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#1
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How good is there service plan?
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#2
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On Sat, 1 Sep 2007 20:40:41 -0400, "John"
wrote: How good is there service plan? Service plans are usually extremely profitable for whoever sells them. About 65%-70% profit, maybe a bit more. Decide for yourself. Also, what does the plan cover? If it does not cover bad pixels, skip it. |
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#3
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On Sat, 1 Sep 2007 20:40:41 -0400, "John" wrote:
How good is there service plan? Service plans are generally a way for merchants to recoup profits lost when selling big ticket items at a discount. At a place like Circuit City or BestBuy, the margin on a wide screen TV _may_ be 5% or 12%. OTOH, the margin on a service contract is very close to 100% simply because they have to perform on them so seldom. In many cases, they don't honor them at all, or make it so cumbersome, the customer just walks away and buys a new unit. Sales people can make as much as 50% commission when selling one of these contracts, which explains why they're always so persistent. And BTW, the same applies to HDMI cables. A_C |
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