Leica Price increase

[jaap]

Dear Fred,

Not really. Dollars aren't involved. Just pounds and euros. And with the euro at 1.15 to the pound, instead of 1.40 or so, yes, you've worked it out: £3000 = either 3450€ (at 1.15) or 4200€ (at 1.40).

Assume you have to see (say) 3700€ to break even on an M8.2 and it's not a difficult calculation that prices need to go up. Unpopular, perhaps, but hardly difficult.

Of course if they go up in euros as well, that's another matter.

Cheers,

R.

WAUW some people know just everything !

 

[parsec1]

Sorry to disappoint you but I haven't the faintest idea.

As others have said, they price things according to their need to stay in business.

The only thing I'd say is that Andreas Kaufmann is a multi-millionaire, which most of us are not, and (effectively) owns Leica, which none of us does, so I think I'll let him worry about how to run the company. I'd be interested to see how many of the people who are so free with their advice would tell him to his face that he's running the company wrongly. And I'd be amused at his responses.

Cheers,

R.

Dear Roger,
I would be delighted to
Regards
Peter.

 

[Mark Jones]

At the risk of making myself really unpopular, those of us in the UK need to guard against unjustified Leica-bashing.

They're based in Germany, paying their staff in Euros and paying for raw materials in Euros. So let's say, for the sake of illustration, that they sell a lens for 3,000 Euros. They ship that lens from their factory to the UK at 3,000 Euros. In January 2008 the Pound buys 1.40 Euros, so the UK price is £2,143. In January 2009 the Pound now only buys 1.15 Euros, so the UK price is £2,609. If you live in the UK, that's a 22% increase. But Leica has only ever received 3,000 Euros. So unless the increase is MORE than 22%, they haven't put their prices up - all they've ever received is 3,000 Euros.

Now, as Roger Hicks said, if the price goes up in Euros, that's a different matter. But let's not blame Leica for the fall in the value of the Pound!

 

[Rayt]

So a country like Germany couldn't possibly survive on manufacturing due to reasons above, and yet Germany has the largest economy in Europe. And its automobile industry is doing quite well. Why are the German auto makers able to compete and Leica isn't?

 

[Mark Jones]

German industrial output has slumped. See, for example, the BBC:

 

[Mark Jones]

Sorry, hitthe wrong button!

German industrial output has slumped. See, for example, the BBC:

http://news.bbc.co.uk/1/hi/business/7771070.stm

Their car industry is not doing well!

 

[Clark Van Orden]

I keep hoping that we will see the Zeiss Ikon digital soon. Not that they will be cheap by any means. The compitition will be good.

 

[Fred Burton]

And Leica is trying to survive in that same environment.

 

[parsec1]

Lets get one thing straight. I am NOT a 'Leica basher' in fact I adore thier cameras and prefer to use them whenever time and conditions allow. I use them for my personal stuff as a matter of routine.
I just feel the M8 should have been much better than it is and if that had been the case I would have cheerfully 'forked out' for 3 bodies regardless of the price which to me is not an issue.

 

[outfitter]

Leica's tenuous survival can't be helped by the economic crisis. Really rich people aren't Leica's customer base, it is the comfortable upper middle class whose wealth is tied up in their homes and 401k and whose livelihood is heavily dependent on the economy like everyone else. Even if you are not directly affected by the economy, the used resale market is bound to suffer and that should give everyone pause about buying new toys.

 

[cmogi10]

Bah Humbug.
Just an excuse to buy during the holidays.
Spread the cheer.

 

[Avotius]

couldn't care less if they are raising prices or not, I dont buy new leica stuff and frankly you would have to be sick in the head to buy new leica, like their 1500 off program, you know they are still making a profit then, everyone in the supply chain is since the price is so bloated anyway. Really it doesn't mater if they raise prices or not, there is zeiss and cv to see us through.