I just don't get it. Where I live Best Buy is always busy. Like Borders Book Store in my area was always busy. What is the matter with these people?
There's the old joke about a guy being pulled into bankruptcy court for losing money on his business because he sells everything below cost. As he's going, he yells: I can make it work. I just have to sell more!
It seems that large consumer electronics retail chains have only a few good decades of life in them.
Eventually they fall victim to over-expansion, trendier or lower-cost competition, mismanagement, or some combination of all of that.
- Pacific Stereo: 1970 - 1986 (bankruptcy)
- Good Guys: 1973 - 2006 (acquired by CompUSA)
- Circuit City: 1981 - 2008 (bankruptcy)
- CompUSA: 1984 - present (only a few stores remain open after bankruptcy and ownership change)
- Best Buy: 1983 - present (closed all stores in the UK and the People's Republic of China)
Maybe, after a number of decades, consumers just get tired of old retail stores.
They buy modern gear in more modern stores. Not where their mom used to take them.
There are a lot of reasons for it.
One major reason is that buying habits change, and often businesses don't change quickly enough to catch the new wave.
The other major reason it that when the economy is doing well, even most poorly run businesses will do well. Once the economy turns, poor businesses never recover once the economy gets better. A large company can take some time to fail, so their lifetimes can extend beyond the time where they're doing well.
As usual, you aren't actually reading what I wrote, just picking out a couple of click bait statements out of context.
I'm trying to respond to you, and others responsibly, but you don't seem to like to reply responsibly.
Of course I am Mel.
I saw your spin after your original post was questioned. In essence you really didn't mean to say what you said initially, but instead meant that other products could get discounted unlike Apple products, so their actual margin is really the same as Apple's. . . depending on IF the retailer chose to discount the product heavily. Did I get that right?
As usual, blame Apple. Why not blame the rest of the computing industry for constantly coming out with complete garbage that no one wants to buy?
+1 FTW baby! Well put.
I was in my local Best Buy the other day(hate that damn place) and the people were all about iPads and iPhones. Those big a$$ Samsung galaxy phones on display didn't even have roaches hanging around it. Sony's tablet? Hell no!!!!!! POS anyway.
But I am very skeptical about this correlation between Apple's success through Best Buy's retail chain and BBs decision to shutter 50 stores. I call the link complete BS!
A gas station owner can tell you that they only make pennies on a gallon of gas. The bulk of their revenue is from food and coffee.
The "strain" that ipads are having on Best Buy probably refers to the reduced sales of their other higher margin electronic products. They just need to upsell their ipad customers on accessories and whatever else they can push. The ipads bring in the visitors, just as the as gas brings in customers to the gas station, but their revenues depend on those customers buying other stuff.
There are quite a few sites that allow comparison shopping for Apple products among major retailers. For Macs, there are always dealers selling for less than retail. Here's one example:
Even iDevices are not always sold at list price. For example, Walmart sells the iPhone for below list.
Point taken. jr, I should have put more thought into what I was writing. I should have excluded online retailers from that, which always knock a few dollars off list in attempts to differentiate themselves from each other, but it's always the exact same amount, it never changes as in "on sale". I was thinking more of the statement that BB should have dropped their price on Apple products to compete with other brick and mortar shoppers, which I don't believe they can below an agreement with Apple. I believe they are not free to offer it for whatever they want. This was definitely the case for CC and CompUSA. There has never been a reason to comparison shop at local stores for Apple computers. There has always been an opportunity for catching a deal on Dells, Samsungs, HPs, etc that is much more meaningful than the few dollars difference between MacMall or full list locally. That was my point and it does relate to the control Apple maintains on its retail channels, even if I flubbed the presentation : )
As far as iPhones at places like Walmart, that's true, but phones weren't on my mind here, given that Apple obviously does allow them to be used by carriers as they wish, especially when tied to data contracts. Phones are a kind of category of their own. But aside from phones BB's prices, from what I can see on Macbook Pros and iPods are all the same as Amazon's give or take a few cents. I was really just responding to "If the iPad had more margin Best Buy would drop the price" which misses the point. With something as hot as the iPad that is an $700 for most sales, shaving a few more dollars off the price isn't going to sell you any more because they're already flying off the shelves (if at other stores and not BB). There's nothing BB could do to sell more iPads than they do that has to do with prices. They'd have to completely revamp the country's perception of them, starting with throwing out the model of running the business based on profits from service contracts, which they'll never do.
