Brexit fallout forces Sonos to raise prices in UK

Eric Abent - Feb 13, 2017, 10:04 am CST
0
Brexit fallout forces Sonos to raise prices in UK

Bad news for audiophiles who happen to be in the UK: Sonos hardware is about to get significantly more expensive. The company announced these pricing changes today, saying that they’ll go into effect on February 23rd. If you’ve had your eye on some Sonos products, then, it’s probably best to buy now instead of later.

In total, there are nine products that will see their prices climb next week. In some cases, prices are increasing as much as 25%, and when we’re talking about the high-end, that kind of jump can hurt. Have a look at the full list below, complete with future and current prices:

PLAY:1 – £199 (current: £169)
PLAY:3 – £299 (current: £259)
PLAY:5 – £499 (current: £429)
PLAYBAR – £699 (current: £599)
SUB – £699 (current: £599)
CONNECT – £349 (current: £279)
CONNECT:AMP – £499 (current: £399)
BOOST – £99 (current: £79)
Wallmount – £39 (current: £35)

As you can see, with some less expensive items like the BOOST and Wallmount, these price increases don’t add a ton of money to the existing prices. When we get up to more expensive hardware like the PLAYBAR, however, they begin to hurt a lot more.

In its announcement, Sonos points out that though its prices are determined on a regional basis, it still has to pay for everything it makes in US dollars. Ever since the UK referendum to leave the European Union was passed back in June, the British Pound has been weakening against the dollar, serving as the catalyst for these price increases.

“Over recent months, there has been a significant change on the US Dollar to GBP exchange rate,” Sonos said in its announcement. “As a result, our existing pricing has become unsustainable and, like many other companies, we have to increase prices for all products priced in GBP.”

Sonos isn’t alone in raising prices, either. Companies like Apple and Tesla have done the same, putting UK consumers in something of a tough spot as the pound loses strength against the dollar. Sonos likely won’t be the last to implement price increases, so here’s hoping that those hikes aren’t too extreme.

SOURCE: Sonos


Must Read Bits & Bytes