Why does a US$12.99 magazine sell for AU$32.50 here in Australia?

Country Home Spring sells in the US for US$12.99. Magazine distributor Gordon and Gotch prices this title at AU$32.50. This does not make sense at all, especially when you consider the current exchange rate between the Australian dollar and the US dollar.  Even allowing for shipping cost, this title should be selling for around AU$15.00 here.

So, who is making the money?  Is this a magazine which Gotch purchases in bulk, by weight, and sets an Australian price to meet financial requirements in the company? We will never know because Gotch management is not transparent about this.

Why should Gotch be transparent with newsagents? Simple, because this title makes newsagents look expensive. Shoppers are not stupid. They can see the US price. Some will ask newsagents about the price difference, others will form an opinion and leave without sharing it.

If sales of the parent title, Country Home and Interiors, are not great this special edition could be a target for early returning. I’d look at this sales data and consider the risk of theft of which a high-priced title.

That said, maybe the best way for us to make our point would be for every newsagent to early return this title, today. I bet it would get their attention.

Gotch should have to get my permission to send me a title with a cover price above, say, $20.00. Since it is my money at risk they should ask first. They will say it is too hard. I’d respond with – nonsense!

But back to my point, why is this title priced do high? What gives Gotch?

Footnote: it seems that the conversion rate for the parent title is different to that used for this special issue.