Why we pay more for microsoft points in Canada than in the USA when the dollar has been par for a very long time.

Now add a question mark to the end of the subject header. I am currently seriously considering supporting japanese consoles in the future.

 

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Last updated July 4, 2018 Views 15 Applies to:

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[quote user="RuggedCurve3512"]

sadly Xbox... is xbox with a handful of other systems to chose from if they have the games and services you are looking for,

[/quote]

Well this is it, isn't it.  It's all about competition, competitive pricing, and most importantly, what the consumer themselves are willing to pay.  If the consumers are willing to pay overpriced fees then why would they lower prices?  If their customer base is strong and they're on par with or doing better than the competition, then why would they reduce prices?

They won't, and the only way to have any company reduce prices is to vote with your wallet and try to educate other customers.

--
Juxtapose13

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I DO run a business and if i used the same business model as Microsoft (My main region is service) id loose to many customers, i have found that adjusting revenue to region hasn't worked, truth is i make alot more with a level playing field as to trying to knickle and dime each additional client. Truth is most clients(Customers) are educated and have educated themselves before making purchases. Having said that they DO have a choice when it comes to my field as there are 1000's of us to chose from. sadly Xbox... is xbox with a handful of other systems to chose from if they have the games and services you are looking for, id be happy to pay American prices all day long, we have done this in the past and now the dollar is stronger id be more then happy to continue! (on line at xbox live). They have a healthy new lineup and it wouldn't hurt to rethink there pricing policies, the competition for on line video games etc...... is a budding and is looking to be very lucrative for all involved, so as others have posted it would be nice to feel COMFORTABLE knowing you payed proper and fair price for said services. The world is no longer what it was as we now have GLOBAL wonder and aww! Think and it will make sense!  a point is still just a point, be it Canadian American or Russian the only thing that should maybe be changed is how many of these points it will cost per region to make that purchase. I don't expect a hard copy of a game to be priced the same for all regions but why would a download be different?

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[quote user="BlissRoland"]

Srry I didn't mean Echo, but I meant people trying to support this overall. Kinda tired and skimmed through alot

[/quote]

 

I buy a 2800 MS point card to watch movies on Zune,  thats about all I ever purchase on XBOX LIVE, those points will last me for months. If people are compusivley buying avatar updates, games on demand, and overall spending that much on points then maybe these people should take a close at why they are spending so much. I still dont know or see what XBOX has to offer for purchases (other then ppv movies).

Suck it up people, it is what it is,  like it or not.

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Srry I didn't mean Echo, but I meant people trying to support this overall. Kinda tired and skimmed through alot

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Echo, stop being so blind. You sprout the same thing everytime. Bottom line is, our Government screws us over, and we bend over for them. (Less content, aka. Netflix and even XBL) yet we pay a crap load in taxes, so where the hell does that go? Limiting content cause it's not "Canadian"?. Like others have mentioned, Sony and Nintendo sell their products at the same cost as they do in the US. (Nintendo even announced that everything from now on that comes out will always be the same price in Canada as the US - like hardware etc.). I could go on, but you'll just say the same crap over and over. Bend over all you want, I'm guilty of it, but I'm not blindly doing so. I just bought the Gears of War 3 controller (I also bought the Silver one for $70 months ago) and I got MW3, GOW3, AC:R, and BF3 all pre-ordered on the 360 (opposed to AC:R/MW3/BF3 for my PS3). So I support MS a hell of a lot more then Nintendo and Sony, but MS still screws me over on something as simple as MS points. 2800 for $20 here, while it's 3200 for $20 in the US ($5 difference that we're missing out on, and when you add taxes and stuff, it's actually like $6 that we lose due to higher taxes here).

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[quote user="EchoGolfSierra"]

Ok lets see if I can answer all the questions as best as I can.  Shipping costs are significant since a vast majority of points are purchased in card format. Geographically Canada is the second largest country in the world.

~ Companies take advantage of a historic weak dollar because Canadians are use to paying more for everything from groceries and appliances too books and magazines etc.

~ Now there is also the added cost of a company like MS operating in Canada. Directly there are no hidden takes in MS points like their are in say gasoline prices. but companies still pay an increase cost do to the tax base. But that is the price you have to pay to live in a vastly superior country,

[/quote]

Echo has it right, as is Juxtapose's conclusion for the most part: it about the culture - it's us. Canadians seem used to paying more in comparison to our southern neighbours. For example, I remember someone posting a story on this forum regarding cars (and other products) and how the price for buying products in Canada is higher even though our dollars are now on par (and slightly better sometimes). The car salesman in the story said (straight up) he can sell them at a higher price to Canadians because Canadians are willing to pay more. That's all it is. They do it because they can.

Same thing with cell phones and internet usage. Companies like Bell can do whatever they want because they expect (often times correctly) that Canadian customers will foot the bill with little to no protest and they will (and already do) get away with it.

[quote user="Nirrti"]

It’s always nice to see a forum discussing why we pay more, and then we ultimately take responsibility for our role instead of just blaming MS.

