Atilde;?&Atilde;?&Acirc;&pound;89 in the UK?

    Even kit made in the Uk is more expensive here than in the US br><br>Tax ? probabaly. more likly we are just a smaller population so its volume.
    Mark Codling
  • Re: Why does a $79 Kindle cost &Acirc;&pound;89 in the UK?

    I remember many years ago seeing prices for PCs in the UK were the same number of pounds as the US dollars, even though trading for the two was not at par. I suppose that was VAT back then, though, and possibly tariffs, customs, &c.
    Barc777
  • RE: Why does a $79 Kindle cost &Atilde;?&Acirc;&pound;89 in the UK?

    Somethings are charged higher in the UK than most other Countries because the UK government took notice of the Kindle Fire (title) and so decided they wanted to burn your hands and hole in your pockets.
    modification1