Home > General > Geographical pricing for CS4

Geographical pricing for CS4

September 23rd, 2008

With all the talk about the huge difference in geographical pricing for Adobe’s products I wanted to do a quick comparison between what those in the US and those in Europe (or at least Belgium for as far as I can check) pay for some of the different suites.

 
Master Collection CS4

Full price US: 2499 USD
Full price Europe: 2799 Euro

Master Collection CS4 is 1.6 times as expensive for European customers.

Upgrade price US (from CS3): 899 USD
Upgrade price Europe (from CS3): 999 Euro

Master Collection CS4 upgrade is 1.6 times as expensive for European customers.

Web Premium CS4

Full price US: 1699 USD
Full price Europe: 1699 Euro

Web Premium CS4 is 1.5 times as expensive for European customers.

Upgrade price US: 599 USD
Upgrade price Europe: 599 Euro

Web Premium CS4 upgrade is 1.5 times as expensive for European customers.

 


 
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General

  1. September 23rd, 2008 at 13:57 | #1

    This policy just is not sustainable. I wonder if Adobe realizes exactly how much goodwill it is losing year-on-year with this unfair pricing policy.

  2. September 23rd, 2008 at 14:09 | #2

    These differences are unbelievable!!!

    @peter: pie charts aren’t the best visual presentation of the difference, a bar chart would be better

  3. September 23rd, 2008 at 14:11 | #3

    really, really strange

  4. September 23rd, 2008 at 14:13 | #4

    Maybe Adobe thinks Euro is cheaper than $$$Bucks$$$ and want to make same price for all of us :))

  5. September 23rd, 2008 at 14:17 | #5

    Fellow developers, it’s all about ROI…

    NOT.

  6. September 23rd, 2008 at 14:18 | #6

    but while they fix it, can they also bring the price of petrol in line please?

  7. September 23rd, 2008 at 14:24 | #7

    Just wondering… Are these prices including taxes?

  8. September 23rd, 2008 at 14:28 | #8

    @serge - just did a one to one comparison in USD on the prices for a download version of Master Collection CS4 or Web Premium CS4 as shown on adobe.com, no idea if those are listed with or without tax.

  9. September 23rd, 2008 at 14:28 | #9

    UK prices:

    Master Collection CS4:
    £2313.58
    (£1969.00 ex VAT)

    Web Premium CS4:
    £1404.12
    (£1195.00 ex VAT)

    It looks a bit cheaper in the UK than in Europe. Still way more than the US though.

  10. September 23rd, 2008 at 14:30 | #10

    The comparison is not 100% correct though, since Belgian prices include 21% BE VAT, while US mentioned prices don’t include the tax. VAT is a factor that’s beyond the control of Adobe. Also, as a Belgian company, you get that 21% back. Nevertheless, Adobe surely makes additional profit thanks to the weak dollar atm, and raises the EUR prices even when you don’t include the VAT.

    The correct comparison should be, for the CS4 Master Collection:
    Full: USA: 2,499 USD / BE: 2,799 EUR (or 4,125 USD atm)
    Upgrade: USA: 899 USD / BE: 999 EUR (or (1,473 USD atm)
    (These are BE prices without VAT).

    Apple is capable of adapting its prices for the Euro market though, by lowering the EUR price, instead of making it higher as Adobe does:
    Final Cut Studio 2: 1,299 USD / 1,074 EUR (or 1582 USD atm).

    I never saw any decent reason from Adobe which justifies the extra charges, other than the extra costs for translating the products & manuals, while I’m using English software at the end :) Even Apple doesn’t use ‘translation’ as an excuse and provides almost all products in all possible languages, usually included and changeable with a single click :)

  11. September 23rd, 2008 at 14:36 | #11

    You’re right Serge, Niqui, Peter — thanks for correcting me, forgot to take VAT into consideration. I’m updating the figures now.

    Master Collection CS4 for example is 1.7 times as expensive rather than twice.

