Extended Warranties are indeed a money making scheme for High Street Consumer Electronics. It's "illegal" to charge commission on them maybe, but how do you define commission? The retailer gets together with the manufacturer to offer a package (or in some instances the retailer takes full responsibility) - so where do you think the profit for it goes? Yes, "profit": after all, a warranty is basically an insurance policy, 100% profit provided no claim is made. And do you think retailers would offer an extended warranty if on balance they lost money out of them?
"As for consumers being screwed, at the end of the day its upto u where u spend ur hard earned, if its not cheap enough u go elsewhere."
Any idiot just needs to compare the prices in a High Street retailer to a mail order firm (or even a specialist dealer) to see they are getting screwed. It's hardly surprising - a High St retailer has acres of rented floorspace to pay for, plus all those imbecilic staff. But if you're trying to tell me that customers don't pay more in the High St (often for inferior goods), you're either blind, stupid, or both.
"You need to consider the level of service u will receive tho, think about this, if u buy a tv from a supermarket and it breaks down will they have the means to repair it?"
I wouldn't buy a TV from a Supermarket. I'd buy a TV from a hi fi/electronics dealer. And sending your kit back to Dixons or whatever to get it repaired is absolutely no different to just taking it down to the local tv repair guy. So the level of service is the same.
"This means u will have to get joe bloggs from blag-a-ex-rental to repair it."
LOL what do you think a high street retailer does? Oh I forgot, they have ultra-modern repair labs, staffed by robots. Not. If the customer-facing staff of Dixons are any indication of the general level of competency displayed by their workforce, to be honest I'd rather give my TV to my cat to repair.
"If this tv cost a grand (which they easily do)and the labour and parts needed cost £500
u would be less than chuffed."
Which is incredibly unlikely. Anyone with any knowledge will tell you that 95% of "faults" with electronics will go wrong either within 12 months (when you're within standard manufacturer's warranty anyway), or after 3/5 years (when your extended warranty has expired). The reasons are obvious. The kit will either be faulty in the first place, or it will develop a fault through age. To take your example, for the repair charges on a £1 grand telly to reach £500, it would basically have to blow the CRT. This is only going to happen if the set is faulty in the first place, or over a significant number of years. Only way it will happen within the 2-5 year bracket is through accidental damage (which any insurer will cover you against), or force majeur (which is completely random, and as such usually excluded from extended warranties)
"1 last thing to consider, if electronics manufacturers had so much faith in their products they would offer 10 year manufacturer warranties."
Yeah, and simultaneously kill their own businesses - very intelligent thinking there. Why do you think light bulbs only last 6 months, out of interest? I'll give you a clue - it's not that we can't make a lightbulb last longer.
Extended warranties are a scam. It's an easy way for the retailer to make some extra cash off the consumer. ANYONE in the industry will tell you that. The ironic thing is, even without an Extended warranty, you typically still pay about 20% more on the high street than if you went to a specialist.
<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by Ono: Wot is the diff between a GF 2MX card, a normal GF card and a GF2 GTS?
Is the MX a GF1 or GF2? <HR></BLOCKQUOTE>
I think the MX is a GeForce2 with a few things cut out. Not sure what though.
Stu neglected to mention that the kind of "extended warranty" he mentions involves using my name to return games and suchlike to places like Electronics Boutique, etc.
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