Is the weak dollar killing your business ?

Discussion in 'General Business' started by widewebtalk, Nov 15, 2007.

  1. #1
    I am a webmaster is that is the correct term i have my hands in many pies i make money many ways on the interest not much but a bit and it is now less.

    The reason is i am from the UK and the weak dollar make my time very cheap.

    For example i own websites with adsense,

    Affiliate programs i promote,

    I sell marketing services,

    I sell my scripts,

    All of the above i get paid in $US Dollars and with the strong pound and weak dollar i am now not making much compared with a year ago.

    So what i want to know from you is have you experienced the same problems and did your sales suffer by not set prices by the Dollar and changing to Euro.

    I am considering changing all my sales thread to pricing in Euro.

    Interesting to see what you think.
     
    widewebtalk, Nov 15, 2007 IP
  2. longtimedead

    longtimedead Active Member

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    #2
    you could also say things are cheaper to buy ie web hosting, domains etc
     
    longtimedead, Nov 15, 2007 IP
  3. eddy2099

    eddy2099 Peon

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    #3
    Well, actually the dip does not really affect me too much. In fact I do see a marginal surge in sales as I believe that the non-US customers see that now it is cheaper to buy from me and takes the opportunity to buy. What I lose in exchange rates, I make up in volume.

    I did consider switching to Euro but decided against it as it may discourage more to buy from me.
     
    eddy2099, Nov 15, 2007 IP
  4. Mia

    Mia R.I.P. STEVE JOBS

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    #4
    We are having our best year ever in 10 + years of business... Go figure.
     
    Mia, Nov 15, 2007 IP
  5. InformationEmpire

    InformationEmpire Active Member

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    #5
    I remember when the dollar was only $1.45 to the pound! It was also pretty good a few years ago when I started getting big adsense cheques, and I hated seeing the value of those checks get smaller as the months went on and the dollar slowly crept up! Not much us Brits can do about it though.

    I would never charge in Euro's unless you know for a fact that the majority of your customers come from the EU. If the bulk of your business comes from the US, as mine always has, then you'll put off a LOT of buyers. People are lazy and don't like having to do conversions!

    It's great for buying stuff from Americans though. It's a shame my business doesn't spend more with them!

    Chris
     
    InformationEmpire, Nov 15, 2007 IP
  6. webgeekent

    webgeekent Peon

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    #6
    yes, I have had the same problme, most of my income is US$ but I live in the Eurozone so over the last 2 years I have taken a 25% pay cut.
     
    webgeekent, Nov 15, 2007 IP
  7. cool_78

    cool_78 Guest

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    #7
    It does affect me in revenue being lost due to forex, but I would not go as far to say it is killing me. For one thing, domain names are cheaper now :)
     
    cool_78, Nov 15, 2007 IP
  8. DonMecca

    DonMecca Peon

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    #8
    I'm from Canada, and the Canadian dollar is now much stronger then the American dollar. I actually find myself spending soo much more online then I ever have before. I would guess a lot of other people are doing the same with the preceived cost savings. So I'd look at it as a sale which will actually improve your revenue via higher sales volume. The flip side for me is I also earn my money in US dollars. But I have a US dollar Visa account and I simply try to avoid exchanging money into Canadian dollars whenever possible.
     
    DonMecca, Nov 15, 2007 IP
  9. h3@dsh0t

    h3@dsh0t Guest

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    #9
    Im From New Zealand and a year ago $1usd = $2nzd Now its $1usd = $1.60

    Making my life that much harder
     
    h3@dsh0t, Nov 15, 2007 IP
  10. pondlife

    pondlife Peon

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    #10
    I host in the US and get paid in USD and it seems OK until you convert your earnings into GBP :(
     
    pondlife, Nov 16, 2007 IP
  11. scart3r

    scart3r Notable Member

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    #11
    Since I usually do most of my trading in US$'s it only affects me when I go to withdraw the money to my bank account. It's annoying that it's not worth as much, but I wouldn't say it's killing my business ;)
     
    scart3r, Nov 16, 2007 IP
  12. thewindmaster

    thewindmaster The Man with the Plan

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    #12
    I am in the US and import a fair amount of goods for sale to US customers. The weak dollar is driving my prices up.
     
    thewindmaster, Nov 16, 2007 IP
  13. qwestcommunications

    qwestcommunications Notable Member

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    #13
    You got to take the rough with the smooth. When the dollar begins to improve the nn things will get better. However, it might take a couple of years though. Lets hope the dollar does not sink any further thorugh. if it remain at currnt levels, it won't be too bad.
     
    qwestcommunications, Nov 16, 2007 IP
  14. Dadony

    Dadony Peon

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    #14
    menu business change currency from $ to €
     
    Dadony, Nov 16, 2007 IP
  15. chriswick

    chriswick Peon

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    #15
    I add that to the price so I don't lose out. So my prices are always changeing on .00¢ so that I'm still hitting my profit margins as I should be.
     
    chriswick, Nov 16, 2007 IP
  16. widewebtalk

    widewebtalk Peon

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    #16
    Some interesting replies i agree there is a good side but also a bad side.

    I have recently for example took advantage of the low Dollar by purchasing allot of domain names and my hosting is now allot cheaper.

    So i guess it is a balance i agree if i was to price in Euro or GBP i would lose 30% of orders so there are good and bad effects of the low Dollar.

    The major affect for me is the Adsense and Affiliate checks once conversion is done.
     
    widewebtalk, Nov 16, 2007 IP
  17. camp185

    camp185 Well-Known Member

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    #17
    I was thinking on opposite terms that if you are an U.S. company that does a lot of exporting you are probably doing great.
     
    camp185, Nov 16, 2007 IP
  18. sweetfunny

    sweetfunny Banned

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    #18
    Yes same here, the AUS Dollar the other day was at it's strongest since 1984 at 0.9342US so it hurts a bit pulling it in to my bank accounts. However most of my money stays online, so it doesn't have a big impact.
     
    sweetfunny, Nov 16, 2007 IP
  19. zangief

    zangief Well-Known Member

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    #19
    It kills my motivation , I am also importing some goods and selling in usd but my expences are in local currency o my earnings drop day by day.
     
    zangief, Nov 16, 2007 IP
  20. Nosfer

    Nosfer Well-Known Member

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    #20
    if US $ would be stronger my earnings will definetely increase a lot. i'll be paid the same, but earn more in my currency. ;) i wish it could be as strong as Euro :) that will boost my income.
     
    Nosfer, Nov 16, 2007 IP