Eric T
Well-known
With the steep decline of the euro versus the US dollar, will the cost of Leica cameras decrease in the US? Or will we have to buy them in Europe to capture the cost savings? (I believe non-residents can get the VAT back.)
raid
Dad Photographer
The market prices are set to match each country's wealth and the targeted profit margin.
The US Dollar and the EURO are approaching 1:1.
The US Dollar and the EURO are approaching 1:1.
Baby of Macon
Well-known
It probably depends partly on how much of a Leica is actually made in Europe (since the price of any imported components will rise) and how much of its overall cost base resides in the Eurozone and, of course, whether it decides to reduce its selling prices or capture the value of the depreciation in increased margins. But ceteris paribus, the event of the massive depreciation of the Euro against the Dollar, Leicas should get cheaper in the US. It will be interesting to see by how much.
rscheffler
Well-known
I'd guess that's what the $750 camera and $250 lens 'rebates' are for...
Maybe they're going to hold out for some time in case there's a rebound, but this is definitely something I've been wondering too. They cynical side of me believes they're intentionally keeping US prices high to cash in on the exchange rate. Unfortunately, for us in Canada, Leica goods come from NJ, rather than Germany, so with our weakened dollar, we're taking a pretty big hit. I just redid my insurance rider's replacement values because of this. Not that I plan to buy anything, but I would definitely consider importing from the EU over buying in North America. If I was in the market for a few lenses, it might even be worth a trip to Germany.
If you buy there, the 'regular' tax refund centers at airports only give you back about half the tax. If you want a full refund, which for high ticket items is desirable, you need to get your receipt and tax free paperwork stamped by a customs official once you pass through customs control. When you return the next time to the EU, you can return to the store and present the stamped paperwork and they will issue a full VAT refund. One of the Leica stores I've dealt with offered to do it by mail and issue a CC refund, IIRC. Something to discuss with them when buying.
Online would probably be the easiest, since you'll be VAT exempt, but many places charge high shipping. That same Leica store told me high value exports require additional paperwork and either they, or the courier, charge for this. It was probably over 100 Euro, but don't recall exactly, but it was a lot.
Maybe they're going to hold out for some time in case there's a rebound, but this is definitely something I've been wondering too. They cynical side of me believes they're intentionally keeping US prices high to cash in on the exchange rate. Unfortunately, for us in Canada, Leica goods come from NJ, rather than Germany, so with our weakened dollar, we're taking a pretty big hit. I just redid my insurance rider's replacement values because of this. Not that I plan to buy anything, but I would definitely consider importing from the EU over buying in North America. If I was in the market for a few lenses, it might even be worth a trip to Germany.
If you buy there, the 'regular' tax refund centers at airports only give you back about half the tax. If you want a full refund, which for high ticket items is desirable, you need to get your receipt and tax free paperwork stamped by a customs official once you pass through customs control. When you return the next time to the EU, you can return to the store and present the stamped paperwork and they will issue a full VAT refund. One of the Leica stores I've dealt with offered to do it by mail and issue a CC refund, IIRC. Something to discuss with them when buying.
Online would probably be the easiest, since you'll be VAT exempt, but many places charge high shipping. That same Leica store told me high value exports require additional paperwork and either they, or the courier, charge for this. It was probably over 100 Euro, but don't recall exactly, but it was a lot.
kuuan
loves old lenses
Pricing has little to do with exchange rates, is decided by local markets. While the Euro had been strong camera gear in the USA had been considerably cheaper than in Europe.
The fast declined Euro, for now, will close the gap but I don't tink that it will make photogear in Euroland cheaper than in the US. VAT in Europe is high, getting that back may just dip the scale?
Most likely the above applies to Leica too
The fast declined Euro, for now, will close the gap but I don't tink that it will make photogear in Euroland cheaper than in the US. VAT in Europe is high, getting that back may just dip the scale?
Most likely the above applies to Leica too
Pherdinand
the snow must go on
don't count on price drops...