WP7 App prices in Canada

[dpodblood]

I've noticed that app prices for Windows phone 7 are quite a bit more expensive in Canada than they are in the USA. For example an app which is $3 in the USA is $3.50 here. I believe this is because MS is using an inflated exchange rate.

Further more I noticed that all app prices are being rounded up to the nearest dollar on my credit card statement. So if I buy an app that costs $3.50 I end up being charged $4.

I read that in Australia users purchases were being rounded up because of "international transaction fees." I have not been able to confirm however that the same issue exists in Canada. Can anyone confirm whether or not this is the case?

 

[dougp]

Have you tried contacting MS? That'll probably be your best source of information. They're probably charging you tax also.

 

[dpodblood]

I may have to do that. When I buy an app it always says "plus applicable taxes," but I don't think it's tax that's being charged since it's always rounded up to the nearest dollar.

 

[shortylickens]

I guarantee Canada has a special app tax to pay for an Illegal Support Fund or something similar.

 

[corkyg]

How about import duty on foreign made products?

 

[lothar]

Everything in Canada is more expensive than the US.
WP7 Apps are not an exception.

 

[dpodblood]

Actually apps should be cheaper in Canada since our dollar is currently worth more, and there is no import tax on digital goods.

But by main problem isn't with the inflated exchange rate MS are using, it's the purchase price being rounded up to the nearest dollar. It makes every $3.50 app into $4.00.

 

[corkyg]

Looks like it is worse than that for hardware. A direct comparison for WDC Caviar Black, 500GB, SATA 6 HDD at Newegg US to Newegg.ca shows:

US = $59.99 + Free Shipping = $59.99
CA = $69.99 +$11.49 shipping = $81.48

That does not take into account the current delta between the two dollars.

Other factors needing to be considered are differences in Canadian federal and provincial income taxes on business.

By paying $0.50 more per app, you are getting "free" health care.

 

[dpodblood]

Comparing items on newegg aren't really the same since they are physical items, and not simply software which is distributed electronically. Steam games for example do not cost extra in Canada. They cost the exact same as the USA taking into account the exchange rate.

The extra $0.50 per app isn't my main concern though. It's that I don't understand why every purchase is rounded up to the nearest dollar.

 

[corkyg]

It's that I don't understand why every purchase is rounded up to the nearest dollar.

It simplifies book and records keeping. <LOL>