  12. September 23rd, 2008 at 14:40 | #12

    Thanks for clearing that up Peter. Your comparison is a correct one. While it’s still more expensive, the difference is not as big as shown in the charts. I do think that this is an industry trend. You already made the Apple comparison but as another example look at Microsoft Vista. Ultimate costs USD219 in the US while you pay EUR387 over here (without taxes). It’s not just Adobe!

  13. September 23rd, 2008 at 14:42 | #13

    Sorry.. That should have been USD387 (EUR263) over here

  14. September 23rd, 2008 at 14:46 | #14

    Serge, then on Apple is correct, I don’t want to see other companies which do same BAD thing, i want to see GOOD companies examples :)

  15. September 23rd, 2008 at 14:54 | #15

    Oh… Here’s another great example: The book Object Oriented Actionscript 3 costs $54 in Europe (excl taxes) and only $31 in the US :D

  16. September 23rd, 2008 at 14:58 | #16

    Here’s another interesting example in favor of Serge: :)

    Microsoft Office 2008 for Mac (prices without VAT):

    USA: 259 USD / BE: 437 EUR (or 644 USD)

    But with one big difference compared to Adobe: I can order Office 2008 in the USA without any EULA region restrictions. So it will cost me only 175 EUR (=259 USD) instead of 437 EUR! That’s of course excluding shipping and import taxes.

  17. September 23rd, 2008 at 14:59 | #17

    I’ve updated the numbers working on new charts now — for good measure Master Collection CS4 is 1.6 times and Web Premium CS4 is 1.4 times as expensive (not 2 and 1.8 times as I mistakenly wrote earlier).

    While there are quite a few things Adobe can get away with, because it is standard practice in the industry or various other reasons, that does not necessarily mean it is the right thing to do.

    I’m not trying taking a position or criticize here, there might well be valid reasons why this is happening but I have not yet heard them.

    For full disclosure, I have rarely been required to buy my own licenses for Adobe software in the last few years thanks to my involvement in various community or prerelease programs. This is just an observation after looking at the CS4 pricing and hearing about the geographical price issues.

  18. September 23rd, 2008 at 15:00 | #18

    I wonder if the current weak dollar is affecting current prices in a way to influence future pricing. Eventually, the dollar should rebound. When that happens, Adobe probably doesn’t want to have to reprice non-US sales. So setting a higher Euro price now, prevents that from happening in the future. I have no idea if that’s how these things actually get priced… and hell, with the current USA government I have no idea if the dollar will ever recover.

    But all that said, I agree that the current pricing sucks.

    Is there any reason a European customer can’t buy from a US reseller? Especially if that customer could deal with the English version?

  19. September 23rd, 2008 at 15:01 | #19

    Peter, at least you are ok :)

  20. September 23rd, 2008 at 15:08 | #20

    GREECE : CS4 Master Coll. costs 3.386 euros (2.799 ex VAT).
    UK: CS4 Master Coll. costs £2.313 (£1.969 ex VAT) which is right now:
    2910 euros (2477 ex VAT)

    I don’t want to learn the price of the distributor here but the above price for Greeks are from the Greek Adobe store.. :(

  21. September 23rd, 2008 at 15:11 | #21

    Marc, I would tough the same but the same gap existed when the US dollar was as strong as the Euro.

  22. September 23rd, 2008 at 15:23 | #22

    lol, you really need to start worrying if Adobe starts comparing itself to Microsoft ;)

    In all seriousness, does Microsoft have download versions of that software and how is the pricing difference on that? That is what really puzzles me.

  23. September 23rd, 2008 at 15:37 | #23

    Just to be clear: By picking Vista as a comparison, I did not compare Adobe to Microsoft. I also picked your book as a comparison and can easily make a list of other things that are more expensive in Europe than in the US. Even gas is 1.5 times more expensive in EU as it is in the US… Surely there must be a reason for that?

