Friday, 11 February 2011 19:54

Why Nintendo IS price gouging on the 3DS


An article from suggests transportation, waiting and postage costs are good reasons why Nintendo's extra $100 cost above US pricing isn't price gouging Australians, but does this make sense or is it a load of tosh?


Nintendo's 3D handheld gaming console, the Nintendo 3DS, was previewed at a launch party earlier this week, with hand-picked attendees getting a special preview of Nintendo's latest and greatest.

Although the US dollar price for the Nintendo 3DS is US $250, Australians are being asked to pay AUD $349, which is $99 or with rounding, $100 more than the US price, something that seems odd in an age when the Australian dollar is effectively worth the same as a US dollar, with the past few days even seeing Australia's dollar worth more than a US dollar.

With China quite far away from both the US and Australia, the article over at explains that the much bigger population of the US, coupled with existing distribution channels, means it is cheaper to ship and sell a Nintendo 3DS to the US, although an astute commenter at the Current article noted that the Hawaiian US Dollar price of the Nintendo 3DS was the same as the US mainland price, making the argument somewhat moot.

There were also protestations that waiting time (which was quoted at 'weeks' in the Current article, even though it is possible to get express international postage, albeit at a higher price) is something you can put a pricing value on, as well as the postage costs itself.

Nowhere in the article was the explanation that GST adds 10% to Australian prices, nor was there any explanation that many US States charge an additional sales tax over and above the quoted recommended retail price, both of which are factors in deciding the true cost of a product to consumers.

There's also the issue of lower wages in the US, because things are cheaper there, which means that wages are higher in Australia, as are the cost of goods and services, which is a very important factor in deciding how much to charge in a particular country.

Indeed, if you have to pay more for your staff, offices, taxes, distribution, advertising and even those nefarious percentage deals that Aussie retailers demand from suppliers, it should come as no surprise that higher costs in Australia mean higher prices for consumer electronics.

However - do all of these extra costs equate to needing to slug Australians an extra $100 over US consumers?

I'll just have to do the same as and pull a decision out of the thin air between my nether regions.

I say that Nintendo IS price gouging Australian consumers compared with US consumers, despite the higher Australian costs, which probably mean that it isn't price gouging.

See what happens when you make strange decisions without really thinking about it, oh peeps of Current? I think my reasons for why prices are higher are more real and more valid reasons as to why prices could be higher down under, unlike the tosh about waiting times, distribution centres and post offices that seems to have come up with.  

Ultimately, dear reader, $100 is $100, so, whether Nintendo is price gouging, or not, is a decision I'll leave up to you. You know what I think!


Read 5386 times

Please join our community here and become a VIP.

Subscribe to ITWIRE UPDATE Newsletter here
JOIN our iTWireTV our YouTube Community here


The past year has seen a meteoric rise in ransomware incidents worldwide.

Over the past 12 months, SonicWall Capture Labs threat researchers have diligently tracked the meteoric rise in cyberattacks, as well as trends and activity across all threat vectors, including:

Encrypted threats
IoT malware
Zero-day attacks and more

These exclusive findings are now available via the 2022 SonicWall Cyber Threat Report, which ensures SMBs, government agencies, enterprises and other organizations have the actionable threat intelligence needed to combat the rising tide of cybercrime.

Click the button below to get the report.



It's all about Webinars.

Marketing budgets are now focused on Webinars combined with Lead Generation.

If you wish to promote a Webinar we recommend at least a 3 to 4 week campaign prior to your event.

The iTWire campaign will include extensive adverts on our News Site and prominent Newsletter promotion and Promotional News & Editorial. Plus a video interview of the key speaker on iTWire TV which will be used in Promotional Posts on the iTWire Home Page.

Now we are coming out of Lockdown iTWire will be focussed to assisting with your webinars and campaigns and assistance via part payments and extended terms, a Webinar Business Booster Pack and other supportive programs. We can also create your adverts and written content plus coordinate your video interview.

We look forward to discussing your campaign goals with you. Please click the button below.


Alex Zaharov-Reutt

Alex Zaharov-Reutt is iTWire's Technology Editor is one of Australia’s best-known technology journalists and consumer tech experts, Alex has appeared in his capacity as technology expert on all of Australia’s free-to-air and pay TV networks on all the major news and current affairs programs, on commercial and public radio, and technology, lifestyle and reality TV shows. Visit Alex at Twitter here.

Share News tips for the iTWire Journalists? Your tip will be anonymous




Guest Opinion

Guest Interviews

Guest Reviews

Guest Research

Guest Research & Case Studies

Channel News