It seems that large consumer electronics retail chains have only a few good decades of life in them.
Eventually they fall victim to over-expansion, trendier or lower-cost competition, mismanagement, or some combination of all of that.
(snip))
Maybe, after a number of decades, consumers just get tired of old retail stores.
They buy modern gear in more modern stores. Not where their mom used to take them.
I don't think we're tired of retail stores. I like them. But when I see my wife, mother, mother-in-law, many people in my orbit, just going to Amazon for everything except for groceries with no negative feeling about it whatsoever regardless of how I feel it hurts the whole marketplace, I know the answer.
It seems that large consumer electronics retail chains have only a few good decades of life in them.
Eventually they fall victim to over-expansion, trendier or lower-cost competition, mismanagement, or some combination of all of that.
- Pacific Stereo: 1970 - 1986 (bankruptcy)
- Good Guys: 1973 - 2006 (acquired by CompUSA)
- Circuit City: 1981 - 2008 (bankruptcy)
- CompUSA: 1984 - present (only a few stores remain open after bankruptcy and ownership change)
- Best Buy: 1983 - present (closed all stores in the UK and the People's Republic of China)
Maybe, after a number of decades, consumers just get tired of old retail stores.
They buy modern gear in more modern stores. Not where their mom used to take them.
Don't forget Crazy Eddie's!!
Quote:
Originally Posted by jlandd
Point taken. jr, I should have put more thought into what I was writing. I should have excluded online retailers from that, which always knock a few dollars off list in attempts to differentiate themselves from each other, but it's always the exact same amount, it never changes as in "on sale". I was thinking more of the statement that BB should have dropped their price on Apple products to compete with other brick and mortar shoppers, which I don't believe they can below an agreement with Apple. I believe they are not free to offer it for whatever they want. This was definitely the case for CC and CompUSA. There has never been a reason to comparison shop at local stores for Apple computers. There has always been an opportunity for catching a deal on Dells, Samsungs, HPs, etc that is much more meaningful than the few dollars difference between MacMall or full list locally. That was my point and it does relate to the control Apple maintains on its retail channels, even if I flubbed the presentation : )
As far as iPhones at places like Walmart, that's true, but phones weren't on my mind here, given that Apple obviously does allow them to be used by carriers as they wish, especially when tied to data contracts. Phones are a kind of category of their own. But aside from phones BB's prices, from what I can see on Macbook Pros and iPods are all the same as Amazon's give or take a few cents. I was really just responding to "If the iPad had more margin Best Buy would drop the price" which misses the point. With something as hot as the iPad that is an $700 for most sales, shaving a few more dollars off the price isn't going to sell you any more because they're already flying off the shelves (if at other stores and not BB). There's nothing BB could do to sell more iPads than they do that has to do with prices. They'd have to completely revamp the country's perception of them, starting with throwing out the model of running the business based on profits from service contracts, which they'll never do.
The fact is that you were wrong when you said that no one could sell Apple products for below list. I gave just a few examples.
Now you're trying to rearrange your statements, but you're still wrong. I've seen Apple products fore below list in brick and mortar stores, too. I've also seen sales. Just one example - Best Buy had a sale on the iPad 2 just before the iPad 3 came out.
You were wrong and your attempt to correct your error was equally wrong.
The fact is that you were wrong when you said that no one could sell Apple products for below list. I gave just a few examples.
Now you're trying to rearrange your statements, but you're still wrong. I've seen Apple products fore below list in brick and mortar stores, too. I've also seen sales. Just one example - Best Buy had a sale on the iPad 2 just before the iPad 3 came out.