If MS wanted to be a good company, hypothetically speaking of course, because, well, you know, then they could lower the price of online purchases. Though that would annoy shareholders and they may lose out on hundreds if not A COUPLE of hundreds of dollars. After all, there aren’t many of us.

Speaking of paying more Batman:AC 10$ more in Canada. I swear to (I'm an athiest, so no one) if someone says supply and demand or anything of that nature I will flip out. Call you MP! Actually they won't do anything, I ran in an election and out of 59 candidates, I was the only one who played Xbox.

[/quote]

It's a little bit of both actually. Yes, Microsoft could (and arguably should) be making sure that what we pay is equal to the what another country pays based on our currencies, but Canadians have to realize that they (and a most other companies) only do it because THEY CAN. It is economic, but not solely in terms of dollars. It's economics in terms of the price we're willing to pay - supply and demand as Echo stated above.

As you can see, we have our nice small gathering of a few Canadians who see that something is not right here in terms of financial fairness. However, we have to think about the rest of the Canadian Xbox Live population. How many of them care, or even pay attention to the situation going on. It's all about the masses, and that's where they get most of their money from.

Again, I don't think it's right and I'd prefer that this was not the case - however, I know there's very little that can be done. If anything, I remember Microsoft let American customers know last year that they will be paying the $59.99 this year that Canadians are already paying. They're going to make sure that they continue to make their money regardless, and would rather raise the price Americans pay than lower the price Canadians do.

That's why I'm not into the whole "fanboyism" of the company that some people are; they are clearly NOT my friends.

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Ok just to be clear to you Echo, I took the time to read your last post.. and the part of better online experience is utter BS. God knows how many times I go play CoD and the 'connection' is lost right as we're winning and all this other stuff. Plus I talk to modders and hackers cause some of them get me things on Borderlands to play around with :P And even they say Microsoft is easier to modify and hack than Wii or Playstation. So even with that breach in Playstation back in April I'd feel safe with them that I wouldn't be facing the inexperienced modders and hackers online when they can literally go into google and find out how to modify AND hack Microsoft games and consoles easily. When playing Playstation at my friends house I gotta say... there wasn't once we had a lost connection crap. It might've been just a good day but the makers of CoD promised to have self dedicated servers in Black Ops and it seems that playing with the X-Box with Microsoft that 'dedicated servers' is a waste of time.. Middle of match ~migrating host~.. 10 seconds later ~migrat... *kicks you out of the game entirely* you've been disconnected~ well no duh I've been disconnected, the online experience was not good.

If Microsoft dosn't clear up their act with this money bit and their online experience. In the future when I finally got a team together after college to make games, you can bet your @@@ the games will be only on Playstation and Wii unless Microsoft can make a GARUNTEE that they will serve our products at the same price in both countries and keep good servers up and running. If they can't do that, then we won't be in no business together very long...

See I might not have the full experience of the market yet, but I can tell just how these big companies seem to operate. And can garuntee you guys, if they won't bend the rules to a game maker's way for usage of his products then they won't be expecting any players of that game to be playing it on their system. (which to put it so the big guys can make sense of it all...)

Good games + available on your system = MONEY

Good games + only available on your competitors systems = NO money + loss of people who might only play that system to have access to the game. (which also ='s more money gone)

What I'm saying is, unless game companies take action not much will change because the customers want the games, not the system. If game companies DO take action its garunteed to make the console's owners make it run more fairly or however the game companies wish to. Because how many of you honestly buy the systems for the system its self? If it wasn't for the Halo franchise I'd have a PS3 right now instead because it even offers free online services. Which is.. pretty good. Even the Wii offers free online, all you need with them is a connection. I don't know whether they get a lot of money from other things or not, but maybe they understand that paying like 60$ a month or so for bloody internet is enough out of the customer's pockets to bother making them turn away with the prices.

If Microsoft grew some balls for the economy its a multi-billionaire company after all. They could spare people outside the U.S 10 $ a year, and things for online. Or grant better servers since their obviously oh so great (with a disconnect every 10 games or so... sometimes more on bad days). Hell maybe even check the online scoreboards for games and look for hackers and modders and take them off x-box live and give the scoreboards to people who actually are legit. I don't know what they can do, but there's a lot of things they could try and actually gain more willing customer's. But as long as Americans don't care for people around them and we keep taking it with no rejection (even if the rejection is just that they gotta fix some things they're doing wrong) then they're gonna keep giving us *** servers, extra cost on money, and no legit scoreboards to even bother trying to acheive top million or so (because usallly the top 500,000 or more are all hackers and modders... hell even the lowest on the scoreboard is taken up by hackers and mods...).

You can agree or disagree with all of what I just said if you can make sense of it. But its true. Microsoft is ripping people off bad. And unfortunally there's 'loyal' fans who try to say they offer the best online experience.. when they don't. Maybe to Americans but not to anywhere else. I'd love to see Microsoft change and bother trying to help out their own customer's but as mentioned above their best customer support reply is "moving the inquire to" whomeever... Or the one about the x-box live gold pass.. Now that's utter BS with no exception... the 2 day gold pass was designed to give people a chance to try x-box live and see if they'd like to buy it.. same with the first month free one for every new account..

