- Sonos have a plan to fight customs rates: raise prices
- It advertised this in its recent Q3 earnings presentation
- The price increase comes into force “later in the year”
If you have an eye on a Sonos speaker and live in the United States, you may be shopping before rather than later – as price increases are in -depth.
This does not seem to be a complete repetition of the company’s 2021 hiking trips that saw Sonos Tech go up in price for apparently no reason. Instead, the sound giant with more space says that these higher costs come as a direct result of the duty that makes it more expensive to import from the countries where Sonos operates its production operations.
The news comes via Sonos’ latest quarterly earnings presentation. Q3 PDF includes a page dedicated to a “overview of Sonos Teaching Exposure” explaining that it changed most of its manufacture from China to either Vietnam and Malaysia-with only certain accessories such as speaker stands and some of its sonance-co-branded speakers still made in China.
Although this means that most of Sonos’ products will avoid the 30% tariffs imposed on Chinese -made items, models made in Vietnam and Malaysia will still have 20% and 19% duties (based on rates from the time of writing on August 7).
Alongside these award adjustment plans, Sonos adds that it has some “manufacturing flexibility”, but it only describes moving production between its Vietnam and Malaysian operations rather than switching production to the United States to avoid import taxes.
So unless customs plans change – either through Trump -backing, a trade agreement with these nations or another state action – Sonos’ tech will rise in price. As we will expect the cost of Sonos and Sonance-Branded Accessories.
Exactly how much of a cost that increases the actual speakers will see, has not yet been announced, and we do not yet know exactly when the price increase is coming either – with the company that might be waiting to see if the situation is changing before making its final decision.
Sonos also says that it is currently evaluating what, if any, changes it to do to its promotional strategies – maybe suggest the discounts we will see in the upcoming sale (like Black Friday) can also be fine -tuned, as they could be less significant than we currently hope.
For now, we wonder what Sonos’ exact actions will be; All we know for sure is that some kind of price increase is coming to the US “later in the year”, so if you’ve been waiting to buy some of the best Sonos Soundbars and Speakers, you might stop waiting.
