WRONG! Discounts destroy a brand... - Saab 9-5 Bulletin Board - Saabnet.com
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WRONG! Discounts destroy a brand...
Posted by Brian (more from Brian) on Thu, 26 Sep 2002 12:58:49
In Reply to: Discounts mean Brand Building, Robp, Thu, 26 Sep 2002 11:40:09
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Rebates and discounts are amongst the most destructive practices for a brand- it's almost as if the manufacturer is saying: "Look, we know these aren't the best, but we'll pay you this much to take these off our hands."
Look at BMW- one of the strongest auto brands on the planet- do you see much by way of factory rebates? Absolutely not- the brand and product are both superior.
I love Saab, but it is a weak brand (aside from all of us, what is a Saab to most people??) Absolutely horrible marketing can be thanked for that.
Now, I believe one of your points is the rebate will lower the price point to where someone who may not have considered a Saab will then buy one. That's not brand building- that's simply increasing sales (but in an expensive manner). Now, Saab has to hope that someone who bought it because it was a "good deal" will buy another one without an incentive. These rebates are a vicious circle. Good for us, bad for Saab.
Brian
'95 900S, 145K
'00 9-5, 27K
posted by 216.231.195...
Posts in this Thread:
- Negative reactions to 9-5? No Way!, Tim K., Thu, 26 Sep 2002 02:29:58
- Re: Negative reactions to 9-5? No Way!, Jon in Chicago, Fri, 27 Sep 2002 10:17:22
- Discounts mean Brand Building, Robp, Thu, 26 Sep 2002 11:40:09
- Re: Discounts mean Brand Building, K.W., Thu, 26 Sep 2002 18:52:32
- Re: Discounts mean Brand Building, Jax, Thu, 26 Sep 2002 13:09:02
- WRONG! Discounts destroy a brand..., Brian, Thu, 26 Sep 2002 12:58:49 <-- Viewing This Message
- Re: WRONG! Discounts destroy a brand..., jo, Thu, 26 Sep 2002 18:17:29
- Re: WRONG! Discounts destroy a brand..., TG, Thu, 26 Sep 2002 13:44:35
- Agreed.....why not lower the list price permanently..., pursang, Thu, 26 Sep 2002 13:32:20
- Re: WRONG! Discounts destroy a brand..., bRAD, Thu, 26 Sep 2002 13:12:01
- I am not sure why..., Hammer, Thu, 26 Sep 2002 10:49:25
- Same thing happened at BMW, compaqted, Thu, 26 Sep 2002 10:47:27
- Re: Negative reactions to 9-5? No Way!, bRAD, Thu, 26 Sep 2002 10:28:19
- Unfortunately, this kind of behavior..., b.flippo, Thu, 26 Sep 2002 10:07:05
- Re: Negative reactions to 9-5? No Way!, PeteSaab, Thu, 26 Sep 2002 09:06:47
- Re: Negative reactions to 9-5? No Way!, Rick, Thu, 26 Sep 2002 08:06:18
- Re: Negative reactions to 9-5? No Way!, Lou, Thu, 26 Sep 2002 07:29:12
- Heh I heard something similar, AdamB
, Thu, 26 Sep 2002 03:05:10
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