SonicWall justifies jump in product prices

Five-per-cent price hike kicks in tomorrow but partners appear unfazed

Price hike: SonicWall is jacking up prices tomorrow, citing rising development and product supply costs

Security appliance vendor SonicWall has defended its decision to ramp up prices across its product range.

The vendor’s partners have been informed about its plans to increase its product prices by five per cent from 1 October via a company newsletter.

Andy Zollo, regional director for Northern Europe at SonicWall, said the rise was necessary to support the firm’s research and development activities.

“Prices are going up across EMEA in line with the escalation in costs associated with development and product supply,” he explained.

“It is not a decision that has been taken lightly and we have held off for as long as possible on introducing it.” The price rise also reflects the company’s continued investment in maintaining support for its legacy products. Zollo added: “We provide support on our products for far longer than any of our competitors.”

The newsletter urged partners to close any outstanding deals before the price rises came into effect. Despite this, Zollo said the impact will be minimal.

“In real terms, the exchange rate will work in partners’ favour, so the five per cent mark-up will end up being less than that,” he said.

Vincent Booth, director of SonicWall VAR Solved IT, said the price rise was hardly surprising.

“It was to be expected, given that there has not been one for quite some time,” he said. “In any event, the vendor increase, combined with the exchange rate, means prices will be closer to two to three per cent higher.”