What Is the Purpose of Rebates
August 16, 2009 at 10:17 am 1 comment
I would really like someone to explain to me what the purpose of rebates are? Sure I know what a rebate is as an example we could use Verizon just one of the many companies out there that likes to use rebates to lure people into purchasing their product. Here is how it works you go in you chose a phone you like they tell you the price if $100 after rebate. The sign that is posted even says $100 ”with rebate” written very small underneath. So you go in thinking you are going to pay $100 for the phone when in fact you are going to have to shell out $150 and then wait 6 to 8 weeks to get your $50 back through the rebate. To top that off they don’t send you a check any more now most of them send you a VISA cash card. Has anyone else but me had trouble getting those stupid things to work? They only seem to work in some places.
Why can’t they just give you off the $50 at the store and save you all the trouble and hassle? I can answer that, it totally has to do with them counting on most people not struggling to fill the paper out and get it mailed in by the deadline and then waiting for the rebate to come back to them. I think this is a really bad way for companies to make money of of the purchasing public. We accept this practice though so there is no way to change the practice. If we all decided not to buy product with rebates we would never again be able to purchase a new cell phone.
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william sewell | August 18, 2009 at 10:38 am
see it was interesting to me as well, because I thought I was being clever in starting a service called E.A.R.S ( Electronic Automatic Rebate Service) you install an option for a member to select to get a rebate instantly. Instead of having to mail stuff in, it would go electronically, and you could set up your account to receive the money. Then it occured to me, companies don’t want you to get rebates. How many companies would honestly sign on for such a profit draining system?