Drones - Important information for Canadians

If you live in Canada and are thinking about buying a Phantom, pay attention.  I recently bought two Phantoms and here is what I learned (the hard way) . . .

Lesson #1 - You can save $300 or more if you buy directly from DJI.

If you have a relationship with an authorized Canadian dealer in the city where you live, you can decide for yourself if you want to pay hundreds of dollars extra for that convenience.  But if you are buying on the internet anyway, you can save a lot of money -- enough for a free backpack and extra battery -- by dealing directly with DJI.

The reason for the difference is taxes and exchange rates.  I will use the Phantom 3 Pro as an example . . .

ThePhantom 3 Pro at DJI cost $1259 USD, with all taxes and duty included.  At today's exchange rate, that's $1,554 Canadian.  The same model retails in Canada for $1,637, PLUS TAXES.  So if you live in Alberta, where taxes are only 5%, the total price would be $1,719 and you would save $165 if you buy direct from DJI.  But if you live in Nova Scotia, where taxes are 15%, the total price would be $1,883 and you would save $329 if you buy direct from DJI.  I live in BC and saved about $300 on my DJI order.  That was almost enough for a free backpack and a spare battery.

Lesson #2 - If you use PayPal, converting currency through PayPal instead of your credit card can save you $75 or more.

If you order with PayPal, you have a choice of converting currency with PayPal or converting with the credit card company.  There are advantages to converting with PayPal, because if you cancel the order the full amount is refunded to your linked credit card.  However, if you choose to let the credit card company convert, and then need to cancel or return, you will get dinged twice for the conversion.  Basically, they charge 3% commission each way.  So, with the credit card conversion spread, a $100 transaction will cost you $103, but if you ask for a refund or cancellation, you only get $97 back.  That 6% on USD $1259 adds up to USD $75.00!  You can avoid this double transaction cost by using PayPal and choosing to pay in Canadian dollars.  I learned this the hard way when I cancelled my UV Filter . . . see this thread for why: http://forum.dji.com/thread-18021-1-1.html

UPDATE . . . September 1, 2015 . . .

Since this post the Canadian dollar has nose-dived and DJI has introduced new products.  Depending on the product and province of residence, Canadians can now save up to $439 by purchasing directly from DJI.  Here are some examples . . .

P3 Standard                    DJI: $799USD = $1052CDN            Price in Canada w taxes = $1177               DJI savings = $125

P3 Advanced                     DJI: $999USD = $1314CDN            Price in Canada w taxes = $1511               DJI savings = $197

P3 Professional                   DJI: $1259USD = $1657CDN          Price in Canada w taxes = $1905               DJI savings = $248

P3 Standard Combo             DJI: $1059USD = $1393CDN         Price in Canada w taxes = $1623                DJI savings = $230

P3 Advanced Combo            DJI: $1678USD = $2208CDN          Price in Canada w taxes = $2519                DJI savings = $311

P3 Professional Combo         DJI: $1938USD = $2550CDN          Price in Canada w taxes = $2911                DJI savings = $361

These calculations assume a 12% tax rate in BC.  In Alberta and the Territories your tax rate is lower, but in many other provinces the tax rate is higher than BC and your savings will be more substantial (e.g. save up to $439 in Nova Scotia and Quebec).

As stated in my original post, it is not my intention to discourage anyone from purchasing from a local dealer, if you are lucky enough to have access to one.  But if you are buying online anyway, the savings from DJI can be substantial, because the taxes and duties are included in the price.  This is confirmed by DJI at https://store.dji.com/help/shipping/faq (see the answer to question #5).