Festool Price Increase

[plaidma1]

I hereby offer the following service to anyone who is not quite ready for a Festool purchase, but doesn't want to pay the price increase.

I am offerring an "option to buy", whatever festool you're interested in.  Here's how it works, and I'll use an example.  Say there's a certain Festool you are interested in, and the price increase is 10%, increased to $550. (for arguments sake).

You pay me 25% of the CURRENT price (in this case, $125).  Now, you have the option to buy the tool from me for just $525, good for two years, even though the retail price is $550!  It gets better, because I'll apply your option payment to the cost of the tool.  You pay me $525 in two installments.

The final option payment amount will be determined based on the size of the increase.  You SAVE half the increase, regardless of how large it is!

Save yourself $25 dollars!  Buy an option from me!

 

[Ken Nagrod]

I hereby offer the following service to anyone who is not quite ready for a Festool purchase, but doesn't want to pay the price increase.

I am offerring an "option to buy", whatever festool you're interested in.  Here's how it works, and I'll use an example.  Say there's a certain Festool you are interested in, and the price increase is 10%, increased to $550. (for arguments sake).

You pay me 25% of the CURRENT price (in this case, $125).  Now, you have the option to buy the tool from me for just $525, good for two years, even though the retail price is $550!  It gets better, because I'll apply your option payment to the cost of the tool.  You pay me $525 in two installments.

The final option payment amount will be determined based on the size of the increase.  You SAVE half the increase, regardless of how large it is!

Save yourself $25 dollars!  Buy an option from me!

The coin is under the middle cup.  No, wait, it's under that cup.[blink]

 

[batmanrobin]

Just wanted to let you know my checks in the mail Plaidma !!!!

 

[Kodi Crescent]

Has anyone read the book "Influence" by Robert Cialdini?  This is a book about what factors cause people to follow automatic decision scripts.  How can we influence people to do something based upon some innate script among us humans?

There is a story in it about a woman who owns some sort of jewelry shop that is selling some turquoise to tourists.  She is having trouble selling it, so she asks one of her employees to mark the turquoise half price.  The employee makes a mistake, and instead of marking the turquoise half price, marks it at twice the price.  All the turquoise sold before the shop owner returned on vacation.  She was bewildered as to why people wouldn't buy at half price, but would buy at twice the price.

It turns out there is a belief among us humans that "you get what you pay for", and therefore, the more expensive an item is, the higher we perceive the quality to be.  And the more scarce or prestigious we perceive the item to be, the more we desire it. 

And so here we are, with another Festool price increase looming....  Something to think about.

 

[agarwalsa]

I too saw Rockler's flyer announing the price rise. I have not been following Festool previous price increases. Do they announce before what it is going to be or we get a surprise on March 1? It is disappointing thought, I thought they were already very high.

 

[Brice Burrell]

I too saw Rockler's flyer announing the price rise. I have not been following Festool previous price increases. Do they announce before what it is going to be or we get a surprise on March 1? It is disappointing thought, I thought they were already very high.

Yes, we usually get a fair amount of notice and some dealers clearly chart the increases to help we make buying decisions for the increase. 

 

[wubears71]

I'm glad I have the majority of Festools I want.  The only big item left on my wishlist is the Kapex, but I just cannot justify it since my Dewalt 708 CMS works great and I really don't need the portability and dust collection the Kapex provides.

 

[farmer]

Has anyone read the book "Influence" by Robert Cialdini?   This is a book about what factors cause people to follow automatic decision scripts.  How can we influence people to do something based upon some innate script among us humans?

There is a story in it about a woman who owns some sort of jewelry shop that is selling some turquoise to tourists.  She is having trouble selling it, so she asks one of her employees to mark the turquoise half price.  The employee makes a mistake, and instead of marking the turquoise half price, marks it at twice the price.  All the turquoise sold before the shop owner returned on vacation.  She was bewildered as to why people wouldn't buy at half price, but would buy at twice the price.

It turns out there is a belief among us humans that "you get what you pay for", and therefore, the more expensive an item is, the higher we perceive the quality to be.  And the more scarce or prestigious we perceive the item to be, the more we desire it. 

And so here we are, with another Festool price increase looming....  Something to think about.

Haven't read that book Kodi, will have to put it on my list... but it sounds very similar to the ideas presented in "Blink" which I have read.  Have you read that one?  Similar ideas are also explored on an installment of the PBS Frontline series called "The Persuaders" which was about psychology being applied to marketing and political campaigns.  
http://www.pbs.org/wgbh/pages/frontline/shows/persuaders/view/

I remember one of the segments covered brand loyalty... and talked to different "niche" groups like apple computer users-- and when these people were asked to describe the reasons for their semi-obsession they would talk about how well the product worked for them, but then would go on to also talk about an emotional connection to it --about how the felt like they belonged to a sort of community of "apple users" and that made them feel good.  Hmmmm, a community group based around using a certain brand of products?! whats a nutz up idea ;D

I happened to read the book and see the TV program several years ago but still find myself reminded of them both all the time... and sometimes frightened by the implications... as the ideas apply to almost every decision making scenario a person is faced with -- and especially applies to decisions we do not even realize we are making!  The idea you raised about higher prices making a potential consumer feel more confident about their purchase fits right in with all this.  

However, if the psychologists are right and it is true that my stupid brain decided to like festools more because they are more expensive then myself is quite upset with myself as I like to think of me as quite frugal.  Hahaha

 

[Kodi Crescent]

I read Blink some time ago.  I have to revisit it to refresh my memory on it.  The Gladwell books are good.  "Outliers" is another interesting one from him.

I have not seen the Frontline series, but added it to my Netflix queue.  Thanks for that recommendation.

 

[Kodi Crescent]

What is human factors?

 

[AdamM]

What is human factors?

He's most likely referring to user comfort, risk of injury, etc.

 

[fdengel]

On the other hand, there is a 10-20% sale on reconditioned products this month.

 

[AdamM]

On the other hand, there is a 10-20% sale on reconditioned products this month.

I'm not sure selling reconditioned tools for less than new price counts as a sale.