VOTE ON OED PRICE HERE!
06-Jan-93 14:21:53
Sb: #36045-VOTE ON OED PRICE HERE!
Fm: Tim Ennis 72120,2224
To: JAN SCHWENK 70053,1702
jan,
>>Also, as wonderful a product as OED is, wouldn't you go out and buy 10 at
the 100 pound price and give them to your nephews and nieces? I would.<<
I will definitely go out and buy 10 OED's at 100 pounds, if you will agree
to buy 10 multimedia machines at $3000 each for each of my nephews and
nieces.
Don't you think that maybe OUP is pursuing a market segmentation strategy
with an eye toward timing. It may be willing to forgo unit sales now to get
a much higher price. As more machines come into the market, they will
reduce the price to increase unit sales in a much larger market. No doubt
OUP has a abetter idea than we based on actual sales volume and market
reseach of how to convert the product from a low volume high price item to
a lower price higher volume item, while maximizing profit. I think that the
fact they were able to sell a full size set at $2700 while simultaneously
giving away a miniaturized version as a bookclub gift proves that.
I would rather wait a little time for the price to be reduced, than see the
company go segment the market by introducing a low priced version
immediately that had less functionality than the high priced product. This
is the danger I hope to see avoided. The case of the 486 chip and the
Street Atlas CD being on the point.
Regards, Tim