Canon price gouging in UK

[AlanF]

Those of us who remember the UK before we were members of the European single market may recall being price gouged by certain companies. Post-Brexit it's beginning to re-emerge and Canon is leading the way. Based on an exchange rate of £1 = 1.15 €, Canon's latest products are 11% higher here than in the EU. Nikon and Sony, in comparison, are less than half of that more expensive. Here are some prices I have gleaned from the official Canon, Nikon and Sony stores in Germany and France compared with the UK.

Canon EOS R5
EU price 4499,99 €
UK £4299.99 = 4945 €
RF 100-500mm
EU price 3099,99 €
UK 2979.99 = 3426 €
RF 800mm
EU price 1049.99 €
UK £999.99 = 1150 €

Nikon Z7II
EU price 3399.00 €
UK £2999 = 3449 €
Nikon Z6II
EU price 2199.00 €
UK £1999 = 2299 €
NIKKOR Z 14-24mm
EU price 2699.00 €
UK £2499 = 2874 €

Sony A1
EU price 7299,00 €
UK £6500 = 7475 €
Sony A7SIII
EU price 4199,00 €
UK £3800 = 4370 €
FE 200-600mm
EU price 2099,00 €
UK £1800 = 2070,00 €

 

[Deleted member 381342]

I don't think it is price gouging, it is more expensive to ship to the UK so we have to pay more for stuff. When we were in the union it was rather frictionless and we had a large trading partner.

 

[AlanF]

I don't think it is price gouging, it is more expensive to ship to the UK so we have to pay more for stuff. When we were in the union it was rather frictionless and we had a large trading partner.

Those do not appear to be the full reasons - I included the prices for Sony and Nikon to show that Canon has upped their more prices more than the others, and they have the same shipping and "friction" costs. Canon has become relatively more expensive. To put this in perspective, the B&H price in NY for the R5 is equivalent to £3415, after adding on 20% for UK import taxes, compared with the £4200 here. You can get it on the gray market here for £3299 from a reliable dealer.

 

[Joules]

With the amount of unusual factors influencing prices currently, I think it is hard to judge the meaning of a given price increase at the moment.

There's of course the Brexit, but demand and supply anomalies and the government stimulus impact on inflation (or, fears it it) muddy the water.

 

[TravelerNick]

You can't use the spot FX rate. Prices aren't set daily. A couple of years ago people claimed the £ would sink with Brexit . Guess what with the UK doing far better than Europe the £ is much stronger.

There is no EU price that I know of. Here in Italy the Canon website price of the R5 is €4709 (I think that's right)

The Z7ii with the adapter is almost €3600

 

[AlanF]

You can't use the spot FX rate. Prices aren't set daily. A couple of years ago people claimed the £ would sink with Brexit . Guess what with the UK doing far better than Europe the £ is much stronger.

There is no EU price that I know of. Here in Italy the Canon website price of the R5 is €4709 (I think that's right)

The Z7ii with the adapter is almost €3600

I had written this clearly in the OP and in a reply: I compared the prices of Canon with Nikon and Sony in the UK with those in the two EU countries with the largest economies, France and Germany. Spot rates, VAT etc cancel out when comparing relative pricings. What you write about Nikon Z7 II confirms what I wrote - the Nikon is very similarly priced in Italy and in the UK, but not the Canons. There are small different VAT in different EU countries.

 

[Jabbermack]

Canon EOS R5
EU price 4499,99 €
UK £4299.99 = 4945 €

panamoz = £3080 = problem solved.

 

[Del Paso]

Those of us who remember the UK before we were members of the European single market may recall being price gouged by certain companies. Post-Brexit it's beginning to re-emerge and Canon is leading the way. Based on an exchange rate of £1 = 1.15 €, Canon's latest products are 11% higher here than in the EU. Nikon and Sony, in comparison, are less than half of that more expensive. Here are some prices I have gleaned from the official Canon, Nikon and Sony stores in Germany and France compared with the UK.

Canon EOS R5
EU price 4499,99 €
UK £4299.99 = 4945 €
RF 100-500mm
EU price 3099,99 €
UK 2979.99 = 3426 €
RF 800mm
EU price 1049.99 €
UK £999.99 = 1150 €

Nikon Z7II
EU price 3399.00 €
UK £2999 = 3449 €
Nikon Z6II
EU price 2199.00 €
UK £1999 = 2299 €
NIKKOR Z 14-24mm
EU price 2699.00 €
UK £2499 = 2874 €

Sony A1
EU price 7299,00 €
UK £6500 = 7475 €
Sony A7SIII
EU price 4199,00 €
UK £3800 = 4370 €
FE 200-600mm
EU price 2099,00 €
UK £1800 = 2070,00 €

Meanwhile, all Europeans dream of US Canon prices...
PS: even MPB is no longer interesting, many prices for used (US: pre-owned...) lenses are hardly lower than for brand-new ones in France, Italy or Germany.

 

[unfocused]

Before the pandemic, I had a long standing offer. Buy your equipment from your choice of U.S. retailers. Have it shipped to me and for the low price of an economy-plus round trip ticket to the UK or Europe I will personally deliver the equipment to you.

 

[AlanF]

Canon EOS R5
EU price 4499,99 €
UK £4299.99 = 4945 €

panamoz = £3080 = problem solved.

I had already written a couple of posts previously about gray market prices, which at a £1000 or more lower show the extent of price gouging in the UK and Europe.

 

[Mt Spokane Photography]

I would do a comparison to the price in Japan in yen. Then add any extra tarriff's unique to the UK.