  24. September 23rd, 2008 at 15:38 | #24

    No Microsoft doesn’t have any download versions of most of it’s software. I was just pointing out that there are other big companies out there who don’t have a region restriction in place and that turns out in big advantages for us Europeans now. Apple has a region restriction as Adobe does, but adjusts it’s prices accordingly which makes it somewhat fair, instead of making abuse of the situation.

  25. September 23rd, 2008 at 15:48 | #25

    You can also buy my book as an eBook from Apress for a one-price-fits-all ;)

    http://apress.com/ecommerce/cart?act=add&bid=932

    For downloaded software I don’t see the reasoning behind having software that is 40 to 60% more expensive. I realize its commonplace but does not necessarily make it a good policy.

    I do appreciate your feedback Serge and getting Adobe’s perspective on this.

  26. dAN
    September 23rd, 2008 at 15:52 | #26

    @Marc: I saved about £300 buying CS3 from a seller in the US via ebay.co.uk with no problems.

    As to whether I violated any region restrictions in the EULA… I have no idea :)

  27. September 23rd, 2008 at 16:22 | #27

    Just import your software man ;)

  28. Steve Howard
    September 23rd, 2008 at 17:34 | #28

    Gas? Fuel in Eurpoe is more expensive becuase of higher taxes. Typical pre-tax prices of fuel are very similar. UK fuel market is so fierce that typically *pre-tax* price is lower than US and other ‘western’ nations. Trouble is, over 85% of the pump price is tax in the UK, v’s about 10% or less in the US.

    As for getting better prices on your software … if you have a good friend who trusts you, who lives in a cheaper country and thus has an address and credit card in that country, he should be able to order and download the software for you… Of course he has to know you’ll pay him for it otherwise you may not be friends for long :-D

  29. September 23rd, 2008 at 17:39 | #29

    I contacted Adobe after CS3 came out year and a half ago regarding this issue. They replied:

    The price of software in EMEA (europe-middle east-africa) reflects both the additional expense to develop and test Adobe’s applications for local markets and operating systems, as well as for the delivery of complimentary Warranty support.

    They also said that you can buy the Suite from the US and use it in Europe but you’re not entitled to get local support. Find full reply here.

    k

  30. September 23rd, 2008 at 22:24 | #30

    Price gouging like this keeps sites like astalavista online.

  31. nona
    September 23rd, 2008 at 23:36 | #31

    With that big a price difference for the suites, I can buy myself a ticket to New York, spend a little weekend there, buy CS4, and come back with it.

    It’s bloody ridiculous. The only reason they charge so much is that they can get away with it: they probably lose a lot of customers in the process, but they’d have to lose nearly half of their european customers before it makes a dent.

  32. Kadayi
    September 24th, 2008 at 00:34 | #32

    Its an utter joke tbh, even with ‘localisation’ the costs are no way that high. Plenty of other software manufacturers prices are practically flat rate in comparison. I would of thought there must be come sort of European regulatory watchdog who can bring Adobe to task about their pricing surely?

    Maybe some contact Meglena Kuneva of the European Commission?

    http://ec.europa.eu/commission_barroso/kuneva/index_en.htm

    Perhaps show her the price disparities?

    Enough bad press and Adobe might change their tune (worth a shot perhaps?).

  33. Willem
    September 24th, 2008 at 03:25 | #33

    It’s sad that in a world that needs a lot less CO², i order books, sent from a company hub 7000km/4000miles from where i live, only because i pay about half of the price compared to ordering from Amazon in Europe.

  34. Denis
    September 24th, 2008 at 08:29 | #34

    Could they simply allow us to buy us versions at us price via download (with little or no support) ? That seems fair.

    By the way, i’ve never called adobe/macromedia support (director/photoshop/illustrator in 1995 !). The community is our support.

  35. dAN
    September 24th, 2008 at 09:33 | #35

    Same here - who needs support?!

    A no-support no-packaging, no-documentation download would suit many people’s need and would surely be cheaper to provide.

