Prices - with or without VAT?

A recent discussion got me to thinking about how to display prices on product pages.

My thinking is that it is better to include the VAT on prices on the product page for retail customers as it feels more honest and upfront, so that is the way I have set up things on the Street Wing website.

The potential problem with this is that if other sites are only adding the VAT at checkout it makes the prices seem higher than they really are when customers are comparing prices unless they get as far as the checkout page on all of the sites they are looking at.

But I would really welcome your thoughts on this.

  • Product page should include prices WITHOUT VAT
  • Product page should include prices INCLUDING VAT

0 voters

there are ways of having both if your users can have accounts. Needed to be supported by the website of course

I always liked the 3Dservisas approach to it image

10 Likes

that is pretty cool! it’s all very clear and upfront

6 Likes

I think there is legislation to have vat inc prices where appropriate ie business to person scenario, of course you are welcome to make a clearly indicated vat ex price, like most uk sites

4 Likes

I don’t understand why this is still a thing?? Since the customer is going to pay the VAT either way it only makes sense to include it in the price from the beginning. I’m actually more likely to cancel an order if I see a “surprise” VAT charge tacked on at the last minute. Just tell me what total is from the outset, and I’ll decide if I want to spend that much. C’mon USA, this is just ridiculous.

2 Likes

that is the way I think and “best guess” as to what customers may think. Of course not everyone is doing it that way and Street Wing is being accused of “HIGH margins” when the final price is actually cheaper than other sites in the EU.

And now I have found potential a new bug with the site where it’s displaying the +VAT figure for non-EU customers on the product page.

Can any non EU people please confirm the price is £124 (as it should be ex-vat_ for them on the product page: https://street-wing.com/product/enertion-focbox-vesc-x/

I tried using a proxy but am not sure it’s working as expected

Yes, it’s £124 for me

Yep its 124 pounds.

image

124 pound

@BoostedBuilder @AlanZhou @anon64938381 thanks for checking, looks like the geo location script is working :slight_smile:

2 Likes

I must say I found it very “annoying” to look at the price. I did not really know why. Until I looked at a site mentioning VAT inc and ex VAT in between (). -> looks normal and professional. I would really hesitate to buy from a site not mentioning the 2. (my personal 2cents, ah yes, I live in europe, maybe more comon)

1 Like

thanks for all the feedback everyone.

this is what I’ve implemented: image

5 Likes

Looks good. Maybe highlight the price relative to if the country theyre loading the webpage from to reflect the price they would pay?

I dont know how this works, the above people made it seem like both prices need to be reflected, but making the correct one catch the users eye might be an worthy addition

2 Likes

the site uses geolocation for users, the big price will include VAT for EU users and will be exclusive of VAT for those outside the EU

1 Like

I suppose it works, but for someone in the USA who doesnt know how you want it to work, I think they might assume that the price is still with vat, and push them to contact you… extending the process and taking away from the function of the feature

image

david%20ver%201

david%20ver%202 this is what i mean

or even this

david%20ver%203 obviously with the euro symbol… im lazy.

2 Likes

I hate when companies list prices without vat. or first show without vat and then with.

There’s no such legislation no - so long as the VAT is declared separately on the invoice that’s all that is required.

Actually there is:

http://www.legislation.gov.uk/uksi/2008/1277/regulation/5/made

Check 5(4)g

1 Like

http://www.legislation.gov.uk/uksi/2004/102/contents/made

Edit. Same