asked 2014-09-23 21:43:32 +0200
From today people from India can finally buy Jolla on snapdeal for Rs 16499. If I'm not wrong they amout to about €210, far below the €349 of EU. Why we european's must pay so much?
answered 2014-09-23 21:50:29 +0200
Different market different pricing. You just live with it. Nothing you can do really.
The probleme is not different markets, but the world opened up so much you can buy things from anywhere. That bothers people. If you know nothing from India, then who cares if they sell Iphone for a tic-tac or not.
Macilaci457 ( 2014-09-24 10:23:31 +0200 )editanswered 2014-09-23 23:30:11 +0200
Per my post on another forum:
I don't see that there's any 'unfairness' for the phone to be priced more cheaply in India. There's less purchasing power and much more fierce price competition than in Europe ... and people are probably more likely to be buying it as a main phone, rather than one of half a dozen toys, as might be the case for some Europeans. The phone itself is never going to be an attractive prospect at any price, purely as a phone, and Jolla are just pricing it at the highest level they think they can for people who might be interested and have some price sensitivity, without scaring them all off due to it being 'poor value'.
Besides, costs of operating a simple sales operation in India are far, far lower than the EU, as are taxes, so a retailer like Snapdeal can retain some margin at a significantly lower price. If Jolla cut a deal to sell phones to Snapdeal (as opposed to Snapdeal selling for Jolla), it doesn't mean they're charging Snapdeal any less for the phones than DNA or 3HK. Jolla are a business, not a charity .. if they were to cut pricing to this level in Europe, any increase in sales almost certainly wouldn't be enough to offset the reduction in margin, and there might be no margin at this price once costs are all factored in.
Asked: 2014-09-23 21:43:32 +0200
Seen: 762 times
Last updated: Sep 23 '14
You have smaller taxes in India, only 1 year of warranty requirement, etc. It makes me smile when people vote in Europe for politicians that promise "higher customer rights" and then cry about the price. Forcing such rules is not always beneficial as it hurts those that don't need given services.
nodevel ( 2014-09-24 09:56:46 +0200 )editEU online prices are quoted including VAT.
Does the Indian price include VAT? And if so what is it?
Also the MRP (Maximum Retail Price?) is actually Rs 19999 (about €255). Snapdeal are selling at 18% off MRP.
Looking at the specs, the Indian Jolla doesn't have 4G. This probably is just because of a lack of carrier with 4G in the right band but may reflect on the price there also.
aegis ( 2014-09-24 14:04:08 +0200 )editJolla is 10 months old since first launch. In mobile world that's like pretty old phone.
spacenewt ( 2014-09-26 00:20:04 +0200 )editFrom the customs tracking site zauba.com, you can see that 500 units were imported for INR 11822 each. I think that customs duty is around 6%. VAT ranges from 5% to 12.5% depending on the state.
BTW, cellphone margins are really really low. It's a volumes game here.
Sanjay Mehta ( 2014-10-03 07:51:47 +0200 )edit@SanjayMehta I'm not Indian and it's the first time I'm hearing about zauba.com, but those numbers are quite worrying. Does that mean that no more than 500 devices have been sold through Snapdeal?
nodevel ( 2014-10-03 22:06:36 +0200 )edit