Effect of the euro on pricing
Thread poster: Daina Jauntirans
What effect do you think the euro will have on pricing of translations?
If you still charge in national currencies, are you going to just convert to euro or adjust your pricing in some way? (I hate the \"unevenness\" of charging something like EUR 1.13 - I know that\'s just one of those perfectionist quirks!)
I for one am looking forward to this in a way, because I deal with any combination of a mishmash of three currencies, source/target counts, and word/line rates, and I think dropping one currency will at least simplify things a little.
What do you all think and what will the consequences be for you?
| likely effects of the EURO || Dec 13, 2001 |
as you write, the idea was to remove the mishmash headache for enterprises and consumers.
1. One effect may be after April 1 a price increase, (there was one this year not to be explained by external factors as an increase in production factors). Always when changing currency there is a \"price gliding \" prices are redefined in the new currency units in such a way that instead of uneven prices, rounding up by increasing the price to the client is preferred to \"rounding down\"
2. On the other hand, the market is 360,000 consumers and many enterprises, local or not competing for them, therefore it is expected generally that competition will hold the trend mentioned in (1) down. One of the main intentions was to provide a platform for transparent prices so
3. Now you can compare prices between al EU countries adhering to the new currency. Compare what internet hosying services cost from a German provider, a French provider, anItalian provider, Compare what translation services cost from a ...etc
4. If you\'re based OUTSIDE the EURO zone and your costs for translations/living expenses are NOT paid in EURO, watch the EURO exchange rate to your currency. There\'s always a risk of fluctuations impacting on your revenue, i.e. if your client pays you in EURO and the EURO versus your currency goes down, so will your revenue when converted into the currency you need to pay your bills.
5. There are solutions for that, talk to your bank.
6. You can reconsider your rates and see if there is some \"psychlogical\" rate adaptation to do or you can consider to round up/down the final billing amount to the client. If you don\'t like to invoice 1.13 you don\'t need to, ony WITHIN the EURO zone, companies registered there are bound to convert prices using the mandatory formula ,different for each member country, since linked to a) the rate of the EURO versus this local currency soon to be ex-currency and b) the conversion rules defined by the Commission (how many decimals rounding up etc). Rules under b) are universal within the EU.
| || || |
| I am going to explain (already have explained) quite clearly to my clients... || Dec 13, 2001 |
... that this year, just like every other year, my basic rate will be increasing. The arrival of the euro will make no difference at all!
Werner George Patels, M.A., C.Tran.(ATIO)
Local time: 17:15
German to English
| I don't expect too many problems || Dec 13, 2001 |
Most of us (on our websites, etc.) have had price lists in various currencies, including EURO. So, just continue quoting your EURO rates.
If you have not set a EURO rate for yourself yet, hurry up!
(By the way: you should have \"standard\" rates in all major currencies at your fingertips anyway).
| And, to take up Werner's points ... || Dec 13, 2001 |
... my rates are available in a range of currencies as it is, reflecting where my main clients are : French francs, Swiss francs, English pound and USD. I have been quoting the euro rate (and been paid) in euros by over 50% of my clients for a number of months now. Don\'t worry about it!
[ This Message was edited by: on 2001-12-13 20:56 ]
| | xxxLia Fail
Local time: 23:15
Spanish to English
| quote per 1000 words || Dec 15, 2001 |
For me going from pesetas to euros is like going back to pounds in terms of magnitude. In Ireland and the UK they tend to quote pounds per 1000 words, hence it seems logical to me to quote euro per 1000 words rather than euro and centimes per 1 word.
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Effect of the euro on pricing
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