You were wrong and your attempt to correct your error was equally wrong.
I've been understanding that Apple has to approve "sale prices" or discount bundles at the box stores that serve as authorized Apple resellers, and that Apple in general controls the pricing. Is that incorrect as you're implying?
If Best Buy and other box stores like Walmart are the master's of their domain and can sell Apple products for whatever price they wish, I'm surprised I see them priced so consistently with each other. I would think one of them would run a loss leader sale on a new iPad for example, to generate traffic for other products. Twenty iPads available at cost would pull a lot of activity into a Best Buy on a Sunday morning without giving up much profit.
The fact is that you were wrong when you said that no one could sell Apple products for below list. I gave just a few examples.
Now you're trying to rearrange your statements, but you're still wrong. I've seen Apple products fore below list in brick and mortar stores, too. I've also seen sales. Just one example - Best Buy had a sale on the iPad 2 just before the iPad 3 came out.
You were wrong and your attempt to correct your error was equally wrong.
jr, Apple has an M.A.P. that an Apple authorized reseller must agree to in their reseller contact. You're talking about selling less than list, which was not my point. I'm talking about selling less than the MAP (which can't be done), which gives very little leeway regardless of margin (and regardless of how poorly I put my original post).
jr, Apple has an M.A.P. that an Apple authorized reseller must agree to in their reseller contact. You're talking about selling less than list, which was not my point. I'm talking about selling less than the MAP (which can't be done), which gives very little leeway regardless of margin (and regardless of how poorly I put my original post).
That's your third version. And it's not correct, either.
In any event, you started with "It has never been within any store's ability to sell any Apple widget for $20 less than a competitor." and have revised it twice. Once you figure out what you're trying to say, please let us know and I'll tell you if your fourth version is wrong, too. I have no interest in debunking 100 versions of the same incorrect story.
You're making a mistake in comparing a manufacturer like Apple, with a mass market big box retailer. They have nothing in common. As far as I know, BB has no real products of their own.
They are both retailers who maintain brick and mortar stores and have an online presence. That's the common factor between the two. Just because Apple designs and controls the building of what they sell and is wildly successful at marketing it and BB is not ..... takes nothing from the fact that they are indeed in the same marketplace, competing for the same consumer $$$ and sometimes, even on the same products.
Quote:
Originally Posted by melgross
If you make that mistake, then you're missing out on what is happening to retail everywhere
Again with the hyperbole .... retail everywhere ? Really ? In that case I guess I'd better stock up on ...... everything.
Quote:
Originally Posted by melgross
That's true if your costs to stay in business are high, as they are in SOME retail brick and mortar businesses.
There, I fixed it for you.
Quote:
Originally Posted by melgross
What you are misunderstanding is that while a company may offer BB a supposed margin of 40%, where Apple offers 20%, those products are usually discounted by 30% or more, whereas Apple's aren't. This shows the true margin, which is very low.
And who decides to discount the 40% margin on those products. What you are seemingly not understanding is that every retailer makes it's own mind up about what kind of company they are going to be and then develop a philosophy/plan to make it happen. The whole tone of my post was to point out the two different philosophies of retail marketing.
I guess that I didn't make that clear enough for you .... or maybe you were in too much of a rush to tell me how, in your opinion at least, I was wrong .... multiple times.
That's your third version. And it's not correct, either.
In any event, you started with "It has never been within any store's ability to sell any Apple widget for $20 less than a competitor." and have revised it twice. Once you figure out what you're trying to say, please let us know and I'll tell you if your fourth version is wrong, too. I have no interest in debunking 100 versions of the same incorrect story.
jr I'm ceding that that statement is wrong and that you have set the record straight on Apple's list price. Are you saying that there is no Minimum Advertised Price agreement in reseller's contracts, because I've been told, by a former reseller, that it's an extremely stifling agreement, and more so than the other brands he carried. But if you have info about it I would be interested.
