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Canadians shop online as fake Americans

Last Updated: Friday, October 2, 2009 | 1:01 PM ET

The Kindle 2 electronic reader is still not available in Canada.The Kindle 2 electronic reader is still not available in Canada. Associated Press

Posing as an American is a ruse used increasingly by Canadian consumers shopping online for products and services not currently available in Canada.

"I think it's pretty ridiculous. It shouldn't be necessary," said Paul Andersen, a computer consultant who lives in Vancouver. "I'm buying a product that should be for sale [in Canada]."

Andersen has set up a U.S. iTunes account so he can get content not available in Canada and has a U.S. iPhone account as well. Every so often, he drives across the border to buy iTunes gift cards to reload his U.S. account, since it won't accept Canadian credit cards.

"It's a bit of a pain," he said.

Sean Hawley, who lives in Ottawa, jumps through similar hoops to read electronic books on his iPod Touch. He set up a U.S. iTunes account and a U.S. account with Amazon.com, complete with an American address, in order to get a Kindle application working.

The usage is still limited, because Hawley would need a U.S. credit card to buy many Amazon titles, but he has enjoyed some of the books Amazon offers for free.

Hawley would prefer to have the physical Kindle, which has been available in the U.S. for more than two years. It allows users to download books, newspapers and other material anywhere they go. But it is not sold in Canada and Amazon.com won't ship it here.

"I don't understand why. There's no reason why something that's available in the U.S. is not available here," said Hawley, who has started an online petition calling for the Kindle to be brought to Canada.

Facilitating this secret cross-border trade are small firms situated along the 49th parallel. In the North Dakota town of Neche, less than two kilometres south of the Manitoba border, Menke's Parcel Service will hold packages of goods going north for as little as $2. It helps Canadian consumers avoid high international shipping costs.

"In the last five years, it's amazing how much [business] has increased," said owner Snookie Menke. Canadians use the store for many everyday items such as car parts and appliances as well as U.S.-only tech toys, Menke said.

Pembina Parcel Services, another N.D. company practically on the border, has a website that asks Canadians to "make us your U.S. shipping address."

Sean Hawley is hopeful that licensing and other agreements will be worked out soon in order to bring the Kindle and other devices to Canada. But he is worried that Canada will always be a step or two behind countries with larger populations, forcing Canucks to continue to go undercover as Americans.

"Big electronics companies will have stuff released in the U.S. and the U.K. and the bigger markets before it comes to Canada," he said. "It makes me feel like we're always behind."

With files from The Canadian Press
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