Introductory Pricing

[Jack Parks]

I have been using Festool tools in my home shop for more than three years.  I think they make the best power hand tools available and in most cases are worth the price you have to pay.  However, many of the more that 12 Festool tools I currently own, such as the OF1400, TS75 and Domino were purchased when Festool introduced the tool with introductory pricing.  The new tool, offered with a short window of opportunity that allowed you to save money on the purchase, inspired me to go ahead and get the tool.  I also took advantage of the multi tool (I believe it was three or more tools) discounts they offered in the past.  Now that Festool no longer offers the program, I find that I feel no since of urgency to quickly invest in any of the new tools they have introduced.  I think this is a marketing mistake on Festool's part and should be evaluated.  My local dealer, which has been great to work with and very successful with Festool, remarked that many of his customers feel the same way.  If you make a living using the tools the discount may not matter to you, however if woodworking is just your hobby you really don't have to purchase a new tool right when it becomes available.  These are just my thoughts and I'm sure some will remark that Festool is worth every penny you pay, but that is not the point.  It's all about creating excitement and a since of urgency to purchase.

I would also like to take this opportunity to thank all of you that participate in this forum for all the things I have learned from your posts and the great ideas I have borrowed from you.  Members like Matthew Schenker, John Lucas, Per Swenson, Jerry Work, Brice Burrell and Shane Holland to name just a few have been an inspiration to my passion for woodworking and have taught me how to get the most rewards from my hobby.  Many of you also have websites that I visit all the time just to see what's new.  Keep up the good work.

Regards,

Jack Parks

 

[Frank Pellow]

Jack, since this is your first post, I would like to take the opportunity to be the first member to welcome you to the FOG.

It appears to me  that Festool feels that they have reached the critical mass point in the USA where they no longer have to discount their tools so much below "world" p[rices and where introductory offers are not needed.  The Kapex at a hefty price and NO INTRODUCTORY DEAL CERTAINLY APPEARS TO BE GETTING LOTS OF HYPE.

 

[sw1211]

Even beyond that how about every month offering a different tool at a discount, they should try something like this for 6-12 months and see how sales are affected.  Kind of a tool of the month promotion.  They could feature it in their Sysnotes and extensively market it.  Could be good for business, just think of the consumables and accessories that will still need to be purchased.  You can't tell me some of those accessories don't have some high margins built into their prices.  Not to mention how many people just buy one Festool, if they could set this initial hook in more people they'd be far ahead in the long run.  Dare to dream....

 

[joraft]

These are just my thoughts and I'm sure some will remark that Festool is worth every penny you pay, but that is not the point.  It's all about creating excitement and a sense of urgency to purchase.

Jack:

I'm sure that any business owner knows that it doesn't make good sense to spend any more on marketing than is absolutely necessary. Otherwise, it becomes an expense rather than an investment.

It seems to me that, these days, the announcement of any new Festool product immediately generates a stack of pre-orders for most of the dealers. How much more excitement do they really need to create?

And, welcome to the forum. 

John

 

[Dan Clermont]

I have to admit that I too am the kind of guy who tends not to buy unless I have an incentive. WHether it is a known price increase around the corner or something that is simply too good to pass up. I ended up with a Hammer Combo machine cause the price was going to jumpt $1K and that made it easy to justify!

On the other hand I can see how it might hurt sales if Festool offered allot of promotion and people only bought during the sales/ promotions

Lie Nielsen did promotions on new tools in their infancy but once they reached a certain size and success level it was dropped probably because the market was convinced of the quality and would buy the tool anyhow.

Festool may have also reached that level of success in the US where they have a hard enough time just keeping up with the demand

Dan Clermont

 

[vteknical]

I know for sure incentives helps move product, I  and many here would not of dropped a ton of money before the April 1st price increase.  In hindsight I probaby shouldn't spent that much but got caught up in the essence of time thing.

 

[krs2404]

Check out these introductory prices from 5 years ago when I first became a Festool Junkie...

 

[keefer]

Hey KRS2404,

I notice from your the invoice you posted that you live in Naperville (or at least did at the time).  You still there?  I'm off Jefferson a little west of downtown.  Let me know if you ever want to have a Festool party....

Keith

 

[Wonderwino]

Besides Festools, I am also a Nikonian.  Nikon regularly offers discounts in the form of rebates when buying specific lenses, accessories or camera bodies with certain lenses.  I have been lured into buying more equipment than I thought I needed until the need became less expensive.  I use everything I buy, having aditional capability just allows for more extensive creativity.  Nikon is arguably the best in their field as is Festool.  Both have capable competition. 

I doubt that I will replace my Bosch 12" sliding miter saw with a Kapex at $1300 - $999, possibly.  I have modified the dust collection on the Bosch to be more funtional with thin material and hooked it up to my CT33 with a no-hub drain pipe connector.

 

[Gary K]

I think eliminating the introductory prices is a mistake, also.  Many people out there still on the fence about Festool products and need that little "push" to fall on the Festool side. People who are already convinced are going to purchase regardless of discounts. Should never rest on your laurels and never stop luring new customers. IMNSHO
Keedy