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Path: utzoo!watmath!clyde!burl!ulysses!allegra!mit-eddie!cybvax0!frog!john
From: john@frog.UUCP (John Woods)
Newsgroups: net.consumers,net.flame
Subject: Re: Coupons and Rebates-- Flame
Message-ID: <300@frog.UUCP>
Date: Mon, 9-Sep-85 16:04:14 EDT
Article-I.D.: frog.300
Posted: Mon Sep  9 16:04:14 1985
Date-Received: Wed, 11-Sep-85 08:28:03 EDT
References: <243@mot.UUCP>
Organization: Charles River Data Systems, Framingham MA
Lines: 28
Xref: watmath net.consumers:2943 net.flame:11880

> Can anyone explain to me the marketing purpose behind coupons and
> rebates? Why do manufacturers want people to do the idiot-level
> work of cutting out and organizing coupons, or, worse yet, filling
> out rebate applications and sending them in in return for little
> checks in the mail?  WHY DON'T THEY JUST LOWER THE %&##@! PRICES?
> How stupid and idle do they think people are?  How much time is spent
> in this country in the utterly non-productive non-creative activities 
>of clipping,handling,processing, mailing, etc. these stupid pieces of paper?
> ucbvax!arizona!asuvax!mot!al

This is an interesting question.  (From my understanding,) The manufacturers
would, in fact, like to bag these idiot coupons and just lower (and raise)
prices en masse.  Totalling handling and fraud costs, a $0.25 coupon can
cost the manufacturer $0.50 or more.

However, they have found that there are a great many people who expect to
have coupon sales, and who will just not respond as well to dropping the price
an equal amount.  This is one of the (few) instances where manufacturers would
like to assume that the public are not idiots, but, like the little old ladys
on Monty Python, have discovered that we *are* idiots.

Excuse me, I have to go nail my hand to the back of a lorry...

--
John Woods, Charles River Data Systems, Framingham MA, (617) 626-1101
...!decvax!frog!john, ...!mit-eddie!jfw, jfw%mit-ccc@MIT-XX.ARPA

"Out of my way, I'm a scientist!"
			- War of the Worlds