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Thread: New Shearwater Research Inc. Pricing

  1. #1
    CEO-Shearwater
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    New Shearwater Research Inc. Pricing

    During the last 6 months, the US dollar has fallen significantly versus the Canadian dollar. Since it appears this situation is going to be with us for a while, we need to adjust our US dollar prices. The new price list is posted on our website in our library at:

    http://www.rebreather.ca/Library/She...2008_01_01.pdf

    At the same time, we have taken this opportunity to introduce a series of new options to make the Pursuit computer accessible to more divers. As of January 1, we will have a series of versions available from a three sensor display, to an OC Nitrox computer, to our current Pursuit with OC/CC Trimix with one or three sensor external monitoring.

    Until January 1, paid orders for the existing Pursuit (OC/CC Trimix -EXT) will still be honored at the current price.

    We will be publishing new pricing for the cables and connectors on the web site soon.

    I would like to thank our customers for making our progress possible. The upgrade plan that was offered to our existing GF users until March will continue to be available at the same price as before.

    Bruce
    Last edited by jradomski; 3rd December 2007 at 18:47. Reason: corrected link
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  2. #2
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    HammerMeg

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    Re: New Shearwater Research Inc. Pricing

    Bruce

    Do you also have pricing in Canadian dollars? Will it also change on 1/1/08?

    John

  3. #3
    CEO-Shearwater
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    Re: New Shearwater Research Inc. Pricing

    No, we just price in US dollars. For lot of reasons, it's more convenient for our customers to use US dollars.

    Bruce
    The greatest enemy of knowledge is not ignorance. It is the illusion of knowledge.
    http://www.shearwater.com

  4. #4
    CEO-Shearwater
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    Re: New Shearwater Research Inc. Pricing

    If anyone has been having trouble getting to our site, I just found out that we had a giant picture on the home page that was taking a long time to load. It has been changed.

    Bruce
    The greatest enemy of knowledge is not ignorance. It is the illusion of knowledge.
    http://www.shearwater.com

  5. #5
    New Member Mikealfa is an unknown quantity at this point Mikealfa's Avatar
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    New pricing - It doesn't work like this!

    Sorry, but if the USD drops in value, it is for a reason.
    It is good for exporting and the locals are not supposed to suffer for this.
    Eventually it will lead to inflation, however, you can just not increase the price like this. It is unethical!
    You can say that the cost of what you are importing is gone up, or the fuel, etc, but you just can not adjust it to suit your needs and continue as nothing happened.
    You need to tighten your belt till the situation changes.
    If you were in Zimbabwe and do this, you would be in big trouble with the authorities.
    Good luck.

  6. #6
    CEO-Shearwater
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    Re: New Shearwater Research Inc. Pricing

    Possibly you have misunderstood. Shearwater Research is a Canadian company.

    It is absolutely routine for companies to periodically adjust their export pricing so that the net in native currency stays the same. That is necessary, because the bills are still being paid in Canadian dollars as the US dollar falls.

    Canadians end up paying about the same as before since the Canadian dollar now buys about 30% more US dollars.

    Bruce
    The greatest enemy of knowledge is not ignorance. It is the illusion of knowledge.
    http://www.shearwater.com

  7. #7
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    Re: New Shearwater Research Inc. Pricing

    Hello Bruce,

    So why don't you sell in Canadian dollars?

  8. #8
    CEO-Shearwater
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    Re: New Shearwater Research Inc. Pricing

    Quote Originally Posted by Stephane  View Original Post
    Hello Bruce,

    So why don't you sell in Canadian dollars?
    The main reason is the US market. It's about 40% of our business, and US customers expect the shop to quote a price that doesn't change. Since the US is such a big country, almost everything is available in US dollars.

    The rest of the world doesn't seem to care since we deal with multiple currencies all the time. I buy stuff in US dollars every week.

    Since it makes it easier for US customers and doesn't bother the rest of the world, it works well. Of course the one problem is that when there are big currency swings, we have to adjust.

    Bruce
    The greatest enemy of knowledge is not ignorance. It is the illusion of knowledge.
    http://www.shearwater.com

  9. #9
    RBW Member jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk has a reputation beyond repute jkaterenchuk's Avatar
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    Re: New Shearwater Research Inc. Pricing

    Quote Originally Posted by bgpartri  View Original Post
    Possibly you have misunderstood. Shearwater Research is a Canadian company.

    It is absolutely routine for companies to periodically adjust their export pricing so that the net in native currency stays the same. That is necessary, because the bills are still being paid in Canadian dollars as the US dollar falls.

    Canadians end up paying about the same as before since the Canadian dollar now buys about 30% more US dollars.

    Bruce

    Bruce

    Let me first say that I respect the fact that as a business owner you are entitiled to set the level of pricing for your product where you want. If you have a good product that is in demand and you can afford to raise pricing and not worry about losing bottomline profits to less expensive competitors then thats how a free market works.

    However, on the other hand I somewhat agree with Mikealfa's comments. I am Canadian and have done business on both sides of the border and have seen the currency exchange errosion of profits first hand on both sides of the border.

    If you are worried about your price no longer being competitive then I would suggest you might look to change from Canadian suppliers to US suppliers for your components. You might find that you would then enjoy the 30% purchasing advantage with the Canadian dollar and then would only need to recoup with an increase to cover the exchange loss on the margin (difference between sell price and cost to make).

    John

  10. #10
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    Re: New Shearwater Research Inc. Pricing

    Quote Originally Posted by jkaterenchuk  View Original Post
    Bruce

    Let me first say that I respect the fact that as a business owner you are entitiled to set the level of pricing for your product where you want. If you have a good product that is in demand and you can afford to raise pricing and not worry about losing bottomline profits to less expensive competitors then thats how a free market works.

    However, on the other hand I somewhat agree with Mikealfa's comments. I am Canadian and have done business on both sides of the border and have seen the currency exchange errosion of profits first hand on both sides of the border.

    If you are worried about your price no longer being competitive then I would suggest you might look to change from Canadian suppliers to US suppliers for your components. You might find that you would then enjoy the 30% purchasing advantage with the Canadian dollar and then would only need to recoup with an increase to cover the exchange loss on the margin (difference between sell price and cost to make).

    John
    Hi John, it does not work this way..

    this is the same as someone told me before.. the US dollar is so weak, so why don't you do your production in the states??

    a Canadian company has most of its costs in Canada, fixed cost, salaries, your building, you taxes...

    regards
    paul
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