PayPal Romania study: Products sold online, up to 70% cheaper in US than in Romania

The price difference for identical products in Western Europe, Central Europe, Romania and the US could reach up to 70 percent, found a recent study by international online payment processing company PayPal. The company has recently launched a version in Romanian, allowing buyers in Romania to pay online for goods and services from other countries. The analysis shows that products sold abroad are cheaper than in Romania. An iPhone 4 costs the equivalent of RON 1,500 in the US (some EUR 364), while in Romania it costs RON 2,800 (some EUR 681). In the UK, the same product costs RON 2,000 (some EUR 486). Prices in Europe are less competitive, mainly due to the drop in rate for the US dollar, while experts say the US dollar depreciation is a permanent tendency. “The US dollar had a significant depreciation in the last six months compared to Central and Eastern European currencies, including the Romanian leu – 10 percent from the beginning of the year. […] This has influenced shopping abroad, while buying products online from abroad turned out to be more profitable than before,” said Alexandru Ioan, Sales&Trading KBC Securities Romania The PayPal comparison covers other European countries besides Romania. “We tried to make the report as objective as possible, comparing prices in 50 online stores in US, Poland, the Czech Republic, Romania, Hungary, Greece, Poland and UK, said Przemek Plut, PayPal manager for the Central and Eastern Europe and for Romania. Goods sold online in the US are cheaper than the same ones sold online in Romania, even if the delivery and custom taxes from US to Romania are added, according to PayPal. An Apple iPad costs RON 2,000 in Romania, double compared to the US. Prices for brand clothing follow a similar pattern. Check PayPal in Romanian here. editor@romania-insider.com (Photo source: Sxc.hu)