Here's the deal regarding international orders. I did say, multiple times, that we would honor the pre-order pricing for our international customers. The problem with this is, we are now leveraging international distributors so that people can purchase Clouds without having to deal with customs.
We have a strict policy that our distributors cannot sell Clouds below the MSRP and we are bound by that agreement as well. The best thing we could think of was to give the international pre-orders store credit in the amount of the discount they would have received. While it is not a perfect solution, it was our way of making lemonade out of lemons.
Statistically speaking, each existing Cloud owner owns 2.75 HydraTubes. With the store credit, you can almost get another HydraTube for free. Like I said, if we could bend the rules here, we would but we are now in a situation where we have to follow the rules that we've implemented with our distributors as we do not want to get into a similar situation as Arizer found themselves a couple of years back.
We have a strict policy that our distributors cannot sell Clouds below the MSRP and we are bound by that agreement as well. The best thing we could think of was to give the international pre-orders store credit in the amount of the discount they would have received. While it is not a perfect solution, it was our way of making lemonade out of lemons.
Statistically speaking, each existing Cloud owner owns 2.75 HydraTubes. With the store credit, you can almost get another HydraTube for free. Like I said, if we could bend the rules here, we would but we are now in a situation where we have to follow the rules that we've implemented with our distributors as we do not want to get into a similar situation as Arizer found themselves a couple of years back.