Heck, just answer mine (post 72) and you don't have to be rude to anyone else. Your answer to that should be enough to clear things up.
I don't know and I don't care.
Your original post said that a company could not sell an iDevice for $20 less than the competition - and that was clearly incorrect. Best Buy sold iPads for $50 off just before the iPad 3 came out.
No, you can't sell an Apple product for a dollar more or less than what Apple says you can. It has never been within any store's ability to sell any Apple widget for $20 less than a competitor. The only reason BB takes on low margin items is to upsell service contracts and extended warranties, which is the biggest part of their business in every department.
In fact resellers can sell at whatever price they want, otherwise it would be price fixing and illegal. However many brand-name manufacturers restrict advertising of lower prices. In such cases a lower price can still be offered during the shopping process.
Your original post said that a company could not sell an iDevice for $20 less than the competition - and that was clearly incorrect. Best Buy sold iPads for $50 off just before the iPad 3 came out.
- Best Buy stores are increasingly serving as free showrooms for online retailers. That is, customers view the product at Best Buy and then buy it online.
This is the real problem. Best Buy doesn't benefit from their overhead. Shoppers can test-drive at Best Buy, then buy online cheaper, with no sales tax, and get free shipping. Even if they provided exceptional customer service, they couldn't beat that triple threat.
I also think people have caught on to the ruse of their "extended store warranty" things. That used to be a lot of free money coming their way.
Comments
Now I'm confused. Is one of us dreaming that you said Samsung, HP, et al didn't offer BB better margins than Apple?
As usual, you aren't actually reading what I wrote, just picking out a couple of click bait statements out of context.
I'm trying to respond to you, and others responsibly, but you don't seem to like to reply responsibly.
Eventually they fall victim to over-expansion, trendier or lower-cost competition, mismanagement, or some combination of all of that.
- Pacific Stereo: 1970 - 1986 (bankruptcy)
- Good Guys: 1973 - 2006 (acquired by CompUSA)
- Circuit City: 1981 - 2008 (bankruptcy)
- CompUSA: 1984 - present (only a few stores remain open after bankruptcy and ownership change)
- Best Buy: 1983 - present (closed all stores in the UK and the People's Republic of China)
Maybe, after a number of decades, consumers just get tired of old retail stores.
They buy modern gear in more modern stores. Not where their mom used to take them.
I just don't get it. Where I live Best Buy is always busy. Like Borders Book Store in my area was always busy. What is the matter with these people?
There's the old joke about a guy being pulled into bankruptcy court for losing money on his business because he sells everything below cost. As he's going, he yells: I can make it work. I just have to sell more!
It seems that large consumer electronics retail chains have only a few good decades of life in them.
Eventually they fall victim to over-expansion, trendier or lower-cost competition, mismanagement, or some combination of all of that.
- Pacific Stereo: 1970 - 1986 (bankruptcy)
- Good Guys: 1973 - 2006 (acquired by CompUSA)
- Circuit City: 1981 - 2008 (bankruptcy)
- CompUSA: 1984 - present (only a few stores remain open after bankruptcy and ownership change)
- Best Buy: 1983 - present (closed all stores in the UK and the People's Republic of China)
Maybe, after a number of decades, consumers just get tired of old retail stores.
They buy modern gear in more modern stores. Not where their mom used to take them.
There are a lot of reasons for it.
One major reason is that buying habits change, and often businesses don't change quickly enough to catch the new wave.
The other major reason it that when the economy is doing well, even most poorly run businesses will do well. Once the economy turns, poor businesses never recover once the economy gets better. A large company can take some time to fail, so their lifetimes can extend beyond the time where they're doing well.
As usual, you aren't actually reading what I wrote, just picking out a couple of click bait statements out of context.
I'm trying to respond to you, and others responsibly, but you don't seem to like to reply responsibly.
Of course I am Mel.
