Quote:
Originally Posted by daffy4u
But, the "smart" shopper, knows that the price drop in such a short period of time entitles them to a refund of the difference. I guess they hope most people won't follow-up. I'd rather wait a week, now that I know the game.
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You have described why rebates are popular sales incentives. The manufacture gambles on the fact that most folks will never get around to actually
claiming the rebate. (And it's a safe bet. Most don't.)
And while smart shoppers may know they are entitled to claim a refund, how many take the trouble to do it? Same dynamic.
Variable pricing is a long time retail practice. Many years ago, I worked for a department store. New clothing got released at full price. After 30 days, it got marked down. After 60 days, it got marked down again. After 90 days, it got marked down again. After that, it went to clearance.
Shelf space is finite, and you make money by stocking stuff that sells, because your critical number is the sales/square foot required to cover your costs and make a profit. It's in your interest to stock items that sell well at a high margin, and clear out the stuff that doesn't as soon as possible.
Amazon doesn't have shelf space concerns with ebooks, but they'll still want to sell at a higher price if they can. Just can't wait, and have the have that new book in the series right
now? Fine. Pay for it...
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Dennis