Apple Retail

The insanity of people complaining about Canadian iPad pricing

Apple has finally released its Canadian iPad pricing this morning, and as I predicted, pricing is at $549/$649/$749 for the 16, 32, and 64 GB models, respectively. 3G models are an additional $130. Despite this unbelievably fair pricing, complainers north of the border are out in full effect today.

In their opinion, Apple should be pricing the iPad at $499 Canadian, because for a few days in the last two years our dollar matched or surpassed parity with U.S. currency. But also in the last two years, the dollar has gone to as little as 76 cents, in March of 2009. Last May, the dollar was at about 86 cents. The lesson here: currencies fluctuate.

As I write this, $499 U.S. is $523.99 in Canadian funds. So based on today’s rates, Apple is charging just about five percent more for the iPad here, despite the increased costs of doing business above the border. To expect Apple, or any other company for that matter, to take the risk of pricing their products for the same dollar number as in the U.S. is completely and utterly illogical.

Neither can you sell electronics the same way you’d sell fish at a market, with variable pricing depending on the day. Not only does it make things difficult for retailers, it makes buying even more confusing for consumers. By pricing the iPad at 10 percent over the U.S. dollar figure, Apple is simply adjusting for the higher price of doing business in this country and giving themselves a small amount of wiggle room for currency fluctuations. When it comes to exchange rates, sometimes we lose, sometimes we win.

In April of 2002, the Canadian dollar stood at about 63 cents, and Apple released a new PowerBook starting at $2499 in the U.S. The price in Canada? $3699, or about $2330 in greenbacks. All those that took advantage of this price disparity in Canada’s favour, you can forward your bogus iPad pricing complaints to Apple along with a check for $169.

Have you been to a grocery store on both sides of the border recently? Shopped for clothes? Things are more expensive in Canada. Doing business is more expensive in Canada. That’s just how it is. We pay more taxes, but we get more services and more consumer protection. So calm down, be happy that the iPad isn’t priced even higher, and in two months when Greece’s debt crisis has brought the Canadian dollar down to 80 cents, enjoy your Apple currency rebate.

And if you’re looking for a review of the iPad, here’s a good one.


Amazon Kindle coming to Botswana, Haiti, Myanmar, & 97 other countries [SPOILER ALERT: Not Canada]

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Have U.S. Dollars? Don’t live in the technological backwater that is Canada? You can now buy an Amazon Kindle! Amazon will finally start shipping an “International” flavour of the device for $279, $20 more than the U.S.-only model.