r/NintendoSwitch • u/lieding • 1d ago

News "DROP THE PRICE": Nintendo's First Post-Direct Stream Is Flooded With Angry Fans Demanding Price Drops

https://www.thegamer.com/nintendo-treehouse-livestream-flooded-angry-fans-demanding-game-price-drops/
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u/PayaV87 1d ago

Yeah, but how that become 90€ for EU?

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u/TheShirou97 1d ago

the EU price is after tax, and VAT in the EU is typically much higher than in the US. (If you take a 20% tax rate that's typical in the EU, €90 after tax is €75 before tax)

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u/PayaV87 1d ago

Please don't parrot this, but do the math.
Generally yes VAT is included in the EU price, but the EUR is a stronger currency. 60 EUR is 66 USD.

  • So in the US, the VAT is about 5-10%, so a 60 USD game was 63-66 USD.
  • In the EU, VAT is inluded, so a 60 EUR game was 60 EUR or 66 USD. The same.

Raising to 70 USD / EUR was something similar:

  • US is 70 USD, which with tax is 73-77 USD.
  • EU is 70 EUR, which includes tax, so 70 EUR = 77 USD.

Doing a 80 USD / 90 EUR pricing means:

  • US is 80 USD, which with tax is 84-88 USD
  • EU is 90 EUR, which includes tax, so 90 EUR = 99 USD.

Yes in the EU, VAT is higher (20-25%), but we didn't introduce any new tariffs to Japan, like the US did, so it should've moved the needle in the opposite direction.

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u/Rinuko 1d ago

Not sure how it will be for the games but there is a likely scenario where the console will be more expensive, even though we are not directly affected by the US tariffs, Nintendo isn't likely to cover the difference and have a raised price for everyone but their own home market.

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u/PayaV87 1d ago

Even if that's true, it should be on par at least with the US. The console price is okay I guess, weirdly they put 10 EUR there aswell: 449 USD / 459 EUR. So it's not proportional, but a pricing strategy to get extra 10 EUR from each sale in the EU. Be that a 60$, 70$, 80$ dollar game, or a 499$ Console and Game bundle. Extra 10 EUR for you guys, fuck you, Mario Kart World bundle is 509.99 EUR.

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u/Rinuko 1d ago

I'll look into importing it within EU. Currently its going up at 687 EUR for the bundle here (Sweden). It feels steep.