A cheap read: it's about time!

Every Canadian knows that we are ripped off when it comes to the price of books and magazines. Obviously we have to pay more for U.S. products coming in to our country as the dollar is not as strong as the U.S. dollar; and then there are those pesky 'handling' charges. The books and magazines, however, were always priced higher than the exchange rate.

HOWEVER!

Strong buck, cheaper books
Consumers demand prices drop more to reflect robust exchange rate. Some are buying books in the states to avoid higher prices here.

17 May 2006 06.14 AM
ROSS MAROWITS
CANADIAN PRESS

MONTREAL— The surging Canadian dollar is prompting book publishers to slash the prices of their new offerings later this year in the wake of consumer complaints.
"Book prices are going down. I can say that for sure," said Kevin Hanson, president of Simon & Schuster Canada, one of the country's largest book publishers.
"As the Canadian dollar has appreciated against the U.S. dollar, you're seeing a dramatic effect on prices of books and I think that's a really good thing."
Retailers have been conveying angry complaints from customers who cringe when they examine the suggested list price and see a difference between U.S. and Canadian prices that far exceeds the exchange rate.

"The reaction from consumers has been a murmur of discontent and lately we're getting cries of discontent," said Paul McNally, president of the Canadian Booksellers Association.

The rise of the dollar to about 90 cents U.S. has been a psychological barrier that seems to have ignited public concern, said McNally, owner of McNally, Robinson Booksellers Ltd. in Winnipeg.
He recently wrote to book publishers asking them to reduce prices to between 20 and 25 per cent above American list prices.

Marcy Cardwell is among those angered by the price disparity.

"You're being penalised if you're Canadian," the internal auditor said in Montreal after purchasing a book.

"I'm happy the price will go down, but I think it should reflect the exchange rate."

Canadians are voracious readers, spending $2.8 billion annually on new and used books.
Consumer queries prompted Indigo Books & Music Inc. to post signs in its Indigo, Chapters and Coles stores informing customers that publishers, not retailers, establish listed prices based on manufacturing cycles of six to 12 months. Some books are contracted two to three years before they hit store shelves.

The industry must respond to consumer pressure or risk facing lower sales, he said. Sales decreased dramatically when hard-cover prices rose above $40.

The publishing industry has responded by reducing cover prices over the past two years by as much as 25 per cent, said Hanson, who is also vice-president of the Canadian Publishers' Council.
"It's not like the gas pump where you can just flick a switch generically and change the price of our goods in the store."

The price of new listings could be five to 10 per cent lower by year's end, says Silver, whose company also offers a 30 per cent discount on bestsellers and additional reductions for club members.

The price change can be seen in various formats of Dan Brown's bestselling The Da Vinci Code. The hardcover format released in 2003 sold for $24.95 (U.S.) and $37.95 (Canadian) for a 52 per cent disparity. The recently released paperback version is priced at $7.99 (U.S.) and $10.99 (Canadian) for a difference of nearly 38 per cent.

The price differential for David Suzuki's newly released autobiography is 16.7 per cent ($29.95 U.S., $34.95 Canadian).

Each publisher has its own pricing strategy, said Jacqueline Hushion, an executive director of the Canadian Publishers' Council.

5 to 10 per cent lower is not good enough.