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Steve Jobs: T.J. Maxx Not an Authorized iPad Retailer
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That is where Apple COULD screw anyone buying iPads from TJ Maxx, if they wanted to. Since TJM isn't an authorized retailer, and if they are buying from a 3rd party (who, presumably IS an authorized retailer), TJ Maxx becomes the 1st owner of the product (no different than when an individual purchases from an authorized retailer). But Apple typically honors warranties even when it's not under the original purchaser, as I know I've sold an iPod touch to a friend and he's had it warranty replaced twice already. But then again, he's always said he was me when taking it to the Genius Bar, as it pulls up my info since it's registered to me. But I doubt Apple would do any of this (invalidating the warranties) due to the bad press they'd get.
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Three possibilities:
a) Stolen stock.
b) Purchased directly from a "contact" in China.
c) Purchased using surplus advertising budget, so even if they loose money selling them it wouldn't be a loss. This could be the reason why there's limited stock, only a few units available at a time for each store.
I may get one for my wife anyways. She wouldn't need more than 16GB for sure.
a) Stolen stock.
b) Purchased directly from a "contact" in China.
c) Purchased using surplus advertising budget, so even if they loose money selling them it wouldn't be a loss. This could be the reason why there's limited stock, only a few units available at a time for each store.
I may get one for my wife anyways. She wouldn't need more than 16GB for sure.
Here's a piece done by Fortune posted just a few minutes ago referring to the TJ Maxx thing:
http://tech.fortune.cnn.com/2010/11/19/how-to-get-on-steve-jobs-naughty-list/
I seriously doubt the figure of "80 iPads total" aquired by TJ Maxx that is speculated in the article, but who knows.
http://tech.fortune.cnn.com/2010/11/19/how-to-get-on-steve-jobs-naughty-list/
I seriously doubt the figure of "80 iPads total" aquired by TJ Maxx that is speculated in the article, but who knows.
I see TJ Maxx's acquisition of some iPads as a marketing scheme. If a few select stores have at least 5 to offer at a discounted price, imagine what kind of results they would get if they offered them as a Black Friday Doorbuster Special. They would probably get hundreds lined up at the door like Best Buy does for a deeply discounted HDTV or laptop. As for a warranty, I don't think they offer warranties on any of their products because they are a clearing house.
Precisely my dear Watson. By Job, I think you got it!!!
Precisely my dear Watson. By Job, I think you got it!!!
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True. There's nothing wrong with that. SJ should be happy for selling 80 iPads in one transaction.
The buyer is free to give them away or sell them for less.
Can Apple really stop TJ Maxx from selling their iPads?
I thought the Authorised Reseller Programme was just that: an "Apple-certified" or "Apple-approved" reseller? Surely any reseller who doesn't have this "sign of approval" still can sell the iPad?
I don't really know the answer to that since every store which I've seen here in the UK which sells Apple products are authorised resellers.
Sorry if it's obvious, it's just that the response makes it sound like only retailers approved by Apple can sell their products; sort of like a cease and desist threat.
I thought the Authorised Reseller Programme was just that: an "Apple-certified" or "Apple-approved" reseller? Surely any reseller who doesn't have this "sign of approval" still can sell the iPad?
I don't really know the answer to that since every store which I've seen here in the UK which sells Apple products are authorised resellers.
Sorry if it's obvious, it's just that the response makes it sound like only retailers approved by Apple can sell their products; sort of like a cease and desist threat.
Authorized Apple Re-seller/Specialist
Our store is an authorized re-seller with Apple Specialist designation. Our cost for the product is far more than their sale price. TJ Max has done the same thing in the past with ipods, selling them far below our cost. I'd like to know from where they are purchasing their stock.
Our store is an authorized re-seller with Apple Specialist designation. Our cost for the product is far more than their sale price. TJ Max has done the same thing in the past with ipods, selling them far below our cost. I'd like to know from where they are purchasing their stock.
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No, again, Apple can't stop them from selling the iPad. But it does mean that the iPads TJ Maxx is getting aren't being acquired directly from Apple. It means that they are buying them from a 3rd party. All Apple COULD do is terminate the 3rd party's Apple account (meaning that the 3rd party can no longer purchase directly from Apple) if they want to (if it was a large enough sale to TJ Maxx...80 iPads probably won't matter to Apple). An "Apple approved" retailer is one that has been authorized by Apple to buy Apple products directly from Apple, and thereby get all of the advertising perks, merchandising, etc from Apple.
Not true.. I am the Art Director for a Art department that makes grocery store ads.
Soda is not a common loss leader since it's DSD Pepsi/Coke keep close price controls.
I usually see produce and meat used as loss leaders..
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Another point... I expect that TJ MAXX just bought up a bunch of the Refurbished iPads and is taking a $50 loss on each to get people in the stores.
