The business of translation
- The business of translation
Over the last 2 years, the dollar has lost more than 18% of its value against the euro (sinking from $1.20 to 1.42 per euro). This foreign exchange (forex) reality means that the cost of translations into Western European languages paid by American companies has gone up by the same rate. Conversely, translations into English done by American translators for European LSPs have become cheaper.
We are in the midst of updating our research on translation pricing. Our surveys thus far have shown that LSPs have not yet transferred these increased forex costs to translation buyers, choosing instead to reduce margins or to renegotiate rates with suppliers so as not to lose business to their competitors. But LSPs tell us that they are feeling the squeeze. When the euro reaches $1.45 or $1.50, the market will adjust. U.S. translation buyers will see their invoices rise by $0.02 or $0.03 per word — that’s 10% or more of the average list price for translations.
Read more: Common Sense