Shop Talk
This, too, might be retarded-- insane deals
OK so I walked down the way to get my morning cup of coffee, and I walked by Best Buy Mobile, and they had a sign standing obnoxiously outside the store saying "AT&T- Blah blah blah, Verizon- Blah blah blah, Tmobile: Samsung Behold - FREE"- I asked the guy inside and he said with new activation on any plan yes it is free. 😳
Now my store which is just a couple hundred feet away gets almost no commission if we sell the Behold for $250 with a $50 mail in rebate.
I'm wondering how they can drop the price like that and still make money, because that's like a $500 phone (I think)
Now my store which is just a couple hundred feet away gets almost no commission if we sell the Behold for $250 with a $50 mail in rebate.
I'm wondering how they can drop the price like that and still make money, because that's like a $500 phone (I think)
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Their cost is way lower than the cost of an Authorized retailer for Sprint or any of the other carriers. Also they have other ways to make up profit... TVS..CDS...APPLIANCES... They aren't concentrated on strictly phone sales. It's just ANOTHER venue they offer. Besides that they're employees are hourly not commissioned..
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They can buy phones in much larger bulk quanities which saves them money so therefore they can sell them at a much lower cost than most smaller authorized retailer can.
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No, where the size really comes in handy, is they most likely are able to ship unsold phones BACK so they can over order stock. You can get volume discounts, but only by so much before the phone manufacturer starts loosing money.
They most likely have a deal where the commission paid to store is a lot less than a retailer as well, since they don't have to give their staff anything.
They most likely have a deal where the commission paid to store is a lot less than a retailer as well, since they don't have to give their staff anything.
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The behold has a full retail price tag on it of $399.99...and the reason that some retailers can offer high end phones such as the behold for free is not about the quantity that they purchase in, but rather their own contract with the MFGs...and with the provider. Take a look sometime at the fine print. Usually you are signing a contract with that retailer, as well as the provider that you get service with.
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yeap they can take a loss on the phones and make it up in HDTVs and DVDs, i just tell my customers go ahead and get it at best buy and have Dan from DVDs set up your account, just make sure you dont come overe here and have me fix it. also helps that I have an ex best buy employee who down talks their ablity left and right.
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dualitycomplex said:
yeap they can take a loss on the phones and make it up in HDTVs and DVDs, i just tell my customers go ahead and get it at best buy and have Dan from DVDs set up your account, just make sure you dont come overe here and have me fix it. also helps that I have an ex best buy employee who down talks their ablity left and right.
hahahaha my coworker is an ex best buy employee too - i use that to my advantage
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This reminds me of the RadioShack across the street from our Sprint store. They were selling their instincts for $50 with NO REBATE and here we are STILL selling the instinct for the original price of $230 with a $100 MIR!!
I was like... their reps must make no money off commission because that's RIDICULOUS.
I've had a customer come to our store and purchase a phone like the M320 for $50 with a $50 MIR and go over to RadioShack only to find tthat the phone was FREE over there, so she promptly returns the phone to ME across the street (ONLY 40 MINUTES LATER) because she doesn't have to wait for her rebate at RADIOSHACK! Thanks a lot, you cheap whore. LOL. 😈
I was like... their reps must make no money off commission because that's RIDICULOUS.
I've had a customer come to our store and purchase a phone like the M320 for $50 with a $50 MIR and go over to RadioShack only to find tthat the phone was FREE over there, so she promptly returns the phone to ME across the street (ONLY 40 MINUTES LATER) because she doesn't have to wait for her rebate at RADIOSHACK! Thanks a lot, you cheap whore. LOL. 😈
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Probably because the corporate store prices are inflated to overpay their employees.
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Bulk pricing, lots of higher margin items to cover losses, and do Best Buy reps even make a commission? Or are they just hourly?
Big box stores can use stuff like that to get people into the building where chances are they will buy other stuff too (with all the money they saved on a free phone!).
Big box stores can use stuff like that to get people into the building where chances are they will buy other stuff too (with all the money they saved on a free phone!).
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No. Best buy reps do not make commision only hourly. As I was told wehn I worked there, we sacrifcie our commissions for the customers savings. But if we get enough good surveys filled out supposedly something happens. Not sure what though.
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