"We baked the VAT onto shipping": Asmongold asks viewers for help with Starforge Systems PC shipping charges to Europe

Asmongold talks about Starforge Systems shipping charges and VAT to European customers (Image via Starforge Systems/Twitter)
Asmongold talks about Starforge Systems shipping charges and VAT to European customers (Image via Starforge Systems/Twitter)

Zack "Asmongold" might be one of the most popular Twitch streamers in the US for his MMO content, but as one of the co-founders of OTK, he also has business interests, such as the pre-built PC company Starforge Systems. The creator, along with fellow One True King co-founders, has been quite frank about his involvement with the company, having talked about and addressed the criticism of its business practices on stream in the past.

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During a recent livestream in which he played Black Desert Online on his secondary channel, Zack asked his viewers for help pricing their prebuilt PCs in Europe. He specifically asked about VAT (Value Added Tax), saying he wanted to address concerns raised by customers about shipping prices:

"I need some help. So, a lot of people are frustrated with the prices of shipping. Because we baked the VAT, the Valued Added Tax, onto the shipping. Um, we are trying to figure out the best way to do it."
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Asmongold then laid down the question, which was basically whether Europeans want the VAT to be included in the invoice during checkout or as part of shipping costs:

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"So like, whenever you buy something online in the EU, do you expect to have that price in the checkout? Or do you expect to pay that at customs? Because I've received two different answers."
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As it turned out, fans were quite willing to help and gave him a lot of insight into VAT and customs practices in the EU and the Schengen Area.


"Thank you, we will implement it": Asmongold clarified VAT practices in Europe from his Twitch audience

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A number of streamer-related brands and esports teams have been popping up recently, and Starforge Systems is a collaboration between streamer Moistcr1TiKaL and content group OTK to provide branded pre-built PCs. As one of the co-founders of the group, Asmongold has a vested interest in the company.

Apparently, their EU pricing has been criticized by customers for exorbitant shipping charges because the American company had been including VAT in it. This is why the streamer's main question was where European customers pay for the VAT:

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"Just so you understand. So you pay at checkout. So you don't pay it [at customs]."
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Reading a reply about the topic from the chat, Asmongold asked for further clarification:

"'Customs is old school as f*ck.' Why would you do it at customs? Does anybody do it at customs, and if so, what country are you from?"

When many pointed out the existence of the Schengen Area comprising the majority of Western European countries with no border control, the streamer repeated his question:

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"Why did some of you say customs?"

He also pointed out that this was a serious topic for him because it impacts Starforge Systems, which he is associated with, saying:

"No, this is a serious thing. It's actually about selling PCs so no bullsh*t. So, why I actually want to know."
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Timestamp 5:17:25

Fans reiterated that there are no customs checkpoints between most countries in Europe. Reading some of the chat messages, Asmongold started explaining how the Starforge Systems billing would hypothetically work if VAT was added to the invoice by drawing a schematic on MS Paint:

"'We use the VAT at checkout.' Um so, it would be like this, right? Under checkout, PC costs $2000. Shipping costs $50. And then VAT, say, $150. Total says $2200, right?"
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After that, he asked his viewers from the EU if it was similar to what an invoice there looks like:

"Okay, so if you are an European customer, this is what you're used to? This is what you appreciate? This is what best serves your interest, is that correct?"

With a majority of the audience spamming yes in chat, Asmongold promised that he would implement something similar for Starforge Systems going forward.

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"Thank you very much, I appreciate it. We will implement it."

The streamer then went back to playing Black Desert Online.


Reddit reactions

Redditors of r/LivestreamFail had much to say on the matter, with many pointing out the difficulties Europeans would face ordering PCs from the USA. Here are some general reactions talking about import duties, warranty, and VAT under Asmongold's clip.

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Starforge Systems saw a rough launch, having been criticized by a lot of people during its initial days, with some even accusing the streamer-owned company of price gouging.

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Edited by Siddharth Satish
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