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carpe diem

macrumors 6502
Original poster
Sep 18, 2005
452
0
I am wondering why do companies give rebates? Why can they not just give the discount instead of making life so complicated?

Sorry about my moaning.
 
Very simple. Rebates work to attract buyers and a very large percentage never bother to claim them. I've read as many as 70% don't bother.
 
Plus it allows them to push inventory and increase sales, without having the effect of lowering their price. Examine two scenarios.

1) Giving a $200 rebate on say a Cinema display for Christman special
2) Lowering the price of the Cinema displays $200 and then two months later, raising them

Both have the same effect, except one makes the company seem great (although excess discounting leads to brand degradation), and one makes the company look like a bastard. And as well, the one that makes the company look nice, and push inventory, is also the one that most people fail to claim.

Like me for example.
https://forums.macrumors.com/threads/151961/
 
Plus, this way, they can hold onto your money in a bank account and make interest before mailing out the checks. Thats why it takes like 3 months to get your rebate, it obviously doesnt take 3 months for them to receive it in the mail, print up a check and mail it to you
 
yg17 said:
Plus, this way, they can hold onto your money in a bank account and make interest before mailing out the checks. Thats why it takes like 3 months to get your rebate, it obviously doesnt take 3 months for them to receive it in the mail, print up a check and mail it to you

i spent 5 months of hounding AcomData for a $25 rebate. by then it was more a matter of principle. ugh, drives me nuts because the delays feel intentional. :mad:
 
carpe diem said:
I am wondering why do companies give rebates? Why can they not just give the discount instead of making life so complicated?

Sorry about my moaning.

Same here, I hate rebates- just give me the cash off up front.

Oh well, its a nice marketing ploy for companies. :rolleyes:
 
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