Sony To Raise Prices

Sony is to raise prices of its electrical goods in the UK by up to a third to offset the tumbling value of sterling.

Over the next few months the Japanese company will charge retailers more for a number of its products.

However, industry experts have predicted that the price increase will not be passed on to customers because shopkeepers are desperate to encourage spending.

Sony announced the move just days after the pound fell to its lowest level against the euro, meaning the company was making less money from British sales.

A spokesman said: "Sony UK can confirm that in the past 48 hours it has communicated to its trade channel that due to adverse changes in the Yen/Euro & Euro/Pound exchange rate over the last six months, and with this uncertainty set to continue into 2009, Sony will increase the trade price of a number of products over the coming months.

"The precise level of price increases has not yet been agreed, but it is likely that the vast majority of products affected will see increases of significantly less than 33 per cent.

"As these testing trading conditions continue, Sony does not believe that it will be alone in taking this form of action."

The spokesman added that Sony had no control over whether or not it would translate into higher prices for shoppers.

Krishan Rama, a spokesman for the British Retail Consortium, said: "I would be surprised if the price rises were passed on to customers because retailers recognise customers are under great pressure. I can only imagine that margins will be squeezed even more as they try to tempt customers to come in to shop.

"They will probably also try to increase efficiency to save costs elsewhere."

Last month Sony, whose products include Bravia flat televisions, Cyber-shot digital cameras and PlayStation game machines, reported a 72 per cent fall in profits for the second quarter of 2008.

Slowing camera sales and the strength of the Yen were among the factors blamed.

www.telegraph.co.uk

Good thing we've just bought our new Sony TV the other day then. To be fair it was very cheap (Sony 32" v4000 with Sony surround sound and Upscaling DVD player - £360) so it's no surprise they need to put them up.

Bloody hell Dante, how much news do you post.

Bloody hell Dante, how much news do you post.

Dante

Resident Newsposter

Total Posts: 11,541 (9.92 posts per day)

about 10 news posts today.

Dante

Resident Newsposter

Total Posts: 11,541 (9.92 posts per day)

 

about 10 news posts today.

You could be like one of those android characters who, upon hearing a trigger word, reads out an encyclopedia entry on the subject. :p

You could be like one of those android characters who, upon hearing a trigger word, reads out an encyclopedia entry on the subject. :p

Yeah I feel like it also have odd photographic memory system.

You could be like one of those android characters who, upon hearing a trigger word, reads out an encyclopedia entry on the subject. :p

ohmygooood hes a bot

*Ahem.*

I bought a lovely sony TV not so long ago. Glad I did, before the prices went up! =)

This is gonna cause problems. Retailers are already having to cut margins right down to entice people to buy stuff, they can't go much lower. If other manufacturers follow suit then we can say bye bye to rather a lot of companies (Dixons Groups for a start, probably Comet too).

This is gonna cause problems. Retailers are already having to cut margins right down to entice people to buy stuff, they can't go much lower. If other manufacturers follow suit then we can say bye bye to rather a lot of companies (Dixons Groups for a start, probably Comet too).

Good riddance tbh

They aren't the best of companies, but big groups going bust like this is really bad for our economy. That, and if they do go bust then Best Buy will have a monopoly on the high street within 5 years (they're moving over here next year).