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Apple shouldn't be able to do anything. TJ Max buys at retail and sells for $100 off at a loss. This so far has become the most cost effective advertising campaign for TJ Max EVER! Just look at it. Mac Rumors is talking about TJ Max. this will probably hit major news networks as well if it hasn't already.
The packaging, model and serial numbers indicate that they are new items originally purchased on October 25th, not refurbs.
TJ Maxx isn't selling them at a loss. TJ Maxx however is diluting the perceived value of the iPad. That's something all manufacturers -- not just Apple -- look to protect.
It's exactly why Amazon forces you to put some things in your cart to see the price. Amazon can't advertise a product below Price X, according to their agreement with the manufacturer. If they did, Amazon would be diluting the perceived market value of the product, which would force other resellers to follow suit. This forces the market price lower, and then resellers start putting pressure on the manufacturer to lower THEIR price (to resellers) so the retailers/resellers can maintain healthier margins.
It turns into a race towards the bottom, where a product gets commoditized. Manufacturers try to avoid that at all costs, because they only have a few products where they can sell at a high-margin or premium, for so long, before competition creates a pressure to drive the price down.
It's exactly why Amazon forces you to put some things in your cart to see the price. Amazon can't advertise a product below Price X, according to their agreement with the manufacturer. If they did, Amazon would be diluting the perceived market value of the product, which would force other resellers to follow suit. This forces the market price lower, and then resellers start putting pressure on the manufacturer to lower THEIR price (to resellers) so the retailers/resellers can maintain healthier margins.
It turns into a race towards the bottom, where a product gets commoditized. Manufacturers try to avoid that at all costs, because they only have a few products where they can sell at a high-margin or premium, for so long, before competition creates a pressure to drive the price down.
Wirelessly posted (Mozilla/5.0 (iPhone; U; CPU iPhone OS 4_1 like Mac OS X; en-us) AppleWebKit/532.9 (KHTML, like Gecko) Version/4.0.5 Mobile/8B117 Safari/6531.22.7)
Finally TJMaxx finally got the attention they wanted without spending thousands of dollars in advertising.
Finally TJMaxx finally got the attention they wanted without spending thousands of dollars in advertising.
how is this any different than microcenter selling the 13.3" MBP for $999.... $200 less than Apple sells it for. last week I was in the apple store in NJ garden state plaza mall... they had the MBP for $1199. I drove 5 minutes away to the microcenter and quickly purchased one for my sister for $999 and only 3.5% tax. If microcenter can do it, I dont see why TJ MAxx cant.
You are exactly correct. I would bet anything that TJ Maxx/Marshalls did in fact pay the $499 for each and are selling them at a reduced price. Because they did not announce where they will be, they intended/bet on the internet hype to drive customers into the stores to look to see if their local store(s) had them. And, about 75% of those customers will stay in the store and look around while they are there, and of those 75% of customers, 60% are likely to buy something. It is a marketing ploy. This type of thing has been done for ages by smaller chain stores. It's nothing new. Only reason it's getting attention is that it is an iPad, something people want - and that is exactly why they did it.
All food margins are bad for grocery stores...they end up making the most money off of their non-food items...which is why you often see a growing number of non-food aisles.
they are new iPads.
Well they did pay money for it. They are probably losing between $70-$100 on each iPad.
I think he meant 8,000. I did the math myself. All you do is count the number of stores east of colorado or so. I estimate 50%-60% of stores got 10 iPads each...throw in some Marshalls stores...and you get between 5,000 - 10,000 iPads.
(notice how some Marshalls stores are holding off on their iPads until Black Friday...maybe they are apple users who actually figure out they have a prized possession...i can see most managers just saying..what are these ipads..lets just give them away).
And I thought it was called "competition"...
I don't know about the US, but in Germany it is illegal for a manufacturer to demand a minimum resale price or to sanction resellers for their pricing.
All I know is that I went into one of the stores looking for an iPad and the manager said they were barraged by calls today about iPads.
TJ Maxx bought them at retail to sell in their stores.
They're definitely taking a loss. A very limited-run loss.
They're definitely taking a loss. A very limited-run loss.
http://tech.fortune.cnn.com/2010/11/19/how-to-get-on-steve-jobs-naughty-list/
On that subject, w ww.madbids.com can't show their TV adverts in the UK anymore, as they are misleading their customers.
Selling refurbished iPads as new _would_ be illegal. And I'd be curious where they would have found refurbished iPads.
You'd have to check what warranty Apple gives voluntarily, and what warranty they are required to give by law. Whatever they give you voluntarily, they can set the rules. They are probably fine with people buying Macs and selling them a year later used (that's actually good for Apple because those people then have cash to buy a new Mac), but don't like unauthorised resellers (because they make Apple's authorised resellers unhappy).
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