It is a fact that Canon prices products using a different formula for a country or region. Even the US and Canada get different prices such that a person can save by purchasing in one country or the other depending on the current exchange rate.

a R5 on sale in Canada costs $5199 CAD which equals $4147.24 USD. You can purchase it in the USA for $3899 USD (4887.80 CAD). Canon usually adjust the Canadian price once or twice a tear, but for now, its $311.12 CAD less expensive to buy it in the USA. Obviously, The way Canadian taxes are applied are a big factor that I'm not going to try and calculate.

Two years ago, I saved a lot on my EOS R by ordering it from Canada.

 

[Deleted member 381342]

We also have to keep in mind that when calculating prices businesses use affordability and stability of a currency. If the currency, support costs, unstable economy all make me feel that I get less from selling my product or that there is a chance that I launch at £3899 but expect that £3899 to drop in value in six months, I am better starting off with a price I feel more confident in.

The UK is very unstable at the moment, we we can see all kinds of companies are setting ether a higher base price (which they can later drop). Once on the market it is much harder to raise the price of a item after it has been on the shelf for six months, even if that means you now take a loss.

Affordability also comes into play, wages in the UK are high so the customer can pay more for my product. This is why the Adobe CC subscription isn't based on the value of the $, it is based on a value that they know people are able to pay.

 

[Mt Spokane Photography]

I had already written a couple of posts previously about gray market prices, which at a £1000 or more lower show the extent of price gouging in the UK and Europe.

Yes, Canon charges what the market will bear. They of ten have lower prices in countries with low income populations. That creates the gray market. Gray market R5's now sell for $3300 USD versus the $3900 USD Map price. I think the US prices are lower, so the Gray Market prices are not as large of a discount, but occasionally, real bargains appear.

 

[tangerine_sedge]

It's not just the typical UK price gouging, but also that new mirrorless kit is a step up in price over the equivalent ef item. It's a double whammy which is making me (a keen hobbyist) decide not to buy new Canon kit, but to stay in the secondhand ef market.

The only planned new purchase I'm likely to make in the next 2 years is one of the last 5D IV's, and spend the rest on used 'L' glass. Individually that won't impact Canon significantly, but I think there will be plenty more like me who don't feel the need to upgrade to mirrorless and the higher prices won't help that. Incidentally, the change from fd to ef was huge because of autofocus, but the step from ef to rf is less important (imho).

 

[Ruined]

I don't think it is price gouging, it is more expensive to ship to the UK so we have to pay more for stuff. When we were in the union it was rather frictionless and we had a large trading partner.

Nah we are used to this in the USA. It has nothing to do with shipping or trading partners, that's just politicizing things. In general, companies "price gouge" (ie charge as much as they can on an uneven playing field with other countries) when they can, period. It happens here with everything from consumer electronics to pharmaceuticals.

 

[Deleted member 381342]

Nah we are used to this in the USA. It has nothing to do with shipping or trading partners, that's just politicizing things. In general, companies "price gouge" (ie charge as much as they can on an uneven playing field with other countries) when they can, period. It happens here with everything from consumer electronics to pharmaceuticals.

My company was recently getting a lot of fuss about "price gouge" because we had the audacity to offer our product at a lower price to India and China than we do in the EU, Canada, and USA. To us we did affordability calculations and $10/month or £10/month is great affordable but our customers in China and India couldn't justify that kinda commitment.. so we sell the product there cheeper. This isn't a "let's rip off people", its "lets make our product more accessible for people with completely different levels of income from our own.".

I am sure Canon and Nikon have to operate the same, Europeans have more spending power than those in the USA so they can afford to pay more while the USA and other poorer countries get subsided pricing.

 

[AlanF]

My company was recently getting a lot of fuss about "price gouge" because we had the audacity to offer our product at a lower price to India and China than we do in the EU, Canada, and USA. To us we did affordability calculations and $10/month or £10/month is great affordable but our customers in China and India couldn't justify that kinda commitment.. so we sell the product there cheeper. This isn't a "let's rip off people", its "lets make our product more accessible for people with completely different levels of income from our own.".

I am sure Canon and Nikon have to operate the same, Europeans have more spending power than those in the USA so they can afford to pay more while the USA and other poorer countries get subsided pricing.

Nikon and Sony charge the same in the UK as in the EU, give or take daily variations in the exchange rate. Canon charges the UK 10-15% more than the EU. I mailed CPS in the UK about this, and they replied quickly. The gist was that the pricing is determined by Canon Europe and not by Canon Japan. Canon Europe has to charge the same over Europe but they can do what they like with us in the UK.

I certainly haven't noticed from the times I have lived in the USA that Americans have less spending power than Europeans, quite the reverse. This borne out in tables of the average wages in the world where you can see the USA is close to the top and above most EU countries (only Luxembourg in the EU is above them) and earnings far more than inthe UK.

List of countries by average wage - Wikipedia

en.wikipedia.org

 

[Viggo]

In Norway, not a member of the EU, the R5 is 5300 EUR…

 

[AlanF]

In Norway, not a member of the EU, the R5 is 5300 EUR…

I did vote "Remain"! Norway has shot up the earnings table in recent years so you have some compensation as well as living in such a nice country.

 

[Maximilian]

... Post-Brexit it's beginning to re-emerge and Canon is leading the way. ...

Sorry, but best would be to ask Boris J. or Nigel F. about that

But therefor you have better vaccination score than EU.
And your country doesn't have/want to export doses to poor (or any other) countries yet.
There is always two sides of the same coin.