CompuServe Messages

Pentium Prices

    29-Dec-94 17:00:02
Sb: #180128-Pentium Prices
Fm: J Saperstein/FontBank 75300,632
To: Paul Idol 71024,3245
"Besides, if everyone, or even large numbers of people, started doing what you did, prices would rise." Huh? Those lower prices are usually offered because the vendors anticipate that you will be placing a lot of orders with them. Thus, among many other factors, the money the spend on customer acquisition is saved in your case. Any good businessman would far prefer to have the continuing business of a single customer rather than one-shot sales to a multitude. CompUSA, for example, gets all of our Apple business because we get a lower price from them than we do Apple under their Developer's Program. We also get faster delivery and better service. But there just ain't no way that I'm going to on the retail floor and buy for almost twenty points more. PC stuff and software I buy from other places because I can get better inventory and better prices. But here again I am consistent in my purchasing. From my own experience as a mass marketer, this is common behavior: you continue to buy where the selection is greatest, the price lowest and the service adequate or better. To a retailer, that's a fair bargain and well worth the additional discounts. Jerry