Why is the iPhone 14 more expensive in Spain (and many other countries) and hasn’t increased in price in the US?
We analyze the causes that led to it. Apple will raise the price of the iPhone 14 in Spain and most countries.
This year we saw a price increase on the iPhone 14 that few of us remember. For 5 years and the arrival of the iPhone X, Apple kept the prices of the iPhone series stable in most countries, with very minor changes. The iPhone X, iPhone XS, iPhone 11 Pro, iPhone 12 Pro and iPhone 13 Pro had exactly the same starting price.
However, the price of the iPhone 14 Pro has increased significantly, more than 100 Euros on average in almost all markets. However, this was not the case in the United States (and China), and Apple once again maintained the same pre-tax price of $999. Why did this happen? The global situation is largely responsible for this.
iPhone 14 Pro and iPhone 14 raise prices in most markets
Exchange rate doesn’t benefit iPhone’s price in Europe
You must understand that Apple is an American company and therefore all accounting is done in dollars. Then, they use the dollar as a scale when raising or lowering prices in different markets. And that can be harmful or beneficial. If you have a stronger currency than the dollar, the price goes down, but if your currency depreciates against the dollar, the price goes up.
Over the years the euro and dollar have held a fairly constant value when the euro is above the dollar. However, this has now changed due to the situation in Europe and the euro is exactly the same value as the dollar. Something that caused the price of the iPhone to skyrocket in the countries of the old continent.
iPhone 14 rises in price in most markets around the world
With an example, of course, everything is better understood. We are going Compare the price of the iPhone 13 Pro a year ago with the current iPhone 14 Pro To see if its price has actually risen in the United States and Spain, and if Apple is making more money than it did a year ago.
- iPhone 13 Pro price in the US: $999 excluding tax.
- Price of iPhone 13 Pro in Spain: 1.159.956 Euros excluding taxes.
- Euro-dollar exchange rate in September 2021: 1 euro is equal to 1.18 dollars.
Therefore The tax-free price of the iPhone 13 Pro in Spain was changed to dollars and became $ 1,128.
The price of iPhone 13 Pro in Spain was 1,159 Euros
- iPhone 14 Pro price in the US: $999 excluding tax.
- Price of iPhone 14 Pro in Spain: 1,319, 1.088 Euros without tax.
- Euro-dollar exchange rate in September 2022: 1 euro is equal to 1 dollar.
With the current euro-dollar equivalent, The price of the iPhone 14 Pro converted to dollars in Spain is $ 1,088.
The price of iPhone 14 Pro in Spain is 1,319 Euros
As you see, The price of the iPhone 14 Pro in dollars fell in Spain. The exchange rate doesn’t suit us Europeans right now, which is why the iPhone 14 is so expensive in Euros.
What Apple could have assumed this difference? of course, definitely users would appreciate it. But Apple is constantly fighting with itself to get better numbers every quarter, assuming the price difference will hurt financial results.
Here’s what we’re waiting for If the euro regains its strength next year, Apple will take that into account and lower the price of the iPhone 15. Likewise, the iPhone 14 has risen, but there is still time for that.
Source: i Padizate
