Consumer PC prices bow to currency and component pressures

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Consumer PC prices bow to currency and component pressures

Microscope contributor

Consumer notebook prices are rising this month by as much as 13% as vendors seek to counter the weakness of the pound and rising component costs.

All of the major PC giants last month pushed up the prices for commercial systems but the longer supply chain in the retail space means higher priced consumer machines are only now arriving in the UK.

Bobby Watkins, Acer UK and Ireland country manager, confirmed that the fall of sterling against the dollar had made price rises across the industry inevitable.

"You cannot hide from the fact that exchanges rates [have fluctuated] so it is impossible to produce products at the prices they were produced at a month ago.

"Having stock today that was bought at yesterday's prices will be a competitive advantage for retailers, distributors and vendors," he said.

MicroScope understands that consumer notebooks will go up in price by 3% in the entry level segment and up to 13% at the high-end.

However, there was a poor reaction from customers to commercial PC price rises in April said Eszter Morvay, research manager at IDC, "customers reacted by buying less product...the UK is very price sensitive."

She suggested the classic trick of scaling back features and functionality may be a less obvious to consumers and business users.

April was a tough trading month compared to the relative buoyancy of Q1 said Mark Glasspool, general manager for PC systems at Computer 2000, but he agreed price rises "undoubtedly would have had some impact"

"This is only the second or third time I have seen general prices rises in the PC market, the market will dictate whether it will stomach the rises or not," he said.

Related Topics: Desktop PCs, VIEW ALL TOPICS

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