The New Zealand Dollar to United States Dollar is at or near it’s all time high. Today US$100 is equivalent to NZ$124. Seven or eight years ago, it was US$100 to NZ$220. Today’s situation is great if you’re buying stuff from the US (books from Amazon.com, for example), but terrible if you’re earning US currency.
Anyway, I can’t figure out why products are becoming more expensive in New Zealand – such as the Apple iPhone 4. But as the exercise below has shown me (again), you have to look at the overall cost.
In the US, with AT&T, the Black iPhone 4 with 16GB is US$199 for a new customer. That’s NZ$247.
After (attempting to) equalize the COMPONENTS of the monthly rate plans (although NOT the pricing) – in NZ, with Vodafone, the same phone is NZ$699, or US$563, or 2.7x as much. That difference, however, disappears when looking at the overall cost.
Rate Plans –
1. AT&T – NZ$80.68 per month
– 450 voice minutes
– 200 MB of data traffic
– 1000 text messages
2. Vodafone – Smart2 for iPhone, at NZ$61.30 per month
– 120 voice minutes
– 250 MB of data traffic
– 600 bundled text messages
So – over two years (24 months) – the cost difference is actually negligible:
– AT&T customer – NZ$2135.32
– Vodafone – NZ$2170.20
I’m still not buying one though.