« Previous | Main | Next »

Best Buy to stop offering rebates

April 02, 2005 at 03:10 PM
Best Buy

Best Buy has announced (BugMeNot) that it will no longer be offering mail-in-rebates or even manufacturer rebates in the near future. They will have completely eliminated all rebates in the next 24 months.

Retailers use rebates because it allows them to advertise a lower price that many people actually won't take advantage of. Regardless of the amount I will always mail it in, so I benefit. I'm sure there will still be discounts and you'll get your savings quicker, but the value won't be the same. Retailers can offer bigger discounts with rebates than they can with traditional discounts.

Let's say there's a $40 rebate. If only 80% of people (I think the number is actually probably even lower for small rebates) complete their rebates, then that $40 I saved only cost them $35. In other words, from now on I'll pay approximately 20% more for things at Best Buy and other retailers.

It only takes a couple of vocal people to make it seem like just about everyone was missing out on these rebates, said Stephen Baker, director of industry analysis at NPD Group in New York. Once again, the vocal minority is ruining things for everyone else. I'm not upset with Best Buy, this is something that public opinion has forced upon them. There's been a ton of whining about the rebate process lately, about how difficult it is to get your money. I've never had a single problem, if you're literate enough to follow directions you will get your rebate.

Look at this quote from a typical moron:

The promise of getting $400 back helped persuade Steve Denault to buy a $900 personal computer at Circuit City. But to get the money, Denault had to fill out three rebate forms, including one for the monitor and another for the central processing system.

I think I can speak for the average consumer in saying that it's not a pleasant experience. It's unclear why retailers would continue a marketing scheme that annoys people when there are plenty of other promotional tools available.

Un-freaking-believable. The reason they would do it is so they can save me more money! Is five minutes of his time just too damn much to save 400 bucks? Are we that incredibly lazy and useless as a society that we can't spend a few minutes writing down our address or cutting out a UPC code?

Thanks a lot people. I know it was too much trouble for you to mail in rebates, but now I want you all to mail me checks for the freaking twenty percent you'll be costing me.

Posted in Current Affairs | 4 Comments | Add yours


1 Christina said...

Maybe now you can stop shopping at Best Buy. I think it's a good thing!

Posted on April 02, 2005 at 06:36 PM

2 Brian said...

I'll just have to get things from NewEgg!

Posted on April 02, 2005 at 06:55 PM

3 Christina said...

As long as I don't have to go with you to the actual store that's fine with me.

Posted on April 03, 2005 at 09:33 AM

4 JW said...

If the process for those who chose to send for rebates had been a bit faster, not the 8-12 weeks or longer I have experienced, less people would of complained.Its not the few minutes spent filling out forms and mailing, its the months waiting after you have done so.

Posted on November 09, 2005 at 12:08 AM