Yeah, I’ve decided to leave my 9 to 5 job to start living off of my passion 5 years ago and I’ve been a good notch under the poverty line ever since.
It’s a personal choice and there is nobody to blame for how poor I am.
I’ve dreamed of a ready to drink meal, even a meal-in-a-pill, ever since I’ve been a teenager. (I’m 36).
When I saw the Soylent kickstarter, I’ve immediately back it up.
And then followed by the wait, and the multiple delays.
And that was all fine.
Then, the Canadian release.
Most.Anticipated Delivery. Ever.
No price difference for us? I’m very OK with that.
You don’t charge for delivery? I love you Soylent.
And I’ve spread the love a lot ever since.
I’ve converted many of my friends and keep doing so all the time.
A slight increase in price to balance out the inflation and such, sure, a few cents per bottle makes sense.
Pricier new flavors, sure, a bit more expensive than it makes sense for me, but I don’t know the cost of production for such a change, so maybe it makes sense.
But, a much bigger jump in price like that, it doesn’t make sense.
The price was fine since it’s launch, how can you justify that change?
And without any prior notice.
Just an email saying "price hike effective immediately"
No time to tell our friends who are unsure to get a subscription before it changes.
So yeah, that commercial shift is far from the kickstarter moto "Cheaper product when we mass produce"
Talking about 2.0 here, not the powder of course.
Yes, I’m salty about this even if I keep my subscription at the normal price.
Also, I’ve received messages from 2 different friends about this change as one purchased after the price hike and the other wanted to reactive his cocoa flavored subscription after ordering one pack to try it out.
Is the change in price an actual increase in the cost of Soylent or a change in the exchange rate between CAD and USD? If it’s the latter then there isn’t much RF can do about it and it’s not their fault.
The change in price is an actual increase. As per this graph of the exchange rate, in the past year the exchange rate of 1 CAD to USD has varied between approximately 0.737 (~December 2016) and 0.798 (~May 2016), and now sits at 0.758.
Had this change in price occurred around December, it would be more understandable (though the completely varied increase from product-to-product - with the more popular products experiencing more of an increase - would still bring it into question), but the exchange rate has bounced back to a better level since then. Incidentally, for a 32.35% increase in price to be justified by currency fluctuation alone, the exchange rate would have to be 0.540 USD to 1 CAD.
But even if that were the case, Canadian customers have to pay in USD anyway, so it still wouldn’t matter - this is just an increase in the cost of Soylent for them, no exchange rate effect whatsoever.
Something doesn’t sound right. Why would RF increase the price of their product in Canada and not the US unless there were outside forces making them do it. It doesn’t make sense. @Conor can you shed some light on this?
My suspicion is that their Canadian warehouse has started charging them more.
Cost of general operations. Shipping and not producing in Canada really add up in logistical costs. As we grow we hope to be able to bring costs down, but our growth right now is US focused.
A full year and a half of shipping to Canada at the same price as US.
Then, a price increase of a few cents per bottles for both Canadian and US customers, understandable.
Now, this huge price hike of 32% for new Canadian subscribers.
Did they willingly opened the Canadian market at a price where they were loosing money for a full year and a half? I doubt it.
So, this means it’s an increase in profit since, usually, a bigger market equals to a bigger production and in the long run means cheaper to produce, hence better profit for the same sold price.
I repeat, Thirty.Two.Percent price increase, it’s incredibly intense.
Name one product that anyone would find it makes sense to have a 32% increase like that.
It can’t be justified solely based on logistical costs and producing and shipping after a full year and a half doing so.
It could make sense if they have a certain profit margin in mind. To hit that profit margin when selling to Canada they may have needed to increase costs 32%. This is all speculation of course, I have no data.
Yeah, and getting us used to a set price from the get go, then making this very high unjustified (to my perspective) increase is the way to keep your customers happy?
Again, I’m not directly affected by that change since I have been given the option to keep the original one as long as I don’t cancel my subscription, and I’m very thankful for that.
But now, when I talk about it to others, I look like a fool for trying to convince them to have a $4.68 CAD bottled meal.
Hahaha just writing it down makes me laugh.
It’s a big increase. I’m grateful to RF for grandfathering existing subscriptions. New subscribers will obviously have to decide for themselves whether it’s worth it.
Would I continue to buy without the grandfathering? I think so. I wouldn’t be happy about it, but practically speaking, that’s noise compared to everything else I’m paying for to live in Vancouver.
It’s also replacing food so I’m saving some money there.
Yeah, and then when your friends ask how much it is per bottle, you say it’s $4.62 CAD.
And they look at you with surprise.
And then you say: “No, no, I pay $3.50 CAD per bottle, only new subscription would be such a high price.”
And all of this makes sense?
Sorry, it just sounds so foolish.
It’s already a challenge to convince people it’s better then what I use to do.
Now, it’s even a bigger challenge to convert them at that price.
Or costs have recently increased.
Still no answer.
I guess it’s just the typical random “hey let’s increase the price for Canadians because we can” choice that most other retailers pull up here.
We can’t buy yet, but soylent said they’re setting something up. If it ended up being considerable cheaper and in CAD, that would be really excellent.
I mean, it would make sense, but why didn’t they put the profit margins that high when they started? Why wait until now? The dollar has been relatively stable for the past year and a half, it wasn’t a change in exchange. I don’t think the US gov’t has put in new tariffs yet.
Could be a number of things. Freight surcharges go up annually. The manufacturers/producers/warehouse costs from the company(s) Rosa Foods uses to make and distribute Soylent could have gone up. Ingredient prices could have gone up. Maybe the profit margin from the US was already higher than Canada, so they adjusted the price. Maybe their offloading costs into Canada to avoid price rising in the states.
A lot of your points are right on the money. We don’t produce in Canada so costs that we don’t incur in the US we start to incur in Canada.
I’ve never had such negative experience working with a new company as I have had with Soylent. It’s as-if all the choices they make effect me negatively.
Product out of stock for months on end, contracting some sort of stomach virus, and now a price hike of 30%.
If HolFoods weren’t a bunch of morons they could actually compete with Soylent. Unfortunately this is not the case. Soylent has no competition in Canada, it’s only a matter of time before a compentent group of individuals take over this market with conviction.