I saw your spin after your original post was questioned. In essence you really didn't mean to say what you said initially, but instead meant that other products could get discounted unlike Apple products, so their actual margin is really the same as Apple's. . . depending on IF the retailer chose to discount the product heavily. Did I get that right?
As usual, blame Apple. Why not blame the rest of the computing industry for constantly coming out with complete garbage that no one wants to buy?
+1 FTW baby! Well put.
I was in my local Best Buy the other day(hate that damn place) and the people were all about iPads and iPhones. Those big a$$ Samsung galaxy phones on display didn't even have roaches hanging around it. Sony's tablet? Hell no!!!!!! POS anyway.
But I am very skeptical about this correlation between Apple's success through Best Buy's retail chain and BBs decision to shutter 50 stores. I call the link complete BS!
The "strain" that ipads are having on Best Buy probably refers to the reduced sales of their other higher margin electronic products. They just need to upsell their ipad customers on accessories and whatever else they can push. The ipads bring in the visitors, just as the as gas brings in customers to the gas station, but their revenues depend on those customers buying other stuff.
The bolded statement is absolutely wrong.
There are quite a few sites that allow comparison shopping for Apple products among major retailers. For Macs, there are always dealers selling for less than retail. Here's one example:
http://macreviewzone.com/prices/imac.php
Even iDevices are not always sold at list price. For example, Walmart sells the iPhone for below list.
Point taken. jr, I should have put more thought into what I was writing. I should have excluded online retailers from that, which always knock a few dollars off list in attempts to differentiate themselves from each other, but it's always the exact same amount, it never changes as in "on sale". I was thinking more of the statement that BB should have dropped their price on Apple products to compete with other brick and mortar shoppers, which I don't believe they can below an agreement with Apple. I believe they are not free to offer it for whatever they want. This was definitely the case for CC and CompUSA. There has never been a reason to comparison shop at local stores for Apple computers. There has always been an opportunity for catching a deal on Dells, Samsungs, HPs, etc that is much more meaningful than the few dollars difference between MacMall or full list locally. That was my point and it does relate to the control Apple maintains on its retail channels, even if I flubbed the presentation : )
As far as iPhones at places like Walmart, that's true, but phones weren't on my mind here, given that Apple obviously does allow them to be used by carriers as they wish, especially when tied to data contracts. Phones are a kind of category of their own. But aside from phones BB's prices, from what I can see on Macbook Pros and iPods are all the same as Amazon's give or take a few cents. I was really just responding to "If the iPad had more margin Best Buy would drop the price" which misses the point. With something as hot as the iPad that is an $700 for most sales, shaving a few more dollars off the price isn't going to sell you any more because they're already flying off the shelves (if at other stores and not BB). There's nothing BB could do to sell more iPads than they do that has to do with prices. They'd have to completely revamp the country's perception of them, starting with throwing out the model of running the business based on profits from service contracts, which they'll never do.
It seems that large consumer electronics retail chains have only a few good decades of life in them.
Eventually they fall victim to over-expansion, trendier or lower-cost competition, mismanagement, or some combination of all of that.
(snip))
Maybe, after a number of decades, consumers just get tired of old retail stores.
They buy modern gear in more modern stores. Not where their mom used to take them.
I don't think we're tired of retail stores. I like them. But when I see my wife, mother, mother-in-law, many people in my orbit, just going to Amazon for everything except for groceries with no negative feeling about it whatsoever regardless of how I feel it hurts the whole marketplace, I know the answer.
It seems that large consumer electronics retail chains have only a few good decades of life in them.
Eventually they fall victim to over-expansion, trendier or lower-cost competition, mismanagement, or some combination of all of that.
- Pacific Stereo: 1970 - 1986 (bankruptcy)
- Good Guys: 1973 - 2006 (acquired by CompUSA)
- Circuit City: 1981 - 2008 (bankruptcy)
- CompUSA: 1984 - present (only a few stores remain open after bankruptcy and ownership change)
- Best Buy: 1983 - present (closed all stores in the UK and the People's Republic of China)
Maybe, after a number of decades, consumers just get tired of old retail stores.