~and a side notes for some inquires I got. When you turn 17 here in Canada, we can legally buy M rated games (half the 'M rated games' don't even count as T in my books...) so on x-box live can we download M rated demo's and such? Because I find now even with parent's permission or e-mail you cannot access M rated downloadable stuff on LIVE, which you used to be able to do. I'm sorry if it seems like a stupid question, but I'd like to try out some demo's and see if I'd bother buying the full game its self. But am greeted with the nice little cozy message of "this account does not have access to this content" That's like begging me to make up fake accounts just to play a demo. But unlike a lot of people I use my legit account. So will I be able to download M rated stuff at 17 or is Microsoft gonna be a pain in the @@@ another year longer?

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Ah nice to see something never change on these forums!  :)

~ Let me be clear so as not to confuse people. I promise you, if you drive up to any gas station  and buy 1 litre of gas and then walk up and grab a 1 litre bottle of water from the cooler you WILL pay more for the water then the GAS. This isn't anything new...this isn't rocket science. This has been discussed in the House of Commons for heaven sakes. No I am not referring to you going to the grocery store or Costco to buy a case of water. But then when have you ever bought a litre Gas at a grocery store. It was an example....water is NOT what we are discussing. Let us try to focus on the big picture folks....lol

~Now to Axcalibur Either you don't understand the term Business model or you don't understand how MS, Sony and Ninetendo operate. I understand you are frustrated, but that hardly makes you correct. As with most cases of frustration MS has obviously not met your expectations. So either your expectations are wrong or they have promised something they haven't delivered.

~MS has promised a premium pay per use service. It provides the best online service available in the market place and it sets it's products with various prices based on maintaining a certain profit margin across it's LOB. They provide that. They provide the best online experience in the marketplace. Even Sony admits that.

~Next fact. Canada is a huge country, The second largest in the entire world. There are added costs associated with doing business in a huge country with   a tiny player base. These are simple business facts, Simply because a different company doesnt  recoup those added costs doesn't mean they aren't real and actual.

~Lastly just because two or three or four companies sell similar or even identical products doesn't mean there business models are remotely the same. A business model isn`t about what you sell it is about how you market and sell it and how you realize profits. If you review MS and Sony`s profit reports you will come to understand they have vastly different business models.

Hope this clears things up for everyone...remember just because you want something a certain way doesn`t mean it should be that way. You get to vote with your Dollars and most seem to vote for the best online experience. If you feel ripped off take your business to a competitor, or better yet start your own company and see if you can run it how you want to :) What I hear frequently is people who want the best experience but don`t want to pay for it. They want the MS online experience with the Sony price point. That Can`t and won`t ever happen.

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Your getting ripped off for your water,in Alberta i can get a case of 12 for 3.99 which is way cheaper than gas.

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Nah, gotta disagree with you.  You make two points in this thread that seem to justify why Microsoft charges more for MS Points in Canada compared to the US:

1) Market Share - in terms of how many 360 users in Canada

2) Shipping - due to Canada's size.

Furthermore, you're rebuttal to my blurb was that Sony and Microsoft operate on entirely different business models.  While I'll agree that Sony and Microsoft (and Nintendo) each do things "their" way - I strongly believe that all 3 operate on very similar business models - they are all in the video game business - you can't deviate too much from competitors in the same business.  All 3 companies sell consoles, generating revenue of game sales (percentages of game sales), they all have online stores that generate income, and all their online stores require means of payment.  In Microsofts case, they have a point system, but ultimately, it's the same deal as paying with cash - just designed to be a little more complicated to confuse consumers.  Nintendo also has a points system, but far less complex (500 Nintendo Points translates to $5 - 500 MS Points translates to, like, $6 something or other).  Ultimately, they all operate very similarly because they're in the same business.  Good comparison would be to hotel chains - they all have their own perks and amenities, but they're in the same business looking to get a piece of the same pie.  

Obviously at this point, if we can't agree that they're on a similar business model (which is primarily due to the fact they're in the same business) - then any further points I make will be wasted text.  

With that said, both your points regarding Market share and shipping are invalid - simply because both Nintendo and Sony have the exact same obstacles, however they don't pass along the added costs to consumers.  

One further point to this - purchasing points on Xbox Live with a credit card (in Canada).  Shipping plays no role in this and I can't see how a smaller population would play a role in this either.  I suppose a good (albeit time consuming) test would be to compare points-dollar ratios in every region that has MS Points - then compare those numbers to the population of each region/country.  

I'm confident that the US would probably have the cheapest MS Points - but it'd be interesting to see how Canada compares to the UK or Japan - two smaller regions with larger populations (at least based on population per sq. KM)

lol - rant rant rant... And I could probably type more - I'm a tad bitter about this - like I said before, I complained, but got some runaround and it's very annoying.  It's not like I'm hard up on cash - but when I can buy the same game on PS3 for a couple dollars less, it gets pretty frustrating.  

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