    But if they charged less they”d make less money of course… :)

  36. Denis
    September 24th, 2008 at 09:57 | #36

    Not 100%, because for the same amount of money (or a little more) i will upgrade my CS3 web premium to a CS4 master Collection.

    AE is one of my tools of choice, Premiere or Encore could become part of my arsenal as well.

    So they will get more money in the long term (via Master collection futures upgrade).

    Apple is often cited as example. But a company called “Macromedia” (maybe you’re too young to remeber) was less greedy in the past.

  37. Previn Edward
    September 24th, 2008 at 13:32 | #37

    As far as I understand, Adobe charge more in some countries because their research indicates they can get away with it. I for one can’t justify such a difference in price and hence am not buying into it. Many though probably have little choice as they are heavily dependent on Flash etc.. Basically Adobe have little to no competition so they don’t have a compelling reason to change things. The “research” probably doesn’t include damage to reputation or trust. How accurate that research is can also be questioned - how well were prospective customers represented? did they check the willingness to pay of mainly existing customers and/or adobe enthusiasts? did they check one-man-shops as well as large corporations? etc..

  38. Previn Edward
    September 24th, 2008 at 13:50 | #38

    I guess the other thing is: Did the responses of those questioned in such research take into consideration awareness that customers in other countries may pay almost half as much? i.e. there’s a difference in asking:

    1. Would you be willing to pay 3600 euros including tax (3000 euros excluding tax) for CS4 Master Collection?
    2. Would you be willing to pay 3600 euros including tax (3000 euros excluding tax) for CS4 Master collection if you knew that US customers only need to pay 1700 euros?

    I bet the survey responses to the above two questions would be quite different. If Adobe haven’t already done so, maybe they should factor this into their “research”.

  39. September 27th, 2008 at 13:46 | #40

    I actually had this problem upgrading last time - I checked how much it was going to cost to get the download update for cs3 in the US and it came to $499 which, at the time was about £250 in the UK, so I checked the cost of the UK download and it was going to cost £515 for me to download it in the UK - more than twice the price. And It was the exactly same download - there was no difference… so I got my buddy in NY to reg for me and he just sent a link to the download… screw you Adobe! You’re like the stingy uncle that you can’t help but love. But seriously why do we have to pay this much more? - Someone made the point that is for localization… well I have never used it - ever… I understand why so much gets pirated with a pricing structure like this.

  40. michael seifert
    October 1st, 2008 at 21:57 | #41

    The german official price for the CS4 Master Colection in the Adobe store is 2999 Euros without Taxes, which is about 4500 USD. And as far as I know, Adobe does not allow upgrading europaen licences with US-Updates of CS4, German Upgrade for CS4 Master Collection is 1926 Euros ( + taxes!) which is stil more expansive than a new US-licence.

    Besides: Any ideas, why is the download-version is more expensive than the boxed version in Germany?

  41. October 2nd, 2008 at 09:23 | #42

    Michael Seifert - from what I’ve been told the reason the download version is slightly more expensive in some cases is because the servers are located in Ireland where there’s a different tax rate that they need to charge.

  42. what support ?
    October 16th, 2008 at 11:20 | #43

    I bought cs3 legit and when a support issue was raised at Adobe by e-mail I did not get 1 response ….from anyone…even after a snotty letter stating the above…..nothing ! if the extra cost is for support, that’s BS. I got the issue sorted off the web after looking for a sodding week !

  43. what support ?
    October 16th, 2008 at 11:24 | #44

    Go to the UK CS4 shows and give the Adobe reps the grief I know I am. I wonder if they get paid 50% more for doing the shows in the UK ?

  1. September 23rd, 2008 at 16:14 | #1
  2. September 23rd, 2008 at 17:34 | #2
  3. September 23rd, 2008 at 20:35 | #3
  4. September 24th, 2008 at 00:47 | #4
  5. September 25th, 2008 at 14:02 | #5
  6. September 25th, 2008 at 15:33 | #6
  7. October 6th, 2008 at 17:01 | #7
  8. November 13th, 2008 at 01:09 | #8
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