Sonos says it’s forced to raise prices while trying to win back customers

During this call, the financial director of Sonos Saori Casey said that the company expects that “pricing expenses will represent around 5 million dollars in the fourth quarter”. In the tax quarter of Sonos, he paid $ 3.5 million in prices, said Casey.

Sonos is always recovering from application problems

Since July 2024, when the CEO of Sonos, Patrick Spence, has admitted that a software update has inadvertently broke many Sonos devices, the company has tried to prove to customers and investors that its expensive audio devices deserve to be purchased.

During the call of winnings, Conrad said that he believed that the value of sound gadgets “consist over time, thanks to the types of software updates that offer new experiences”. But an update of the application largely burned last year damaged the reputation of Sonos in this area. The update has eliminated the application of certain basic features, such as the possibility of modifying the reading lists and the queues of songs, and many sound devices, especially the oldest, have ceased to function properly.

Meanwhile, Sonos has not released again from the ultra arc sound bar and the Sub 4 subwoofer in October 2024. In March, reports surfaced that Sonos has ax its streaming video player. Conrad told investors yesterday that Sonos had a liberation roadmap going beyond its 2026 exercise. However, all the devices in this roadmap will be challenged to sell customers on their software, their long-term reliability and their price.

Customers can reduce Sonos a little Mou, given the widespread impact that prices should have on electronic prices. In May, the Trump administration has ax minimis Exemption which has enabled deductible imports of goods rights worth $ 800 or less, which concerns electronics such as PC peripherals and DIY parts. Currently, the United States and China have interrupted prices while countries are looking to reach an agreement by August 12. At that time, goods imported from China could face prices that are up to 145%, which would have a significant impact on the prices of most electronics sold in the United States.

But Sonos already has trouble freeing and selling new products at high prices, so raising them even higher could harm the business.

“We lost the momentum in 2024. We are starting to recover it, and we will accelerate our rhythm from here,” said Conrad.