They buy modern gear in more modern stores. Not where their mom used to take them.
Don't forget Crazy Eddie's!!
Point taken. jr, I should have put more thought into what I was writing. I should have excluded online retailers from that, which always knock a few dollars off list in attempts to differentiate themselves from each other, but it's always the exact same amount, it never changes as in "on sale". I was thinking more of the statement that BB should have dropped their price on Apple products to compete with other brick and mortar shoppers, which I don't believe they can below an agreement with Apple. I believe they are not free to offer it for whatever they want. This was definitely the case for CC and CompUSA. There has never been a reason to comparison shop at local stores for Apple computers. There has always been an opportunity for catching a deal on Dells, Samsungs, HPs, etc that is much more meaningful than the few dollars difference between MacMall or full list locally. That was my point and it does relate to the control Apple maintains on its retail channels, even if I flubbed the presentation : )
As far as iPhones at places like Walmart, that's true, but phones weren't on my mind here, given that Apple obviously does allow them to be used by carriers as they wish, especially when tied to data contracts. Phones are a kind of category of their own. But aside from phones BB's prices, from what I can see on Macbook Pros and iPods are all the same as Amazon's give or take a few cents. I was really just responding to "If the iPad had more margin Best Buy would drop the price" which misses the point. With something as hot as the iPad that is an $700 for most sales, shaving a few more dollars off the price isn't going to sell you any more because they're already flying off the shelves (if at other stores and not BB). There's nothing BB could do to sell more iPads than they do that has to do with prices. They'd have to completely revamp the country's perception of them, starting with throwing out the model of running the business based on profits from service contracts, which they'll never do.
The fact is that you were wrong when you said that no one could sell Apple products for below list. I gave just a few examples.
Now you're trying to rearrange your statements, but you're still wrong. I've seen Apple products fore below list in brick and mortar stores, too. I've also seen sales. Just one example - Best Buy had a sale on the iPad 2 just before the iPad 3 came out.
You were wrong and your attempt to correct your error was equally wrong.
Don't forget Crazy Eddie's!!
The fact is that you were wrong when you said that no one could sell Apple products for below list. I gave just a few examples.
Now you're trying to rearrange your statements, but you're still wrong. I've seen Apple products fore below list in brick and mortar stores, too. I've also seen sales. Just one example - Best Buy had a sale on the iPad 2 just before the iPad 3 came out.
You were wrong and your attempt to correct your error was equally wrong.
I've been understanding that Apple has to approve "sale prices" or discount bundles at the box stores that serve as authorized Apple resellers, and that Apple in general controls the pricing. Is that incorrect as you're implying?
If Best Buy and other box stores like Walmart are the master's of their domain and can sell Apple products for whatever price they wish, I'm surprised I see them priced so consistently with each other. I would think one of them would run a loss leader sale on a new iPad for example, to generate traffic for other products. Twenty iPads available at cost would pull a lot of activity into a Best Buy on a Sunday morning without giving up much profit.
Don't forget Crazy Eddie's!!
The fact is that you were wrong when you said that no one could sell Apple products for below list. I gave just a few examples.
Now you're trying to rearrange your statements, but you're still wrong. I've seen Apple products fore below list in brick and mortar stores, too. I've also seen sales. Just one example - Best Buy had a sale on the iPad 2 just before the iPad 3 came out.
You were wrong and your attempt to correct your error was equally wrong.
jr, Apple has an M.A.P. that an Apple authorized reseller must agree to in their reseller contact. You're talking about selling less than list, which was not my point. I'm talking about selling less than the MAP (which can't be done), which gives very little leeway regardless of margin (and regardless of how poorly I put my original post).
jr, Apple has an M.A.P. that an Apple authorized reseller must agree to in their reseller contact. You're talking about selling less than list, which was not my point. I'm talking about selling less than the MAP (which can't be done), which gives very little leeway regardless of margin (and regardless of how poorly I put my original post).
