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View Full Version : Why is Spotify more expensive in UK?



d6jg
2014-12-12, 10:09
Can anyone give me a proper reason why Spotify costs 10 in UK but only $10 in USA which is way cheaper.

pippin
2014-12-12, 10:14
VAT plus 10 is a nice number plus people in the UK are prepared to pay more plus less competition?

d6jg
2014-12-12, 10:26
Even with VAT taken into account it is still vastly more than is paid in US. It's a rip off that lots of companies apply to UK.

castalla
2014-12-12, 12:32
The euro price works out at approx. 12.50 USD

These companies just apply a simple unitary pricing - 10 GBP/USD/EUR. etc.

pippin
2014-12-12, 15:17
12.50 (Euro price) is almost equivalent due to VAT (depends on country). In Germany, for example, that would be 11.90, Ireland 12.30 and with fluctuating FX rates it probably doesn't make sense to charge something like €9.36 per month... Actually.... If they sell out of Sweden (would have to look it up) it would be 12.50 right now.
UK is a different issue with the higher FX rate, though.

But it's something people often mix up. Plenty of complaints about the "higher" Apple App Store prices in Europe for example where the actual price in Euro is currently actually LOWER than the US prices if you take VAT into account.

Mnyb
2014-12-12, 22:26
Todays Spotify price in Sweden Premium 99,00 SEK = 10,51 EUR including VAT 25.0%

Mnyb
2014-12-12, 22:36
Todays Spotify price in Sweden Premium 99,00 SEK = 10,51 EUR including VAT 25.0%

prices are much about marketting and psychology going over even number as 10 or 100 looks expensive .

People doing any bussines have to make some educated guess about what people are willing to pay on that market . US is a very large very competitive market as usual .

But I do like companies like bandcamp and boomkat that simply have the same price in the whole world .