....but where does it go after Dargo
:confused2:
Several key points over the last few posts.
1. 20.00 extended warranty- they make out in the long run on selling these, it is the manufacturer that warranties the product- not HF. The 20.00 is more of a gurantee that HF will swap it out with you. That money goes in their (HF's) pockets. If the item can be repaired, then Dargo buys it (sorry):laughing: If not, they get credit from the manufacturer.
2. Profit margin is great to begin with. This is enhanced by the people that just chuck the broken junk and end up buying a new one sometime later and, the people (like me) who buy stuff they hadn't planned on when they walk in. All that little stuff adds up quick. Impulse buying is a huge margin for retailers. PT Barnum said it all.....
A note about 20% off coupons. If you go on-line to the magazine sites that usually have them, there is a link to get one. One the window opens up, a coupon is available to print with a unique bar code. That bar code is probably assigned to your IP address based on which "site" your coupon came from. If you print multiple coupons, they all have the same bar code. Once scanned in the store, it will not work again.
Now, if you look at how many magazines have these coupons in them, there is a pretty large supply to choose from. As long as you link from the individual sites, you will get a unique bar code each time. Hence, multiple 20% off coupons.
Now, please understand, I live 5 hours away from the closest HF store. I visit my brother a couple of times a year, and this is the only chance I get to shop there (ON SITE). So, armed with my coupons, we make a couple of trips to the store while I am there (if i need anything warranting the coupon)- and each of us makes a purchase using different coupons.
Grey area perhaps? Frugal shopping perhaps? Smart shopping perhaps?
I argue that the 20% off coupon is more than offset by the sum of all the impulse purchases made by an individual (usually on that visit).
