Perhaps you clicked through to the post over at Ask JackRabbit that I linked to a couple days ago. If not, take a closer look.
Raymarine’s new MAP (minimum advertised price) policy has really stirred the pot, and in today’s entry, Peter James describes Jack Rabbit Marine’s response to the changing character of the marine electronics business.
It may confuse some consumers, but given the realities of the modern marketplace, it may be the only way to stay competitive. Check it out:
So we’re going to introduce a two-tier pricing system. You can pay a low price, competitive with the internet-only stores if you know what you are doing and need no support. Or you can choose to pay a higher price that qualifies you for full support including technical advice, installation help and a full warranty and replacement service.
As a consumer, I find this arrangement attractive. The fact is that I want to work out electronics installation issues for myself sometimes, while other times I need some extra help. In the midst my varying levels of confidence, I would prefer to do most of my purchasing at one or two places; I value the relationships that are formed when I conduct ongoing business with a firm.
For example, I make a lot of purchases at Fisheries Supply and The Offshore Store. They’re local for me, and I know the people there. For me, price is second to cultivating those valuable relationships; but it’s still a close second, know what I mean? The fact that both outfits are price-competitive with all but the lowest of bare-bones online discounters makes my choice pretty easy.
But I doubt boaters in many parts of the country have the same great choices I do, and Jack Rabbit’s new two-tier pricing structure, appealing to both bargain-seeking and service-seeking customers, could work out really well.
{ 1 comment… read it below or add one }
So if I can paraphrase – if we sell a product that is so poorly designed it needs extensive aftermarket support you should pay more. Does that make sense to anyone? Bad customer service is never the answer. They should drop Raymarine and really concentrate on lines that will pay for support. Hard decisions are made by the winners. Losers go with the flow.