Publishers still missing the point on e-book prices

[sabredog]

Originally Posted by Blue Tyson

Actually to my surprise I found one yesterday via fishpond - a CD, was 8.82 free shipping. Cheaper than I had seen this one anywhere, even secondhand.

So worth a look there, too.

There are certainly bargains to be found, often at the oddest times. I picked up a couple of blurays last week for $10 each, which I thought was very acceptable.

Happy for a while until I read this...

http://www.watoday.com.au/digital-li...103-1pj5r.html

[tubemonkey]

Originally Posted by sabredog

Happy for a while until I read this...

http://www.watoday.com.au/digital-li...103-1pj5r.html

A tablet isn't a necessity for life, so I don't believe in price controls for such items. Sony should be allowed to charge whatever it wants and people should be allowed to not buy it.

[sabredog]

Originally Posted by tubemonkey

A tablet isn't a necessity for life, so I don't believe in price controls for such items. Sony should be allowed to charge whatever it wants and people should be allowed to not buy it.

You have no idea do you?

Did you read the article, read the link to the CHOICE report, before dismissing the fact that Australians are ripped off daily by price gouging businesses?

No, thought not.

[tubemonkey]

Originally Posted by sabredog

You have no idea do you?

Did you read the article, read the link to the CHOICE report, before dismissing the fact that Australians are ripped off daily by price gouging businesses?

No, thought not.

Of course I read it and I know you're being ripped off. You guys get ripped off all the time. The solution is to quit buying those products.

Vote with your wallet; not legislation.

[sabredog]

That is what the who-ha with retailers is about.

Retail billionaires want to increase taxes to cover online purchasing, demanding the government to do something as their profits gleaned from ripping us off decrease due to more and more consumers buying online.

[HansTWN]

Originally Posted by sabredog

That is what the who-ha with retailers is about.

Retail billionaires want to increase taxes to cover online purchasing, demanding the government to do something as their profits gleaned from ripping us off decrease due to more and more consumers buying online.

Seems the way they are doing it those billionaires will soon become millionaires...

[sabredog]

Originally Posted by HansTWN

Seems the way they are doing it those billionaires will soon become millionaires...

One would hope they get the message.

Gerry Harvey who owns Harvey Norman, a large chain of stores that sell electrical to furniture and who has a personal wealth over a billion dollars, claimed a couple of years ago that online buying was a fad. This was not long after he was selling the iriver Story, claiming he was the ebook "specialist".

He led the retail wingeing team, running off and demanding the Feds help them out. The public backlash was huge, so he whined some more and shut up for a bit.

Still, some clothes retailers are charging customers to try on clothes now, in fear of the said same customers going off and buying the item cheaper online.

Really though, to ensure that retail and distributors do not continue to price gouge some form of revision of retail trade laws need to be undertaken. At least that way, the rip-off, price gouging prices we are paying for ebooks can be resolved as well and these companies exposed for the thieves they are.

[tubemonkey]

Originally Posted by sabredog

That is what the who-ha with retailers is about.

Retail billionaires want to increase taxes to cover online purchasing, demanding the government to do something as their profits gleaned from ripping us off decrease due to more and more consumers buying online.

That's a different ball of wax and my position on taxing is that online purchases should be taxed. The rate should be the same as retail stores within the postal code of the delivery address. That way, no one has a tax advantage.

[sabredog]

Originally Posted by tubemonkey

That's a different ball of wax and my position on taxing is that online purchases should be taxed. The rate should be the same as retail stores within the postal code of the delivery address. That way, no one has a tax advantage.

Not going to happen! The ATO has indicated that taxing imports under $1000 is going to cost more than the tax gained.

The tax angle is irrelevant, online items purchased are as much as 60% cheaper. That includes dtb's and ebooks.

[tubemonkey]

Originally Posted by sabredog

Not going to happen! The ATO has indicated that taxing imports under $1000 is going to cost more than the tax gained.

The tax angle is irrelevant, online items purchased are as much as 60% cheaper. That includes dtb's and ebooks.

Tariffs are another thing. I'm all in favor of abolishing them. I don't believe in protectionism. Businesses that can't compete on price will fail.

[cHex]

Originally Posted by tubemonkey

That's a different ball of wax and my position on taxing is that online purchases should be taxed. The rate should be the same as retail stores within the postal code of the delivery address. That way, no one has a tax advantage.

Generally, such purchases ARE taxed, even under the current system.

The issue is not whether to tax them or not, but whether the seller--based in some other jurisdiction--can be forced to collect the taxes for the governments involved (local, state, national, whatever), pay them to the appropriate bodies, and report everything in some specific format.

In the meantime, governments do not seem to be doing much to collect those taxes from the purchasers.

If tubemonkey's solution was applied, I predict a new businesses and business models springing up: special delivery addresses in low-tax locations, lower product prices but higher shipping fees, prepaid untaxed memberships (think Amazon Prime) that unlock "free" goods, etc.

It used to be you could control the population and charge merchants for access to a market. As our transportation and information technologies advance, taxes look more and more like arbitrary confiscation instead.

[tubemonkey]

Originally Posted by cHex

The issue is not whether to tax them or not, but whether the seller--based in some other jurisdiction--can be forced to collect the taxes for the governments involved (local, state, national, whatever), pay them to the appropriate bodies, and report everything in some specific format.

They're doing business in that jurisdiction, so where they're based is irrelevant.

[tubemonkey]

Originally Posted by cHex

If tubemonkey's solution was applied, I predict a new businesses and business models springing up: special delivery addresses in low-tax locations, lower product prices but higher shipping fees, prepaid untaxed memberships (think Amazon Prime) that unlock "free" goods, etc.

Amazon already does it this way in Washington. I ordered two identical items and had them sent to different cities. I was charged two different tax rates.

BTW, if "special delivery addresses in low-tax locations" are set up, how do you plan on fetching your package?

Originally Posted by tubemonkey

BTW, if "special delivery addresses in low-tax locations" are set up, how do you plan on fetching your package?

Electronic goods: proxies. Physical goods: you can pick them up or the company can reship the product to the consumer. Since they are not selling the product, they only have to tax you on the services that they are providing.

[MovieBird]

Originally Posted by tubemonkey

BTW, if "special delivery addresses in low-tax locations" are set up, how do you plan on fetching your package?

With package forwarding. Technologically adept consumers that purchase many items online can easily bypass any restrictions a company or government imposes. The question is if the increase in revenue will out weight the cost of enforcing it.

5 years ago, I don't think it would. Today, I think there's no question the revenue is greater.