Philips must go for the lowest form of intelligence

[allargon]

Do they think all of their customers are stupid, or are they looking for just that special one?

I paid $110 or something like that for an upconverting DVD recorder last year. They sent me a form in the mail offering me an extended warranty etc. for like $17.

Yeah, I'm going to pay $17 on the off chance that a $110 device that's already obsolete fails to save potentially hundreds of dollars in repair costs.

Maytag tried to pull the same crap offering me extended coverage on my refrigerator.

I wonder about people who buy extended warranties on electronic products under $2k. They're almost as clueless as the people that buy "additional" insurance from car rental places.

I guess the people that buy extended warranties on electronic products do me a favor by allowing big box stores (Fry's and Wal-Mart, not Worst Buy or Circuit $hitty) to keep prices low to suck..err...offer their valued customers the options of buying extended warranties.

 

[Joe Schmoe]

I keep getting notices that say "The warranty on your vehicle is about to expire!"
I bought my vehicle used from the owner, and it was not under warranty.

 

[Pyrrho]

They don't think that all of their customers are stupid, but research shows that many customers (of pretty much all brands) are stupid, and mailing out opportunities for people to part with their money often makes good fiscal sense. Remember, all companies are in business solely, or at least primarily, to make money. That is the point of being in business. Giving customers value for their money isn't the primary objective, and is often detrimental to the profit margin.

And, as you observed in your message, Maytag gave you the same opportunity to part with your money. It is a way to make money, and many companies do it. Look at Oppo's web site (Oppo, by the way, is one of the most often recommended brands of DVD players at sites like this one) and you will see that they offer extended warranties on their products, too.

 

[MDS]

I keep getting notices that say "The warranty on your vehicle is about to expire!" I bought my vehicle used from the owner, and it was not under warranty.

That's a telemarketing scam and I get it too. I still have the same car I bought new in 1994 so the warranty expired a long time ago.

 

[Halon451]

I keep getting notices that say "The warranty on your vehicle is about to expire!"
I bought my vehicle used from the owner, and it was not under warranty.

It's the new phishing scam - I've been getting those too, and it drive me crazy.

 

[Halon451]

Do they think all of their customers are stupid, or are they looking for just that special one?

I paid $110 or something like that for an upconverting DVD recorder last year. They sent me a form in the mail offering me an extended warranty etc. for like $17.

Yeah, I'm going to pay $17 on the off chance that a $110 device that's already obsolete fails to save potentially hundreds of dollars in repair costs.

Maytag tried to pull the same crap offering me extended coverage on my refrigerator.

I wonder about people who buy extended warranties on electronic products under $2k. They're almost as clueless as the people that buy "additional" insurance from car rental places.

I guess the people that buy extended warranties on electronic products do me a favor by allowing big box stores (Fry's and Wal-Mart, not Worst Buy or Circuit $hitty) to keep prices low to suck..err...offer their valued customers the options of buying extended warranties.

I never buy the extended warranty on anything - it's a load of crap. But lots of people do, so it's making the stores that much more money.

 

[Audioholics]

I have never bought extended warranties, and as a result I can pretty much lose a $2000 product and still be in the black.

Another scam - AAA. If you pay $64-$96/year for AAA you need to think about how many times you've used it (and the discounts) and whether those discounts and services are already available through a credit card provider you have (I have a card that provides discounted tow services and plenty of discounts plus a travel booking service).

My parents have had AAA Plus service for over 20 years... That's more than $1300 they've paid. I think I'll pay cash for the tow thank you. I can also afford the occasional $5 map.

 

[10010011]

Here is my take on extended warranties.

Buying an extended warranty is like gambling.

You are betting the product is a piece of crap and it going to fail before the warranty period.

The company who has done life cycle testing and has real world data on the lifespan of that device is ready and willing to take that bet.

First rule in gambling, don't bet against the house.

 

[mtrycrafts]

I can also afford the occasional $5 map.

It's free on Google, except for the paper and toner

 

[haraldo]

Well...... Philips is Dutch
And I can't remember seeing a QUALITY Philips product that worked very well......
Great business Idea to rip off people with coverages they don't need.