Managing with the crappy exchange rate
One of the major problems with Brexit is the far lower margins we are achieving. 4-5% lower margin.
How are people coping?
Hold prices or raise?
0 replies
Seller_wqciCXuQbNS4p
Dollar rate has been extensively poor for a few years now.
In the beginning we were holding prices to retain competitiveness but the margins were unstustainable. We’ve subsequently put prices up and although units sold have fallen, net profits are up.
Basically we’re selling less units for a similar cash value, but are benefitting from not paying as much in FBA fees. (Less fees going out the door. )
No point in being a busy fool, a business has to be sustainable. May hurt short term, but at least you’re not building on shifting sands.
Seller_YSVJTvJFHSin4
Our KDP sales are mainly in dollars from US sales so this is quite good for us, as it turns out. Otherwise it’s a total bummer.