That's your third version. And it's not correct, either.
In any event, you started with "It has never been within any store's ability to sell any Apple widget for $20 less than a competitor." and have revised it twice. Once you figure out what you're trying to say, please let us know and I'll tell you if your fourth version is wrong, too. I have no interest in debunking 100 versions of the same incorrect story.
I have no interest in debunking 100 versions of the same incorrect story.
Heck, just answer mine (post 72) and you don't have to be rude to anyone else. Your answer to that should be enough to clear things up.
You're making a mistake in comparing a manufacturer like Apple, with a mass market big box retailer. They have nothing in common. As far as I know, BB has no real products of their own.
They are both retailers who maintain brick and mortar stores and have an online presence. That's the common factor between the two. Just because Apple designs and controls the building of what they sell and is wildly successful at marketing it and BB is not ..... takes nothing from the fact that they are indeed in the same marketplace, competing for the same consumer $$$ and sometimes, even on the same products.
If you make that mistake, then you're missing out on what is happening to retail everywhere
Again with the hyperbole .... retail everywhere ? Really ? In that case I guess I'd better stock up on ...... everything.
That's true if your costs to stay in business are high, as they are in SOME retail brick and mortar businesses.
There, I fixed it for you.
What you are misunderstanding is that while a company may offer BB a supposed margin of 40%, where Apple offers 20%, those products are usually discounted by 30% or more, whereas Apple's aren't. This shows the true margin, which is very low.
And who decides to discount the 40% margin on those products. What you are seemingly not understanding is that every retailer makes it's own mind up about what kind of company they are going to be and then develop a philosophy/plan to make it happen. The whole tone of my post was to point out the two different philosophies of retail marketing.
I guess that I didn't make that clear enough for you .... or maybe you were in too much of a rush to tell me how, in your opinion at least, I was wrong .... multiple times.
That's your third version. And it's not correct, either.
In any event, you started with "It has never been within any store's ability to sell any Apple widget for $20 less than a competitor." and have revised it twice. Once you figure out what you're trying to say, please let us know and I'll tell you if your fourth version is wrong, too. I have no interest in debunking 100 versions of the same incorrect story.
jr I'm ceding that that statement is wrong and that you have set the record straight on Apple's list price. Are you saying that there is no Minimum Advertised Price agreement in reseller's contracts, because I've been told, by a former reseller, that it's an extremely stifling agreement, and more so than the other brands he carried. But if you have info about it I would be interested.
Heck, just answer mine (post 72) and you don't have to be rude to anyone else. Your answer to that should be enough to clear things up.
I don't know and I don't care.
Your original post said that a company could not sell an iDevice for $20 less than the competition - and that was clearly incorrect. Best Buy sold iPads for $50 off just before the iPad 3 came out.
No, you can't sell an Apple product for a dollar more or less than what Apple says you can. It has never been within any store's ability to sell any Apple widget for $20 less than a competitor. The only reason BB takes on low margin items is to upsell service contracts and extended warranties, which is the biggest part of their business in every department.
In fact resellers can sell at whatever price they want, otherwise it would be price fixing and illegal. However many brand-name manufacturers restrict advertising of lower prices. In such cases a lower price can still be offered during the shopping process.
I don't know and I don't care.
Your original post said that a company could not sell an iDevice for $20 less than the competition - and that was clearly incorrect. Best Buy sold iPads for $50 off just before the iPad 3 came out.
Reading comprehension Jragosta. . .
I didn't say anything of the kind.
- Best Buy stores are increasingly serving as free showrooms for online retailers. That is, customers view the product at Best Buy and then buy it online.
This is the real problem. Best Buy doesn't benefit from their overhead. Shoppers can test-drive at Best Buy, then buy online cheaper, with no sales tax, and get free shipping. Even if they provided exceptional customer service, they couldn't beat that triple threat.
I also think people have caught on to the ruse of their "extended store warranty" things. That used to be a lot of free money coming their way.