[comp.sys.ibm.pc] DAK sets itself up for massive losses

leech@degas.cs.unc.edu (11/29/89)

    In the Winter '90 DAK catalog, they offer a 12 MHz 286 system with
40 MB, VGA, mouse, Wordstar, Quattro, and a few other random programs
for $1999.  This isn't especially interesting; what's interesting is
that they then spend a page describing "Beat DAK if you can" -
offering a free unspecified DAK product of $50, $100, or $150 value
if you can specify an equivalent system from other sources which comes
in at <$2999, <$2499, or $<1999 respectively.  It would be unsporting
for me to list the particular combination I found in 10 minutes with
Computer Shopper, but those of you who get DAK catalogs might want to
take advantage of this giveaway :-) It's easy to come in at the $2499
price point, and $1999 should be possible with some digging.
--
    Jon Leech (leech@cs.unc.edu)    __@/
    "Why do you suppose we only feel compelled to chase the ones who run away?"
    "Immaturity."
	_Dangerous Liasons_

morrison@ug.cs.dal.ca (Brad Morrison) (11/30/89)

It's not meant to be difficult.  It's meant to make people think they
are getting a better deal than they are.  Everyone's supposed to run
out now and shop around for a better price, if they find one, they win
a prize, and if they dont' they get to realize just what a steal this
deal really is!  Oooohhhhhhhh,  aaahhhhhhhhhhhhh.  The wonders of

swh@hpcupt1.HP.COM (Steve Harrold) (11/30/89)

Re: DAK's "losses"

This marketing ploy reminds me of one when I was a kid.

A ball point pen manufacturer was touting how large the ink reservoir was
in his product.  In fact, it was so big that "if you ever run out of ink,
we'll replace the empty with a new refill free of charge!".

This sure sounds like you're set for for life, doesn't it?  BUT, if you
think for a moment, how many claims will actually be made?  Most people lose
their ballpoint pens before they run out!  And of those who see it to the
bitter (dry) end, how many will remember the promise made at the time of
purchase?  And, for the amount of money at risk, who would actually spend
the postage to redeem the free refill?

All in all, a good marketing ploy, with very little after sale cost to the
vendor!!!

The DAK case is similar to many stores who "guarantee that we have the 
lowest price anywhere!".  Of course, someone diligent enough can usually find
a lower price, and when he makes his claim, the store will indeed refund the
excess price to him.  BUT the store continues to sell at THEIR original
price; they do not adjust downward.  So they may lose a few dollars for the
VERY FEW who take up their offer, but look at how many extra sales they did
make because of the "guarantee", sales they would have otherwise lost.

I expect DAK will make good to some VERY FEW people who take up their offer,
but I expect they will make a net gain.

toma@tekgvs.LABS.TEK.COM (Tom Almy) (12/01/89)

In article <10790@thorin.cs.unc.edu> leech@degas.cs.unc.edu () writes:
>
>    In the Winter '90 DAK catalog, they offer a 12 MHz 286 system with
>40 MB, VGA, mouse, Wordstar, Quattro, and a few other random programs
>for $1999.  This isn't especially interesting; what's interesting is
>that they then spend a page describing "Beat DAK if you can" -
>offering a free unspecified DAK product of $50, $100, or $150 value
>if you can specify an equivalent system from other sources which comes
>in at <$2999, <$2499, or $<1999 respectively.

Well they could be finicky about the "equivalent system", requiring you
to find the exact same unit.

The bundled in software (which probably costs them next to nothing) has
to be figured into your equivalent system, and you'll have to pay for
it (this is what made the old Osborne and Kaypro computers such a good
deal -- they were like buying the software and getting the computer free).

And even if they did agree that your system was equivalent, you might not
agree that the reward had a value (to you) of $50, $100, or $150 -- don't
forget that "value" is "suggested retail price", which *nobody* pays!

Tom Almy
toma@tekgvs.labs.tek.com
Standard Disclaimers Apply

leonard@bucket.UUCP (Leonard Erickson) (12/02/89)

The catch is that they said *system*. Pulling together a random collection of
equivalent parts from Computer Shopper isn't the same as finding a system.
-- 
Leonard Erickson		...!tektronix!reed!percival!bucket!leonard
CIS: [70465,203]
"I'm all in favor of keeping dangerous weapons out of the hands of fools.
Let's start with typewriters." -- Solomon Short

jca@pnet01.cts.com (John C. Archambeau) (12/04/89)

leonard@bucket.UUCP (Leonard Erickson) writes:
>The catch is that they said *system*. Pulling together a random collection of
>equivalent parts from Computer Shopper isn't the same as finding a system.

I wonder what they'd do if a dealer or consultant decided to put together a
'system' just to make DAK eat it.  I'm pretty sure I could do it.  Getting the
components is trivial.
 
Hell, I could probably beat their price without a CA resale permit.  :)
 
                                                // John C. Archambeau

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stevel@phred.UUCP (Steve Leach) (12/05/89)

In article <6432@tekgvs.LABS.TEK.COM> toma@tekgvs.LABS.TEK.COM (Tom Almy) writes:
>In article <10790@thorin.cs.unc.edu> leech@degas.cs.unc.edu () writes:
>>
>>In the Winter '90 DAK catalog, they offer a 12 MHz 286 system with...
>
>Well they could be finicky about the "equivalent system", requiring you
>to find the exact same unit.
>

If memory serves the form which you need to fill out to submit your
"system" had only one space for store or merchant.  This indicated
to me at least that you need to find the equivalent system in one
store and not put one together from pieces.

But I've been wrong befor. :-)

-- 
What can I say, fuvg unccraf.
Returns to sender: 
uw-beaver!pilchuck!seahcx!phred!stevel

mitsolid@acf5.NYU.EDU (Thanasis Mitsolides) (12/06/89)

The PC-BRAND 286/12 with 40MB and color VGA
without the mouse and software you describe, costs $1637.

Thanasis

toma@tekgvs.LABS.TEK.COM (Tom Almy) (12/10/89)

In article <2876@phred.UUCP> stevel@phred.UUCP (Steve Leach) writes:
>In article <6432@tekgvs.LABS.TEK.COM> toma@tekgvs.LABS.TEK.COM (Tom Almy) writes:
>>In article <10790@thorin.cs.unc.edu> leech@degas.cs.unc.edu () writes:
>>>In the Winter '90 DAK catalog, they offer a 12 MHz 286 system with...
>>Well they could be finicky about the "equivalent system", requiring you
>>to find the exact same unit.
>If memory serves the form which you need to fill out to submit your
>"system" had only one space for store or merchant.  This indicated
>to me at least that you need to find the equivalent system in one
>store and not put one together from pieces.

A friend of mine had the catalog, so I looked. Not only does it say that 
you can use multiple vendors, but also you don't have to find the exact
product, but can use an equivalent (I'd certainly get the mouse with a
bundled paint program and count it as the mouse and the separate paint
program). Anyway, it does look honest, with no "gotchas."

Tom Almy
toma@tekgvs.labs.tek.com
Standard Disclaimers Apply