Thursday, 5 June 2008

HP Overcharging in the Middle East

As you might know – I do a lot of photography – about 10-15.000 images a year. To print them out I currently HP Z3100 US Pricehave a HP DesignJet 130nr 24” printer. I like the printer – but the head keeps drying up – despite AC on constant temperature, and humidity about 50–55 pct.

But now I want to upgrade to the HP DesignJet Z3100. In the US the retail price is $3.395 – quite okay price. So I went to investigate what the price is in Dubai (where rumor says everything is cheap..) – and much to my surprise the exact same printer here is almost twice the price. $6050. YES - $6050.

And that is EXCLUSIVE of a $1.000 trade in discount you can get in the US. AND excluding taxes which I can only assume is excluding the 4.7% import duty in the UAE. And we are talking the EXCACT same model – the Q5669A.
So why is that?

Of course a premium has to be paid for transport. But $3000? For US$3000 I can get a 21’ container to transport it to the UAE – all alone in the container! Or I could even buy 2 – and have one as a spare parts here. HP Z3100 Middle East price - twice as high!

But who knows why HP is overcharging here. They might think everyone is a Petro Dollar Sheik? Or do HP think people in the Middle East are less clever than in the rest of the world? Or is there something else they are not telling us?

So in the US i can do a trade-in and get the Z3100 for $2.395. Here I have to pay $6050. That is a 152% overcharge…

1 comment:

Luis Sisamon said...

I have found this to be the norm in Dubai. And is quite consistent for products and services. here you should expect to pay a high premium but it is not clear what you get in return.